Secondary Market Research Explained | Internet Research, External Reports, & Internal Sources.

Summary

This video explains secondary market research, a valuable tool for businesses to gather existing data to support decision-making and growth. It covers common methods like internet research, market reports, government reports, and internal sources, highlighting their advantages such as cost-effectiveness, speed, and broad insights. However, it also addresses potential drawbacks, including data relevance, the risk of outdated or biased information, and the cost of specialized reports. Ultimately, secondary market research helps businesses gain quick insights, but it's important to assess the quality and applicability of the data before making decisions.

Takeaways

• 😀 Secondary market research helps businesses collect existing data to inform decision-making and drive growth.
• 😀 There are two main types of market research: primary (field research) and secondary (desk research).
• 😀 Primary market research involves collecting new data specifically for the business, while secondary market research uses already available data.
• 😀 Internet research is a common method of secondary market research, which includes sources like online news articles, social media, and competitor websites.
• 😀 When conducting internet research, businesses must carefully evaluate the reliability of sources to avoid misinformation.
• 😀 Market reports provide valuable insights into trends, businesses, and consumer behavior within specific industries.
• 😀 Market reports can be accessed for free or for a fee, but businesses should be cautious of potential bias and inaccuracies in these reports.
• 😀 Government reports offer free, up-to-date data and can provide insights into various industries or population demographics.
• 😀 Internal sources, such as sales reports and customer data (e.g., loyalty cards), can also be valuable for secondary research, offering exclusive insights into a business's operations.
• 😀 Secondary market research is often cost-effective and quick to access, but businesses must consider potential limitations, such as outdated information or lack of relevance to the business.
• 😀 Despite the advantages of secondary market research, businesses should be aware of its disadvantages, including the potential for bias, irrelevance, and the high cost of some specialized reports.

Q & A

What is secondary market research?

Secondary market research refers to the process of collecting existing data and information that is already available, either internally within the business or externally from sources such as the internet, market reports, and government publications.

How does secondary market research differ from primary market research?

Primary market research involves collecting new data firsthand, often through surveys or interviews, while secondary market research uses existing data that has already been collected and analyzed by others.

What are some common methods used in secondary market research?

Common methods include internet research, market reports, government reports, and internal business sources like sales reports and customer data from loyalty programs.

Why is internet research considered a valuable method in secondary market research?

Internet research provides quick, easy, and often free access to a wide variety of data, including industry insights, competitor analysis, and consumer behavior, which can help businesses make informed decisions.

What are the advantages of using market reports for secondary research?

Market reports offer industry-specific data and insights that can help businesses identify trends, opportunities, and analyze consumer behavior. These reports are often readily accessible and can be obtained for a relatively low cost.

What are the potential disadvantages of relying on market reports for decision-making?

Market reports may contain biases, errors, or outdated information. Since anyone can produce a market report, it's crucial to assess the credibility of the source before making business decisions based on the data.

How do government reports benefit businesses in secondary market research?

Government reports provide free, reliable, and up-to-date data, often covering a wide range of topics from demographic information to economic performance, which businesses can use for decision-making.

What is the role of internal sources in secondary market research?

Internal sources, such as sales reports and customer behavior data from loyalty programs, provide businesses with exclusive insights into their own operations and customer preferences, which can inform future strategies.

What are the key disadvantages of secondary market research?

Secondary market research may not be specific to a business’s needs, can become outdated quickly, and may contain inaccurate or biased information, which can mislead decision-makers if not carefully assessed.

Why is it important for businesses to filter out unreliable information during secondary market research?

Unreliable or biased information can lead to poor decision-making, which may harm the business. Ensuring that data is valid, reliable, and trustworthy is critical for making informed and effective business decisions.