1. methods of primary market/field research
1.1. questionnaire
1.2. focus group
1.2.1. a number of customers (as a global representation) is invited to to a discussion led by market researches where information will be obtained
1.3. observation
1.3.1. market researchers 'watch' customers buying habits and approach retailers in order to record stats of the time spent, products purchased often and etc.
1.4. test marketing
1.4.1. selling a limited number of test products within a limited population before a national launch, and with exclusive feedback, the product can be altered, reducing the risk of failure
2. using data in a market research
2.1. qualitative and quantitative data
2.1.1. qualitative data is attitudes, beliefs and intentions of customers, usually written in words or recorded as a video. quantitative data is expressed as numbers and statistical data
2.2. using social media
2.2.1. a big amount of information can be collected through social media. its easier to analyze trends and popular products and terms
2.3. reliability of research data
2.3.1. Reliability of gathered data is very important as, if the data collected is not up to data or inaccurate the decisions made would be unsound resulting in gin major losses.
3. purpose of market research
3.1. to identify and understand customer needs
3.1.1. research on customer preferences on a certain product before bulk production and launch to ensure the product will meet customer standards and needs
3.2. to identify gaps in the market
3.2.1. identifying gaps in the market can create business opportunities as a gap in the market means a field your competitors aren't doing right and gives you the chance to do it better. Focusing on a market gap also helps you make sure you avoid diving into a market that is already oversaturated. After all, a saturated market is often a dead-end for new businesses
3.3. to reduce risk
3.3.1. a research before launching a new product can be very helpful and save the company from a big loss as the chance of a new product to fail in a market that is growing by the second with rising competitors are very high. hence investing in effective market research can avoid risking such a loss
3.4. to inform business decisions
3.4.1. a market research can help in making quality decisions for the business. the company can have an idea of the current products in the market, the competitors, prices and other necessary information