A Guide to Market Research Surveys: Definition, Types, Examples, and More

Introduction to Market (and Marketing) Research Surveys

Imagine you’re about to launch a new product. But there’s a catch – you are uncertain whether your target market will embrace this product. Enter market (or marketing) research surveys, for navigating the uncertainties of consumer behavior. These surveys are more than just a set of questions; they are a strategic tool designed to uncover insights regarding attitudes, preferences, and price sensitivity that can shape your business decisions and drive success.

(Although the terms market research and marketing research are often used interchangeably, toward the end of this article we’ll highlight the subtle differences.)

Marketing research surveys play a crucial role in understanding customer needs and preferences. They help businesses gather valuable data on customer opinions, market trends, and competitive landscapes. This data is essential for making informed decisions, from product development to marketing strategies and pricing strategies. Without these insights, businesses risk launching products that miss the mark, are not priced properly, or crafting marketing messages that fall flat.

At Sawtooth Software, we understand the importance of data-driven decisions. Our tools are designed to help you create and conduct market and marketing research surveys that deliver actionable insights. Whether you're a seasoned researcher or just starting, our solutions, world class technical support, and education opportunities make it easy to gather the data you need to succeed.

What Is a Market Research Survey?

A market research survey is a structured questionnaire used to collect data from a targeted audience to gain insights into various aspects of the market. These surveys are designed to gather information on customer preferences, behaviors, and attitudes, which are crucial for making informed business decisions. Market research surveys can be conducted through various channels, including online, phone, in-person, and paper surveys, each offering unique advantages depending on the research goals and target audience.

One fundamental aspect of market research surveys is the distinction between primary research and secondary research. Primary research involves collecting new data directly from respondents through surveys, interviews, or observations. This type of research provides firsthand information specific to the research objectives, offering fresh insights tailored to the business's needs. In contrast, secondary research involves analyzing existing data from previously conducted studies, reports, or public records. While secondary research can provide valuable context and background, it lacks the specificity and immediacy of primary research.

Market (and marketing) research surveys collect a wide range of data types, including quantitative data, such as choices, numerical ratings or rankings, and qualitative data, like open-ended responses or comments. Quantitative data allows for statistical analysis and trend identification, while qualitative data provides deeper insights into respondents' thoughts and feelings. By combining these data types, businesses can gain a comprehensive understanding of their market.

Compared to other forms of market research, such as focus groups or observational studies, surveys offer several advantages. They are cost-effective, scalable, can reach a broad audience quickly, and following proper sampling procedures allow for making inferences about the population as a whole. With the rise of online survey platforms, such as Sawtooth’s market research surveys, businesses can easily create and distribute surveys, making this method more accessible than ever.

Why Use Surveys in Market Research?

Market research surveys are a powerful tool for businesses looking to gain deep insights into their market and customers. They offer several benefits that make them an essential part of any comprehensive market research strategy.

Benefits of Using Market Research Surveys

Market research surveys provide businesses with direct feedback from their target audience. This feedback is invaluable for understanding customer needs, preferences, and pain points. By tapping into this direct source of information, businesses can make data-driven decisions that align with customer needs and expectations and improve their products or services.

Advantages Over Other Research Methods

Surveys have several advantages over other research methods like focus groups or observational studies. They are scalable, allowing businesses to reach a large and diverse audience quickly and cost-effectively. Unlike focus groups, which can be limited by size and logistics, surveys can gather input from thousands of respondents across different demographics and locations. Given proper sampling procedures, such as random sampling, the firm can draw precise inferences about the population as a whole.

Additionally, self-completed surveys offer a level of anonymity that encourages honest and candid responses. Participants may feel more comfortable sharing their true opinions without the pressure of a face-to-face interaction, leading to more accurate and reliable data.

