- 20 Mar, 2021
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Introduction to Online Marketing Research
Introduction to Online Marketing Research
Marketing research has always been an important part of a company’s method of
understanding customers and also their behaviour. In addition, market research can
help companies understand what customers are looking for and how to get the next
potential hit on the market.
Advances in technology have increased how companies can capture customer data
and how that information can be used to understand customers. This access, to both
information and customers, can give marketing managers a key advantage when
planning research activities and developing marketing strategies.
8.2 Why is Research Needed?
Marketing research is needed so that companies can better understand what
customers’ needs are, and also to understand when customers’ needs change so that
they can re-align their marketing strategies to better target customers. Marketing is in
essence a company trying to supply the correct product or service to meet the needs
or demand from its public. If a company can gain an understanding of what the
customers demand is, then companies can offer appropriate products and services to
them and generate sales and revenue, therefore helping to create a profitable
business.
When companies understand their public, they can expect sales and support for the
brand to increase. However, if companies do not fully understand their public’s needs
and wants, then they might experience poor sales and may struggle to perform against
their rivals and competitors. It is increasingly important, especially when there are
many products and services available and with the ease of finding these products and
services online, that companies constantly stay in touch with their customers and the
8Direct and Digital Marketing
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Online Marketing Research
public’s needs, to help increase profitability. Therefore, companies must continuously
conduct market research to stay strong in a vast online marketplace.
The Marketing Research Process outlined by Wilson (2006).
Figure 8.1 Seven stages of the marketing research process
(Source: Wilson 2006)
Stage 1: Identification of problems & opportunities:
This stage involves a company identifying problems with a product or service. For
example, a company needs to understand why consumers are not purchasing the item.
It can also mean identifying any opportunities that the company can ‘exploit’. Often
organisations will conduct external environmental analysis – typically in the form of a
PEST analysis (Political, Economic, Social or Technology related activities or
developments that are happening locally, nationally, or internationally).
These factors are out with the control of the company, but can lead to different
opportunities or threats. For example, when the ban on smoking in enclosed public