3 Biggest Challenges faced by Market Research Companies
For most market research companies doing business, knowing its market and making the market understand the company or business is the biggest challenge. With constantly changing consumer choice and preferences along with ever evolving business and market scenario, rapid technological changes, increased competition along with demands of the business make it mandatory for most market research companies to stay on their guard all the time.
Remaining vigil about the constantly evolving market conditions along with taking the mandatory steps needed to oversee the business affairs and meet the challenges is a must for all those market research companies who want to keep the number one place in the industry.
Difficulty in use of social media for the purpose of data collection
While it cannot be denied that having thorough information about the market conditions helps most 4 Primary Steps in the Market Research Process in drafting the best of strategies to enter the market face the existing challenges and making a mark in the industry along with reaching out to consumers, most market research companies face difficulties in adapting to the latest technologies to make their mark in the virtual world.
The traditional method of doing marketing using television, newspaper and radio are now replaced with cost efficient and latest marketing tools encouraging two-way medium of communication. The best examples in this regard would be of smartphones and other social media platforms which made possible for market research companies to contact many people at the same time.
With an untrained staff to carry out interpretation of data or for the purpose of quantifying of qualitative inputs, data collection and analysis becomes a big hurdle for market research companies.
Lower rate of response
On one hand though technology helps in carrying out a larger number of surveys; the hidden hurdle faced by the market research companies is waning of active participation by respondents resulting in lower responses. Though the consumers might have many things to say about the products or services, the simple fact that they have to take part in so many surveys being carried out might make many of them shy away from participating in the same. These results in carrying out only sample surveys of only those select few people who show eagerness in participating in the surveys without real participation of a large number of people.
Hurdles faced in handling security issues and data privacy
Most market research companies face a lot of hurdles in securing data due to stricter governmental policies as well as regulations on account of privacy. Not only this, increased awareness among consumers has led to more and more consumers becoming increasingly secretive and even mistrustful about some market research companies. The consumers start refusing or even avoid to partake in surveys, interviews etc of those market research firms who end up asking questioning them about the consumer thoughts, behavior, and feelings.
Technology, when used well benefits almost all market research companies except that the market research firms need to work out on the excess cost.
Some of the reputed market research companies such as iResearch Services have expert staff for dealing with data collection and surveys. An ISO 27001:2013 certification means data security is utmost taken care of. These 3 biggest challenges are not a big problem for established market research companies such as iResearch Services.