INS511 - Perspective on Market Research Industry

Individual Assignment 1

Submitted to: Prof. Ravi Miglani

NAME ENROLLMENT NO. PROGRAMME

Dhruvi Manan Shah AU2010257 IMBA

Introduction

Understandably, the field of market research provides businesses with leeway to investigate the
behavior of potential consumers and subsequently make strategic decisions for the administrator.
As a student of this complex subject, I have recognized the importance of market research in
developing marketing strategies in different industries. This reflection paper provides an
understanding of the market research industry today that examines its volume and distribution
and compares it with other industries. Focus on the readers, the historical movement of the
industry and what can be learned from its current situation will help address the evolutionary
questions.

In addition, the paper will focus mainly on the dynamics of the market research industry in terms
of where this industry is headed in the future with regard to the developments of big data,
machine learning, and mobile market research. It will also look for opportunities in these
changing landscapes and propose solutions to the problems that organizations will have in the
future. In managing a market research firm, I would embrace technology and build an ecosystem
on the market research trends within the industry. By expanding these sentiments, I seek to give
an elucidative account of the market research industry and why it is essential in the modern
world.

The Status of the Market Research Industry

Size and Spread

Market research is one of the industries that has registered tremendous growth gradually
becoming an essential aspect of the economies of many nations. In terms of industry size, the
industry has been valued at about seventy-six billion C0&D and it is expected to enjoy a growth
rate of three to five percent on a yearly basis in the das to come. The growth of the industry is
primarily driven by the growing need to make decisions influenced by data in sectors such as
retail, healthcare, information technology, and money. More and more organizations, businesses
included, are working towards understanding the behavior of their consumers, their preferences
and prevailing trends in their markets.

The market research industry comprises a number of service areas such as primary data
collection, desk research, data analytic services and consultancy projects. Qualitative research
aims to explore the reasons behind people’s judgments and attitudes and uses techniques like
focus groups and in-depth interviews. In contrast, quantitative analysis was used in research,
which is based on numbers that can constitute statistical evidence and bring out conclusions
which can prompt actions. Data analytics has come up as a service that is demanded by various
organizations with the utilization of big data rising.

With respect to other types of industries including advertisement and public relations, the market
research industry has its own place and significance that is not present in any other industry.
Advertising has a single function which is to sell the product and services. Market research on
the other hand is more of a back office operation as it primarily supports advertising efforts. It
offers the basic orientations that are necessary to enable companies know who their customers
are, the markets worth exploring and the impact of marketing on their clients.

The figure of the advertising industry that currently exceeds $600 billion globally provides
context for the market research function in an overall marketing process. Campaigns in
advertising would be devoid of any informed or in-depth understanding of the demographics and
psychographics of potential consumers if market research is not done. It is not a surprise
however that although smaller, the market research industry is critical in making sound
marketing decisions and ultimately bringing successful business results to companies

Even as the environment keeps changing, the use of modern technologies like big data analytics,
artificial intelligence, machine learning etc in market research continues to improve the practive
even more. These technologies help researchers to collect the necessary data and conduct
analysis in a more effective way thus understanding the consumers and the market better. Hence
the market research industry is not only growing in volume but also sophistication, advancing in
its engagement in the pursuit of business intelligence and competitive edge.

Lessons from the Current Status

The current condition of the market research industry helps us derive some very critical lessons.
First, it can be said that the lesson of the need of adaptability is crucial. Since the tastes and
habits of the population are changing, such changes must be reflected in the methodologies and
methodologies of market research organizations in this case as well. Development of information
technologies and emergence of social networks changed the very process of data gathering and
data processing requiring the conformation to modern day circumstances as against conventional
research.

Secondly, even though researchers’ involvement into analytical processes has not been replaced
completely, the processes are growing in collaboration with technology especially big data and
artificial intelligence (AI) the requisite of this research. Companies that are ready to utilize these
technologies can obtain richer details and make more precise forecasts saving their clients’ time
and increasing their worth. And this position underlines the necessity for market research
practitioners to ‘upskill’ as the nature of conducting market research evolves into data science.

The Future of the Market Research Industry

Key Trends
As we look to the future, several key trends are emerging concerning the market research
industry's current and upcoming growth: big data and AI, mobile research, and concerning
methods Understanding emotions.

