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Conceptual Understanding: Market research often identifies how to improve the product, service or system and increase its chance of success within a particular sector or segment. The price a user is prepared to pay is usually determined through market research. This in turn sets an upper limit of cost to the design and production of a potential product, service or system. Market research has a crucial role in determining the constraints a designer has to work within.
Market Research
What is Market Research?
The process of gathering information in order to be able to generate new ideas for a product
Evaluating the market potential of products at various stages of development
Developing ideas into products to suit market requirements
Identifying suitable promotional strategies
Gathering information relating to demographics
Gathering information relating to family roles
Collecting data relating to economic trends
Taking into account technological trends and scientific advances
Gathering information about consumers
Considering consumers’ reactions to technology and green design and the subsequent impact on design development and market segmentation
Market research strategies
Market research is the systematic gathering of data about individuals or organisations using statistical analysis and techniques to support decision making. Strategies include literature search, expert appraisal, user trial, user research, perceptual mapping and environmental scanning.
Advantages: information comes authoritative sources
Difficulties: early markets are volatile and unpredictable, unreliable for innovative products.
Types of Research Data:
Primary data collection
Data observed or collected directly from first-hand experience. Large Scale Primary data collection can be very costly but is vitally important and more accurate than secondary data. Primary is when you find yourself face to face with the focus of research.
Secondary data collection
Published data and the data collected in the past or by other parties. Secondary data can be very valuable especially in terms of demographics, ergonomics and overall market analysis. Secondary is when you find yourselves looking up the information you require.
Qualitative
Data that is personal to individuals e.g. comfort, taste, etc. The data usually refers to the measure of quality or aspect. As designers you would be looking at how a user feels about the comfort, or what something looks like, you would want to know their opinion.
Quantitative
Data that has been recorded or collected mainly consisting of numbers and statistics. This data usually measures the physical properties of a design, or user's needs or performance requirements.
Literature search (Qualitative and Quantitative)
The use of consumer reports, newspaper, magazines, encyclopaedias, manufacturers information, etc to conduct research and follow historical development.
Useful sources of information could include internet, media storage, encyclopedia, newspaper, Which UK Consumer website, manufacturers information and specification of products.
Many sources of information are available and there may be an abundance of data, which can be too time-consuming. Data can be both qualitative or quantitative.
Advantages: Many sources available; Relatively easy to access online and offline; Variety of data sources and types available.
Disadvantages: Many sources can make research time consuming.
Expert appraisal (Qualitative)
The reliance on the knowledge and skills of an expert in the operation of the product. Can be bias and also sometimes difficult to locate an expert. Data is usually qualitative.
Advantages: Detailed knowledge can be extremely useful to the design context.
Disadvantages: Expert may be biased; Difficult to locate an expert.
User trial (Qualitative)
The observation of people using a product and collection of comments from people who have used a product. Is done in a laboratory, usually with hidden cameras or data loggers which record the interaction between the user and product. Is useful to identify usability issues but can be expensive to run. The “user” is a non-specialist, which makes trials easier and cost-effective however, users may carry out tasks in different ways from those expected and be inexperienced.
Advantages: Easier and cost effective as the trials can rely on observation and surveys.
Disadvantages: Users may have a wide range of opinions, and may use a product in very different ways, which may make it difficult to analyse or draw conclusions.
User research (Qualitative and Quantitative)
Obtaining users’ responses through questionnaires/surveys and interviews. Involves the questioning of users regarding their experiences and opinions of a product.
Methods typically include questionnaire, user diaries, interviews and focus groups. It is generally easy to collect data and relatively cheap.
Advantages: Very quick and affordable to implement.
Disadvantages: Questions need to be carefully constructed in order to gather meaningful data.
Perceptual mapping (Qualitative)
Perceptual mapping is a tool used to quickly compare what customers percieve about the products they use. Their perceptions are mapped during the interviewing stage. This graphic marketing tool is used to show how something is regarded, understood or interpreted, by identifying the relationships between competing products, buying choices and future recommendations by consumers. Typically the position of a product, product line, or brand, of a company is displayed relative to their competition.
Advantages: Quick and (relatively) easy to construct; easy to identify gaps in the market; Effective visual communication tool.
Disadvantages: Can be biased due to its subjective nature.
(Objective = Facts. Subjective = Opinion)
Environmental scanning
Environmental scanning is the study and interpretation of the Political, Economic, Social and Technological events (PEST analysis) and trends which influence a business, an industry or even a total market. There is also (SWOT analysis) Strength, Weakness, Opportunities and Threats.
It is the process by which a company monitors their relevant environment to identify opportunities and threats affecting their business. The company can predict the future characteristics of the organisational environment and hence make decisions today that will help the firm deal with the environment of tomorrow.
Consumers’ reaction
These attitudes have a subsequent impact on design development and market segmentation. This will direct the company's products to certain target markets.
To Technology
Technophile: Someone who immediately welcomes a technological change – early adopters.
Technocautious: Someone who needs some convincing before embracing technological change – majority to late majority
Technophobe: Someone who resists all technological change – laggards.
To Green design:
Eco-warriors actively demonstrate on environmental issues
Eco-champions champion environmental issues within organizations
Eco-fans enthusiastically adopt environmentally friendly practices as consumers.
Eco-phobes actively resent talk of environmental protection
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