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There are so many ways for a business to accomplish their goals and achieve the riches. They can innovate new products, find niche markets, or drive their operations to be more efficient. But the key to a company’s success is a combination of market research and market analysis. A lot of businesses don’t conduct their own research as they believe it’s too expensive and time consuming. However, commissioning research can be the determining factor that sets a company apart from others in a saturated and competitive industry. The business needs to be able to keep up to date with the latest trends and understand the critical characteristics of its target market. However, having the right and relevant data to analyse is essential.
What are the benefits of conducting market research?
Market research opens the door to new opportunities for a business to innovate and create. They can develop new products for a new market. Deepen their understanding of current target consumers or find unique ways to deliver value to them. But most importantly, market research provides a company with the support and knowledge to make well-informed and strategic decisions. This is especially relevant for FMCG businesses who operate in a concentrated market. With so many players in the arena, it is essential to find ways to stand out and get noticed.
Let’s have a look at an example of how market research allowed a company to innovate: Beauty brand Dove has conducted many research projects, but they are most known for their creative advertising campaigns. Dove’s Real Beauty Sketches was a marketing campaign launched in 2013 that went viral. Dove conducted interviews to capture information about their target consumers. This not only supported their decision-making (through the analysis of important category data), but was also incorporated into a unique campaign emphasising their brand values.
This set them apart from all the other beauty brands in the industry and they gained almost 30 million views on YouTube in the first ten days. Despite being a leader in the FMCG market, Dove took the time to invest in their marketing and research and the payoff was immense.
Is it just about the customers though?
Although understanding customers is essential, knowing how the market works is just as important. Some factors to look into include market size, growth drivers, market segmentation, suppliers, distribution channels and the current competitive dynamics. A stronger understanding of the market in which the business operates in enables it to make better choices for their products.
How about the small players?
For small and medium businesses the concept of market research can seem like a big expense. However, market research and market analysis can actually be a great investment and asset. Devoting a certain amount of the marketing budget into proper research projects can allow a company to tap into meaningful insights. These insights can then turn into new product opportunities or strategic decisions that boost the overall performance of the business. Firms can learn about customers and their needs to create greater customer loyalty. Or it can potentially attract a new target market and gain more market share. There are various new opportunities out there but the first starting point is the research.
Get started on your own research with the Glow Platform
The Glow Platform is an easy to use tool that allows you to create your own surveys, analyse data and share insights with your stakeholders. Conduct your very own research project today or access our Dynamic Reports to view pre-packaged insights over a variety of topics and categories.
Find out more here.