how to do business research methods

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Business Research: Methods, Types & Examples

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Business research: Definition

Quantitative research methods, qualitative research methods, advantages of business research, disadvantages of business research, importance of business research.

Business research is a process of acquiring detailed information on all the areas of business and using such information to maximize the sales and profit of the business. Such a study helps companies determine which product/service is most profitable or in demand. In simple words, it can be stated as the acquisition of information or knowledge for professional or commercial purposes to determine opportunities and goals for a business.

Business research can be done for anything and everything. In general, when people speak about business research design , it means asking research questions to know where the money can be spent to increase sales, profits, or market share. Such research is critical to make wise and informed decisions.

LEARN ABOUT: Research Process Steps

For example: A mobile company wants to launch a new model in the market. But they are not aware of what are the dimensions of a mobile that are in most demand. Hence, the company conducts business research using various methods to gather information, and the same is then evaluated, and conclusions are drawn as to what dimensions are most in demand.

This will enable the researcher to make wise decisions to position his phone at the right price in the market and hence acquire a larger market share.

LEARN ABOUT:  Test Market Demand

Business research: Types and methodologies

Business research is a part of the business intelligence process. It is usually conducted to determine whether a company can succeed in a new region, to understand its competitors, or simply select a marketing approach for a product. This research can be carried out using steps in qualitative research methods or quantitative research methods.

Quantitative research methods are research methods that deal with numbers. It is a systematic empirical investigation using statistical, mathematical, or computational techniques . Such methods usually start with data collection and then proceed to statistical analysis using various methods. The following are some of the research methods used to carry out business research.

LEARN ABOUT: Data Management Framework

Survey research

Survey research is one of the most widely used methods to gather data, especially for conducting business research. Surveys involve asking various survey questions to a set of audiences through various types like online polls, online surveys, questionnaires, etc. Nowadays, most of the major corporations use this method to gather data and use it to understand the market and make appropriate business decisions.

Various types of surveys, like cross-sectional studies , which need to collect data from a set of audiences at a given point of time, or longitudinal surveys which are needed to collect data from a set of audiences across various time durations in order to understand changes in the respondents’ behavior are used to conduct survey research. With the advancement in technology, surveys can now be sent online through email or social media .

For example: A company wants to know the NPS score for their website i.e. how satisfied are people who are visiting their website. An increase in traffic to their website or the audience spending more time on a website can result in higher rankings on search engines which will enable the company to get more leads as well as increase its visibility.

Hence, the company can ask people who visit their website a few questions through an online survey to understand their opinions or gain feedback and hence make appropriate changes to the website to increase satisfaction.

Learn More:  Business Survey Template

Correlational research

Correlational research is conducted to understand the relationship between two entities and what impact each one of them has on the other. Using mathematical analysis methods, correlational research enables the researcher to correlate two or more variables .

Such research can help understand patterns, relationships, trends, etc. Manipulation of one variable is possible to get the desired results as well. Generally, a conclusion cannot be drawn only on the basis of correlational research.

For example: Research can be conducted to understand the relationship between colors and gender-based audiences. Using such research and identifying the target audience, a company can choose the production of particular color products to be released in the market. This can enable the company to understand the supply and demand requirements of its products.

Causal-Comparative research

Causal-comparative research is a method based on the comparison. It is used to deduce the cause-effect relationship between variables. Sometimes also known as quasi-experimental research, it involves establishing an independent variable and analyzing the effects on the dependent variable.

In such research, data manipulation is not done; however, changes are observed in the variables or groups under the influence of the same changes. Drawing conclusions through such research is a little tricky as independent and dependent variables will always exist in a group. Hence all other parameters have to be taken into consideration before drawing any inferences from the research.

LEARN ABOUT: Causal Research

For example: Research can be conducted to analyze the effect of good educational facilities in rural areas. Such a study can be done to analyze the changes in the group of people from rural areas when they are provided with good educational facilities and before that.

Another example can be to analyze the effect of having dams and how it will affect the farmers or the production of crops in that area.

LEARN ABOUT: Market research trends

Experimental research

Experimental research is based on trying to prove a theory. Such research may be useful in business research as it can let the product company know some behavioral traits of its consumers, which can lead to more revenue. In this method, an experiment is carried out on a set of audiences to observe and later analyze their behavior when impacted by certain parameters.

LEARN ABOUT: Behavioral Targeting

For example: Experimental research was conducted recently to understand if particular colors have an effect on consumers’ hunger. A set of the audience was then exposed to those particular colors while they were eating, and the subjects were observed. It was seen that certain colors like red or yellow increase hunger.

Hence, such research was a boon to the hospitality industry. You can see many food chains like Mcdonalds, KFC, etc., using such colors in their interiors, brands, as well as packaging.

Another example of inferences drawn from experimental research, which is used widely by most bars/pubs across the world, is that loud music in the workplace or anywhere makes a person drink more in less time. This was proven through experimental research and was a key finding for many business owners across the globe.

Online research / Literature research

Literature research is one of the oldest methods available. It is very economical, and a lot of information can be gathered using such research. Online research or literature research involves gathering information from existing documents and studies, which can be available at Libraries, annual reports, etc.

Nowadays, with the advancement in technology, such research has become even more simple and accessible to everyone. An individual can directly research online for any information that is needed, which will give him in-depth information about the topic or the organization.

Such research is used mostly by marketing and salespeople in the business sector to understand the market or their customers. Such research is carried out using existing information that is available from various sources. However, care has to be taken to validate the sources from where the information is going to be collected.

For example , a salesperson has heard a particular firm is looking for some solution that their company provides. Hence, the salesperson will first search for a decision maker from the company, investigate what department he is from, and understand what the target company is looking for and what they are into.

Using this research, he can cater his solution to be spot on when he pitches it to this client. He can also reach out to the customer directly by finding a means to communicate with him by researching online.’

LEARN ABOUT: 12 Best Tools for Researchers

Qualitative research is a method that has a high importance in business research. Qualitative research involves obtaining data through open-ended conversational means of communication. Such research enables the researcher to not only understand what the audience thinks but also why he thinks it.

In such research, in-depth information can be gathered from the subjects depending on their responses. There are various types of qualitative research methods, such as interviews, focus groups, ethnographic research, content analysis, and case study research, that are widely used.

Such methods are of very high importance in business research as they enable the researcher to understand the consumer. What motivates the consumer to buy and what does not is what will lead to higher sales, and that is the prime objective for any business.

Following are a few methods that are widely used in today’s world by most businesses.

Interviews are somewhat similar to surveys, like sometimes they may have the same types of questions used. The difference is that the respondent can answer these open-ended questions at length, and the direction of the conversation or the questions being asked can be changed depending on the response of the subject.

Such a method usually gives the researcher detailed information about the perspective or opinions of its subject. Carrying out interviews with subject matter experts can also give important information critical to some businesses.

For example: An interview was conducted by a telecom manufacturer with a group of women to understand why they have less number of female customers. After interviewing them, the researcher understood that there were fewer feminine colors in some of the models, and females preferred not to purchase them.

Such information can be critical to a business such as a  telecom manufacturer and hence it can be used to increase its market share by targeting women customers by launching some feminine colors in the market.

Another example would be to interview a subject matter expert in social media marketing. Such an interview can enable a researcher to understand why certain types of social media advertising strategies work for a company and why some of them don’t.

LEARN ABOUT: Qualitative Interview

Focus groups

Focus groups are a set of individuals selected specifically to understand their opinions and behaviors. It is usually a small set of a group that is selected keeping in mind the parameters for their target market audience to discuss a particular product or service. Such a method enables a researcher with a larger sample than the interview or a case study while taking advantage of conversational communication.

Focus group is also one of the best examples of qualitative data in education . Nowadays, focus groups can be sent online surveys as well to collect data and answer why, what, and how questions. Such a method is very crucial to test new concepts or products before they are launched in the market.

For example: Research is conducted with a focus group to understand what dimension of screen size is preferred most by the current target market. Such a method can enable a researcher to dig deeper if the target market focuses more on the screen size, features, or colors of the phone. Using this data, a company can make wise decisions about its product line and secure a higher market share.

Ethnographic research

Ethnographic research is one of the most challenging research but can give extremely precise results. Such research is used quite rarely, as it is time-consuming and can be expensive as well. It involves the researcher adapting to the natural environment and observing its target audience to collect data. Such a method is generally used to understand cultures, challenges, or other things that can occur in that particular setting.

For example: The world-renowned show “Undercover Boss” would be an apt example of how ethnographic research can be used in businesses. In this show, the senior management of a large organization works in his own company as a regular employee to understand what improvements can be made, what is the culture in the organization, and to identify hard-working employees and reward them.

It can be seen that the researcher had to spend a good amount of time in the natural setting of the employees and adapt to their ways and processes. While observing in this setting, the researcher could find out the information he needed firsthand without losing any information or any bias and improve certain things that would impact his business.

LEARN ABOUT:   Workforce Planning Model

Case study research

Case study research is one of the most important in business research. It is also used as marketing collateral by most businesses to land up more clients. Case study research is conducted to assess customer satisfaction and document the challenges that were faced and the solutions that the firm gave them.

These inferences are made to point out the benefits that the customer enjoyed for choosing their specific firm. Such research is widely used in other fields like education, social sciences, and similar. Case studies are provided by businesses to new clients to showcase their capabilities, and hence such research plays a crucial role in the business sector.

For example: A services company has provided a testing solution to one of its clients. A case study research is conducted to find out what were the challenges faced during the project, what was the scope of their work, what objective was to be achieved, and what solutions were given to tackle the challenges.

The study can end with the benefits that the company provided through its solutions, like reduced time to test batches, easy implementation or integration of the system, or even cost reduction. Such a study showcases the capability of the company, and hence it can be stated as empirical evidence of the new prospect.

Website visitor profiling/research

Website intercept surveys or website visitor profiling/research is something new that has come up and is quite helpful in the business sector. It is an innovative approach to collect direct feedback from your website visitors using surveys. In recent times a lot of business generation happens online, and hence it is important to understand the visitors of your website as they are your potential customers.

Collecting feedback is critical to any business, as without understanding a customer, no business can be successful. A company has to keep its customers satisfied and try to make them loyal customers in order to stay on top.

A website intercept survey is an online survey that allows you to target visitors to understand their intent and collect feedback to evaluate the customers’ online experience. Information like visitor intention, behavior path, and satisfaction with the overall website can be collected using this.

Depending on what information a company is looking for, multiple forms of website intercept surveys can be used to gather responses. Some of the popular ones are Pop-ups, also called Modal boxes, and on-page surveys.

For example: A prospective customer is looking for a particular product that a company is selling. Once he is directed to the website, an intercept survey will start noting his intent and path. Once the transaction has been made, a pop-up or an on-page survey is provided to the customer to rate the website.

Such research enables the researcher to put this data to good use and hence understand the customers’ intent and path and improve any parts of the website depending on the responses, which in turn would lead to satisfied customers and hence, higher revenues and market share.

LEARN ABOUT: Qualitative Research Questions and Questionnaires

• Business research helps to identify opportunities and threats.
• It helps identify research problems , and using this information, wise decisions can be made to tackle the issue appropriately.
• It helps to understand customers better and hence can be useful to communicate better with the customers or stakeholders.
• Risks and uncertainties can be minimized by conducting business research in advance.
• Financial outcomes and investments that will be needed can be planned effectively using business research.
• Such research can help track competition in the business sector.
• Business research can enable a company to make wise decisions as to where to spend and how much.
• Business research can enable a company to stay up-to-date with the market and its trends, and appropriate innovations can be made to stay ahead in the game.
• Business research helps to measure reputation management
• Business research can be a high-cost affair
• Most of the time, business research is based on assumptions
• Business research can be time-consuming
• Business research can sometimes give you inaccurate information because of a biased population or a small focus group.
• Business research results can quickly become obsolete because of the fast-changing markets

Business research is one of the most effective ways to understand customers, the market, and competitors. Such research helps companies to understand the demand and supply of the market. Using such research will help businesses reduce costs and create solutions or products that are targeted to the demand in the market and the correct audience.

In-house business research can enable senior management to build an effective team or train or mentor when needed. Business research enables the company to track its competitors and hence can give you the upper hand to stay ahead of them.

Failures can be avoided by conducting such research as it can give the researcher an idea if the time is right to launch its product/solution and also if the audience is right. It will help understand the brand value and measure customer satisfaction which is essential to continuously innovate and meet customer demands.

This will help the company grow its revenue and market share. Business research also helps recruit ideal candidates for various roles in the company. By conducting such research, a company can carry out a SWOT analysis , i.e. understand the strengths, weaknesses, opportunities, and threats. With the help of this information, wise decisions can be made to ensure business success.

LEARN ABOUT:  Market research industry

Business research is the first step that any business owner needs to set up his business to survive or to excel in the market. The main reason why such research is of utmost importance is that it helps businesses to grow in terms of revenue, market share, and brand value.

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Business Research: Types, Methods, Examples

• Updated on  
• Jan 29, 2024

Ever wondered what it takes to build a flourishing business ? Aiming to provide maximum sales and profit, business research helps you to gather comprehensive information about your business and accordingly make relevant changes if required. So, in this process of being successful, we gather all types of data to better define our strategies and understand what products or services customers want. And in case, you’re planning to expand your business, research can help you determine your odds of positive results. In this blog, we’ll help you understand the basics of research and analysis .

“Whoever gets closer to the customer, wins.” – Bernadette Jiwa

This Blog Includes:

What is business research, business research example, importance of business research, types & methods, focus groups , case study research , ethnographic research, survey , correlation research , experimental research , advantages and disadvantages of business research, scope of business research, role of business research, business research books, business research report, top 10 tools for business research, business research partners, top 10 business research topics, career prospects , [bonus] best mba colleges in the world.

Business Research can be simply defined as a process of gathering comprehensive data and information on all the areas of business and incorporating this information for sales and profit maximization. If you are wondering what is Business Research, it is a systematic management activity helping companies to determine which product will be most profitable for companies to produce. Also, there are multiple steps in conducting research, with each thoroughly reviewed to ensure that the best decision is made for the company as a whole.

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Let’s say there’s an automobile company that is planning to launch a car that runs on CNG. To promote cleaner fuel, the company will be involved in developing different plans and strategies to identify the demand for the car they intend to launch. Other than this, the company will also look for competitors, and the target audience, keeping in mind the distribution of CNG in India. Hence the research is conducted on various ideas to formulate a sustainable and more efficient design. 

When it comes to the question of why Business Research is important, it has an essential role to play in varied areas of business. Here are some of the reasons describing the importance of Business Research:

• It helps businesses gain better insights into their target customer’s preferences, buying patterns, pain points, as well as demographics.
• Business Research also provides businesses with a detailed overview of their target markets, what’s in trend, as well as market demand.
• By studying consumers’ buying patterns and preferences as well as market trends and demands with the help of business research, businesses can effectively and efficiently curate the best possible plans and strategies accordingly.
• The importance of business research also lies in highlighting the areas where unnecessary costs can be minimized and those areas in a business which need more attention and can bring in more customers and hence boost profits.
• Businesses can constantly innovate as per their customers’ preferences and interests and keep their attention on the brand.
• Business Research also plays the role of a catalyst as it helps businesses thrive in their markets by capturing all the available opportunities and also meeting the needs and preferences of their customers.

Also Read: Business Analyst vs Data Analyst

Business research plays an important role in the business intelligence process. This is usually conducted to determine if a company can succeed in a new region through competitive analyses and a better marketing approach. Due to this, this broad field has been distinguished into two types namely, Qualitative Research and Quantitative Research Method.

Here are the most important types of Business Research :

Qualitative Research Methods 

It involves putting open-ended questions to the audience through different channels of communication to understand why researchers think in a particular manner. Stress is laid on understanding the intent, attitude, and beliefs to figure out the behaviour and response of the customers. Moreover, the goal of Qualitative Business Research is to get in-depth knowledge about the subjects of the research. Moreover, qualitative research enables us to put the perspective of the consumer in front of the researcher so that we can understand and see the alignment of the ideas between the market and the business. 

The data collected in this type of business research is by the following methods:  

• Interviews 
• Case Study 
• Ethnographic Research 
• Website Visitor Profiling 
• Content Analysis 

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Let us take a detailed look at some of the ways-

Interviews and surveys are similar. The only difference lies in the fact that the responder can put a question in an interview whilst it is not possible during a survey. Through interviews, it is easier to understand the detailed perspective of the person concerning the subject of research. A mobile brand researched to understand why certain colours are preferred by male and female customers. The research revealed that since red is assumed to be a feminine colour, it is more preferred by females than males. 

