Sixty-eight percent of companies that have increased sales have used market research to do so, according to the 2018 Market Research Impact Report conducted by Hanover Research (Hanover), a leading market research and analytics firm.
Hanover surveyed more than 300 business leaders to understand what market research approaches companies use, the impact market research has had on their businesses, and how they plan to incorporate market research in 2019.
“While companies still focus on more ‘traditional’ market research avenues like new market exploration and market trends, more companies are turning their attention to customer insights including assessing customer satisfaction or analyzing customer experience,” said Anil Prahlad, chief research officer, Hanover Research. “Companies then use the results from these studies to inform decisions that have real impact on other areas of the business, like new market expansion or product development.”
Key findings from the report include:
- Companies that frequently conduct market research are significantly more likely to report an increase in revenue over the last 12 months (76%) than those who infrequently conduct market research (65%).
- Companies that frequently conduct market research are more likely to improve customer retention, enter a new market, and launch a new product or service than their counterparts who do not conduct market research often.
- In 2019, companies will move away from using existing team members for market research projects (-3%) in favor of having a dedicated in-house person for research (+6%) or using an outside firm or consultant (+13%).
- 44% of companies expect their market research budgets to increase in 2019.
“This report shows businesses see value in market research across a number of priority areas – from entering new markets to gaining insights about current and prospective customers,” said Vineeta Mooganur, chief growth officer, Hanover Research. “In addition, companies that use market research are more successful along key growth indicators including increased sales and customer retention. When it comes down to it, market research is a key component of many companies’ success.”
To access the full Market Research Impact Report, click here.
About Hanover Research:
Founded in 2003, Hanover Research is a global market research and analytics firm that delivers market intelligence through a unique, fixed-fee model to more than 1,000 clients. Headquartered in Arlington, Virginia, Hanover employs high-caliber market researchers, analysts, and account executives to provide a service that is revolutionary in its combination of flexibility and affordability. Hanover was named a Top 50 Market Research Firm by the American Marketing Association in 2015, 2016, 2017, and 2018, and has also been twice named a Washington Business Journal Fastest Growing Company. To learn more about Hanover Research, visit http://www.hanoverresearch.com.