Why is Market Intelligence Crucial for Investment Due Diligence
In this blog, market intelligence experts answer some of the frequently asked questions about market intelligence services.
What is market intelligence?
Market intelligence services involve process of using multiple sources of information to gain a broader picture of a company’s existing market including their customer profiles, business challenges, the growth potential for a new product/service launch, and the key competitor strategies. By leveraging market intelligence services, companies can not only understand and meet their customer needs better than their competitors, but it also helps companies determine their internal goals.
Market intelligence services vs market research: what’s the difference?
Although the market intelligence services and market research are used interchangeably, there is a fundamental difference between the two. While market research solutions describe what is occurring as it occurs so that companies can react tactically, market intelligence services provide situational insights and interpretations so that companies can strategize on their next move. Strategic market intelligence services provide information relevant to a company’s markets, gathered and analyzed specifically for the purpose of accurate and confident decision-making. It is also highly useful in determining strategy in areas including market opportunity, market penetration strategy, and market development. Market research involves research relating to the size, location, and other essential elements of a product market.
What are the most effective ways to gather market intelligence?
Companies across industries are engaging in strategies to effectively outdo one another. Market intelligence services play a crucial role in keeping an enterprise on the top. Without adequate market intelligence, decision makers will be incapable of better decision-making or altering existing business strategies. Here are some of the best ways in which companies can gather market intelligence:
Information from the sales teams
The sales teams interact maximum with the customers. As such, they can give accurate and up-to-date information relating to customer needs and what improvements need to be made to the company’s products or services. This feedback is more realistic and practical than undertaking external research.
Feedback from channel partners
In the case of product expansion or the sale of a new product, the best source of market intelligence is to gather feedback from the company’s channel partners. Channel partners can reveal data relating to which products will sell better in the market, which products can be ready to stock, and which product should the enterprise focus on next. Market intelligence services can help in suggesting improvements in the company’s current marketing strategies.
Competitors’ channel partners
Reliable market intelligence services provide data relating to competitor strategies. Companies can gather this data by interacting with the sales representatives or channel partners of competitors in the industry. Market intelligence services providers like Infiniti Research can help your company become better equipped to make decisions based on data and then implement winning strategies.
Use social media
Social media monitoring can be used to understand what customers think of a product and whether their expectations are being met or not. Brand monitoring on social media platforms will also help companies understand what customers are talking about the company.
Learn how Infiniti’s solutions for market intelligence services can help you drive better business growth.
With the economy becoming more and more competitive with each passing day, having apt knowledge about the concerns and preferences of your customers has become integral for any business. Waiting too long to make crucial business decisions can lead to a company missing out on opportunities. Moreover, failing to develop a marketing plan can result in budget problems, low customer volume and, in a worst-case scenario, the closure of a business. Hence, don’t you think, when fluctuations in the market affect your business in a negative way, you have to pivot your business model somehow? If yes, market research services are the best way to increase customer experience, understand the factors that influence your business, and to elevate your performance. Market research services provide detailed insights into the competitors, understand customers’ pain points, latest market trends, consumer buying patterns, economic shifts, and demographics. That’s why smart business owners never underestimate market research services and leverage it to formulate effective strategies.
If you want to keep up with the latest market trends and gain a competitive edge in the business market, understanding market research and utilizing it to your advantage is vital in reaching out to your target audience and increasing your sales.
Infiniti’s market research services have helped companies gain vital information about the competitors, economic shifts, demographics, current market trends and spending traits of the customers. We have listed up some of the recent success stories and have also highlighted ways in which market research services have helped businesses to become market leaders.
#1: Why market research is vital for business success?: Today’s buyers hold all of the power when performing a purchasing decision. Thus, have you really adapted your marketing plan to match the way today’s customers’ shop? Well, even if you think you know your customers pretty well, performing market research study will likely uncover new channels and messaging tips to help improve your interactions. Whether you’re a newbie or experienced, this guide will help you figure out why your business needs market research services and give you a blueprint for conducting thorough market research.
#2: Market research services to identify the potential customer and strengthen market position: The more clarity you have for your “specific” audience, the more likely you are to have a profitable and impactful business. But if your understanding of your customers’ problems is weak or unclear, you will continue to struggle regardless of your strategy. This was the case with a consumer electronics manufacturer in the US. Hence, they approached Infiniti to leverage market research services. Infiniti’s market research services helped the client improve their products as well as identify upsell opportunities with existing customers.
