how to do quantitative market research

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Quantitative Market Research: The Complete Guide

What is Quantitative Market Research?

Quantitative Market Research is a technique to ask questions to the target audience in an organized manner using surveys, polls or questionnaires. Received responses can be analyzed to make well-thought decisions for improving products and services, that will in turn help increase respondent satisfaction levels. Well-founded results can be achieved in case a large sample size that represents a population is surveyed.

The age of Information has transformed both selling as well as purchasing habits and norms. “Information” or “data” is now more valuable than gold. Companies rise and fall on the basis of how well they are able to collect and analyze data and make informed decisions based on the gathered insights.

LEARN ABOUT: Marketing Insight

Any evolved customer who makes a purchase online can tell how quickly businesses have become “customer-centric”. And the first step towards becoming a customer-centric business is through customer feedback and research design .

LEARN ABOUT: Market research vs marketing research

For instance, “Based on your overall experience with us, how likely are you to recommend us to a friend or colleague?” – This one question, the Net Promoter Score question, changed the game for businesses across the Globe. With just 1 question, companies are now able to collect real data from real customers on how well their organic word-of-mouth referrals can grow their business and how less/more they have to spend on paid advertising and promotions or which area of their product or service quality requires improvements.

This is just 1 in hundreds of such Quantitative Market Research survey questions that have fundamentally and exponentially helped organizations, including nonprofits, charities, educational institutions and business alike, to make decisions that are based on real data!

Organizations are dependent on quantitative analysis for the statistical evaluation of data because it gives systematic, detailed information about the research problem at hand or the target audience. This market research technique revolves around surveys , questionnaires and polls and the data collected is evaluated numerically, statistically, mathematically to form better strategies and marketing plans.

LEARN ABOUT:  Market research industry

But before we dive into the steps that are required to carry out a successful Quantitative Market Research study, let’s look at a few more critical reasons why you need to do so.

LEARN ABOUT: Causal Research

Reasons to conduct Quantitative Market Research

• Research is the first step for a successful marketing campaign, be it a new product launch, sales pitch positioning or conducting a data-oriented statistical analysis .
• By conducting an online quantitative market research, insights about marketing activities like updating the website, social media page management or newsletters can also be received.
• By implementing Quantitative Market Research, questions like “Who are currently buying my products/services?”, “Why are the others not buying my product?”, “How to reach out to my potential clientele?” are answered.
• Quantitative research starts with survey creation, designing, and distribution. After the survey is sent out to the right people, data collection(active or passive data collection ) and analysis has to be done to get desired insights.

LEARN ABOUT: Best Data Collection Tools

Significance of Quantitative Market Research

As the name implies, Quantitative market research focuses on the quantity and structured collection of data. It began with face-to-face techniques and now has evolved into online surveys like those provided by QuestionPro. It is often used to capture data like customer behavior , size of the market, identifying reasons for product repurchase. This type of market research is usually based on a large number of samples.

LEARN ABOUT: Behavioral Research

Characteristics of Quantitative Market Research

The basic characteristics of quantitative market research are:

• The premise that quantitative market research operates on is to confirm the hypothesis of the phenomena of how many.
• The data collected is solely in the form of numbers and statistical formula can be applied to this data to come up quantified actionable insights.
• Data collected and the mode of collection is very structured. It is a mix of questionnaires , surveys etc.
• The research study is designed in a way that the questions are structured and the possible responses to these types of question are also structured. This is laid out well in advance before the study.
• Since the questions are not open ended, they point towards certain answers so the scope for uncertainty is limited.

What is the methodology for creating a successful quantitative market research survey?

Quantitative market research is a highly scientific method of market research. It uses deductive reasoning to come to a conclusion and create actionable insights from the data collected. This research method works on the principle of developing a hypothesis, collecting data and then analyzing that data to further prove or disprove the hypothesis. The milestone based procedure of the quantitative design is:

• Make an observation of something that is unknown to you. Investigate the theory that is related to your issue or the field that requires validation.
• Create an in-depth hypothesis to validate your research and findings and end objective.
• Plan for how to prove or disprove this hypothesis and create a structure to achieve this objective.
• Collect and analyze your data. If your data validates your hypothesis, prepare for final validations and to present findings. If the data disproves your hypothesis, you can either start afresh with a new hypothesis or drop your current research.

The milestones mentioned above fall under 5 quantitative design types namely; survey research , descriptive research , correlational research , causal-comparative/ quasi-experimental research and experimental research .

LEARN MORE: Descriptive Research vs Correlational Research

What are the common techniques to conduct a quantitative market research?

Quantitative market research can be conducted by primary and secondary research types. Some of the Some of the most common ways to conduct a quantitative market research are:

Primary quantitative market research techniques

Primary techniques are the most common forms of conducting quantitative market research. Some of the most common and widely used forms are:

• Cross-sectional research survey:  Cross-sectional market research is a quantitative market research method that analyzes data of variables collected at one given point of time across a sample population. population or a pre-defined subset. This research method has people who are similar in all demographics but the one that is under research.
• Longitudinal research survey:  Longitudinal market research is a quantitative market research method where research is conducted over years or decades on a target demographic markets or certain individuals to collect statistical data. 

LEARN ABOUT: Research Process Steps

• One-on-one Interviews: This quantitative data collection method was also traditionally conducted face-to-face but has shifted to telephonic and online platforms. Interviews offer a marketer the opportunity to gather extensive data from the participants. Quantitative interviews are immensely structured and play a key role in collecting information. There are two major sections of these online interviews:
• Face-to-Face Interviews: An interviewer can prepare a list of important questions in addition to the already asked survey questions. This way, interviewees provide exhaustive details about the topic under discussion. An interviewer can manage to bond with the interviewee on a personal level which will help him/her to collect more details about the topic due to which the responses also improve. Interviewers can also ask for an explanation from the interviewees about unclear answers.
• Online/Telephonic Interviews: Telephone-based interviews are no more a novelty but these quantitative interviews have also moved to online mediums such as Skype or Zoom. Irrespective of the distance between the interviewer and the interviewee and their corresponding time zones, communication becomes one-click away with online interviews. In case of telephone interviews, the interview is merely a phone call away.

Secondary quantitative market research techniques

Secondary techniques to conduct quantitative market research are a means to validating a hypothesis or drawing conclusions from empirical data and primary data. This research method is a form of observational research where historical data helps validate the statistical observations of the primary data. For example: mapping the purchase of snowblowers to the months where sales spike with historical data of inclement weather helps manage supply and demand as well as trained personnel during those months.

LEARN ABOUT:  Test Market Demand

5 steps needed for creating a successful quantitative market research survey:

• Specify the Goal: Why do you want to conduct this market research? There should be a clear answer to this question so that the steps that follow are smoothly executed.
• Have a Plan Sketched Out: Every step that needs to be achieved has to be put to paper like the tools that are required to carry out the research,  survey templates , the target audience etc. This may vary from project to project.
• Collect Data: This is the most crucial step in this market research. Data is collected through 3 main mediums: online surveys, telephone interviews or email surveys .

• Compile Reports: A report consisting of graphs, charts, and tables should be created so that the person in-charge of the report can incorporate the observed changes.  

Learn more about Quantitative Data

Guesswork or limited awareness of numbers can never result in the success of an organization. Quantitative market research offers the perfect medium for researchers to analyze customer behavior and adaptability so that the growth of the organization isn’t hampered.  

Quantitative market research questions – Use and Types

According to the objective of research, the survey creator can decide the type of questions to be used. To put it briefly:

• Quantitative market research questions produce answers for “Who” and “What”.
• Qualitative market research questions produce answers for “Why”.

Quantitative questions are usually close-ended and are simpler to analyze when compared to the qualitative counterparts which are open-ended and much harder to analyze. If you’re looking to obtain statistics and quantifiable results, you can implement quantitative market research questions.

These questions are easy for the respondents to answer. Due to their close-ended nature, a sizeable quantity of questions can be asked without having to worry about whether the respondents will get irritated by them or not.  Quantitative questions can start with “how” or “what” and can be used in questions such as “how frequently” or “how many” or “what are” or “what is the extent”.

The most used quantitative market research questions are:

Net promoter score : This question can be asked to evaluate customer satisfaction and brand shareability. It’s usually a 0-10 scale which provides a very filtered yet efficient perspective about brand recommendation. The respondents are divided on the basis of the provided input.

Likert-scale: It’s a psychometric question to evaluate customer opinions towards a particular situation with two polarities at each end of the scale. The Likert-scale question has a statement and 5, 7 or 9 response options for the respondents to choose from. These questions used for customer satisfaction , employee satisfaction , and academic surveys .

Semantic-scale: Semantic differential rating scale is used to ask quantitative questions about ideologies, products or events with grammatical opposite options at the polar positions of the scale to measure their implicative meaning.  

Multiple-choice: These fundamental components of a survey can be vital in getting the best responses in quantitative research as they provide the exact options that an organization would want their respondents to choose from.

Matrix questions: These are multiple choice questions assembled in form of a matrix. They are extremely convenient for survey makers to create and analyze these kinds of questions and for respondents to construe and answer.

Read more: Survey Questions and Sample Survey Questions

Statistical Analysis in Quantitative market research

Quantitative market research uses a host of statistical analysis techniques to process the response data and derive meaningful and clear insights. These insights gathered from statistical analysis enables researchers to derive the final conclusion of the quantitative research.

LEARN ABOUT:   Statistical Analysis Methods

Here are 5 commonly used statistical analysis techniques:

• Conjoint Analysis:

Conjoint analysis is a method used to identify the value of various attributes such as cost, features, benefits for the customers that lead to the purchase of a particular product or service. With increasing technology implementation features in devices and gadgets, this analysis method has been widely adopted for product pricing, market placement, and product launch.

• TURF Analysis:

TURF (Total Unduplicated Reach and Frequency) analysis allows an organization to gain insights on a combination of products/services that’ll attract the highest number of customers. This is done by producing the reach and frequency of unduplicated data from the obtained responses.

• GAP Analysis:

GAP analysis is used to calculate the difference between the desired and actual performance of a particular product/service. By measuring GAP analysis , an organization can make improvements to mend the gap and make their attributes more appealing to reduce the gap.

• MaxDiff Analysis:

Also known as “best-worst” scaling, MaxDiff is choice-model used to acquire customer preferences of multiple characteristics such as product features, brand images, and preferences, activities around the branding etc. It does have some similarity to Conjoint analysis but is much simpler to implement and analyze.

• Cross Tabulation:

Cross-tabulation is a statistical analysis tool that allows comparison of two or more categories in a brief tabular format for convenient data analysis .

Advantages of quantitative market research:

• Produces numerically rational theories: The result of the quantitative research is based on numbers because of which results are extremely instrumental for an organization to make well-thought decisions to market a product/service in a better manner. The numbers analyzed in this can be then put into charts and graphs for better representation and review.
• Easily calculable and analyzable data: Due to the exactness in the answers received for quantitative questions, it’s extremely favorable for research to evaluate the data.
• Enhanced willingness of respondents: Quantitative research mostly comprises of close-ended questions which are quick and less time-consuming for the respondents to answer. This is an essential reason for high response rates for this market research.
• Less investment to create brand awareness: These days, quantitative research is used for brand awareness which is generally conducted through online mediums. Cost invested in the research is thus reduced to create awareness about the brand.

Disadvantages of quantitative market research:

• Statistical data isn’t always complete: Data could be collected from a huge number of people but there is no way to dig deep down into they “why” of an answer. Data isn’t actionable with just numbers and no concrete explanations to back that data.
• Structured interviews and questionnaires: The biggest strength but also a weakness of quantitative market research questions is the limited scope to digress from a structured answer. Whilst this provides actionable numbers, the research questions do not allow to validate those numbers due to the nature of how the survey is set-up.
• Sample size isn’t indicative of a larger population: If the respondents of the market research survey have attributes that do not match those of a larger demographic, the data collected cannot be equated to a larger sample as the data collected isn’t necessarily a representation of the larger audience.
• Self-report isn’t always trustworthy data: People when given the liberty to respond to a survey are skeptical to give out too much information and if any information provided is incorrect or haphazard, that discounts the complete validity of the survey.

How does Quantitative Market Research  work  using QuestionPro?

QuestionPro offers a string of standard and advanced question types like single select, multi-select, Net Promoter Scale or Van Westendorp etc. that can be chosen to create a powerful survey. The survey has to be branded and personalized as per your company policies and also has to include logic and branching suitably.

Distribution of surveys using the right mediums is an integral part of data collection. You can reach as many people as you wish to by using sources like Emails that can also be scheduled, QR code, Mobile application that allows offline data collection , Automated IVR surveys , and Web intercept surveys .

Responses are updated on a dashboard as and when respondents take the survey. As a survey maker, you can keep an eye on the live updates of the customers who’ve started the survey but not yet finished it or who’ve completed it or who’ve just begun, on the dashboard.

LEARN ABOUT: Level of Analysis

Using techniques like Conjoint Analysis, SWOT Analysis, TURF Analysis, one can obtain a solid statistical understanding of the collected data for organizations and academicians. The updates in analytics are done in real-time using advanced analytics programs.

LEARN ABOUT: 12 Best Tools for Researchers

This marketing research method is used to know how alike do people think about a certain product and derive results for data-oriented decision making. When a new product is being launched or a product is being upgraded, quantitative market research can be put to use to know what the target audience thinks about the change and whether it will be well adapted.

LEARN ABOUT: Average Order Value

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The Complete Guide to Quantitative Market Research

Quantitative research is a chief category in the research sphere, along with qualitative research. An encompassing aspect of market research , it can include both primary and secondary methods of extracting data. 

Although used interchangeably with qualitative research, quantitative research is a distinct process that should not be confused with its counterpart. In fact, it is the opposite of qualitative research.

Let’s navigate through the waters of quantitative research in this complete guide.

What Defines & Makes Up Quantitative Research?

As its name suggests, quantitative research is the process of aggregating quantitative, or numerical data for research purposes. This data is used for a number of applications. These include:

• Quantifying opinions, behaviors, attitudes and problems
• Making generalizations
• Forming predictions
• Discovering patterns
• Determining averages
• Testing relationships

Quantitative research generally relies on a larger sample size in order to quantify any issue or variable. In order to achieve this, this research method involves using mathematical and statistical means. 

This type of research answers the “what” and the “how much” of a subject within a research endeavor. As it forms generalizations, this type of method involves surveying a larger population, using measurable data and processing all the data first and then analyzing it from a statistical standpoint.

The Four Main Types of Quantitative Research

There are four main ways to perform quantitative research. Aside from their methodology, these sub-categories also seek different types of answers and conclusions.

1. Descriptive Research

This is used to determine the state of variables. It describes the situation and environment surrounding a variable or topic. As such, it is used for arranging comparisons, outlining sample characteristics, overlooking emerging trends and confirming existing phenomena.

The data is collected by way of observation. Descriptive Research is used to form a hypothesis, but only after having aggregated all the necessary data.

2. Correlational Research

This research method is used to examine the relationships between different subjects and variables. Analyzing relationships is necessary to either test a hypothesis or a prediction. Because this research focuses on relationships between fixed variables, other outlying variables are not part of the investigation.

Correlational research is in direct opposition to experimental research, as none of the studied variables are manipulated. Correlations can be either positive or negative, with different degrees of the relationship’s strength.

3. Experimental Research

This method is used for finding whether there is a cause and effect relationship among variables. This kind of research relies on the scientific method. Unlike correlational research, experimental research involves manipulating variables.

Researchers would manipulate a variable to uncover its effect on another one. This method is frequently referred to as true experimentation, as no experimental undertaking leaves all variables unchanged; at least one must be influenced in some way. 

This includes manipulating, randomizing or reverting back a variable. The variables are then measured, calculated and compared.

4. Survey Research

The final research method is crucial to understanding behavior. In market research, it is often used to acclimate a brand with its target market’s desires, needs, points of contention and behaviors.

Surveys allow researchers to ask pointed questions to either discover their target audience or get a granular sense of their opinions. As such, they can be conducted within one group or many, for the sake of comparison.

Instead of turning to survey panels , which are likely to have skewed or biased results, researchers should use a random sample of people. A non-panel-based survey will garner more respondents that aren’t motivated by professional compensation.

Surveys can be administered by mail,  in-person, on the phone, or digitally. The latter has even more options: online surveys, third-party surveys, emails and in-app.

Examples of Questions for Quantitative Research

Survey research has a far larger scope of questions than do the other three types, as researchers can ask practically anything to conduct their studies. However, there are some best practices in survey questionnaires, such as focusing on your industry, your product and the desires of customers.

Learn more about asking insightful market research questions . Here are a few examples of quantitative research questions in the three other categories.

• Is working from home the best option to improve productivity for employees with long commutes? Variable: Working from home and in-office Demographic: Employees with long commutes Quantitative Research Type : Experimental
• How has the coronavirus changed employment for white-collar workers? Variable: Employment types and statuses Demographic: White-collar workers Quantitative Research Type : Experimental
• How often do working people travel for a holiday? Variable: Amount of times respondents travel during a holiday Demographic: working people Quantitative Research Type : Descriptive
• How much would you pay for a subscription to an entertainment magazine? Variable: payments for a magazine subscription Demographic: women aged 14-44, those interested in celebrities Quantitative Research Type : Descriptive
• What is the difference in smartphone usage between Millennials and senior citizens? Variable: Time spent on using a smartphone Demographic: Millennials and seniors Quantitative Research Type: Correlational
• Does the leadership style of car shop owners predict the job satisfaction of car salespeople? Variable: Leadership style and job satisfaction Demographic: Car shop employers and salespeople Quantitative Research Type: Correlational 

When to Use Quantitative Research and How to Analyze It

The quantitative research method has specific use cases. You ought to consider which is best for your particular business, which includes your strategy, your marketing and other facets.

The core of quantitative research is to quantify a phenomenon (a problem, an inadequacy, and a slew of other occurrences) and understand its prevalence. Researchers do this by observing large portions of a population.

You should use this form of research whenever you need to be presented with the state of things at a higher level, or from a bird’s eye view. This Is because this type of research can identify links between various factors, look for correlations and discover cause and effect relationships.

Researchers can then use the results of their findings to form predictions. This is useful in market research when launching a new product, brainstorming product ideas or innovations or growing a customer base.

To analyze this research, it should first be made quantifiable and objective. Researchers should pin down the scales and units of measurements in their various studies. Then, they should organize them into easily interpretable formats.

For example, once you gather the numerical data, you can enter it into a spreadsheet. Thereafter, you can organize it by desegregating it into graphs, charts and tables. Finally, you should draw data-based conclusions from your study. You can also do further sleuthing via advanced analytics.

The Benefits and Drawbacks of Quantitative Research

Quantitative research has a bevy of benefits; it also has some hindrances. You should peruse both the positive and negative qualities of this research type before setting out on any major research project. The following may help you choose one form of research over the other, or use aspects of both.

• Larger sample pools: the larger the group of respondents, the more accurate are the results.
• Highly structured: Surveys, questionnaires, and other tools for recording numerical data
• Focused: The design of the study is determined before it begins
• Theory-based: Research tests a theory to provide support/proof
• Designed to Be Analyzed: Numbers/statistics exist as tables, charts, figures and other non-textual forms for easy analysis.
• Objective: Steering clear of bias as the research is separated from the data & only objective responses are sought.
• Direct comparisons of results: The study can be set in different cultural environments, times or different groups of participants with a statistical comparison of results.
• Focuses solely on numbers: This can be limiting as researchers may overlook other data and larger themes.
• Superficial Representations: It cannot adequately describe complex concepts (ex: feelings, opinions) it only shows the numbers behind them. 
• Several factors can invalidate results: A hypothesis and a model for collecting/ analyzing data.is required; any mistake can lead to bias and inaccurate illustrations.
• Erred Structure: If any data is missing or if measurements are not clear, biases easily take precedence.

The Final Word on Quantitative Research

Market research is far too encompassing to fully complete, especially in a limited amount of time. To tackle market research, begin with a research method. Quantitative research is often a good starting point, as it shows you the existence of a problem by way of quantifying it.

Aside from confirming the existence, it can help confirm a hypothesis, find correlations and prove cause and effect relationships. A hard set of data can also help you make educated predictions.

While the three types of quantitative research methods are useful, they do have several disadvantages. The fourth one, ie, survey research helps fill in the gaps and inadequacies of numerical limitations. Interestingly enough, they too can be a source of hard data and numbers. 

Either way, market research is sure to benefit from incorporating surveys as part of the processes.

Frequently asked questions

What is quantitative market research.

Quantitative market research utilizes the techniques of quantitative research in order to better understand the target market. In quantitative research, the information gathered from surveys and questionnaires is converted into numerical values so it can be easily analyzed.

What types of questions do quantitative research answer?

Quantitative research seeks to define “what” and “how much.” It is used for identifying patterns, making predictions, establishing averages, and quantifying opinions, attitudes or behaviors.

What are the four main types of quantitative research?

The four main types of quantitative research are survey research, correlational research, descriptive research, and experimental research.

What type of surveys are used for quantitative research?

