| Research Options for New Product Development |
| Invention Development Advice - Market Research | |||
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A guide to preliminary market research Desk Research and Off The Shelf Data For some products and services there will be published information about the market – either from published statistics, or commercial databases. These sources range from websites to the library of the Australian Bureau of Statistics. Some of the larger market research firms conduct broadbased consumer surveys, compiling large amounts of data about products and services that consumers use, ranging from food to household appliances and investments. A number of market research firms offer 'syndicated' data, which comprise the results of surveys covering a range of information, and from which portions of relevant information may be purchasable. In some cases it may be that the exact figures required may not be available, but that a reasonable estimate can be derived from one or more other sources. In this case, the skill of the research comes in by virtue of their ability to understand how statistics from different sources can be combined or used in tandem. Consumer Research Depending on the product, service or market, it may turn out that the required information is not available – in other words, that no organisation has already compiled the statistics that are required, and that no reasonable estimate can be made without some primary research. The information gathering process may comprise a survey (perhaps by telephone, in person, mail or on-line) or perhaps more in-depth discussions amongst a smaller group of consumers (or business people). Focus group discussions are most suited to exploratory research where the questions are not ‘how many?’ or ‘how much?’ but more qualitative, such as ‘how do people choose a product?’ or ‘why do they select X product?’. In the case of either quantitative or qualitative research, a consultant will prepare a proposal for you to consider, and will liaise closely at all stages of the research. In the case of focus groups, it is even possible for clients to listen-in and watch the discussion as it occurs. Channel and Competitor Research In the case of new product development or new imports, it may be valuable to conduct research amongst the distribution channel, or amongst resellers or retailers. This kind of research will uncover the competitive landscape of the market, and some aspects of the competition that may not be readily discernible from end-users. Research amongst the channel will tell you about the arrangements and incentives that competitors have established in the market place, and the nature of the competition for ‘shelf space’. Resellers and retailers are often able to comment on the end-user market and pricing. Typically this kind of research is conducted by executive interviewers on a small scale. How to Get Started in Research While it is often tempting to approach your research needs with a request to commission a survey and to try and develop a questionnaire, it is generally best to start by addressing a simple question – what would it be beneficial to know? Once you have in mind notions like ‘If I knew how many people did this or that’ or ‘If I understood how people feel about X’ or ‘I wonder how Y market works’ then you are ready to talk to a market research consultancy. By talking through those kinds of issues, a consultant will be able to advise you as to what methods may be used to gather the information you need, whether that may require desk research, qualitative research, a survey, or research amongst channel partners. The research consultant will ask many questions and explore some ideas with you in order to prepare a proposal as to how they suggest the research may be done, some costing options, and a confirmation of the outcomes you will get by commissioning research. Nearly all research firms will do the questionnaire design (if a questionnaire is required) and a draft of that is approved by you before any interviewing commences. Accredited firms employ trained interviewers, many of whom are specialists in certain kinds of research, so you can be assured that the highest quality processes are in place at all stages. The research is usually supplied back to you in the form of both detailed numbers, and as an easy-to-read management report. Larger engagements may also be formally presented, and we also offer consultancy support after supply of the results, so that you can pose any additional questions or explore aspects of the findings. When choosing a market research firm, check that the firm is quality accredited with Australian Standard AS4752 or the International Standard ISO 20252. Check that the lead consultant is a Qualified Practicing Market Researcher, and that the team of researchers assisting you are members of the Australian Market and Social Research Society. Research Sources Australian Bureau of Statistics Extensive Australian statistics www.abs.gov.au Australian Market and Social Research Society Information about market research including a complete directory of research suppliers www.amsrs.com.au Dictionary of Sydney Statistics about Sydney suburbs useful for retailers http://www.id.com.au/dosydney/ McNair Ingenuity Research Example of a market research company web site with consumer information www.mcnairingenuityresearch.com Written by: Matt Balogh, Managing Consultant, McNair Ingenuity Research
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