Market Research Pros And Cons
Primary data: Data collected by the investigator himself/ herself for a specific purpose.
Examples: Data collected by a student for his/her thesis or research project.
(In movies) The hero is directly told by the heroine that he is her “ideal man”.
Secondary data: Data collected by someone else for some other purpose (but being utilized by the investigator for another purpose).
Examples: Census data being used to analyze the impact of education on career choice and earning.
# Advantages of Primary Market Research
1) Targeted Issues are addressed. The organization asking for the research has the complete control on the process and the research is streamlines as far as its objectives and scope is concerned. Researching company can be asked to concentrate their efforts to find data regarding specific market rather than concentration on mass market.
2) Data interpretation is better. The collected data can be examined and interpreted by the marketers depending on their needs rather than relying on the interpretation made by collectors of secondary data.
3) Recency of Data. Usually secondary data is not so recent and it may not be specific to the place or situation marketer is targeting. The researcher can use the irrelevant seeming information for knowing trends or may be able to find some relation with the current scenario. Thus primary data becomes a more accurate tool since we can use data which is useful for us.
4) Proprietary Issues. Collector of primary data is the owner of that information and he need not share it with other companies and competitors. This gives an edge over competitors replying on secondary data.
Disadvantages of Primary Market Research
1) High Cost. Collecting data using primary research is a costly proposition as marketer has to be involved throughout and has to design everything.
2) Time Consuming. Because of exhaustive nature of the exercise, the time required to do research accurately is very long as compared to secondary
Examples: Data collected by a student for his/her thesis or research project.
(In movies) The hero is directly told by the heroine that he is her “ideal man”.
Secondary data: Data collected by someone else for some other purpose (but being utilized by the investigator for another purpose).
Examples: Census data being used to analyze the impact of education on career choice and earning.
# Advantages of Primary Market Research
1) Targeted Issues are addressed. The organization asking for the research has the complete control on the process and the research is streamlines as far as its objectives and scope is concerned. Researching company can be asked to concentrate their efforts to find data regarding specific market rather than concentration on mass market.
2) Data interpretation is better. The collected data can be examined and interpreted by the marketers depending on their needs rather than relying on the interpretation made by collectors of secondary data.
3) Recency of Data. Usually secondary data is not so recent and it may not be specific to the place or situation marketer is targeting. The researcher can use the irrelevant seeming information for knowing trends or may be able to find some relation with the current scenario. Thus primary data becomes a more accurate tool since we can use data which is useful for us.
4) Proprietary Issues. Collector of primary data is the owner of that information and he need not share it with other companies and competitors. This gives an edge over competitors replying on secondary data.
Disadvantages of Primary Market Research
1) High Cost. Collecting data using primary research is a costly proposition as marketer has to be involved throughout and has to design everything.
2) Time Consuming. Because of exhaustive nature of the exercise, the time required to do research accurately is very long as compared to secondary