Secondary research. Analyzing existing data compiled by a third party about a product, service, or category to understand industry trends. Often companies will buy reports containing information relevant to their business.
Quantitative research. Conducting a large-scale survey consisting of questions and a fixed set of answers over the phone, in person, or online. This provides statistically relevant results and a percentage number to help make or support a business decision or to utilize in marketing materials. For example: “81 percent of respondents were highly likely to buy product xyz.”
Qualitative research. Conducted through in-person focus groups, interviews, intercepts, and observations of people in stores/homes/restaurants/offices. Questions are deliberately open-ended in order to explore consumer attitudes, behaviors, and beliefs.
How Can a Small Business Conduct Market Research?
Use the Internet. Do an exhaustive search of everything and anything related to your business. Find out who’s doing what and learn from existing data. You need to do your homework to see where the opportunities lie.
Talk to people. Especially those you believe are your target customers. Ask them what they think about your product, how it compares to your competitors’ products, what they like and don’t like, and what you can do to make it more appealing. Observe their behavior using your product and a competitor’s. Set up an informal discussion group (provide dinner or appetizers—people will come for yummy eats) and present your ideas, share your product, and ask for candid feedback. Be prepared to hear both positive and negative comments.
Send out a survey. Social networking groups are an easy place to start. Or use an online survey company like SurveyMonkey.
Look at the big picture. Use the insights to gain perspective and directional suggestions about your business rather than as a critique about what you’re doing wrong.
If you’re not exploring the competitive landscape and talking to your target audience, you are missing a valuable business opportunity. Market research can be easy and affordable. Now it’s up to you to start the process. You can’t afford not to.
Ladies Who Launch is asking you… what do you think of Romy’s advice? Let everyone know in the Comments section below!
Need more marketing tips? Check out “7 Steps to Marketing Success” in Tools, Documents & Templates.