What is the marketing research process? Ultimate Guide

What is the marketing research process? Ultimate Guide

Marketing research is an investment that can help your company achieve its goals.

A well-conducted marketing research process will provide you with the insights you need to develop products and services that meet your customers’ needs and expectations, as well as track customer satisfaction levels. The process may also lead to no actionable changes for your business if it’s not carried out properly or doesn’t address specific needs. There are many disadvantages of the marketing research process, but these shouldn’t be ignored because they could cause serious problems down the line. In this blog post, we take a look at the marketing research process and some of its key advantages and disadvantages.

Let’s get started with

What is the marketing research process?

The marketing research process is a way of gathering information about a company’s products or services that will be used to help the company make a decision. The process consists of nine distinct steps: primary and secondary market research, data collection, statistical analysis, reporting results, responding to findings, measuring success metrics, applying what was learned from the project, and revisiting the research plan.

9 Steps of Successful marketing research process

1. Primary market research:

The first step in the marketing research process is primary market research. This involves gathering data about the target market for a product or service. This data can be gathered through surveys, focus groups, interviews, and other methods.

2. Secondary market research:

The second step in the marketing research process is secondary market research. This is the process of gathering data that is already available to find out if it can help answer your research question which is also know as keyword research what basically your customer quarries are. This may include data from sources such as competitor reports, industry reports, government agencies, trade associations, and more.

3. Data collection:

Data Collection
Data Collection

The third step in the marketing research process is data collection. Data is gathered through surveys, focus groups, interviews, and other methods. This data is used to answer research questions and to develop hypotheses.

4. Statistical analysis:

The fourth step in the marketing research process is statistical analysis.

Statistical analysis
Statistical analysis

This is the process of examining data to see if it supports or disproves a hypothesis. It also includes determining which data is essential and how to present the findings best.

5. Reporting results;

The fifth step in the marketing research process is reporting results. The end goal of research projects is to report why something occurred when it occurred and what caused it to occur. Marketing research reports should include a description of the project, a data analysis section that explains why certain data was chosen over other data, and the research conclusions.

6. Responding to findings:

The sixth step in the marketing research process is responding to findings. Once the research project results have been reported, it is crucial to determine what should be done with that information. This may include developing new products or services, revising marketing plans, or changing company policy.

7. Measuring success metrics:

The seventh step in the marketing research process is measuring success metrics. This is when the data gathered during the project is used to determine if it achieved its end goal. The end goal may be to take a product from concept to market, increase sales and market share, or improve customer satisfaction.

8. Applying what was learned from the project:

The eighth step in the marketing research process is applying what was learned from the project. After the research project results have been analyzed and reported, it is essential to put that information into action. This may involve developing new products or services, revising marketing plans, or changing company policy.

9. Revisiting the research plan:

The ninth and final step in the marketing research process is revisiting the research plan. This allows businesses to learn from past experiences and understand any flaws or areas of improvement that can help make future projects more successful.

What are the benefits of the marketing research process?

The marketing research process helps companies to understand their customers and their needs better.

This understanding helps companies to develop products and services that are more likely to be successful in the marketplace and then optimize those products. The marketing research process can also help companies to target their advertising and marketing efforts more effectively. Finally, the marketing research process can help companies assess their marketing programs’ effectiveness. Companies can improve their bottom line by using the marketing research process to increase sales and profits. Some are mentioned below:

1. Helps companies to understand their customers and their needs:

The marketing research process helps companies to understand their customers and their needs. This understanding helps companies develop products and services that are more likely to be successful in the marketplace.

2. Helps companies target their advertising and marketing efforts more effectively: 

The marketing research process can help companies to target their advertising and marketing efforts more effectively. This targeted approach can help companies to save money on their advertising and marketing programs.

3. Helps companies assess the effectiveness of their marketing programs:

The marketing research process can help companies assess the effectiveness of their marketing programs. Firms can use the information gathered in the research process to make more informed decisions. These decisions can help companies save money and increase sales due to more effective marketing campaigns.

4. Helps companies to understand their industry and their competition:

The marketing research process can help companies to understand their industry and their competition. This understanding can help companies to develop strategies that give them a competitive edge in the marketplace.

5. Can lead to the development of new products and services:

The marketing research process can lead to the development of new products and services. This can result in a company’s ability to introduce these new products and services before their competition.

6. Helps companies save money:

Helps companies save money by avoiding mistakes when developing new products:

Save money as a Company
Save money as a Business

By using the marketing research process, companies can avoid mistakes when developing new products that could potentially harm the company’s profitability.

7. Helps companies reduce risk:

The marketing research process can help companies to reduce risk. This can result in a company’s ability to compete more effectively with their competition and increase sales and profits.

