The Importance Of Market Research For Brands

The idea behind any market research is simple: The better you know and understand your customers, the better you’ll be able to serve them. However, many organizations ignore the role that nuanced market research plays in the success of the business. 

So here, let’s explore the reasons that should be enough to push an organization to invest and practice conducting regular market research. 

1. To create customer focus strategy:

In any industry, the customer is king. Customers expect brands to indulge in a two-way interaction with them. This way, customers are able to communicate their ideas and suggestions in a way that is openly accepted and implemented by the brand. The fact that brands engage in the extra effort of enquiring about customer needs, perceptions, ideas, and motivations makes the customer feel that the brands are interested in something more than just their own revenue. 

Gather feedback from customers on multiple channels using omnichannel survey software. This helps generate a loyal customer base, as customers feel respected and valued. 

There is no better way to understand your target customers to help build a seamless customer experience. The more easy it is for your customers to achieve their end objective the more likely they are to stick and promote your brand. 

Market research helps you design a customer-centric approach with its three-way strategy. 

• It allows you to segment the customers based on their shared characteristics, behavior, demographics, etc. 
• The segments help you tailor a more targeted approach so you can focus on delivering relevant experience to each segment. 
• Finally, the feedback helps you position a strategy to address your target market better than the competitors. 

2. To maintain a competitive edge :

The examples of Papa John’s in the USA and Dunkin Donuts in India must be enough to understand the whereabouts of your local or high-level market. Brands need to keep an eye out for competitors who are willing to snatch market share by stepping up their business practices to make themselves more appealing and viable for the customer. 

The idea behind a competitive analysis is to highlight the methods and best practices as the industry benchmark and adapt accordingly to prevent losing customers. Moreover, there is no shortage of competition in today’s markets.

Each of these brands has its own USP to attract customers from relevant target groups. Brands need to strike a balance between the values that they offer to their customers in order to offer a comprehensive customer experience based purely on thorough market research.

3. To identify growth opportunities: 

Market research helps brands in more ways than just evaluating new products or assessing customer satisfaction. When conducted periodically, it can help you discover new growth opportunities and widen your business scope. 

Gathering customer feedback may help you uncover unexplored markets or unreached customers. It can help identify potential customers who just don’t know about your products and services yet. This insight can help you modify your marketing approach to show this new customer base how they can benefit from your brand. 

Through market research, you can also identify the shortcomings in your products or services. With user-reported feedback, you can discover opportunities to improve the product or upsell/cross-sell it based on customer’s preferences.