Market Research Fundamentals

What is Market Research?

• Market research is the process of gathering, analyzing, and interpreting data about a market to understand the needs, preferences, and opinions of target customers.
• It helps make informed decisions by validating ideas and providing a better understanding of users or the market.

Importance of Market Research

• Understand user needs and pain points
• Determine the market size
• Gain a competitive edge
• Increase the scope for innovation and accuracy

Purpose of Market Research in Different Product Development Stages

• Establishing needs at the pre-birth stage of a product
• Stimulating product take-up at the youth stage of a product
• Improving product performance at the maturity stage of a product
• Determining the future at the old age stage of a product

Types of Market Research

• Primary research: engages end consumers to validate hypotheses, using qualitative (non-numerical) or quantitative (numerical/statistical) data
• Primary research methods:
  • Focus groups: small groups of people (6-10), collects complex information
  • One-to-one interviews: personal interaction, mostly open-ended questions
• Quantitative market research: uses online surveys, questionnaires, and polls to gain statistical insights
• Quantitative research methods:
  • Surveys: close-ended questions, usually includes options, best for a large audience
  • Polls: measures the success of a product or feature, carried out at various stages

Types of Information

• Exploratory research: open-ended, explores a problem by asking open-ended questions in a detailed interview format
  • Examples of open-ended questions:
    • Do you shop for clothes yourself?
    • How do you shop for clothes today? How often?
    • What do you like best about the method?
    • What is the hardest part of this method?
    • What influences your purchase decisions
• Specific research: pinpointed, solves problems identified by exploratory research
• Secondary market research: uses information from outside sources like government agencies, media, and publications

Steps in Market Research

• Define objective
• Define sample
• Collect data
• Analyze results
• Research report

Methods of Market Research

• Competitive analysis: analyzes information about primary and secondary rivals in the market to determine their offerings, profits, and marketing strategies
• Measuring the success of product research:
  • Do you understand the major triggers and pain points of your customer?
  • Have you analyzed your products in comparison to competitors and identified gaps?
  • Have you converted your research into data points and findings?
  • Have you used the research report to introduce modifications in your product roadmap or created a new one from scratch?
  • Did this research give you a good idea of what the customers want from the product?
  • Do you understand which initiative you need to prioritize?

Learn about the process of market research, its importance, and how it helps in making informed decisions. Explore the benefits of market research, including understanding user needs, determining market size, and gaining a competitive edge.