Why Is Market Research Important For Your Business

By Irina Kesova

Did a favorite item of yours suddenly disappear from the store? Have you ever wondered about how many new products are on shelves every month? In depth market research is done when the decisions to discontinue a product or introduce a new product is done. This type of research also is used for packaging design, product placement on store shelves, and just about every detail of selling in a retail environment.

Market research can be used in other areas and not just the retail environment. You might want to expand your business and provide other types of services, you will first need to find out if there is a market and you will need to locate potential customers. Good market research will provide you with what customers prefer, like the type of cleaning service they need or the program that the accountants use.

Sometimes, market research can be done by conducting interviews of the clients and customers. It’s usually just putting together information by researching the purchasing patterns. When one product does not sell as much as before, this may mean it is time for a marketing and packaging change. If the product sales do not increase, the product may be discontinued.

Along with sales information about a certain products sales in the area; is the idea that maybe the product sales dropped because of a shift of the population? Are there stores that now compete with yours in an area? This type of market research will gather all the information to that an accurate picture is painted which will show the product’s success or failure.

This type of market research can work for anyone running a retail store. Of course you want to stock your store shelves with products that people want to buy. Personal preference should never be the only basis of putting products in the store.

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How does market research assist your business? This research will help you to decide the types of products and services you can and should offer and what is in demand now. It can also help you to see what products and services are somewhat obsolete and no longer in demand.

This kind of research will not specifically tell you what to do with your business but it will help in decision making. For example, if you want to open that cleaning business, good market research may tell you that many homes today have hardwood flooring rather than carpeting. This only goes to show that you should fully understand how to clean up floors properly so you will have a successful business. Research done in one area will help you with decisions that will make your business successful.

Which Companies Should Utilise Quantitative Market Research?

The term quantitative market research is referring to research that is made with a large group of people or a generalized group, rather than focusing on a small group. For a number of companies, this kind of research can be priceless; a larger group can mean a broad variety of opinions and participation from that group.

Not all company may or could utilize quantitative market research. One example is that if you’re planning to open a small store in a strip mall in your area, general research about buying habits for that kind of store can help extremely. On the other hand, more detailed research concerning that particular neighborhood and other stores like that in the area can even have greater advantage. Those people who live next to the store shop and are making their purchasing decisions are more imperative to that business than any other information.

Therefore, what kind of businesses that can apply quantitative market research? Will your business or company benefits from this research? And were there times that you needed both quantitative and qualitative research completed?

Very often larger stores and businesses need to have quantitative market research because they appeal to a larger range of customers or clients. For instance, chain stores may need to know overall purchasing patterns from their customer base since they will have stores in many different areas of the company. Suppliers of wholesale items may need this type of research since their customers will also be more widespread.

Those that have online businesses should also require a larger range of research since their customers may also be more far reaching. For those online businesses, quantitative market research is very much helpful when it comes to products that are selling across the board as well as with the process of purchasing like checkout and payment choices.

Any trade with a national presence in opposition to a local business will need quantitative market research. Learning general trends will greatly help a business owner to create decisions which will be beneficial for the company in general. Changes can be done to local stores or businesses as needed however, this general or overall look at market trends will surely help with the major decisions to be made.

Routinely, quantitative market research is a bit broad and far-reaching that is why it is important to understand how to use it effectively. This research may tell you the general purchasing patterns and marketing trends so, you would have to make sure that you’re applying that research correctly. Is it important to upgrade your machinery and equipment so that you’re giving your customers the products and services they need? Are you trying to get rid of products which are very dawdling or those that don’t really have a large adequate of profit margin on a national level?

Studying market trends will mean understanding future trading habits as well. If one product or service is losing customers then you should know that it is improbable for those customers to return. You can make use of this quantitative market research to help you right away in making decisions which are meant to benefit you in the future.

About the Author: Internet Marketer and Online Entrepreneur

The Way To Make Money Is By Learning To Promote

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