#3: Why market research services leads any business decision?: Businesses always have an element of risk and business decisions are tougher than they seem. Being a business owner, you can never be completely sure whether a particular decision can yield profit or loss to the company. In such situations, successful businesses prefer to do market research before making any critical decision. Similarly, an agrochemical firm consulted Infiniti to acquire an early and sustainable competitive advantage before concept development and new product build-out. Infiniti’s market research services helped the client understand the market curve and stay ahead of its competitors, which helped save $13 million, annually.
#4: How market research services benefits players in the pharmaceutical industry?: The slow-down in growth in the pharma industry over the last few years, as current medicines reach saturation levels, has highlighted the need for the industry to both invest in new drug development and better understand and counteract falling drug sales in emerging markets. Hence, a pharmaceutical manufacturer wanted to identify the market potential for new drugs and pinpoint what is impacting their sales. By partnering with Infiniti Research, the client was able to improve their brand visibility in the competitive market as well as increase their reach to a broader customer base, which subsequently improved the customer experience and enhanced company’s profit margin with market research services.
#5: Why market research is instrumental in the healthcare industry?: As the healthcare industry becomes more specialized, streamlined, and consolidated, companies are increasingly looking for ways to improve service and add tailored-products. Are you also the one looking to win the trust of your target audience? If yes, then definitely have a look at our latest blog on why healthcare companies need market research services in understanding and interpreting an increasingly complex world and thereby developing a successful business plan.
#6: Can market research services help boost market position?: A strong market research process helps you learn about your audience, understand their needs, and position your new products and services to serve them better. With these insights, you can improve your marketing strategies and rise above competitors who don’t fully understand their market or target audience. Since implementing our market research services, our client has seen an increase in sales and the solutions have helped the company to boost their market position.
#7: Importance of market research before starting a business: Have you ever wondered why big organizations invest huge amounts in market research for their businesses? Well, the reason behind them spending so much is to grasp every bit of information that floats in the market. By leveraging market research services, businesses can succeed and stay ahead of the competitors. Explore the reasons behind the growing importance of global market research services and sustain profitability amidst the rising market competition.
#8: How to do a market research?: As an entrepreneur, one of the first things you will need to tackle is deriving a business plan, the key inputs of which are usually identified by conducting thorough market research. In this latest blog of Infiniti, we’ve taken a deep dive to explain; what is market research, why and when to conduct it, and the different types of market research services along with how and when to use each.
#9: Choosing the right type of market research: When it comes to choosing a market research methodology, for many the starting point is the seemingly simple question, “qualitative or quantitative?” Well, read through our latest blog to understand the types of market research services and for choosing the best for your business.
#10: Market research report on secondary packaging market: Infiniti’s global market research services helped the client augment brand visibility and gauge factors affecting the brand perception. Read this success story to know how the client to streamline their business processes and identify the factors hindering growth.
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Expanding a business into foreign markets is usually a worthy endeavor and can open up huge growth possibilities, but it does bring new challenges too, such as unfamiliar customer behavior, unacquainted market response to products or services, universal payment methods, cultural differences, and tariffs and export fees.
Without understanding customer behavior, it becomes very difficult for businesses to offer a customer-centric and personalized experience to their customers. Therefore, for businesses to succeed in the global market, it is crucial to have winning market entry strategies in place to review macro and microeconomic environments and assess a market’s readiness for new offerings. Additionally, companies need to do a proper market analysis to identify the potential risks that they can face in the foreign markets.
At Infiniti Research, we understand the impact that international market entry strategies can have on your business. And to help companies excel in the target market, our team of experts has provided a detailed guide to market entry strategies to help businesses break into foreign markets. (more…)
Expansion is the sign of a healthy business. And with the aid of market intelligence services, business expansion is no longer a distant dream for emerging companies.
Recruiting more staff, expanding into new markets, and building industry reputation are all exciting developments that come with growth. But in today’s competitive market space, growing businesses face a host of different challenges. As the company grows, business leaders start realizing that there is no “one size that fits all” approach – every new opportunity and problem will eventually start demanding different solutions. What worked a year back may not work this year and may not be the best approach. Identifying and mitigating challenges associated with market entry is essential if the business is to survive. Effective leadership will help business leaders make the most of existing opportunities but leveraging market intelligence services can unlock the doors to a lucrative new market segment.
