Using-Market-Research-Data

Qualitative and quantitative data

• Market research data can be quantitative or qualitative

  • Quantitative data is based on numbers and could include:

    • Financial reports, such as sales or costs

    • Market data, such as markets share

    • Summaries of data gained from primary research (e.g. on a scale of 1-10 rate our customer service)

  • Qualitative data gathers descriptions or explanations based on conversations, discussions, impressions, and emotional feelings

    • It is usually gathered through primary research

Limitations of quantitative and qualitative Data

Choosing appropriate market research methods

• Businesses often use a combination of different market research methods to gain a comprehensive understanding of the market, consumers, and competition

Factors that influence the chosen method

The research objectives

• If a business wants to gather in-depth insights and understand consumer motives, qualitative methods like focus groups or in-depth interviews may be the most suitable

• If the business simply wants to measure market size, identify consumer preferences, or measure market trends, quantitative methods like surveys or data analysis may be more appropriate

The target audience

• The geographic location and how easy it is to communicate with the target market can influence the choice of research method

  • If the target audience is spread across a wide geographical area, online surveys or phone interviews may be more practical than in-person focus groups or face-to-face surveys

The level of detail required

• Qualitative methods like interviews provide detailed insights but are more time-consuming and expensive to carry out

• Quantitative methods like surveys can cover a larger sample size but may lack the depth of qualitative methods

The budget and costs involved

• Businesses with limited budgets may not be able to afford very detailed research

• Those requiring market research quickly or who have limited human resources to carry out research may only be able to access secondary market research

The nature of the product

• Testing a physical product may require in-person focus groups or product trials

• Researching a service or digital product may be better suited for online surveys or beta testing

The potential for bias

• Bias is an influence on a market research study, which means results are not a fair, true reflection of consumer opinion

• Some methods are more prone to bias than others, especially if they are carried out by inexperienced researchers