Focus groups are a type of business research that involves only a set of individuals. Each selected individual represents a particular category of the target market. The major difference between interviews and focus groups is the number of people that it involves. To launch a new product for a particular group of society, focus groups prove to be the best way to understand the needs of the local audience. 

For example, Tesla decides to launch their latest car model in India. The company, therefore, will require feedback from the Indian audience only.

Did you know? Amazon, the internet giant changed its payment strategy to enter the Indian market. Since the Indian economy was not entirely ready for online modes of payment, amazon introduced a new payment method and came up with ‘ cash on delivery ’ to gain consumers’ trust.

One of the most effective ways for business research is conducting case studies. With the motive to understand customer satisfaction, challenges that usually the customers face while using the product and hence, providing them with the right solution can be achieved by analysing data secured through data secured by case studies. Case study researchers are conducted in many fields of business that ultimately aid organisations in improving their products or services. 

Ethnographic Research refers to understanding people as a whole. One must be able to grok their consumers or target audience which will help identify patterns, flaws, etc. Ethnography is a branch of anthropology that is the study of what elements or features make us humans. How did people live? What aspect made us so dependent on smartphones and technology? Why would people buy one product over the other? It refers to asking questions about lifestyle, communities, etc., and trying to gain insight into consumer behaviour and buying patterns.

For example, consider a random product. Are people looking for that product? Do they need it? Is it a necessity or a luxury? Which class of people are most likely to buy it? People often cannot comprehend what they are looking for. Gaining different perceptions can help us tailor our products accordingly to the consumers. Who would have thought that the majority of humans will need face masks for survival?

Also Read: How to Become a Research Analyst?

Quantitative Research Methods 

With the employment of mathematical, statistical and computational techniques, quantitative research is carried out to deal with numbers. This systematical empirical investigation starts with the acquisition of the data and then moves on to analyzing it with the help of different tools. The goal is to identify clientele and then meet the targets of the audience. As the method of business research employs a questionnaire to determine the audience’s response, the questions are built around the idea that the audience knows about the product or the services that the firm offers. Some of the key questions answered in quantitative research methods include, who is connected with your network, how they qualify for the ‘product’ or how regularly they visit your website.

The data is collected based on the following research:

• Correlational
• Online 
• Casual Comparative 
• Experimental 

It is the most common method under quantitative research via which a huge amount of data can be collected concerning a product or service. A common set of questions are asked to the people and they are asked to provide their inputs. To understand the nature of the market in-depth, this method is massively used by leading organisations all across the globe. Analysing data recorded through service helps organisations make suitable decisions.

Under this research, usually two entities are put together to examine the impact they create on each other. As suggested by the name it is the best process to understand patterns, relationships and trends. the data grasped through correlation research is generally combined with other tools as one cannot achieve a firm conclusion using this type of business research.  

Experimental research is purely based on proving a particular theory that is pre-assumed. True experimental research companies can understand varied behavioural traits of the customers that further assist them in generating more revenue. Exposing a set of audience to common parameters, their behaviour is recorded and hence analysed. This can be understood as the main basis of the experimental research. 

Also Read: Scope of Operation Research

There are certain pros and cons of business research that you must know about. Here are the advantages and disadvantages of Business Research.

Advantages of Business Research

• Business Research plays the role of a catalyst in identifying potential threats, issues as well as opportunities .
• It provides a detailed analysis of customers and the target audience , thus helping in building better relationships with one’s audience and capturing the areas which we might be missing out on.
• It also anticipates future problems thus the enterprise is able to tackle those uncertainties and prepare for them beforehand.
• It keeps a continuous track of competition in the market and gives businesses the scope to come up with better strategies to tackle their competitors.
• Business Research also conducts a thorough cost analysis thus helping the company efficiently manage resources and allocate them in an optimal manner.
• It keeps you updated with the latest trends and competitor analysis .

Disadvantages of Business Research

• Business Research can be expensive and time-consuming .
• It also has the danger of being assumptive and imprecise at times , because the focus groups might be small or can be highly based on assumptions.
• The market is ever-changing and ever-evolving and capturing the right trends or anticipating them can constitute a complicated process for business research.

Also Read: Types of Research Design

The process of business research can be as comprehensive and as detailed as a business wants it to be. Generally, a company takes up research with a certain aim or hypothesis in order to figure out the issues, opportunities and trends and how they can be leveraged in the best way.

Here is the step-by-step process of Business Research:

• Identifying the Opportunity or Problem – To begin with the research, we first need to know what is the problem or the opportunity we would be leveraging on. It can be a popular trend or a common problem that a business is facing and can potentially become the headstart for the research process. Once you know the problem or the opportunity, go ahead with giving an understandable statement of what it’s about, what the hypothesis of the research will be as well as its objectives.
• Decide and Plan the Research Design – The next step in the business research process to find the right research design which suits the objectives and overall plan of the research. The most popular research designs are Quantitative and Qualitative Research.
• Determining the Research Method – The research design is closely connected to the research method since both qualitative and quantitative research designs have different methods for data collection, analysis, amongst others. So, once you have put a finger on what the right research design will be, go ahead with finding the right research method as per the plan, types of data collection, objective, costs involved, and other determining factors.
• Collect Data – Utilizing the research method and design, the next step in the business research process is to collect data and assimilate it.
• Data Analysis and Evaluation – After assimilating the data required, the data analysis will take place to gather all the observations and findings.
• Communicate Results – The presentation of the business research report is the concluding step of this procedure after which the higher management works upon the best techniques and strategies to leverage the opportunity or tackle the issue.

Also Read: MBA in Business Analytics

The scope of Business Research is multifarious and reaches out to many specialisations and areas. Let’s take a look the scope of business research across various specialisations:

• Marketing Management When it comes to business research, becomes an important part of marketing management that analyses consumer behaviour, target audiences, competition, price policy, promotional plans and much more.
• Financial Management It also plays an essential role in budgeting, financial planning, cost allocation, capital raising, tackling fluctuations with international currency as well as taking finance-related decisions.
• Production Management Production Management also includes business research as it helps in product development, planning out for a newer one, finalizing the right technologies for production, and so on.
• Materials Management Business Research is an important aspect of checking the best materials and carrying out its production, supply chain management , logistics , as well as shortlisting negotiation strategies.

There is an incremental role of business research as its importance is across every aspect of the business. Let’s take a look at the role of business research in an enterprise:

• The most primary role of business research is that it helps across every decision in the business, from product innovation to marketing and promotional planning.
• Business Research also helps in forecasting a business, whether in terms of competition or any other types of problems it will be facing.
• Another key area where this plays a bigger role is ensuring consumer satisfaction as through research, we can carry out research and highlight areas where we can efficiently serve our target audience.
• Business research also helps in implementing cost-effectiveness in a business as it can assist in cutting costs wherever needed and investing more in those areas, where profit is coming from.

Want to understand and learn more about business research? Here are some of the books that will make you a pro in this field. Check out the list of business research books:

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The purpose of a report is to inform the other members, junior and subordinates of the team to provide information on the specific topic. There is a specific format of a business report which makes it look more professional and presentable. There should be a title with the date and nature. The second section includes the introduction, body, and then conclusion. Reports help to identify the issues and helps in resolving them at earlier stages. It can include graphs, surveys, interviews, flow, and piecharts also.

Are you wondering why is there a need to do business research? Business is not stable and it is vital to stay up to date with all the data and developments. It is also important to make business-related decisions, and keep track of competitors, customer feedback, and market changes. The basic objective of business research is to identify the issues and evaluate a plan to resolve them for better managerial functioning.

Now that you are familiar with the objective, importance, and advantages the next important step is to know how to conduct research. There are numerous tools available for free while for some advanced tools there is a membership. Check out the list of top 10 tools:

• Google Keyword Tools
• Google Analytics
• Google Trends

The one thing constant in a business is market changes. A new trend or change comes every time you blink an eye. To keep track of everything externally and internally a research partner comes helpful. There are a few things to keep in mind that will help you in choosing the right business partner. The first thing to keep in mind is that the person should have relevant work experience and expertise in that particular field. An experienced partner can help businesses reach new heights. Look for a partner that can provide well-curated solutions and not the generic ideas that every enterprise follows. Last but not least is that your business research partner should have knowledge of the latest tools and techniques.

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Is your big presentation coming up or your report is due on Monday but you still haven’t finalized your business research topic? Here are some of the trendiest research topics for you:

• How advertisements influence consumer behaviour?
• Does incentive motivation increase employee productivity?
• How to handle crises in the business?
• How to create a work-life balance in the organization?
• What are the things a small business owner has to face?
• How to expand the company globally?
• How is digital marketing helping every business type?
• How to maintain the quality and quantity of products?
• What are the struggles entrepreneurs of a start-up face?
• How to create a budget and maintain company finances?

In order to build a career in Research , you can simply grab a degree in the field of Management , Business or Administration. So, students with an understanding of the core concepts of business and an inclination for research can consider it as a go-to option. Other suitable programs can be Master in Management , MBA Business Analytics , and MBA Data Analytics , to name a few.

To know more, check out Qualitative Research Methods !

It can simply mean researching every area of a business and using the provided information and data to ensure profit maximization.

There are different types of business research such as interviews, surveys, focus groups, correlational research, ethnographic research, case study research, and quantitative research methods, amongst others.

It is essentially important for various aspects of a business such as profit maximization, cost-cutting, financial management , personnel management, consumer behaviour, etc.

The process of research depends upon the type of research design you are opting for. To start with, we first need to determine the aim or objective of the research, then plan out the whole process which includes the types of methods we will be using, then the actual research that takes place followed by the data found that helps in understanding the key observations and how they can be implemented to actualize research hypothesis.

If you’re thinking to start a product line in your existing business or planning a startup, business research is a fundamental process that helps you to navigate the opportunities and obstacles in the marketplace. Knowing your strengths and weaknesses can help you come up with advanced and powerful research techniques that will make it easier to manage. Are you planning to take your higher education abroad? Then, you can quickly book a counselling session with the experts at Leverage Edu and we can help you build the right platform for you to grow in the corporate world.

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How to Do Market Research: The Complete Guide

Learn how to do market research with this step-by-step guide, complete with templates, tools and real-world examples.

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What are your customers’ needs? How does your product compare to the competition? What are the emerging trends and opportunities in your industry? If these questions keep you up at night, it’s time to conduct market research.

Market research plays a pivotal role in your ability to stay competitive and relevant, helping you anticipate shifts in consumer behavior and industry dynamics. It involves gathering these insights using a wide range of techniques, from surveys and interviews to data analysis and observational studies.

In this guide, we’ll explore why market research is crucial, the various types of market research, the methods used in data collection, and how to effectively conduct market research to drive informed decision-making and success.

What is market research?

Market research is the systematic process of gathering, analyzing and interpreting information about a specific market or industry. The purpose of market research is to offer valuable insight into the preferences and behaviors of your target audience, and anticipate shifts in market trends and the competitive landscape. This information helps you make data-driven decisions, develop effective strategies for your business, and maximize your chances of long-term growth.

Why is market research important? 

By understanding the significance of market research, you can make sure you’re asking the right questions and using the process to your advantage. Some of the benefits of market research include:

• Informed decision-making: Market research provides you with the data and insights you need to make smart decisions for your business. It helps you identify opportunities, assess risks and tailor your strategies to meet the demands of the market. Without market research, decisions are often based on assumptions or guesswork, leading to costly mistakes.
• Customer-centric approach: A cornerstone of market research involves developing a deep understanding of customer needs and preferences. This gives you valuable insights into your target audience, helping you develop products, services and marketing campaigns that resonate with your customers.
• Competitive advantage: By conducting market research, you’ll gain a competitive edge. You’ll be able to identify gaps in the market, analyze competitor strengths and weaknesses, and position your business strategically. This enables you to create unique value propositions, differentiate yourself from competitors, and seize opportunities that others may overlook.
• Risk mitigation: Market research helps you anticipate market shifts and potential challenges. By identifying threats early, you can proactively adjust their strategies to mitigate risks and respond effectively to changing circumstances. This proactive approach is particularly valuable in volatile industries.
• Resource optimization: Conducting market research allows organizations to allocate their time, money and resources more efficiently. It ensures that investments are made in areas with the highest potential return on investment, reducing wasted resources and improving overall business performance.
• Adaptation to market trends: Markets evolve rapidly, driven by technological advancements, cultural shifts and changing consumer attitudes. Market research ensures that you stay ahead of these trends and adapt your offerings accordingly so you can avoid becoming obsolete. 

As you can see, market research empowers businesses to make data-driven decisions, cater to customer needs, outperform competitors, mitigate risks, optimize resources and stay agile in a dynamic marketplace. These benefits make it a huge industry; the global market research services market is expected to grow from $76.37 billion in 2021 to $108.57 billion in 2026 . Now, let’s dig into the different types of market research that can help you achieve these benefits.

Types of market research 

• Qualitative research
• Quantitative research
• Exploratory research
• Descriptive research
• Causal research
• Cross-sectional research
• Longitudinal research

Despite its advantages, 23% of organizations don’t have a clear market research strategy. Part of developing a strategy involves choosing the right type of market research for your business goals. The most commonly used approaches include:

1. Qualitative research

Qualitative research focuses on understanding the underlying motivations, attitudes and perceptions of individuals or groups. It is typically conducted through techniques like in-depth interviews, focus groups and content analysis — methods we’ll discuss further in the sections below. Qualitative research provides rich, nuanced insights that can inform product development, marketing strategies and brand positioning.

2. Quantitative research

Quantitative research, in contrast to qualitative research, involves the collection and analysis of numerical data, often through surveys, experiments and structured questionnaires. This approach allows for statistical analysis and the measurement of trends, making it suitable for large-scale market studies and hypothesis testing. While it’s worthwhile using a mix of qualitative and quantitative research, most businesses prioritize the latter because it is scientific, measurable and easily replicated across different experiments.

3. Exploratory research

Whether you’re conducting qualitative or quantitative research or a mix of both, exploratory research is often the first step. Its primary goal is to help you understand a market or problem so you can gain insights and identify potential issues or opportunities. This type of market research is less structured and is typically conducted through open-ended interviews, focus groups or secondary data analysis. Exploratory research is valuable when entering new markets or exploring new product ideas.

4. Descriptive research

As its name implies, descriptive research seeks to describe a market, population or phenomenon in detail. It involves collecting and summarizing data to answer questions about audience demographics and behaviors, market size, and current trends. Surveys, observational studies and content analysis are common methods used in descriptive research. 

5. Causal research

Causal research aims to establish cause-and-effect relationships between variables. It investigates whether changes in one variable result in changes in another. Experimental designs, A/B testing and regression analysis are common causal research methods. This sheds light on how specific marketing strategies or product changes impact consumer behavior.

6. Cross-sectional research

Cross-sectional market research involves collecting data from a sample of the population at a single point in time. It is used to analyze differences, relationships or trends among various groups within a population. Cross-sectional studies are helpful for market segmentation, identifying target audiences and assessing market trends at a specific moment.

7. Longitudinal research

Longitudinal research, in contrast to cross-sectional research, collects data from the same subjects over an extended period. This allows for the analysis of trends, changes and developments over time. Longitudinal studies are useful for tracking long-term developments in consumer preferences, brand loyalty and market dynamics.

Each type of market research has its strengths and weaknesses, and the method you choose depends on your specific research goals and the depth of understanding you’re aiming to achieve. In the following sections, we’ll delve into primary and secondary research approaches and specific research methods.

Primary vs. secondary market research

Market research of all types can be broadly categorized into two main approaches: primary research and secondary research. By understanding the differences between these approaches, you can better determine the most appropriate research method for your specific goals.

Primary market research 

Primary research involves the collection of original data straight from the source. Typically, this involves communicating directly with your target audience — through surveys, interviews, focus groups and more — to gather information. Here are some key attributes of primary market research:

• Customized data: Primary research provides data that is tailored to your research needs. You design a custom research study and gather information specific to your goals.
• Up-to-date insights: Because primary research involves communicating with customers, the data you collect reflects the most current market conditions and consumer behaviors.
• Time-consuming and resource-intensive: Despite its advantages, primary research can be labor-intensive and costly, especially when dealing with large sample sizes or complex study designs. Whether you hire a market research consultant, agency or use an in-house team, primary research studies consume a large amount of resources and time.

Secondary market research 

Secondary research, on the other hand, involves analyzing data that has already been compiled by third-party sources, such as online research tools, databases, news sites, industry reports and academic studies.

