If you have ever researched for a company, either for a class project or as your full-time job, you may have used various tactics such as market segmentation, product testing or advertisement testing to name only a few. It is vital to understand how and why to use these different research tools, as each has its own underlying use and objective. In today’s post, we will be going over the three types of marketing research tactics that were mentioned prior.
Marketing Segmentation is used primarily as a survey that is aimed at capturing needs, behaviors, attitudes as well as demographics (age, gender, income etc). In creating a survey, the purpose is to identify the targeted groups of consumers to create interest and brand products in a way that serves the surveyed group(s). Thus, minimizing risk by determining which products have the best chance to sell with the target market and at the same time hypothesizing the most effective way to deliver products to the market using the collected data from the surveys.
Product Testing, perhaps one of the most utilized forms of market research, is used to test the performance of a certain product. Product testing is used to ensure that the product consumers understand the use of the product, and which have the best value. Additionally, according to www.ipsos.com product testing achieves the following:
Provide standard data for other R&D, engineering, and quality assurance functions
Provide evidence in legal proceedings: product liability, product claims, etc.
Help solve problems with the current product
Help identify potential cost savings in products
Finally, we have Advertisement Testing. This is the very backbone of a business, as it directly appeals to measuring and improving marketing effectiveness. Using applications such as Facebook Ad Manager has now made it easier to understand your target demographic, seeing from where someone clicks on your ad, what gender they are, as well as their age, alongside a plethora of other details. Using this resource can greatly help you craft different campaigns that mesh well with a target group, using the concept of click-through rates (the ratio of users who click on a specific link to the number of total users who view a page, email, or advertisement) as evidence.
Using the three discussed forms of marketing research can greatly impact the performance of a business, as each provides specific outcomes that boost the understanding of your business target market. Although only three forms were discussed, there are dozens of different additions that can be added, so make sure to be on the lookout for our next Research and Strategy article where we dive into more marketing techniques!
*www.ipsos.com is not associated with five94’ Marketing Solutions*