Myth Busters: Market Research Edition

Based on a recent Smith–Dahmer Associates survey of marketing professionals and influencers, the following are the four most common myths about market research—and our responses.

1.  "It's nice to have, but not necessary to make decisions."

The reality is that market research is a necessity, not a luxury. Especially in tough economic times, companies that sell considered purchase products and services have to lower their risk by investing in tools that capture marketplace "pre–acceptance." In 2009, you simply can't afford to blast out of the gates without a battle–tested offering.

2.  "The results of market research aren't actionable."

We call this the Data Dump Complex—the fear that anything related to "research" is a passive exercise producing charts and graphs. One of our unique advantages is bringing you a team of professionals who've sat on your side of the table. We know that market research has to be active—delivering insights that translate numbers into new customers and a better bottom line.

3.  "Research companies don't understand my business."

This is true of market research companies who claim to be "jacks of all trades." From our inception, we made the decision to be a "master of one": considered purchase products. If you sell products and services that require large consumer investments in time and money, we're the experts in that type of business (and consumer). After all, market research itself is a considered purchase.

4.  "Focus groups encourage group think."

This is true—if they aren't designed and managed correctly. We follow three key strategies to obtain accurate and useful focus group results:

1. We ask the right questions to elicit individual responses.

2. We commit people to their feelings prior to engaging in larger group discussions.

3. We use only trained moderators who don't just ask questions, but who manage the discussion—managing  more opinionated participants and making sure everyone is heard.

    

SDA's Myth Busting Video