Market Research Fundamentals for University Market Day

Market research is defined as the collection and study of statistics and other relevant data.
The primary purpose of market research is to reduce risk by creating more accurate and responsive marketing plans.
Information gathered helps determine if a product is worth launching, identify customer demand, and set appropriate pricing or flavors.

Step 1: Determine Information Needs: Identify specific requirements such as price points, value bundles, or specific product features.
Step 2: Collect Data: Gather information using primary or secondary research methods.
Step 3: Analyze and Interpret: Evaluate results to determine if the business plan requires adjustments or can proceed as intended.

Primary Data: Data collected directly by the business to answer specific questions.
- Survey: Gathering information via questionnaires, focus groups, personal interviews, or electronic methods.
- Experimentation: Altering factors (such as price) under controlled conditions to evaluate cause and effect; also known as test marketing.
- Observation: Recording customer behavior through personal researchers or mechanical methods (CCTV, facial recognition, or cash register scans).
Secondary Data: Information that has already been collected by others.
- Internal: Financial statistics, sales reports, and customer feedback from within the business.
- External: Data from outside organizations, most notably the Australian Bureau of Statistics.

Data should be presented in easy-to-read formats such as spreadsheets, tables, or graphs.
Analysis determines what the figures mean for the business strategy and helps inform changes to increased sales and profits.
To ensure accuracy and eliminate individual bias, multiple people should ideally participate in the analysis of the data.