(P3 + M2 + D2)
Market research is important as it gathers information about customers. The information
on customers helps companies as it allows the business to gain information on how they
can promote, innovate and create new or existing products, it also allows a selected group
potential customers to sample the products and allows the business to identify weak-
nesses and areas for development. The business can only use the information received to
help them with budgeting, understanding which departments can receive more money for
research and development. It can allow the business to know when a certain product can
be discontinued or which projects would be more successful. The research into existing
and potential customers also allows information to be shared on competitors which if the
information is shared, can benefit the company as it gives insight into market share and
gaining a competitive edge.
Barclays is a bank that provides a range of financial services in 56 countries. Their bank-
ing services offered to both individuals and business include a wide range of products and
services for all types of customers. Banking is a very competitive business, and multiple
banks offer similar services, thus attracting customers is a harder task, conducting market
research is crucial in differentiating the business and understanding what customers want.
Barclays conducts research into its target market first, as this reduces the amount of
money and time lost on finding the information already found. A large percentage of Bar-
clays customers are university students thus they focus on student research due to the
number of students annually joining university, allowing them to reduce questions and
choose focused research. Students provide an opportunity for long-term relationship thus
Barclays relies on research to attract students as they become an important market seg-
ment.
In 2009, Barclays created a group that used the information found from research to offer
students an account that included features such as;
● No monthly fee
● An interest-free overdraft of £2,000
● Mobile banking
Barclays offered the plan to students that used incentives in order for students to join such
as a 25% discount on Orange mobile plan. Barclays advertised the plan through direct
mail to prospective students, a word-of-mouth campaign ‘100 voices’ and online advertis-
, ing. Barclay's goal was to increase the overall number of student accounts by 25%. In or-
der for Barclays to offer this plan, they needed to participate in market research. To con-
ducting market research there are numerous ways in which data can be collected through;
● Primary
● Secondary
● Internal
● External
● Qualitative
● Quantitative
Primary research is receiving information through specific questions to a specific audience
that an employee or staff member of the company conducts. The research being primary
can be very reliable and is up to date. Conducting primary research can allow the business
to focus on a certain area of their business or product, it can allow them to receive infor-
mation and reviews from their market and identify solutions.
A business can conduct primary research internally or externally;
Internal primary research accounts to information collected from individuals within the
company, these means employees and staff would review the product and service.
External primary research is conducted outside of the business, where customers are con-
sulted and targeted to find information about the product or service. Competitors are also
involved in a business's external primary research.
Primary research is a very efficient way of collecting information however it can be very ex-
pensive and time-consuming due to having to target certain audiences and either wait for
their responses on a surveyor having to approach them directly. Overall the amount of
data collected could be on a smaller scale, resulting in a minimal review of the product or
service. Through internal primary research, the information can be biased, as an employee
won't feel comfortable giving an honest review of the product in front of their boss, such
that they can give a misleading review. Through external primary research, if the research
is not conducted correctly, such as questions don’t allow the audience to answer honestly
or correctly this can alter the reviews of the products. If a business does not carry out pri-
Market research is important as it gathers information about customers. The information
on customers helps companies as it allows the business to gain information on how they
can promote, innovate and create new or existing products, it also allows a selected group
potential customers to sample the products and allows the business to identify weak-
nesses and areas for development. The business can only use the information received to
help them with budgeting, understanding which departments can receive more money for
research and development. It can allow the business to know when a certain product can
be discontinued or which projects would be more successful. The research into existing
and potential customers also allows information to be shared on competitors which if the
information is shared, can benefit the company as it gives insight into market share and
gaining a competitive edge.
Barclays is a bank that provides a range of financial services in 56 countries. Their bank-
ing services offered to both individuals and business include a wide range of products and
services for all types of customers. Banking is a very competitive business, and multiple
banks offer similar services, thus attracting customers is a harder task, conducting market
research is crucial in differentiating the business and understanding what customers want.
Barclays conducts research into its target market first, as this reduces the amount of
money and time lost on finding the information already found. A large percentage of Bar-
clays customers are university students thus they focus on student research due to the
number of students annually joining university, allowing them to reduce questions and
choose focused research. Students provide an opportunity for long-term relationship thus
Barclays relies on research to attract students as they become an important market seg-
ment.
In 2009, Barclays created a group that used the information found from research to offer
students an account that included features such as;
● No monthly fee
● An interest-free overdraft of £2,000
● Mobile banking
Barclays offered the plan to students that used incentives in order for students to join such
as a 25% discount on Orange mobile plan. Barclays advertised the plan through direct
mail to prospective students, a word-of-mouth campaign ‘100 voices’ and online advertis-
, ing. Barclay's goal was to increase the overall number of student accounts by 25%. In or-
der for Barclays to offer this plan, they needed to participate in market research. To con-
ducting market research there are numerous ways in which data can be collected through;
● Primary
● Secondary
● Internal
● External
● Qualitative
● Quantitative
Primary research is receiving information through specific questions to a specific audience
that an employee or staff member of the company conducts. The research being primary
can be very reliable and is up to date. Conducting primary research can allow the business
to focus on a certain area of their business or product, it can allow them to receive infor-
mation and reviews from their market and identify solutions.
A business can conduct primary research internally or externally;
Internal primary research accounts to information collected from individuals within the
company, these means employees and staff would review the product and service.
External primary research is conducted outside of the business, where customers are con-
sulted and targeted to find information about the product or service. Competitors are also
involved in a business's external primary research.
Primary research is a very efficient way of collecting information however it can be very ex-
pensive and time-consuming due to having to target certain audiences and either wait for
their responses on a surveyor having to approach them directly. Overall the amount of
data collected could be on a smaller scale, resulting in a minimal review of the product or
service. Through internal primary research, the information can be biased, as an employee
won't feel comfortable giving an honest review of the product in front of their boss, such
that they can give a misleading review. Through external primary research, if the research
is not conducted correctly, such as questions don’t allow the audience to answer honestly
or correctly this can alter the reviews of the products. If a business does not carry out pri-