With the rising pressure to sustain profitability and brand image in the market, companies have started facing the need to outpace their opponents when it comes to retaining and acquiring new customers. There’s nothing more depressing to the stakeholders than slow sales or high competition. Companies of today need to be on their toes and constantly think about ways to attract, serve, and retain their customers. Consumers change with every generation and companies need to be agile enough to serve the market as it stands in any given year. Whether you’re in the healthcare, automotive, manufacturing, or retail industry, market intelligence services are still essential for survival. With that being said, let’s take a look at what is market intelligence below and how it can take your business to the next level. (more…)
The growth in the automotive industry has shifted to markets like US, Western Europe, and China, while their growth rate in emerging markets seems to have cooled off in recent times. At this pace, we can expect the sales in the global vehicle market to slow down over the next few years. Furthermore, at the current pace of evolution and technological advancement in the automotive industry, we believe the automotive industry is likely to witness more changes in the next decade than it has in the last 20 years. Here’s our take on some of the key automotive industry trends revolutionizing this sector:
Automotive industry trends 2019
Usage based insurance
Almost every industry in the world is greatly influenced by the Internet of Things (IoT). IoT has established a wave of connectivity even in industries such as insurance and fintech. For instance, insurance companies are increasingly using IoT data to improve their precision in assessing risk, pricing policies, and estimating a necessary reserve. It has also created significant opportunities in the automotive insurance sector such as usage based insurance (UBI). Usage based insurance (UBI) for the automotive industry is a category of motor insurance that takes into account several factors while calculating the premium. This includes factors such as the type of vehicle used, distance traveled, and the behavior of the driver. Usage based insurance encourages safe driving behavior that consequently leads to fewer accidents, which in turn helps insurance companies to reduce claims payout and improve the bottom line.
Market intelligence Vs. Competitive Intelligence
Despite the encouraging growth trajectory in the global power market, several power companies have not been able to induce and sustain the required capacity addition to match the ever-growing demand.
The global power market is undergoing a massive transformation, which arguably, together with the emergence of technologies such as AI and IoT will redefine the way businesses function in the coming decades. In the power market, this drastic transformation is being driven at one end by the increasing need to power a growing society in a way that it makes sense for the environment. However, at the other end, this transformation is fueled by the rapid technological innovations and developments that help in sourcing and storing energy from several sources.
Challenges in the global power market vary by region and the adopted utility model, but a few major pain points that are expected to wreak havoc in this segment include – the rise in distributed power generation, the global shift towards energy efficiency, a change in resource mix, and negative demand growth in specific market segments. In the light of such realities, the global power market is expected to face a range of short-term challenges; thereby, driving the need to redefine business models.
The Business Challenge
- The client: A power company
To improve their profitability and competitiveness, the client – a multinational power company – approached Infiniti to engage in a market segmentation study. The B2B power company wanted to identify and target the right market segment in order to maximize customer retention, brand recall, brand equity, communications, and competitiveness.
The client wanted to conduct a market segmentation study to gain strategic insights into the global power market. Their primary objective was to identify the appropriate segments and develop specific services, products, and marketing campaigns that address the needs of the particular segments. At the same time, by focusing on the needs of the most profitable market segment, the power company wanted to enhance customer retention.
How Our Market Segmentation Solutions Help Companies in the Power Market?
An effective market segmentation study requires a detailed understanding of the market landscape and the skilled art of finding and grouping the appropriate segments. With vast experience in power market segmentation, our experts help you to gain insights into the global power industry’s landscape.
Several power companies shape their market segmentation strategies using the outcome of market analysis and market research. However, market segmentation requires more ‘art’ and ‘skill’ rather than market research. With years of experience in market research, our experts help you uncover underlying market segments and their characteristics to drive business value.
Summary of our market segmentation engagement
Infiniti’s market segmentation engagement helped the power company to enhance profitability by effectively segmenting the market into sub-divisions. The market segmentation study also helped them accomplish three main goals – identify segments that had the highest potential to drive profitability, identify segments that were interested in procuring value-added services, and develop new strategies to enhance customer retention.