8. Helps companies to improve the bottom line:

Companies can improve their bottom line by using the marketing research process to increase sales and profits.

9. Helps brand managers make more informed decisions:

The marketing research process can help brand managers make more informed decisions that could lead to the development of new products or services that increase sales and profits.

10. Helps brand managers assess the profitability of their advertising campaigns: 

The marketing research process can help brand managers assess the profitability of their advertising campaigns. This assessment can increase sales and profits by increasing customer satisfaction levels through tailored services, products, or other factors important to consumers.

11. Helps brand managers improve product quality:

The marketing research process can help companies to improve product quality. This improvement can result in an increase in sales and profits and increase customer satisfaction through the development of products that meet their needs and expectations.

12. Helps brand managers reduce operating costs:

The marketing research process can help companies to reduce their operating costs. This reduction can result in an increase in sales and profits and improve customer satisfaction.

13. Helps companies to manage their brands more effectively:

The marketing research process can help companies to manage their brands more effectively. This management can lead to the development of new products or services through an understanding of individuals’ needs and expectations.

14. Helps companies to understand their customers:

The marketing research process can help companies to understand their customers. Companies can develop products and services that better meet their needs and expectations by understanding their customers.

15. Helps companies to track customer satisfaction levels:

The marketing research process can help companies to track customer satisfaction levels. This tracking can help companies to develop products and services that more effectively meet their needs and expectations.

What are the disadvantages of the marketing research process?

There are several disadvantages to the marketing research process that businesses should be aware of.

Disadvantages of Marketing Research Process
Disadvantages of Marketing Research Process

These include its high cost, potential to be time-consuming, potentially to generate inaccurate results, and possibly to no actionable changes. A few of them are given below:

1. It’s an expensive process: From the cost of carrying out the study to paying for outside expertise, having your research conducted can be costly. Most businesses will have to set aside a budget in order to do so, although some industries are more likely than others to carry out marketing research.

2. The findings may not be applicable to your specific audience: Because marketing research is based on statistics and trends, it’s not always accurate in predicting how a particular group of consumers will behave. Your findings may not be relevant to the people you’re targeting with your product or service.

3. The process can be time-consuming: From designing the study to collecting and analyzing the data, it can take time to complete the process. If you’re not willing to commit the necessary resources and time, your business might be better served to invest its energy elsewhere.

4. Audience bias may skew results: Your respondents play a significant role in how accurate your research is likely to be. You should ensure that everyone who participates in your study is representative of your target audience, or you could end up with skewed results.

5. Research findings can be misinterpreted: Even if your research is carried out perfectly, the findings can be misinterpreted if they’re not presented in a clear and concise manner. This can lead to confusion among your team and potential customers.

6. The results could be inaccurate: Although you’re likely to get accurate data from your respondents, there’s always a chance that something related to the study itself (such as a human error) will cause your findings to be inaccurate.

7. The process can be stressful: As a business owner, you may feel stressed and anxious about your research findings and how these might impact your company or business. It will help if you try to identify what is causing this anxiety and reduce it as much as possible.

8. The results might not lead to actionable changes for your business: Even if your research reveals that you need to make some changes to your business, it’s not always clear what specific actions you should take. This can be frustrating for business owners looking for tangible results from their research investment.

Marketing Research Process FAQs

What is the difference between marketing research and market research?

Marketing research systematically gathers, records, and analyzes data about a particular target market or customers. It is used to identify and assess opportunities and to support marketing decisions.

On the other hand, market research is the gathering of information about a particular market or industry. It includes analysis of past and current trends and forecasts for future conditions. It can be used to identify opportunities and threats in a given market, as well as to assess a company’s strengths and weaknesses

What is the first step in the marketing research process?

The first step in the marketing research process is to define the problem. The second step is to determine the purpose of the study. The third step is to determine how much time and budget you have for conducting your research. The fourth step is to develop a plan that includes objectives, methods, and resources. The fifth step is to implement the research plan. The sixth step is to analyze the results. The seventh step is to report the findings.

How much does it cost to hire a market research company?

Hiring a market research company can be expensive, but there are ways to do market research on a budget. The average cost is around $20,000 to $40,000, but it can cost more or less depending on the size and scope of the project.

Conclusion

Marketing research can be a powerful tool for businesses looking to understand their customers better, but it isn’t without its disadvantages. From the high cost of carrying out the study to potentially no actionable changes being found in your findings, there are several things you should consider before using marketing research as part of your digital strategy. We hope you found this article helpful.

If you have any questions or thoughts to share, feel free to leave in a comment box below


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