Here are the main characteristics of secondary market research:

• Cost-effective: Secondary research is generally more cost-effective than primary research since it doesn’t require building a research plan from scratch. You and your team can look at databases, websites and publications on an ongoing basis, without needing to design a custom experiment or hire a consultant. 
• Leverages multiple sources: Data tools and software extract data from multiple places across the web, and then consolidate that information within a single platform. This means you’ll get a greater amount of data and a wider scope from secondary research.
• Quick to access: You can access a wide range of information rapidly — often in seconds — if you’re using online research tools and databases. Because of this, you can act on insights sooner, rather than taking the time to develop an experiment. 

So, when should you use primary vs. secondary research? In practice, many market research projects incorporate both primary and secondary research to take advantage of the strengths of each approach.

One rule of thumb is to focus on secondary research to obtain background information, market trends or industry benchmarks. It is especially valuable for conducting preliminary research, competitor analysis, or when time and budget constraints are tight. Then, if you still have knowledge gaps or need to answer specific questions unique to your business model, use primary research to create a custom experiment. 

Market research methods

• Surveys and questionnaires
• Focus groups
• Observational research
• Online research tools
• Experiments
• Content analysis
• Ethnographic research

How do primary and secondary research approaches translate into specific research methods? Let’s take a look at the different ways you can gather data: 

1. Surveys and questionnaires

Surveys and questionnaires are popular methods for collecting structured data from a large number of respondents. They involve a set of predetermined questions that participants answer. Surveys can be conducted through various channels, including online tools, telephone interviews and in-person or online questionnaires. They are useful for gathering quantitative data and assessing customer demographics, opinions, preferences and needs. On average, customer surveys have a 33% response rate , so keep that in mind as you consider your sample size.

2. Interviews

Interviews are in-depth conversations with individuals or groups to gather qualitative insights. They can be structured (with predefined questions) or unstructured (with open-ended discussions). Interviews are valuable for exploring complex topics, uncovering motivations and obtaining detailed feedback. 

3. Focus groups

The most common primary research methods are in-depth webcam interviews and focus groups. Focus groups are a small gathering of participants who discuss a specific topic or product under the guidance of a moderator. These discussions are valuable for primary market research because they reveal insights into consumer attitudes, perceptions and emotions. Focus groups are especially useful for idea generation, concept testing and understanding group dynamics within your target audience.

4. Observational research

Observational research involves observing and recording participant behavior in a natural setting. This method is particularly valuable when studying consumer behavior in physical spaces, such as retail stores or public places. In some types of observational research, participants are aware you’re watching them; in other cases, you discreetly watch consumers without their knowledge, as they use your product. Either way, observational research provides firsthand insights into how people interact with products or environments.

5. Online research tools

You and your team can do your own secondary market research using online tools. These tools include data prospecting platforms and databases, as well as online surveys, social media listening, web analytics and sentiment analysis platforms. They help you gather data from online sources, monitor industry trends, track competitors, understand consumer preferences and keep tabs on online behavior. We’ll talk more about choosing the right market research tools in the sections that follow.

6. Experiments

Market research experiments are controlled tests of variables to determine causal relationships. While experiments are often associated with scientific research, they are also used in market research to assess the impact of specific marketing strategies, product features, or pricing and packaging changes.

7. Content analysis

Content analysis involves the systematic examination of textual, visual or audio content to identify patterns, themes and trends. It’s commonly applied to customer reviews, social media posts and other forms of online content to analyze consumer opinions and sentiments.

8. Ethnographic research

Ethnographic research immerses researchers into the daily lives of consumers to understand their behavior and culture. This method is particularly valuable when studying niche markets or exploring the cultural context of consumer choices.

How to do market research

• Set clear objectives
• Identify your target audience
• Choose your research methods
• Use the right market research tools
• Collect data
• Analyze data 
• Interpret your findings
• Identify opportunities and challenges
• Make informed business decisions
• Monitor and adapt

Now that you have gained insights into the various market research methods at your disposal, let’s delve into the practical aspects of how to conduct market research effectively. Here’s a quick step-by-step overview, from defining objectives to monitoring market shifts.

1. Set clear objectives

When you set clear and specific goals, you’re essentially creating a compass to guide your research questions and methodology. Start by precisely defining what you want to achieve. Are you launching a new product and want to understand its viability in the market? Are you evaluating customer satisfaction with a product redesign? 

Start by creating SMART goals — objectives that are specific, measurable, achievable, relevant and time-bound. Not only will this clarify your research focus from the outset, but it will also help you track progress and benchmark your success throughout the process. 

You should also consult with key stakeholders and team members to ensure alignment on your research objectives before diving into data collecting. This will help you gain diverse perspectives and insights that will shape your research approach.

2. Identify your target audience

Next, you’ll need to pinpoint your target audience to determine who should be included in your research. Begin by creating detailed buyer personas or stakeholder profiles. Consider demographic factors like age, gender, income and location, but also delve into psychographics, such as interests, values and pain points.

The more specific your target audience, the more accurate and actionable your research will be. Additionally, segment your audience if your research objectives involve studying different groups, such as current customers and potential leads.

If you already have existing customers, you can also hold conversations with them to better understand your target market. From there, you can refine your buyer personas and tailor your research methods accordingly.

3. Choose your research methods

Selecting the right research methods is crucial for gathering high-quality data. Start by considering the nature of your research objectives. If you’re exploring consumer preferences, surveys and interviews can provide valuable insights. For in-depth understanding, focus groups or observational research might be suitable. Consider using a mix of quantitative and qualitative methods to gain a well-rounded perspective. 

You’ll also need to consider your budget. Think about what you can realistically achieve using the time and resources available to you. If you have a fairly generous budget, you may want to try a mix of primary and secondary research approaches. If you’re doing market research for a startup , on the other hand, chances are your budget is somewhat limited. If that’s the case, try addressing your goals with secondary research tools before investing time and effort in a primary research study. 

4. Use the right market research tools

Whether you’re conducting primary or secondary research, you’ll need to choose the right tools. These can help you do anything from sending surveys to customers to monitoring trends and analyzing data. Here are some examples of popular market research tools:

• Market research software: Crunchbase is a platform that provides best-in-class company data, making it valuable for market research on growing companies and industries. You can use Crunchbase to access trusted, first-party funding data, revenue data, news and firmographics, enabling you to monitor industry trends and understand customer needs.

• Survey and questionnaire tools: SurveyMonkey is a widely used online survey platform that allows you to create, distribute and analyze surveys. Google Forms is a free tool that lets you create surveys and collect responses through Google Drive.
• Data analysis software: Microsoft Excel and Google Sheets are useful for conducting statistical analyses. SPSS is a powerful statistical analysis software used for data processing, analysis and reporting.
• Social listening tools: Brandwatch is a social listening and analytics platform that helps you monitor social media conversations, track sentiment and analyze trends. Mention is a media monitoring tool that allows you to track mentions of your brand, competitors and keywords across various online sources.
• Data visualization platforms: Tableau is a data visualization tool that helps you create interactive and shareable dashboards and reports. Power BI by Microsoft is a business analytics tool for creating interactive visualizations and reports.

5. Collect data

There’s an infinite amount of data you could be collecting using these tools, so you’ll need to be intentional about going after the data that aligns with your research goals. Implement your chosen research methods, whether it’s distributing surveys, conducting interviews or pulling from secondary research platforms. Pay close attention to data quality and accuracy, and stick to a standardized process to streamline data capture and reduce errors. 

6. Analyze data

Once data is collected, you’ll need to analyze it systematically. Use statistical software or analysis tools to identify patterns, trends and correlations. For qualitative data, employ thematic analysis to extract common themes and insights. Visualize your findings with charts, graphs and tables to make complex data more understandable.

If you’re not proficient in data analysis, consider outsourcing or collaborating with a data analyst who can assist in processing and interpreting your data accurately.

7. Interpret your findings

Interpreting your market research findings involves understanding what the data means in the context of your objectives. Are there significant trends that uncover the answers to your initial research questions? Consider the implications of your findings on your business strategy. It’s essential to move beyond raw data and extract actionable insights that inform decision-making.

Hold a cross-functional meeting or workshop with relevant team members to collectively interpret the findings. Different perspectives can lead to more comprehensive insights and innovative solutions.

8. Identify opportunities and challenges

Use your research findings to identify potential growth opportunities and challenges within your market. What segments of your audience are underserved or overlooked? Are there emerging trends you can capitalize on? Conversely, what obstacles or competitors could hinder your progress?

Lay out this information in a clear and organized way by conducting a SWOT analysis, which stands for strengths, weaknesses, opportunities and threats. Jot down notes for each of these areas to provide a structured overview of gaps and hurdles in the market.

9. Make informed business decisions

Market research is only valuable if it leads to informed decisions for your company. Based on your insights, devise actionable strategies and initiatives that align with your research objectives. Whether it’s refining your product, targeting new customer segments or adjusting pricing, ensure your decisions are rooted in the data.

At this point, it’s also crucial to keep your team aligned and accountable. Create an action plan that outlines specific steps, responsibilities and timelines for implementing the recommendations derived from your research. 

10. Monitor and adapt

Market research isn’t a one-time activity; it’s an ongoing process. Continuously monitor market conditions, customer behaviors and industry trends. Set up mechanisms to collect real-time data and feedback. As you gather new information, be prepared to adapt your strategies and tactics accordingly. Regularly revisiting your research ensures your business remains agile and reflects changing market dynamics and consumer preferences.

Online market research sources

As you go through the steps above, you’ll want to turn to trusted, reputable sources to gather your data. Here’s a list to get you started:

• Crunchbase: As mentioned above, Crunchbase is an online platform with an extensive dataset, allowing you to access in-depth insights on market trends, consumer behavior and competitive analysis. You can also customize your search options to tailor your research to specific industries, geographic regions or customer personas.

• Academic databases: Academic databases, such as ProQuest and JSTOR , are treasure troves of scholarly research papers, studies and academic journals. They offer in-depth analyses of various subjects, including market trends, consumer preferences and industry-specific insights. Researchers can access a wealth of peer-reviewed publications to gain a deeper understanding of their research topics.
• Government and NGO databases: Government agencies, nongovernmental organizations and other institutions frequently maintain databases containing valuable economic, demographic and industry-related data. These sources offer credible statistics and reports on a wide range of topics, making them essential for market researchers. Examples include the U.S. Census Bureau , the Bureau of Labor Statistics and the Pew Research Center .
• Industry reports: Industry reports and market studies are comprehensive documents prepared by research firms, industry associations and consulting companies. They provide in-depth insights into specific markets, including market size, trends, competitive analysis and consumer behavior. You can find this information by looking at relevant industry association databases; examples include the American Marketing Association and the National Retail Federation .
• Social media and online communities: Social media platforms like LinkedIn or Twitter (X) , forums such as Reddit and Quora , and review platforms such as G2 can provide real-time insights into consumer sentiment, opinions and trends. 

Market research examples

At this point, you have market research tools and data sources — but how do you act on the data you gather? Let’s go over some real-world examples that illustrate the practical application of market research across various industries. These examples showcase how market research can lead to smart decision-making and successful business decisions.

Example 1: Apple’s iPhone launch

Apple ’s iconic iPhone launch in 2007 serves as a prime example of market research driving product innovation in tech. Before the iPhone’s release, Apple conducted extensive market research to understand consumer preferences, pain points and unmet needs in the mobile phone industry. This research led to the development of a touchscreen smartphone with a user-friendly interface, addressing consumer demands for a more intuitive and versatile device. The result was a revolutionary product that disrupted the market and redefined the smartphone industry.

Example 2: McDonald’s global expansion

McDonald’s successful global expansion strategy demonstrates the importance of market research when expanding into new territories. Before entering a new market, McDonald’s conducts thorough research to understand local tastes, preferences and cultural nuances. This research informs menu customization, marketing strategies and store design. For instance, in India, McDonald’s offers a menu tailored to local preferences, including vegetarian options. This market-specific approach has enabled McDonald’s to adapt and thrive in diverse global markets.

Example 3: Organic and sustainable farming

The shift toward organic and sustainable farming practices in the food industry is driven by market research that indicates increased consumer demand for healthier and environmentally friendly food options. As a result, food producers and retailers invest in sustainable sourcing and organic product lines — such as with these sustainable seafood startups — to align with this shift in consumer values. 

The bottom line? Market research has multiple use cases and is a critical practice for any industry. Whether it’s launching groundbreaking products, entering new markets or responding to changing consumer preferences, you can use market research to shape successful strategies and outcomes.

Market research templates

You finally have a strong understanding of how to do market research and apply it in the real world. Before we wrap up, here are some market research templates that you can use as a starting point for your projects:

• Smartsheet competitive analysis templates : These spreadsheets can serve as a framework for gathering information about the competitive landscape and obtaining valuable lessons to apply to your business strategy.
• SurveyMonkey product survey template : Customize the questions on this survey based on what you want to learn from your target customers.
• HubSpot templates : HubSpot offers a wide range of free templates you can use for market research, business planning and more.
• SCORE templates : SCORE is a nonprofit organization that provides templates for business plans, market analysis and financial projections.
• SBA.gov : The U.S. Small Business Administration offers templates for every aspect of your business, including market research, and is particularly valuable for new startups. 

Strengthen your business with market research

When conducted effectively, market research is like a guiding star. Equipped with the right tools and techniques, you can uncover valuable insights, stay competitive, foster innovation and navigate the complexities of your industry.

Throughout this guide, we’ve discussed the definition of market research, different research methods, and how to conduct it effectively. We’ve also explored various types of market research and shared practical insights and templates for getting started. 

Now, it’s time to start the research process. Trust in data, listen to the market and make informed decisions that guide your company toward lasting success.

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• What is Business Research: Methods, Types & Examples

Defne Çobanoğlu

Every business owner wants their company always to be successful and profitable. And even if you have a successful business plan, that does not mean things will not need changing in the future. And trial and error may not be on the table when you can not afford to lose money and precious customers. Therefore, you need to be cautious before taking any steps and do your research . 

In this article, we explained business research, its methods, and types to help business owners and inform those interested to know more. We also added some examples of scenarios any company may face. Let us get started with the definition of business research!

• What is business research?

Business research is a type of research process where the main goal is to help a company thrive and collect data about the target audience, potential business plans, and marketing strategies . The data collection about possible risks and investment opportunities helps business owners make informed decisions about future plans. 

The fields that can use business research include marketing, business, education, and social science . But of course, they are not the only ones that can benefit from business research. It is a helpful research type for all business needs. Now, let us see how we can further categorize this into methods and types of business research.

• Methods and types of business research

Business research methods and types

In business research methodology, there are two main types. These are quantitative research and qualitative research. In the simplest terms, quantitative research is about collecting numerical and factual data, whereas qualitative research is about collecting data by using open-ended questions . These two methods can be divided into more specific parts. Let us get started with quantitative research methods.

• A. Quantitative Research Methods

Quantitative research methods give the researchers factual and numerical evidence that can be effectively used in decision-making processes. There are numerous ways to collect quantitative data, and it is also possible to use more than one method to prove the credibility of the information. Let us start with the first one:

• 1. Survey research

Surveys are a great way to collect information from a targeted group, no matter how big or small. They can be done in the format of an online survey, phone survey or questionnaire . Surveys are usually close-ended or multiple-choice questions that are easy to group and analyze. The business doing the research can collect valuable information directly from its customers.

• 2. Correlational research

Correlational research focuses on the discovery of whether two different entities influence each other in any way. The main focus of this research method is not to make decisions. But rather, they can use the findings to explore further using other research methods.

• 3. Causal-comparative research

Causal-comparative research is similar to correlational research in that both of them compare two different elements and how they affect each other. But the main difference is that fact the focus of this research method is to draw conclusions on the cause-and-effect relationship of said entities.

• 4. Experimental research

Experimental research has a broad spectrum when it comes to what is taken as ‘experimental’. Basically, it is when businesses want to test a specific theory about the quality of a product or service. There are many methods that can be used, and it is decided by the researcher according to the theory that will be tested.

• 5. Literature research

Literature research is a very effective and economical research method to use. It is about using offline and online existing literature and going through them to analyze the data. It is mostly used in sales about consumer behaviors.

• B. Qualitative Research Methods

Qualitative research is not about numbers like quantitative research. Instead, it is about emotions, opinions, and approaches. The target audience can be presented with a topic through open-ended questions. There is more than one method to go with, and it is even possible to use multiple methods at once. Let us see qualitative research methods: 

• 1. Interviews

The interview method is mostly done on a smaller participant group about a specific subject. They consist of open-ended questions and can be in a structured or unstructured format. Interviews are one-on-one questions asked to the target audience to gain insight into the problem . 