Quantitative surveys are best suited for quantitative research. In this type of survey, there are no open-ended questions, and all responses can be assigned a numerical value. In most cases, a quantitative survey is distributed to a large and random sample of individuals.

Why are large sample sizes important when conducting quantitative research?

A small sample size can lead to inaccurate results. The larger the sample size (i.e. the group of individuals who receive the survey), the more likely it is that the results will be statistically significant and accurate.

Do you want to distribute your survey? Pollfish offers you access to millions of targeted consumers to get survey responses from $0.95 per complete. Launch your survey today.

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How to Do Market Research: The Complete Guide

Learn how to do market research with this step-by-step guide, complete with templates, tools and real-world examples.

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Market research is the systematic process of gathering, analyzing and interpreting information about a specific market or industry.

What are your customers’ needs? How does your product compare to the competition? What are the emerging trends and opportunities in your industry? If these questions keep you up at night, it’s time to conduct market research.

Market research plays a pivotal role in your ability to stay competitive and relevant, helping you anticipate shifts in consumer behavior and industry dynamics. It involves gathering these insights using a wide range of techniques, from surveys and interviews to data analysis and observational studies.

In this guide, we’ll explore why market research is crucial, the various types of market research, the methods used in data collection, and how to effectively conduct market research to drive informed decision-making and success.

What is market research?

The purpose of market research is to offer valuable insight into the preferences and behaviors of your target audience, and anticipate shifts in market trends and the competitive landscape. This information helps you make data-driven decisions, develop effective strategies for your business, and maximize your chances of long-term growth.

Why is market research important? 

By understanding the significance of market research, you can make sure you’re asking the right questions and using the process to your advantage. Some of the benefits of market research include:

• Informed decision-making: Market research provides you with the data and insights you need to make smart decisions for your business. It helps you identify opportunities, assess risks and tailor your strategies to meet the demands of the market. Without market research, decisions are often based on assumptions or guesswork, leading to costly mistakes.
• Customer-centric approach: A cornerstone of market research involves developing a deep understanding of customer needs and preferences. This gives you valuable insights into your target audience, helping you develop products, services and marketing campaigns that resonate with your customers.
• Competitive advantage: By conducting market research, you’ll gain a competitive edge. You’ll be able to identify gaps in the market, analyze competitor strengths and weaknesses, and position your business strategically. This enables you to create unique value propositions, differentiate yourself from competitors, and seize opportunities that others may overlook.
• Risk mitigation: Market research helps you anticipate market shifts and potential challenges. By identifying threats early, you can proactively adjust their strategies to mitigate risks and respond effectively to changing circumstances. This proactive approach is particularly valuable in volatile industries.
• Resource optimization: Conducting market research allows organizations to allocate their time, money and resources more efficiently. It ensures that investments are made in areas with the highest potential return on investment, reducing wasted resources and improving overall business performance.
• Adaptation to market trends: Markets evolve rapidly, driven by technological advancements, cultural shifts and changing consumer attitudes. Market research ensures that you stay ahead of these trends and adapt your offerings accordingly so you can avoid becoming obsolete. 

As you can see, market research empowers businesses to make data-driven decisions, cater to customer needs, outperform competitors, mitigate risks, optimize resources and stay agile in a dynamic marketplace. These benefits make it a huge industry; the global market research services market is expected to grow from $76.37 billion in 2021 to $108.57 billion in 2026 . Now, let’s dig into the different types of market research that can help you achieve these benefits.

Types of market research 

• Qualitative research
• Quantitative research
• Exploratory research
• Descriptive research
• Causal research
• Cross-sectional research
• Longitudinal research

Despite its advantages, 23% of organizations don’t have a clear market research strategy. Part of developing a strategy involves choosing the right type of market research for your business goals. The most commonly used approaches include:

1. Qualitative research

Qualitative research focuses on understanding the underlying motivations, attitudes and perceptions of individuals or groups. It is typically conducted through techniques like in-depth interviews, focus groups and content analysis — methods we’ll discuss further in the sections below. Qualitative research provides rich, nuanced insights that can inform product development, marketing strategies and brand positioning.

2. Quantitative research

Quantitative research, in contrast to qualitative research, involves the collection and analysis of numerical data, often through surveys, experiments and structured questionnaires. This approach allows for statistical analysis and the measurement of trends, making it suitable for large-scale market studies and hypothesis testing. While it’s worthwhile using a mix of qualitative and quantitative research, most businesses prioritize the latter because it is scientific, measurable and easily replicated across different experiments.

3. Exploratory research

Whether you’re conducting qualitative or quantitative research or a mix of both, exploratory research is often the first step. Its primary goal is to help you understand a market or problem so you can gain insights and identify potential issues or opportunities. This type of market research is less structured and is typically conducted through open-ended interviews, focus groups or secondary data analysis. Exploratory research is valuable when entering new markets or exploring new product ideas.

4. Descriptive research

As its name implies, descriptive research seeks to describe a market, population or phenomenon in detail. It involves collecting and summarizing data to answer questions about audience demographics and behaviors, market size, and current trends. Surveys, observational studies and content analysis are common methods used in descriptive research. 

5. Causal research

Causal research aims to establish cause-and-effect relationships between variables. It investigates whether changes in one variable result in changes in another. Experimental designs, A/B testing and regression analysis are common causal research methods. This sheds light on how specific marketing strategies or product changes impact consumer behavior.

6. Cross-sectional research

Cross-sectional market research involves collecting data from a sample of the population at a single point in time. It is used to analyze differences, relationships or trends among various groups within a population. Cross-sectional studies are helpful for market segmentation, identifying target audiences and assessing market trends at a specific moment.

7. Longitudinal research

Longitudinal research, in contrast to cross-sectional research, collects data from the same subjects over an extended period. This allows for the analysis of trends, changes and developments over time. Longitudinal studies are useful for tracking long-term developments in consumer preferences, brand loyalty and market dynamics.

Each type of market research has its strengths and weaknesses, and the method you choose depends on your specific research goals and the depth of understanding you’re aiming to achieve. In the following sections, we’ll delve into primary and secondary research approaches and specific research methods.

Primary vs. secondary market research

Market research of all types can be broadly categorized into two main approaches: primary research and secondary research. By understanding the differences between these approaches, you can better determine the most appropriate research method for your specific goals.

Primary market research 

Primary research involves the collection of original data straight from the source. Typically, this involves communicating directly with your target audience — through surveys, interviews, focus groups and more — to gather information. Here are some key attributes of primary market research:

• Customized data: Primary research provides data that is tailored to your research needs. You design a custom research study and gather information specific to your goals.
• Up-to-date insights: Because primary research involves communicating with customers, the data you collect reflects the most current market conditions and consumer behaviors.
• Time-consuming and resource-intensive: Despite its advantages, primary research can be labor-intensive and costly, especially when dealing with large sample sizes or complex study designs. Whether you hire a market research consultant, agency or use an in-house team, primary research studies consume a large amount of resources and time.

Secondary market research 

Secondary research, on the other hand, involves analyzing data that has already been compiled by third-party sources, such as online research tools, databases, news sites, industry reports and academic studies.

Here are the main characteristics of secondary market research:

• Cost-effective: Secondary research is generally more cost-effective than primary research since it doesn’t require building a research plan from scratch. You and your team can look at databases, websites and publications on an ongoing basis, without needing to design a custom experiment or hire a consultant. 
• Leverages multiple sources: Data tools and software extract data from multiple places across the web, and then consolidate that information within a single platform. This means you’ll get a greater amount of data and a wider scope from secondary research.
• Quick to access: You can access a wide range of information rapidly — often in seconds — if you’re using online research tools and databases. Because of this, you can act on insights sooner, rather than taking the time to develop an experiment. 

So, when should you use primary vs. secondary research? In practice, many market research projects incorporate both primary and secondary research to take advantage of the strengths of each approach.

One rule of thumb is to focus on secondary research to obtain background information, market trends or industry benchmarks. It is especially valuable for conducting preliminary research, competitor analysis, or when time and budget constraints are tight. Then, if you still have knowledge gaps or need to answer specific questions unique to your business model, use primary research to create a custom experiment. 

Market research methods

• Surveys and questionnaires
• Focus groups
• Observational research
• Online research tools
• Experiments
• Content analysis
• Ethnographic research

How do primary and secondary research approaches translate into specific research methods? Let’s take a look at the different ways you can gather data: 

1. Surveys and questionnaires

Surveys and questionnaires are popular methods for collecting structured data from a large number of respondents. They involve a set of predetermined questions that participants answer. Surveys can be conducted through various channels, including online tools, telephone interviews and in-person or online questionnaires. They are useful for gathering quantitative data and assessing customer demographics, opinions, preferences and needs. On average, customer surveys have a 33% response rate , so keep that in mind as you consider your sample size.

2. Interviews

Interviews are in-depth conversations with individuals or groups to gather qualitative insights. They can be structured (with predefined questions) or unstructured (with open-ended discussions). Interviews are valuable for exploring complex topics, uncovering motivations and obtaining detailed feedback. 

3. Focus groups

The most common primary research methods are in-depth webcam interviews and focus groups. Focus groups are a small gathering of participants who discuss a specific topic or product under the guidance of a moderator. These discussions are valuable for primary market research because they reveal insights into consumer attitudes, perceptions and emotions. Focus groups are especially useful for idea generation, concept testing and understanding group dynamics within your target audience.

4. Observational research

Observational research involves observing and recording participant behavior in a natural setting. This method is particularly valuable when studying consumer behavior in physical spaces, such as retail stores or public places. In some types of observational research, participants are aware you’re watching them; in other cases, you discreetly watch consumers without their knowledge, as they use your product. Either way, observational research provides firsthand insights into how people interact with products or environments.

5. Online research tools

You and your team can do your own secondary market research using online tools. These tools include data prospecting platforms and databases, as well as online surveys, social media listening, web analytics and sentiment analysis platforms. They help you gather data from online sources, monitor industry trends, track competitors, understand consumer preferences and keep tabs on online behavior. We’ll talk more about choosing the right market research tools in the sections that follow.

6. Experiments

Market research experiments are controlled tests of variables to determine causal relationships. While experiments are often associated with scientific research, they are also used in market research to assess the impact of specific marketing strategies, product features, or pricing and packaging changes.

7. Content analysis

Content analysis involves the systematic examination of textual, visual or audio content to identify patterns, themes and trends. It’s commonly applied to customer reviews, social media posts and other forms of online content to analyze consumer opinions and sentiments.

8. Ethnographic research

Ethnographic research immerses researchers into the daily lives of consumers to understand their behavior and culture. This method is particularly valuable when studying niche markets or exploring the cultural context of consumer choices.

How to do market research

• Set clear objectives
• Identify your target audience
• Choose your research methods
• Use the right market research tools
• Collect data
• Analyze data 
• Interpret your findings
• Identify opportunities and challenges
• Make informed business decisions
• Monitor and adapt

Now that you have gained insights into the various market research methods at your disposal, let’s delve into the practical aspects of how to conduct market research effectively. Here’s a quick step-by-step overview, from defining objectives to monitoring market shifts.

1. Set clear objectives

When you set clear and specific goals, you’re essentially creating a compass to guide your research questions and methodology. Start by precisely defining what you want to achieve. Are you launching a new product and want to understand its viability in the market? Are you evaluating customer satisfaction with a product redesign? 

Start by creating SMART goals — objectives that are specific, measurable, achievable, relevant and time-bound. Not only will this clarify your research focus from the outset, but it will also help you track progress and benchmark your success throughout the process. 

You should also consult with key stakeholders and team members to ensure alignment on your research objectives before diving into data collecting. This will help you gain diverse perspectives and insights that will shape your research approach.

2. Identify your target audience

Next, you’ll need to pinpoint your target audience to determine who should be included in your research. Begin by creating detailed buyer personas or stakeholder profiles. Consider demographic factors like age, gender, income and location, but also delve into psychographics, such as interests, values and pain points.

The more specific your target audience, the more accurate and actionable your research will be. Additionally, segment your audience if your research objectives involve studying different groups, such as current customers and potential leads.

If you already have existing customers, you can also hold conversations with them to better understand your target market. From there, you can refine your buyer personas and tailor your research methods accordingly.

3. Choose your research methods

Selecting the right research methods is crucial for gathering high-quality data. Start by considering the nature of your research objectives. If you’re exploring consumer preferences, surveys and interviews can provide valuable insights. For in-depth understanding, focus groups or observational research might be suitable. Consider using a mix of quantitative and qualitative methods to gain a well-rounded perspective. 

You’ll also need to consider your budget. Think about what you can realistically achieve using the time and resources available to you. If you have a fairly generous budget, you may want to try a mix of primary and secondary research approaches. If you’re doing market research for a startup , on the other hand, chances are your budget is somewhat limited. If that’s the case, try addressing your goals with secondary research tools before investing time and effort in a primary research study. 

4. Use the right market research tools

Whether you’re conducting primary or secondary research, you’ll need to choose the right tools. These can help you do anything from sending surveys to customers to monitoring trends and analyzing data. Here are some examples of popular market research tools:

• Market research software: Crunchbase is a platform that provides best-in-class company data, making it valuable for market research on growing companies and industries. You can use Crunchbase to access trusted, first-party funding data, revenue data, news and firmographics, enabling you to monitor industry trends and understand customer needs.

• Survey and questionnaire tools: SurveyMonkey is a widely used online survey platform that allows you to create, distribute and analyze surveys. Google Forms is a free tool that lets you create surveys and collect responses through Google Drive.
• Data analysis software: Microsoft Excel and Google Sheets are useful for conducting statistical analyses. SPSS is a powerful statistical analysis software used for data processing, analysis and reporting.
• Social listening tools: Brandwatch is a social listening and analytics platform that helps you monitor social media conversations, track sentiment and analyze trends. Mention is a media monitoring tool that allows you to track mentions of your brand, competitors and keywords across various online sources.
• Data visualization platforms: Tableau is a data visualization tool that helps you create interactive and shareable dashboards and reports. Power BI by Microsoft is a business analytics tool for creating interactive visualizations and reports.

5. Collect data

There’s an infinite amount of data you could be collecting using these tools, so you’ll need to be intentional about going after the data that aligns with your research goals. Implement your chosen research methods, whether it’s distributing surveys, conducting interviews or pulling from secondary research platforms. Pay close attention to data quality and accuracy, and stick to a standardized process to streamline data capture and reduce errors. 

6. Analyze data

Once data is collected, you’ll need to analyze it systematically. Use statistical software or analysis tools to identify patterns, trends and correlations. For qualitative data, employ thematic analysis to extract common themes and insights. Visualize your findings with charts, graphs and tables to make complex data more understandable.

If you’re not proficient in data analysis, consider outsourcing or collaborating with a data analyst who can assist in processing and interpreting your data accurately.

7. Interpret your findings

Interpreting your market research findings involves understanding what the data means in the context of your objectives. Are there significant trends that uncover the answers to your initial research questions? Consider the implications of your findings on your business strategy. It’s essential to move beyond raw data and extract actionable insights that inform decision-making.

Hold a cross-functional meeting or workshop with relevant team members to collectively interpret the findings. Different perspectives can lead to more comprehensive insights and innovative solutions.

8. Identify opportunities and challenges

Use your research findings to identify potential growth opportunities and challenges within your market. What segments of your audience are underserved or overlooked? Are there emerging trends you can capitalize on? Conversely, what obstacles or competitors could hinder your progress?

Lay out this information in a clear and organized way by conducting a SWOT analysis, which stands for strengths, weaknesses, opportunities and threats. Jot down notes for each of these areas to provide a structured overview of gaps and hurdles in the market.

9. Make informed business decisions

Market research is only valuable if it leads to informed decisions for your company. Based on your insights, devise actionable strategies and initiatives that align with your research objectives. Whether it’s refining your product, targeting new customer segments or adjusting pricing, ensure your decisions are rooted in the data.

At this point, it’s also crucial to keep your team aligned and accountable. Create an action plan that outlines specific steps, responsibilities and timelines for implementing the recommendations derived from your research. 

10. Monitor and adapt

Market research isn’t a one-time activity; it’s an ongoing process. Continuously monitor market conditions, customer behaviors and industry trends. Set up mechanisms to collect real-time data and feedback. As you gather new information, be prepared to adapt your strategies and tactics accordingly. Regularly revisiting your research ensures your business remains agile and reflects changing market dynamics and consumer preferences.

Online market research sources

As you go through the steps above, you’ll want to turn to trusted, reputable sources to gather your data. Here’s a list to get you started:

• Crunchbase: As mentioned above, Crunchbase is an online platform with an extensive dataset, allowing you to access in-depth insights on market trends, consumer behavior and competitive analysis. You can also customize your search options to tailor your research to specific industries, geographic regions or customer personas.

• Academic databases: Academic databases, such as ProQuest and JSTOR , are treasure troves of scholarly research papers, studies and academic journals. They offer in-depth analyses of various subjects, including market trends, consumer preferences and industry-specific insights. Researchers can access a wealth of peer-reviewed publications to gain a deeper understanding of their research topics.
• Government and NGO databases: Government agencies, nongovernmental organizations and other institutions frequently maintain databases containing valuable economic, demographic and industry-related data. These sources offer credible statistics and reports on a wide range of topics, making them essential for market researchers. Examples include the U.S. Census Bureau , the Bureau of Labor Statistics and the Pew Research Center .
• Industry reports: Industry reports and market studies are comprehensive documents prepared by research firms, industry associations and consulting companies. They provide in-depth insights into specific markets, including market size, trends, competitive analysis and consumer behavior. You can find this information by looking at relevant industry association databases; examples include the American Marketing Association and the National Retail Federation .
• Social media and online communities: Social media platforms like LinkedIn or Twitter (X) , forums such as Reddit and Quora , and review platforms such as G2 can provide real-time insights into consumer sentiment, opinions and trends. 

Market research examples

At this point, you have market research tools and data sources — but how do you act on the data you gather? Let’s go over some real-world examples that illustrate the practical application of market research across various industries. These examples showcase how market research can lead to smart decision-making and successful business decisions.

Example 1: Apple’s iPhone launch

Apple ’s iconic iPhone launch in 2007 serves as a prime example of market research driving product innovation in tech. Before the iPhone’s release, Apple conducted extensive market research to understand consumer preferences, pain points and unmet needs in the mobile phone industry. This research led to the development of a touchscreen smartphone with a user-friendly interface, addressing consumer demands for a more intuitive and versatile device. The result was a revolutionary product that disrupted the market and redefined the smartphone industry.

Example 2: McDonald’s global expansion

McDonald’s successful global expansion strategy demonstrates the importance of market research when expanding into new territories. Before entering a new market, McDonald’s conducts thorough research to understand local tastes, preferences and cultural nuances. This research informs menu customization, marketing strategies and store design. For instance, in India, McDonald’s offers a menu tailored to local preferences, including vegetarian options. This market-specific approach has enabled McDonald’s to adapt and thrive in diverse global markets.

Example 3: Organic and sustainable farming

The shift toward organic and sustainable farming practices in the food industry is driven by market research that indicates increased consumer demand for healthier and environmentally friendly food options. As a result, food producers and retailers invest in sustainable sourcing and organic product lines — such as with these sustainable seafood startups — to align with this shift in consumer values. 

The bottom line? Market research has multiple use cases and is a critical practice for any industry. Whether it’s launching groundbreaking products, entering new markets or responding to changing consumer preferences, you can use market research to shape successful strategies and outcomes.

Market research templates

You finally have a strong understanding of how to do market research and apply it in the real world. Before we wrap up, here are some market research templates that you can use as a starting point for your projects:

• Smartsheet competitive analysis templates : These spreadsheets can serve as a framework for gathering information about the competitive landscape and obtaining valuable lessons to apply to your business strategy.
• SurveyMonkey product survey template : Customize the questions on this survey based on what you want to learn from your target customers.
• HubSpot templates : HubSpot offers a wide range of free templates you can use for market research, business planning and more.
• SCORE templates : SCORE is a nonprofit organization that provides templates for business plans, market analysis and financial projections.
• SBA.gov : The U.S. Small Business Administration offers templates for every aspect of your business, including market research, and is particularly valuable for new startups. 

Strengthen your business with market research

When conducted effectively, market research is like a guiding star. Equipped with the right tools and techniques, you can uncover valuable insights, stay competitive, foster innovation and navigate the complexities of your industry.

Throughout this guide, we’ve discussed the definition of market research, different research methods, and how to conduct it effectively. We’ve also explored various types of market research and shared practical insights and templates for getting started. 

Now, it’s time to start the research process. Trust in data, listen to the market and make informed decisions that guide your company toward lasting success.

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Your ultimate guide to quantitative research.

12 min read You may be already using quantitative research and want to check your understanding, or you may be starting from the beginning. Here’s an exploration of this research method and how you can best use it for maximum effect for your business.

You may be already using quantitative research and want to check your understanding, or you may be starting from the beginning. Here’s an exploration of this research method and how you can best use it for maximum effect for your business.

What is quantitative research?

Quantitative is the research method of collecting quantitative data – this is data that can be converted into numbers or numerical data, which can be easily quantified, compared, and analyzed.

