The A – Z Of Market Research Vs Market Analysis! Market Research: It is a continuous process based on collecting, recording, and analyzing information and data about customers, competitors, and the market. A market research consultant helps an organization develop a business plan, launch new products and services, and expand into other markets.
Market research companies Egypt also help to determine the segment of the population that will buy and use new products and services, depending on several factors such as age, gender, location, and income level.
The Market Analysis is the study of the needs for the services that will be provided by the project in order to reach the best-estimated information about the expected demand in the target market. Through which the activities to be carried out by the project and the services to be provided are determined.
The information required for this purpose is not limited to quantity only, but must also be exposed to the detailed structure of demand, the geographical distribution of demand, and the cost as well. On the other hand, the supply study responds to quantity, quality, and cost as well.
Understanding Market Research
Whether it is an organization or a company that wants to know the buying behavior of consumers or the likelihood that consumers will pay a certain cost for a product, a market research consultant helps to draw meaningful conclusions. So Here are the steps to conducting effective Market Research:
Step1: Define the problem
Having a well-defined research topic will help researchers when asking questions.
These questions should be directed at problem-solving and should be adapted to the project.
Ensure that the questions are written clearly and that the respondents understand them.
Researchers can conduct a test with a small group to see if the questions asked are understandable enough to elicit insightful results.
Research objectives should be written in an accurate manner and should include a brief description of the information needed and the method of obtaining it. They must have an answer to the question “Why do we do research?”.
Step2: Determine the sample
To conduct market research, researchers need a representative sample that can be collected using one of several sampling techniques.
A representative sample is a small number of people that reflect, as accurately as possible, a larger group.
No organization can waste its resources gathering information from the wrong population.
It is important that the population represents the characteristics that are of interest to the researchers and that they need to investigate in the chosen sample.
Keep in mind that marketers will always be liable to run into sampling bias because there will always be people who don’t answer the survey because they are busy, or answer it incompletely, so the researchers may not get the required data.
Regarding sample size, the larger it is, the more likely it is to be representative of the population. A larger, representative sample gives the researcher greater certainty that the people included are the people who need him.
And can reduce bias. Therefore, if they want to avoid imprecision in our surveys, they must have representative and balanced samples.
Practically all surveys that are seriously considered are based on scientific sampling.
Based on statistical and probability theories. There are two ways to obtain a representative sample:
- Probability sampling: In probability sampling, the sample will be randomly selected, ensuring that each member of the population has the same probability of being selected and included in the sample set.
Researchers must ensure that they have up-to-date information on the population from which they will sample and survey the majority to prove representativeness.
- Non-Probability Sampling: In non-probability sampling, different types of people strive for a more balanced, representative sample. Knowing the demographic characteristics of our group will undoubtedly help in constraining.
The required sample profile and identifying variables of interest to the researchers, such as gender, age, place of residence, and so on.
By knowing these criteria, prior to obtaining the information, researchers can have control over creating an effective representative sample for us.
When the sample is not representative, there can be a margin of error. If the researchers wanted to get a representative sample of 100 employees, they would have to select an equal number of men and women.
The sample size is very important, but it does not guarantee accuracy. More than size, representation is related to the sample frame, i.e. to the list from which, say, part of a questionnaire, people are selected.
Step3: Collect the data
First, a data collection tool must be developed. Also, the fact that they do not answer the questionnaire, or answer it incompletely will cause errors in the research. Correct collection of data will also prevent this.
Step4: Analyze the results
Each point of the market research process is interrelated. If all of the above is done well, but there is no accurate analysis of the results, then the decisions taken will not be appropriate.
In-depth analysis done without loose ends will be instrumental in obtaining solutions. The data analysis will be recorded in a report, which must also be written clearly so that effective decisions can be made on this basis.
Step5: Prepare the research report
When presenting results, researchers should focus on: what they want to achieve with this research report.
And while answering this question, they should not assume that the survey structure is the best way to conduct the analysis.
One of the big mistakes many researchers make is that they report in the same order as their questions and don’t see storytelling potential.
