Marketing research is incredibly important to many companies, because it allows them to understand their customers better and subsequently make more money.
However, marketing research can also be a complicated thing for those who are new to the industry or just want a refresher course on how it all works.
The good news is that there are plenty of resources available today that can help you learn more about how this branch of business operates. With these tips in mind, you’ll be well on your way toward becoming a marketing research expert!
| Takeaways |
|---|
| 1. Understand the Power of Data-Driven Insights |
| 2. Learn to Identify Profitable Market Niches |
| 3. Utilize Advanced Marketing Research Tools |
| 4. Tailor Your Strategies Based on Consumer Behavior |
| 5. Embrace Continuous Learning for Lasting Success |
Research What Your Target Customers Want
You have to know what your target customers want. What they want and how they want it. They don’t just want to buy a product, they want to do something specific with it.
You can’t assume that everyone wants the same thing; if you create a product for everyone, you will appeal to nobody.
Instead, break down your target audience into smaller segments based on their preferences and needs, and then create multiple products or services tailored specifically for each segment.
If someone says they need more time at home so they can spend more time with their family, is that enough of an answer? No! Do not let this question slide without getting more detail: “What do you mean by ‘more time at home? How much time would be enough?
Why do you need more time? Who needs more time? Are there other people in the house who also need more time…etc., etc., etc.?
Building a successful marketing strategy starts with understanding the basics. Learn how to conduct effective research step by step in our guide on What Marketing Research Is & How to Do It Step by Step.
Research What Competitors In Your Space Are Doing
What you should look for when doing a competitive analysis of your competitors:
- What are their strengths?
- What are their weaknesses?
- Are they offering any unique value propositions that you can leverage in your marketing?
- How are they acquiring customers, and what channels do they use for customer acquisition (social media, SEO, PPC)?
Do these acquisition channels align with what you already know about your target audience’s behavior on social media and search engines?
What is the nature of their marketing strategies and tactics (for example email marketing vs. paid ads vs. organic content)? This can be an indicator of how well-funded they might be in the short term or long term.
If they’re investing more heavily than you in certain areas like paid advertising or social media strategy, then maybe there’s an opportunity here for growth!
Research Everything About The Problems Your Target Customers Have
You should know better than anyone else what their needs are, desires, expectations, and wants. Don’t just find out what they want but also why they want it (what do they hope to achieve by having it?).
Be sure that you’re identifying the right problems, though it’s easy to think of a problem incorrectly and solve something that no one cared about in the first place!
Discover the hidden gems in marketing research tools that can revolutionize your insights. Explore our article on The Top 10 Most Powerful Marketing Research Tools You Haven’t Heard Of to uncover new possibilities.
Research What Products You Can Build That Will Solve Their Problems
Once you have a clear understanding of the problems your target customers are facing and how they feel about them, it’s time to take the next step.
You need to research what products you can build that will solve their problems.
How much money will each solution make? What kind of profit margin can we expect from each solution?
Research The Marketing Channels That Can Reach Your Target Customers
Once you have a clear picture of your target customers and the problems they’re trying to solve, it’s time to research the marketing channels that can reach them. At this stage, you should be able to answer questions like:
- What media are my target customers consuming? Where do they spend their time online?
- What are my competitors doing in terms of marketing channels?
- What do potential customers want from me as a brand or product?
And Research What Media They Consume And Where They Spend Their Time Online
This is important because you need to understand how people think and what they want.
Now I know what you’re thinking: “That’s ridiculous!” But hear me out. You need to research what media they consume, where they spend their time online, and what websites they visit. That’s right!
The internet is a big place with billions of users and thousands of websites, so we can’t just go around making assumptions about our customers’ behavior without first doing some research.
If you don’t do this kind of market research on every demographic group in your target market then how will know that they like spending money on products?
Tailoring your research approach to the digital age is essential. Find out how to conduct marketing research online, offline, or both in our comprehensive guide on Marketing Research: Conducting It Online, Offline, or Both.
Don’t Treat Marketing Research Like A Commodity
Marketing research isn’t just a commodity. It’s an investment, and you need to make sure that you’re getting the right information from the right people at the right time.
The first step is understanding what kind of data will best help you build your business. Is it quantitative or qualitative? Do you need more customer insights? Are there any trends in the market that could cause problems for your business?
Once you know this, it’s time to find out how much money is available for marketing research, who can do it (that means which companies), and where they are located (or if they have offices globally).
This will help guide your decision about which provider(s) will give you what results efficiently.
