The Value Of Market Research In Business, Part 2
March 18, 2013 Leave a comment
Several weeks ago, I wrote “Part 1” of this blog. It’s a little misleading as I often times blog about the value of market research. However, this series of blogs are inspired by an article I read in January’s Quirk’s Marketing Research Review with the article Research as a profit center? It’s closer than you think, written by Kathryn Korostoff, president of Research Rockstar LLC, a Marlborough, Mass., provider of market research training.
Now in the article, Kathryn Korostoff talks about one path, Market research online communities (MROCs) as sales incubators. In that portion of the article, she writes about the fact that many MROCs are already blur the line between pure market research and sales. The example she references is a company that test the effectiveness of coupons, bundling and discount offers by testing them with their MROC. She continues on indicating that these MROCs could be claimed as revenue for the company.
In the past, I have had non-market research managers come to me and want to know that during a market research project if we could develop a perspective customer list. When this has come up, although I have been open to it, I do warn about making sure that the research stays research and the getting a list of interested perspective customers is the last issue we deal with and may not make it into the final draft.
One way I have done this is at the very end of a survey, I thank the respondent for their time and ask if they would be interested in continuing to learn more about the product or service if the organization sponsoring the research decides to continue on with the development of the product or service talked about in the survey. If they do, the have to “opt-in” by providing their address or email.
Sometimes I had a great response, other times, I did not. It typically depended on if he respondents were recent buyers of the product or service talked about in the survey or potential buyers.
Does market research contribute to the value of the company by increasing sales? Definitely. Can market research, such as market research online communities, have a direct correlation to increasing sales revenue? Yes it can, but be careful that your research does not just become a sales tactic.
–J. Nolfo helps companies understand their market and customers though a variety of market research strategies. He has over ten years of experience of market research for strategic planning purposes. He is the Director of Research at Rhino Market Research. He shares his thoughts about market research and business concepts with his blog “The Rhino Crash Blog…Understanding Market Research in Business“. If you would like to discuss this blog or how J. can help you understand your market and customer needs, email him at email@example.com.