Market Research
Secondary Reasearch
Primary Reasearch
Disadvatages
Advantages
It is up to date as it is conducted when required.
Can be tailored to meet the business’ requirements.
Can produce data that competitors cannot have access to.
Can be expensive.
Can be time consuming to carry out and interpret as results need to be processed.
Some methods (focus group) need specialist skills.
Questions can be biased which will lead to inaccurate results.
Advantages
It easily available and can be free or relatively inexpensive when compared to primary research.
A reliable source to get a market overview, e.g. The Office of National Statistics (ONS).
Disadvantages
May be out of date.
Not always reliable and accurate.
Some sources can be expensive to buy (market reports).
Data is available to everybody; competitors can have access as well
Market Research: The collection, analysis and interpretation of information relating to the marketing and consumption of goods and services.
Quantative Research: The collection of data that can be measured; statistical data such as sales figures or market share, e.g. how many consumers may prefer to pay for a full gym membership and how many prefer to ‘pay as you go’.
Market Orientation: An approach to business which places the needs of consumers at the centre of the decision-making process.
Product Orientation: An approach to business which places the emphasis upon the production process and the product itself.
Qualitative Research: The collection of data about attitudes, beliefs, opinions and intentions, e.g. why consumers might prefer exercising outdoors rather than joining a local gym
Use of Media in Market Research
Database: Many businesses use ‘loyalty cards’ (Tesco, Holland and Barret, Boots, etc.) usage of this cards help businesses to collect data about their customers in their databases. This can provide information about what particular products we buy as well as identify trends and changes in customers’ habits. Businesses can use this information to target their marketing activities.
Social Media: Ideal to create that bond between consumer and brand. It can help to provide a better understanding about what consumers really like about the brand and product range. These strong relations can lead to greater brand loyalty.
Websites: Good method to undertake market research, they may target everyone. But it is time consuming to set the programme and collect the data. Also there is no guarantee that the person you are targeting is the person answering the survey. It is also easy to ignore the ‘pop-up’ message when the user is visiting the webpage.