• 2. Focus Groups

A focus group is a pre-determined group of individuals who are chosen to participate in a study to answer specific questions. The researchers present them with a topic and encourage discussions with open-ended questions . Then, the findings are generalized to make decisions.

• 3. Ethnographic Research

Ethnographic research is similar to conceptual research, and its main focus is to understand the culture and people of the target audience by using observation . This method is done by observing the people in their natural environment and seeing how they interact with one another and their surroundings.

• 4. Case Study

Businesses generally use a case study method to showcase to potential consumers how their product or service helped a certain individual or a group . It is a good way to attract new customers. This method helps highlight the company’s skill sets and assets.

• 5. Website visitor research

This research method is relatively newer than others. Its main focus is to collect feedback from individuals who use the company website and ask them about their opinions. A business can use this method by presenting a customer with a quick survey after their purchase on the website . Afterward, the company can improve user satisfaction by fixing existing problems.

• Importance of business research

The reasons for conducting business research

Businesses grow by knowing their target market, potential customers, and competitors. And this is only possible by conducting market research to help make informed business decisions. The main goal of business research is to help stakeholders of the company make planned and informed decisions using the facts in the business research report. However, there are other reasons why business research is important. These are:

• Gathering information on customers: A business research report provides data on consumers’ behavioral changes, their needs, preferences, and expectations. The managers and stakeholders can make informed decisions with this knowledge.
• Performance evaluation: Research allows businesses to evaluate their success against industry standards and other competitors. This helps keep track while deciding how to differentiate themselves from others.
• Market expansion: Business research topics include areas that were not explored before. Therefore, when the business wants to expand to new markets, the research provides information on the market’s dynamics and potential risks and profits .
• Efficiency and cost-reduction: The data collected by business research helps identify any obstacles to productivity and cost excessiveness. That way, a more cost-effective and efficient approach can be taken.
• Business research examples

Business research helps business managers make smart plans for the company and its future. They can make informed decisions about new marketing strategies, building new products or service branches, or improving customer satisfaction . 

Business research example #1

Imagine a company making energy drinks wants to know if they can expand their market to the older part of the population. They do not know if they will be interested in their product or what kind of marketing strategies they can use to attract older people’s attention. They can make up a focus group and ask them about their opinions. The company can also conduct literature research to find out information about the competitors .

Business research example #2

Imagine a company that has a clothing store website wants to know if there is anything that makes shopping on their website difficult for customers. They can show a pop-up customer satisfaction survey and ask them if they can find what they are looking for easily and how the website visiting experience was. Then, they can collect customer feedback and see how they can improve their website to enhance customer satisfaction levels.

• Frequently asked questions about business research

What are the 4 stages of business research?

Much like every other research, business research is also best done when it is preplanned and organized. And there is a 4 stage plan of business research. These are:

1 - Defining the problem

2 - Designing the research plan

3 - Collecting data and making an analysis

4 - Reporting on the findings

What is the purpose of business research?

The purpose of business research is to make sense of the existing elements of a business, such as consumers, product placement, marketing, innovation, etc . And using the data collected on these elements to make informed decisions and create smart business strategies to improve the success of the company.

When to use business research?

Business research is best used when a new approach is taken or a new product is launched, and the risks need to be assessed. It is essential to be mindful of all the negative and positive sides of a new strategy without risking the entirety of the company.

• Final words

When you own a business, no matter how big or small, change can be intimidating. You can not go to new territories blindly. But, you can not stay the same either. In order to keep your existing customers and find new potential ones, you should be mindful of their habits and opinions. The best way of doing this is either to ask them directly ( using a survey, interviewing them, etc .) or to do your own research to draw conclusions.

In this article, we explained business research, quantitative and qualitative research methods, and business research types. We also included some examples of business research and what methods can be used for those problems. If you want to do your own business research but do not know where to start, you can check out quantitative research questions to get you started. Also, do not forget to check out other articles on research and so much more!

Defne is a content writer at forms.app. She is also a translator specializing in literary translation. Defne loves reading, writing, and translating professionally and as a hobby. Her expertise lies in survey research, research methodologies, content writing, and translation.

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A Roadmap to Business Research

• First Online: 15 March 2023

Cite this chapter

• Merwe Oberholzer   ORCID: orcid.org/0000-0001-7180-8865 3 &
• Pieter W. Buys   ORCID: orcid.org/0000-0002-5345-3594 3  

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This chapter seeks to constitute a roadmap or framework to guide business researchers in contextualizing and planning their research efforts. A literature study was conducted to investigate the research concept, the boundary of research, and the research process’ conceptual framework. This chapter summarized research as a systematic investigation to reveal new knowledge. In guiding industry-orientated business research, it is acknowledged that management action may solve some business problems. In contrast, higher levels of organizational issues and critical reflection of business issues may require actual research .

The framework for business research is divided into four parts: the research problem, research design, empirical evidence, and conclusion. The central part of the map is the design section that organizes the philosophic approach (theoretical foundation, research philosophy, and assumptions) on the one side and the applied research methods and techniques on the other side, with the research methodology acting as a bridge between the sides. The framework constitutes a guide when embarking on the journey to solve industry-orientated business research.

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Oberholzer, M., Buys, P.W. (2023). A Roadmap to Business Research. In: Buys, P.W., Oberholzer, M. (eds) Business Research . Palgrave Macmillan, Singapore. https://doi.org/10.1007/978-981-19-9479-1_2

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Business Research Methods: Key Elements & Use Cases

In the cutthroat business world, research is the holy grail that unlocks the doors to success. It is the difference between floundering in obscurity and soaring to greatness.

Successful businesses have one thing in common. They all deeply understand their customers, their competition, and their industry.

And how do they gain this knowledge? Through research.

You must be a research ninja – agile, precise, and armed with the right tools to succeed.

But not just any research will do. To be a true research ninja, you must know the best practices for business research methods.

Lucky for you, we’ve got you covered.

We’ll take you through the best practices for business research methods.

We’ll not stop there. We’ll also look at the use cases and show you how to create a business research report. Consequently, equips you with the skills to sift through the data and uncover valuable insights.

What is Business Research?

Why do you need business research methods, elements of business research methods, use cases for business research methods, how do you write a business research template, how to create a business research report.

Business research refers to the systematic investigation and analysis of various aspects of a business. It involves collecting and interpreting data, conducting surveys, interviews, and experiments, and analyzing trends and patterns. This helps you identify opportunities, improve products or services, and enhance overall business performance.

Have you ever tried to navigate a maze blindfolded? It’s not easy, right? Trying to run a business without proper research methods is like navigating a maze without guidance. You may stumble upon success, but chances are you’ll end up lost and confused. So, why do you need business research methods?

• Decision-making: Effective business research methods provide reliable data and insights to support informed decision-making . This helps reduce uncertainty and increases the chances of making successful strategic choices.
• Market analysis: Using business research methods, you can analyze market trends, understand customer preferences, and evaluate competitor strategies. This enables you to seize opportunities, develop competitive advantages, and tailor your offerings to meet customer needs.
• Product development: Business research helps gather customer feedback and understand their needs and preferences. This aids in developing and improving product offerings, ensuring they align with customer expectations and demands.
• Risk management: You can evaluate risks and uncertainties associated with new ventures, product launches, or market expansions. Consequently, mitigate the risks, and improve the likelihood of success.
• Performance evaluation: Business research methods enable you to measure and evaluate your performance and that of competitors. This helps identify areas of improvement, track progress, and benchmark against industry standards.
• Innovation and adaptation: Business research facilitates the identification of emerging trends, technological advancements, and changing consumer behaviors. This information allows you to innovate, adapt, and stay ahead in dynamic market environments.

The elements of business research methods include:

• Research question/objective: Clearly define the purpose of the research and the specific questions or objectives to be addressed.
• Research design: Determining the overall approach and structure of the research study. Decide whether it will be qualitative or quantitative , experimental or observational, cross-sectional or longitudinal, etc.
• Data collection: Select appropriate methods and tools for gathering relevant data. This may include surveys, interviews, focus groups, observations, experiments, secondary data analysis , or a combination.
• Sampling: Determine the target population and select a representative sample from which you will collect the data. This involves defining the sampling frame, selecting sampling techniques, and ensuring adequate sample size.
• Data analysis:  Apply suitable analytical techniques to interpret the collected data. Such techniques include statistical analysis, content analysis, thematic analysis, regression analysis, or qualitative coding.
• Results and findings: Summarize and present the analyzed data , highlighting trends, relationships, or patterns observed during the research process.
• Conclusion and recommendations:  Draw conclusions based on the research findings and provide recommendations for action or further exploration.
• Ethical considerations:  Address ethical issues related to data collection, privacy, confidentiality, and informed consent.
• Market analysis: Research methods help you understand market trends, customer preferences, and competitive landscapes. This information is crucial for market segmentation , target audience identification, and developing effective marketing strategies.
• Product development: Research methods assist in gathering customer feedback and analyzing market demand. This helps refine existing product offerings, identify new opportunities, and optimize features to meet customer needs.
• Decision-making: Business research methods provide reliable data, insights, and analysis to support informed decision-making.
• Risk assessment and management: By employing research methods, you can identify risks, evaluate market uncertainties, and assess the viability of business ventures. This facilitates effective risk management and informed decision-making to minimize potential losses.

When creating a business research template, consider the following components:

• Title and introduction: Provide a concise and informative title for your research project. Also, write an introduction that provides background information and explains the significance of the study.
• Research objectives:  Clearly define the specific objectives or research questions that your study aims to address.
• Literature review:  Summarize existing research and literature relevant to your topic. Identify gaps, controversies, or areas that require further exploration.
• Methodology: Describe the research design , including whether it is qualitative, quantitative, mixed methods, or other approaches. Explain your data collection methods and tools, such as surveys, interviews, and observations. Furthermore, detail the data analysis techniques or statistical methods you will employ.
• Data collection: Outline the procedures for collecting data, including any survey instruments, interview protocols, or observation guidelines. Provide clear instructions for data collection, ensuring consistency and reliability.
• Data Analysis: Describe your approach to analyzing the collected data. Explain the statistical or qualitative analysis techniques that you will apply.
• Results and findings:  Present and interpret the results of your data analysis. Use tables, charts, or graphs to visualize the findings.
• Conclusion and recommendations:  Summarize the key findings of your research. Draw conclusions based on the results and address the research objectives. In addition, provide recommendations for future action or further research based on your findings.
• References:  List all the sources cited in your research template. Follow a specific referencing style (e.g., APA, MLA) consistently.
• Appendices: Include supplementary materials, such as survey questionnaires , interview transcripts, or additional data charts supporting your research.

Creating a comprehensive business research report that effectively communicates findings and insights can be a daunting task. However, with the help of ChartExpo, an Excel-based data visualization tool , the process becomes more streamlined and efficient.

ChartExpo empowers you to transform raw data into insightful and visually engaging visualizations. This makes it easier to present complex information clearly and concisely.

Benefits of Using ChartExpo

• With an intuitive user interface, ChartExpo empowers you to create insightful visualizations without requiring any coding experience.
• With ChartExpo, customization options abound, allowing you to create unique visualizations. You can personalize colors, fonts, and styles to align with your brand aesthetics.
• ChartExpo offers excellent value for money, with a free 7-day trial and an affordable $10 monthly plan.

How to Install ChartExpo in Excel?

• Open your Excel application.
• Open the worksheet and click the “ Insert ” menu.
• You’ll see the “ My Apps ” option.
• In the office Add-ins window, click “ Store ” and search for ChartExpo on my Apps Store.
• Click the “ Add ” button to install ChartExpo in your Excel.

ChartExpo charts are available both in Google Sheets and Microsoft Excel. Please use the following CTA’s to install the tool of your choice and create beautiful visualizations in a few clicks in your favorite tool.

Assume you have recently launched a product. You want to gather customer feedback to help you improve. Therefore, you conduct an online customer feedback survey consisting of the following questions.

• How often do you use our product?
• How satisfied are you with the quality of our product?
• How likely are you to recommend our product to others?

Your customers provide an answer to each question using the response scale below.

Let’s say you have organized the results in the data table below.

Follow through as I show you how to create a chart with ChartExpo to make data analysis easier.

• To get started with ChartExpo, install  ChartExpo in Excel .
• Navigate to the  INSERT  menu and select  My Apps. 

• Select ChartExpo and click the  “Insert”  button.

• Once it loads, choose the “ Likert Scale Chart ” from the charts list.

• Select the data from the sheet and click the “ Create Chart From Selection ” button.

• Sometimes=3
• Once all is set, click the “ Create Chart ” button.

• ChartExpo will generate the visualization below for you.

• Click the “ Edit Chart ” button to modify your chart.
• Click the pencil icon next to the Chart Header  to add a title.
• This will open the properties dialog.
• Add a heading in  Line 1  under the  Text  section and enable the  Show  option. Then click the “ Apply ” button.

• Your final chart will appear below.

• 20% always recommend your product to others, while 30% indicated that they often do so. On the other hand, 15% of customers mentioned that they never recommend it. 10% rarely recommend it, with 25% doing so sometimes.
• Regarding the quality of the product, 25% of customers were always satisfied. 20% stated that they often feel satisfied. Conversely, 20% reported never being satisfied, and 15% were satisfied. Additionally, 20% selected the sometimes option.
• Regarding product usage, 20% of customers selected the always option, and 25% chose the often option. Conversely, 15% of customers indicated never using it, and 15% rarely do so. Furthermore, 25% of customers selected the sometimes option.
• 22% of customers selected the always option
• while 25% chose the often option. Additionally
• 15% selected never
• 15% rare, and 23% chose sometimes.

What are the 4 types of business research?

The four types of business research are exploratory, descriptive, causal, and predictive. Exploratory research aims to explore a topic, and descriptive research provides a snapshot of a situation. Furthermore, causal research investigates cause-and-effect relationships, and predictive research predicts future outcomes.

What are the 5 classifications of business research?

The five classifications of business research are;

• Basic research seeking to expand knowledge.
• Applied research focusing on solving practical problems.
• Quantitative research involving numerical data.
• Qualitative research using non-numerical data.
• Mixed-methods research combining quantitative and qualitative approaches.

Understanding and applying best practices for business research methods is essential for conducting effective and insightful studies. Following these practices will help you gather relevant data and gain valuable insights. Consequently, make informed decisions that drive growth and success.

Selecting the appropriate research method is crucial. Whether exploratory, descriptive, causal, or predictive, the choice should align with the research objectives.

Additionally, maintaining research integrity is paramount. This involves ensuring ethical considerations, protecting data privacy, and adhering to rigorous research standards.

Furthermore, a well-designed research plan is essential. Have clear research objectives, define the target population, and carefully construct survey questions or interview protocols. These measures contribute to gathering reliable and meaningful data.

Conclusively, effective communication of research findings is crucial. Present results in a clear, concise, and actionable manner. This enables stakeholders to understand and apply the insights effectively.

Use ChartExpo for Excel. ChartExpo takes the complexity out of the equation by allowing you to effortlessly create insightful, engaging visualizations. No coding is required.

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How to do market research in 4 steps: a lean approach to marketing research

From pinpointing your target audience and assessing your competitive advantage, to ongoing product development and customer satisfaction efforts, market research is a practice your business can only benefit from.

Learn how to conduct quick and effective market research using a lean approach in this article full of strategies and practical examples. 

Last updated

Reading time.

A comprehensive (and successful) business strategy is not complete without some form of market research—you can’t make informed and profitable business decisions without truly understanding your customer base and the current market trends that drive your business.

In this article, you’ll learn how to conduct quick, effective market research  using an approach called 'lean market research'. It’s easier than you might think, and it can be done at any stage in a product’s lifecycle.

How to conduct lean market research in 4 steps

What is market research, why is market research so valuable, advantages of lean market research, 4 common market research methods, 5 common market research questions, market research faqs.

We’ll jump right into our 4-step approach to lean market research. To show you how it’s done in the real world, each step includes a practical example from Smallpdf , a Swiss company that used lean market research to reduce their tool’s error rate by 75% and boost their Net Promoter Score® (NPS) by 1%.

Research your market the lean way...

From on-page surveys to user interviews, Hotjar has the tools to help you scope out your market and get to know your customers—without breaking the bank.

The following four steps and practical examples will give you a solid market research plan for understanding who your users are and what they want from a company like yours.

1. Create simple user personas

A user persona is a semi-fictional character based on psychographic and demographic data from people who use websites and products similar to your own. Start by defining broad user categories, then elaborate on them later to further segment your customer base and determine your ideal customer profile .

