Key Concepts of Market Research

Research is a vast discipline that varies depending on sub-disciplines. Four concepts remain common: methodology, the type of data (quantitative or qualitative), sources (primary or secondary), and sampling methods. These, of course, are also required in market research.

Methodology in research is the process to follow in order for you to conduct research that is accurate and valuable. In any kind of methodology, the researcher must see to it that the goals of the research are being established. 

Additionally, researchers need to ensure that the sample can be determined, and the data collection method is aligned with the methodology. More importantly, the mode of analysis is appropriate, and conclusions are well-formulated, as well as the actionable insights must be considered. 

What Type of Methodology To Use

However, to know which kind of methodology to use, one must first start with the research problem or questions, as well as the hypothesis. In market research, issues are usually focused on businesses or brands, so it is not always easy to know how and what kind of data to collect. 

The research question should guide the entire process, meaning you are deciding on a methodology, collecting data, and interpreting them to answer these questions. Again, these questions will tell what data collection method you will be needing. 

Primary Data

As for the type of data for your research, you can gather primary or secondary ones. The former is conducted when new data is gathered for a specific product or hypothesis. In essence, this is where knowledge already does not exist or is not available.

Therefore it needs to be collected directly from customers or businesses. Polls, focus groups, study committees, and neighborhood polls also can be used for primary market research.

Secondary Data

On the other hand, secondary data are the existing, published data that may be used as your source of information for the market research. This is more cost-effective, and probably time-saving than primary research because the information is already there. You can access secondary data on the internet. 

Nevertheless, the information would have been collected originally to solve problems other than the one at hand so they may not be sufficiently detailed. Secondary research may help identify issues that need primary research to examine.

Notice that secondary-data analysis should always take precedence over primary data. Reviewing related literature and data will help you as a market researcher to set the context and parameters for your own primary research. 

Method for Primary Research

The data, for example, can provide sufficient information to solve the problem or research question at hand, thus negating the need for further study. It can also provide more sources for your hypothesis that will be explored in primary research. This will also help you be informed about relevant sample sizes and the audience. Lastly, it can also be your basis for measuring the accuracy of your primary research.

Digital Research

For market research, companies with access to web analytics recorded digitally can be great sources. It’s worth remembering, though, that it’s usually impossible for you to access the web analytics data of competitors. 

This method will give you information about your own customers. Communications with customers can also be great sources of data. Committed customers who complain, comment, or compliment products and services provide primary information that can lay the foundation for customer satisfaction research.

Social Network Research

Other sources you can try include social networks, blogs, and other forms of social media, where a plethora of discussions present their likes, dislikes, and thoughts about companies. 

The internet can help you when conducting primary and/or secondary research because of its free tools for calculating sample sizes, confidence levels, etc. It is also a great channel to reach large numbers of respondents or subjects at a very affordable cost. To develop consumer sentiment these data can and should be tracked and monitored. This sort of data is viewed as a secondary study.

Advance Features of Search Engine

However, because of too much information that the internet can provide, it is safe to say that not every source is reliable or useful for your secondary research. It is daunting to find credible sources, but you can always try the advanced features of search engines. 

For instance, Google offers Advanced Search, Google Scholar, Google Book Search, and Google News Archives. Some publications are available online for free, while some should be paid for. As for, research websites that feature analyst blogs for free, you can try e-consultancy.com, experian.com/hitwise, pewinternet.org, nielsen.com, and worldwideworx.com.

Your primary research includes gathering primary data that has not been collected in advance, so you can investigate a market and help develop the theories or research questions that need to be addressed by further analysis. That may be qualitative or quantitative data. At this stage, Qualitative data is generally collected. Digital research forums, for example, can be used to define unmet consumer needs and to brainstorm possible solutions.

Qualitative & Quantitative Data

Qualitative is exploratory, and in market research, it is used to know what potential consumers think and feel about a given subject. It helps to identify possible theories through qualitative research, while quantitative research places these hypotheses behind the hard numbers. 

Quantitative research is based on numerical data to show conclusions that are statistically significant. You can gather both quantitative and qualitative data from the internet. You can use it to conduct large focus groups through discussion forums, etc. 

Internal Search Data

Web analytics packages are not an important data source. Using data such as search terms, referral URLs and internal search data can lead to qualitative information about the consumers visiting a website. Nonetheless, it contributes to quantitative research when data is observable and accurate, such as impressions and clicks through rates. It should be noted that quantitative data and qualitative can either be primary or secondary data as well. 

Characteristics of Market Research

Because qualitative data explores characteristics, a small number of respondents is enough to generate ideas. A large number of respondents, on the other hand, is needed for quantitative. Remember that sample sizes and methods are important in research. 

The sample is supposed to be representative of the general population you target. For example, if your online as well as offline business transactions, be aware that using only online market analytics platforms may not reflect your true target market. If your company only transacts online, however, offline networks are less important for your market research. For determining the size, you can always use tools and sampling calculators on the internet.

© Image credits to Ezequiel Da Silva