Secondary market research is easy to find, and much of it is free or low-cost. For instance, you can find secondary market research online at government or industry websites, at your local library, on business websites, and in magazines and newspapers. The downside of secondary market research is that it is not customized to your needs, so it may not be as useful as primary market research.
For example, secondary research will tell you how much money U. Focus groups, surveys, field tests, interviews, and observation are examples of primary market research. Primary market research lets you investigate an issue of specific interest to your business, get feedback about your website, assess demand for a proposed service, gauge response to various packaging options, find out how much consumers will pay for a new product, and more.
In addition, primary research is usually based on statistical methodologies that involve sampling as little as 1 percent of a target market. This tiny sample can give an accurate representation of a particular market. You might not be sure if the material you found online reflects an accurate portrayal of the whole industry. Methods of primary data collection vary based upon the goals of the research, as well as the type and depth of information being sought. In-depth interviews present the opportunity to gather detailed insights from leading industry participants about their business, competitors and the greater industry.
Surveys yield the most meaningful data when they ask the right questions of the right people in the right way, so care should be taken both to develop survey questions respondents will find relevant and interesting, and to determine which method of conducting the survey online, telephone or in-person is most appropriate.
A focus group can get a small group of people that fit your target demographic in a room to discuss what they like, dislike, are confused by, would do differently — whatever. Prefer to eavesdrop rather than ask questions outright? Social media monitoring can help you keeps tabs on candid conversations about your industry, your company and your competitors.
How much are people talking about your brand compared to competitive brands? How are your competitors portraying themselves via social media, and what does that say about their strategy? We know what sorts of questions to ask various constituent groups such as manufacturers, distributors, end-users, industry associations and regulatory bodies , and because we are an independent, third-party firm, you can trust that their answers will be candid and unbiased.
Not only do we know where and how to find all the data needed for a successful research project, we know how to bring it all together so that an abundance of data points is transformed into meaningful and actionable insights for your business. We cross-check pieces of information against one another to identify both trends and outliers, ensuring you get a complete and accurate picture of the industry.
This white paper is written by experts at Freedonia Custom Research. For instance, government statistics on a country's agriculture will help decide how to stratify a sample and, once sample estimates have been calculated, these can be used to project those estimates to the population. The problems of secondary sources Whilst the benefits of secondary sources are considerable, their shortcomings have to be acknowledged.
There is a need to evaluate the quality of both the source of the data and the data itself. The main problems may be categorised as follows: Definitions The researcher has to be careful, when making use of secondary data, of the definitions used by those responsible for its preparation.
Suppose, for example, researchers are interested in rural communities and their average family size. If published statistics are consulted then a check must be done on how terms such as "family size" have been defined. They may refer only to the nucleus family or include the extended family. Even apparently simple terms such as 'farm size' need careful handling. Such figures may refer to any one of the following: It should be noted that definitions may change over time and where this is not recognised erroneous conclusions may be drawn.
Geographical areas may have their boundaries redefined, units of measurement and grades may change and imported goods can be reclassified from time to time for purposes of levying customs and excise duties. The only solution is to try to speak to the individuals involved in the collection of the data to obtain some guidance on the level of accuracy of the data.
The problem is sometimes not so much 'error' but differences in levels of accuracy required by decision makers. When the research has to do with large investments in, say, food manufacturing, management will want to set very tight margins of error in making market demand estimates. In other cases, having a high level of accuracy is not so critical.
For instance, if a food manufacturer is merely assessing the prospects for one more flavour for a snack food already produced by the company then there is no need for highly accurate estimates in order to make the investment decision. Source bias Researchers have to be aware of vested interests when they consult secondary sources. Those responsible for their compilation may have reasons for wishing to present a more optimistic or pessimistic set of results for their organisation.
It is not unknown, for example, for officials responsible for estimating food shortages to exaggerate figures before sending aid requests to potential donors. Similarly, and with equal frequency, commercial organisations have been known to inflate estimates of their market shares. Reliability The reliability of published statistics may vary over time. It is not uncommon, for example, for the systems of collecting data to have changed over time but without any indication of this to the reader of published statistics.
Geographical or administrative boundaries may be changed by government, or the basis for stratifying a sample may have altered. Other aspects of research methodology that affect the reliability of secondary data is the sample size, response rate, questionnaire design and modes of analysis. Time scale Most censuses take place at 10 year intervals, so data from this and other published sources may be out-of-date at the time the researcher wants to make use of the statistics.
The time period during which secondary data was first compiled may have a substantial effect upon the nature of the data. For instance, the significant increase in the price obtained for Ugandan coffee in the mid's could be interpreted as evidence of the effectiveness of the rehabilitation programme that set out to restore coffee estates which had fallen into a state of disrepair. However, more knowledgeable coffee market experts would interpret the rise in Ugandan coffee prices in the context of large scale destruction of the Brazilian coffee crop, due to heavy frosts, in , Brazil being the largest coffee producer in the world.
Whenever possible, marketing researchers ought to use multiple sources of secondary data. In this way, these different sources can be cross-checked as confirmation of one another. Where differences occur an explanation for these must be found or the data should be set aside. As can be seen, the flowchart divides into two phases. The early stages of the flowchart relate to the relevance of the data to the research objectives. The later stages of the flowchart are concerned with questions about the accuracy of secondary data.
Internal sources of secondary information Sales data: All organisations collect information in the course of their everyday operations. Orders are received and delivered, costs are recorded, sales personnel submit visit reports, invoices are sent out, returned goods are recorded and so on.
Marketing research requires data, and secondary data is often the most convenient and cost-effective option. In this lesson, you'll learn about secondary data, including its sources and how to.
Secondary research uses outside information assembled by government agencies, industry and trade associations, labor unions, media sources.
Besides the above mentioned sources of marketing research, there are many other sources of supplying secondary data e.g., colleges and universities stock exchanges and commodity exchanges, specialised libraries’, internal sources such as sales and purchase records, salesman, reports, sales orders, customer complaints and records . As opposed to primary market research, secondary market research is a research technique that does not aim to gather information from scratch but relies on already available information from multiple sources. This research focuses on data or information that was collected by other people and is available for either free or paid .
Read on for a quick breakdown of secondary and primary data and tips for finding valuable insights for your market research needs. At the highest level, market research data can be categorized into secondary and primary types. Examples of secondary data are research reports, government reports, censuses, weather reports, interviews, the Internet, reference books, organizational reports and accounting documents. Secondary data can be defined as information collected by someone other than the user. The use of secondary data.