Why is Participating in Market Research Important?
Good question. After all, your time is very valuable, so you don’t just want to waste it away on frivolous activities. So, where should we begin?
For starters, market research is the process of gathering and analyzing information that can be used to solve vital challenges for companies. Rather than relying on gut feelings, market research allows a company to make educated decisions that will let them not only create a product that people want but do so in a feasible and efficient manner.
Whether your company is up-and-coming or a household name with years of recognition and experience, organizations of all sizes need the findings of proper market research to make the right decisions. Take, for example, Coca-Cola in 1985. After experiencing a decline in their market share over the previous years, management decided they needed to do something big to maintain their top spot.
What did they decide to do? They changed the famed formula to “New Coke,” and the people were not happy, at all. After less than three months and millions of dollars spent, Coca-Cola went back to their original formula and were fortunately able to save face. In retrospect, they could have avoided all the commotion if they had gone out and conducted some market research on why people buy Coke and if they would even want a new flavor.
Another factor to always keep in mind is globalization. When companies take their brands overseas, they need to pay extra attention to things like their branding and marketing messages, such as the slogan and even the brand’s name, to make sure they translate into the native language well. A great example of what not to do in this situation would be KFC’s “Finger Licking Good” campaign being launched in China. The infamous slogan haphazardly translated to “Eat your fingers off” which was understandably shocking and equally unappealing for new consumers. Again, this incident could have been avoided with Market Research.
To be fair, it was slightly harder to access public opinion without the help of the internet. Of course, that’s not a problem for the companies of today. Platforms, like Communa, help bridge the gap between consumers interests and companies’ actions. The information you provide is highly valuable, and increasingly sought after. Rather than having you fill out surveys out of the goodness of your heart, Communa facilitates a trade-off of your personal insights for points that can be used to redeem gift cards.
The information you provide is grouped with other respondents who match your demographics and/or psychographics. We can establish which clusters (groups of people with similar characteristics/traits) you fall into using the information you fill out in your Profilers during account setup. Using this data, a company can now model their next project in a way that will benefit you, even without knowing exactly who answered the survey.
No more ‘New Coke’ or KFC finger fiascos and needless marketing campaigns pushing products no one wants. Put simply, market research lets companies know what the people want!