Comprehensive Guide to Marketing Research: Purpose, Benefits & Key Insights
Marketing research is the function that links the consumer, customer, and public to the marketer through information – information used to identify and define marketing opportunities and problems; generate, refine, and evaluate marketing actions; monitor marketing performance; and improve understanding of marketing as a process. Marketing research specifies the information required to address these issues, designs the method for collecting information, manages and implements the data collection process, analyzes the results, and communicates the findings and their implications.
Purpose of Marketing Research
Support Marketing Decision-Making
- Collect, analyze, and interpret information to identify and solve marketing problems.
- Reduce uncertainty in marketing decisions through relevant data.
Generate Consumer Insights
- Understand consumer behavior and preferences.
- Link consumers, customers, and the public to marketers through information.
Identify and Define Marketing Opportunities
- Spot marketing opportunities and challenges.
- Refine and evaluate marketing actions.
Monitor Marketing Performance
- Track the success of marketing strategies.
- Reflect on past successes and failures.
Improve Understanding of Marketing Processes
- Enhance knowledge of how marketing functions.
- Test variables shaping consumer experiences.
Understand Market and Customer Dynamics
- Describe the nature and scope of customer groups.
- Analyze forces shaping customer behavior.
- Assess the marketer’s ability to satisfy target customer groups.
Provide Systematic and Objective Information
- Assess information needs systematically.
- Deliver accurate, impartial data for better decision-making.
Application of Statistical Methods
- Use statistical and analytical techniques to gather insights.
- Support decision-making with applied scientific methods.
Fundamental Purpose
- Understand consumers and factors influencing their behavior.
- Enable marketers to make informed and effective decisions.
The purpose of marketing research is to support marketing decision-making by collecting, analyzing, and interpreting information to identify and solve marketing problems. It aims to generate insights about consumers, linking them to marketers through relevant information. This information helps in identifying and defining marketing opportunities and problems, generating, refining, and evaluating marketing actions, monitoring performance, and improving understanding of marketing as a process.
Marketing research assists managers in understanding various market aspects and customer behaviors. It describes the nature and scope of customer groups, the forces shaping these groups, and the marketer’s ability to satisfy them. Additionally, it tests variables that influence consumer experiences and reflects on past marketing successes and failures.
By assessing information needs systematically and objectively, marketing research reduces uncertainty in decision-making. It provides accurate information about marketing variables, the environment, and consumers. According to ESOMAR, it involves systematic gathering and interpretation of data using statistical methods to support decision-making.
Overall, whether referred to as 'marketing research', 'market research', or 'consumer insight', its fundamental purpose revolves around understanding consumer behavior and influencing factors. This enables marketers to make informed decisions that enhance business effectiveness and customer satisfaction.