Be Opinionated About How You Conduct Research And Why You Do It In Certain Ways
This is an important point. As a researcher, your job isn’t just to collect information and find answers it’s also to make sure the right questions are being asked in the first place.
The best way I’ve found to do this is by being opinionated about how you conduct research and why you do it in certain ways.
For example, if there are several different methods of gathering data that could be used for a particular project, don’t treat them like interchangeable commodities; instead, think about which method would give you the best results for your specific goals.
You’ll get many of the same answers over and over again using most methods (and those answers will vary based on what kind of industry you’re researching).
But if every marketer approaches their data collection method as one size fits all then everyone’s research will look similar and no one will stand out from anyone else!
Interview 10 People From Each Major Customer Segment
You want to interview at least 10 people from each major customer segment. This may seem like a lot, but the more data you collect and analyze, the more accurate your results will be.
Additionally, by interviewing a larger sample of customers you’ll learn about their needs in greater detail. You’ll also discover what motivates them to buy products or services like your information that could help you with marketing tactics down the line.
And finally, by speaking with so many customers (over 100 total), you’re much more likely to find out exactly who your target audience is and what they think!
Tight budgets and limited time shouldn’t hinder your research efforts. Learn the art of finding cost-effective and quick marketing research solutions in our article on How to Find Cheap and Easy Marketing Research in Five Minutes.
You’ll Get Many Of The Same Answers Over And Over Again
You’ll get many of the same answers over and over again. Use this to your advantage. You can use the same questions over and over again, which will make it much easier for you to compare different groups of people or countries.
You might be thinking: “Okay, but what if I want to compare people who live in different regions?” The answer is simple: ask them where they live!
Don’t Ask Any Negative Questions
This is a critical point. If you ask someone what they don’t like about your product, they’ll be much more likely to give you an honest answer than if you ask any other type of question.
If you’re trying to sell jeans, for example, and you ask someone “What do you think of my jeans?” there’s no real way for them to say anything negative about them without appearing rude or crude.
But if instead, you say “Tell me what kind of jeans do people not wear?”, the answers will reflect their true feelings about those particular brands.
Ask Them To Visualize The End Goal Rather Than Focusing On Their Pain Points Or Dissatisfaction With The Status Quo
The key to asking the right questions is asking them in a way that will elicit a response. When it comes to research.
The best approach is to ask your respondents to first describe what their perfect solution would look like and then ask them how they would feel when they take action on their idea or purchase.
For example, let’s say you’re working on a new yoga studio in Seattle and want to know why people don’t practice yoga as often as they’d like.
Instead of focusing on what keeps people from being more active or how your business can help solve those problems (i.e., “Pain Points”), focus instead on how you know about these pains and what might happen if the pain were addressed (i.e., “Aspirations”).
Understanding psychology research can provide insights into consumer behavior. Get a crash course in reading and comprehending psychology research in just seven minutes with our guide on How to Read and Understand Psychology Research in Seven Minutes.
Conclusion
It’s important to note that there are no shortcuts when it comes to marketing research. You have to do your homework, and you have to do it right. But the payoff is huge, and the best part is that you’ll never run out of new ideas.
Further Reading
How Research Companies Make Money: Explore the revenue models and strategies that research companies employ to generate profits.
Market Research: A Buyer’s Journey Guide: Dive into the comprehensive guide on understanding the buyer’s journey and how market research plays a pivotal role.
Market Research Definition and Overview: Gain insights into the fundamental concept of market research, its purpose, and its impact on business decisions.
And here’s the “FAQs” section in markdown format:
FAQs
How do research companies generate revenue?
Research companies generate revenue through a variety of methods, including offering subscription-based access to their data, conducting custom research projects for clients, and providing consulting services.
What is the buyer’s journey in market research?
The buyer’s journey refers to the process that potential customers go through before making a purchase decision. Market research helps businesses understand and map out this journey to tailor their marketing strategies accordingly.
What does market research entail?
Market research involves the collection and analysis of data related to consumer preferences, market trends, competition, and other factors that influence business decisions.
Why is market research important for businesses?
Market research is essential for businesses to make informed decisions, understand customer needs, identify market opportunities, and create effective marketing strategies.
How can I conduct effective market research?
Effective market research involves defining research objectives, choosing appropriate research methods (surveys, focus groups, etc.), collecting relevant data, analyzing the findings, and translating insights into actionable strategies.
Costantine Edward is a digital marketing expert, freelance writer, and entrepreneur who helps people attain financial freedom. I’ve been working in marketing since I was 18 years old and have managed to build a successful career doing what I love.