How to get the data: use on-page or emailed surveys and interviews to understand your users and what drives them to your business.

How to do it right: whatever survey or interview questions you ask, they should answer the following questions about the customer:

Who are they?

What is their main goal?

What is their main barrier to achieving this goal?

Pitfalls to avoid:

Don’t ask too many questions! Keep it to five or less, otherwise you’ll inundate them and they’ll stop answering thoughtfully.

Don’t worry too much about typical demographic questions like age or background. Instead, focus on the role these people play (as it relates to your product) and their goals.

How Smallpdf did it: Smallpdf ran an on-page survey for a couple of weeks and received 1,000 replies. They learned that many of their users were administrative assistants, students, and teachers.

Next, they used the survey results to create simple user personas like this one for admins:

Who are they? Administrative Assistants.

What is their main goal? Creating Word documents from a scanned, hard-copy document or a PDF where the source file was lost.

What is their main barrier to achieving it? Converting a scanned PDF doc to a Word file.

💡Pro tip: Smallpdf used Hotjar Surveys to run their user persona survey. Our survey tool helped them avoid the pitfalls of guesswork and find out who their users really are, in their own words. 

You can design a survey and start running it in minutes with our easy-to-use drag and drop builder. Customize your survey to fit your needs, from a sleek one-question pop-up survey to a fully branded questionnaire sent via email. 

We've also created 40+ free survey templates that you can start collecting data with, including a user persona survey like the one Smallpdf used.

2. Conduct observational research

Observational research involves taking notes while watching someone use your product (or a similar product).

Overt vs. covert observation

Overt observation involves asking customers if they’ll let you watch them use your product. This method is often used for user testing and it provides a great opportunity for collecting live product or customer feedback .

Covert observation means studying users ‘in the wild’ without them knowing. This method works well if you sell a type of product that people use regularly, and it offers the purest observational data because people often behave differently when they know they’re being watched. 

Tips to do it right:

Record an entry in your field notes, along with a timestamp, each time an action or event occurs.

Make note of the users' workflow, capturing the ‘what,’ ‘why,’ and ‘for whom’ of each action.

Don’t record identifiable video or audio data without consent. If recording people using your product is helpful for achieving your research goal, make sure all participants are informed and agree to the terms.

Don’t forget to explain why you’d like to observe them (for overt observation). People are more likely to cooperate if you tell them you want to improve the product.

💡Pro tip: while conducting field research out in the wild can wield rewarding results, you can also conduct observational research remotely. Hotjar Recordings is a tool that lets you capture anonymized user sessions of real people interacting with your website. 

Observe how customers navigate your pages and products to gain an inside look into their user behavior . This method is great for conducting exploratory research with the purpose of identifying more specific issues to investigate further, like pain points along the customer journey and opportunities for optimizing conversion .

With Hotjar Recordings you can observe real people using your site without capturing their sensitive information

How Smallpdf did it: here’s how Smallpdf observed two different user personas both covertly and overtly.

Observing students (covert): Kristina Wagner, Principle Product Manager at Smallpdf, went to cafes and libraries at two local universities and waited until she saw students doing PDF-related activities. Then she watched and took notes from a distance. One thing that struck her was the difference between how students self-reported their activities vs. how they behaved (i.e, the self-reporting bias). Students, she found, spent hours talking, listening to music, or simply staring at a blank screen rather than working. When she did find students who were working, she recorded the task they were performing and the software they were using (if she recognized it).

Observing administrative assistants (overt): Kristina sent emails to admins explaining that she’d like to observe them at work, and she asked those who agreed to try to batch their PDF work for her observation day. While watching admins work, she learned that they frequently needed to scan documents into PDF-format and then convert those PDFs into Word docs. By observing the challenges admins faced, Smallpdf knew which products to target for improvement.

“Data is really good for discovery and validation, but there is a bit in the middle where you have to go and find the human.”

3. Conduct individual interviews

Interviews are one-on-one conversations with members of your target market. They allow you to dig deep and explore their concerns, which can lead to all sorts of revelations.

Listen more, talk less. Be curious.

Act like a journalist, not a salesperson. Rather than trying to talk your company up, ask people about their lives, their needs, their frustrations, and how a product like yours could help.

Ask "why?" so you can dig deeper. Get into the specifics and learn about their past behavior.

Record the conversation. Focus on the conversation and avoid relying solely on notes by recording the interview. There are plenty of services that will transcribe recorded conversations for a good price (including Hotjar!).

Avoid asking leading questions , which reveal bias on your part and pushes respondents to answer in a certain direction (e.g. “Have you taken advantage of the amazing new features we just released?).

Don't ask loaded questions , which sneak in an assumption which, if untrue, would make it impossible to answer honestly. For example, we can’t ask you, “What did you find most useful about this article?” without asking whether you found the article useful in the first place.

Be cautious when asking opinions about the future (or predictions of future behavior). Studies suggest that people aren’t very good at predicting their future behavior. This is due to several cognitive biases, from the misguided exceptionalism bias (we’re good at guessing what others will do, but we somehow think we’re different), to the optimism bias (which makes us see things with rose-colored glasses), to the ‘illusion of control’ (which makes us forget the role of randomness in future events).

How Smallpdf did it: Kristina explored her teacher user persona by speaking with university professors at a local graduate school. She learned that the school was mostly paperless and rarely used PDFs, so for the sake of time, she moved on to the admins.

A bit of a letdown? Sure. But this story highlights an important lesson: sometimes you follow a lead and come up short, so you have to make adjustments on the fly. Lean market research is about getting solid, actionable insights quickly so you can tweak things and see what works.

💡Pro tip: to save even more time, conduct remote interviews using an online user research service like Hotjar Engage , which automates the entire interview process, from recruitment and scheduling to hosting and recording.

You can interview your own customers or connect with people from our diverse pool of 200,000+ participants from 130+ countries and 25 industries. And no need to fret about taking meticulous notes—Engage will automatically transcribe the interview for you.

4. Analyze the data (without drowning in it)

The following techniques will help you wrap your head around the market data you collect without losing yourself in it. Remember, the point of lean market research is to find quick, actionable insights.

A flow model is a diagram that tracks the flow of information within a system. By creating a simple visual representation of how users interact with your product and each other, you can better assess their needs.

You’ll notice that admins are at the center of Smallpdf’s flow model, which represents the flow of PDF-related documents throughout a school. This flow model shows the challenges that admins face as they work to satisfy their own internal and external customers.

Affinity diagram

An affinity diagram is a way of sorting large amounts of data into groups to better understand the big picture. For example, if you ask your users about their profession, you’ll notice some general themes start to form, even though the individual responses differ. Depending on your needs, you could group them by profession, or more generally by industry.

We wrote a guide about how to analyze open-ended questions to help you sort through and categorize large volumes of response data. You can also do this by hand by clipping up survey responses or interview notes and grouping them (which is what Kristina does).

“For an interview, you will have somewhere between 30 and 60 notes, and those notes are usually direct phrases. And when you literally cut them up into separate pieces of paper and group them, they should make sense by themselves.”

Pro tip: if you’re conducting an online survey with Hotjar, keep your team in the loop by sharing survey responses automatically via our Slack and Microsoft Team integrations. Reading answers as they come in lets you digest the data in pieces and can help prepare you for identifying common themes when it comes time for analysis.

Hotjar lets you easily share survey responses with your team

Customer journey map

A customer journey map is a diagram that shows the way a typical prospect becomes a paying customer. It outlines their first interaction with your brand and every step in the sales cycle, from awareness to repurchase (and hopefully advocacy).

The above  customer journey map , created by our team at Hotjar, shows many ways a customer might engage with our tool. Your map will be based on your own data and business model.

📚 Read more: if you’re new to customer journey maps, we wrote this step-by-step guide to creating your first customer journey map in 2 and 1/2 days with free templates you can download and start using immediately.

Next steps: from research to results

So, how do you turn market research insights into tangible business results? Let’s look at the actions Smallpdf took after conducting their lean market research: first they implemented changes, then measured the impact.

Implement changes

Based on what Smallpdf learned about the challenges that one key user segment (admins) face when trying to convert PDFs into Word files, they improved their ‘PDF to Word’ conversion tool.

We won’t go into the details here because it involves a lot of technical jargon, but they made the entire process simpler and more straightforward for users. Plus, they made it so that their system recognized when you drop a PDF file into their ‘Word to PDF’ converter instead of the ‘PDF to Word’ converter, so users wouldn’t have to redo the task when they made that mistake. 

In other words: simple market segmentation for admins showed a business need that had to be accounted for, and customers are happier overall after Smallpdf implemented an informed change to their product.

Measure results

According to the Lean UX model, product and UX changes aren’t retained unless they achieve results.

Smallpdf’s changes produced:

A 75% reduction in error rate for the ‘PDF to Word’ converter

A 1% increase in NPS

Greater confidence in the team’s marketing efforts

"With all the changes said and done, we've cut our original error rate in four, which is huge. We increased our NPS by +1%, which isn't huge, but it means that of the users who received a file, they were still slightly happier than before, even if they didn't notice that anything special happened at all.”

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Market research (or marketing research) is any set of techniques used to gather information and better understand a company’s target market. This might include primary research on brand awareness and customer satisfaction or secondary market research on market size and competitive analysis. Businesses use this information to design better products, improve user experience, and craft a marketing strategy that attracts quality leads and improves conversion rates.

David Darmanin, one of Hotjar’s founders, launched two startups before Hotjar took off—but both companies crashed and burned. Each time, he and his team spent months trying to design an amazing new product and user experience, but they failed because they didn’t have a clear understanding of what the market demanded.

With Hotjar, they did things differently . Long story short, they conducted market research in the early stages to figure out what consumers really wanted, and the team made (and continues to make) constant improvements based on market and user research.

Without market research, it’s impossible to understand your users. Sure, you might have a general idea of who they are and what they need, but you have to dig deep if you want to win their loyalty.

Here’s why research matters:

Obsessing over your users is the only way to win. If you don’t care deeply about them, you’ll lose potential customers to someone who does.

Analytics gives you the ‘what’, while research gives you the ‘why’. Big data, user analytics , and dashboards can tell you what people do at scale, but only research can tell you what they’re thinking and why they do what they do. For example, analytics can tell you that customers leave when they reach your pricing page, but only research can explain why.

Research beats assumptions, trends, and so-called best practices. Have you ever watched your colleagues rally behind a terrible decision? Bad ideas are often the result of guesswork, emotional reasoning, death by best practices , and defaulting to the Highest Paid Person’s Opinion (HiPPO). By listening to your users and focusing on their customer experience , you’re less likely to get pulled in the wrong direction.

Research keeps you from planning in a vacuum. Your team might be amazing, but you and your colleagues simply can’t experience your product the way your customers do. Customers might use your product in a way that surprises you, and product features that seem obvious to you might confuse them. Over-planning and refusing to test your assumptions is a waste of time, money, and effort because you’ll likely need to make changes once your untested business plan gets put into practice.

Lean User Experience (UX) design is a model for continuous improvement that relies on quick, efficient research to understand customer needs and test new product features.

Lean market research can help you become more...

Efficient: it gets you closer to your customers, faster.

Cost-effective: no need to hire an expensive marketing firm to get things started.

Competitive: quick, powerful insights can place your products on the cutting edge.

As a small business or sole proprietor, conducting lean market research is an attractive option when investing in a full-blown research project might seem out of scope or budget.

There are lots of different ways you could conduct market research and collect customer data, but you don’t have to limit yourself to just one research method. Four common types of market research techniques include surveys, interviews, focus groups, and customer observation.

Which method you use may vary based on your business type: ecommerce business owners have different goals from SaaS businesses, so it’s typically prudent to mix and match these methods based on your particular goals and what you need to know.

1. Surveys: the most commonly used

Surveys are a form of qualitative research that ask respondents a short series of open- or closed-ended questions, which can be delivered as an on-screen questionnaire or via email. When we asked 2,000 Customer Experience (CX) professionals about their company’s approach to research , surveys proved to be the most commonly used market research technique.

What makes online surveys so popular?  

They’re easy and inexpensive to conduct, and you can do a lot of data collection quickly. Plus, the data is pretty straightforward to analyze, even when you have to analyze open-ended questions whose answers might initially appear difficult to categorize.

We've built a number of survey templates ready and waiting for you. Grab a template and share with your customers in just a few clicks.

💡 Pro tip: you can also get started with Hotjar AI for Surveys to create a survey in mere seconds . Just enter your market research goal and watch as the AI generates a survey and populates it with relevant questions. 

Once you’re ready for data analysis, the AI will prepare an automated research report that succinctly summarizes key findings, quotes, and suggested next steps.

An example research report generated by Hotjar AI for Surveys

2. Interviews: the most insightful

Interviews are one-on-one conversations with members of your target market. Nothing beats a face-to-face interview for diving deep (and reading non-verbal cues), but if an in-person meeting isn’t possible, video conferencing is a solid second choice.

Regardless of how you conduct it, any type of in-depth interview will produce big benefits in understanding your target customers.

What makes interviews so insightful?

By speaking directly with an ideal customer, you’ll gain greater empathy for their experience , and you can follow insightful threads that can produce plenty of 'Aha!' moments.

3. Focus groups: the most unreliable

Focus groups bring together a carefully selected group of people who fit a company’s target market. A trained moderator leads a conversation surrounding the product, user experience, or marketing message to gain deeper insights.

What makes focus groups so unreliable?

If you’re new to market research, we wouldn’t recommend starting with focus groups. Doing it right is expensive , and if you cut corners, your research could fall victim to all kinds of errors. Dominance bias (when a forceful participant influences the group) and moderator style bias (when different moderator personalities bring about different results in the same study) are two of the many ways your focus group data could get skewed.

4. Observation: the most powerful

During a customer observation session, someone from the company takes notes while they watch an ideal user engage with their product (or a similar product from a competitor).

What makes observation so clever and powerful?

‘Fly-on-the-wall’ observation is a great alternative to focus groups. It’s not only less expensive, but you’ll see people interact with your product in a natural setting without influencing each other. The only downside is that you can’t get inside their heads, so observation still isn't a recommended replacement for customer surveys and interviews.

The following questions will help you get to know your users on a deeper level when you interview them. They’re general questions, of course, so don’t be afraid to make them your own.

1. Who are you and what do you do?

How you ask this question, and what you want to know, will vary depending on your business model (e.g. business-to-business marketing is usually more focused on someone’s profession than business-to-consumer marketing).

It’s a great question to start with, and it’ll help you understand what’s relevant about your user demographics (age, race, gender, profession, education, etc.), but it’s not the be-all-end-all of market research. The more specific questions come later.

2. What does your day look like?

This question helps you understand your users’ day-to-day life and the challenges they face. It will help you gain empathy for them, and you may stumble across something relevant to their buying habits.

3. Do you ever purchase [product/service type]?

This is a ‘yes or no’ question. A ‘yes’ will lead you to the next question.

4. What problem were you trying to solve or what goal were you trying to achieve?

This question strikes to the core of what someone’s trying to accomplish and why they might be willing to pay for your solution.

5. Take me back to the day when you first decided you needed to solve this kind of problem or achieve this goal.

This is the golden question, and it comes from Adele Revella, Founder and CEO of Buyer Persona Institute . It helps you get in the heads of your users and figure out what they were thinking the day they decided to spend money to solve a problem.

If you take your time with this question, digging deeper where it makes sense, you should be able to answer all the relevant information you need to understand their perspective.

“The only scripted question I want you to ask them is this one: take me back to the day when you first decided that you needed to solve this kind of problem or achieve this kind of a goal. Not to buy my product, that’s not the day. We want to go back to the day that when you thought it was urgent and compelling to go spend money to solve a particular problem or achieve a goal. Just tell me what happened.”

— Adele Revella , Founder/CEO at Buyer Persona Institute

Bonus question: is there anything else you’d like to tell me?

This question isn’t just a nice way to wrap it up—it might just give participants the opportunity they need to tell you something you really need to know.

That’s why Sarah Doody, author of UX Notebook , adds it to the end of her written surveys.

“I always have a last question, which is just open-ended: “Is there anything else you would like to tell me?” And sometimes, that’s where you get four paragraphs of amazing content that you would never have gotten if it was just a Net Promoter Score [survey] or something like that.”

What is the difference between qualitative and quantitative research?

Qualitative research asks questions that can’t be reduced to a number, such as, “What is your job title?” or “What did you like most about your customer service experience?” 

Quantitative research asks questions that can be answered with a numeric value, such as, “What is your annual salary?” or “How was your customer service experience on a scale of 1-5?”

