What Exactly is the Difference Between Market Research & Marketing Research?
It might seem like a case of splitting hairs, but there’s more of a difference between market research and marketing research than just “i-n-g.” That’s because the market and marketing are two distinct factors in everything from brand recognition and attitude to target consumer. When you weigh the two factors against each other, it’s true there are some similarities; but it’s the ways in which the two diverge that you should be paying attention to.
Market Research Definition
Market research refers to data and analytics about the market as a whole. It means gathering information about things like target consumers, various market trends, and market segmentation. In short, it tells you what’s going on (past, present, and future) in the buying market so you can react accordingly.
Say you have a new product to launch, for instance. Market research would entail gathering intelligence on current competitors and helping you identify your target consumer to set an accurate and successful pricing model. If you know that competition is tight and you’re going after a budget-conscious consumer, you’d work to create a low pricing model to adapt to those market conditions.
A market research company will provide data that allows you to act preemptively to give your product or service the best chance of survival. Call it your marketing crystal ball as you plan for your business’ next move.
While market research can be a predictor of success, marketing research is a way to look over past efforts and improve. Marketing research usually revolves around the effectiveness of a campaign and takes brand attitudes, customer satisfaction, and feedback into consideration before creating a complete data profile. It isn’t a whole lot different than the primary vs secondary research debate.
Marketing research introduces a human element to market research: You know what the conditions are and how consumers should react, but marketing research gives you a chance to find out how they reacted in reality. If market research is big data and demographics, then marketing research is exit polls and focus groups.
Most people confuse market research and marketing research because there is an overlap between the two. Both factors can be used to create and adjust pricing models: First, market research identifies what a target consumer would want to pay, while marketing research can tease opinions and attitudes about that pricing model from actual consumers.
Both also deal with predicting and assessing demand, analyzing market conditions in response to products and services, as well as planning product attributes that consumers both want and are willing to pay for.
Just three tiny letters, but “ing” makes a big difference in planning product release and marketing strategies. By taking both market research and marketing research into consideration, you get a 360–degree view of where you’ve been—and where you’d like to go in the future.