Engage Targets With Market Research

1. Engage Targets With Market Research ENGAGE TARGETS WITH MARKET RESEARCH HOW-TO GUIDE

2. 2 Engage Targets with Market Research How-to Guide This report has been designed to provide practical advice for gaining insight from market research initiatives. Read this brief report to learn: Read this report to learn how to leverage your information assets to support decision-making, identify connections between actions and outcomes, and listen to your customers. HOW-TO GUIDE Market Research Defined Benefits of Market Research Primary vs. Secondary Research Common Market Research Projects Market Research Tools & Best Practices Engage Targets with Market Research Market research is the process of systematically gathering, recording, and analyzing data regarding customers, competitors, and market conditions, to help organizations make better business deci- sions about the development and marketing of new or existing products and services. Market research is the process of systematically gathering, recording, and analyzing data regarding customers, competitors, and market conditions, to help organizations make better business deci- sions about the development and marketing of new or existing products and services. Market Research Defined Benefits of Market Research Drive Customer-Centricity - use our Customer-Centricity Checklist to learn 12 proven strategies. Identify Market Opportunities - read our report: Market Segmentation, Targeting, & Positioning, to learn how to identify new opportunities. ReduceTime-to-Market-leveragingthe“voice-of-the-customer”streamlinestheproductdevelop- ment, testing, and marketing processes, increasing velocity. 2 Engage Targets with Market Research How-to Guide This report has been designed to provide practical advice for gaining insight from market research initiatives. Read this brief report to learn: Read this report to learn how to leverage your information assets to support decision-making, identify connections between actions and outcomes, and listen to your customers. HOW-TO GUIDE Market Research Defined Benefits of Market Research Primary vs. Secondary Research Common Market Research Projects Market Research Tools & Best Practices Engage Targets with Market Research Market research is the process of systematically gathering, recording, and analyzing data regarding customers, competitors, and market conditions, to help organizations make better business deci- sions about the development and marketing of new or existing products and services. Market research is the process of systematically gathering, recording, and analyzing data regarding customers, competitors, and market conditions, to help organizations make better business deci- sions about the development and marketing of new or existing products and services. Market Research Defined Benefits of Market Research Drive Customer-Centricity - use our Customer-Centricity Checklist to learn 12 proven strategies. Identify Market Opportunities - read our report: Market Segmentation, Targeting, & Positioning, to learn how to identify new opportunities. ReduceTime-to-Market-leveragingthe“voice-of-the-customer”streamlinestheproductdevelop- ment, testing, and marketing processes, increasing velocity.

