Market Research

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Market Research Market research is carried out by a business before they launch a product, to find out what the target market wants and what they could do to increase the appeal of their product. It involves thoroughly gathering, recording and analysing data and can often take a large amount of time. A wide variety of market research techniques are used to find out what customers want. Depending on the product, customers are asked questions like: Where are they? Can we satisfy them? How can we improve our product for them? There are two types of market research. The first, Field or Primary Research, is the process of gathering new information about the market. The term ‘field’ comes about because, in order to collect the data, you must go into the field of the market, for example house-to-house surveys or street questionnaires. It is particularly useful for finding out new information about the market, getting potential customers’ views of your product, and also the research can be specifically tailored so that you can find out exactly the information you need. The second type of research is Desk or Secondary Research. It involves using existing sources of information or data that has been gathered previously. It is information which is already available both inside and outside the business. When using secondary research, a company can study its own sales figures to examine possible trends in the market, or even analyse product requests from potential or existing customers. An organisation can also investigate their competitor’s products to aid them in designing more improved products at their own price which would generat... ... middle of paper ... ... There advantages and disadvantages to both types of market research. Primary research provides data that is up to date, relevant and specific to your products. You can also adapt it as to who you obtain the information from in terms of where they live etc. Disadvantages are that it is expensive to collect and highly time consuming. Also, to be entirely accurate a large sample of people is needed. Advantages of secondary research are that it is much cheaper than primary research, as it has already been carried out. As the data already exists, it is also quicker and easier to obtain. Past research can also be used to predict the future in the market. Disadvantages are that it is not always relevant to your needs and may also be out of date or incorrect. It may also be not specifically related to your products.
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