13 Challenges in Market Research Industry
What is Market Research?
Making a new product or a service a successful one requires extensive market research for acquiring in-depth information of the clients, current market trends and competitor analysis. Market Research is the most critical component which will provide you with all the information you need to make a better decision to grow your business manifolds.
What are the issues faced by market researchers?
Few market researchers were surveyed for understanding the issues faced by the experts and professionals serving in this industry. Some of those problems have been discussed in detail and you can go ahead and read about it.
56% of the people who took the survey mentioned the methodologies of market research as one of the biggest challenges they face. Some of those issues are:
• Unavailability of a proven mechanism to filter out qualitative data from the extracted social media insights
• Lack of skills required for interpretation of valuable data
• Skill-gap leading to inefficiency in using the tools
• These tools tend to generate vastly different results on the same data set
25% of respondents mentioned that poor market research outcomes are the biggest challenge in this industry. Few issues which fall in this category are:
• The Market researchers perceive that they are scraping valid and verified data but in reality, this data is highly volatile. Therefore making good decisions based on the data is a real challenge
• Businesses are witnessing rapid growth and need their data sets at the earliest. The market researchers can barely keep up with the demands
• Business owners have a bad experience of market research data providers who assure the provision of great insights but usually fail to deliver the same
65% of respondents mentioned the quality of extracted insights as to their biggest challenge to market research. They were referring to the following issues with respect to the quality of the data:
• The absence of Probability sampling where the margin of error is not taken care of, which further contributes to poor interpretation of the data
• Market Researchers are aware of the fact that high-quality data is present out there, but it is not feasible for their organization to allocate required resources for extracting that data.
• Poor quality data at a cheap price is of higher value than expensive but excellent quality of data
Nearly 38% of the people who took the survey mentioned the challenge of traditional and new-age methodologies involved in market research. Few challenges mentioned by the researchers are:
• The traditional methodologies have failed to meet the client’s needs as they take a lot of time to respond and are not at all effective
• Considering today’s reality, quantitative data is the need of the hour and the constraint of gathering rich qualitative data is highly compromised.
• Lack of expertise with respect to usage of the new age methodologies to their maximum potential
Most of the market researchers have admitted that the way forward is a blend of old and new methods to get the best and desired high-quality outcome in the form of data. The perfect solution does not exist as of now but we at Cognigix are analyzing all the issues, including those mentioned above, and trying to design a solution for the same. We’ll be soon back with a fruitful learning solution to solve the problems existing in the Market Research industry.