Quantitative research deals with primary and secondary sources where data is represented in numerical form. This can include closed-question poll results, statistics, and census information or demographic data .

Quantitative data tends to be used when researchers are interested in understanding a particular moment in time and examining data sets over time to find trends and patterns.

To collect numerical data, surveys are often employed as one of the main research methods to source first-hand information in primary research . Quantitative research can also come from third-party research studies .

Quantitative research is widely used in the realms of social sciences, such as biology, chemistry, psychology, economics, sociology, and marketing .

Research teams collect data that is significant to proving or disproving a hypothesis research question – known as the research objective. When they collect quantitative data, researchers will aim to use a sample size that is representative of the total population of the target market they’re interested in.

Then the data collected will be manually or automatically stored and compared for insights.

Free eBook: The ultimate guide to conducting market research

Quantitative vs qualitative research

While the quantitative research definition focuses on numerical data, qualitative research is defined as data that supplies non-numerical information.

Quantitative research focuses on the thoughts, feelings, and values of a participant , to understand why people act in the way they do . They result in data types like quotes, symbols, images, and written testimonials.

These data types tell researchers subjective information, which can help us assign people into categories, such as a participant’s religion, gender , social class, political alignment, likely favored products to buy, or their preferred training learning style.

For this reason, qualitative research is often used in social research, as this gives a window into the behavior and actions of people.

In general, if you’re interested in measuring something or testing a hypothesis, use quantitative methods. If you want to explore ideas, thoughts, and meanings, use qualitative methods.

However, quantitative and qualitative research methods are both recommended when you’re looking to understand a point in time, while also finding out the reason behind the facts.

Quantitative research data collection methods

Quantitative research methods can use structured research instruments like:

• Surveys : A survey is a simple-to-create and easy-to-distribute research method , which helps gather information from large groups of participants quickly. Traditionally, paper-based surveys can now be made online, so costs can stay quite low.

Quantitative questions tend to be closed questions that ask for a numerical result, based on a range of options, or a yes/no answer that can be tallied quickly.

• Face-to-face or phone interviews: Interviews are a great way to connect with participants , though they require time from the research team to set up and conduct.

Researchers may also have issues connecting with participants in different geographical regions . The researcher uses a set of predefined close-ended questions, which ask for yes/no or numerical values.

• Polls: Polls can be a shorter version of surveys , used to get a ‘flavor’ of what the current situation is with participants. Online polls can be shared easily, though polls are best used with simple questions that request a range or a yes/no answer.

Quantitative data is the opposite of qualitative research, another dominant framework for research in the social sciences, explored further below.

Quantitative data types

Quantitative research methods often deliver the following data types:

• Test Scores
• Percent of training course completed
• Performance score out of 100
• Number of support calls active
• Customer Net Promoter Score (NPS)

When gathering numerical data, the emphasis is on how specific the data is, and whether they can provide an indication of what ‘is’ at the time of collection. Pre-existing statistical data can tell us what ‘was’ for the date and time range that it represented

Quantitative research design methods (with examples)

Quantitative research has a number of quantitative research designs you can choose from:

Descriptive

This design type describes the state of a data type is telling researchers, in its native environment. There won’t normally be a clearly defined research question to start with. Instead, data analysis will suggest a conclusion , which can become the hypothesis to investigate further.

Examples of descriptive quantitative design include:

• A description of child’s Christmas gifts they received that year
• A description of what businesses sell the most of during Black Friday
• A description of a product issue being experienced by a customer

Correlational

This design type looks at two or more data types, the relationship between them, and the extent that they differ or align. This does not look at the causal links deeper – instead statistical analysis looks at the variables in a natural environment.

Examples of correlational quantitative design include:

• The relationship between a child’s Christmas gifts and their perceived happiness level
• The relationship between a business’ sales during Black Friday and the total revenue generated over the year
• The relationship between a customer’s product issue and the reputation of the product

Causal-Comparative/Quasi-Experimental

This design type looks at two or more data types and tries to explain any relationship and differences between them, using a cause-effect analysis. The research is carried out in a near-natural environment, where information is gathered from two groups – a naturally occurring group that matches the original natural environment, and one that is not naturally present.

This allows for causal links to be made, though they might not be correct, as other variables may have an impact on results.

Examples of causal-comparative/quasi-experimental quantitative design include:

• The effect of children’s Christmas gifts on happiness
• The effect of Black Friday sales figures on the productivity of company yearly sales
• The effect of product issues on the public perception of a product

Experimental Research

This design type looks to make a controlled environment in which two or more variables are observed to understand the exact cause and effect they have. This becomes a quantitative research study, where data types are manipulated to assess the effect they have. The participants are not naturally occurring groups, as the setting is no longer natural. A quantitative research study can help pinpoint the exact conditions in which variables impact one another.

Examples of experimental quantitative design include:

• The effect of children’s Christmas gifts on a child’s dopamine (happiness) levels
• The effect of Black Friday sales on the success of the company
• The effect of product issues on the perceived reliability of the product

Quantitative research methods need to be carefully considered, as your data collection of a data type can be used to different effects. For example, statistics can be descriptive or correlational (or inferential). Descriptive statistics help us to summarize our data, while inferential statistics help infer conclusions about significant differences.

Advantages of quantitative research

• Easy to do : Doing quantitative research is more straightforward, as the results come in numerical format, which can be more easily interpreted.
• Less interpretation : Due to the factual nature of the results, you will be able to accept or reject your hypothesis based on the numerical data collected.
• Less bias : There are higher levels of control that can be applied to the research, so bias can be reduced , making your data more reliable and precise.

Disadvantages of quantitative research

• Can’t understand reasons: Quantitative research doesn’t always tell you the full story, meaning you won’t understand the context – or the why, of the data you see, why do you see the results you have uncovered?
• Useful for simpler situations: Quantitative research on its own is not great when dealing with complex issues. In these cases, quantitative research may not be enough.

How to use quantitative research to your business’s advantage

Quantitative research methods may help in areas such as:

• Identifying which advert or landing page performs better
• Identifying how satisfied your customers are
• How many customers are likely to recommend you
• Tracking how your brand ranks in awareness and customer purchase intent
• Learn what consumers are likely to buy from your brand.

6 steps to conducting good quantitative research

Businesses can benefit from quantitative research by using it to evaluate the impact of data types. There are several steps to this:

• Define your problem or interest area : What do you observe is happening and is it frequent? Identify the data type/s you’re observing.
• Create a hypothesis : Ask yourself what could be the causes for the situation with those data types.
• Plan your quantitative research : Use structured research instruments like surveys or polls to ask questions that test your hypothesis.
• Data Collection : Collect quantitative data and understand what your data types are telling you. Using data collected on different types over long time periods can give you information on patterns.
• Data analysis : Does your information support your hypothesis? (You may need to redo the research with other variables to see if the results improve)
• Effectively present data : Communicate the results in a clear and concise way to help other people understand the findings.

How Qualtrics products can enhance & simplify the quantitative research process

The Qualtrics XM system gives you an all-in-one, integrated solution to help you all the way through conducting quantitative research. From survey creation and data collection to statistical analysis and data reporting, it can help all your internal teams gain insights from your numerical data.

Quantitative methods are catered to your business through templates or advanced survey designs. While you can manually collect data and conduct data analysis in a spreadsheet program, this solution helps you automate the process of quantitative research, saving you time and administration work.

Using computational techniques helps you to avoid human errors, and participant results come in are already incorporated into the analysis in real-time.

Our key tools, Stats IQ™ and Driver IQ™ make analyzing numerical data easy and simple. Choose to highlight key findings based on variables or highlight statistically insignificant findings. The choice is yours.

Some examples of your workspace in action, using drag and drop to create fast data visualizations quickly:

Related resources

Market intelligence 10 min read, marketing insights 11 min read, ethnographic research 11 min read, qualitative vs quantitative research 13 min read, qualitative research questions 11 min read, qualitative research design 12 min read, primary vs secondary research 14 min read, request demo.

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Market research is a cornerstone of all successful, strategic businesses. It can also be daunting for entrepreneurs looking to launch a startup or start a side hustle . What is market research, anyway? And how do you…do it?

We’ll walk you through absolutely everything you need to know about the market research process so that by the end of this guide, you’ll be an expert in market research too. And what’s more important: you’ll have actionable steps you can take to start collecting your own market research.

What Is Market Research?

Market research is the organized process of gathering information about your target customers and market. Market research can help you better understand customer behavior and competitor strengths and weaknesses, as well as provide insight for the best strategies in launching new businesses and products. There are different ways to approach market research, including primary and secondary research and qualitative and quantitative research. The strongest approaches will include a combination of all four.

“Virtually every business can benefit from conducting some market research,” says Niles Koenigsberg of Real FiG Advertising + Marketing . “Market research can help you piece together your [business’s] strengths and weaknesses, along with your prospective opportunities, so that you can understand where your unique differentiators may lie.” Well-honed market research will help your brand stand out from the competition and help you see what you need to do to lead the market. It can also do so much more.

The Purposes of Market Research

Why do market research? It can help you…

• Pinpoint your target market, create buyer personas, and develop a more holistic understanding of your customer base and market.
• Understand current market conditions to evaluate risks and anticipate how your product or service will perform.
• Validate a concept prior to launch.
• Identify gaps in the market that your competitors have created or overlooked.
• Solve problems that have been left unresolved by the existing product/brand offerings.
• Identify opportunities and solutions for new products or services.
• Develop killer marketing strategies .

What Are the Benefits of Market Research?

Strong market research can help your business in many ways. It can…

• Strengthen your market position.
• Help you identify your strengths and weaknesses.
• Help you identify your competitors’ strengths and weaknesses.
• Minimize risk.
• Center your customers’ experience from the get-go.
• Help you create a dynamic strategy based on market conditions and customer needs/demands.

What Are the Basic Methods of Market Research?

The basic methods of market research include surveys, personal interviews, customer observation, and the review of secondary research. In addition to these basic methods, a forward-thinking market research approach incorporates data from the digital landscape like social media analysis, SEO research, gathering feedback via forums, and more. Throughout this guide, we will cover each of the methods commonly used in market research to give you a comprehensive overview.

Primary vs. Secondary Market Research

Primary and secondary are the two main types of market research you can do. The latter relies on research conducted by others. Primary research, on the other hand, refers to the fact-finding efforts you conduct on your own.

This approach is limited, however. It’s likely that the research objectives of these secondary data points differ from your own, and it can be difficult to confirm the veracity of their findings.

Primary Market Research

Primary research is more labor intensive, but it generally yields data that is exponentially more actionable. It can be conducted through interviews, surveys, online research, and your own data collection. Every new business should engage in primary market research prior to launch. It will help you validate that your idea has traction, and it will give you the information you need to help minimize financial risk.

You can hire an agency to conduct this research on your behalf. This brings the benefit of expertise, as you’ll likely work with a market research analyst. The downside is that hiring an agency can be expensive—too expensive for many burgeoning entrepreneurs. That brings us to the second approach. You can also do the market research yourself, which substantially reduces the financial burden of starting a new business .

Secondary Market Research

Secondary research includes resources like government databases and industry-specific data and publications. It can be beneficial to start your market research with secondary sources because it’s widely available and often free-to-access. This information will help you gain a broad overview of the market conditions for your new business.

Identify Your Goals and Your Audience

Before you begin conducting interviews or sending out surveys, you need to set your market research goals. At the end of your market research process, you want to have a clear idea of who your target market is—including demographic information like age, gender, and where they live—but you also want to start with a rough idea of who your audience might be and what you’re trying to achieve with market research.

You can pinpoint your objectives by asking yourself a series of guiding questions:

• What are you hoping to discover through your research?
• Who are you hoping to serve better because of your findings?
• What do you think your market is?
• Who are your competitors?
• Are you testing the reception of a new product category or do you want to see if your product or service solves the problem left by a current gap in the market?
• Are you just…testing the waters to get a sense of how people would react to a new brand?

Once you’ve narrowed down the “what” of your market research goals, you’re ready to move onto how you can best achieve them. Think of it like algebra. Many math problems start with “solve for x.” Once you know what you’re looking for, you can get to work trying to find it. It’s a heck of a lot easier to solve a problem when you know you’re looking for “x” than if you were to say “I’m gonna throw some numbers out there and see if I find a variable.”

How to Do Market Research

This guide outlines every component of a comprehensive market research effort. Take into consideration the goals you have established for your market research, as they will influence which of these elements you’ll want to include in your market research strategy.

Secondary Data

Secondary data allows you to utilize pre-existing data to garner a sense of market conditions and opportunities. You can rely on published market studies, white papers, and public competitive information to start your market research journey.

Secondary data, while useful, is limited and cannot substitute your own primary data. It’s best used for quantitative data that can provide background to your more specific inquiries.

Find Your Customers Online

Once you’ve identified your target market, you can use online gathering spaces and forums to gain insights and give yourself a competitive advantage. Rebecca McCusker of The Creative Content Shop recommends internet recon as a vital tool for gaining a sense of customer needs and sentiment. “Read their posts and comments on forums, YouTube video comments, Facebook group [comments], and even Amazon/Goodreads book comments to get in their heads and see what people are saying.”

If you’re interested in engaging with your target demographic online, there are some general rules you should follow. First, secure the consent of any group moderators to ensure that you are acting within the group guidelines. Failure to do so could result in your eviction from the group.

Not all comments have the same research value. “Focus on the comments and posts with the most comments and highest engagement,” says McCusker. These high-engagement posts can give you a sense of what is already connecting and gaining traction within the group.

Social media can also be a great avenue for finding interview subjects. “LinkedIn is very useful if your [target customer] has a very specific job or works in a very specific industry or sector. It’s amazing the amount of people that will be willing to help,” explains Miguel González, a marketing executive at Dealers League . “My advice here is BE BRAVE, go to LinkedIn, or even to people you know and ask them, do quick interviews and ask real people that belong to that market and segment and get your buyer persona information first hand.”

Market research interviews can provide direct feedback on your brand, product, or service and give you a better understanding of consumer pain points and interests.

When organizing your market research interviews, you want to pay special attention to the sample group you’re selecting, as it will directly impact the information you receive. According to Tanya Zhang, the co-founder of Nimble Made , you want to first determine whether you want to choose a representative sample—for example, interviewing people who match each of the buyer persona/customer profiles you’ve developed—or a random sample.

“A sampling of your usual persona styles, for example, can validate details that you’ve already established about your product, while a random sampling may [help you] discover a new way people may use your product,” Zhang says.

Market Surveys

Market surveys solicit customer inclinations regarding your potential product or service through a series of open-ended questions. This direct outreach to your target audience can provide information on your customers’ preferences, attitudes, buying potential, and more.

Every expert we asked voiced unanimous support for market surveys as a powerful tool for market research. With the advent of various survey tools with accessible pricing—or free use—it’s never been easier to assemble, disseminate, and gather market surveys. While it should also be noted that surveys shouldn’t replace customer interviews , they can be used to supplement customer interviews to give you feedback from a broader audience.

Who to Include in Market Surveys

• Current customers
• Past customers
• Your existing audience (such as social media/newsletter audiences)

Example Questions to Include in Market Surveys

While the exact questions will vary for each business, here are some common, helpful questions that you may want to consider for your market survey. Demographic Questions: the questions that help you understand, demographically, who your target customers are:

• “What is your age?”
• “Where do you live?”
• “What is your gender identity?”
• “What is your household income?”
• “What is your household size?”
• “What do you do for a living?”
• “What is your highest level of education?”

Product-Based Questions: Whether you’re seeking feedback for an existing brand or an entirely new one, these questions will help you get a sense of how people feel about your business, product, or service:

• “How well does/would our product/service meet your needs?”
• “How does our product/service compare to similar products/services that you use?”
• “How long have you been a customer?” or “What is the likelihood that you would be a customer of our brand?

Personal/Informative Questions: the deeper questions that help you understand how your audience thinks and what they care about.

• “What are your biggest challenges?”
• “What’s most important to you?”
• “What do you do for fun (hobbies, interests, activities)?”
• “Where do you seek new information when researching a new product?”
• “How do you like to make purchases?”
• “What is your preferred method for interacting with a brand?”

Survey Tools

Online survey tools make it easy to distribute surveys and collect responses. The best part is that there are many free tools available. If you’re making your own online survey, you may want to consider SurveyMonkey, Typeform, Google Forms, or Zoho Survey.

Competitive Analysis

A competitive analysis is a breakdown of how your business stacks up against the competition. There are many different ways to conduct this analysis. One of the most popular methods is a SWOT analysis, which stands for “strengths, weaknesses, opportunities, and threats.” This type of analysis is helpful because it gives you a more robust understanding of why a customer might choose a competitor over your business. Seeing how you stack up against the competition can give you the direction you need to carve out your place as a market leader.

Social Media Analysis

Social media has fundamentally changed the market research landscape, making it easier than ever to engage with a wide swath of consumers. Follow your current or potential competitors on social media to see what they’re posting and how their audience is engaging with it. Social media can also give you a lower cost opportunity for testing different messaging and brand positioning.

SEO Analysis and Opportunities

SEO analysis can help you identify the digital competition for getting the word out about your brand, product, or service. You won’t want to overlook this valuable information. Search listening tools offer a novel approach to understanding the market and generating the content strategy that will drive business. Tools like Google Trends and Awario can streamline this process.

Ready to Kick Your Business Into High Gear?

Now that you’ve completed the guide to market research you know you’re ready to put on your researcher hat to give your business the best start. Still not sure how actually… launch the thing? Our free mini-course can run you through the essentials for starting your side hustle .

About Mary Kate Miller

Mary Kate Miller writes about small business, real estate, and finance. In addition to writing for Foundr, her work has been published by The Washington Post, Teen Vogue, Bustle, and more. She lives in Chicago.

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Quantitative research: Understanding the approaches and key elements

Quantitative research has many benefits and challenges but understanding how to properly conduct it can lead to a successful marketing research project.

Choosing the right quantitative approach

Editor’s note: Allison Von Borstel is the associate director of creative analytics at The Sound. This is an edited version of an article that originally appeared under the title “ Understanding Quantitative Research Approaches .”

What is quantitative research?

The systematic approaches that ground quantitative research involve hundreds or thousands of data points for one research project. The wonder of quantitative research is that each data point, or row in a spreadsheet, is a person and has a human story to tell. 

Quantitative research aggregates voices and distills them into numbers that uncover trends, illuminates relationships and correlations that inform decision-making with solid evidence and clarity.

The benefits of quantitative approach es

Why choose a quantitative   approach? Because you want a very clear story grounded in statistical rigor as a guide to making smart, data-backed decisions. 

Quantitative approaches shine because they:

Involve a lot of people

Large sample sizes (think hundreds or thousands) enable researchers to generalize findings because the sample is representative of the total population.  

They are grounded in statistical rigor

Allowing for precise measurement and analysis of data, providing statistically significant results that bolster confidence in research.

Reduce bias

Structured data collection and analysis methods enhance the reliability of findings. 

Boost efficiency

Quantitative methods often follow a qualitative phase, allowing researchers to validate findings by reporting the perspective of hundreds of people in a fraction of the time. 

Widen the analysis’ scope

The copious data collected in just a 20-minute (max) survey positions researchers to evaluate a broad spectrum of variables within the data. This thorough comprehension is instrumental when dealing with complex questions that require in-depth analysis. 

Quantitative approaches have hurdles, which include:

Limited flexibility

Once a survey is fielded, or data is gathered, there’s no opportunity to ask a live follow-up question. While it is possible to follow-up with the same people for two surveys, the likelihood of sufficient responses is small. 

Battling bots

One of the biggest concerns in data quality is making sure data represents people and not bots. 

Missing body language cues

Numbers, words and even images lack the cues that a researcher could pick up on during an interview. Unlike in a qualitative focus group, where one might deduce that a person is uncertain of an answer, in quantitative research, a static response is what the researcher works with.

Understanding quantitative research methods 

Quantitative approaches approach research from the same starting point as qualitative approaches – grounded in business objectives with a specific group of people to study. 

Once research has kicked off, the business objective thoroughly explored and the approach selected, research follows a general outline:  

Consider what data is needed

Think about what type of information needs to be gathered, with an approach in mind. While most quantitative research involves numbers, words and images also count.

• Numbers: Yes, the stereotypical rows of numbers in spreadsheets. Rows that capture people’s opinions and attitudes and are coded to numbers for comparative analytics. Numerical analysis is used for everything from descriptive statistics to regression/predictive analysis. 
• Words:  Text analysis employs a machine learning model to identify sentiment, emotion and meaning of text. Often used for sentiment analysis or content classification, it can be applied to single-word responses, elaborate open-ends, reviews or even social media posts.
• Images: Image analysis extracts meaningful information from images. A computer vision model that takes images as inputs and outputs numerical information (e.g., having a sample upload their favorite bag of chips and yielding the top three brands).

Design a survey

Create a survey to capture the data needed to address the objective. During this process, different pathways could be written to get a dynamic data set (capturing opinions that derive from various lived experiences). Survey logic is also written to provide a smooth UX experience for respondents.    

Prepare the data

The quality of quantitative research rests heavily on the quality of data. After data is collected (typically by fielding a survey or collecting already-existing data, more on that in a bit), it’s time to clean the data. 

