How to improve the efficiency and quality of market research

Mondo Finance Updated on 2024-02-20

Market research refers to the process in which individuals or organizations systematically design, collect, record, sort, analyze and study various market information and report research results according to specific decision-making issues. Market research is an important basis for consulting companies to provide customers with effective solutions, which can help consulting companies understand the needs, problems and challenges of customers, analyze the current situation, trends and opportunities of the market, formulate reasonable strategies and suggestions, and evaluate the feasibility and effectiveness of the solutions.

However, the process of market research often faces challenges such as tight time, limited resources, and difficult to ensure data quality. How to improve the efficiency and quality of market research is a problem that consulting companies need to continuously explore and optimize. This paper puts forward some suggestions for improving the efficiency and quality of market research from four aspects: the purpose, method, tool and results of market research, as follows:

Clarify the purpose and questions of the research

Before conducting market research, it is important to clarify the purpose and questions of the research. Clarifying the purpose helps to determine the scope and direction of the research and avoid useless data waste. Defining the questions is conducive to designing the content and structure of the survey and avoiding ambiguous results. The purpose and question of the research should have the following characteristics:

Relevant to customers' needs and problems, able to reflect customers' core demands and pain points;

Relevant to the current situation and trends of the market, able to reflect the opportunities and threats of the market;

Be measurable and answerable, with the ability to derive clear answers through data and analysis;

It is operable and implementable, and can provide guidance and basis for the formulation and implementation of the program.

For example, if a consulting firm provides market research services to an automotive manufacturer, it may be necessary to clarify the following purposes and questions:

Purpose: To analyze the development trend of the automotive market and formulate a strategic plan for the next five years for customers;

Question: What is the overall size, structure, and growth rate of the automotive market?

What are the main segments and consumer segments of the automotive market?

What are the main competitors and competitive advantages in the automotive market?

What are the key drivers and restraints in the automotive market?

What are the main opportunities and threats in the automotive market?

What is the customer's current position and potential in the automotive market?

What are the customer's goals and visions in the automotive market?

What are the customer's strengths and weaknesses in the automotive market?

What are the strategic choices and priorities of customers in the automotive market?

Choose the right research methods and tools

According to the purpose and questions of the research, the most appropriate research methods and tools are selected. Research methods and tools can be divided into two broad categories: qualitative research and quantitative research. Qualitative research refers to the collection and analysis of in-depth information about the market, such as consumer attitudes, motivations, preferences, feelings, etc., through non-numerical methods, such as interviews, observations, case studies, etc. Quantitative research refers to the collection and analysis of the surface information of the market, such as consumer behavior, characteristics, satisfaction, and intention, through numerical methods, such as questionnaires, experiments, statistical analysis, etc.

Qualitative research and quantitative research have their own advantages and disadvantages, and should be used comprehensively according to the specific situation. In general, qualitative research is suitable for the following situations:

The purpose of research is exploratory, and it is necessary to discover new phenomena, new problems or new opportunities in the market;

The research questions are complex and require an understanding of the internal logic, causality or influencing factors of the market;

The research object is special and requires an in-depth understanding of the key people, typical cases or important groups in the market;

Research resources are limited, and market research needs to be conducted in a short period of time, on a small scale, and at a low cost.

Quantitative research is suitable for the following situations:

The purpose of the research is confirmative, and it is necessary to confirm the known phenomenon, existing problems or opportunities of the market;

The research questions are simple and need to measure the basic data, basic characteristics or basic trends of the market;

The research target is general and requires a broad understanding of the overall situation, overall size or overall structure of the market;

Research resources are sufficient, and market research needs to be conducted over a long period of time, on a large scale, and with high quality.

For example, if a consulting firm provides market research services to an automotive manufacturer, you may need to choose the following methods and tools:

Qualitative research: Through in-depth interviews, focus groups, mystery shoppers and other methods, collect in-depth information of consumers, competitors and channel providers in the automotive market, such as consumers' motivation for buying cars, the strategic direction of competitors, and the willingness of channel providers to cooperate.

Quantitative research: Through questionnaire surveys, experimental design, statistical analysis and other methods, collect surface information such as sales, market share, and satisfaction in the automobile market, such as consumers' car purchase behavior, competitors' product characteristics, and channel providers' sales performance.