● Big Data and AI: The use of big data and AI is changing the landscape of market
research. Companies are increasingly resorting to the advanced analytical techniques
which can almost analyze fathomless data overtly and get patterns and trends which were
hidden until now. This trend is expected to increase as AI makes it possible for tools to
support data collection and analysis.
● Mobile Research: Considering the high usage of smartphones, mobile research has
rapidly become the leading form of research. It presents much opportunities to the
consumers utilizing mobile surveys and apps who can now be researched virtually in real
time. This trend indicates the necessity for the market research agencies in reformatting
their approaches so as to encompass mobile methods.
 ● Understanding Emotions: More focus is being done on comprehending what consumers
feel and do in a more internal perspective. Techniques such as neuromarketing and
ethnography are on the rise as companies try to understand the hidden reasons behind
consumer behavior. This trend depicts the increasing role of qualitative research in
measuring the current status that contains a number of quantitative data.
● Social Media Research: Platforms of the social media provide immense consumer
information for the companies. Social media monitoring is gaining ground in market
research companies wanting to assess the mood or improve the image of the brand and to
reveal trends. This trend shows that it is necessary for researchers to know how to track
and analyze social media.
● Automation: The market research processes’ data gathering and reporting functionalities
automation is making market research processes more efficient. Firms that go for
automation can bring down the expenses and speed up the processes thereby focusing on
actionable insights.

Challenges and Strategies for Firms

Nevertheless, the future of the market research industry is very attractive, but the companies
have to deal with several issues. Continuous research and upgradation of the existing equipment
and methods are needed due to the rapid technological advances. Moreover, competition from
other businesses, such as technology and consulting companies, has been on the rise posing a
threat to conventional market research companies.

In order to make such acceptances, the firms in question should have drive in them. Such
includes spending time on the training, workshops and conferences with a view of improving the
skills of the current researchers. New technology can prove beneficial in enhancing the firm’s
operations and as a result, the firm can be able to make use of modern technology and systems.

Also, there is a great need to strengthen the trust of the customers and this is through
accomplishing their requirements for research with regard to the respondents’ target market. A
proper appreciation of the specific needs of clients and their problems will make it easier to offer
better insights and have enduring relationships.

Innovating to Stay Ahead

Running a market research company gives me an opportunity where I would be more

enthusiastic in embracing creativity as a way of anticipating what the industry needs. Some of
the strategies I would come up would include:

● Adopt new Technology: I would also seek for robust post-processing equipment and AI
powered tools than would increase processing and analyzing of data. Some clients would
leverage on these technologies to help us painlessly understand their business and predict
their needs accurately.
● Range of Research Methods: I would combine both qualitative and quantitative
research in carrying out research. Such an approach would enable us to understand the
entire picture of the users and their preferences that we offer to the customers as the
clients’ perspectives.
● Do Not Only Think of the Past: I would analyze the situation on the ground to collect
and analyze information as they arise. Mobile research, particularly, enabled by
technology may also benefit in this situation.
● The Clients should be Quiet: Clients are important to everyone. From my experience, I
would advocate for face-to-face interactions with the clients by conducting periodic
follow-ups and feedback.
● Encourage Experimental Thinking: I would instil an experimental culture in the
organization where workers would freely engage in beneficial random changes. By
organizing approximately three per month team competitions where every team files all
innovations and methods used to achieve the goal.
Conclusion

The market research industry is transforming at a very rapid rate, a change brought about by
technological development and shifting consumer patterns. In particular, a student who is
venturing into this field understands what the current picture and the future prospects entail.
There is no building any argument without emphasizing on technology. In addition to the more
basic techniques of data collection and analysis that have been employed, advanced technologies
like AI, machine learning and big data are now being added. And these technologies assist the
companies to work with bulk of the information quickly and accurately, in a real time reality that
is very important for the modern world of business.

The field of market research is also re-defining its boundaries. Companies have expanded their
research tools to include behavioral studies, sentiment analysis and prediction rather than simply
engaging in surveys and focus groups. This wider approach provides a more complete picture of
how consumers behave, as well as the reasons behind their actions and what is likely to happen
next. Yet, this rapid growth in the industry also has disadvantages. In addition to that, there is a
great need for people who can dig into data and fit technologies into the context, but there are not
enough of these people around. Further, with the advancing of machines, there is also the need to
address the issue of data analysis from a human perspective.

In such a situation, it is obvious that one has to focus on building strong client relationships.
Organizations have to go further than provision of data only and meet the expectations of clients
by offering strategies that have been developed from their data. Diligence and teamwork are the
most important ingredients that defend the essence and relevance of research output. While I am
still a student and choose a direction for my future profession, namely, market research, I do not
wish to diverge from new technologies and research tools and aspire to healthy client relations.
In this way, however, I would like to help the industry in further developments and
improvements which will determine the direction of the industry tomorrow.