Market Research helps leaders understand the context of the overall market, so they can predict trends with greater accuracy.
Also known as inferential statistics or advanced analytics, Market Research is a step beyond the basic data collection done in rudimentary market research. Market Research pursues insights that cannot be discerned from initially viewing the data, using methods such as linkage analysis, correlation analysis, conjoint analysis, maxdiff, factor and principle component analysis, structural equation modeling, cluster analysis, and nonlinear regression. It goes beyond just explaining the conditions of the data set, and seeks to predict and draw conclusions based on the present data. This data is ultimately used to understand consumer purchasing preferences.
To clarify, market research, including advanced market research, involves industry-wide data. Marketing research, on the other hand, relates to data relevant to only one company and its customers. Data mining and predictive analytics fall under the advanced market research umbrella.
Why Use Market Research?
In the same way that supply chains can be optimized by analyzing inventory and distribution capacity, companies’ CX efforts and overall profit can be optimized using market research.
Market Research is beneficial to customer experience (CX) programs primarily because it helps leaders understand the context of the overall market, so they can predict trends with greater accuracy. Using these insights, companies can optimize the customer experience, which will in turn increase company profits. Variations in market research and its effects depend on the industry and the focus of the marketing campaign.
Market research can help companies identify consumer opinion of brands, products, and ideas. This information provides a check on what the company is producing, allowing for targeted changes when necessary to increase revenue and profits. By knowing how customers think, companies can make key business decisions that will best protect the company’s interests and produce the most profit, both long term and short term.
Linkage Analysis: Quantifying the Value of Customer Experience
How linkage analysis can help you establish a business case for managing and improving your customers’ experiences by moving beyond just surveys to prove the value of your technology and CX investments.
How Can Market Research Benefit You?
At InMoment, we believe companies should be able to make decisions quickly and anticipate CX trends. We believe that in order to do that, they need to harness the latest academic and mathematical research methods in order to stay ahead of the competition. That’s why we’ve hired doctorate level researchers, scientists, mathematicians, statisticians, and other leading academics from around the world to help. With them, accurately measure the impact of every CX action, process unstructured data from all channels and even predict how customers or potential customers will respond to products, prices, and services. Data will transform before your eyes into actionable info. Welcome to Market Research and Analytics. InMoment style.