Importance of marketing research for New Business
Whenever we plan to buy something, we inquire about it, get feedback from friends, read reviews on Google, and then buy it after thorough research.
Now think about how much research we need to start a business. In fact, it is important for the business of manufacturing products or services to take care of the needs and preferences of the customers, otherwise you will not be able to sustain your business.
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Marketing research is done by the marketing department to know the needs and preferences of the customers, which is very important for the company.
There are different stages of marketing research, which are mentioned below.
It is important to know why we are doing research. What are the problems in the market, which is why we need information? For example, if we have Rs 2.5 million, can we bring a new product to the market or not? How many customers will like our product? What information do we need to know about this? If all these things are not found out then millions of rupees can be lost.
Selection of Specific Individuals
With limited resources it is impossible to communicate with everyone, so a few specific people are selected to obtain information. These people represent the people.
These specific individuals can be selected in a variety of ways. Sometimes people with similar characteristics are grouped together, then one of them is selected. Sometimes a quota is set for all types of people, such as thousands of men between the ages of 20 and 30, or thousands of men between the ages of 50 and 60, and so on.
How much time we can spend answering the above questions, how much money we can spend on it, and what resources we can use, all need to be determined. There are two ways to do this:
- Primary data
- Secondary data
The researcher gets the initial data from his own hard work. This type of research uses survey reports, observations and interviews, etc., while secondary data is information that has already been collected. The researcher makes minor changes to the secondary data and uses it for his current problems.
This information is usually available on commercial magazines, libraries, censuses, electronic databases, scheduled interviews, information programs, and other companies’ websites.
Secondary data is used first when collecting information as it is easily and cheaply available. Then the primary data is used. The following steps need to be taken for initial data.
The questionnaire prepares a list of questions, which are asked when collecting information from the sample, i.e. specific representatives of the people. These questions are of two types:
Close Ended: Questions that are answered in just one word. For example, the answer to how you like our products might be “good” or “bad.”
Open-Ended: Questions whose answers consist of short sentences. For example, why our products are not purchased, the answer depends on the short sentences and the will of the respondent.
Conduct Interview by psychologists and statisticians. Statisticians can provide accurate guidance on the census, while psychologists can accurately analyze consumer behavior.
Information is collected by conducting various surveys through questionnaires. Sometimes questions are asked directly from people, sometimes a questionnaire is sent by e-mail and sometimes questions are asked by telephone.
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In addition to surveys, information can also be gathered through observations. There are two things to keep in mind when gathering information. The information is complete, accurate, and relevant to the issues.
Summarize the collected information. Separate titles for each type of data and remove unnecessary data.
Report all information. Make the report in simple language and finally hand it over to the marketing department.
Review of results
Marketing officers use the information to review product quality, price, and marketing policy. The researcher should keep in mind whether this information is correct or not.
Also, it should be seen whether the problems have been solved due to this information or not. Anyone can start their own business or strengthen their existing business by getting complete information about consumers and the market and going through all these steps.