What is the objective of the research?
The type of information sought from market research will determine
how much time and effort a business should invest in it.
The objectives of market research may include:
- Market Attractiveness Evaluation:
- Market sizing - estimating the size of a total market,
how much is accessible by the business, and/or
what market share ambitions would be realistic.
- Competitive presence and customer preference.
- Customer spending patterns, budget cycles, and intent.
- Channel trends, preferences, and allegiances.
- Customer Insight: Specific customer needs, aspirations, buying behaviors, usage patterns, decision models, preferences,
favourability, intentions, etc
- Competitive Forces: Current and potential basis of competition in a market.
- Communications Planning: What information sources do prospective customers pay attention to, how to reach them, opportunities / vehicles for influencing target customers and which are most effective.
- Product Testing: Evaluation of product improvements, alternatives,
- Concept Testing: Evaluation of potential products and solutions, clarification of needs, wants, and preferences.
- Advert Testing: Evaluation of alternative brand promises, impact / cut through ability, persuasiveness, strength of call to action, out-take versus intent, etc.
- Customer Satisfaction: Measurement of quality of customer experience, perceptions, reaction, loyalty, intent, etc.
- Pricing: Testing of price / feature / quality / packaging / positioning combinations, price points, promotions, loyalty schemes, terms and conditions, etc.
- List Building: Compilation of information about prospective customers for direct marketing purposes (NB may not be compatible with ethical guidelines followed by many market research practitioners).