3. 3 Engage Targets with Market Research How-to Guide Monitor Competitive Advantages - regular competitive analysis ensures that your organization will not lose or fail to communicate key advantages. Provide Decision-Making Insights - making decisions without adequate market intelligence can be disastrous. Base your decisions on facts, not gut instinct. Better Allocation of Resources - by analyzing which products, programs, channels, and markets are most lucrative, organizations can focus their precious resources on profitable activities. Increase Profitability & Growth - having a solid understanding of market needs is critical for meeting and exceeding customer expectations, and leads to customer retention, increased profitability, and growth. Market Sizing & Segmentation - how large is our target market? How should we segment our market? What are our customer profiles? Use our Market Segmentation Tool to analyze market sizing, market segments and customer profiles Competitive Analysis - who are our direct/indirect competitors? What products/services are eroding our market share? What messages are competitors sending? Who is growing quickly and needs to be watched? Product Positioning - how much price power do we have? Where do customers position us? What is our price elasticity of demand? Product Penetration - what is our market share? Are we gaining or losing share of wallet? What geographies are not penetrated? There are two categories of market research: primary research and secondary research. Primary research involves the collection of data that does not currently exist or is unavailable to an organ- ization. Secondary research involves the collection, analysis, and summarization of existing data derived from third-party research firms or other sources. Many organizations do not have the resources in-house to conduct effective primary research campaigns, and glean insights from full-service research firms such as Gartner, Inc., IDC, Forrester, Harris Interactive, AC Nielsen, Datamonitor, Dun and Bradstreet, Millward Brown, NPD Group, or TNS. Following are a list of common market research projects designed to test or validate assumptions made by the business: Primary vs. Secondary Research Common Market Research Projects 3 Engage Targets with Market Research How-to Guide Monitor Competitive Advantages - regular competitive analysis ensures that your organization will not lose or fail to communicate key advantages. Provide Decision-Making Insights - making decisions without adequate market intelligence can be disastrous. Base your decisions on facts, not gut instinct. Better Allocation of Resources - by analyzing which products, programs, channels, and markets are most lucrative, organizations can focus their precious resources on profitable activities. Increase Profitability & Growth - having a solid understanding of market needs is critical for meeting and exceeding customer expectations, and leads to customer retention, increased profitability, and growth. Market Sizing & Segmentation - how large is our target market? How should we segment our market? What are our customer profiles? Use our Market Segmentation Tool to analyze market sizing, market segments and customer profiles Competitive Analysis - who are our direct/indirect competitors? What products/services are eroding our market share? What messages are competitors sending? Who is growing quickly and needs to be watched? Product Positioning - how much price power do we have? Where do customers position us? What is our price elasticity of demand? Product Penetration - what is our market share? Are we gaining or losing share of wallet? What geographies are not penetrated? There are two categories of market research: primary research and secondary research. Primary research involves the collection of data that does not currently exist or is unavailable to an organ- ization. Secondary research involves the collection, analysis, and summarization of existing data derived from third-party research firms or other sources. Many organizations do not have the resources in-house to conduct effective primary research campaigns, and glean insights from full-service research firms such as Gartner, Inc., IDC, Forrester, Harris Interactive, AC Nielsen, Datamonitor, Dun and Bradstreet, Millward Brown, NPD Group, or TNS. Following are a list of common market research projects designed to test or validate assumptions made by the business: Primary vs. Secondary Research Common Market Research Projects

4. 4 Engage Targets with Market Research How-to Guide Brand Awareness & Preferences - what brand attributes are most important? How aware is our market of our brand? Consumer Behavior - how do our customers use our products? What products are usually purchased together? How does placement affect sales? Customer Analysis - how many customers do we have? What customers are most profitable? What is our customer lifetime value? Customer Satisfaction - what is our retention rate? How does customer satisfaction affect profit- ability? Are we getting referrals? Demand Forecasting - what were our previous sales by product line? What staffing will we need to deliver on sales? What is our sales forecast? Distribution Channels - which channels are not producing results? How can we increase promo- tion of our products? Decision-Making Process - how do our customers prefer to buy? What are the top buying criteria? Is our sales process aligned? Marketing Effectiveness - how effective was our last campaign? Where do the majority of our leads come from? What is the ROI from marketing? 4 Engage Targets with Market Research How-to Guide Brand Awareness & Preferences - what brand attributes are most important? How aware is our market of our brand? Consumer Behavior - how do our customers use our products? What products are usually purchased together? How does placement affect sales? Customer Analysis - how many customers do we have? What customers are most profitable? What is our customer lifetime value? Customer Satisfaction - what is our retention rate? How does customer satisfaction affect profit- ability? Are we getting referrals? Demand Forecasting - what were our previous sales by product line? What staffing will we need to deliver on sales? What is our sales forecast? Distribution Channels - which channels are not producing results? How can we increase promo- tion of our products? Decision-Making Process - how do our customers prefer to buy? What are the top buying criteria? Is our sales process aligned? Marketing Effectiveness - how effective was our last campaign? Where do the majority of our leads come from? What is the ROI from marketing?

5. 5 Engage Targets with Market Research How-to Guide Action Plan STEP 1 - Responsibilities 3 Objectives 1 Responsibilities 7 Resources 8 Method 9 Analyze 10 Report 6 Requirements 4 Timelines 2 Identify 5 Select Use our Marketing Analyst Job Description to define key responsibilities and set the direction for this function. Define Responsibilities Marketing Analyst Job Description V I E W R E S O U R C E 5 Engage Targets with Market Research How-to Guide Action Plan STEP 1 - Responsibilities 3 Objectives 1 Responsibilities 7 Resources 8 Method 9 Analyze 10 Report 6 Requirements 4 Timelines 2 Identify 5 Select Use our Marketing Analyst Job Description to define key responsibilities and set the direction for this function. Define Responsibilities Marketing Analyst Job Description V I E W R E S O U R C E