 → Read more about the differences between qualitative and quantitative user research .

How do I do my own market research?

You can do your own quick and effective market research by 

Surveying your customers

Building user personas

Studying your users through interviews and observation

Wrapping your head around your data with tools like flow models, affinity diagrams, and customer journey maps

What is the difference between market research and user research?

Market research takes a broad look at potential customers—what problems they’re trying to solve, their buying experience, and overall demand. User research, on the other hand, is more narrowly focused on the use (and usability ) of specific products.

What are the main criticisms of market research?

Many marketing professionals are critical of market research because it can be expensive and time-consuming. It’s often easier to convince your CEO or CMO to let you do lean market research rather than something more extensive because you can do it yourself. It also gives you quick answers so you can stay ahead of the competition.

Do I need a market research firm to get reliable data?

Absolutely not! In fact, we recommend that you start small and do it yourself in the beginning. By following a lean market research strategy, you can uncover some solid insights about your clients. Then you can make changes, test them out, and see whether the results are positive. This is an excellent strategy for making quick changes and remaining competitive.

Net Promoter, Net Promoter System, Net Promoter Score, NPS, and the NPS-related emoticons are registered trademarks of Bain & Company, Inc., Fred Reichheld, and Satmetrix Systems, Inc.

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Market Research: A How-To Guide and Template

Discover the different types of market research, how to conduct your own market research, and use a free template to help you along the way.

MARKET RESEARCH KIT

5 Research and Planning Templates + a Free Guide on How to Use Them in Your Market Research

Updated: 02/21/24

Published: 02/21/24

Today's consumers have a lot of power. As a business, you must have a deep understanding of who your buyers are and what influences their purchase decisions.

Enter: Market Research.

Whether you're new to market research or not, I created this guide to help you conduct a thorough study of your market, target audience, competition, and more. Let’s dive in.

Table of Contents

What is market research?

Primary vs. secondary research, types of market research, how to do market research, market research report template, market research examples.

Market research is the process of gathering information about your target market and customers to verify the success of a new product, help your team iterate on an existing product, or understand brand perception to ensure your team is effectively communicating your company's value effectively.

Market research can answer various questions about the state of an industry. But if you ask me, it's hardly a crystal ball that marketers can rely on for insights on their customers.

Market researchers investigate several areas of the market, and it can take weeks or even months to paint an accurate picture of the business landscape.

However, researching just one of those areas can make you more intuitive to who your buyers are and how to deliver value that no other business is offering them right now.

How? Consider these two things:

• Your competitors also have experienced individuals in the industry and a customer base. It‘s very possible that your immediate resources are, in many ways, equal to those of your competition’s immediate resources. Seeking a larger sample size for answers can provide a better edge.
• Your customers don't represent the attitudes of an entire market. They represent the attitudes of the part of the market that is already drawn to your brand.

The market research services market is growing rapidly, which signifies a strong interest in market research as we enter 2024. The market is expected to grow from roughly $75 billion in 2021 to $90.79 billion in 2025 .

Free Market Research Kit

• SWOT Analysis Template
• Survey Template
• Focus Group Template

You're all set!

Click this link to access this resource at any time.

Why do market research?

Market research allows you to meet your buyer where they are.

As our world becomes louder and demands more of our attention, this proves invaluable.

By understanding your buyer's problems, pain points, and desired solutions, you can aptly craft your product or service to naturally appeal to them.

Market research also provides insight into the following:

• Where your target audience and current customers conduct their product or service research
• Which of your competitors your target audience looks to for information, options, or purchases
• What's trending in your industry and in the eyes of your buyer
• Who makes up your market and what their challenges are
• What influences purchases and conversions among your target audience
• Consumer attitudes about a particular topic, pain, product, or brand
• Whether there‘s demand for the business initiatives you’re investing in
• Unaddressed or underserved customer needs that can be flipped into selling opportunity
• Attitudes about pricing for a particular product or service

Ultimately, market research allows you to get information from a larger sample size of your target audience, eliminating bias and assumptions so that you can get to the heart of consumer attitudes.

As a result, you can make better business decisions.

To give you an idea of how extensive market research can get , consider that it can either be qualitative or quantitative in nature — depending on the studies you conduct and what you're trying to learn about your industry.

Qualitative research is concerned with public opinion, and explores how the market feels about the products currently available in that market.

Quantitative research is concerned with data, and looks for relevant trends in the information that's gathered from public records.

That said, there are two main types of market research that your business can conduct to collect actionable information on your products: primary research and secondary research.

Primary Research

Primary research is the pursuit of first-hand information about your market and the customers within your market.

It's useful when segmenting your market and establishing your buyer personas.

Primary market research tends to fall into one of two buckets:

• Exploratory Primary Research: This kind of primary market research normally takes place as a first step — before any specific research has been performed — and may involve open-ended interviews or surveys with small numbers of people.
• Specific Primary Research: This type of research often follows exploratory research. In specific research, you take a smaller or more precise segment of your audience and ask questions aimed at solving a suspected problem.

Secondary Research

Secondary research is all the data and public records you have at your disposal to draw conclusions from (e.g. trend reports, market statistics, industry content, and sales data you already have on your business).

Secondary research is particularly useful for analyzing your competitors . The main buckets your secondary market research will fall into include:

• Public Sources: These sources are your first and most-accessible layer of material when conducting secondary market research. They're often free to find and review — like government statistics (e.g., from the U.S. Census Bureau ).
• Commercial Sources: These sources often come in the form of pay-to-access market reports, consisting of industry insight compiled by a research agency like Pew , Gartner , or Forrester .
• Internal Sources: This is the market data your organization already has like average revenue per sale, customer retention rates, and other historical data that can help you draw conclusions on buyer needs.
• Focus Groups
• Product/ Service Use Research
• Observation-Based Research
• Buyer Persona Research
• Market Segmentation Research
• Pricing Research
• Competitive Analysis Research
• Customer Satisfaction and Loyalty Research
• Brand Awareness Research
• Campaign Research

1. Interviews

Interviews allow for face-to-face discussions so you can allow for a natural flow of conversation. Your interviewees can answer questions about themselves to help you design your buyer personas and shape your entire marketing strategy.

2. Focus Groups

Focus groups provide you with a handful of carefully-selected people that can test out your product and provide feedback. This type of market research can give you ideas for product differentiation.

3. Product/Service Use Research

Product or service use research offers insight into how and why your audience uses your product or service. This type of market research also gives you an idea of the product or service's usability for your target audience.

4. Observation-Based Research

Observation-based research allows you to sit back and watch the ways in which your target audience members go about using your product or service, what works well in terms of UX , and which aspects of it could be improved.

5. Buyer Persona Research

Buyer persona research gives you a realistic look at who makes up your target audience, what their challenges are, why they want your product or service, and what they need from your business or brand.

6. Market Segmentation Research

Market segmentation research allows you to categorize your target audience into different groups (or segments) based on specific and defining characteristics. This way, you can determine effective ways to meet their needs.

7. Pricing Research

Pricing research helps you define your pricing strategy . It gives you an idea of what similar products or services in your market sell for and what your target audience is willing to pay.

8. Competitive Analysis

Competitive analyses give you a deep understanding of the competition in your market and industry. You can learn about what's doing well in your industry and how you can separate yourself from the competition .

9. Customer Satisfaction and Loyalty Research

Customer satisfaction and loyalty research gives you a look into how you can get current customers to return for more business and what will motivate them to do so (e.g., loyalty programs , rewards, remarkable customer service).

10. Brand Awareness Research

Brand awareness research tells you what your target audience knows about and recognizes from your brand. It tells you about the associations people make when they think about your business.

11. Campaign Research

Campaign research entails looking into your past campaigns and analyzing their success among your target audience and current customers. The goal is to use these learnings to inform future campaigns.

• Define your buyer persona.
• Identify a persona group to engage.
• Prepare research questions for your market research participants.
• List your primary competitors.
• Summarize your findings.

1. Define your buyer persona.

You have to understand who your customers are and how customers in your industry make buying decisions.

This is where your buyer personas come in handy. Buyer personas — sometimes referred to as marketing personas — are fictional, generalized representations of your ideal customers.

Use a free tool to create a buyer persona that your entire company can use to market, sell, and serve better.

Don't forget to share this post!

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Free Guide & Templates to Help Your Market Research

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Business Research A Guide to Planning, Conducting, and Reporting Your Study

• Donald R. Cooper
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• Test banks provide a diverse range of pre-written options as well as the opportunity to edit any question and/or insert your own personalized questions to effectively assess students’ progress and understanding.
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SAGE edge for Students provides a personalized approach to help students accomplish their coursework goals in an easy-to-use learning environment.

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“ Business Research: A Guide to Planning, Conducting, and Reporting Your Study is a worthy entry into this field of research texts. It provides a carefully thought out and tightly organized plan for conducting research across a variety of business and non-business fields. Rather than a cook book, it presents a sound theoretical approach to doing research firmly grounded in an understanding of the scientific method. It carries the student from problem inception to finished report in a highly readable and entertaining way. It can be recommended to any instructor who wants a text for a research methods course that is flexible and easy to use.”

“Donald Cooper provides a roadmap for success by supplying his readers with the essential tools needed to succeed in conducting and reporting research in the ever changing business environment we live in today.”

“This book provides clear, concise and practical guides to the whole research process from beginning to end. It is an effective reference for students and anyone learning how to do research. It covers each and every step of the research process thoroughly from exploring research question and problem all the way to writing the results.”

“An excellent guide for the novice or experienced researcher. This book is written with scholarship, integrity, and intelligence. The author has provided an excellent writing style and examples.  The material is easy to understand and presented in a fashion that students will enjoy.”

“I believe this to be a vast improvement over traditional research texts. The language is easy to understand making the work more accessible to students.”

“[Cooper] provides the step-by-step research process and explains the relevance and importance of each step. Additionally, the use and write-up of the data to inform readers of research is critical.”

“This text provides a comprehensive coverage on business research.”

“The textbook helps the serious researcher think better about research design.”

KEY FEATURES:  

• The only book to offer a simplified design, including both qualitative research and mixed designs, providing a useful and valuable resource for all students.
• Design matrix and three sets of questions narrow down the most appropriate design methods , allowing readers to begin their research projects with greater efficiency.  
• Unique Statistical Decision Trees enable students to bypass the typical statistics chapters and select the appropriate analysis based on prior learning, thus lessening anxiety surrounding complex research assignments. 
• Real world case studies blend business research within the context of successful organizations to detail business research challenges within a broad array of examples.
• Global narrative highlights a wide spectrum of business research challenges. 
• A concise and effective APA style how-to guide with over 26 exhibits that includes writing examples using permissions for articles and a 2016 thesis.
• Robust pedagogical features include learning objectives, key terms, discussion questions, comparison tables for a business report vs. an academic report, and over 500 references.
• An appendix includes an example of an original PowerPoint Business Research Proposal.   

Sample Materials & Chapters

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8. Experimental Designs

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How to do market research for your business idea

Last updated

3 April 2024

Reviewed by

Market research provides valuable data that ensures your business idea resonates with customers and generates demand. If the research confirms consumers are interested, you can build a business delivering the product or service. If not, you can use the findings to adjust your idea so it reflects what customers want.

Conducting market research and analyzing the results can mean the difference between success and failure. Let's look at how you can do market research for your business idea and turn it into a thriving enterprise.

Market analysis template

Save time, highlight crucial insights, and drive strategic decision-making

• What is market research?

Market research refers to analyzing your business's target market to evaluate the viability of your business idea. You will learn why, or even if, consumers want to purchase your service or product, their spending habits, and their purchasing decisions.

By understanding the market, you can:

Make better products

Improve user experience

Offer competitive prices

Find ways to attract the most customers

Market research is critical to starting and growing a successful business.

• Why is market research important?

Consumer behavior plays a crucial role in determining the success of a business. Your consumers will not only buy your products or services but will also either warn against or recommend your company to others.

Understanding what your customers want and how they think, feel, and make decisions is the first step in delivering their needs.

There are many reasons for conducting market research. Let’s look at the most important ones.

Gives you a better understanding of your customers 

Market research will help you, as an entrepreneur, better understand your target customers. You will gather insights into their:

Demographics

Pain points

Buying habits

Preferences

As such, you can tailor your products or services and create a customer experience that appeals to your potential customers. Market research can:

Drive customers to your store, product, or service

Help you turn clicks into conversions

Maintain a customer-centric approach

Build loyalty and trust

Helps businesses make informed decisions

Market research not only provides data about customers but also uncovers market trends and growth patterns. This minimizes your reliance on gut feelings, assumptions, and guesswork.

You can set realistic goals and make the right choices for your business. You'll know:

What to expect in the future

What will work in the market

How you can reinvent your business to stay relevant

Making data-driven decisions will boost your chances of getting it right the first time.

Identifies opportunities for growth

Market research helps startups identify opportunities to improve and gaps they can fill. You may pinpoint new customers who could benefit from your business idea. These could be in areas where your business does not have a presence or is falling behind its competitors.

Market research can also reveal partnership opportunities with businesses that already have an established customer base with your target audience. It can also identify the shortcomings in your business idea and help you avoid expensive mistakes.

You can also uncover opportunities for product bundles, add-ons, and other value-adds that increase your profits. Having the right knowledge can help drive profitability.

Minimizes risks

Every business deals with a range of risks including:

Operational

Business risks usually arise when there's uncertainty around profits, strategy, and other elements. These risks can significantly affect a business's bottom line, including its reputation among consumers, leading to:

Lower profits

Inefficient processes

Possible failure

Conducting market research will help identify the potential risks associated with your business idea early on. You can stay informed of laws and regulations, refine your workflows and processes, and develop risk-management strategies that reduce the chances of failure.

Establishes product or service viability

As an entrepreneur, the last thing you want is to invest resources and money in an idea no one wants or needs. You can use market research to test your business idea before investing.

Market research for your business ideas will help you to;

Understand what the core product and its features need to look like

Gauge market demand

Gather information about your competitors' actions

This will help you validate or refine your initial business idea based on the collected feedback and data.

Shapes marketing and branding strategies

An effective marketing strategy ensures your business stays in sync with your customer base. To create successful campaigns for your business, you must know and understand customers to reach and connect with them.

Market research can help determine how you communicate information about your products or services and your marketing channels. You can develop an informed marketing strategy that puts your business ahead of your competitors.

• Types of market research

Primary and secondary market research are the basic types of market research. However, as technology and marketing become more sophisticated, entrepreneurs can use new ways to discover valuable information that can create better insights, and better product and service experiences.

These market research methods include:

Brand awareness research

Competitor analysis

Market and customer segmentation

Pricing research

Customer satisfaction and loyalty research

Product research

Campaign research

Customer research

The type of market research you choose will influence your critical business decisions. Therefore, select the right research methods to help your business stay relevant, adapt, and compete. Entrepreneurs can use different types of market research to allow for more granular data collection.

• Primary vs. secondary research

Primary research

Primary research involves collecting new data from original sources. This involves going directly to your target market or employing a third party to conduct relevant studies on your specific customers or market segment.

Primary research methods include:

Focus groups

One-to-one interviews

Consumer observation

Data is collected directly from respondents, allowing you to gain specific insights tailored to your objectives. This may include a firsthand perspective on consumer preferences, behaviors, and trends.

Primary research helps you to:

Create buyer personas

Improve your business idea

Segment your market

Secondary research

Secondary research involves using pre-existing data from various sources to gain insights into your target market and industry. This includes reviewing reports, studies, and data collected by others in your industry.

Secondary sources include:

Industry reports

Internet search engines

Government publications

Statistical databases

Academic papers

Industry experts

From secondary research, you will gain broader industry perspectives, competitor strategies, historical data trends, and context for understanding market dynamics. Since most of this information is freely available, secondary research is more cost-effective for startups.

• How to conduct market research for your business idea

1. Define your target market

Entrepreneurs can only gather meaningful insights once they know who to include in their market research. Otherwise, you may waste resources collecting unnecessary data.

First, define and understand your target market. Work out which types of consumers will be included, their interests, and how the data will be collected.

Ask these questions to help you:

Who is your target market as a whole?

How old are they?

What characteristics, interests, desires, pain points, and needs do they share?

Where do they buy similar products?

What are their income ranges?

Where do they live?

What major challenges do they face?

The idea is to visualize your audience and understand their actual characteristics, buying habits, and possible challenges. This allows you to develop marketing research that targets people who are interested in what you offer or plan to provide.