Begin the analysis process

Now that you have a robust database (including numbers, words or images), it’s time to listen to the story that the data tells. Depending on the research approach used, advanced analytics come into play to tease out insights and nuances for the business objective. 

Tell the story

Strip the quantitative jargon and convey the insights from the research. Just because it’s quantitative research does not mean the results have to be told in a monotone drone with a monochrome chart. Answer business objectives dynamically, knowing that research is grounded in statistically sound information. 

The two options: Primary vs. secondary research

The two methods that encompass quantitative approaches are primary (collecting data oneself) and secondary (relying on already existing data).

Primary  research  is primarily used  

Most research involves primary data collection – where the researcher collects data directly. The main approach in primary research is survey data collection.  

The types of survey questions

Span various measurement scales (nominal, ordinal, interval and ratio) using a mix of question types (single and multi-choice, scales, matrix or open-ends).  

Analysis methods

Custom surveys yield great data for a variety of methods in market analysis. Here are a couple favorites: 

• Crosstabulation : Used to uncover insights that might not be obvious at first glance. This analysis organizes data into categories, revealing trends or patterns between variables. 
• Sentiment analysis: Used to sift through text to gauge emotions, opinions and attitudes. This method helps understand perception, fine-tune strategies and effectively respond to feedback.
• Market sizing: Used to map out the dimensions of a market. By calculating the total potential demand for a product or service in a specific market, this method reveals the scope of opportunities needed to make informed decisions about investment and growth strategies. 
• Conjoint analysis : Used to uncover what people value most in products or services. It breaks down features into bits and pieces and asks people to choose their ideal combo. By analyzing these preferences, this analysis reveals the hidden recipe for customer satisfaction.
• Job-To-Be-Done : Used to understand the underlying human motivations that drive people to act. People are multifaceted and experience a myriad of situations each day – meaning that a brand’s competition isn’t limited to in-category. 
• Segmentation: Used to identify specific cohorts within a greater population. It groups people with similar characteristics, behaviors or needs together. This method helps tailor products or services to specific groups, boosting satisfaction and sales.

Statistical rigor

Regardless of method, a quantitative approach then enables researchers to draw inferences and make predictions based upon the confidence in the data (looking at confidence intervals, margin of error, etc.)

Let’s not forget secondary research

By accessing a wide range of existing information, this research can be a cost-effective way to gain insights or can supplement primary research findings. 

Here are popular options: 

Government sources

Government sources can be extremely in-depth, can range across multiple industries and markets and reflect millions of people. This type of data is often instrumental for longitudinal or cultural trends analysis. 

Educational institutions

Research universities conduct in-depth studies on a variety of topics, often aggregating government data, nonprofit data and primary data.  

Client data

This includes any research that was conducted for or by companies before the   present research project. Whether it’s data gathered from customer reviews or prior quantitative work, these secondary resources can help extend findings and detect trends by connecting past data to future data.

Quantitative research enhances research projects

Quantitative research approaches are so much more than “how much” or “how many,” they reveal the   why   behind people’s actions, emotions and behaviors. By using standardized collection methods, like surveys, quant instills confidence and rigor in findings.

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How to do market research: The complete guide for your brand

Written by by Jacqueline Zote

Published on  April 13, 2023

Reading time  10 minutes

Blindly putting out content or products and hoping for the best is a thing of the past. Not only is it a waste of time and energy, but you’re wasting valuable marketing dollars in the process. Now you have a wealth of tools and data at your disposal, allowing you to develop data-driven marketing strategies . That’s where market research comes in, allowing you to uncover valuable insights to inform your business decisions.

Conducting market research not only helps you better understand how to sell to customers but also stand out from your competition. In this guide, we break down everything you need to know about market research and how doing your homework can help you grow your business.

Table of contents:

What is market research?

Why is market research important, types of market research, where to conduct market research.

• Steps for conducting market research
• Tools to use for market research

Market research is the process of gathering information surrounding your business opportunities. It identifies key information to better understand your audience. This includes insights related to customer personas and even trends shaping your industry.

Taking time out of your schedule to conduct research is crucial for your brand health. Here are some of the key benefits of market research:

Understand your customers’ motivations and pain points

Most marketers are out of touch with what their customers want. Moreover, these marketers are missing key information on what products their audience wants to buy.

Simply put, you can’t run a business if you don’t know what motivates your customers.

And spoiler alert: Your customers’ wants and needs change. Your customers’ behaviors today might be night and day from what they were a few years ago.

Market research holds the key to understanding your customers better. It helps you uncover their key pain points and motivations and understand how they shape their interests and behavior.

Figure out how to position your brand

Positioning is becoming increasingly important as more and more brands enter the marketplace. Market research enables you to spot opportunities to define yourself against your competitors.

Maybe you’re able to emphasize a lower price point. Perhaps your product has a feature that’s one of a kind. Finding those opportunities goes hand in hand with researching your market.

Maintain a strong pulse on your industry at large

Today’s marketing world evolves at a rate that’s difficult to keep up with.

Fresh products. Up-and-coming brands. New marketing tools. Consumers get bombarded with sales messages from all angles. This can be confusing and overwhelming.

By monitoring market trends, you can figure out the best tactics for reaching your target audience.

Not everyone conducts market research for the same reason. While some may want to understand their audience better, others may want to see how their competitors are doing. As such, there are different types of market research you can conduct depending on your goal.

Interview-based market research allows for one-on-one interactions. This helps the conversation to flow naturally, making it easier to add context. Whether this takes place in person or virtually, it enables you to gather more in-depth qualitative data.

Buyer persona research

Buyer persona research lets you take a closer look at the people who make up your target audience. You can discover the needs, challenges and pain points of each buyer persona to understand what they need from your business. This will then allow you to craft products or campaigns to resonate better with each persona.

Pricing research

In this type of research, brands compare similar products or services with a particular focus on pricing. They look at how much those products or services typically sell for so they can get more competitive with their pricing strategy.

Competitive analysis research

Competitor analysis gives you a realistic understanding of where you stand in the market and how your competitors are doing. You can use this analysis to find out what’s working in your industry and which competitors to watch out for. It even gives you an idea of how well those competitors are meeting consumer needs.

Depending on the competitor analysis tool you use, you can get as granular as you need with your research. For instance, Sprout Social lets you analyze your competitors’ social strategies. You can see what types of content they’re posting and even benchmark your growth against theirs.

Brand awareness research

Conducting brand awareness research allows you to assess your brand’s standing in the market. It tells you how well-known your brand is among your target audience and what they associate with it. This can help you gauge people’s sentiments toward your brand and whether you need to rebrand or reposition.

If you don’t know where to start with your research, you’re in the right place.

There’s no shortage of market research methods out there. In this section, we’ve highlighted research channels for small and big businesses alike.

Considering that Google sees a staggering 8.5 billion searches each day, there’s perhaps no better place to start.

A quick Google search is a potential goldmine for all sorts of questions to kick off your market research. Who’s ranking for keywords related to your industry? Which products and pieces of content are the hottest right now? Who’s running ads related to your business?

For example, Google Product Listing Ads can help highlight all of the above for B2C brands.

The same applies to B2B brands looking to keep tabs on who’s running industry-related ads and ranking for keyword terms too.

There’s no denying that email represents both an aggressive and effective marketing channel for marketers today. Case in point, 44% of online shoppers consider email as the most influential channel in their buying decisions.

Looking through industry and competitor emails is a brilliant way to learn more about your market. For example, what types of offers and deals are your competitors running? How often are they sending emails?

Email is also invaluable for gathering information directly from your customers. This survey message from Asana is a great example of how to pick your customers’ brains to figure out how you can improve your quality of service.

Industry journals, reports and blogs

Don’t neglect the importance of big-picture market research when it comes to tactics and marketing channels to explore. Look to marketing resources such as reports and blogs as well as industry journals

Keeping your ear to the ground on new trends and technologies is a smart move for any business. Sites such as Statista, Marketing Charts, AdWeek and Emarketer are treasure troves of up-to-date data and news for marketers.

And of course, there’s the  Sprout Insights blog . And invaluable resources like The Sprout Social Index™  can keep you updated on the latest social trends.

Social media

If you want to learn more about your target market, look no further than social media. Social offers a place to discover what your customers want to see in future products or which brands are killin’ it. In fact, social media is become more important for businesses than ever with the level of data available.

It represents a massive repository of real-time data and insights that are instantly accessible. Brand monitoring and social listening are effective ways to conduct social media research . You can even be more direct with your approach. Ask questions directly or even poll your audience to understand their needs and preferences.

The 5 steps for how to do market research

Now that we’ve covered the why and where, it’s time to get into the practical aspects of market research. Here are five essential steps on how to do market research effectively.

Step 1: Identify your research topic

First off, what are you researching about? What do you want to find out? Narrow down on a specific research topic so you can start with a clear idea of what to look for.

For example, you may want to learn more about how well your product features are satisfying the needs of existing users. This might potentially lead to feature updates and improvements. Or it might even result in new feature introductions.

Similarly, your research topic may be related to your product or service launch or customer experience. Or you may want to conduct research for an upcoming marketing campaign.

Step 2: Choose a buyer persona to engage

If you’re planning to focus your research on a specific type of audience, decide which buyer persona you want to engage. This persona group will serve as a representative sample of your target audience.

Engaging a specific group of audience lets you streamline your research efforts. As such, it can be a much more effective and organized approach than researching thousands (if not millions) of individuals.

You may be directing your research toward existing users of your product. To get even more granular, you may want to focus on users who have been familiar with the product for at least a year, for example.

Step 3: Start collecting data

The next step is one of the most critical as it involves collecting the data you need for your research. Before you begin, make sure you’ve chosen the right research methods that will uncover the type of data you need. This largely depends on your research topic and goals.

Remember that you don’t necessarily have to stick to one research method. You may use a combination of qualitative and quantitative approaches. So for example, you could use interviews to supplement the data from your surveys. Or you may stick to insights from your social listening efforts.

To keep things consistent, let’s look at this in the context of the example from earlier. Perhaps you can send out a survey to your existing users asking them a bunch of questions. This might include questions like which features they use the most and how often they use them. You can get them to choose an answer from one to five and collect quantitative data.

Plus, for qualitative insights, you could even include a few open-ended questions with the option to write their answers. For instance, you might ask them if there’s any improvement they wish to see in your product.

Step 4: Analyze results

Once you have all the data you need, it’s time to analyze it keeping your research topic in mind. This involves trying to interpret the data to look for a wider meaning, particularly in relation to your research goal.

So let’s say a large percentage of responses were four or five in the satisfaction rating. This means your existing users are mostly satisfied with your current product features. On the other hand, if the responses were mostly ones and twos, you may look for opportunities to improve. The responses to your open-ended questions can give you further context as to why people are disappointed.

Step 5: Make decisions for your business

Now it’s time to take your findings and turn them into actionable insights for your business. In this final step, you need to decide how you want to move forward with your new market insight.

What did you find in your research that would require action? How can you put those findings to good use?

The market research tools you should be using

To wrap things up, let’s talk about the various tools available to conduct speedy, in-depth market research. These tools are essential for conducting market research faster and more efficiently.

Social listening and analytics

Social analytics tools like Sprout can help you keep track of engagement across social media. This goes beyond your own engagement data but also includes that of your competitors. Considering how quickly social media moves, using a third-party analytics tool is ideal. It allows you to make sense of your social data at a glance and ensure that you’re never missing out on important trends.

Email marketing research tools

Keeping track of brand emails is a good idea for any brand looking to stand out in its audience’s inbox.

Tools such as MailCharts ,  Really Good Emails  and  Milled  can show you how different brands run their email campaigns.

Meanwhile, tools like  Owletter  allow you to monitor metrics such as frequency and send-timing. These metrics can help you understand email marketing strategies among competing brands.

Content marketing research

If you’re looking to conduct research on content marketing, tools such as  BuzzSumo  can be of great help. This tool shows you the top-performing industry content based on keywords. Here you can see relevant industry sites and influencers as well as which brands in your industry are scoring the most buzz. It shows you exactly which pieces of content are ranking well in terms of engagements and shares and on which social networks.

SEO and keyword tracking

Monitoring industry keywords is a great way to uncover competitors. It can also help you discover opportunities to advertise your products via organic search. Tools such as  Ahrefs  provide a comprehensive keyword report to help you see how your search efforts stack up against the competition.

Competitor comparison template

For the sake of organizing your market research, consider creating a competitive matrix. The idea is to highlight how you stack up side-by-side against others in your market. Use a  social media competitive analysis template  to track your competitors’ social presence. That way, you can easily compare tactics, messaging and performance. Once you understand your strengths and weaknesses next to your competitors, you’ll find opportunities as well.

Customer persona creator

Finally, customer personas represent a place where all of your market research comes together. You’d need to create a profile of your ideal customer that you can easily refer to. Tools like  Xtensio  can help in outlining your customer motivations and demographics as you zero in on your target market.

Build a solid market research strategy

Having a deeper understanding of the market gives you leverage in a sea of competitors. Use the steps and market research tools we shared above to build an effective market research strategy.

But keep in mind that the accuracy of your research findings depends on the quality of data collected. Turn to Sprout’s social media analytics tools to uncover heaps of high-quality data across social networks.

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What Is Market Research?

• How It Works
• Primary vs. Secondary
• How to Conduct Research

The Bottom Line

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Joules Garcia / Investopedia

Market research examines consumer behavior and trends in the economy to help a business develop and fine-tune its business idea and strategy. It helps a business understand its target market by gathering and analyzing data.

Market research is the process of evaluating the viability of a new service or product through research conducted directly with potential customers. It allows a company to define its target market and get opinions and other feedback from consumers about their interest in a product or service.

Research may be conducted in-house or by a third party that specializes in market research. It can be done through surveys and focus groups, among other ways. Test subjects are usually compensated with product samples or a small stipend for their time.

Key Takeaways

• Companies conduct market research before introducing new products to determine their appeal to potential customers.
• Tools include focus groups, telephone interviews, and questionnaires.
• The results of market research inform the final design of the product and determine how it will be positioned in the marketplace.
• Market research usually combines primary information, gathered directly from consumers, and secondary information, which is data available from external sources.

Market Research

How market research works.

Market research is used to determine the viability of a new product or service. The results may be used to revise the product design and fine-tune the strategy for introducing it to the public. This can include information gathered for the purpose of determining market segmentation . It also informs product differentiation , which is used to tailor advertising.

A business engages in various tasks to complete the market research process. It gathers information based on the market sector being targeted by the product. This information is then analyzed and relevant data points are interpreted to draw conclusions about how the product may be optimally designed and marketed to the market segment for which it is intended.

It is a critical component in the research and development (R&D) phase of a new product or service introduction. Market research can be conducted in many different ways, including surveys, product testing, interviews, and focus groups.

Market research is a critical tool that companies use to understand what consumers want, develop products that those consumers will use, and maintain a competitive advantage over other companies in their industry.

Primary Market Research vs. Secondary Market Research

Market research usually consists of a combination of:

• Primary research, gathered by the company or by an outside company that it hires
• Secondary research, which draws on external sources of data

Primary Market Research

Primary research generally falls into two categories: exploratory and specific research.

• Exploratory research is less structured and functions via open-ended questions. The questions may be posed in a focus group setting, telephone interviews, or questionnaires. It results in questions or issues that the company needs to address about a product that it has under development.
• Specific research delves more deeply into the problems or issues identified in exploratory research.

Secondary Market Research

All market research is informed by the findings of other researchers about the needs and wants of consumers. Today, much of this research can be found online.

Secondary research can include population information from government census data , trade association research reports , polling results, and research from other businesses operating in the same market sector.

History of Market Research

Formal market research began in Germany during the 1920s. In the United States, it soon took off with the advent of the Golden Age of Radio.

Companies that created advertisements for this new entertainment medium began to look at the demographics of the audiences who listened to each of the radio plays, music programs, and comedy skits that were presented.

They had once tried to reach the widest possible audience by placing their messages on billboards or in the most popular magazines. With radio programming, they had the chance to target rural or urban consumers, teenagers or families, and judge the results by the sales numbers that followed.

Types of Market Research

Face-to-face interviews.

From their earliest days, market research companies would interview people on the street about the newspapers and magazines that they read regularly and ask whether they recalled any of the ads or brands that were published in them. Data collected from these interviews were compared to the circulation of the publication to determine the effectiveness of those ads.

Market research and surveys were adapted from these early techniques.

To get a strong understanding of your market, it’s essential to understand demand, market size, economic indicators, location, market saturation, and pricing.

Focus Groups

A focus group is a small number of representative consumers chosen to try a product or watch an advertisement.

Afterward, the group is asked for feedback on their perceptions of the product, the company’s brand, or competing products. The company then takes that information and makes decisions about what to do with the product or service, whether that's releasing it, making changes, or abandoning it altogether.

Phone Research

The man-on-the-street interview technique soon gave way to the telephone interview. A telephone interviewer could collect information in a more efficient and cost-effective fashion.

Telephone research was a preferred tactic of market researchers for many years. It has become much more difficult in recent years as landline phone service dwindles and is replaced by less accessible mobile phones.

Survey Research

As an alternative to focus groups, surveys represent a cost-effective way to determine consumer attitudes without having to interview anyone in person. Consumers are sent surveys in the mail, usually with a coupon or voucher to incentivize participation. These surveys help determine how consumers feel about the product, brand, and price point.

Online Market Research

With people spending more time online, market research activities have shifted online as well. Data collection still uses a survey-style form. But instead of companies actively seeking participants by finding them on the street or cold calling them on the phone, people can choose to sign up, take surveys, and offer opinions when they have time.

This makes the process far less intrusive and less rushed, since people can participate on their own time and of their own volition.

How to Conduct Market Research

The first step to effective market research is to determine the goals of the study. Each study should seek to answer a clear, well-defined problem. For example, a company might seek to identify consumer preferences, brand recognition, or the comparative effectiveness of different types of ad campaigns.

After that, the next step is to determine who will be included in the research. Market research is an expensive process, and a company cannot waste resources collecting unnecessary data. The firm should decide in advance which types of consumers will be included in the research, and how the data will be collected. They should also account for the probability of statistical errors or sampling bias .

The next step is to collect the data and analyze the results. If the two previous steps have been completed accurately, this should be straightforward. The researchers will collect the results of their study, keeping track of the ages, gender, and other relevant data of each respondent. This is then analyzed in a marketing report that explains the results of their research.

The last step is for company executives to use their market research to make business decisions. Depending on the results of their research, they may choose to target a different group of consumers, or they may change their price point or some product features.

The results of these changes may eventually be measured in further market research, and the process will begin all over again.

Benefits of Market Research

Market research is essential for developing brand loyalty and customer satisfaction. Since it is unlikely for a product to appeal equally to every consumer, a strong market research program can help identify the key demographics and market segments that are most likely to use a given product.

Market research is also important for developing a company’s advertising efforts. For example, if a company’s market research determines that its consumers are more likely to use Facebook than X (formerly Twitter), it can then target its advertisements to one platform instead of another. Or, if they determine that their target market is value-sensitive rather than price-sensitive, they can work on improving the product rather than reducing their prices.

Market research only works when subjects are honest and open to participating.

Example of Market Research

Many companies use market research to test new products or get information from consumers about what kinds of products or services they need and don’t currently have.

For example, a company that’s considering starting a business might conduct market research to test the viability of its product or service. If the market research confirms consumer interest, the business can proceed confidently with its business plan . If not, the company can use the results of the market research to make adjustments to the product to bring it in line with customer desires.

What Are the Main Types of Market Research?

The main types of market research are primary research and secondary research. Primary research includes focus groups, polls, and surveys. Secondary research includes academic articles, infographics, and white papers.

Qualitative research gives insights into how customers feel and think. Quantitative research uses data and statistics such as website views, social media engagement, and subscriber numbers.

What Is Online Market Research?

Online market research uses the same strategies and techniques as traditional primary and secondary market research, but it is conducted on the Internet. Potential customers may be asked to participate in a survey or give feedback on a product. The responses may help the researchers create a profile of the likely customer for a new product.

What Are Paid Market Research Surveys?

Paid market research involves rewarding individuals who agree to participate in a study. They may be offered a small payment for their time or a discount coupon in return for filling out a questionnaire or participating in a focus group.

What Is a Market Study?

A market study is an analysis of consumer demand for a product or service. It looks at all of the factors that influence demand for a product or service. These include the product’s price, location, competition, and substitutes as well as general economic factors that could influence the new product’s adoption, for better or worse.

Market research is a key component of a company’s research and development (R&D) stage. It helps companies understand in advance the viability of a new product that they have in development and to see how it might perform in the real world.

Britannica Money. “ Market Research .”

U.S. Small Business Administration. “ Market Research and Competitive Analysis .”

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Data is one of the most valuable assets in the digital era. Access to the latest information and analyzing them accurately can help a company stay ahead of the curve. So it is absolutely necessary for a company to conduct market research.

Sure, gut feeling is a thing, but when you’re investing a lot of money on a project, it pays to have an informed understanding of the matter beforehand. With a team designated for market research, you will know how much ROI a strategy can yield and whether it’s worth it.

