Check out these exciting new options for market research
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An understanding of customer demand is critical for small and large businesses to grow profitably. Market research can build this understanding, but, in the past, many market research options were time consuming and expensive. They typically involved hiring a market research company to conduct focus groups or surveys using a customer panel or buying large datasets from a syndicated data supplier. And, they didn’t always offer a good solution to the specific questions that a business was trying to answer.
Now, new technologies and ideas like crowdsourcing are driving innovation in the market research landscape and promising to disrupt the status quo. A number of start-ups have emerged in recent years and are offering more (and better) options for businesses looking to understand their customers. In many cases, they are also offering lower cost solutions, making market research more accessible to small businesses. Here are three interesting market research start-ups that have emerged recently:
InfoScout
Market research giants Nielsen and IRI have traditionally owned the market for syndicated purchase data. The data is rich, but limited (for example, it is weak beyond traditional grocery/CPG products), innovation has been relatively slow, and the cost can be prohibitively high for a small business.
InfoScout is using technology to build a better source of household level data. They provide an app through which users take pictures of their shopping receipts with their smartphone, and InfoScout cleans and analyses the data. Their approach enables them to more easily reach a larger group of consumers, including critical younger consumers, and to gather a wider range of information. They claim to now have the largest source of panel retail data. Like Nielsen or IRI, they also offer custom surveys and studies.
Lab42
In the past, executing quantitative research meant tapping into a customer panel that offered a limited sample of consumers (many of whom took surveys regularly) and was expensive and time consuming. A variety of alternatives have emerged, many leveraging communities of online users.
One such option is Lab42, which operates on a traditional consulting-based model but uses a more streamlined approach that is quicker and cheaper than working with a large market research firm or consultancy. A key element of their approach is their use of social media applications to target respondents, which accesses a broader range of consumers and fresher opinions than traditional panels. They claim to deliver results in 3-5 days, a benefit to any business but especially to start-ups and growth stage companies that are moving quickly.
Gigwalk
Gathering live information on retail locations or how customers shop for a product traditionally involved a significant investment either in employee time (and often travel) or in hiring a consulting firm. Both options usually required prioritizing targets and, for example, only visiting a few geographies or stores.
Gigwalk leverages crowdsourcing to gather real time, on the ground insights with potential to reach a huge number of locations. They provide an app through which users select and complete small tasks such as visiting a store and taking pictures. They can investigate questions like whether your product is in stock, whether it’s displayed appropriately, or what your competitors are doing. Gigwalk has hundreds of thousands of users meaning you can gather a much larger sample of information as opposed to other methods.
This is just a sample of the start-ups that, along with innovative products from some of the big players, offer new and exciting options for market research. And, companies like HourlyNerd are now providing easier access to market researchers and consultants who can help businesses execute and leverage market research. If you are looking for a better understanding of your customers and market, take some time to explore the variety of options that exist.