To make good reports, the best analysts give the following advice: Follow the inverted pyramid approach to presenting the results, and answer at the outset the basic questions of the company that caused the investigation.
Start with conclusions and give them essentials rather than accumulating evidence, then researchers can present the details to readers who have the time and interest.
Step6: Make decisions
You should not ask an organization or researcher “why do you do market research”, you should just do it!
Market research companies Egypt help researchers know a wide range of information, for example, the purchasing intentions of consumers or provide feedback on the growth of a target market.
They can also discover valuable information that will help estimate prices for their product or service and find an equilibrium point that will benefit them and their consumers.
The Importance of Market Research
All marketers agree that Market Research is important to the long-term success of brands. Companies that deal with market research as a priority achieve success and excel compared to others.
Accurate information in this research is the foundation of all successful business ventures because it provides a wealth of information about potential and existing customers.
The competition and the industry in general, and allows business owners to determine the feasibility of a business before allocating significant resources to project development.
Market research consultant provides relevant data to help address the marketing challenges that a company will likely face and is an integral part of the business planning process.
For example, it is not possible to develop strategies to target specific groups within the market without conducting a market study.
Conducting this study on a regular basis also allows business owners to ensure that they are constantly adapting and developing their brands to meet consumers\’ long-term needs.
In addition, it provides useful information about the market, product, audience, competition, and much more, which helps improve your ability to make decisions with more clarity and confidence and reduce risks and threats.
Market Research can help in designing marketing campaigns and ensuring their success, and in thriving sales. Conducting a market study also aims to provide business owners with information about:
- Product: It allows you to improve your product or service based on findings about what your customers want and need.
- Price: It helps determine the price based on common profit margins, competitor prices, financing options, or the price the customer is willing to pay.
- Location: Allows identification of the appropriate geographic location, how to distribute a product, comparing the characteristics of different locations, and the value of points of sale (retail, wholesale, online).
- Promotion: It allows discovering how to reach the best target audience segments in the market (teenagers, families, students, professionals, etc.).
There are also other important reasons that necessitate Market Research, the most important of which is launching new advertising campaigns, opening a new site or changing work sites, increasing production levels, and introducing new lines of products or services.
Understanding Market Analysis
Conducting and writing a Market Analysis takes time and a lot of research, and to help guide you through the journey of preparing a market analysis consulting services, follow the seven steps below:
The first step: Determine the purpose of the Market Analysis. As there are many reasons why companies conduct Market Analysis. You can use it for the following:
- Business risk assessment.
- Facing threats and challenges.
- Reduce problems.
- Create opportunities.
You can look at past problems to reduce future risks, and analyze past successes to see what you need to keep doing in the future.
Before starting any Market Analysis, determine whether the analysis is for internal or external purposes.
Internal purposes include improving cash flow or business operations, and external purposes are trying to convince lenders to give you a business loan.
Make sure you decide whether your studies will be internal, external, or both before proceeding with your search.
Step two: look at your project expectations. In your analysis, determine the current state of your business, and the state where your business is headed using metrics such as size, trends, and projected growth, and make sure you have relevant data to back up your needs.
This section will let investors or lenders know that you have done your homework with your business and project and will show them whether or not the project is worth their time and money.
Step Three: Determine the target group. The truth is, not everyone will be your customer.
When analyzing the market, you must determine who your potential customers are, and this part of the process is called target market analysis.
You have to fully understand who your customers are and where they come from, and your market study should paint a clear picture of your potential customers.
Once you\’ve narrowed down your customers, get to know their needs, interests, personalities, and demographics.
Also, consider creating a persona for your target audience based on your research.
As many companies have more than one persona, which is concerned with grouping different customer characteristics.
Defining your target market can help you better meet future customer needs and market more efficiently.
As your business grows, your potential customers may evolve or change, so you have to stay in touch with them, keep track of their needs, and always keep their satisfaction first.
Step Four: Study and compare your competitors. To be more successful in the market analysis consulting services study process, you need to understand your competition. You must know who your competitors are trying to target.