6. 6 Engage Targets with Market Research How-to Guide Action Plan STEP 2 - Identify 3 1 7 8 9 10 6 4 2 5 A clear statement of the problem is the key to effective market research. Examples of common research problem questions are: What competitive advantages do we have? Who is our target market? What makes them unique? Where do our prospects position us in the market? What is our market share? Is it being eroded? How likely are customers to refer us business? Which sales channels are most effective? How can we improve our sales process? What new products should we develop? How effective are our marketing campaigns? What is the optimal price for our products? Identify the Problem Objectives Responsibilities Resources Method Analyze Report Requirements Timelines Identify Select 6 Engage Targets with Market Research How-to Guide Action Plan STEP 2 - Identify 3 1 7 8 9 10 6 4 2 5 A clear statement of the problem is the key to effective market research. Examples of common research problem questions are: What competitive advantages do we have? Who is our target market? What makes them unique? Where do our prospects position us in the market? What is our market share? Is it being eroded? How likely are customers to refer us business? Which sales channels are most effective? How can we improve our sales process? What new products should we develop? How effective are our marketing campaigns? What is the optimal price for our products? Identify the Problem Objectives Responsibilities Resources Method Analyze Report Requirements Timelines Identify Select

7. 7 Engage Targets with Market Research How-to Guide Action Plan STEP 3 - Objectives 3 1 7 8 9 10 6 4 2 5 Set objectives that once achieved provide the information required to solve the problem. Generally, your objective is to validate a working hypothesis. For example, your objective may be to test a cause-effect relationship such as: if we reduce our price, what will the impact be on sales volume and profitability? Establish Research Objectives Objectives Responsibilities Resources Method Analyze Report Requirements Timelines Identify Select 7 Engage Targets with Market Research How-to Guide Action Plan STEP 3 - Objectives 3 1 7 8 9 10 6 4 2 5 Set objectives that once achieved provide the information required to solve the problem. Generally, your objective is to validate a working hypothesis. For example, your objective may be to test a cause-effect relationship such as: if we reduce our price, what will the impact be on sales volume and profitability? Establish Research Objectives Objectives Responsibilities Resources Method Analyze Report Requirements Timelines Identify Select

8. 8 Engage Targets with Market Research How-to Guide Action Plan STEP 4 - Timelines 3 1 7 8 9 10 6 4 2 5 Based on your problem and objectives, develop a project charter to schedule resources and set timelines for execution. Set Research Project Timelines Project Charter Template V I E W R E S O U R C E Objectives Responsibilities Resources Method Analyze Report Requirements Timelines Identify Select 8 Engage Targets with Market Research How-to Guide Action Plan STEP 4 - Timelines 3 1 7 8 9 10 6 4 2 5 Based on your problem and objectives, develop a project charter to schedule resources and set timelines for execution. Set Research Project Timelines Project Charter Template V I E W R E S O U R C E Objectives Responsibilities Resources Method Analyze Report Requirements Timelines Identify Select

9. 9 Engage Targets with Market Research How-to Guide Action Plan STEP 5 - Select 3 1 7 8 9 10 6 4 2 5 There are three main types of research design: exploratory, descriptive, and causal. Exploratory research involves collecting information in an unstructured and informal way, such as reviewing competitors. websites to gain further understanding of their offerings. Descriptive research refers to methods that analyze marketing variables like consumer attitudes, behaviors, and intentions. Customer satisfaction and brand perception surveys are examples of descriptive studies. Causal research is conducted by controlling various factors to identify cause-effect relationships that affect the problem. Testing the effect of marketing campaigns on sales in a specific geographic region is an example of causal research. Select Research Design Objectives Responsibilities Resources Method Analyze Report Requirements Timelines Identify Select 9 Engage Targets with Market Research How-to Guide Action Plan STEP 5 - Select 3 1 7 8 9 10 6 4 2 5 There are three main types of research design: exploratory, descriptive, and causal. Exploratory research involves collecting information in an unstructured and informal way, such as reviewing competitors. websites to gain further understanding of their offerings. Descriptive research refers to methods that analyze marketing variables like consumer attitudes, behaviors, and intentions. Customer satisfaction and brand perception surveys are examples of descriptive studies. Causal research is conducted by controlling various factors to identify cause-effect relationships that affect the problem. Testing the effect of marketing campaigns on sales in a specific geographic region is an example of causal research. Select Research Design Objectives Responsibilities Resources Method Analyze Report Requirements Timelines Identify Select