This market research could be of varied sorts, depending on the purposes. If you want to get to the root of the problem, then you should conduct quantitative market research. But if you’re going to understand the reasons behind a problem, you better get qualitative market research done.

Quantitative market research 

As the name implies, quantitative research deals with data that can be represented using numbers. Here, various data are collected in a well-organized way from different sources like surveys, polls, etc. and are later analyzed.

This process includes mathematical, statistical, and computational methods to obtain data. Quantitative research yields a very rigid result and helps companies to look at their assets and liabilities objectively as well as their targets and practical roadmaps to how to achieve them.

Quantitative market research is usually conducted to explore the scopes of a business and to have precise projections on the matter. They help to identify the different problems within a structure and pin down the causes behind them.

Qualitative market research

The results of qualitative market research may vary based on one marketer to the next. This variance occurs due to different skill levels, or even because a particular marketer values a quality differently than another.

Qualitative market research deals with behavioural, or observational data. As a result, these are evaluated subjectively.

Qualitative market research can help a company get an overview of a problem or simply understand what its users want and act upon that actualization.

Which is better? Qualitative or quantitative market research?

In nature, qualitative market research is more exploratory and, generally, conducted on small sample sizes. Here, a detailed analysis is done on unstructured data, and the results are later presented in themes.

On the other hand, quantitative market research is more definitive. It is conducted on a larger sample size. Structured data are aggregated and averaged to get to a result, which is later presented in numbers. Charts and graphs are used a lot in this process as well.

Both methods have their own merits. While quantitative research helps us identify a problem efficiently, qualitative research helps us understand the issue. At the end of the day, both are needed to run a company smoothly.

However, today we’ll be discussing quantitative market research in-depth and some of the best practices for this.

Importance of market research

Whether you are looking for a way to enhance team performance or a good understanding of your customers – you will need to conduct market research to get results. If you can execute research well, you will have better and confident chances of efficiently selling a product or service to a market. Moreover, you will know the exact points you need to work with your team to improve company performance.

Furthermore, if you implement the methods well, you can learn from the most surprising sources – your competitors. Yes, a nicely carried out market research will layout in front of you the strategies of your competitors, tactics that helped them succeed, how to go past them using their own strategies and learning from their mistakes. You can learn from them and implement them as well. 

There are several ways well-executed market research can help you. Some of them are given below.

• Developed business strategies
• Increase in profit
• Improved team performance
• Investigating competitors
• Reduced loss
• Better customer management

How is quantitative research used in market research?

As we’ve mentioned before, quantitative research is mainly used to attain concrete facts that influence decision making. They are executed to measure their market or how much the customers want or need a particular product or service.

Quantitative research is implemented through surveys, polls, questionnaires, quizzes, etc. They often ask direct questions like, “Have you heard about our product ‘X’?” Or “Did you find the feature ‘Z’ helpful?”. Questions like these give companies ideas as to what their customers want, and how much they are willing. 

However, there’s a catch. The research must be done on a large pool of customers or to-be users. Or else, any result obtained from a constricted pool of volunteers may be subject to misinformation. With a big pool of respondents, one can ensure the quality of the information collected.

Moreover, an excellent team of expert analysts is needed to analyze and present this information. A lot of companies often lack analysts, and so they do the whole research themselves. Although this seems compelling at first glance, it causes the company harm in the long run. Because analysts know what to ask and who to ask, they can design the research questionnaire effectively and produce concrete results out of them.

Data types in quantitative market research

Quantitative market research is a very structured way of data collection. So here, an analyst coordinates a set of questions that serves the purpose of gaining exact answers. These data can be divided into two major groups.

Discrete data consists of finite numbers. So if you are asking “how many”, you will get discrete data after the research. Examples of discrete data include how many websites may an average user be hosting, or how many workdays an average person working in IT has.

Continuous data include fractions and decimals. So if you are asking “how much”, you may get continuous data after the research ceases. Examples of continuous data include how much time does an average user surf the internet, or how far their workplace is from their home.

Data collection in quantitative market research

There’s a number of ways that data can be collected for market research. Some of the most standard methods are mentioned below.

• Face-to-face interviews
• Telephone interviews
• Survey via email
• Online/web survey

Face-to-face interviews are conducted with an interviewer asking respondents a set of questions. These respondents can be volunteers, guided to enter a facility, and take part in the research. Or frequently, easygoing interviewers go to public places and ask random people questions. Both of these methods have their credibility and are conducted accordingly.

Telephone interviews are more precise. You have to have the telephone numbers of the respondents, which means it is conducted on distinguished respondents. It can be done among members of a company, or users of a product.

Again, respondents are often sent a questionnaire via email. It is very feasible for the surveyor but has lower completion rates. This is why these surveys need other things to make it work. The questionnaire needs to come with an introductory cover letter, explaining to the audience why they are conducting a survey. Moreover, the respondents require incentives to go forward with the questionnaire.

A predominant form of market research is done through online forms. A company can embed a survey form on a specific page of their website and redirect their users to it after a process. Like, say you have a shoe company. You can have users redirected to a designated survey form every time they complete a purchase. This will help you know where your users stand and what you can make better.

We have a detailed article on how to create a customer satisfaction survey . You can give it a read.

Best practices for quantitative market research

When it comes to quantitative market research, there are some golden rules that one ought to follow. By following these rules, a researcher can conduct impactful market research that will yield good results for the company. Some of them are discussed below.

When you are designing a questionnaire, it is very easy to get carried away. There are so many questions that you can ask your customers, but you have to bear in mind that not all of them are necessary. Moreover, you cannot cloud your judgment and design the form according to your will. You have to understand your purpose and develop the form in a way that appeals to the people.

Say you are a local florist who is looking for ways to scale up. Then all you have to do is ask your regular customers what kind of improvements they are looking for. Not all surveys require thousands of people. Hence, sit and decide what is the appropriate sample size for you first. And then start designing the survey.

Be specific

When you have decided your sample size, start designing the questionnaire. Note down the answers you need from these people. Now naturally word the questions. Avoid confusion and be very specific. If you are using online forms, make sure your WordPress form builder plugin provides appropriate input fields like the Fluent Forms plugin. If people don’t understand what you are asking for, you won’t get answers that you’re looking for. Simple!

Give an easy start

When you are conducting market research, you want people to cooperate with you. One simple way of guaranteeing that is by giving them a smooth start. Keep the easy questions at the beginning. This way, respondents will have confidence and go through with the survey. Keep the complex issues at the end. 

Limit page breaks

Check how many page breaks you include in your questionnaire. If it’s too many, your respondents will feel bored. So be sure to include page breaks only where it’s needed. And if you can fit all your questions in a single page, then kudos to you!

Include randomness

You can reduce bias by randomizing your options. People focus more on the options that are presented at first. So if you are conducting market research to understand the value of your product, you better put your brand somewhere in the middle or towards the end. If you place your brand at the top, you cannot be sure whether people actually like it or if the positioning influenced them.

Know your boundaries

Yes, data is our friend. The more information we have on our customers, the better the products or services we can deliver to them. But you can’t go on asking about sensitive information. Even if your questionnaire includes one question out of its place, there’s a risk of respondents skipping the survey. So, know your limits before setting the questions.

Stay appropriate

You can use slang in your surveys, and this will help you connect with some of the respondents. But for a significant portion of the audience, you will remain incomprehensible. This will reduce the quality of the collected data. A practical way of ensuring relevant data collection is by skipping slang, acronyms, sector-specific terms, etc. Use appropriate words that are easy for everyone to understand.

Keep a little something for everyone

Say you run a yoga studio, and you want to research to know when people generally do yoga. So you ask in your questionnaire and include options like ‘in the morning’, ‘at night’, and ‘in the evening’. Your survey doesn’t leave any prospect for a person who doesn’t do yoga at all. Here you can add an option like ‘none of the above’ to make them feel included. Do so with all your questions, so everyone feels like they have a choice.

This may not be feasible for all. But if you have enough time and resources to do a test run of the survey beforehand, do it. As a marketer, you can let your tech buddies or designers have a go first. This way, you can know if there is a flaw before introducing it to the sample public. This will save you from wasting resources if there, indeed, is a flaw.

How can Fluent Forms help

As you can imagine, market research is a bit of a tricky feat with plenty of things to keep in mind. But you can simplify these tasks using easy, user-friendly tools like Fluent Forms. Fluent Forms is a WordPress form builder plugin that is rich in functional features.

There are plenty of features included in Fluent Forms that can make market research hassle-free for you.

Likert scale

Likert scales are very predominant in almost all kinds of surveys. So, when it comes to market research, it is no different. Likert scale, sometimes also known as rating scale, uses a scale of five points where responders define their level of agreement or disagreement.

You can easily deploy Likert scales to your webform using the ratings input field of the Fluent Forms.

Range slider field

Another useful way of assessing the public response is by using sliders. Here, researchers ask a question and responders provide their answer by sliding the bar.

There’s a straightforward range slider field that you can easily use for your market research.

Net promoter score

When it comes to market research, people often want to know if the users are willing to share the brand with their family and peers. This is where the Net Promoter Score comes in. There’s typically a scale of 10 points and users are asked how likely they are to spread the brand’s name.

Fluent Forms sports an efficient net promoter score input field. You can customize it to ask any question that you would like on a scale of 10.

Survey feedback form

If you are familiar with the form builder plugin, you will know that the WordPress plugin features 75+ prebuilt form templates. If you don’t want to build useful forms from scratch, they come in very handy.

One such prebuilt form template is the survey feedback form. It’s built to take survey feedback. Moreover, you can customize it and create a customer satisfaction survey you can be proud of .

Input fields

As we mentioned before, you are going to need a lot of proficient input fields for an effective market research form. The fields need to be simple and demand concise answers.

Fluent Forms is rich in 30+ input fields. Input fields like the radio field, checkbox, multiple-choice, etc. can help you get concise answers.

The market research form needs to be very simple. If it is intimidating, it will scare away responders. Consequently, market research becomes more difficult. To solve this issue, the form can be broken into useful segments. Fluent Forms has a form step input field that breaks down a form and makes them easier to comprehend. You can use this to ensure a better response.

Fluent Forms Pro

Try Fluent Forms today and see for yourself!

Final thoughts

It is essential to know about the market before you dive into a venture. Well-planned market research will allow you a peek into your market, your competitors, and, most importantly, how your customers are taking your product.

Also, you must remember why you are conducting the research. Is it to find out the faults in your work strategy, is it to find out how your customers are reacting, or to know how to improve your team performance? In all cases, you are to find out about people, how they feel. They can be your customers or your team. Hence, survey questions need to be carefully picked so everyone can voice their opinions freely, and you get useful data.

The data collected is then analyzed. More often than not, statistical approaches are overtaken. These help to understand the trends in the data. You can repeat your surveys after a specific interval to keep updated with the running trends. We have noted down a few things to keep in mind about quantitative market research.

• Design in a structured way
• Take a large sample population
• Make sure the sample population is relevant to your research
• Design an easy questionnaire
• Illustrate the results in forms and charts
• Make informed decisions based on the results.

We hope this article was of great help to you. Tell us in the comments below. Follow us on Twitter and Youtube for more news and updates regarding our WordPress plugins. Also, feel free to join our Fluent Forms Facebook community for more such discussions.

Mahiyath is a digital marketer at WPManageNinja. She likes to explore through the alleys of WordPress and learn about the themes and plugins. When she's not doing that, she's planning her next adventure.

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Home » Quantitative Research – Methods, Types and Analysis

Quantitative Research – Methods, Types and Analysis

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Quantitative Research

Quantitative research is a type of research that collects and analyzes numerical data to test hypotheses and answer research questions . This research typically involves a large sample size and uses statistical analysis to make inferences about a population based on the data collected. It often involves the use of surveys, experiments, or other structured data collection methods to gather quantitative data.

Quantitative Research Methods

Quantitative Research Methods are as follows:

Descriptive Research Design

Descriptive research design is used to describe the characteristics of a population or phenomenon being studied. This research method is used to answer the questions of what, where, when, and how. Descriptive research designs use a variety of methods such as observation, case studies, and surveys to collect data. The data is then analyzed using statistical tools to identify patterns and relationships.

Correlational Research Design

Correlational research design is used to investigate the relationship between two or more variables. Researchers use correlational research to determine whether a relationship exists between variables and to what extent they are related. This research method involves collecting data from a sample and analyzing it using statistical tools such as correlation coefficients.

Quasi-experimental Research Design

Quasi-experimental research design is used to investigate cause-and-effect relationships between variables. This research method is similar to experimental research design, but it lacks full control over the independent variable. Researchers use quasi-experimental research designs when it is not feasible or ethical to manipulate the independent variable.

Experimental Research Design

Experimental research design is used to investigate cause-and-effect relationships between variables. This research method involves manipulating the independent variable and observing the effects on the dependent variable. Researchers use experimental research designs to test hypotheses and establish cause-and-effect relationships.

Survey Research

Survey research involves collecting data from a sample of individuals using a standardized questionnaire. This research method is used to gather information on attitudes, beliefs, and behaviors of individuals. Researchers use survey research to collect data quickly and efficiently from a large sample size. Survey research can be conducted through various methods such as online, phone, mail, or in-person interviews.

Quantitative Research Analysis Methods

Here are some commonly used quantitative research analysis methods:

Statistical Analysis

Statistical analysis is the most common quantitative research analysis method. It involves using statistical tools and techniques to analyze the numerical data collected during the research process. Statistical analysis can be used to identify patterns, trends, and relationships between variables, and to test hypotheses and theories.

Regression Analysis

Regression analysis is a statistical technique used to analyze the relationship between one dependent variable and one or more independent variables. Researchers use regression analysis to identify and quantify the impact of independent variables on the dependent variable.

Factor Analysis

Factor analysis is a statistical technique used to identify underlying factors that explain the correlations among a set of variables. Researchers use factor analysis to reduce a large number of variables to a smaller set of factors that capture the most important information.

Structural Equation Modeling

Structural equation modeling is a statistical technique used to test complex relationships between variables. It involves specifying a model that includes both observed and unobserved variables, and then using statistical methods to test the fit of the model to the data.

Time Series Analysis

Time series analysis is a statistical technique used to analyze data that is collected over time. It involves identifying patterns and trends in the data, as well as any seasonal or cyclical variations.

Multilevel Modeling

Multilevel modeling is a statistical technique used to analyze data that is nested within multiple levels. For example, researchers might use multilevel modeling to analyze data that is collected from individuals who are nested within groups, such as students nested within schools.

Applications of Quantitative Research

Quantitative research has many applications across a wide range of fields. Here are some common examples:

• Market Research : Quantitative research is used extensively in market research to understand consumer behavior, preferences, and trends. Researchers use surveys, experiments, and other quantitative methods to collect data that can inform marketing strategies, product development, and pricing decisions.
• Health Research: Quantitative research is used in health research to study the effectiveness of medical treatments, identify risk factors for diseases, and track health outcomes over time. Researchers use statistical methods to analyze data from clinical trials, surveys, and other sources to inform medical practice and policy.
• Social Science Research: Quantitative research is used in social science research to study human behavior, attitudes, and social structures. Researchers use surveys, experiments, and other quantitative methods to collect data that can inform social policies, educational programs, and community interventions.
• Education Research: Quantitative research is used in education research to study the effectiveness of teaching methods, assess student learning outcomes, and identify factors that influence student success. Researchers use experimental and quasi-experimental designs, as well as surveys and other quantitative methods, to collect and analyze data.
• Environmental Research: Quantitative research is used in environmental research to study the impact of human activities on the environment, assess the effectiveness of conservation strategies, and identify ways to reduce environmental risks. Researchers use statistical methods to analyze data from field studies, experiments, and other sources.

Characteristics of Quantitative Research

Here are some key characteristics of quantitative research:

• Numerical data : Quantitative research involves collecting numerical data through standardized methods such as surveys, experiments, and observational studies. This data is analyzed using statistical methods to identify patterns and relationships.
• Large sample size: Quantitative research often involves collecting data from a large sample of individuals or groups in order to increase the reliability and generalizability of the findings.
• Objective approach: Quantitative research aims to be objective and impartial in its approach, focusing on the collection and analysis of data rather than personal beliefs, opinions, or experiences.
• Control over variables: Quantitative research often involves manipulating variables to test hypotheses and establish cause-and-effect relationships. Researchers aim to control for extraneous variables that may impact the results.
• Replicable : Quantitative research aims to be replicable, meaning that other researchers should be able to conduct similar studies and obtain similar results using the same methods.
• Statistical analysis: Quantitative research involves using statistical tools and techniques to analyze the numerical data collected during the research process. Statistical analysis allows researchers to identify patterns, trends, and relationships between variables, and to test hypotheses and theories.
• Generalizability: Quantitative research aims to produce findings that can be generalized to larger populations beyond the specific sample studied. This is achieved through the use of random sampling methods and statistical inference.

Examples of Quantitative Research

Here are some examples of quantitative research in different fields:

• Market Research: A company conducts a survey of 1000 consumers to determine their brand awareness and preferences. The data is analyzed using statistical methods to identify trends and patterns that can inform marketing strategies.
• Health Research : A researcher conducts a randomized controlled trial to test the effectiveness of a new drug for treating a particular medical condition. The study involves collecting data from a large sample of patients and analyzing the results using statistical methods.
• Social Science Research : A sociologist conducts a survey of 500 people to study attitudes toward immigration in a particular country. The data is analyzed using statistical methods to identify factors that influence these attitudes.
• Education Research: A researcher conducts an experiment to compare the effectiveness of two different teaching methods for improving student learning outcomes. The study involves randomly assigning students to different groups and collecting data on their performance on standardized tests.
• Environmental Research : A team of researchers conduct a study to investigate the impact of climate change on the distribution and abundance of a particular species of plant or animal. The study involves collecting data on environmental factors and population sizes over time and analyzing the results using statistical methods.
• Psychology : A researcher conducts a survey of 500 college students to investigate the relationship between social media use and mental health. The data is analyzed using statistical methods to identify correlations and potential causal relationships.
• Political Science: A team of researchers conducts a study to investigate voter behavior during an election. They use survey methods to collect data on voting patterns, demographics, and political attitudes, and analyze the results using statistical methods.

How to Conduct Quantitative Research

Here is a general overview of how to conduct quantitative research:

• Develop a research question: The first step in conducting quantitative research is to develop a clear and specific research question. This question should be based on a gap in existing knowledge, and should be answerable using quantitative methods.
• Develop a research design: Once you have a research question, you will need to develop a research design. This involves deciding on the appropriate methods to collect data, such as surveys, experiments, or observational studies. You will also need to determine the appropriate sample size, data collection instruments, and data analysis techniques.
• Collect data: The next step is to collect data. This may involve administering surveys or questionnaires, conducting experiments, or gathering data from existing sources. It is important to use standardized methods to ensure that the data is reliable and valid.
• Analyze data : Once the data has been collected, it is time to analyze it. This involves using statistical methods to identify patterns, trends, and relationships between variables. Common statistical techniques include correlation analysis, regression analysis, and hypothesis testing.
• Interpret results: After analyzing the data, you will need to interpret the results. This involves identifying the key findings, determining their significance, and drawing conclusions based on the data.
• Communicate findings: Finally, you will need to communicate your findings. This may involve writing a research report, presenting at a conference, or publishing in a peer-reviewed journal. It is important to clearly communicate the research question, methods, results, and conclusions to ensure that others can understand and replicate your research.

When to use Quantitative Research

Here are some situations when quantitative research can be appropriate:

• To test a hypothesis: Quantitative research is often used to test a hypothesis or a theory. It involves collecting numerical data and using statistical analysis to determine if the data supports or refutes the hypothesis.
• To generalize findings: If you want to generalize the findings of your study to a larger population, quantitative research can be useful. This is because it allows you to collect numerical data from a representative sample of the population and use statistical analysis to make inferences about the population as a whole.
• To measure relationships between variables: If you want to measure the relationship between two or more variables, such as the relationship between age and income, or between education level and job satisfaction, quantitative research can be useful. It allows you to collect numerical data on both variables and use statistical analysis to determine the strength and direction of the relationship.
• To identify patterns or trends: Quantitative research can be useful for identifying patterns or trends in data. For example, you can use quantitative research to identify trends in consumer behavior or to identify patterns in stock market data.
• To quantify attitudes or opinions : If you want to measure attitudes or opinions on a particular topic, quantitative research can be useful. It allows you to collect numerical data using surveys or questionnaires and analyze the data using statistical methods to determine the prevalence of certain attitudes or opinions.

Purpose of Quantitative Research

The purpose of quantitative research is to systematically investigate and measure the relationships between variables or phenomena using numerical data and statistical analysis. The main objectives of quantitative research include:

• Description : To provide a detailed and accurate description of a particular phenomenon or population.
• Explanation : To explain the reasons for the occurrence of a particular phenomenon, such as identifying the factors that influence a behavior or attitude.
• Prediction : To predict future trends or behaviors based on past patterns and relationships between variables.
• Control : To identify the best strategies for controlling or influencing a particular outcome or behavior.