Scalability and Efficiency in Data Collection

The scalability of market research surveys means that businesses can gather a significant amount of data in a relatively short period. Online market research surveys, in particular, streamline the process of data collection and analysis. Automated tools can distribute surveys, track responses, and generate reports, making the entire process more efficient and less time-consuming. 

Open-end data may also be analyzed efficiently at scale, due to advances in AI for summarizing hundreds or thousands of pages of typed responses, including classifying text responses based on topics and sentiment.

Types of Market Research Surveys

Market research surveys come in various forms, each designed to achieve specific objectives. Understanding the different types of surveys and their primary benefits can help businesses choose the most appropriate method for their needs. Each survey type should have a clear objective to ensure the data collected is relevant and actionable.

Here’s a summary of common market research survey types:

Survey Type	Definition	Primary Benefit
Competitor Research Surveys	Surveys designed to gather information about competitors' products, services, and strategies.	Helps businesses identify competitive strengths and weaknesses.
Consumer Behavior Surveys	Surveys that analyze customer preferences, habits, and motivations.	Provides insights into why customers make certain purchasing decisions.
Brand Personality Surveys	Surveys that assess customer perceptions and associations with a brand.	Helps in understanding and shaping brand identity.
Demographic Surveys	Surveys that collect key demographic information about the target audience.	Aids in market segmentation and targeting specific demographic groups.
Pricing Studies	Surveys focused on determining optimal pricing for products or services.	Helps set competitive and profitable pricing strategies.

Each type of survey serves a distinct purpose and provides unique insights that can inform various aspects of a business strategy. By clearly defining the objective of each survey, businesses can ensure they gather relevant and actionable data to support their goals.

Survey Research Methods and Tools

Choosing the right survey research method and tools is crucial for the success of your market research efforts. Several factors influence this choice, including time, budget, audience, and the specific research objectives. Here’s a summary of different market research survey types and the considerations for using them:

Factors That Influence Method Choice

When selecting a survey method, consider the following factors:

Factor	Definition
Time	The duration required to design, distribute, and collect survey responses.
Budget	The financial resources available for conducting the survey.
Audience	The target respondents' demographics, preferences, and accessibility.
Research Goals	The specific objectives and questions the survey aims to address.
Data Quality	The level of detail and accuracy needed from the survey responses.
Technology	The tools and platforms available to create and distribute the survey.

Survey Research Methods

Online Surveys

Online surveys are one of the most popular methods due to their convenience and cost-effectiveness. They can reach a large audience quickly and are ideal for gathering data from geographically dispersed respondents. Tools like Sawtooth Software's online survey solutions make it easy to create, distribute, and analyze surveys. However, they require respondents to have internet access, which may limit participation in certain demographics.

Paper Surveys

Paper surveys are traditional but still relevant in contexts where digital access is limited. They are useful in areas with low internet penetration. While paper surveys can be more costly and time-consuming to distribute and process, they can reach audiences that are otherwise difficult to engage.

Telephone Surveys

Telephone surveys offer a personal touch and can be effective for reaching older demographics or those less comfortable with digital interfaces. They allow for real-time interaction, which can improve response rates and data quality. However, they can be expensive and time-intensive, and potential respondents may be wary of unsolicited calls.

In-Person Surveys

In-person surveys provide the highest level of interaction and can yield rich, qualitative data. They are ideal for detailed feedback and complex questions that require clarification. This method is often used in focus groups or during in-depth interviews. The main drawbacks are the high cost and logistical challenges associated with conducting these surveys, as well as the potential for introducing bias due to the interpersonal interaction between the survey giver and taker.

Panel Surveys

Panel surveys involve a pre-recruited group of respondents who participate in multiple surveys over time. This method is excellent for longitudinal studies and understanding changes in attitudes or behaviors. Panel surveys ensure consistent and reliable data from a defined group, but managing and maintaining a panel can be resource-intensive. Furthermore, the types of people who participate in panels may systematically differ from those who do not, in ways important to the key questions the firm is interested in addressing.

