The Top 5 Challenges in the Market Research Industry
Evolving Landscape of Market Research
With evolving change in the economy, technologies are also evolving, and its advancements are making new inroads of development to create a market niche. Every industry is on a continuous innovation path, which is why the increasing importance of market research professionals are felt. Innovation leads to differentiation and differentiation consequently helps create a unique selling proposition – which is an integral component of any company’s DNA. However, there are certain set of challenges that market research professionals face, identifying which at the right stage will help resolve the challenge and provide definitive solutions.
Why is Market Research conducted?
When you need to gather information/ data pertaining to a certain set of target audience, market research is the key. Inputs gathered from market research clearly helps a company to strategize and also plays a key role in decision-making. The two main components of market research include primary research and secondary research, and thereafter the raw data is analysed into meaningful information to derive insights.
5 Key Market Research Challenges:
1. Data Explosion: In today’s data driven world, there is a data clutter and everyday it is becoming all the more complex. Getting directed to the right data points and deriving meaningful insights from them has become a major challenge. Currently, the process of manually pulling data from the data ocean is quite a mammoth task and sometimes it doesn’t ensure accuracy of data also. To address this issue, tools and techniques should be in place to find the right information and only then can appropriate data be extracted. Today, we will discuss all the challenges of market research.
2. Ensuring Robust Quality: There is a general tendency of the data quality being poor in case of collecting information manually. The huge data sets needed in market research does end up being low quality due to human error. And consequently, error in data doesn’t lead to a clear insight with regards to the research objective. This indeed is a major challenge.
3. Outcome of Research: Every customer’s requirements are unique and different. In the dynamic world of market research, customers are consistently in the lookout for actionable perceptions about the market that may help them in the decision-making process. However, that is not a major challenge, but providing such insights within a stipulated and rigid time frame causes the worry.
4. Ensuring Competitive Edge: Market participants are innumerable. However, maintaining a viable niche is mandatory in this highly competitive scenario is extremely essential. For that, a company has to leverage advanced tools and mechanisms that will help in creating the cutting-edge.
5. Restraints Posed by Clients: Clients usually share their limitations before the onset of a market research project; it can be with regards to cost, resources and timelines. Such restraints communicated by the client clearly comes in the way of executing the research – and thus robust delivery becomes a challenge.
However, the key to success is to address all market research challenges deftly; create a strong brand reputation in the market and always be able to keep every customer requirement at the pinnacle.
– Kathakali Basu,
Assistant Manager – Content Marketing and Strategy,