Quantitative research is used in many different fields, including social sciences, business, engineering, and health sciences. It can be used to investigate a wide range of phenomena, from human behavior and attitudes to physical and biological processes. The purpose of quantitative research is to provide reliable and valid data that can be used to inform decision-making and improve understanding of the world around us.

Advantages of Quantitative Research

There are several advantages of quantitative research, including:

• Objectivity : Quantitative research is based on objective data and statistical analysis, which reduces the potential for bias or subjectivity in the research process.
• Reproducibility : Because quantitative research involves standardized methods and measurements, it is more likely to be reproducible and reliable.
• Generalizability : Quantitative research allows for generalizations to be made about a population based on a representative sample, which can inform decision-making and policy development.
• Precision : Quantitative research allows for precise measurement and analysis of data, which can provide a more accurate understanding of phenomena and relationships between variables.
• Efficiency : Quantitative research can be conducted relatively quickly and efficiently, especially when compared to qualitative research, which may involve lengthy data collection and analysis.
• Large sample sizes : Quantitative research can accommodate large sample sizes, which can increase the representativeness and generalizability of the results.

Limitations of Quantitative Research

There are several limitations of quantitative research, including:

• Limited understanding of context: Quantitative research typically focuses on numerical data and statistical analysis, which may not provide a comprehensive understanding of the context or underlying factors that influence a phenomenon.
• Simplification of complex phenomena: Quantitative research often involves simplifying complex phenomena into measurable variables, which may not capture the full complexity of the phenomenon being studied.
• Potential for researcher bias: Although quantitative research aims to be objective, there is still the potential for researcher bias in areas such as sampling, data collection, and data analysis.
• Limited ability to explore new ideas: Quantitative research is often based on pre-determined research questions and hypotheses, which may limit the ability to explore new ideas or unexpected findings.
• Limited ability to capture subjective experiences : Quantitative research is typically focused on objective data and may not capture the subjective experiences of individuals or groups being studied.
• Ethical concerns : Quantitative research may raise ethical concerns, such as invasion of privacy or the potential for harm to participants.

About the author

Muhammad Hassan

Researcher, Academic Writer, Web developer

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How to Conduct Quantitative Market Research

How well do you know your customers here are some tips to accurately surveying your clients and putting that data to good use..

Will your customer choose you over your competitor? Should you target a different demographic? Are people satisfied with your employees? Market research is the only effective way to obtain the answers to questions like these.

In conducting quantitative research, businesses (usually along with the help of qualified market researchers) create surveys and send them out to a group of respondents. Analysts interpret the results, treat them as data, and present an answer to the company's initial questions. Once the questions have been answered, marketers will take the synthesized information obtained and create strategies that will ultimately lead to a more successful, profitable brand or product. In this sense, market research is not merely an expense to your business; it can be a useful investment.

Conducting Quantitative Market Research: Deciding What's Right for Your Business

In its most basic interpretation, quantitative research makes use of questionnaires and surveys to reach a sample in order to understand a specific question a company has. Unlike qualitative research, quantitative researchers do not use focus groups or interviews; rather, they collect a set of quantifiable data to assess customers' desires, perceived needs, and opinions.

The disadvantage of quantitative market research is that the discussion with the sample isn't really flexible, says Greg Rice, a principal of Kelton Research, a market research firm based in California. With qualitative research, on the other hand, "You get a lot of depth in your questions and you can do things like observe people's reactions, and not necessarily what they say, but how they react with body language," he says.

The advantage of quantitative market research, though, is that it is easier to project your questions to a bigger sample, which, in turn, can result in a more accurate snapshot of the market. "You need to do something with a robust sample in order to start to feel safe that the answers you're getting are representative of the people you're trying to study," Rice says.

Dig Deeper: Techniques for Strategic Planning

Conducting Quantitative Market Research: What's Your Objective?

The best "step one" is starting with stating your objectives, Rice says: "What business questions do you want to answer and what gaps in your customer base you have."

Too often clients will have a fuzzy set of ideas about their customers, Rice says. That will lead to fuzzy research, and the result is that you don't learn a whole lot.  It's important to be crisp about your goals for the research.

Additionally, when defining the specific research needs, the first thing an organization needs to do is have a particular outcome in mind, says Manny Flores,  vice president of the Technology, Media, and Telecommunications Research Practice at Harris Interactive, a global market research firm based in New York City. "Many times companies will initiate research but not understand what they want in return. For example, maybe they want to increase their share in the market, or maybe they're losing customers and trying to win them back," he says. "Maybe they're trying to increase awareness of their brand, or maybe they want to have a higher purchase consideration for their products." All research is unique to the product and to the potential customer, so asking these questions is vital to the success of the campaign.

Step two, Flores says, is to find relevant research that already exists. Some universities offer studies, which can be obtained for a fee. Some analysts also syndicate research to the public. 'In other words, figure out what we already know, whether externally, or internally about the particular objectives, and more importantly, what we don't know about the market, competitors, and customers.

If you're a start-up planning on going to a venture capital firm to ask for money, there are quantitative surveys you should consider conducting beforehand, says Flores. "The first thing they're going to ask is what's the size of your market and what's your total opportunity? And then they need to know who you're competing against, what share [of the market] they have, and what people want that they aren't getting."

Dig Deeper: High Concept - Tapping a New Market

Conducting Quantitative Market Research: Designing the Survey

To design the survey and its questions, firms will need to work collaboratively with the research firm to achieve the most accurate results possible, Rice says. "We try to find out what the client is trying to achieve. First, we take a crack at writing the first draft of a questionnaire. Then we'll come back and have a workshop session and go over why we did one question in a certain way as opposed to another."

If there are particularly complex questions, you can do what's called metric testing - or question testing. "Essentially, Rice say, you have someone read the question and ask them what you think you meant."

Sample design, or the types of people you are targeting for the survey, is important to consider when asking the questions.  "Let's say you're launching a new product. You want to appeal to them and you want to know how they'd react to it," explains Rice. But sometimes a product can alienate your core, which is why finding the right sample design is necessary.

Many research firms rely heavily on the knowledge the business owner already has. "If their job is to sell tape recorders, they're the expert is selling tape recorders," says Flores. "They're not experts in research, so we partner with them and we learn about tape recorders and they learn how to achieve the outcomes they want."

Once the questions have been formulated, they go through rigorous testing to determine if they're 100 percent clear. Before it goes into programming, you'll want lots of eyes on it.  Sometimes you write a question thinking you're incredibly clear about it, but then someone else still can misinterpret it, Rice says.

Dig Deeper: Conducting Market Research

Conducting Quantitative Market Research: Doing the Legwork

These days, questionnaires can be conducted online. Doing so is increasingly inexpensive and simple, as long as your sample design is representative of a customer base that uses the Internet. A full-service research company will help you put the survey into an online program and take the analysis and turn it into a presentation.

It's possible to conduct small-scale research without the aid of a research company. Sites like Zoomerang and Constant Contact offer survey services for a fraction of the cost of an established firm. However,  experts recommend that for in-depth market analysis, it's best to hire a pro.

The sample size you seek should depend on the statistical reliability you're looking for, Flores says. For example, a political poll will survey tens of thousands of people to try and approximate an accurate picture. But for simpler research questions, such as whether or not a customer will like the new features of a mobile phone, surveys in the hundreds may be able to do the job. But it's always important to remember sample design when doing the fieldwork, that is, if you have 10 types of customers, you'll need 10 types of surveys.

Dig Deeper: Market Research on the Cheap

Conducting Quantitative Market Research: Looking at the Results and Making a Plan

"We always go back to the objectives," says Rice. "Let's say a client wants to answer three big questions. We'll build a narrative around that. The key is not giving people lots of data in charts and tables. The key is editing and triaging the important things that answer the question. We call it storytelling."

This is also the time to find the outliers in the results, and make sure the research doesn't include someone who didn't actually read the questions, Flores says. "We try to clean out any errors. We're looking for the plus or minus 5 percent; the people that consistently answer the same way for each question or people who complete the survey in half the time."

Dig Deeper: How Flawed Research Can Hurt Your Company

Conducting Quantitative Market Research: Schedule and Costs

Conducting research is a continual process. As market conditions evolve, a company needs to keep its finger on the pulse of its customers. "Given how quickly digital media is moving, I'd feel like I was out of touch if I let a year go by without doing any research," Rice says. "Also, if you;re doing something kind of risky and it's going to cost you millions of dollars to launch, it's worth it to spend the extra money to see if there's any interest in the marketplace at all."

Some types of research studies can be done in 48 hours, experts say. However, this is only if the questions are general, and there's a broad audience. Studies with a quick turnaround cost anywhere between $1,000 and $1,500 per question.

But if you want to track the equity of your brand on a number of different metrics and you have customers around the world, it will be likely to take between four and six weeks, says Flores. Studies like these can range in the tens of thousands, depending how big your sample is and how robust the report must be. Other studies could go on for the duration of the year, like satisfaction studies, because it tracks customer transactions over a period of time.

Dig Deeper: Competitive Intelligence on a Shoestring

A refreshed look at leadership from the desk of CEO and chief content officer Stephanie Mehta

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Educational resources and simple solutions for your research journey

What is Quantitative Research? Definition, Methods, Types, and Examples

If you’re wondering what is quantitative research and whether this methodology works for your research study, you’re not alone. If you want a simple quantitative research definition , then it’s enough to say that this is a method undertaken by researchers based on their study requirements. However, to select the most appropriate research for their study type, researchers should know all the methods available. 

Selecting the right research method depends on a few important criteria, such as the research question, study type, time, costs, data availability, and availability of respondents. There are two main types of research methods— quantitative research  and qualitative research. The purpose of quantitative research is to validate or test a theory or hypothesis and that of qualitative research is to understand a subject or event or identify reasons for observed patterns.   

Quantitative research methods  are used to observe events that affect a particular group of individuals, which is the sample population. In this type of research, diverse numerical data are collected through various methods and then statistically analyzed to aggregate the data, compare them, or show relationships among the data. Quantitative research methods broadly include questionnaires, structured observations, and experiments.  

Here are two quantitative research examples:  

• Satisfaction surveys sent out by a company regarding their revamped customer service initiatives. Customers are asked to rate their experience on a rating scale of 1 (poor) to 5 (excellent).  
• A school has introduced a new after-school program for children, and a few months after commencement, the school sends out feedback questionnaires to the parents of the enrolled children. Such questionnaires usually include close-ended questions that require either definite answers or a Yes/No option. This helps in a quick, overall assessment of the program’s outreach and success.  

Table of Contents

What is quantitative research ? 1,2

The steps shown in the figure can be grouped into the following broad steps:  

• Theory : Define the problem area or area of interest and create a research question.  
• Hypothesis : Develop a hypothesis based on the research question. This hypothesis will be tested in the remaining steps.  
• Research design : In this step, the most appropriate quantitative research design will be selected, including deciding on the sample size, selecting respondents, identifying research sites, if any, etc.
• Data collection : This process could be extensive based on your research objective and sample size.  
• Data analysis : Statistical analysis is used to analyze the data collected. The results from the analysis help in either supporting or rejecting your hypothesis.  
• Present results : Based on the data analysis, conclusions are drawn, and results are presented as accurately as possible.  

Quantitative research characteristics 4

• Large sample size : This ensures reliability because this sample represents the target population or market. Due to the large sample size, the outcomes can be generalized to the entire population as well, making this one of the important characteristics of quantitative research .  
• Structured data and measurable variables: The data are numeric and can be analyzed easily. Quantitative research involves the use of measurable variables such as age, salary range, highest education, etc.  
• Easy-to-use data collection methods : The methods include experiments, controlled observations, and questionnaires and surveys with a rating scale or close-ended questions, which require simple and to-the-point answers; are not bound by geographical regions; and are easy to administer.  
• Data analysis : Structured and accurate statistical analysis methods using software applications such as Excel, SPSS, R. The analysis is fast, accurate, and less effort intensive.  
• Reliable : The respondents answer close-ended questions, their responses are direct without ambiguity and yield numeric outcomes, which are therefore highly reliable.  
• Reusable outcomes : This is one of the key characteristics – outcomes of one research can be used and replicated in other research as well and is not exclusive to only one study.  

Quantitative research methods 5

Quantitative research methods are classified into two types—primary and secondary.  

Primary quantitative research method:

In this type of quantitative research , data are directly collected by the researchers using the following methods.

– Survey research : Surveys are the easiest and most commonly used quantitative research method . They are of two types— cross-sectional and longitudinal.   

->Cross-sectional surveys are specifically conducted on a target population for a specified period, that is, these surveys have a specific starting and ending time and researchers study the events during this period to arrive at conclusions. The main purpose of these surveys is to describe and assess the characteristics of a population. There is one independent variable in this study, which is a common factor applicable to all participants in the population, for example, living in a specific city, diagnosed with a specific disease, of a certain age group, etc. An example of a cross-sectional survey is a study to understand why individuals residing in houses built before 1979 in the US are more susceptible to lead contamination.  

->Longitudinal surveys are conducted at different time durations. These surveys involve observing the interactions among different variables in the target population, exposing them to various causal factors, and understanding their effects across a longer period. These studies are helpful to analyze a problem in the long term. An example of a longitudinal study is the study of the relationship between smoking and lung cancer over a long period.  

– Descriptive research : Explains the current status of an identified and measurable variable. Unlike other types of quantitative research , a hypothesis is not needed at the beginning of the study and can be developed even after data collection. This type of quantitative research describes the characteristics of a problem and answers the what, when, where of a problem. However, it doesn’t answer the why of the problem and doesn’t explore cause-and-effect relationships between variables. Data from this research could be used as preliminary data for another study. Example: A researcher undertakes a study to examine the growth strategy of a company. This sample data can be used by other companies to determine their own growth strategy.  

– Correlational research : This quantitative research method is used to establish a relationship between two variables using statistical analysis and analyze how one affects the other. The research is non-experimental because the researcher doesn’t control or manipulate any of the variables. At least two separate sample groups are needed for this research. Example: Researchers studying a correlation between regular exercise and diabetes.  

– Causal-comparative research : This type of quantitative research examines the cause-effect relationships in retrospect between a dependent and independent variable and determines the causes of the already existing differences between groups of people. This is not a true experiment because it doesn’t assign participants to groups randomly. Example: To study the wage differences between men and women in the same role. For this, already existing wage information is analyzed to understand the relationship.  

– Experimental research : This quantitative research method uses true experiments or scientific methods for determining a cause-effect relation between variables. It involves testing a hypothesis through experiments, in which one or more independent variables are manipulated and then their effect on dependent variables are studied. Example: A researcher studies the importance of a drug in treating a disease by administering the drug in few patients and not administering in a few.  

The following data collection methods are commonly used in primary quantitative research :  

• Sampling : The most common type is probability sampling, in which a sample is chosen from a larger population using some form of random selection, that is, every member of the population has an equal chance of being selected. The different types of probability sampling are—simple random, systematic, stratified, and cluster sampling.  
• Interviews : These are commonly telephonic or face-to-face.  
• Observations : Structured observations are most commonly used in quantitative research . In this method, researchers make observations about specific behaviors of individuals in a structured setting.  
• Document review : Reviewing existing research or documents to collect evidence for supporting the quantitative research .  
• Surveys and questionnaires : Surveys can be administered both online and offline depending on the requirement and sample size.

The data collected can be analyzed in several ways in quantitative research , as listed below:  

• Cross-tabulation —Uses a tabular format to draw inferences among collected data  
• MaxDiff analysis —Gauges the preferences of the respondents  
• TURF analysis —Total Unduplicated Reach and Frequency Analysis; helps in determining the market strategy for a business  
• Gap analysis —Identify gaps in attaining the desired results  
• SWOT analysis —Helps identify strengths, weaknesses, opportunities, and threats of a product, service, or organization  
• Text analysis —Used for interpreting unstructured data  

Secondary quantitative research methods :

This method involves conducting research using already existing or secondary data. This method is less effort intensive and requires lesser time. However, researchers should verify the authenticity and recency of the sources being used and ensure their accuracy.  

The main sources of secondary data are: 

• The Internet  
• Government and non-government sources  
• Public libraries  
• Educational institutions  
• Commercial information sources such as newspapers, journals, radio, TV  

When to use quantitative research 6  

Here are some simple ways to decide when to use quantitative research . Use quantitative research to:  

• recommend a final course of action  
• find whether a consensus exists regarding a particular subject  
• generalize results to a larger population  
• determine a cause-and-effect relationship between variables  
• describe characteristics of specific groups of people  
• test hypotheses and examine specific relationships  
• identify and establish size of market segments  

A research case study to understand when to use quantitative research 7  

Context: A study was undertaken to evaluate a major innovation in a hospital’s design, in terms of workforce implications and impact on patient and staff experiences of all single-room hospital accommodations. The researchers undertook a mixed methods approach to answer their research questions. Here, we focus on the quantitative research aspect.  

Research questions : What are the advantages and disadvantages for the staff as a result of the hospital’s move to the new design with all single-room accommodations? Did the move affect staff experience and well-being and improve their ability to deliver high-quality care?  

Method: The researchers obtained quantitative data from three sources:  

• Staff activity (task time distribution): Each staff member was shadowed by a researcher who observed each task undertaken by the staff, and logged the time spent on each activity.  
• Staff travel distances : The staff were requested to wear pedometers, which recorded the distances covered.  
• Staff experience surveys : Staff were surveyed before and after the move to the new hospital design.  

Results of quantitative research : The following observations were made based on quantitative data analysis:  

• The move to the new design did not result in a significant change in the proportion of time spent on different activities.  
• Staff activity events observed per session were higher after the move, and direct care and professional communication events per hour decreased significantly, suggesting fewer interruptions and less fragmented care.  
• A significant increase in medication tasks among the recorded events suggests that medication administration was integrated into patient care activities.  
• Travel distances increased for all staff, with highest increases for staff in the older people’s ward and surgical wards.  
• Ratings for staff toilet facilities, locker facilities, and space at staff bases were higher but those for social interaction and natural light were lower.  

Advantages of quantitative research 1,2

When choosing the right research methodology, also consider the advantages of quantitative research and how it can impact your study.  

• Quantitative research methods are more scientific and rational. They use quantifiable data leading to objectivity in the results and avoid any chances of ambiguity.  
• This type of research uses numeric data so analysis is relatively easier .  
• In most cases, a hypothesis is already developed and quantitative research helps in testing and validatin g these constructed theories based on which researchers can make an informed decision about accepting or rejecting their theory.  
• The use of statistical analysis software ensures quick analysis of large volumes of data and is less effort intensive.  
• Higher levels of control can be applied to the research so the chances of bias can be reduced.  
• Quantitative research is based on measured value s, facts, and verifiable information so it can be easily checked or replicated by other researchers leading to continuity in scientific research.  

Disadvantages of quantitative research 1,2

Quantitative research may also be limiting; take a look at the disadvantages of quantitative research. 

• Experiments are conducted in controlled settings instead of natural settings and it is possible for researchers to either intentionally or unintentionally manipulate the experiment settings to suit the results they desire.  
• Participants must necessarily give objective answers (either one- or two-word, or yes or no answers) and the reasons for their selection or the context are not considered.   
• Inadequate knowledge of statistical analysis methods may affect the results and their interpretation.  
• Although statistical analysis indicates the trends or patterns among variables, the reasons for these observed patterns cannot be interpreted and the research may not give a complete picture.  
• Large sample sizes are needed for more accurate and generalizable analysis .  
• Quantitative research cannot be used to address complex issues.  

Frequently asked questions on  quantitative research    

Q:  What is the difference between quantitative research and qualitative research? 1  

A:  The following table lists the key differences between quantitative research and qualitative research, some of which may have been mentioned earlier in the article.  

Q:  What is the difference between reliability and validity? 8,9    

A:  The term reliability refers to the consistency of a research study. For instance, if a food-measuring weighing scale gives different readings every time the same quantity of food is measured then that weighing scale is not reliable. If the findings in a research study are consistent every time a measurement is made, then the study is considered reliable. However, it is usually unlikely to obtain the exact same results every time because some contributing variables may change. In such cases, a correlation coefficient is used to assess the degree of reliability. A strong positive correlation between the results indicates reliability.  

Validity can be defined as the degree to which a tool actually measures what it claims to measure. It helps confirm the credibility of your research and suggests that the results may be generalizable. In other words, it measures the accuracy of the research.  

The following table gives the key differences between reliability and validity.  

Q:  What is mixed methods research? 10

A:  A mixed methods approach combines the characteristics of both quantitative research and qualitative research in the same study. This method allows researchers to validate their findings, verify if the results observed using both methods are complementary, and explain any unexpected results obtained from one method by using the other method. A mixed methods research design is useful in case of research questions that cannot be answered by either quantitative research or qualitative research alone. However, this method could be more effort- and cost-intensive because of the requirement of more resources. The figure 3 shows some basic mixed methods research designs that could be used.  

Thus, quantitative research is the appropriate method for testing your hypotheses and can be used either alone or in combination with qualitative research per your study requirements. We hope this article has provided an insight into the various facets of quantitative research , including its different characteristics, advantages, and disadvantages, and a few tips to quickly understand when to use this research method.  

