Many people think that the research needed to start a business is the only research they will ever do, however, this is not true. As your business grows so do the costs and the market changes, so you need to research to make sure you stay in alignment.
It’s also important to conduct research for your business because there are regulatory requirements you need to keep up with.
For small to medium-sized enterprises (SMEs) conducting research can be the difference between success and failure.
In this article, we look at the concept of business research and its benefits for your business.
Types of Business Research and Methodologies
There are various ways to conduct business research with different methodologies. Business research can be carried out using research steps in qualitative or quantitative research methods.
Quantitative Business Research Methods
1. Survey Research
Survey research is mostly used to gather data for conducting business research. Surveys are great for gathering data because you can conduct them in various ways such as online polls, online surveys, and questionnaires amongst others.
2. Correlational Research
Correlational research is done to understand the relationship between two entities and the impact they have on each other. Using mathematical analysis methods, this type of research enables you to correlate two or more variables and understand patterns, relationships and market research trends etc.
3. Casual-comparative Research
Casual-comparative research is a method based on comparison. This method is used to deduce the cause-effect relationship between variables. It involves establishing an independent variable and analysing the effects on the dependent variable.
4. Experimental Research
Experimental research is a research method used to prove a theory. In business research it can let you know about the behaviour of your customers. By understanding your customers, you will be able to increase sales and overall revenue.
5. Online/literature Research
Literature/online research involves the gathering of information from existing documents and studies. This type of research is usually used by marketing and salespeople to understand their customers and the market better.
Qualitative Business Research Methods
1. Interviews
Interviews are a research method used to give the researcher detailed information from the perspective of the interview’s subject. The information gathered from interviews can help a business tailor its products to fit its market.
2. Focus Group
Focus groups are when a set of individuals are selected to understand their opinions and behaviours. The group is usually small and are selected as part of a business’s target market audience to discuss a certain product or service.
3. Ethnographic Research
Ethnographic research involves the researcher adapting to the natural environment and observing its target audience to collect data. This method is typically used to understand cultures, challenges and other things in a particular setting.
4. Case Study Research
Case study research is used to assess customer satisfaction, the challenges they face, and the solutions provided. Most businesses use case studies as marketing material to attract more clients.
5. Website Visitor Profiling
Website visitor profiling is a research method that uses collected feedback from your website to understand customer behaviour better. Additionally, the data collected from website visitor profiling can help you create new products or services that fit customer demand.
Importance of Business Research
Research in general is good for your business because it provides you with valuable insights, leading to more informed business decisions. Some other reasons as to why business research is important are:
- It helps you gain information about your customers including demographics, pain points and their preferences.
- Help you understand market trends and adapt to them easily.
- Give you insights into your customers’ buying patterns and the supply and demand of the market.
- Helps you determine how to develop the best product or service for your audience.
- Helps you find areas in your business where costs can be reduced.
- Helps you track your competitors’ work to help you differentiate your company in the market.
- Helps you determine the right time to launch a new product or service.
Provides you with insights which can lead to higher revenue and increased market share.
Business research is vital when establishing your business to ensure it survives ever-changing markets and is agile enough to adapt.
For more information on what to expect for your business in 2025, read our article.