Use modern technology and data analysis methods

When conducting market research, it is necessary to use modern technical means and data analysis methods to improve the efficiency and quality of research. Modern technological means and data analysis methods can help consulting firms:

Collect more, more comprehensive, and more accurate market data. For example, using technologies such as the Internet, mobile devices, social networking, and the Internet of Things, first-hand data of the market can be obtained in real time, remotely, and on a large scale, such as consumer behavior tracks, feedback, personal information, etc.;

Process faster, more efficient, and smarter market data. For example, using artificial intelligence, machine learning, big data analysis and other technologies, it can automatically, quickly and deeply analyze market data, such as consumer preference patterns, competitors' strategic changes, market development trends, etc.;

Present clearer, more intuitive, and more convincing market data. For example, the use of visual, interactive, multi-** and other technologies, can be beautiful, vivid, three-dimensional display of market data, such as consumer satisfaction charts, competitor product comparison, market opportunity maps, etc.

For example, if a consulting firm provides market research services to an automotive manufacturer, it may need to utilize the following technical means and data analysis methods:

Collect data: Through web crawlers, mobile applications, social monitoring, sensors and other technologies, collect the best data of consumers, competitors, and channel providers in the automotive market, such as the number of views, applications, social reviews, vehicle operating conditions, etc.;

Processing data: through text analysis, sentiment analysis, cluster analysis, analysis and other technologies, process the best data of consumers, competitors, and channel providers in the automobile market, such as consumer demand identification, competitor strategic evaluation, channel performance evaluation, market growth, etc.;

Presentation data: Through charts, dashboards, storyboards, etc., the best data of consumers, competitors, and channel providers in the automobile market are presented, such as consumers' car purchase intentions, competitors' product advantages and disadvantages, channel providers' sales rankings, and market opportunity distribution.

Validate and present survey results

After completing the market research, the results need to be verified and presented. Verifying the results of the survey refers to checking the correctness, reliability and validity of the survey results, ensuring that the survey results can reflect the real situation of the market and supporting the decision-making recommendations of the consulting company. Presenting research results means presenting the results of a survey to customers or other stakeholders in a clear, concise and powerful way to ensure that the results of the survey attract attention, trust and action. The following principles should be followed for validating and presenting survey results:

Be consistent with the purpose and questions of the research, be able to answer the core questions of the research, and achieve the expected purpose of the research;

It is consistent with the research methods and tools, and can reflect the scientificity, rationality and professionalism of the research;

Match with survey data and analysis, and be able to present survey data**, data processing, and data interpretation;

Adapt to the needs and expectations of customers, and be able to meet their information needs, cognitive levels and communication styles.

For example, if a consulting firm provides market research services to an automotive manufacturer, it may be necessary to validate and present the results of the study as follows:

Verify the survey results: check the correctness, reliability and validity of the survey results by comparison, cross-examination, verification and evaluation with other data sources, other methods, other tools, other experts, etc., such as whether consumers' car purchase intentions are consistent with sales data, whether competitors' product advantages and disadvantages are consistent with market share data, whether the sales ranking of channel providers matches the self-reported data of channel providers, and whether the distribution of market opportunities is consistent with the opinions of industry experts.

Present the research results: Through reports, demonstrations, discussions, suggestions, etc., the research results will be displayed to customers or other stakeholders in a clear, concise and powerful way, such as consumers' car purchase intentions are displayed in charts, competitors' product advantages and disadvantages are told with storyboards, channel dealers' sales rankings are displayed in dashboards, and market opportunity distribution is demonstrated in a leading manner.

Conclusion

Market research is an important basis for consulting companies to provide effective solutions for customers, but the process of market research often faces challenges such as time constraints, limited resources, and difficult to ensure data quality. This paper puts forward some suggestions to improve the efficiency and quality of market research from four aspects: purpose, method, tool and result of market research, including clarifying the research objectives and problems, selecting appropriate research methods and tools, using modern technical means and data analysis methods, and verifying and presenting the research results. The purpose of this article is to provide some reference and enlightenment for the market research work of consulting companies.

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