References  

• Qualitative vs quantitative research: Differences, examples, & methods. Simply Psychology. Accessed Feb 28, 2023. https://simplypsychology.org/qualitative-quantitative.html#Quantitative-Research  
• Your ultimate guide to quantitative research. Qualtrics. Accessed February 28, 2023. https://www.qualtrics.com/uk/experience-management/research/quantitative-research/  
• The steps of quantitative research. Revise Sociology. Accessed March 1, 2023. https://revisesociology.com/2017/11/26/the-steps-of-quantitative-research/  
• What are the characteristics of quantitative research? Marketing91. Accessed March 1, 2023. https://www.marketing91.com/characteristics-of-quantitative-research/  
• Quantitative research: Types, characteristics, methods, & examples. ProProfs Survey Maker. Accessed February 28, 2023. https://www.proprofssurvey.com/blog/quantitative-research/#Characteristics_of_Quantitative_Research  
• Qualitative research isn’t as scientific as quantitative methods. Kmusial blog. Accessed March 5, 2023. https://kmusial.wordpress.com/2011/11/25/qualitative-research-isnt-as-scientific-as-quantitative-methods/  
• Maben J, Griffiths P, Penfold C, et al. Evaluating a major innovation in hospital design: workforce implications and impact on patient and staff experiences of all single room hospital accommodation. Southampton (UK): NIHR Journals Library; 2015 Feb. (Health Services and Delivery Research, No. 3.3.) Chapter 5, Case study quantitative data findings. Accessed March 6, 2023. https://www.ncbi.nlm.nih.gov/books/NBK274429/  
• McLeod, S. A. (2007).  What is reliability?  Simply Psychology. www.simplypsychology.org/reliability.html  
• Reliability vs validity: Differences & examples. Accessed March 5, 2023. https://statisticsbyjim.com/basics/reliability-vs-validity/  
• Mixed methods research. Community Engagement Program. Harvard Catalyst. Accessed February 28, 2023. https://catalyst.harvard.edu/community-engagement/mmr  

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A Complete Guide to Quantitative Research Methods

Numbers are everywhere and drive our day-to-day lives. We take decisions based on numbers, both at work and in our personal lives. For example, an organization may rely on sales numbers to see if it’s succeeding or failing, and a group of friends planning a vacation may look at ticket prices to pick a place.

In the social domain, numbers are just as important. They help identify what interventions are needed, whether ongoing projects are effective, and more. But how do organizations in the social domain get the numbers they need?

This is where quantitative research comes in. Quantitative research is the process of collecting numerical data through standardized techniques, then applying statistical methods to derive insights from it.

When is quantitative research useful?

The goal of quantitative research methods is to collect numerical data from a group of people, then generalize those results to a larger group of people to explain a phenomenon. Researchers generally use quantitative research when they want get objective, conclusive answers.

For example, a chocolate brand may run a survey among a sample of their target group (teenagers in the United States) to check whether they like the taste of the chocolate. The result of this survey would reveal how all teenagers in the U.S. feel about the chocolate.

Similarly, an organization running a project to improve a village’s literacy rate may look at how many people came to their program, how many people dropped out, and each person’s literacy score before and after the program. They can use these metrics to evaluate the overall success of their program.

Unlike  qualitative research , quantitative research is generally not used in the early stages of research for exploring a question or scoping out a problem. It is generally used to answer clear, pre-defined questions in the advanced stages of a research study.

How can you plan a quantitative research exercise?

• Identify the research problem . An example would be, how well do New Delhi’s government schools ensure that students complete their education?
• Prepare the research questions that need to be answered to address the research problem. For example, what percentage of students drop out of government schools in New Delhi?
• Review existing literature on the research problem and questions to ensure that there is no duplication. If someone has already answered this, you can rely on their results.
• Develop a research plan . This includes identifying the target group, sample , and method of data collection ; conducting data analysis; collating recommendations; and arriving at a conclusion.

What are the advantages of quantitative research methods?

• Quantitative research methods provide an relatively conclusive answer to the research questions.
• When the data is collected and analyzed in accordance with standardized, reputable methodology, the results are usually trustworthy.
• With statistically significant sample sizes, the results can be generalized to an entire target group.

Samples have to be carefully designed and chosen, else their results can’t be generalized. Learn how to choose the right sampling technique for your survey.

What are the limitations of quantitative research methods?

• Does not account for people’s thoughts or perceptions about what you’re evaluating.
• Does not explore the “why” and “how” behind a phenomenon.

What quantitative research methods can you use?

Here are four quantitative research methods that you can use to collect data for a quantitative research study:

Questionnaires

This is the most common way to collect quantitative data. A questionnaire (also called a survey) is a series of questions, usually written on paper or a digital form. Researchers give the questionnaire to their sample, and each participant answers the questions. The questions are designed to gather data that will help researchers answer their research questions.

Typically, a questionnaire has closed-ended questions — that is, the participant chooses an answer from the given options. However, a questionnaire may also have quantitative open-ended questions. In the open-ended example above, the participants could write a simple number like “4”, a range like “I usually go one or two times per week” or a more complex response like “Most weeks I go twice, but this week I went 4 times because I kept forgetting my grocery list. During the winter, I only go once a week.”

Understanding closed and open-ended questions is crucial to designing a great survey and collecting high quality data. Learn more with our complete guide about when and how to use closed and open-ended questions.

A good questionnaire should have clear language, correct grammar and spelling, and a clear objective.

Advantages:

• Questionnaires are often less time consuming than interviews or other in-person quantitative research methods.
• They’re a common, fairly simple way to collect data.
• They can be a cost-effective option for gathering data from a large sample.

Limitations:

• Responses may lack depth and provide limited information.
• Respondents may lose interest or quit if the questionnaire is long.
• Respondents may not understand all questions, which would lead to inaccurate responses.

Response bias — a set of factors that lead participants answer a question incorrectly — can be deadly for data quality. Learn how it happens and how to avoid it.

An interview for quantitative research involves verbal communication between the participant and researcher, whose goal is to gather numerical data. The interview can be conducted face-to-face or over the phone, and it can be structured or unstructured.

In a structured interview, the researcher asks a fixed set of questions to every participant. The questions and their order are pre-decided by the researcher. The interview follows a formal pattern. Structured interviews are more cost efficient and can be less time consuming.

In an unstructured interview, the researcher thinks of his/her questions as the interview proceeds. This type of interview is conversational in nature and can last a few hours. This type of interview allows the researcher to be flexible and ask questions depending on the participant’s responses. This quantitative research method can provide more in-depth information, since it allows researchers to delve deeper into a participant’s response.

• Interviews can provide more in-depth information.
• Interviews are more flexible than questionnaires, since interviewers can adapt their questions to each participant or ask follow-up questions.
• Interviewers can clarify participants’ questions, which will help them get clearer, more accurate data.
• Interviewing one person at a time can be time-consuming.
• Travel, interviewer salaries and other expenses can make interviews an expensive data collection tool.
• With unstructured interviews, it can be difficult to quantify some responses.

One way to speed up interviews is to conduct them with multiple people at one time in a focus group discussion. Learn more about how to conduct a great FGD.

Observation

Observation is a systematic way to collect data by observing people in natural situations or settings. Though it is mostly used for collecting qualitative data, observation can also be used to collect quantitative data.

Observation can be simple or behavioral. Simple observations are usually numerical, like how many cars pass through a given intersection each hour or how many students are asleep during a class. Behavioral observation, on the other hand, observes and interprets people’s behavior, like how many cars are driving dangerously or how engaging a lecturer is.

Simple observation can be a good way to collect numerical data. This can be done by pre-defining clear numerical variables that can be collected during observation — for example, what time employees leave the office. This data can be collected by observing employees over a period of time and recording when each person leaves.

• Observation is often an inexpensive way to collect data.
• Since researchers are recording the data themselves (rather than participants reporting the data), most of the collected data will generally be usable.
• Data collection can be stopped and started by researchers at any time, making it a flexible data collection tool.
• Researchers need to be extensively trained to undertake observation and record data correctly.
• Sometimes the environment or research may bias the data, like when participants know they’re being observed.
• If the situation to be observed sometimes doesn’t happen, researchers may waste a lot of time during data collection.

Simple vs. behavioral is just one type of observation. Learn more about the 5 different types of observation and when you should use each to collect different types of data.

Since quantitative research depends on numerical data, records (also known as external data) can provide critical information to answer research questions. Records are numbers and statistics that institutions use to track activities, like attendance in a school or the number of patients admitted in a hospital.

For example, the Government of India conducts the Census every 10 years, which is a record of the country’s population. This data can be used by a researcher who is addressing a population-related research problem.

• Records often include comprehensive data captured over a long period of time.
• Data collection time is minimal, since the data has already been collected and recorded by someone else.
• Records often only provide numerical data, not the reason or cause behind the data.
• Cleaning badly structured or formatted records can take a long time.
• If a record is incomplete or inaccurate, there is often no way to fix it.

Summing it up

Quantitative research methods are one of the best tools to identify a problem or phenomenon, how widespread it is, and how it is changing over time. After identifying a problem, quantitative research can also be used to come up with a trustworthy solution, identified using numerical data collected through standardized techniques.

Image credits:  Curtis MacNewton ,  Brijesh Nirmal ,  Charles Deluvio , and Atlan.

Related Posts

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14 comments.

Very useful for research

Very easy to read and informative book. Well written. Thany thanks for the download.

It is concise and practical as well as easy to understand.

Nice book but I kind find a way to download it. Kindly let me know how to download it. Thanks

Hello Micah Nalianya Greetings! Kindly tell me how to download the book. Simeon

Hi Micah and Simeon! You can download our data collection ebook here: https://socialcops.com/ebooks/data-collection/

I have loved reviewing the brief write up. Good revision for me. Thanks

The text contains concise and important tips on data collection techniques.

Thanks for an explicit and precise outline of data collection methods.

thank you very much, this guide is really useful and easy to understand. Specially for students that just have started research.

Thank you so much for sharing me this very important material.

I am highly impressed with the simply ways you explain methods of collecting data. I am a Monitoring and Evaluation Specialist and I will like to be receiving your regular publications.

i have benefited from the work. well organized .thank you

interview is a qualitative method not quantitative.

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Methodology

• Qualitative vs. Quantitative Research | Differences, Examples & Methods

Qualitative vs. Quantitative Research | Differences, Examples & Methods

Published on April 12, 2019 by Raimo Streefkerk . Revised on June 22, 2023.

When collecting and analyzing data, quantitative research deals with numbers and statistics, while qualitative research deals with words and meanings. Both are important for gaining different kinds of knowledge.

Common quantitative methods include experiments, observations recorded as numbers, and surveys with closed-ended questions.

Quantitative research is at risk for research biases including information bias , omitted variable bias , sampling bias , or selection bias . Qualitative research Qualitative research is expressed in words . It is used to understand concepts, thoughts or experiences. This type of research enables you to gather in-depth insights on topics that are not well understood.

Common qualitative methods include interviews with open-ended questions, observations described in words, and literature reviews that explore concepts and theories.

Table of contents

The differences between quantitative and qualitative research, data collection methods, when to use qualitative vs. quantitative research, how to analyze qualitative and quantitative data, other interesting articles, frequently asked questions about qualitative and quantitative research.

Quantitative and qualitative research use different research methods to collect and analyze data, and they allow you to answer different kinds of research questions.

Quantitative and qualitative data can be collected using various methods. It is important to use a data collection method that will help answer your research question(s).

Many data collection methods can be either qualitative or quantitative. For example, in surveys, observational studies or case studies , your data can be represented as numbers (e.g., using rating scales or counting frequencies) or as words (e.g., with open-ended questions or descriptions of what you observe).

However, some methods are more commonly used in one type or the other.

Quantitative data collection methods

• Surveys :  List of closed or multiple choice questions that is distributed to a sample (online, in person, or over the phone).
• Experiments : Situation in which different types of variables are controlled and manipulated to establish cause-and-effect relationships.
• Observations : Observing subjects in a natural environment where variables can’t be controlled.

Qualitative data collection methods

• Interviews : Asking open-ended questions verbally to respondents.
• Focus groups : Discussion among a group of people about a topic to gather opinions that can be used for further research.
• Ethnography : Participating in a community or organization for an extended period of time to closely observe culture and behavior.
• Literature review : Survey of published works by other authors.

A rule of thumb for deciding whether to use qualitative or quantitative data is:

• Use quantitative research if you want to confirm or test something (a theory or hypothesis )
• Use qualitative research if you want to understand something (concepts, thoughts, experiences)

For most research topics you can choose a qualitative, quantitative or mixed methods approach . Which type you choose depends on, among other things, whether you’re taking an inductive vs. deductive research approach ; your research question(s) ; whether you’re doing experimental , correlational , or descriptive research ; and practical considerations such as time, money, availability of data, and access to respondents.

Quantitative research approach

You survey 300 students at your university and ask them questions such as: “on a scale from 1-5, how satisfied are your with your professors?”

You can perform statistical analysis on the data and draw conclusions such as: “on average students rated their professors 4.4”.

Qualitative research approach

You conduct in-depth interviews with 15 students and ask them open-ended questions such as: “How satisfied are you with your studies?”, “What is the most positive aspect of your study program?” and “What can be done to improve the study program?”

Based on the answers you get you can ask follow-up questions to clarify things. You transcribe all interviews using transcription software and try to find commonalities and patterns.

Mixed methods approach

You conduct interviews to find out how satisfied students are with their studies. Through open-ended questions you learn things you never thought about before and gain new insights. Later, you use a survey to test these insights on a larger scale.

It’s also possible to start with a survey to find out the overall trends, followed by interviews to better understand the reasons behind the trends.

Qualitative or quantitative data by itself can’t prove or demonstrate anything, but has to be analyzed to show its meaning in relation to the research questions. The method of analysis differs for each type of data.

Analyzing quantitative data

Quantitative data is based on numbers. Simple math or more advanced statistical analysis is used to discover commonalities or patterns in the data. The results are often reported in graphs and tables.

Applications such as Excel, SPSS, or R can be used to calculate things like:

• Average scores ( means )
• The number of times a particular answer was given
• The correlation or causation between two or more variables
• The reliability and validity of the results

Analyzing qualitative data

Qualitative data is more difficult to analyze than quantitative data. It consists of text, images or videos instead of numbers.

Some common approaches to analyzing qualitative data include:

• Qualitative content analysis : Tracking the occurrence, position and meaning of words or phrases
• Thematic analysis : Closely examining the data to identify the main themes and patterns
• Discourse analysis : Studying how communication works in social contexts

If you want to know more about statistics , methodology , or research bias , make sure to check out some of our other articles with explanations and examples.

• Chi square goodness of fit test
• Degrees of freedom
• Null hypothesis
• Discourse analysis
• Control groups
• Mixed methods research
• Non-probability sampling
• Quantitative research
• Inclusion and exclusion criteria

Research bias

• Rosenthal effect
• Implicit bias
• Cognitive bias
• Selection bias
• Negativity bias
• Status quo bias

Quantitative research deals with numbers and statistics, while qualitative research deals with words and meanings.

Quantitative methods allow you to systematically measure variables and test hypotheses . Qualitative methods allow you to explore concepts and experiences in more detail.

In mixed methods research , you use both qualitative and quantitative data collection and analysis methods to answer your research question .

The research methods you use depend on the type of data you need to answer your research question .

• If you want to measure something or test a hypothesis , use quantitative methods . If you want to explore ideas, thoughts and meanings, use qualitative methods .
• If you want to analyze a large amount of readily-available data, use secondary data. If you want data specific to your purposes with control over how it is generated, collect primary data.
• If you want to establish cause-and-effect relationships between variables , use experimental methods. If you want to understand the characteristics of a research subject, use descriptive methods.

Data collection is the systematic process by which observations or measurements are gathered in research. It is used in many different contexts by academics, governments, businesses, and other organizations.

There are various approaches to qualitative data analysis , but they all share five steps in common:

• Prepare and organize your data.
• Review and explore your data.
• Develop a data coding system.
• Assign codes to the data.
• Identify recurring themes.

The specifics of each step depend on the focus of the analysis. Some common approaches include textual analysis , thematic analysis , and discourse analysis .

A research project is an academic, scientific, or professional undertaking to answer a research question . Research projects can take many forms, such as qualitative or quantitative , descriptive , longitudinal , experimental , or correlational . What kind of research approach you choose will depend on your topic.

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More From Forbes

7 types of market research and how to improve them.

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By Matthew Bertram, Head of Strategy at EWR Digital & Co-Host of "The Unknown Secrets of Internet Marketing Podcast."

Data-driven decision-making (DDDM) is just a fancy term for making intelligent decisions based on what your data is telling you.

Modern market research combines DDDM with advanced technology to uncover even more granular data, which can be used to personalize market messaging and find potential areas for growth.

Traditionally, market research encompassed four major disciplines: primary, secondary, quantitative and qualitative. However, as technology and marketing have become sophisticated, we’ve divided many of these types of research and insights into individual processes that allow for more granular data collection.

So instead of relying on primary research from focus groups and surveys, we can uncover much of the same information through brand research, keyword research and competitive analysis.

We’ll talk about these forms of market research and more, as well as some tips to improve each research process to help you master the process of data collection and analysis.

1. Competitive Analysis

When businesses have nowhere else to start, they can always scrap data about their competitors.

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Competitive analysis can benchmark future performance and inspire marketing, advertising, pricing and product development ideas.

In SEO, competitive research involves tracking metrics, such as keywords, online traffic, sales volume and advertising cost-per-click.

However, competitive research could include looking at your competitor’s online reputation, product pricing or any other variable important to your business.

To improve your competitive research, I suggest investing in the right tools, such as:

• SE Ranking

Nevertheless, most of the strategies and tools we outline in this guide can be used against competitors for greater detail.

2. Brand Sentiment

Brand sentiment measures how well customers perceive your brand. Generally, your brand sentiment will encompass your brand’s

• Awareness: How many people are aware of your brand?

• Loyalty: How loyal are people to your brand?

• Advocacy: How likely are people to recommend your brand?

• Penetration: How successful is your brand at penetrating its market vertical?

• Value: How valuable is your brand in nominal terms?

Again, technology is your best friend, and I recommend using tools like Hootsuite or Sprout Social that measure your brand’s sentiment on social media and across the web. Soliciting customer feedback and reading reviews are also great indicators of your brand’s perception.

Depending on the size of your brand and its age, pick the right metrics you want to track and then map out your brand visually against your competitors to see how well your brand stacks up and where weaknesses lie.

3. Customer Decision-Making

Customer journey or decision-making research tells why customers make purchases and why they don’t.

More specifically, this research speaks to their

• Purchasing habits

• Demographic information

• Hobbies and interests

• Media habits

Understanding these behavioral, demographic and psychographic parameters allows you to create personalized marketing campaigns and incentives that can increase sales.

First, gather data through a CRM like HubSpot or Salesforce that allows for customer journey mapping. Second, consult your analytics using tools like Google Analytics or Search Console that allows for on-page behavioral reporting and attribution data so you can understand what led to a buyer’s purchase.

Again, primary research tools like surveys and direct feedback can also help tremendously.

Additionally, tools like Meta’s Audience Insights have historically always been a data gold mine for segmenting and building the right audience lists for your business.

4. Customer Segmentation

This leads us to another important consideration: market segmentation. Researching the right customer segments to market to can help you increase ROI significantly.

You can use many of the same tools from the previous point to build a buyer persona based on geographic, psychographic and demographic data. For example, HubSpot and Meta’s Audience Insights are great for uncovering much of this data and building audience lists you can export to other programs.

To save time experimenting with different audience segments, use surveys to help you uncover more granular data regarding audience behavior and interests.

5. Market Messaging

Surveys and customer feedback are also incredibly important for monitoring campaign messaging from any advertising/marketing campaigns you are actively running. This research shows how well your business connects with its customers via messaging impact and reach.

For online advertising, use metrics like impressions, click-through rate, CPC and conversion ratio to show you how far your ads are reaching and how well they resonate.

On the organic side, tracking keyword rankings, on-page traffic, CTR and conversion rates can tell you if your marketing messaging is driving people to your site and whether they are making purchases.

6. Product Pricing

Finally, the last two forms of market research involve product pricing and development. Pricing is fairly straightforward and measures what customers are willing to pay for a product based on its utility.

To accurately test product pricing, conduct A/B tests with special plans, including tiered pricing that restricts some features or by scaling pricing based on different customer segments, such as separating plans between administrators and users.

Run tests and compare data with competitors to reach appropriate product pricing.

7. Product Development

Product development research tests how well a product is perceived by its intended audience. Sometimes this may incorporate usability testing, which tests how effective the product is for customers.

However, most product development research involves primary research via focus groups, surveys, one-on-one interviews and direct customer feedback. The idea is to hear how customers perceive the product directly to improve innovation and development.

The key to proper product development research is to account for every variable, such as:

• Customer research (interests, hobbies and perspectives)

• Market share (existing competition, product lifecycle, market risks, growth potential)

• Business case (problems solved, unique selling proposition)

• Marketing (promotion, pricing, proper messaging)

By harnessing the power of technology and improving your market research processes, you can position yourself to compete better and achieve more success within any given marketplace.