Take the time to research what other businesses are out there, and look at things like your competitors\’ offerings, their location, their target customers, and their flaws in the market.
Make a list of all your major competitors, review each one on the list, and identify their strengths and weaknesses (SWOT analysis).
Once you\’ve identified your competitors\’ strengths, weaknesses, opportunities, and threats, rank them from most to least threatening. Next, determine your startup\’s merits and marketing position.
Step Five: Collect additional data
Information is your greatest ally when it comes to conducting a market analysis, which you will do better after collecting it.
Your data should be as follows:
- Unbiased.
- Related.
- realistic.
- specific information.
- Data from reliable sources, and you can benefit from various resources, such as:
the Bureau of Labor Statistics, the Census Bureau, state and local trade websites, trade newspaper articles, and strengths.
And weaknesses of competitors, target market surveys, and information from interviews or focus groups in the target market.
Step Six: Analyze your results
After analyzing the market, it\’s time to look at your results. Lay out and organize all of your studies using different sections, and include sections for your purpose, target market, and competitors.
Here are some other things you should include in your results:
- An overview of your business size and growth rate.
- Your expected market share.
- Your future view of the project.
- Discounts you plan to offer.
- Purchasing trends.
- The expected growth of your business.
- Prices for your offers.
- The amount customers are willing to pay.
- Your customer groups.
Based on your research, you\’ll be able to predict other things for your business, such as total cash flow, gross margin, and customers\’ buying habits.
Step Seven: Put your analysis into action. Conducting a Market Analysis may seem like a daunting task, but your future success will be the result of this hardship and effort.
That is, you will certainly spend a large part of the time working on the study of market analysis, but it will be worth it. Ultimately, you have to put your analysis into action.
For internal purposes, look at how you can use the results to improve your business. Use your analysis to see if you can make any of your project\’s processes more efficient.
If you do an analysis for external purposes, be prepared to talk to lenders and investors about your study and conclusion.
The Importance of Market Analysis
Market analysis consulting services are defined as a tool for studying the conditions prevailing in a particular market.
To know the prevailing trends in it, and to evaluate the potential of working in it to know the extent to which the product can be marketed. The importance of market analysis can be summarized in the following points:
- Determining the risks or problems that are expected to face the marketing of the product and finding solutions to overcome them, or minimize them to the maximum extent so that the material benefit outweighs the risks.
- Determine the success of the product in the target market.
- Anticipate the pros and cons of entering the target market.
- Provide investors or the marketing team with a clear picture to make the right decisions.
- Determine the target segment of product marketing to focus on in marketing and advertising campaigns.
- Predict the market share that the product can achieve in the target market.
- Investors enter the target market clearly, with knowledge and understanding.
- Providing a view of the product, whether a good or a service, based on the competitive strength of the product in a specific market.
- Anticipating the demand for the product in the market, and thus anticipating profits.
- Narrow work alternatives and improve resource assessments.
Differences Between Market Research and Market Analysis
Market analysis consulting services
It\’s considered the attractiveness and dynamism of a particular market in an industry. It is a part of the industry analysis and therefore of the global environmental analysis.
Through all these analyses, the strengths, weaknesses, opportunities, and risks can be identified with the help of SWOT analysis, and appropriate business strategies for the company will be determined.
Moreover, the business Dictionary defines it as A market assessment tool, designed to provide businesses with a comprehensive overview and insights into the intricacies of a particular industry.
Industry analysis involves reviewing the economic, political, and market factors that influence the way a business develops. Key factors can include the strength of suppliers and buyers, the status of competitors, and the prospect of entering a new market.
As Market Analysis is the exploration of a niche industry, sector, or market, focusing on market structure and market composition, and more related to business strategies.
As that Market Research is the exploration of target markets and customers, focuses on the details of the competition market, and is related to more marketing strategies.
what is included in a market analysis?
