Understand the Difference between Market Intelligence and Market Research to Increase Your Sales Potential
On 27 Apr 2018 No comments
Market Intelligence and Market Research have been in trend for a while now but to understand the two separately has been a bit confusing all this time. This is because market intelligence and research have a very thin line of difference between them. Where the former is related to analyzing the existing industry trends, the latter is more company specific. But both of these terminologies more or less share the same target-providing better customer experience, analyzing business status and adopting relevant marketing strategies accordingly.
Marketing intelligence is practiced by the professionals to use the already existing data to study their competition, market, customer behavior, political impacts and a lot more. While doing market research there is no dependency on the available data, companies conduct surveys, phone calls, collect reviews, do social media audits to gather the company-specific data and use it to transform into useful information.
Let us understand the terms with their impact on various aspect.
A large number of business decisions are impacted by the market intelligence strategies, one being the impact on the customers. Internal data or information is also considered as a type of market intelligence and it is of great use for small and mid-sized businesses. Let us take an example of a small restaurant where the owner has an existing data (market intelligence) of the time when the maximum people come in and what do they order, while on the other hand, the restaurant will need to call and enquire (market research) if they want to know the specific reason of the customers' arrival at that particular time and why do they order any specific thing. This clarifies how both these processes affect the customers.
Market is, of course, the main aspect that is impacted by these two strategies. Marketing intelligence is used by the marketing managers to understand and determine their market share and the total amount the customers spend in their industry. Market research is done to find out what are the preferences of the customers based on various markets your business caters to.
Market intelligence also provides an insight into your competitor’s business. Generally, small businesses try to identify the existing trends of their competitors on competitive websites, brochures and papers. Looking at the data helps in comparing the current position of your company with others to prepare pricing strategies and improve services. However, to find out how competitors rank on quality, there is a need of market research and it can be performed through surveys and phone calls. The terms market research and market intelligence are often used interchangeably, so, to understand their definition and difference really matters. This can help you increase your sales potential.
Both of these practices are relevant for any industry to grow, have a proactive approach and learn what the existing market desires. Where market research helps in preparing your business according to the upcoming trends, market intelligence helps you in focusing on the current business strategies. And both of these processes are necessary to excel in this competitive world.