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Stock Market Today: Dow falls nearly 500 points as recession fears reemerge

Follow all the latest u.s. market action for thursday here..

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Bank of America's Wall Street sentiment indicator hits 2-year high

Joseph Adinolfi

(BofA Global Research)

A sell-side indicator maintained by a team of quantitative analysts at BofA Global Research hit its highest level since early 2022 in July.

The indicator shows Wall Street strategists have turned "neutral" on stocks, although the gauge remains well below levels of bullishness seen in 2021.

The BofA team, led by equity and quantitative strategist Savita Subramanian, has long touted it as a contrarian indicator -- meaning it flashes a buy signal when Wall Street is unusually bearish, and a sell signal when bullish sentiment has reached a fever pitch.

But as of last month, the gauge is closer to flashing a "sell" signal than it is to a "buy" signal, Subramanian said in a client note shared with MarketWatch.

This supports Subramanian's call from earlier this week that further upside for the S&P 500 could be limited in 2024. Therefore, investors might be better off shopping for dividend-paying stocks with more attractive valuations and stocks that benefit from high capital-expenditures spending.

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Research: quantifying GitHub Copilot’s impact on developer productivity and happiness

When the GitHub Copilot Technical Preview launched just over one year ago, we wanted to know one thing: Is this tool helping developers? The GitHub Next team conducted research using a combination of surveys and experiments, which led us to expected and unexpected answers.

Everyday, we use tools and form habits to achieve more with less. Software development produces such a high number of tools and technologies to make work efficient, to the point of inducing decision fatigue. When we first launched a technical preview of GitHub Copilot in 2021, our hypothesis was that it would improve developer productivity and, in fact, early users shared reports that it did. In the months following its release, we wanted to better understand and measure its effects with quantitative and qualitative research. To do that, we first had to grapple with the question: what does it mean to be productive?

Why is developer productivity so difficult to measure?

When it comes to measuring developer productivity, there is little consensus and there are far more questions than answers. For example:

• What are the “right” productivity metrics? [ 1 , 2 ]
• How valuable are self-reports of productivity? [ 3 ]
• Is the traditional view of productivity—outputs over inputs—a good fit for the complex problem solving and creativity involved in development work? [ 4 ].

In a 2021 study, we found that developers’ own view of productivity has a twist–it’s more akin to having a good day . The ability to stay focused on the task at hand, make meaningful progress, and feel good at the end of a day’s work make a real difference in developers’ satisfaction and productivity.

This isn’t a one-off finding, either. Other academic research shows that these outcomes are important for developers [ 5 ] and that satisfied developers perform better [ 6 , 7 ]. Clearly, there’s more to developer productivity than inputs and outputs.

How do we think about developer productivity at GitHub?

Because AI-assisted development is a relatively new field, as researchers we have little prior research to draw upon. We wanted to measure GitHub Copilot’s effects, but what are they? After early observations and interviews with users, we surveyed more than 2,000 developers to learn at scale about their experience using GitHub Copilot. We designed our research approach with three points in mind:

• Look at productivity holistically. At GitHub we like to think broadly and sustainably about developer productivity and the many factors that influence it. We used the SPACE productivity framework to pick which aspects to investigate.
• Include developers’ first-hand perspective. We conducted multiple rounds of research including qualitative (perceptual) and quantitative (observed) data to assemble the full picture. We wanted to verify: (a) Do users’ actual experiences confirm what we infer from telemetry? (b) Does our qualitative feedback generalize to our large user base?
• Assess GitHub Copilot’s effects in everyday development scenarios. When setting up our studies, we took extra care to recruit professional developers, and to design tests around typical tasks a developer might work through in a given day.

Let’s dig in and see what we found!

Finding 1: Developer productivity goes beyond speed

Through a large-scale survey, we wanted to see if developers using GitHub Copilot see benefits in other areas beyond speeding up tasks. Here’s what stood out:

• Improving developer satisfaction. Between 60–75% of users reported they feel more fulfilled with their job, feel less frustrated when coding, and are able to focus on more satisfying work when using GitHub Copilot. That’s a win for developers feeling good about what they do!
• Conserving mental energy. Developers reported that GitHub Copilot helped them stay in the flow (73%) and preserve mental effort during repetitive tasks (87%). That’s developer happiness right there, since we know from previous research that context switches and interruptions can ruin a developer’s day, and that certain types of work are draining [ 8 , 9 ].

Table: Survey responses measuring dimensions of developer productivity when using GitHub Copilot

Developers see GitHub Copilot as a productivity aid, but there’s more to it than that. One user described the overall experience:

(With Copilot) I have to think less, and when I have to think it’s the fun stuff. It sets off a little spark that makes coding more fun and more efficient.

The takeaway from our qualitative investigation was that letting GitHub Copilot shoulder the boring and repetitive work of development reduced cognitive load . This makes room for developers to enjoy the more meaningful work that requires complex, critical thinking and problem solving, leading to greater happiness and satisfaction.

Finding 2: … but speed is important, too

In the survey, we saw that developers reported they complete tasks faster when using GitHub Copilot, especially repetitive ones. That was an expected finding (GitHub Copilot writes faster than a human, after all), but >90% agreement was still a pleasant surprise. Developers overwhelmingly perceive that GitHub Copilot is helping them complete tasks faster—can we observe and measure that effect in practice? For that we conducted a controlled experiment.

Figure: Summary of the experiment process and results

In the experiment, we measured—on average—how successful each group was in completing the task and how long each group took to finish.

• The group that used GitHub Copilot had a higher rate of completing the task (78%, compared to 70% in the group without Copilot).
• The striking difference was that developers who used GitHub Copilot completed the task significantly faster–55% faster than the developers who didn’t use GitHub Copilot . Specifically, the developers using GitHub Copilot took on average 1 hour and 11 minutes to complete the task, while the developers who didn’t use GitHub Copilot took on average 2 hours and 41 minutes. These results are statistically significant ( P=.0017 ) and the 95% confidence interval for the percentage speed gain is [21%, 89%].

There’s more to uncover! We’re conducting more experiments and a more thorough analysis of the experiment data we already collected—looking into heterogeneous effects, or potential effects on the quality of code—and we are planning further academic publications to share our findings.

What do these findings mean for developers?

We’re here to support developers while they build software—that includes working more efficiently and finding more satisfaction in their work. In our research, we saw that GitHub Copilot supports faster completion times, conserves developers’ mental energy, helps them focus on more satisfying work, and ultimately find more fun in the coding they do.

We’re also hearing that these benefits are becoming material to engineering leaders in companies that ran early trials with GitHub Copilot. When they consider how to keep their engineers healthy and productive, they are thinking through the same lens of holistic developer wellbeing and promoting the use of tools that bring delight.

The engineers’ satisfaction with doing edgy things and us giving them edgy tools is a factor for me. Copilot makes things more exciting.

With the advent of GitHub Copilot, we’re not alone in exploring the impact of AI-powered code completion tools! In the realm of productivity, we recently saw an evaluation with 24 students , and Google’s internal assessment of ML-enhanced code completion . More broadly, the research community is trying to understand GitHub Copilot’s implications in a number of contexts: education , security , labor market , as well as developer practices and behaviors . We are all currently learning by trying GitHub Copilot in a variety of settings. This is an evolving field, and we’re excited for the findings that the research community — including us — will uncover in the months to come.

Acknowledgements

We are very grateful to all the developers who participated in the survey and experiments–we would be in the dark without your input! GitHub Next conducted the experiment in partnership with the Microsoft Office of the Chief Economist, and specifically in collaboration with Sida Peng and Aadharsh Kannan .

• GitHub Copilot

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This chart suggests the current bull market rally in stocks will extend into 2025

• The cyclical bull rally starting in October 2022 is expected to last into 2025, according to Ned Davis Research.
• The firm highlights a chart that shows the historical trends of cyclical bull market rallies, and when they typically end.
• "We expect to remain overweight equities, with the correction leading to a buying opportunity," it said.

The cyclical bull rally that started in October 2022 is set to last well into 2025, according to historical trends highlighted by Ned Davis Research.

The research firm published a note last week that included a chart illustrating prior cyclical bull rallies within a secular bull market, as is the current rally.

What Ned Davis Research found is that the average rally, based on the start date of the October 2022 stock market bottom, should last into the summer of 2025.

And it could last even longer into 2026 if it follows the footsteps of the 2011 to 2015 cyclical bull rally, or well into 2030 if it follows the path of the technology-fueled cyclical rally of 1990 to 1998.

The bullish outlook from Ned Davis Research comes amid a slight correction in the stock market, with the Nasdaq 100 falling nearly 10% from its recent peak in July.

But the correction is just that, a short-term decline, and it doesn't mark the end of the bull rally, according to the note.

"The global soft landing evidence and accommodative monetary policies continue to bode well for long-term equity performance," Ned Davis Research said. "We expect to remain overweight equities, with the correction leading to a buying opportunity."

The research firm currently recommends its maximum overweight target to equities at 70% in a balanced portfolio, with the remaining 25% and 5% being allocated to bonds and cash, respectively.

Ned Davis Research said risks of a new bear market remain low, and that the current correction in stocks is perfectly normal given the seasonal weakness during the summer.

Solid valuations, subdued investor sentiment, an ok macro environment, and falling bond yields mean "the weight of the evidence has remained consistent with an ongoing secular bull," Ned Davis Research said.

To monitor the current health of the bull rally in stocks, the research firm suggests investors closely monitor earnings results.

The rate at which US companies are beating analyst profit estimates has topped 75% for five straight quarters, according to the note, and results announced so far for the second quarter suggest the streak will increase to six straight quarters.

But if momentum in the earnings beat rates starts to decline, that would be a warning sign.

"If the beat rate starts declining with momentum turning negative, the increasing disappointment could trigger more selling. But if the beat rate remains elevated as the earnings season matures, the chances for a market recovery will improve," Ned Davis Research said.

Ultimately, the recent correction "should give way to another leg higher in the continuing bull market," Ned Davis Research concluded.

• Main content

The Fed Suggested That Rate Cuts Could Come Soon

The Federal Reserve left its benchmark interest rate unchanged at a two-decade high but suggested that recent progress in lowering inflation could enable it to cut interest rates soon.

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Rate Cut ‘Could Be on the Table’ at Next Fed Meeting, Powell Says

Jerome h. powell, the federal reserve chair, suggested an interest rate cut could be on the horizon after the central bank held rates steady at its most recent meeting..

The labor market has come into better balance and the unemployment rate remains low. Inflation has eased substantially from a peak of 7 percent to 2.5 percent. We are strongly committed to returning inflation to our 2 percent goal in support of a strong economy that benefits everyone. Today, the F.O.M.C. decided to leave our policy interest rate unchanged and to continue to reduce our securities holdings. We have made no decisions about future meetings, and that includes the September meeting. The broad sense of the committee is that the economy is moving closer to the point at which it will be appropriate to reduce our policy rate.

Jeanna Smialek

Powell says a rate cut ‘could be on the table’ at the Fed’s next meeting.

Federal funds

target rate

Federal Reserve officials left interest rates unchanged at their July meeting, as economists had expected, and hinted that recent progress in lowering inflation could enable them to cut interest rates soon.

The Fed decided on Wednesday to hold interest rates steady at about 5.3 percent — a two-decade high where they have remained for a year now.

Notably, though, officials also tweaked their post-meeting policy statement to call price increases only “somewhat elevated” and to underscore that officials are attentive not just to the risk of lingering inflation but also to the threat of a job market slowdown.

Jerome H. Powell, the Fed’s chair, said at a news conference that a rate cut “could be on the table” at its next meeting on Sept. 18.

Investors widely expect them to cut borrowing costs at that gathering, and then to cut rates a second and even third time before the end of the year.

Mr. Powell explained why the Fed was not ready to cut rates at July’s meeting, saying “we’re getting closer to the point” at which a cut will be appropriate, but “we’re not quite at the point.”

The Fed’s statement on Wednesday is likely to reinforce expectations for a coming rate reduction, because officials used it to stress both that inflation is cooling and that they are increasingly focusing on the health of the labor market. “The economic outlook is uncertain, and the committee is attentive to the risks to both sides of its dual mandate,” the Fed said in its statement, replacing previous language that said the Fed was “highly attentive to inflation risks.”

As of their June economic projections, Fed forecasts implied that central bankers could cut roughly every other meeting once they got started. That would lower rates to 4.1 percent by the end of next year and 3.1 percent by the end of 2026.

Fed officials will release their next set of economic projections after their September meeting, which will give a hint at whether they still think that pace of rate cuts is appropriate.

Danielle Kaye

After the market’s rally accelerated during Powell’s news conference, stocks pared back those gains heading into the close. The S&P 500 was up 2 percent on Powell’s comments before fading back to a gain of 1.5 percent. And notably, the Russell 2000 index of smaller companies, which are poised to benefit from rate cuts, jumped 2.4 percent during the news conference before pulling back slightly.

That’s a wrap. Here are a few takeaways from the Federal Reserve’s July meeting and Chair Jerome Powell’s news conference.

* The Fed left interest rates unchanged at 5.3 percent, where they have been for a year

* Powell suggested a rate cut could come in September, the Fed's next meeting

* Powell also said he could see anything "from zero cuts to several cuts" later this year depending on the data, which is notable because it allows for the possibility of three rate cuts

* Powell made it clear that the Fed is very focused on the labor market. They think it's settling into a normal groove, but are watching and ready to react if it shows signs of cracking

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“We follow the many economic commentators who bless us with their commentary,” Powell says, snarkily, as he winds up to a bigger point about what drives the Fed’s thinking.

Powell makes it clear that the Fed is focused on doing what is best for the economy, not what is best for a political party ahead of the election. “Anything we do before, during, or after the election will be based on the data” and outlook, Powell says.

Jim Tankersley

Jeanna, that was a funny little aside in a broader effort by Powell. He’s trying to explain the Fed’s process to make it appear totally divorced from politics.

Powell says he “absolutely” believes the Fed can stay out of politics with its rate decisions, even in the months before the presidential election.

Powell makes it clear that a “strong” majority of officials supported not moving rates lower today, but it was something that was discussed. “It’s a conversation that we had today, certainly.”

Investors appear to like what they’re hearing from Powell, who said the Fed is getting closer to a rate cut. The S&P 500 rose 2 percent on his comments, pushing it higher than this morning’s rise.

The market’s positive reaction “suggests traders and investors alike see the Fed easing at the September meeting because inflation continues its path lower, rather than an emergency cut because the labor market is deteriorating,” said Quincy Krosby, chief global strategist for LPL Financial.

Alan Rappeport

In a continuation of the split screen, Trump just said if elected he would “bring interest rates way down.”

Hard to oversimplify it more than this, from Powell: “We’re in a good place.” Inflation is coming down, he’s saying, and the economy is still good. So why move fast and risk either one?

“It’s just a question of seeing more good data,” Powell says. Basically: Fed officials are not fully convinced the current downward trend in inflation will stick, so they want more evidence.

Why not today? Powell’s answer: We just aren’t in a place where the committee feels comfortable cutting rates.

Jeanna asks Powell a fastball question: Are markets wrong to expect a September cut, and why not just cut now?

And Powell does not really answer the second part of it: He just says that “we’re getting closer to the point” at which a cut will be appropriate, but “we’re not quite at the point.”

“We have made no decisions about future meetings, and that includes the September meeting,” Powell says, saying that the question for that meeting is whether the totality of the data points to a case for a rate cut. A cut “could be on the table as soon as” the next meeting in September.

“The second quarter’s inflation readings have added to our confidence” that inflation is coming down sustainably, Powell says, a line that clearly keeps the door open to an upcoming rate cut without going so far as to specify a month for the move.

“High inflation imposes significant hardship as it erodes purchasing power,” Powell reiterates. He often reinforces that the Fed knows how much inflation hurts normal people, especially those with limited wiggle room in their budgets.

“Conditions in the labor market have returned to about where they stood on the eve of the pandemic, strong, but not overheated,” Powell says today. That’s the sweet spot for the Fed, which wants a solid but sustainable job situation.

Powell sounds pretty optimistic about the economy at the start of the news conference, stressing improvements in areas like investment.

Trump, speaking at an event hosted by Black journalists in Chicago, said that “inflation is absolutely destroying our country” and reiterated his complaints about housing affordability during the Biden administration years. It’s worth remembering that while Trump was very critical of Powell when he was president, he recently said that he would not try to remove him from the Fed before his term ends, though caveated that with "especially if I thought he was doing the right thing."

Jerome Powell is starting his news conference.

Harris was clear at her rally last night in Atlanta that she was in no way declaring victory on inflation and acknowledged that prices are still too high. She pledged to pressure big pharma and corporate landlords on prices, and to crack down on hidden fees, saying: “On Day One, I will take on price gouging and bring down costs.”

Powell will speak to reporters in about 20 minutes. His news conferences are always closely watched by markets, but this one feels particularly weighty. Many investors will be expecting a cut in September based on this Fed statement, and they’ll be looking for any signs from Powell to support or undercut those expectations.

Stocks are holding steady as the Fed’s announcement reinforces investors’ confidence that interest rates will start to come down in September. The S&P 500 is up 1.6 percent, in line with its rise in late-morning trading.

Omair Sharif, founder of Inflation Insights, writes that “this was a baby step on the way to a September rate cut.”

The stock market grew turbulent this month as investors began to position for a rate cut.

S&p 500.

July was an unusually bumpy month for Wall Street, as investors reconsidered their appetite for big technology stocks and piled into shares of smaller companies.

Small companies are particularly sensitive to borrowing costs and the outlook for the domestic economy, so falling borrowing costs bolster their prospects. Futures markets are now pricing in a rate cut of a quarter of a percentage point in September, according to CME FedWatch, and as Wall Street’s confidence in that cut has grown, shares of these businesses have rallied.

Also driving this shift is a rethink among investors about the potential for artificial intelligence to continue to drive gains at big companies like Microsoft, Nvidia and Alphabet, after shares of those businesses surged in the past year.

By early Wednesday, the Russell 2000 index of small capitalization stocks had rallied 9.7 percent for the month — on track for its best monthly performance of the year — while the technology heavy Nasdaq Composite was down more than 1 percent.

This broadening market rally is welcome news to those who had worried that big technology companies had become too dominant in the stock market. Whether it continues could depend on what signals the Fed sends later on Wednesday.

Here’s where markets stand before the statement.

The S&P 500 is up 1.6 percent as of noon.

Yields on 10-year government bonds were little changed, at 4.1 percent.

Yields on two-year government notes, which are particularly sensitive to changing expectations for short-term interest rates, also held steady at 4.3 percent.

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• Small Business

How AI Can Boost Your Small Business

Published on Aug. 1, 2024

By: Danielle Antosz

Small business writer

• AI usage has exploded in recent years, and it can help your business be more competitive.
• Tools like website chatbots and AI expense management tools can save you time and provide better customer service.
• Marketing, invoicing, and supply chain management tasks can also be automated or streamlined with AI.

AI has been on everyone's mind lately. From ChatGPT and image creators to AI chatbots and automated marketing tools, the AI industry has exploded in recent years. If you're a small business owner, this isn't something you can ignore. That's because AI can help you stay nimble and competitive in your market.

AI can take over manual tasks so you have more time for bigger things, like applying for business loans to grow your company or developing new products. It can also analyze large data sets to help you make more strategic decisions. Here are a few ways AI can boost your small business.

Automate expense management

Take over website support.

Offering live support is out of reach for many small businesses. However, AI-powered chatbots make it more accessible. Using tools like SendBird and ChatBot, your business can offer 24/7 customer service right on your website. And these bots are smart! You can set up conversation flows yourself or the bot can scan your documentation to answer most customer questions.

Make marketing easier

Managing multiple social media accounts, your website, and paid ads can be a full-time job. Using AI-based marketing tools, like social media schedulers and SEO research tools, you can automate a lot of the most time-consuming marketing tasks. There are even tools to help you write captions, find the right hashtags, participate on social media, and offer SEO recommendations.

Faster, hands-off invoicing

Why a business credit card could transform your small business.

These business credit cards that offer a convenient and efficient way to separate personal and business expenses, simplifying accounting and tax reporting.

Additionally, business cards can provide valuable perks such as rewards points, cashback, and expense tracking tools, enhancing financial management and the potential to help save money in the long run.

Using AI-based invoicing tools, you can send invoices with one click and then set up rules to automatically send out reminder emails, thank you messages, or upsell current customers. You'll get paid faster (since invoices go out quicker) and spend less time on invoicing.

Streamline supply chain management

Effective supply chain management can reduce your costs and improve your bottom line. But it can be time-consuming and lead to costly delays, lost sales, and unhappy customers. AI-based supply chain management tools can quickly analyze massive amounts of data to improve demand predictions, spot inefficiencies, and track shipments in real time. This leads to happier customers and a healthy bottom line.

AI can be a game-changer for small businesses looking to stay competitive. It can save time, improve customer service, and help your business thrive.

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Our Research Expert

Danielle is a small business and finance industry writer based in Ohio. She writes about tech, finance, and small businesses for The Ascent and other industry publications.

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