In business, as well as in life, it is necessary to know your environment in order to make the decisions that will lead your company to success. But do you know what the importance of market research in marketing strategy? Keep reading, in this article we will explain it to you in detail.
Before we start talking about its importance, we must be clear about what market research is. This concept arose in the 20th century and refers to the systematic collection of information about a product in particular, and its subsequent analysis as a marketing control technique.
The functions of market research in the marketing strategy are varied. They range from studying new product ideas to measuring your customer’s satisfaction, through the current performance of your products and the position of your company in the market.
This research can be done in two ways. The first would be a quantitative investigation, in which the percentage of the population that uses a product is determined, for example. And the second is qualitative research, which explores what people think or feel about a product.
Why is market research important in the marketing strategy?
By gathering information on consumer perception of your product, market research will allow you to anticipate how it may fluctuate the market. This is extremely important if you want to develop new products or offer new services.
Identifying the best opportunities in the market will give you the ability to improve your position in it, or to include yourself in new trends that are appearing. This is why market research is of the utmost importance before launching a new product and being successful at it.
By analyzing all the data you collect, you can create a marketing strategy aimed at your target audience that helps you minimize risks when starting a business. In other words, your market research will allow you to make informed and more conscious decisions.
Additionally, all the information that is collected will have a great influence on your ability to adapt your product or service to the needs and wishes of consumers. Measuring the effectiveness of your current marketing strategy will give you the tools to offer the best promotions to your customers.
Even if your company is large and well positioned, to keep it this way and even take it to the next level, you must stay in tune with the requirements of your customers. Without this data, you would be guessing what steps to take next in your strategy, risking losing your position.
How to do market research?
To get your market research to give you true information about who your customers are, what they like, and what you must do to keep them and to get new customers, you must know how to do it correctly. Keep in mind that your results can only be as good as the questions you ask.
Effective market research starts with know what your goals are and what information you need obtain to be able to reach them. So, you must plan correctly what you will do, in order to then be able to correctly analyze the organizational markets with the results you obtain.
A very important point is that you make questions as specific as possible about your product or service, so that the customer has no doubts about what to answer. Ideally, you should focus these questions on the characteristics of the product and the benefits it offers to the consumer.
Previously, this type of research used to be done on paper or over the phone, but this can be tedious. For this reason, many companies are turning to online formats, doing surveys with Google and Outlook tools, for example; or using cookies to follow the purchasing habits of the general public.
Know your customers and your competition It is essential to create a sales and promotion strategy that allows you to grow your company. Remember that it is vitally important that you can adapt to the tastes and needs of your customers, and that you know how to show yourself superior to your competitors to be successful in the market.