Quantitative market data provides measurable information about your market. It answers “what, who, how much, and how many” questions to complement the “why” questions from qualitative data. The best and most used method for getting such data is conducting surveys.
You’ve likely filled customer surveys in various forms in the past. With the ability to conduct easy and scalable online surveys these days, there’s really no excuse not to do them.
If you already have a solid customer base, email list, or social media following, distributing surveys is easy.
There are three things you need to pay attention to when creating a survey:
Make sure that you either distribute it to people who qualify as your potential customers or add survey questions to qualify them as such.
Have a representative sample to draw conclusions from. You can get an idea of the sample size you need by plugging your numbers into a sample size calculator. Even if I take the whole US population into account, it only takes 600 survey participants to be 95% confident that the data is accurate within ±4%. You’ll likely need a much smaller sample.
Ask the right questions. I’ll expand on this.
You should always know why you’re asking a specific question in the survey. Generally speaking, you’ll want to know this about the market:
Demographic data like age or income.
Attitudinal data, like if they agree/disagree with certain statements relevant to your niche. An example of this would be the following question using the Likert scale:
Behavioral data about consumers’ preferences and satisfaction.
If you have the budget, you can hire an agency to conduct a survey on your behalf or buy consumer reports from research and advisory companies like Forrester. If not, it’s worth spending a little time Googling marketing research reports because some might be available for free.
c) Market segmentation
Your goal here is to create a grid that divides the whole market into customer segments that share behavioral traits like product needs. If those segments also share demographic data like age or income brackets, even better, but that doesn’t happen too often.
This is already an application of the data gathered in the previous steps.
Here’s what proper market segmentation might look like for an email marketing service provider:
The workload like this whatsapp number list allows both the vendor and the affiliate to focus on. Clicks are the number of clicks coming to your website’s URL from organic search results.
Note that this example isn’t based on any proper research or actual numbers. It’s here for you to understand the logic behind it.
As you can see, each segment should be described by:
A fitting name describing their common behavioral trait and/or product needs
Size of the segment (people or companies)
Annual value of the segment
Your current market share in the segment
The most challenging part of segmentation is coming up with the grid itself. In other words, by which behavioral traits do you divide the market? You should get the best answers for this in your previous data research.
Don’t worry about data accuracy here. Use the data you have about the market, extrapolate from your representative samples in your quantitative research, and make a few guesses. These estimations are good enough for you to decide which segments you’ll want to target.