Do It Yourself Marketing Research?

The ability to do Marketing Research is not a natural talent.  It is learned.  Managers can do a lot of their own research, but marketing research is sometimes a specialised job.  While in principle it can be carried out by anyone, there are serious potential pitfalls:

1.  The necessary objective unbiased approach needs to be acquired or 'trained into' people.  Salespeople, for example, are usually not suitable for obtaining research information, because their training and instincts make them enthusiasts for a particular point of view and therefore biased.

2.  Many Marketing Research techniques need skills and disciplines that have to be learned.

The following criteria are generally used to help make the decision:

1. Cost. Is it cost-effective to do it in-house? A negative answer favours the use of an external research agency.

2. Expertise. Is the necessary research expertise available within the firm? A negative answer favours the use of an external research agency.

3. Special equipment or software. Does the research study require special research equipment (e.g. eye camera) or software which is not available within the firm?

4 Need for secrecy. Is the research topic sensitive enough to raise alarm to fellow competitors when it is leaked out? A negative answer favours the use of an external research agency.

5. Political factors. Does the study involve highly controversial issues between personalities or departments within the firm?

6. Credibility.  The credibility of the findings will generally be enhanced if the study is conducted by a respected outsider.

7. Administrative considerations. Do current workloads and time permit the execution of the research study within the firm? A negative answer favours the use of an external research agency.