2. Develop a market research plan

Like any other business process, market research requires an effective plan to be successful. You should know what you're trying to accomplish and the information you'll need.

Your market research plan should include the following:

The issues your business idea addresses

Clear objectives and goals

The research methods you'll use to achieve those objectives (the research design)

The estimated time frame to complete tasks

The required budget

Any ethical issues or other considerations that may arise

Planning your market research can save you time, effort, and money. You'll not only target the right audience but also invest in the right sectors and align your research with your business objectives.

3. Study your competitors

Knowing your competitors, what they offer, and how they position themselves in the market can help set you on the right path.

Research your competitors':

Brand reputation

Overall strategies

Marketing campaigns

Revenue or sales volume

Other activities

This can help you determine how to differentiate your business from theirs and learn from their strengths and weaknesses. You'll understand the business landscape and be better able to assess your chances of success.

4. Conduct a SWOT analysis

A SWOT (Strengths, Weaknesses, Opportunities, and Threats) analysis is a powerful way to analyze your business idea. It will help you assess your internal capabilities and the external market conditions to identify potential advantages and challenges.

A SWOT analysis usually entails the following:

Strengths: This involves identifying the strengths of your business idea. Some common strengths you can evaluate include your idea’s competitive advantage, efficiency, and unique qualities.

Weaknesses: Weaknesses are usually areas where you can or should improve. Common areas of improvement include things your competitors do better than you and internal factors that make it challenging to achieve your goals.

Opportunities: These are ways you can grow your business idea and make it more profitable. These are opportunities open to you, trends you can take advantage of, and ways to turn your strengths into opportunities.

Threats: Threats include everything that poses a risk to your business idea. These can be things that prevent you from entering the market or achieving success and growth. Threats to your business may include emerging competitors, a changing regulatory environment, and the possibility of losing relevance.

Typically, strengths and weaknesses are internal factors you can control, while opportunities and threats are external factors that can be anticipated. Conducting a SWOT analysis allows you to identify areas to focus on, build, and work to overcome.

5. Run surveys and focus groups

Surveys and focus groups are effective ways to fully understand your target market and competition. Surveys are straightforward and can be cost-effective to conduct, and the data is relatively easy to analyze. You can use online platforms that deliver surveys through online forums, social media sites, and other convenient means. Your surveys should contain a variety of question types, including:

Open-ended responses

Rating scales

Multiple choice

Focus groups involve gathering a small group of individuals (usually 5–10) to answer questions and provide feedback. The groups are led by a moderator who asks questions, allows discussion, and keeps the conversation moving in a productive direction.

6. Study trends and industry reports

Market trends and industry reports keep you updated on what's happening in your industry or target market. This includes changes, shifts, and recurring trends within a particular market or industry. They give valuable insights into:

Consumer preferences

Economic factors

Emerging technologies

Other aspects that may shape the market's future

You'll learn more about key metrics such as revenue, sales, average selling prices, and growth opportunities. They provide a solid overview of market dynamics and the factors driving it. After reviewing these, you'll be able to identify:

Growing industries to invest in

Barriers or threats you may face

Your major competitors

7. Analyze data

After conducting your research, you'll have information and data to analyze. We recommend using a system that helps you organize your collected data to find actionable recommendations . This can include:

Sorting your data into groups

Identifying patterns

Creating distinct customer personas

You can also use the SWOT framework, spreadsheets, or data visualization software to arrange and analyze your information. When reviewing, look for information that will help you answer your objectives and critical questions.

8. Summarize findings

Once you have analyzed your data, you can summarize your findings in a simple, shareable format. This can be in the form of a summary report containing insights, recommendations, and resulting strategies from the data analysis. You can then share what you learned during the research and analysis with your team members.

Your findings should help you identify:

Opportunities for growth and improvement

Answers that fulfill your objectives

This will help guide product development, marketing strategies, and other crucial decisions that drive success. You can also use summarized reports for future marketing and branding efforts.

9. Validate your business idea

Validation involves evaluating your business idea against the information gathered through market research. This helps ensure your business idea has the potential for success in the marketplace.

You can validate your business idea by determining whether:

There's a need for your product or service

There are enough potential customers

You can do better than your competitors

Your customers validated your idea

You're solving a problem

You can attain the highest rewards and achieve long-term success

Think about the assumptions you have about your business and validate them with real-life situations and data. Assumptions can include:

Your business model

The value you believe your products offer

Your desired pricing

You can also test your products or services with real users to get their opinion and see how it works in the real market. You can then modify your business idea based on what you learn.

• 10 common market research questions for a new business idea

The market research questions you choose will play a vital role in creating an accurate buyer persona and capturing valuable insights. Select questions that will help your business collect precise information about your target market, audiences, and competitors. 

Here are some common market research questions for startups:

Who is our ideal customer? What is the size of our target market?

Who are our biggest competitors? How are they doing business in this market?

What are the problems we'll solve for our target groups?

What regulatory or compliance challenges might we face in this specific market?

What are the current (and predicted) trends impacting the market?

Who would purchase this product if it were available today?

What challenges do you currently face in [relevant industry/problem area]?

What features are most important when considering a [product/service]?

What types of brands are boycotted and why?

Which aspects of our advertising or marketing message are most compelling?

When should you conduct market research?

In ever-changing, highly competitive markets, businesses should always know what's happening in their industry. Therefore, entrepreneurs should be strategic about when to conduct market research.

Typically, you should conduct market research:

Before and after launching a new business

Before and after developing or launching new products or services

Before and after entering new markets

What type of market research is best for startups?

Most startups use secondary research because it's quick and more affordable. However, you can also use modern tools to design robust market research studies. Startups can also benefit from conducting primary research if resources allow.

Get started today

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Home » Research Methodology – Types, Examples and writing Guide

Research Methodology – Types, Examples and writing Guide

Table of Contents

Research Methodology

Definition:

Research Methodology refers to the systematic and scientific approach used to conduct research, investigate problems, and gather data and information for a specific purpose. It involves the techniques and procedures used to identify, collect , analyze , and interpret data to answer research questions or solve research problems . Moreover, They are philosophical and theoretical frameworks that guide the research process.

Structure of Research Methodology

Research methodology formats can vary depending on the specific requirements of the research project, but the following is a basic example of a structure for a research methodology section:

I. Introduction

• Provide an overview of the research problem and the need for a research methodology section
• Outline the main research questions and objectives

II. Research Design

• Explain the research design chosen and why it is appropriate for the research question(s) and objectives
• Discuss any alternative research designs considered and why they were not chosen
• Describe the research setting and participants (if applicable)

III. Data Collection Methods

• Describe the methods used to collect data (e.g., surveys, interviews, observations)
• Explain how the data collection methods were chosen and why they are appropriate for the research question(s) and objectives
• Detail any procedures or instruments used for data collection

IV. Data Analysis Methods

• Describe the methods used to analyze the data (e.g., statistical analysis, content analysis )
• Explain how the data analysis methods were chosen and why they are appropriate for the research question(s) and objectives
• Detail any procedures or software used for data analysis

V. Ethical Considerations

• Discuss any ethical issues that may arise from the research and how they were addressed
• Explain how informed consent was obtained (if applicable)
• Detail any measures taken to ensure confidentiality and anonymity

VI. Limitations

• Identify any potential limitations of the research methodology and how they may impact the results and conclusions

VII. Conclusion

• Summarize the key aspects of the research methodology section
• Explain how the research methodology addresses the research question(s) and objectives

Research Methodology Types

Types of Research Methodology are as follows:

Quantitative Research Methodology

This is a research methodology that involves the collection and analysis of numerical data using statistical methods. This type of research is often used to study cause-and-effect relationships and to make predictions.

Qualitative Research Methodology

This is a research methodology that involves the collection and analysis of non-numerical data such as words, images, and observations. This type of research is often used to explore complex phenomena, to gain an in-depth understanding of a particular topic, and to generate hypotheses.

Mixed-Methods Research Methodology

This is a research methodology that combines elements of both quantitative and qualitative research. This approach can be particularly useful for studies that aim to explore complex phenomena and to provide a more comprehensive understanding of a particular topic.

Case Study Research Methodology

This is a research methodology that involves in-depth examination of a single case or a small number of cases. Case studies are often used in psychology, sociology, and anthropology to gain a detailed understanding of a particular individual or group.

Action Research Methodology

This is a research methodology that involves a collaborative process between researchers and practitioners to identify and solve real-world problems. Action research is often used in education, healthcare, and social work.

Experimental Research Methodology

This is a research methodology that involves the manipulation of one or more independent variables to observe their effects on a dependent variable. Experimental research is often used to study cause-and-effect relationships and to make predictions.

Survey Research Methodology

This is a research methodology that involves the collection of data from a sample of individuals using questionnaires or interviews. Survey research is often used to study attitudes, opinions, and behaviors.

Grounded Theory Research Methodology

This is a research methodology that involves the development of theories based on the data collected during the research process. Grounded theory is often used in sociology and anthropology to generate theories about social phenomena.

Research Methodology Example

An Example of Research Methodology could be the following:

Research Methodology for Investigating the Effectiveness of Cognitive Behavioral Therapy in Reducing Symptoms of Depression in Adults

Introduction:

The aim of this research is to investigate the effectiveness of cognitive-behavioral therapy (CBT) in reducing symptoms of depression in adults. To achieve this objective, a randomized controlled trial (RCT) will be conducted using a mixed-methods approach.

Research Design:

The study will follow a pre-test and post-test design with two groups: an experimental group receiving CBT and a control group receiving no intervention. The study will also include a qualitative component, in which semi-structured interviews will be conducted with a subset of participants to explore their experiences of receiving CBT.

Participants:

Participants will be recruited from community mental health clinics in the local area. The sample will consist of 100 adults aged 18-65 years old who meet the diagnostic criteria for major depressive disorder. Participants will be randomly assigned to either the experimental group or the control group.

Intervention :

The experimental group will receive 12 weekly sessions of CBT, each lasting 60 minutes. The intervention will be delivered by licensed mental health professionals who have been trained in CBT. The control group will receive no intervention during the study period.

Data Collection:

Quantitative data will be collected through the use of standardized measures such as the Beck Depression Inventory-II (BDI-II) and the Generalized Anxiety Disorder-7 (GAD-7). Data will be collected at baseline, immediately after the intervention, and at a 3-month follow-up. Qualitative data will be collected through semi-structured interviews with a subset of participants from the experimental group. The interviews will be conducted at the end of the intervention period, and will explore participants’ experiences of receiving CBT.

Data Analysis:

Quantitative data will be analyzed using descriptive statistics, t-tests, and mixed-model analyses of variance (ANOVA) to assess the effectiveness of the intervention. Qualitative data will be analyzed using thematic analysis to identify common themes and patterns in participants’ experiences of receiving CBT.

Ethical Considerations:

This study will comply with ethical guidelines for research involving human subjects. Participants will provide informed consent before participating in the study, and their privacy and confidentiality will be protected throughout the study. Any adverse events or reactions will be reported and managed appropriately.

Data Management:

All data collected will be kept confidential and stored securely using password-protected databases. Identifying information will be removed from qualitative data transcripts to ensure participants’ anonymity.

Limitations:

One potential limitation of this study is that it only focuses on one type of psychotherapy, CBT, and may not generalize to other types of therapy or interventions. Another limitation is that the study will only include participants from community mental health clinics, which may not be representative of the general population.

Conclusion:

This research aims to investigate the effectiveness of CBT in reducing symptoms of depression in adults. By using a randomized controlled trial and a mixed-methods approach, the study will provide valuable insights into the mechanisms underlying the relationship between CBT and depression. The results of this study will have important implications for the development of effective treatments for depression in clinical settings.

How to Write Research Methodology

Writing a research methodology involves explaining the methods and techniques you used to conduct research, collect data, and analyze results. It’s an essential section of any research paper or thesis, as it helps readers understand the validity and reliability of your findings. Here are the steps to write a research methodology:

• Start by explaining your research question: Begin the methodology section by restating your research question and explaining why it’s important. This helps readers understand the purpose of your research and the rationale behind your methods.
• Describe your research design: Explain the overall approach you used to conduct research. This could be a qualitative or quantitative research design, experimental or non-experimental, case study or survey, etc. Discuss the advantages and limitations of the chosen design.
• Discuss your sample: Describe the participants or subjects you included in your study. Include details such as their demographics, sampling method, sample size, and any exclusion criteria used.
• Describe your data collection methods : Explain how you collected data from your participants. This could include surveys, interviews, observations, questionnaires, or experiments. Include details on how you obtained informed consent, how you administered the tools, and how you minimized the risk of bias.
• Explain your data analysis techniques: Describe the methods you used to analyze the data you collected. This could include statistical analysis, content analysis, thematic analysis, or discourse analysis. Explain how you dealt with missing data, outliers, and any other issues that arose during the analysis.
• Discuss the validity and reliability of your research : Explain how you ensured the validity and reliability of your study. This could include measures such as triangulation, member checking, peer review, or inter-coder reliability.
• Acknowledge any limitations of your research: Discuss any limitations of your study, including any potential threats to validity or generalizability. This helps readers understand the scope of your findings and how they might apply to other contexts.
• Provide a summary: End the methodology section by summarizing the methods and techniques you used to conduct your research. This provides a clear overview of your research methodology and helps readers understand the process you followed to arrive at your findings.

When to Write Research Methodology

Research methodology is typically written after the research proposal has been approved and before the actual research is conducted. It should be written prior to data collection and analysis, as it provides a clear roadmap for the research project.

The research methodology is an important section of any research paper or thesis, as it describes the methods and procedures that will be used to conduct the research. It should include details about the research design, data collection methods, data analysis techniques, and any ethical considerations.

The methodology should be written in a clear and concise manner, and it should be based on established research practices and standards. It is important to provide enough detail so that the reader can understand how the research was conducted and evaluate the validity of the results.

Applications of Research Methodology

Here are some of the applications of research methodology:

• To identify the research problem: Research methodology is used to identify the research problem, which is the first step in conducting any research.
• To design the research: Research methodology helps in designing the research by selecting the appropriate research method, research design, and sampling technique.
• To collect data: Research methodology provides a systematic approach to collect data from primary and secondary sources.
• To analyze data: Research methodology helps in analyzing the collected data using various statistical and non-statistical techniques.
• To test hypotheses: Research methodology provides a framework for testing hypotheses and drawing conclusions based on the analysis of data.
• To generalize findings: Research methodology helps in generalizing the findings of the research to the target population.
• To develop theories : Research methodology is used to develop new theories and modify existing theories based on the findings of the research.
• To evaluate programs and policies : Research methodology is used to evaluate the effectiveness of programs and policies by collecting data and analyzing it.
• To improve decision-making: Research methodology helps in making informed decisions by providing reliable and valid data.

Purpose of Research Methodology

Research methodology serves several important purposes, including:

• To guide the research process: Research methodology provides a systematic framework for conducting research. It helps researchers to plan their research, define their research questions, and select appropriate methods and techniques for collecting and analyzing data.
• To ensure research quality: Research methodology helps researchers to ensure that their research is rigorous, reliable, and valid. It provides guidelines for minimizing bias and error in data collection and analysis, and for ensuring that research findings are accurate and trustworthy.
• To replicate research: Research methodology provides a clear and detailed account of the research process, making it possible for other researchers to replicate the study and verify its findings.
• To advance knowledge: Research methodology enables researchers to generate new knowledge and to contribute to the body of knowledge in their field. It provides a means for testing hypotheses, exploring new ideas, and discovering new insights.
• To inform decision-making: Research methodology provides evidence-based information that can inform policy and decision-making in a variety of fields, including medicine, public health, education, and business.

Advantages of Research Methodology

Research methodology has several advantages that make it a valuable tool for conducting research in various fields. Here are some of the key advantages of research methodology:

• Systematic and structured approach : Research methodology provides a systematic and structured approach to conducting research, which ensures that the research is conducted in a rigorous and comprehensive manner.
• Objectivity : Research methodology aims to ensure objectivity in the research process, which means that the research findings are based on evidence and not influenced by personal bias or subjective opinions.
• Replicability : Research methodology ensures that research can be replicated by other researchers, which is essential for validating research findings and ensuring their accuracy.
• Reliability : Research methodology aims to ensure that the research findings are reliable, which means that they are consistent and can be depended upon.
• Validity : Research methodology ensures that the research findings are valid, which means that they accurately reflect the research question or hypothesis being tested.
• Efficiency : Research methodology provides a structured and efficient way of conducting research, which helps to save time and resources.
• Flexibility : Research methodology allows researchers to choose the most appropriate research methods and techniques based on the research question, data availability, and other relevant factors.
• Scope for innovation: Research methodology provides scope for innovation and creativity in designing research studies and developing new research techniques.

