- Definition of market research
Market research is a systematic marshal effort to collect, record, analyze, interpret and report information about target markets or client and a process of determining the possibility of a new service or product through research conducted directly with the potential clients
- Definition of B2B and B2C their differences, market research methods and audiences.
Business to business this is the transaction between business such as involving a wholesaler to wholesaler, wholesaler to retailer, manufacturer to wholesaler. All provided the operations are between companies or firms. Examples of such businesses include clean Air, Bulk Bookstore and Telephone Man Telecom Supply
Business to consumer is the processes of selling products or services directly from a business to a consumer such companies are Spotify, Starbucks, Shobani and Purina.
In business to business there are mixed marketing research methods which are both quantitative and qualitative since the target audience is a small sample size of the other businesses and thus everything is considered, all undertaking is done between competing companies and thus should be dynamic in all manner while the business to consumer market research method is more qualitative in that the brand attention is based on impulse, emotion, general atmosphere and ideal customer needs. The audience is large since it is dependent on the general population. There are more competitions between the various brand’s providers and offers a very wide market
- Difference between quantitative and qualitative research methods.
Quantitative research is based on the measurement of amount or rather quantity. It is applied any occurrence that can be expressed in terms of an indefinite amount of something and where the said property has magnitude, can be expressed in numbers and a reference.
Qualitative research is interested in occurrence relating to or involving an attribute that differentiates things depending on the level of excellence. It can measure worth, purpose or even kind. It is aimed to explore the desires and motives of how people think or feel about a certain subject matter. In marketing, this research include product development, branding and advertising
- Different research methodologies
A personal interview includes unstructured and open-ended questions, lasting for a certain period of time and is often recorded. They show views of customer attitudes and issues regarding the market and development of the goods and services. They cover only a small segment of the entire population. They are qualitative.
Focus group in market research is a group of people who are questioned by unstructured questions or through brainstorming and conducting open discussion about market product and services. Their response is studied and can be used to infer feelings about a larger population. Members of focus groups are selected dynamically and are a form of qualitative research.
A survey is a list of formulated questions whose purpose is to collect specific data from a particular group of people about marketing. There are different types of surveys such as in-person surveys which are done one on one, telephone surveys done through phone calls, mail survey and online surveys conducted in websites. This form of research is both qualitative and quantitative, depending on the nature of the question.
Observation is taking a keen following of particular events by noting and recording how people react towards a certain good and service in the market. This is mostly due to the fact that when consumers are asked directly, they may portray ingenuity, but their actions may portray what they generally feel about a certain product. This form of research is qualitative.
- Market research 101 summary
Every company has to do market research before introducing a new product or service to the market. This is done to ensure that their product or service is competitive to similar goods or service to avoid financial disasters.
In order to achieve this, companies have to determine their product or service’s demographics and analyze industry trends in order to understand the scope and makeup of their potential market. They research how consumers react to their product to ensure it’s a valuable addition to the marketplace. This has to be done before the product is sold to the consumers.
The market research should be conducted basing on the size of the firm or resources available. This helps to gain knowledge and avoid risks of making business decisions as well as promoting creativity in production and selling of the product.
There are different methods to gather this data depending on the information one is seeking and resources available. This data can be collected from secondary research which helps to analyze the market opportunity, and it consists of previously collected data, e.g. census information, industry trends and demographic information. This is followed by primary research which includes the information you generate yourself. This primary information can be obtained through various ways which may include; informal focus groups, person- on the street interviews, online bulletin boards, email blast, direct mail survey or telephone survey.
The information obtained from market research is crucial because it helps in making good research decisions. This helps to determine the market viability of your product as well as modifying your product to meet the consumer’s needs.