Business & Finance

How market research helps you stay ahead of your competition?

It seems like you’re doing everything right but can’t seem to convince consumers to choose you over your competition. You’ve made your prices a lot more advantageous, you’ve invested in a strong marketing strategy, and you’ve also gone above and beyond to create the best product consumers can find on the market. Yet, consumers seem to instead line up at your industry rivals’ doors, leaving your business fly under the radar. 

This is where market research shines. 

Market research is an essential step in helping your business gain a competitive advantage. By analysing every tiny detail about the market you’re selling in, the people who buy products, and those who sell a similar product to yours, you gain a deeper understanding of how to attract consumers on your side by responding to their needs. 

Here’s precisely how market research can help you get your business on the right track and stay ahead of your competition! 

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It helps you understand customers better

One of the most crucial insights market research brings to your table is related to consumers. 

Researching your target audience will help you gain insights into consumers’ pain points, needs, and wants. You’ll find out what consumers are struggling with and what type of product would solve this problem for them. You’ll also learn why consumers prefer one product over another, which can give you a clear idea of why they choose your competition instead of your business. Market research is also a fantastic way to determine consumer-specific characteristics such as demographic data, age, gender, income, values, and goals. 

Another excellent thing market research can do for your business is help you identify the best ways to reach out to consumers and promote your products. Think about it: you could have the perfect product, but if no one knows about it, it’s unlikely you’ll sell anything. So, you also need to understand how to attract consumers to buy from you. 

Now, with so many ways to reach consumers these days, it can be not easy to simply guess where you can find them and where they will be the most responsive. But, market research can solve this mystery for you. Market research and consulting services will also give you insights into where consumers spend their time online and offline. For example, you may find out that your audience prefers to get an email about your products rather than a social media ad that they find disruptive. 

Needless to say, knowing how to better respond to your customers’ needs and wants and how to reach out to them to promote your products and business will be a significant competitive advantage. 

It helps you know what your competitors are doing

How else could you know how to overrun your competition if you have no idea what your industry rivals are doing? Or even who they are? Short answer: you can’t! 

Market research gives you a glance into your competitors’ strengths and weaknesses. You’ll be able to identify what your industry rivals are doing good and which mistakes they are doing, giving you the opportunity to adjust your business to overrun them. 

So, to stay ahead of your competitors, use market research to find out: 

  • What are they doing better than you?
  • What are their weaknesses?
  • How can you use your competitors’ weaknesses to your advantage?
  • What can you learn from your rivals?

Learning more about your competitors will also teach you how to differentiate from them. It will give you a clear idea of what you can do differently and cater to consumers more than your industry rivals do. 

All of these make fantastic competitive advantages that will help your business stay ahead of the competition. 

It helps you offer better customer service

Excellent customer service is a major advantage businesses have these days. Today, consumers are very used to reaching out to companies for whatever challenge or query they have related to a product or service. And, they expect businesses to be responsive, helpful, and fast to solve their problems. 

If you are unaware of just how important customer service is to today’s consumers, find out that 58% of them would switch companies because of poor customer service. What’s more, 89% of them would be more likely to make another purchase after a positive customer service experience. So, overrunning your competition in terms of the quality of your customer service can genuinely help your business stay ahead of your industry rivals. 

Now, what market research has to do with this? In essence, market research can help you find how satisfied are your customers and prospects with your business and products. This will give you an idea of where your customers stand when they reach out to you and how you should approach the situation. By understanding your customers’ needs, wants, and struggles, your customer service professionals can also be more empathetic when offering support. 

The better your customer services are, the more satisfied your customers will be, and this leads to increased chances for your business to gain a good reputation and benefit from word-of-mouth. 

It helps you identify new market opportunities

Last but not least, market research is also a great way to identify new market opportunities that your industry rivals aren’t seeing and use them to innovate your business. 

Market research can show you emerging market and consumer trends. It can give you insights into what consumers want or need from a particular product and whether or not there’s a new business idea worth exploring and investing in based on what consumers want. 

Gaining all these insights ahead of your competitors allows your business to be the first to adapt to emerging trends and bring new features, products, or services to the market. 

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