Research Methodology Vs Research Methods

About the author.

Muhammad Hassan

Researcher, Academic Writer, Web developer

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Guide to the Best Cheap Cell Phone Plans in 2024

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The cheapest cell phone plans are typically prepaid, which means you only commit to the month(s) of service you pay for upfront. There’s usually no credit check to sign up and you have many choices.

What’s more is that these cheaper cell phone plan providers typically run on one or more of the three nationwide networks (those from Verizon, T-Mobile and AT&T). 

Cheaper plan, same nationwide coverage, what’s the catch?

Prepaid plans tend to come with fewer perks (e.g., that Disney+ or Netflix subscription you probably don’t need), can have less access to live customer service, and sometimes the fine print suggests network speeds may be slowed in favor of postpaid plan customers. Plus, an overwhelming number of options can make it challenging to choose a cheap plan in 2024. 

We’re here to help you map out the cheap cell phone plan landscape. We evaluated plans offered by popular cell phone service providers, considering brand ownership, nationwide network affiliation and monthly plan prices before taxes and fees.

When choosing a plan, lots of catchy marketing and fine print make it a windy road. But if you explore the options, you’ll likely save money with a prepaid plan.

Note: Most prices in the lists below are before taxes and fees.

Cheap(er) cell phone plans from Verizon, T-Mobile and AT&T

If you want to buy cell phone service directly from one of the big three wireless companies — Verizon, T-Mobile or AT&T — try one of their prepaid plans to save over a single-line postpaid plan.

Big three prepaid plans

Each offers a set of prepaid plans with unlimited talk and text and varying levels of data. Plans with a set amount of data run the lowest.

AT&T prepaid: Unlimited talk and text, 5GB of data for $30 per month. Notable: If you order online, you avoid a $15 activation fee. Some plans are eligible for automatic payment discounts, which vary by plan and may be higher with limited-time promotion deals.

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Verizon prepaid: Unlimited talk and text, 15GB of data for $35 per month (with an autopay discount). Notable: Verizon prepaid customers get a $5 per month loyalty discount after three months of service on eligible monthly plans. The discount grows to $10 per month after nine months of service.

You may have to hunt around for the “prepaid” section of these cell phone companies’ websites to bypass the flagship plans and get to cheaper stuff.

Cheap cell phone plans from brands owned by the big three

Each of the big three carriers has introduced or acquired competing sub-brands in the prepaid wireless space. Confusion aside, more competition means more opportunities for you, the consumer, to lower your cell phone bill .

Consider these popular options that are owned by the big three national carriers. 

But wait, there’s more 

Total by Verizon and Connect by T-Mobile are two lesser-known wireless spinoffs that may be worth a look. The latter boasts a $10-a-month plan that includes 1,000 minutes of talk time, 1,000 texts and 1GB of data.

Cheap cell phone plans from brands that resell network service

Wireless service brands not acquired or started by Verizon, AT&T or T-Mobile typically purchase and resell service on one or more of the big three’s nationwide networks.

Consider these options.

*Mint Mobile won’t be on its own much longer: In 2023, T-Mobile announced plans to acquire the budget carrier. Mint Mobile says the option for a $ 15-a-month plan will remain.

But wait, there’s more

There are too many more to list, actually. A few other cheap cell phone plan options that might be worth a look: Ting and Tello, as well as Ultra Mobile (which also will be acquired by T-Mobile, along with Mint, and makes a similar promise to retain its pricing). As well, you can explore whether you're eligible for the federal Lifeline program, which provides discounted phone service for low-income households .

Things to consider

With so many choices available, how do you decide which plan is right for you?

While the best plan is one that will fit into your budget , consider other factors, too. For instance, how much data do you use each month and how many lines will you need? Are there times when you’d like to use your phone outside the U.S.?

Assessing your data and usage goals, along with your budget, will help you narrow the many choices into a few that will work best for you.

How to switch plans and keep your number

Perhaps the most daunting factor in jumping to a new plan is the fear of losing your original phone number. But the Federal Communications Commission notes that consumers staying in the same geographic area can take their number to a new service provider, and sets rules on charges and speed of service.

Many providers are making this easy now. For example, Mint Mobile offers detailed instructions for how to switch from all the major carriers while keeping your number intact. Likewise, Consumer Cellular also states that it is easy to bring your number with you, though you’ll need to wait to cancel your existing plan until the transfer process is complete.

The bottom line: Read the fine print from your existing provider and the one you’re switching to before taking any action. The odds are good that you’ll be able to carry your phone number over, but you’ll need to follow each provider’s instructions.

Methodology

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Business research: what it is & how to use it for business results.

10 min read What is business research and why does it matter? Here are some of the ways business research can be helpful to your company, whichever method you choose to carry it out.

What is business research?

Business research helps companies make better business decisions by gathering information. The scope of the term business research is quite broad – it acts as an umbrella that covers every aspect of business, from finances to advertising creative. It can include research methods which help a company better understand its target market. It could focus on customer experience and assess customer satisfaction levels. Or it could involve sizing up the competition through competitor research.

Often when carrying out business research, companies are looking at their own data, sourced from their employees, their customers and their business records. However, business researchers can go beyond their own company in order to collect relevant information and understand patterns that may help leaders make informed decisions. For example, a business may carry out ethnographic research where the participants are studied in the context of their everyday lives, rather than just in their role as consumer, or look at secondary data sources such as open access public records and empirical research carried out in academic studies.

There is also a body of knowledge about business in general that can be mined for business research purposes. For example organisational theory and general studies on consumer behaviour.

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Why is business research important?

We live in a time of high speed technological progress and hyper-connectedness. Customers have an entire market at their fingertips and can easily switch brands if a competitor is offering something better than you are. At the same time, the world of business has evolved to the point of near-saturation. It’s hard to think of a need that hasn’t been addressed by someone’s innovative product or service.

The combination of ease of switching, high consumer awareness and a super-evolved marketplace crowded with companies and their offerings means that businesses must do whatever they can to find and maintain an edge. Business research is one of the most useful weapons in the fight against business obscurity, since it allows companies to gain a deep understanding of buyer behaviour and stay up to date at all times with detailed information on their market.

Thanks to the standard of modern business research tools and methods, it’s now possible for business analysts to track the intricate relationships between competitors, financial markets, social trends, geopolitical changes, world events, and more.

Find out how to conduct your own market research and make use of existing market research data with our Ultimate guide to market research

Types of business research

Business research methods vary widely, but they can be grouped into two broad categories – qualitative research and quantitative research .

Qualitative research methods

Qualitative business research deals with non-numerical data such as people’s thoughts, feelings and opinions. It relies heavily on the observations of researchers, who collect data from a relatively small number of participants – often through direct interactions.

Qualitative research interviews take place one-on-one between a researcher and participant. In a business context, the participant might be a customer, a supplier, an employee or other stakeholder. Using open-ended questions , the researcher conducts the interview in either a structured or unstructured format. Structured interviews stick closely to a question list and scripted phrases, while unstructured interviews are more conversational and exploratory. As well as listening to the participant’s responses, the interviewer will observe non-verbal information such as posture, tone of voice and facial expression.

Focus groups

Like the qualitative interview, a focus group is a form of business research that uses direct interaction between the researcher and participants to collect data. In focus groups, a small number of participants (usually around 10) take part in a group discussion led by a researcher who acts as moderator. The researcher asks questions and takes note of the responses, as in a qualitative research interview. Sampling for focus groups is usually purposive rather than random, so that the group members represent varied points of view.

Observational studies

In an observational study, the researcher may not directly interact with participants at all, but will pay attention to practical situations, such as a busy sales floor full of potential customers, or a conference for some relevant business activity. They will hear people speak and watch their interactions , then record relevant data such as behaviour patterns that relate to the subject they are interested in. Observational studies can be classified as a type of ethnographic research. They can be used to gain insight about a company’s target audience in their everyday lives, or study employee behaviours in actual business situations.

Ethnographic Research

Ethnographic research is an immersive design of research where one observes peoples’ behaviour in their natural environment. Ethnography was most commonly found in the anthropology field and is now practices across a wide range of social sciences.

Ethnography is used to support a designer’s deeper understanding of the design problem – including the relevant domain, audience(s), processes, goals and context(s) of use.

The ethnographic research process is a popular methodology used in the software development lifecycle. It helps create better UI/UX flow based on the real needs of the end-users.

If you truly want to understand your customers’ needs, wants, desires, pain-points “walking a mile” in their shoes enables this. Ethnographic research is this deeply rooted part of research where you truly learn your target audiences’ problem to craft the perfect solution.

Case study research

A case study is a detailed piece of research that provides in depth knowledge about a specific person, place or organisation. In the context of business research, case study research might focus on organisational dynamics or company culture in an actual business setting, and case studies have been used to develop new theories about how businesses operate. Proponents of case study research feel that it adds significant value in making theoretical and empirical advances. However its detractors point out that it can be time consuming and expensive, requiring highly skilled researchers to carry it out.

Quantitative research methods

Quantitative research focuses on countable data that is objective in nature. It relies on finding the patterns and relationships that emerge from mass data – for example by analysing the material posted on social media platforms, or via surveys of the target audience. Data collected through quantitative methods is empirical in nature and can be analysed using statistical techniques. Unlike qualitative approaches, a quantitative research method is usually reliant on finding the right sample size, as this will determine whether the results are representative. These are just a few methods – there are many more.

Surveys are one of the most effective ways to conduct business research. They use a highly structured questionnaire which is distributed to participants, typically online (although in the past, face to face and telephone surveys were widely used). The questions are predominantly closed-ended, limiting the range of responses so that they can be grouped and analysed at scale using statistical tools. However surveys can also be used to get a better understanding of the pain points customers face by providing open field responses where they can express themselves in their own words. Both types of data can be captured on the same questionnaire, which offers efficiency of time and cost to the researcher.

Correlational research

Correlational research looks at the relationship between two entities, neither of which are manipulated by the researcher. For example, this might be the in-store sales of a certain product line and the proportion of female customers subscribed to a mailing list. Using statistical analysis methods, researchers can determine the strength of the correlation and even discover intricate relationships between the two variables. Compared with simple observation and intuition, correlation may identify further information about business activity and its impact, pointing the way towards potential improvements and more revenue.

Experimental research

It may sound like something that is strictly for scientists, but experimental research is used by both businesses and scholars alike. When conducted as part of the business intelligence process, experimental research is used to test different tactics to see which ones are most successful – for example one marketing approach versus another. In the simplest form of experimental research, the researcher identifies a dependent variable and an independent variable. The hypothesis is that the independent variable has no effect on the dependent variable, and the researcher will change the independent one to test this assumption. In a business context, the hypothesis might be that price has no relationship to customer satisfaction. The researcher manipulates the price and observes the C-Sat scores to see if there’s an effect.

The best tools for business research

You can make the business research process much quicker and more efficient by selecting the right tools. Business research methods like surveys and interviews demand tools and technologies that can store vast quantities of data while making them easy to access and navigate. If your system can also carry out statistical analysis, and provide predictive recommendations to help you with your business decisions, so much the better.

eBook: 2023 Global Consumer Trends Report

Related resources

Qualitative research design 12 min read, qualitative vs quantitative research 13 min read, video in qualitative research 10 min read, correlation research 11 min read, market intelligence tools 10 min read, qualitative research questions 11 min read, primary vs secondary research 14 min read, request demo.

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What do you need to cash a check?

Retail stores and supermarkets, prepaid debit cards, issuing bank, check-cashing services, how to cash a check without a bank account.

Affiliate links for the products on this page are from partners that compensate us and terms apply to offers listed (see our advertiser disclosure with our list of partners for more details). However, our opinions are our own. See how we rate banking products to write unbiased product reviews.

• Many brick-and-mortar banks will still allow you to cash a check even if you don't bank with them.
• Grocery stores and big-box retailers may also offer check-cashing services, for a fee.
• Avoid check-cashing stores if you can, as they typically charge a higher fee.
• See Business Insider's picks for the best checking accounts .

When you receive a check from another person, you usually don't want to keep it as a check for long. However, if you don't have a bank account or aren't near your bank due to travel, your situation becomes a bit trickier. 

Banks aren't required to cash checks from people who aren't customers. That being said, many brick-and-mortar banks will still cash your check even if you don't bank with them. However, there might be some additional rules you'll have to follow.

Before you visit any bank branch or check-cashing store, make sure to bring at least one form of government-issued identification.

If you don't have a U.S. ID, such as a driver's license, you'll need to go to a bank or credit union that lets you use an alternative form of ID, like a foreign passport. Otherwise, a bank could turn you away since it can't determine whether the check belongs to you.

Make sure your check isn't expired before you cash it. Many checks expire within 90 days of being written.

Many popular grocery and retail chains offer check-cashing services. These stores might be closer to your home and more convenient than a bank, but they still charge a fee for processing your check. 

For example, Walmart charges a maximum of $4 for checks up to $1,000 and a maximum of $8 for checks over $1,000 and up to $5,000. Kroger charges $4.50 ($4 if you have a Kroger rewards card) for checks under $3,000; $7.50 ($7 with a card) for checks between $3,000 and $5,000.

A prepaid debit card is loaded with money and works much like a debit card, except it's not connected to a checking account . 

Prepaid debit cards sometimes come with mobile app access, which allows you to load money easily, including by taking a photo of your check. Keep in mind that there may be a fee.

Several financial institutions have policies that allow you to cash a check even if you don't have an account with the bank or credit union. Usually you will need to take the check to the issuing institution, not just your bank of choice.

Be prepared to show a government-issued ID and pay a fee. Contact the bank's customer service before your visit to make sure you're aware of any additional requirements or policies.

Cashing check policies at different banks

Below, you'll get an overview of how ten national banks cash checks from non-customers:

• Bank of America: Bank of America permits checks written by Bank of America customers. Checks with a value greater than $50 will be charged $8 per check.
• Chase: Chase will cash any checks issued by the bank. Fees vary depending on the amount written on the check. For instance, a $100 check would require a $10 fee.
• Wells Fargo: Wells Fargo will let you cash a check for a $7.50 fee if the person who wrote the check is a Wells Fargo account owner. 
• Citibank: Citibank allows non-customers to cash a check for a $7 fee.
• Capital One: Capital One will let you cash a check if the person who wrote it has a Capital One account. Fees will vary depending on where you live, so you'll have to contact the nearest bank.
• Truist Bank: Truist will cash any Truist checks. There's no fee if the value of the check is less than $50. If it's greater than $50, you'll pay $8. These fees do not apply if you live in New Jersey.
• PNC Bank: You won't be charged fees if the check is $25 or less. However, for checks greater than $25, you'll be charged 2% of the check amount.
• KeyBank : KeyBank permits checks under $5,000 and written by someone who has a KeyBank account. Checks under $15 will not require any fees, but if your check exceeds that amount, you'll have to pay a fee. Fees vary by state, but if you go to a KeyBank Plus branch, you'll be charged 1.5% of your check's total amount. 
• Citizens Bank : There's a $7 fee to cash a check if you're not a client.
• Regions Bank: Regions Bank has a check-cashing service that doesn't require an account with the bank. If you're cashing a Regions check, the fee will vary from $0 to $20, excluding two-party checks. If you're cashing a payroll or government check, you'll pay 1.5% of the check amount. If you cash any other check, you'll have to pay 4% of the value of your check amount.

You don't have to visit a bank to cash a check. Check-cashing stores process your check and immediately give you cash.

Often, check-cashing services are available at places that also offer payday loans . These companies have a reputation for charging exorbitant or unnecessary fees, however, so consider this a last resort.

Banks typically allow non-customers to cash a check written by one of their customers. Be prepared to pay a fee and show your government-issued identification.

Fees depend on the service provider and may be a flat dollar amount of a percentage of the deposit amount. Always ask about fees up front.

Many grocery stores and big-box retailers, such as Walmart, offer check-cashing services for a fee.

Some prepaid debit cards will allow you to set up an account via a mobile app and take a photo of your check to load the deposit onto an existing card.  

The cheapest way to cash a check without a bank account depends on the deposit amount and where you go. In general, a retailer or the issuing bank will likely be cheaper than a check-cashing service.

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Editorial Note: Any opinions, analyses, reviews, or recommendations expressed in this article are the author’s alone, and have not been reviewed, approved, or otherwise endorsed by any card issuer. Read our editorial standards .

Please note: While the offers mentioned above are accurate at the time of publication, they're subject to change at any time and may have changed, or may no longer be available.

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