All businesses, even small ones, need market assessment study and market research in order to know more about their field of performance in the market. There are also a number of other reasons that prompt you to conduct a market study:
- Rely on more documents and files when making decisions that support the growth of the business or company.
- Identify the size of the market or the size of the market segment that you must work on, in case you are thinking of selling your products or launching a new product.
- Identifying real consumer needs, and details such as costs, customer preferences, consumer and purchasing habits, income and spending levels, and so on.
- Identify the changes that occur in the purchasing habits of customers in order to enable entrepreneurs to respond to and adapt to them.
- Obtaining valuable and valuable information that can be used to maintain or obtain a new position or a unique position in the market.
market assessment study
The concept of “market assessment study” is a technical study based on collecting data that allows entrepreneurs to learn about the intentions, desires and needs of customers, as well as many important details about the field of work or performance.
When a company intends to launch a new product, create a marketing campaign, or make any adjustment or change in its strategies.
It is necessary to conduct a market assessment study in which it operates in order to obtain important and valuable information that can help it ensure the success of its business.
for example: If you intend to launch a new product in the market, conducting new research of this kind, this study can help you to identify details related to the amount of money.
That potential customers in the market are able to pay, the advantages that the product enjoys, the size of the market, the color or the way it The customer wants to obtain the product and other details.
These details can help the entrepreneur find a point of balance so that your customers as well as your business can get the benefit and the benefit.
As there are also two steps of market analysis and collecting information:
- The first research and survey process: When you yourself conduct such research, collect and analyze information.
- Secondary search and survey process: When the search process is carried out by a third party, and such results are available to anyone who wants to enter and view this information.
- As Some market research and analysis samples of this included: Academic studies and reports verified by private companies.
Moreover, Companies and brands need to research well and get to know the market in order to identify trends and industrial and consumer desires, so there are many marketing research companies in Egypt that carry out such tasks.
Also, performing the market analysis is an effective strategy that is able to interact in your favor, as it is able to guide you on the aspects that you should focus your efforts on.
And the aspects that you should work on improving or changing, as well as discovering places and angles in which you can invest resources and the feasibility of projects and other things.
Related Questions
who does market analysis?
Market analysis is typically done by market research firms, investment banks, and financial analysts.
These professionals use a variety of techniques, such as surveys, data analysis, and industry reports, to gather and interpret information about a particular market. They may also use economic indicators and financial data to make predictions about the future of the market.
The goal of market analysis is to identify trends and opportunities in a market, which can be used to inform investment decisions or business strategies.
what should be included in a market analysis?
A market analysis should include an examination of the target market, including its size and growth prospects, as well as a study of the industry and competitive landscape.
It should also include information on consumer demographics and buying habits, and an analysis of any economic, technological, or regulatory factors that may impact the market.
Additionally, a market analysis may include a SWOT analysis (Strengths, Weaknesses, Opportunities, and Threats) of the company and its products or services. It is also important to include a forecast of future market trends and opportunities.
what does a market analysis look like?
A market analysis typically includes a written report that presents information and insights on the target market, industry, and competitive landscape.
The report may be divided into several sections, including:
- Executive Summary: A brief overview of the key findings and recommendations of the market analysis.
- Target Market: A description of the target market, including information on consumer demographics, buying habits, and market size and growth prospects.
- Industry Analysis: An examination of the overall industry, including information on industry trends, market drivers, and any regulatory or economic factors that may impact the market.
- Competitive Analysis: A study of the major competitors in the market, including information on their market share, products and services, and strengths and weaknesses.
- SWOT Analysis: An analysis of the company\’s strengths, weaknesses, opportunities, and threats.
- Market Forecast: A projection of future market trends and opportunities.
- Recommendations: A summary of the key findings and recommendations for the company, based on the market analysis.
The report may also include charts, tables, and other visual aids to help present the data and insights. The format and structure of the market analysis report may vary depending on the company, the industry, and the purpose of the analysis.
In conclusion,
Market Research is a very important step for any project or institution, as the market research consultant helps in understanding the needs of the consuming public for the service or product, so it must be taken into account first within the marketing plan.
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