The most important step in a market research is to find the objective of the market study and the problem that has to be solved in the end or the purpose of the information that is being collected. Carefully study the target market and give a general description of the product or the service that is being studied. Study the consumer behavior towards the product/service.
The major purposes of the market study are as follows
- Significant criteria for buying any product/service
- Relationship between the income level of a buyer and the attributes of a product/service preferred
- Preference of the product/service vis-à-vis gender, occupation and monthly income of the buyer
- Importance of the brand ambassadors in influencing the customer buying behavior
- Finding out Consumer preferences and needs of the consumer
The objective of any questionnaire design is to translate the information needed into a set of questions that the respondents will answer. In addition to minimizing the response errors, the questions must be easy to answer and should ensure that the interest level of the respondent is maintained. During questionnaire design care must be taken to ensure that the redundant and irrelevant questions are eliminated.
Most market studies require designing a questionnaire and conducting a primary research to get more insight into the consumer. During the questionnaire design the typical errors such as double barreled questions are eliminated. Care must be taken to ensure that all the questions are collectively exhaustive. Similar questions are grouped together. Sensitive questions related to demographics such as salary, age are placed at the end of the questionnaire. Response categories are provided instead of asking for specific figures as the respondents might not want to reveal the exact figures.
Pre testing of questions has to be done by submitting a sample of questions to friends and relatives. Also a peer group review should be done and errors, if any, should be corrected before launching any survey. Close attention has to be paid to the wording and sequencing of questions. The pre-test sample can vary from 10 to 15. After each significant revision of the questionnaire, another pretest has to be conducted, using a different sample of respondents. The responses obtained in pre test have to be coded and analyzed.