Focus Group Studies

Focus group studies gather a small, diverse group of participants to discuss a particular topic in detail. This method is valuable for exploring complex issues and generating in-depth insights. However, the small samples of respondents (often one-hundred or fewer people) involved means that findings may not be generalizable to the larger population, and the sessions can be expensive to organize.

Tools and Platforms

Various tools and platforms are available to facilitate the distribution and collection of survey data. Sawtooth Software offers robust solutions for creating market research surveys that cater to different needs, whether it's for online distribution or collecting data on devices not connected to the internet. Our tools ensure that you can gather accurate, actionable data efficiently.

Choosing the right method and tools depends on your specific research goals and constraints. By understanding the strengths and limitations of each approach, you can design a market research strategy that effectively meets your needs.

How to Conduct Market Research Surveys

Conducting market research surveys involves several key steps to ensure that the data collected is reliable, relevant, and actionable. Here’s a detailed guide on creating effective market research surveys and best practices for designing survey questions.

Steps Involved in Creating Effective Market Research Surveys

1. Define Your Objectives: Clearly outline the goals of your survey. What specific insights are you looking to gain? Defining your objectives helps in shaping the survey questions and determining the target audience. Review the aims and goals with key stakeholders before proceeding with the research.
2. Identify Your Target Audience: Determine who your respondents will be. This could be existing customers, potential customers, or a specific demographic group. Understanding your audience is crucial for tailoring the survey content and distribution method.
3. Choose the Survey Method: Select the most appropriate method for conducting your survey based on your objectives, audience, and resources. Options include online surveys, telephone surveys, in-person surveys, and more.
4. Design the Survey: Create the survey questions, ensuring they are clear, concise, and relevant to your objectives. Consider the different options for collecting the right information, be it single-select, multiple-choice, numeric scale, MaxDiff (best-worst scaling), conjoint analysis, or open-ended questions, to gather diverse data.
5. Pilot Test the Survey: Conduct a pilot test (e.g., soft launch) with a small group representative of your target audience. This helps identify any issues with the questions or survey flow and allows for adjustments before the full launch.
6. Distribute the Survey: Deploy your survey using the chosen method. Ensure that it reaches your target audience effectively. Use email, phone, SMS, social media, or in-person methods as appropriate.
7. Collect and Analyze Data: Gather responses and analyze the data. Look for trends, patterns, and insights that align with your survey objectives. Use statistical tools and software to aid in the analysis.
8. Report and Act on Findings: Compile the results into a comprehensive report. Use tools like Sawtooth Software to create market simulators (what-if simulators) for guiding product and pricing decisions to achieve market share or profitability goals. Highlight key findings and actionable insights. Use these insights to inform business decisions and strategies.

Best Practices for Designing Survey Questions

• Keep Questions Clear and Concise: Avoid ambiguity and ensure that each question is straightforward and concise. Respondents should easily understand what is being asked without confusion. Too much text and respondents will skip the instructions, trying to infer instead from the response options the purpose of the question.
• Use Simple Language: Write questions in a language that is easy to understand, avoiding jargon or technical terms that might confuse respondents.
• Balance Open and Closed-Ended Questions: Include a mix of question types to gather both quantitative and qualitative data. Closed-ended questions provide measurable data; conjoint and MaxDiff questions force greater realism and discrimination to better mimic market choices; while open-ended questions offer deeper insights.
• Avoid Leading Questions: Ensure that questions are neutral and do not suggest a particular answer. Leading questions can bias responses and affect the validity of the data.
• Logical Flow: Arrange questions in a logical order, starting with general questions and moving towards more specific ones. This helps maintain respondent engagement and improves the quality of responses.
• Limit Survey Length: Keep the survey as short as possible (strive for 10 minutes or fewer) while still collecting necessary data. Long surveys can lead to respondent fatigue and lower completion rates. Randomization strategies can be used to cover a large number of questions, showing each respondent only a subset of them.

