I am currently living in this very industry and people often ask me what exactly people do in Market Research and at the very base of it, what Market Research really is.
First off, let’s start with the definition of market research itself. What is the real meaning of it exactly and what does it do?
According to Merriam Webster, research and market have their meaning separately as follows:
the area of economic activity in which buyers and sellers come together and the forces of supply and demand affect prices <producing goods for market rather than for consumption>
1. studious inquiry or examination; especially: investigation or experimentation aimed at the discovery and interpretation of facts, revision of accepted theories or laws in the light of new facts, or practical application of such new or revised theories or laws
2. the collecting of information about a particular subject
Based on the definitions we gathered above, it is safe to conclude that market research is an activity of collecting information and studious investigation aimed at the discovery interpretation of facts in the area of economic activity in which buyers and sellers come together and the forces of supply and demand affect prices.
Wait! So this research thing has nothing to do lab jackets? Sadly to say, no. Research is not a discipline limited to chemical elements. And one of the discipline of it is in marketing field, which makes us learn about market research.
To put it simple, market research is a specific study based on the market condition of a certain product/company. Market research is actually the middleman between a corporate and consumers. Why would people call it as middleman? Because it is really the bridge between those two. Customers know what they want in terms of products and service. They have their own thought and they need the medium to sound that opinion. Customers can’t connect directly to manufacturers so this is where market research comes in between. This research in the market will allow producers understand what the need of the consumers are.
We are done with the definition. Now let’s move on to a case which will come really handy to get full closure on this gigantic and growing industry.