ESOMAR, the world organization for enabling better research into markets, consumers and societies, confirmed this week a slowdown in market research revenues worldwide.  Although global market research revenues grew by 4.5% in 2008 to reach US$32 billion, this only equates to a net 0.4% increase when inflation is taken into account.  According to the latest ESOMAR Global Market Research Report, market research revenues in 10 of the top 25 market research markets showed a decline after inflation.

While the growth rate has undoubted been affected over the past year because of the economic downturn, according to ESOMAR President Gunilla Broadbent, “the sustained growth in some emerging markets, particularly Latin America, is encouraging.”

North America, which is responsible for almost one third of all global marketing research revenue, was affected by the downturn with both the USA and Canada posting small declines (of negative 2.1 and 2.2% respectively) after adjustment for inflation.

While Europe as a whole showed little growth (slowing to 4.7%, or 0.9% after inflation), both the UK and German market research industries bucked the trend by each posting 2.5% net growth.

The strongest performing region was Latin America where market research revenues grew by 5.6% after inflation (13.4% actual).  Market research in Argentina, Peru and Panama was particularly strong.

Asia-Pacific, which has boasted strong growth in recent years, slowed a little.  However, with 6.3% year-to-year growth (2.1% after inflation), Asia-Pacific still fared better than most other regions.

The annual ESOMAR Global Market Research Report also revealed some interesting statistics about the market research industry in general.  In terms of research methodologies, quantitative research methods account for 80% of global research spend.  Qualitative research methods account for a further 14%, with desk and secondary research taking the remaining 6%.  Online research and online traffic/audience measurement now account for at least 10% of overall research spend in 22 countries (74 countries are covered by ESOMAR’s report), increasing from 18 countries in 2007.

A recent article featured in BtoB magazine – Online market research takes off
– suggests that internet surveys combined with more traditional research methods are becoming the norm.

The article estimates that 43% of all survey research carried out last year was conducted online.  Whilst quantitative consumer research has been leading the online research charge, thanks to a much greater number of potential respondents, b-to-b research is believed to be heading in the same direction.

But it’s not just quantitative research techniques – the most widely used of which is the online survey – that are increasing in popularity.  Qualitative research techniques, such as online focus groups and online panels, are increasing in prevalence too.

B2B International Director, Matthew Harrison, was interviewed for the article.  He acknowledged that around 15% of B2B International’s overall research happens online, with particularly high usage among our Asian markets, especially Japan.

Harrison recognizes that the feasibility of online research is sometimes limited by the availability of qualified contact lists, but if such lists are available, this is a useful data collection method.  As well as faster turnaround times, there are often significant cost-savings associated with online market research.

Yet in spite of its many benefits, online research is almost always a complement to traditional research techniques.  All techniques used in the market research industry have their own distinct advantages and disadvantages.  For example, online research techniques may not allow such detailed open-ended probing as telephone research, and response rates can be lower than with other methods.

When defining the methodology of any market research project, B2B International carefully considers the research objectives, and assesses which technique – or combination of techniques – will yield the best results within a given budget.  These include, more and more frequently, a range of online techniques, but not to the exclusion of tried and tested ‘traditional’ methods.

Why not read our white paper, Using Online Focus Groups As A Business-To-Business Research Technique?

A new B2B International white paper – Using Market Research For Product Development – is now available online.

In it, Julia Cupman assesses the importance of product development to a company’s growth prospects, focusing in particular on the vital role(s) that market research plays throughout all the different stages of the product life cycle, from initial concept through to product maturity.  Product development research serves a host of purposes, such as establishing (unmet) needs, estimating likely demand, setting prices, shaping the specification of the product or determining optimal price points, to give but a few examples.

Of course, product development research does not just examine the product alone; packaging, advertising, pricing, service, brand and company reputation are some of the other factors which together make up the complete customer value proposition.  Indeed, improvements to packaging, delivery, or any aspect of service support could have just as big an impact as improvements to the physical product itself.

Whether establishing potential opportunities for brand new products or trying to breathe life into a former favorite seemingly on its last legs, market research provides insight into the needs of the market, and reduces the risk associated with any form of product development.

To read the white paper in full, please click here

For further details on B2B International’s product development research services, please click here

This Monday sees the publication of the tenth, and penultimate chapter of our latest eBook – Questionnaire Design, by Paul Hague.

This week’s installment deals with the topic of "Special Questionnaires", by which we mean those questionnaires that depart from the usual telephone- or face-to-face- administered, structured survey.

The first type of special questionnaire to be explored are "check list" style surveys, used predominantly in qualitative research as a means of roughly structuring or guiding a conversation with the respondent. The second main "other" type of survey is the self-completion questionnaire, whether conducted by post or online. Such surveys work very differently to those guided by an interviewer, and as such, the questionnaire designer must tailor the questionnaire accordingly to achieve the maximum quality of response.

As always, this week’s chunk of the eBook is available both as a pdf and as a podcast. To download each, just click on the appropriate links below.

And last but not least, don’t forget that next week we’re publishing the final chapter of the eBook – be sure not to miss it!

	Chapter 10 – Special Questionnaires
	Chapter 10 – Special Questionnaires