By following these steps and best practices, you can create and conduct market research surveys that provide valuable insights into your market and customer base.

3 Examples of Market Research Surveys in Action

To illustrate the power and effectiveness of market research surveys, let’s look at three real-world examples where businesses successfully utilized these tools to gain crucial insights and drive strategic decisions.

Example 1: Tech Startup Validating a New Product Concept

A tech startup developing a personal finance app conducted an online market research survey to optimize the concept’s features, estimate price sensitivity, and further understand user needs. The conjoint analysis methodology revealed that 75% of respondents would prefer a concept that included specific budgeting and expense tracking features. It also revealed a specific level of willingness to pay for premium features like automatic bill payments. Using these insights, the startup refined their product and pricing strategy, leading to a successful launch and positive user adoption.

Example 2: Retail Chain Enhancing Customer Experience

A national retail chain used online surveys to improve the in-store shopping experience. Customers appreciated the store organization but reported long checkout times and suggested better signage. Feedback also indicated positive reception to recent return policy changes. The chain optimized checkout processes, improved signage, and maintained new policies, resulting in higher customer satisfaction and increased repeat visits.

Example 3: Beverage Company Exploring New Market Segments

A beverage company aiming to enter the health-conscious market segment conducted a panel survey to gather insights from health-focused consumers. A latent class (clustering) approach on MaxDiff (best-worst scaling) data revealed a key group of respondents who favored natural ingredients, preferred tropical and berry flavors, and valued eco-friendly packaging. These insights guided the successful launch of a new organic juice line, with branding and marketing emphasizing natural ingredients and sustainability, leading to strong market acceptance.

Market Research vs. Marketing Research

Understanding the distinctions between market research and marketing research is essential for leveraging both types effectively in your business strategy. Though the terms are often used interchangeably, they refer to different research areas with unique objectives and methodologies.

Market Research

Market research focuses on understanding the broader market environment. This includes analyzing market size, segmentation, competitive landscape, and consumer behavior. The primary goal of market research is to provide a comprehensive view of the market to identify opportunities and threats. Techniques used in market research include surveys, focus groups, interviews, and data analysis from various sources. For instance, a company might use market research surveys to understand customer preferences and identify trends that could influence their product development strategy.

Marketing Research

Marketing research, on the other hand, delves into the effectiveness of marketing efforts and strategies. It examines how marketing campaigns, branding, pricing, and positioning resonate with the target audience. This type of research often involves testing advertising messages, optimizing mix of product features, measuring brand awareness, and analyzing the performance of marketing channels. The objective is to optimize marketing tactics to increase engagement and drive sales. For example, a business might use customer feedback surveys to evaluate the success of a recent marketing campaign and adjust future efforts accordingly.

Integrating Both Types of Research

Integrating market research and marketing research provides a holistic view of both the market landscape and the effectiveness of your marketing strategies. By combining insights from both areas, businesses can make informed decisions that enhance product offerings and optimize marketing efforts. For instance, using market research to identify a new target segment and then applying marketing research to tailor campaigns for this segment ensures that the strategy is both relevant and impactful.

Conclusion

Market and marketing research surveys are indispensable tools for businesses seeking to understand their customers and make data-driven decisions. By defining clear objectives, choosing the right survey methods, and leveraging the appropriate tools, companies can gather valuable insights that drive product development, enhance customer experiences, and inform marketing strategies.

The diverse applications of marketing research surveys—from validating new product concepts to improving customer satisfaction—demonstrate their versatility and impact. Whether you’re a startup testing a new idea or an established brand exploring new market segments, conducting thorough marketing research surveys can significantly enhance your competitive edge.

Sawtooth Software is committed to helping you create effective market and marketing research surveys tailored to your specific needs. With our advanced tools and user-friendly platforms, gathering and analyzing customer feedback has never been easier. Equip your business with the information and predictive insights necessary to succeed in today’s competitive market landscape.