Researching the Target Market and Competition

A strong market research process can help you to learn about your audience, understand their needs and position your products and services to serve them better. With these insights, you can improve your marketing strategies and rise above your competitors who do not understand the market or target audience.

What is Market Research?Market research involves gathering the information about your industry, customers, and competitors so that you can make informed decisions. Small business owners use the data they collect when they create a business market plan. Bigger companies may engage a mobile app developer’s research firm in New York so as to collect customer and industry information when introducing a new product for instance. Market research is considered as an essential component when you conduct a market analysis. It can be useful when starting a new business, creating the buyer personas, gauging customer satisfaction or evaluating the competitive forces in an industry. There are four types of market research –

. Primary Research – Primary market research is also known as first party data. This is a data you collect about your customers, potential customers or business on your own. This data is gathered via online surveys or customer interviews. This data is own and manage at your end.

 Secondary Research – Secondary market research refers to the existing data you can use so as to inform your research. This may include the data from second and third party sources.

. Qualitative Research – Qualitative research refers to the collection of data with no measurable quantity. This data is descriptive and focuses on understanding the behaviour, motivations and other human qualities. When you research for the buyer attitudes, you are conducting the qualitative research.

. Quantitative Research – Quantitative research on the other hand, is concerned with collecting the numbers for statistical analysis. Data such as industry sales, US census figures and even number of the social media followers or website visitors are considered ad quantitative.

How to Do Market Research?

During the market research process, marketers need to collect data and analyze their audience and target audience. The following steps in the marketing research will help you to fully understand your audiences and their needs –

. Identify the purpose 

The first step in how to do the market research is articulating what you want to find out. This purpose may be to understand the issues, problems and concerns of your target audience. It may be to support the creation of buyer personas or it could be to measure the attitude toward a product or changing forces in a market.

. Plan your research methods 

Once you have concrete the question you want to address, the next step is to choose your method of conducting the research and analysis. Data collection is one of the most important part of the market research.

 Conducting your market research 

If you have never done the market research before, then you need to keep an open mind to find what works best for your unique market and discovery goals. In order to conduct your market research you need to stand out with the options below –

. Send out surveys so as to understand the customer sentiment

. See what website visitors are doing on your business site

. Learn about your website demographics

. See your audience’s interests

. Run experiment and A/B tests to analyze customer behaviour

. Research top competitor search terms

Conduct market analysis

Before you can use your market research, you need to analyze it first. This is where you can put the data you collected into a format that is useful for decision making. This type of analysis you will conduct depends on the information you collect. If you are studying buyer attitudes, for example qualitative data analysis techniques will be necessary.

Take action

The final step in conducting the market research is taking the action based on what you learn. You need to consider trends in data and identify the customer habits and desires to find ways to adjust your offerings and market positioning. For example, consider the research about millennials. 

Information about your target audience, competitors and industry will help you to get know about the market and identify trends that will help you to shape your marketing tactics and brand positioning.