{"id":49097,"date":"2023-01-05T01:56:44","date_gmt":"2023-01-05T06:56:44","guid":{"rendered":"https:\/\/3c98cd88ae.nxcli.io\/?p=49097"},"modified":"2024-08-23T02:46:55","modified_gmt":"2024-08-23T06:46:55","slug":"what-are-the-business-benefits-of-market-research","status":"publish","type":"post","link":"https:\/\/staging.sago.com\/en\/resources\/blog\/what-are-the-business-benefits-of-market-research\/","title":{"rendered":"6 Market Research Benefits for Your Business"},"content":{"rendered":"<div class=\"wpb-content-wrapper\"><p>[vc_row][vc_column][vc_column_text]In times of economic uncertainty, every organization looks for places to tighten the purse strings. Market research is a tempting area to cut back on, but that could ultimately prove a critical mistake. Discover the top 6 market research benefits you should consider in times of recession and inflation.[\/vc_column_text][vc_column_text el_class=&#8221;calloutmatte&#8221;]<\/p>\n<h4>Improve your business decision-making with market research.<\/h4>\n<p>Request a consultation with our team to get started.<\/p>\n<p><a class=\"button\" href=\"https:\/\/staging.sago.com\/get-in-touch\/request-a-consultation\/\">Book a consultation<\/a>[\/vc_column_text][vc_column_text]<\/p>\n<h2>1. Customer Centricity<\/h2>\n<p>When a company is customer-centric, it delivers a customer experience (CX) that fulfills the needs and desires of its target customers. Businesses with high levels of customer engagement see the following benefits, according to Gallup:<\/p>\n<ul>\n<li>66% higher sales growth<\/li>\n<li>10% increase in net profit<\/li>\n<li>25% increase in customer loyalty<\/li>\n<li>+20 percentile uplift in consumer confidence (-100 negative, 0 neutral, 100 positive)<\/li>\n<\/ul>\n<p>To understand those needs and desires, you need to perform targeted market research.<\/p>\n<h4>One way to drive customer-centricity is through the STP model:<\/h4>\n<p><strong>Segmentation<\/strong> \u2013 What customer segments exist for your product or service, including geographically and demographically?<br \/>\n<strong>Targeting<\/strong> \u2013 Which segment(s) are the best targets for each product line? Who is your target customer?<br \/>\n<strong>Positioning<\/strong> \u2013 How do you position your product or service in the market? How do you reach your target segment with the right messaging to convey the benefits of your product or service?<\/p>\n<h2>2. Greater Efficiency, Higher Engagement<\/h2>\n<p>A more comprehensive understanding of your target customers\u2019 wants and desires helps you drive product and service alignment, which market research provides.<\/p>\n<p>Perhaps one segment of customers wants fruit, and another wants vegetables. It is pointless to market fruit to consumers who want vegetables and vice versa. This is where segmentation, targeting and positioning come in (STP) to drive marketing efficiency and reduce expenditure.<\/p>\n<p>Other market research benefits include checking marketing channels and understanding what demographic is on each platform. Younger people may use YouTube, TikTok, and other social networks, while older consumers may still watch TV advertisements. If you share marketing materials in the channel where your target consumer naturally resides, they are more likely to engage.<\/p>\n<h2>3. Identifying Growth Opportunities<\/h2>\n<p>When performing market research, respondents reveal previously unseen opportunities for growth. These opportunities help cross-sell and upsell products and services by identifying secondary wants and desires in-context of the primary reasons.<\/p>\n<p>Examples of growth opportunities include:<\/p>\n<ul>\n<li>Tapping into customer segments with unmet needs<\/li>\n<li>Partnering with other businesses in your industry<\/li>\n<li>Product and service development to improve functionality and usability<\/li>\n<\/ul>\n<h2>4. Reducing Risk via Concept Testing<\/h2>\n<p>You can design and manufacture a product or ad without concept testing, but you\u2019d essentially be taking a stab in the dark. Wouldn\u2019t you rather know if customers are interested in your product or ad concept before launching development?<\/p>\n<p>Concept testing significantly <a href=\"https:\/\/staging.sago.com\/resources\/blog\/reducing-risk-with-self-serve-product-testing\/\">reduces risk<\/a> by validating ideas with real customers. If these customers dislike the idea, it\u2019s probably not a good candidate for go-to-market. Continuous validation of concepts for longitudinal insights during product or ad development is one way to become more data driven as an organization.<\/p>\n<h2>5. Informed Decisions Reduce Risk<\/h2>\n<p>What if your company announced it\u2019s investing $1 million in expanding manufacturing capacity, without doing any market research?<\/p>\n<p>Your first big question should be: Why? What if the target market is forecast to shrink imminently? What if new products have made your offering obsolete?<\/p>\n<p>Market research supports critical business decision-making. Medical companies cannot make claims without evidence to back them up, and CPG, finance, media, or tech companies shouldn\u2019t make important business decisions without supporting proof, either.<\/p>\n<h2>6. Proactively Compete<\/h2>\n<p>Perhaps the greatest benefit of market research is proactivity. Market research gives you a glimpse into the future of customer demand. It allows you to get ahead of the competition and cater to upcoming trends thanks to increased agility and awareness in the market. Who wouldn\u2019t want an edge in times of economic uncertainty?<\/p>\n<h2>Finding the Right Market Research Solutions<\/h2>\n<p>The business benefits of market research are myriad. From improving customer-centricity and efficiency, to identifying growth opportunities, to reducing risk and staying competitive, market research helps organizations make informed decisions for better business outcomes.<\/p>\n<p>Market research doesn\u2019t have to break the bank, either. Sago offers a wide array of solutions to help you gather the insights you need while remaining within budget. From <a href=\"https:\/\/staging.sago.com\/products\/methodify\/\">Methodify<\/a>, our automated quantitative research engine, to <a href=\"https:\/\/staging.sago.com\/products\/qualboard\/\">QualBoard<\/a>, our digital qualitative discussions platform, there\u2019s an option to suit your needs.<\/p>\n<p><a href=\"https:\/\/staging.sago.com\/get-in-touch\/request-a-consultation\/\">Book a consultation<\/a> with our team to find the right approach to market research for your organization.[\/vc_column_text][\/vc_column][\/vc_row]<\/p>\n<\/div>","protected":false},"excerpt":{"rendered":"<p>Discover the 6 key business benefits of market research. <\/p>\n","protected":false},"author":19,"featured_media":49099,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"aside","meta":{"_acf_changed":false,"content-type":"","footnotes":""},"categories":[13932],"tags":[16721],"video":[],"filter_name_method":[13952,13951,13993],"filter_name_product":[],"class_list":["post-49097","post","type-post","status-publish","format-aside","has-post-thumbnail","hentry","category-blog","tag-defaultrawblog","post_format-post-format-aside","filter_name_method-qualitative","filter_name_method-quantitative","filter_name_method-self-serve"],"acf":[],"featured_image_src":{"landsacpe":["https:\/\/staging.sago.com\/wp-content\/uploads\/2023\/01\/Business-Benefits-of-Market-Research-800x445.jpg",800,445,true],"list":["https:\/\/staging.sago.com\/wp-content\/uploads\/2023\/01\/Business-Benefits-of-Market-Research-463x348.jpg",463,348,true],"medium":["https:\/\/staging.sago.com\/wp-content\/uploads\/2023\/01\/Business-Benefits-of-Market-Research-300x200.jpg",300,200,true],"full":["https:\/\/staging.sago.com\/wp-content\/uploads\/2023\/01\/Business-Benefits-of-Market-Research.jpg",800,533,false]},"yoast_head":"<!-- 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