Whenever new venture is opened or new product is launched successfully, market research acts as a backbone for it. Frankly speaking it is a helpful device to relate company capabilities with market opportunities and constraints. It gives detailed information of current and future market trends. In addition to that it helps company to serve its customers best way by knowing their pace of satisfaction with company’s products and services. Well done market analysis helps to know behavior of potential marketplace i.e. it requirements, likes, choices, demands for different types of products with varied features. A crucial information on consumer behavior helps to model marketing strategies and other business decisions. It encourages ventures to shape ideas to compete with rivals by means of better products that go well with targeted consumers and climbing profits.
In order to understand consumer behavior, one must collect data regarding present trade drifts, life style of target buyers, external conditions and opportunities, competitive strategies of rival companies to satisfy potential customers etc. All these data should be included in market research report. Customer’s buying behavior mainly depends on its needs of products and services. These needs are either developed by their life style, economic factors or may be generated by product itself. Understanding consumer buying behavior can be helpful in order to serve and gratify them properly, which in turn raises earnings of company. Market research study facilitates to identify potential marketplace for particular products in specific geographic location, for any group of consumer during definite time interval.
Besides knowing to market opportunities, research work also aids to find barriers in competing with strong players. Market analysis benefits company to curtail loss making strategies and deciding to continue with the same product or produce new ones. Perhaps it gives solutions to problems those could bump into effect with a drastic loss, and approve plentiful time to correct errors before new product launch.
While collecting data for study purpose, it is collected in two ways. Quantitative data gives figures whereas qualitative data provides cause and effect analysis. Figures are used to compare various data and decide which option is better than others. Qualitative data is gathered by analyzing vague data from various surveys, arranging well in structured form which clearly shows logic behind it. It gives an idea about behavior of consumers, their choices and preferences and reasons for it such as economic and socio-cultural effects. Using research data brand new strategies are developed by companies to enhance consumer base by attracting them towards company and its products. They can design products suitable to current needs of consumers, decide marketing strategies, earn better profits and accordingly improve consumer attitude towards company through brand image.
These are some of the benefits to resolve success and failure factors of companies and to better know consumer behavior. In that sense market research can be considered as a device to shoot problematic situation and expand earning vicinity.
Hemaji Dussal is the author of this article. He has been demonstrating his writing skills by writing the articles for reports from last two years. He also has a been interest in writing stuff for reports related topics. He has written various articles on reports .