Market research is undertaken to:

• Describe the market (identify the customers)
• Explain the market (understand why changes in the market have occured)
• Predict changes in the market
• Investigate the potential reaction of consumers in the future

Quantitative research - involves collecting a wide collection of facts to establish any trends. E.g sales data

Qualitative research - research techniques in which data is obtained from a relatively small group of respondents and not analyzed with statistical techniques. E.g focus groups

Primary Research (field research) - when a business themselves collects the data

Examples:

• Interviews
• Surveys
• Observation
• Consumer Panels
• Focus Groups
• Trial Marketing

Secondary Research (desk research) - this is data that already exists, the two main sources are internal and external

Internal:

• Sales data
• Previous survey results
• Customer information
• Company reports

External:

• Market research companies
• The Internet
• Trade publications
• Newspapers and Magazines
• Competitors
• Government statistics and reports