10. . 10 Engage Targets with Market Research How-to Guide Action Plan STEP 6 - Requirements 3 1 7 8 9 10 6 4 2 5 Determine what information you will need to solve the research problem and estimate the cost of gathering that data. Primary research data is typically more expensive and time-consuming than secondary research data, but provides much more accurate insight. Depending on your timelines, budgets, and resources, decide if purchasing an industry benchmarking report from an analyst firm will provide a better cost/benefit than conducting primary research for your project. Determine Data Requirements Objectives Responsibilities Resources Method Analyze Report Requirements Timelines Identify Select

11. . 11 Engage Targets with Market Research How-to Guide Action Plan STEP 7 - Resources 3 1 7 8 9 10 6 4 2 5 Following are some market research reports, tools, and templates that you can download and quickly customize to suit your specific needs: Advertisement Evaluation Matrix Business Requirements Template Brand Perception Survey Competitive Ad vs. PR Analysis Tool Competitive Analysis Tool Competitive Product Positioning Map Competitive Website Analysis Tool Customer Profile Template Customer Satisfaction Survey Market Requirements Document Market Research Report Template Marketing Analyst Job Description Market Segmentation, Targeting, & Positioning Market Segmentation Tool Practical Product Management Tools Report Product Development Charter Product Development Schedule Product Feature Priority Tool Product Feature Request Form Product Launch Checklist Product Positioning Tool Download Tools & Templates Objectives Responsibilities Resources Method Analyze Report Requirements Timelines Identify Select

12. . 12 Engage Targets with Market Research How-to Guide Action Plan STEP 8 - Method 3 1 7 8 9 10 6 4 2 5 There are two methods for gathering information: observation or asking questions. The most common, and cost-effective tool is the questionnaire or survey. Structured surveys are quantitative and list close-end questions, such as multiple-choice, yes/no, or scale rankings. Unstructured surveys gather qualitative data and allow respondents to answer in their own words. Depending on your research objectives and problem, either type of survey can be effective. Some organizations find that mixing these types provides both measureable results and real- world insights that can be missed by setting specific questions. If you require primary research data, consider each of the following research methods: Choose a Research Method Objectives Responsibilities Resources Method Analyze Report Requirements Timelines Identify Select

13. . 13 Engage Targets with Market Research How-to Guide Action Plan STEP 9 - Analyze 3 1 7 8 9 10 6 4 2 5 Once you have selected your research method, built your data- collection tool, and performed the study, gather all the data together to glean insights. The first step is the ensure data quality and accuracy; verify that raw data was correctly entered into the data-collection form and that there are no respondents who are looking to skew results. Next, aggregate the data to determine averages, slice-and- dice by demographics, and do other statistical analysis. Ensure that there is a large enough sample size to provide a real statistical representation and determine the margin of error. For a survey of 100 people, expect a margin of error of +/- 10%. For a sample size of 600, expect +/- 4%. Collect & Analyze Data Objectives Responsibilities Resources Method Analyze Report Requirements Timelines Identify Select

14. . 14 Engage Targets with Market Research How-to Guide Action Plan STEP 10 - Report 3 1 7 8 9 10 6 4 2 5 Based on your findings, create a report summarizing the research problem, objectives, research design & methods, information sources, and results. Focus on providing a high-level overview rather than getting into the low-level findings. Assess the implications of your results on business opportunities and risks, and make recommendations for improving business operations. Send your Market Research Report to the relevant stakeholders, and invite them to meet to discuss further. Report to Senior Management Market Research Report V I E W R E S O U R C E Objectives Responsibilities Resources Method Analyze Report Requirements Timelines Identify Select

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