Market research is a reliable tool for figuring out how and to whom to direct your marketing efforts.
But where can you start to find such important data about your target market?
You will learn what market intelligence is, how to gather it, and how to use it from this in-depth manual.
Market intelligence: Definition
Market intelligence is the actual facts or information about the overall market for your company.
Market intelligence includes more than simply potential members of your target audience.
Market intelligence is gathered with the intention of assisting in the data-driven decision-making process for your business, not simply for your marketing initiatives.
Different kinds of market intelligence exist. These facts could consist of the following:
trends at the sectoral level.
sales of goods.
Business intelligence versus market intelligence
It’s crucial to distinguish between business intelligence and market intelligence.
Each of these knowledge areas has specific applications that are essential to a business’s success.
By definition, business intelligence relates to information that is specific to a business and its operations.
Here are the main distinctions:
The primary distinction is in how they collect data.
These information sources may include: Customer surveys, given that market intelligence focuses on external variables.
Price and economic data for consumers.
analysis of geography and demographics.
reports on consumer behavior.
Business intelligence, on the other hand, exclusively looks within. These information sources may be used to compile internal intelligence from:
Statements of profits and losses.
warehouses for data.
tools for project management.
surveys of employee satisfaction.
The main distinctions mentioned above ought to make it simpler to decide what kind of intelligence information your business could want at any given time.
Useful Market Intelligence Techniques
There are many ways to use market intelligence to your benefit, regardless of whether your organization is young or well-established.
You must first decide what your objectives are before you can learn how to use market intelligence. What do you hope to accomplish with market intelligence?
Letting that information respond to important business questions is the most efficient approach to using market intelligence:
Do our company’s objectives match those of the present market?
What market(s) would best represent our brand? Should we think about enlarging or concentrating on a niche?
Does our company need to change its resources to achieve its objectives?
What steps do buyers take to purchase our product?
How do clients learn about our goods (or those of our rivals)?
What characteristics would our ideal target client have? What actions and traits do they exhibit?
What do our rivals do that we don’t?
In essence, market intelligence examines the external environment (or market) that a brand operates in.
Analyses of market intelligence can be further divided into various types.
Trends in the Industry
Competitor analysis is another step in using market intelligence. Reviewing your brand’s competitors has the following objectives:
What are their advantages and disadvantages in comparison to your brand?
important product similarities or differences.
Finding the aforementioned factors can help you market your product or service more effectively.
Trends in Consumer Behavior
Analyzing consumer behavior surrounding your product or service is the best way to use market intelligence.
Utilize this information to learn about their problems or obstacles as well as the initial reasons they chose to acquire from you.
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This kind of knowledge can help maximize both the acquisition of new clients as well as the retention and engagement of current ones.
Market research on consumer behavior also aids in defining your ideal client and their important traits. This may consist of:
Shopping and browsing habits.
where they are now residing.
how they manage their finances.
family status or the range of household income.
Your marketing and public awareness efforts can be shaped by being aware of these crucial elements.
outside market variables
Another way to use market intelligence is to examine the markets where your company now operates or where you might wish to grow.
This kind of information can be used to determine how well your service or product does in the present market. It can also be used to determine the advantages and disadvantages of entering new markets as well as any possibilities or risks involved.
The trends in competition and consumer behavior may overlap with some of these external market factors. The wider picture for your organization as a whole will be better framed by combining all of the information into a market study.
How To Gather Market Information
Market intelligence shouldn’t be gathered from a single source. The story should be shaped around your target market with the assistance of numerous reliable and trustworthy sources.
Additionally, there is no “one size fits all” approach to gathering market intelligence. Setting a goal for what you hope to achieve with this research is the first step.
After deciding on a goal, the next step is to decide which metrics are crucial for your brand. The following are some examples of critical metrics:
Share of the total addressable market (TAM): How many people may possibly be interested in this good or service? What is the market’s anticipated growth rate?
Pricing signals: How do our prices stack up against the market’s average?
Information on rivals How many businesses compete in this market? How much of the market do they represent in comparison to us?
It’s finally time to begin gathering market intelligence. Here are a few techniques for beginning your data and research collection:
your own clients. The solution might be as straightforward as mailing surveys to current clients. Ask them important questions about how they made their purchase, their problems, and what they like best about your product.
databases for analytics. To assess client patterns, take into account both your own first-party analytics data as well as third-party marketing and analytics platforms that include competition data. Combining the two sources can aid in identifying numerous important differentiators.
Internet research This may entail reading through or investing in particular business publications or market-related reports. Even while the research could be expensive, it usually ends up paying for itself because you can use the findings to assist develop your brand strategy.
the lending cliff is “dangerously near” to the street economy.
industry professionals. For a price, these specialists often work one-on-one with businesses. They collaborate with other professionals in the field to steer product trends as market experts.
Although not a complete list, these topics ought to be able to give your market intelligence trip a head start.
The analysis phase follows the data collection phase. Utilize the advice provided above to your advantage while using market intelligence.
In conclusion, market intelligence is a useful tool for determining where your product or service stands in the present market.
Market intelligence gathering should be a constant activity for your brand because marketplaces are dynamic. Data collection for your market should not be seen as a one-time task.
You can stay ahead of the competition and have a better sense of where to allocate your time, money, and resources across all departments by developing a proactive approach to market data.