Furthermore, to help the client assess the market landscape and identify imminent market trends, the market research experts at Infiniti conducted a market segmentation study that offered valuable insights on decision-making procedures, market trends, and barriers. The approach included primary and secondary research methodologies coupled with qualitative and quantitative data collection procedures. The experts also reached out to various stakeholders in the power market.
Solution Benefits and the Business Impact
Infiniti’s market research experts offered end-to-end solutions that helped power company to better understand the market’s dynamics. In addition, the market segmentation study helped in the identification of new white spaces for products and service offerings. The client also gained detailed insights into the power market, which enabled them to optimize their customer acquisition and retention strategies.
In today’s competitive market landscape, businesses across sectors are expected to face unprecedented future challenges owing to the high capital costs and stringent regulations. Arguably, this pressure is more on the global power market, which is being influenced not only by the corporate mandates and imperatives for maintaining cost efficiency but also by several geopolitical and macroeconomic factors.
As the power market arrives at this crossroads, companies operating in this sector will have to make a series of difficult decisions. To do so, the power companies will have to focus more on sustainable development than in the past, by considering factors such as – economic, social, and technological advancements. To answer several such questions effectively companies will have to consider the most likely future scenario and consider the implications of each of the scenario on the overall business value.
A must-read case study for strategy specialists and decision makers looking to develop an understanding of the global power market.
In the wake of sustainability challenges, government organizations, consumer groups, and environmentalists have been continuously voicing their concerns regarding the waste generated by the packaging industry.
Leading players in the packaging industry, especially the packaging machine manufacturers, face a multitude of challenges including – the creation and maintenance of value proposition to acquire new prospects and the design and development of innovative products to cater to the changing customer preferences.
In today’s competitive business landscape, packaging machine manufacturers are striving to develop better machinery to appeal to the continually changing customers’ preferences. Moreover, packaging machine manufacturers operate in an environment where the reduction of the packaging materials acts both as a major regulatory requirement and a market demand. Companies operating in the packaging industry must adapt to the fact that sustainability has become an essential design criterion for packaging materials and systems that depend on their machines. The other challenges faced by them include – the high cost of packaging materials, lack of skilled labor, and the lack of knowledge on ways to market and allocate resources.
- The client: A packaging machinery manufacturer
With an objective to build, understand their business, and set themselves apart from their competitors, the client – a leading player in the packaging industry – approached Infiniti to engage in a market intelligence study that would help them to assess the impact of BI tools on business planning and decision-making. The primary objective of this market intelligence study was to find solutions to the key business challenges faced by the client which included – disparate data sources within and across all business units spread across geographies and manual planning.
How Can Market Intelligence Help Companies in the Packaging Industry?
The market intelligence needs of design firms, brand owners, and even packaging industry firms are dramatically different today than what it was a decade ago. It’s no longer good enough to gain insights into a brands’ position or recent design innovations.
In today’s environment, and going forward, attracting attention and being disruptive would not suffice in the long run. It’s more about analyzing market needs and delivering packaging solutions that cater to the market’s demand. Infiniti’s team of market intelligence experts help identify, analyze, and monitor market data to offer and recommend the best suitable solution to overcome your challenges.
Summary of our market intelligence solution
To help the client gauge numerous factors influencing their growth in the packaging industry and assess the overall brand perception, the market intelligence experts at Infiniti followed a strategic research approach. The approach included primary and secondary research methodology coupled with qualitative and quantitative data collection procedures. The experts also reached out to various stakeholders and stakeholders in the packaging industry.
Solution Benefits and the Business Impact
With the aid of Infiniti’s market intelligence engagement, the packaging machine manufacturer, obtained a holistic view of the entire market. Our solution also enabled them to answer concrete questions about – existing and potential customers segments and competitors in the market. The market intelligence solution even facilitated the extraction of raw data from disparate sources and their conversion into the information needed for accurate decision making.
With the growing demand for flexible and rigid packaging technologies, the current trends in packaging industry revolve around – retort packaging, PET packaging, and aseptic technology. The packaging machinery manufacturers will have to constantly look out for emerging trends in the packaging industry and invest in technology upgrades, new innovations, and BI tools to cater to the demands. However, the need of the hour is to innovate and tap into new market trends to fulfill the needs of the packing industry.