Market research is a critical component of any business strategy. It helps businesses understand their target audience, their needs and preferences, as well as the competitive landscape. In today’s rapidly changing business environment, it’s more important than ever to conduct market research that is strategic, insightful, and actionable.
In this blog, we’ll explore everything you need to know about tactical market research in 2023, including different types and approaches, and whether to conduct it internally or outsource it to an external party.
Types of Market Research
There are several types of market research, and each serves a different purpose. Here are some of the most common types:
This type of research involves gathering data directly from the target audience through surveys, focus groups, and interviews. Primary research provides valuable insights into the target audience’s preferences, behaviors, and attitudes.
Secondary research involves gathering data from existing sources, such as industry reports, government statistics, and news articles. Secondary research provides a broader understanding of the competitive landscape and industry trends.
This type of research involves collecting and analysing numerical data to identify trends and patterns. Quantitative research is often used to measure market share, customer satisfaction, and other metrics.
Qualitative research involves collecting and analysing non-numerical data to understand the target audience’s opinions, attitudes, and behaviors. Qualitative research is often used to identify customer needs and preferences.
Approaches to Market Research
There are two main approaches to conducting market research: internal and external.
Internal market research:
Internal market research is conducted by the business’s own employees or team members. This approach can be more cost-effective and allows the business to have greater control over the research process. However, it can also be limited by the team’s knowledge and experience, as well as potential biases.
External market research:
External market research is conducted by a third-party research firm or consultant. This approach can provide unbiased and objective insights, as well as access to specialized expertise and resources. However, it can also be more expensive and requires trust in the research firm’s capabilities and integrity.
Which Approach to Choose?
Choosing between internal and external market research depends on various factors, including the business’s goals, resources, and expertise. Here are some factors to consider:
If the business needs in-depth insights into the target audience or the competitive landscape, external market research may be the better option. If the business needs to measure customer satisfaction or other metrics, internal market research may suffice.
If the business has the resources to conduct market research internally, it can save money and maintain control over the research process. However, if the business lacks the necessary resources or expertise, external market research may be necessary.
If the business has in-house experts in market research, they may be able to conduct high-quality research internally. However, if the business lacks expertise in market research, external market research may be a better option.
Tactical market research is a critical component of any business strategy. By understanding the different types and approaches to market research, businesses can make informed decisions about how to conduct research that is strategic, insightful, and actionable.
Whether to conduct market research internally or outsource it to an external party depends on various factors, including the business’s goals, resources, and expertise. By carefully considering these factors, businesses can choose the approach that best meets their needs and helps them achieve their objectives.
In conclusion, tactical market research is a crucial aspect of any company’s growth strategy, as it provides valuable insights into market trends, competitor activity, and customer preferences. However, conducting thorough research requires significant time and resources, which can be a challenge for many companies. This is where blackbear comes in as the ideal solution, preferred by leading brands like Toyota, DHL, Mazda, and Samsung. Blackbear’s plug-and-play platform offers access to a diverse community of skilled professionals who can provide tailored market research services at a great cost with a fast and flexible turnaround. By outsourcing market research to the blackbear ecosystem, companies can make informed decisions, enhance their competitive edge, and achieve sustainable growth in their respective industries.