In the digital world we live in today, the ability to keep a business relevant and appealing to the public has become a top priority in every industry. Businesses compete for attention more than ever. Whether you’re a startup trying to establish your identity or a well-known company looking to stay relevant, one thing remains essential: understanding your audience. This is where marketing research becomes a game-changer!
What is Marketing Research?
When we talk about marketing research, we refer to the ability to provide valuable information for effective decision-making within a company. In other words, it is the process of collecting and analyzing data to understand consumer behavior, industry trends, and the effectiveness of marketing efforts. This helps businesses make informed decisions rather than relying on guesswork.
Rick Kelly, in his Forbes article “Market Research: An Important Investment for Long-Term Viability,” explains five key benefits that marketing research can bring to a company:
Better understanding of target audience demographics and effective customer segmentation.
Studying competition and identifying market trends.
Guiding product development and gathering feedback through usability testing.
Assessing the effectiveness of current marketing campaigns.
Developing powerful future marketing strategies.
Marketing research is not just a tool for gathering information, it’s a strategic asset that adds immense value to a business. From better decision-making to increasing competitiveness, marketing research helps position your brand while minimizing risks and saving money.
Main Types of Market Research
Obtained from Upsilon.
Coca-Cola’s “New Coke” – A Marketing Research Lesson
A real-world example of marketing research in action is Coca-Cola’s “New Coke”.
In the early 1980s, Coca-Cola faced stiff competition from Pepsi, which was aggressively promoting the Pepsi Challenge, a blind taste test where consumers often preferred Pepsi’s sweeter taste over Coca-Cola. Concerned about losing market share, Coca-Cola decided to reformulate its drink and introduced “New Coke” in 1985.
To ensure the success of this move, Coca-Cola conducted primary marketing research, carrying out 200,000 taste tests. The results showed that consumers preferred the new formula over both the original Coke and Pepsi. With this data in hand, Coca-Cola confidently discontinued the original formula and launched New Coke.
Coca-Cola for its taste they had an emotional connection to the brand, its history, and what it represented. The backlash was so strong that within 79 days, Coca-Cola was forced to bring back the original formula as “Coca-Cola Classic.”
Even though New Coke was a failure, Coca-Cola’s response turned into a major success in marketing research. By recognizing the importance of both quantitative data (taste tests) and qualitative data (consumer emotions), Coca-Cola learned a valuable lesson about brand loyalty.
Marketing research is not just a tool for gathering information—it’s a strategic asset that adds immense value to a business.
Marketing research isn’t just for big corporations—it’s essential for businesses of all sizes. By understanding your audience, refining your brand positioning, and making data-driven decisions, you can build a strong and lasting brand image that truly connects with your customers.
So, if you want to build a successful brand, start with marketing research. The more you know, the better you can grow!
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