Online marketing research is the process by which companies use the Internet to gather data to gauge how well a product or service is selling to consumers. The information provided by careful online market analysis can also identify popular trends that can help a company create a strategy that will yield better results. When used correctly, online marketing research can be an effective tool that a business can use to earn greater revenue.
A company can conduct market research online or hire another company to do it for them.
In addition to identifying potential areas for growth, online market research can help a company learn more about its target consumers. For example, if consumers buy a certain type of product and then come back for accessories, that’s a specific type of consumer behavior that can be measured. The information collected when doing an online market research study is useful in tracking this type of behavior.
Some companies may take a direct approach, sending a survey to existing customers to determine satisfaction levels and obtain feedback.
An online marketing research study can be conducted by the company itself or the company can choose to hire an outside company to manage it. How and by what method a company decides to conduct a market research plan depends on how objective or anonymous the company wants to remain. An online marketing research program can include numerous methodologies.
Some companies may use a direct method, whereby a survey is sent to existing customers to determine satisfaction levels and obtain feedback. A business may also contact consumers and collect information from a specific demographic group, such as an age group or a specific geographic region. Companies can also use a “blind” method, whereby a random sample of the population is contacted for online opinions.
With the advent of more social networking sites, some companies are accessing communities to gather important information about market behavior. Some of the larger social media networks offer general data about the registered users of these sites to benefit market research. Information collected online on social media networks can be very valuable to marketing companies.
Using online market research data is a way for companies to adapt existing products to meet consumer needs. It’s also one of the many ways companies develop new products and services that consumers trust. Companies carefully evaluate and use the data that online market research campaigns produce to influence the market through consumers.
When it comes to online marketing research, the general understanding is that since the market is primarily consumer-oriented, anything that can be done to influence consumers is good for business. Influencing consumers stimulates the market. This can result in better products, as well as higher sales and revenue for the companies that make the best use of survey data.