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Marketing research Definition

The planning, collection, and analysis of data relevant to marketing decision making, and the communication of the results of this analysis to management.

Market research is the process of gathering, analyzing and interpreting data about a target market, customers and competitors. It aims to understand consumer needs, preferences and behaviors, enabling businesses to make informed decisions regarding product development, marketing strategies and overall business direction.

Who relies on market research?          

Businesses, marketers, product managers, advertising agencies and decision makers across various industries rely on market research to guide product development, marketing strategies and customer engagement efforts. Investors, policymakers and business analysts also use market research to assess market opportunities and risks.

What are key aspects of market research?   

Key aspects of market research include:

• Data collection: Gathering quantitative and qualitative data through surveys, interviews, focus groups and secondary research.
• Consumer insights: Analyzing data to understand customer needs, preferences and behaviors.
• Market analysis: Evaluating market size, growth potential and competitive landscape.
• Segmentation: Identifying distinct customer groups within a market.
• Trend identification: Tracking changes in consumer attitudes and market dynamics.

Why is market research important?  

Market research is essential because it provides businesses with a factual basis for making strategic decisions. By understanding the market landscape and consumer needs, companies can reduce risks, identify growth opportunities, improve customer satisfaction and create targeted marketing strategies that drive business success.

How do researchers use market research?   

Researchers use market research to collect and analyze data that informs business decisions. They provide insights into consumer preferences, market trends and competitive positioning, which help businesses refine product offerings, develop effective marketing strategies and respond proactively to market changes.