From Insights to Successful Outcomes – The Ins & Outs of Market Research

By Insights Discovered

Knowledge is Key

Knowledge is the new gold standard. In a market place cluttered with countless competitors vying for a finite amount of sales, you need to be innovative to have your business stand out. To do so, you’ll want to understand how and what can be done to rise above the competition. Lack of time, money or understanding are among the most common reasons companies forego market research. Without breaking the bank, companies can conduct market research activities gaining insights from key stakeholders such as customers or retailers. These insights will illuminate courses of action that are unique and meaningful to your target audience. Activities that are discerned to be relevant result in greater success overall by way of increased revenues, market share, or brand awareness.

What is an Insight and Why is It Important to Have One?

An insight is a universal truth, a statement that elicits the response, ”Duh?”. However obvious an insight may seem when you hear one, they are not that easy to reveal or capitalize on. Insights represent the core truth about a person’s behaviors, wants and needs. Addressing an insight in a manner that truly speaks to a need requires an in depth understanding of the elements that compose the need.

Nap Nanny is an example of a company with a product based upon a sound insight. The insight: moms of newborns crave sleep. Nap Nanny offers an infant recliner designed to help babies sleep. The statement, moms of newborns crave sleep, is not surprising— you might even say “duh” when you hear it. That said, there’s likely nothing mom wouldn’t try for a decent night sleep. Pair this with a product that delivers on their promise of “Everybody Sleeps” and you have yourself a winning combination and one growing company.

There are Two Types of Research (Actually Three)

Communication is the key to success in any relationship. Talking to stakeholders who have the greatest impact on the success of your business is vital to maintaining and developing loyalty with current customers and learning what new customers are looking for. There are three types of research available to gain meaningful information. One approach you can take is to conduct secondary research, i.e. read about what others have learned in books, magazines or on the Internet. However, it is best and most applicable to your business if you conduct your own primary research which is divided into two main categories: qualitative and quantitative. Qualitative research includes interviews, focus groups and other personal interaction with your target. This type is less formal and usually involves smaller groups of people or sample sizes. Qualitative research affords modification of the questions asked and answers sought during the course of the research, as topics or conversations might inspire new ideas or approaches to pursue. The second type of primary research is quantitative research. This is much more formal, involving larger more statistically significant sample sizes. Surveys are an example of quantitative research. The data revealed in quantitative research is typically cited in reports as evidence supporting a hypothesis or recommendation.

Baby Bella Maya recently uncovered an insight while conducting some quantitative market research. In a recent survey, Baby Bella Maya learned that their designer car seat covers serve another purpose other than that of updating or dressing up the aesthetic of a car seat. The insight they discovered was that car seats, with spills from food and drink, not to mention “accidents” can be filthy – “duh.” Moms knew this to be true but never considered a car seat cover as a solution to this dilemma. Once presented with this option they agreed that they now needed a car seat cover. Armed with evidence as to its necessity, Baby Bella Maya can now market their car seat covers to a whole new group of moms. Women, who once would have passed, may now buy a cover given the added benefits and therefore added value that persuades them to purchase.

Still Think You Don’t NEED Market Research?

Most people wouldn’t make an important decision without doing their homework first. How, for example, did you decide where you would produce your product or maybe where you would locate your store? These are important decisions that directly impact the success of your business. The same diligence would be prudent if practiced when deciding the all important elements of your marketing mix. It’s your customers and retailers who are the experts you should be consulting to determine: what your product offering is, its price, packaging, promotion, positioning, placement (aka distribution) and people (your target customer). To blindly speak on their behalf is to risk alienating them from your brand.

Think it’s too late to start? It’s not. Research can be done at any time. Mistakes can always be corrected and new opportunities identified. Think it costs too much? It doesn’t. Many times people will freely give their opinions for the simple reason they respect that you asked them. Others will be happy to share in exchange for some product. Think you don’t have the time? If it’s important enough you could find the time. Additionally you would be surprised at how little time (just hours in many cases) you will need to invest to yield a harvest of insightful information.

Now that you understand what market research is, how it can impact your business and how easy and inexpensive it is to conduct, there’s nothing to stop you from rising to the top and standing out among your competitive peers. Research will yield insights which will aide you in making informed decisions, in turn leading to positive outcomes for your business and a greater number of successful efforts.

About Insights Discovered

Penny Redlin of Insights Discovered is a guest expert on The Giggle Guide^®. She will be a regular contributor to this new “Business Sense” feature, sharing more of her insights about business planning and marketing strategies.

Based in Las Vegas, Nevada, Insights Discovered was founded in 2010 by Penny Redlin in an effort to share her professional expertise within the children’s product category. The company’s mission is to give every mompreneur an opportunity for success. Insights Discovered exclusively services children’s products brands. The specific industry focus demonstrates a strong dedication to the unique needs of children’s products companies. Insights Discovered offers strategic planning, market research and traditional marketing services.

For more information, visit www.insightsdiscovered.com or call 702.218.5707