Marketing Research has two types of data; they are Primary Data and Secondary Data. As the name itself is indicative, primary data has to be collected and analysed from the basic. Secondary data talks about that data which already exists and has been gathered for purposes that are beyond the zone of existing research. The use of secondary data is seen widely in business problems because it increases the speed at which the problem is solved and makes the research work cost effective.
Secondary data that can be used by companies to aid decision making regarding business related concerns can be put into 5 different categories.
- Sales Activity Reports: These are internal to the organisation. These reports have data that is based on sales, competition, territory activities and different changes that take place in the market place, this kind of data helps the company to identify the potential target markets, understand the sales trends and competition. If the company has relevant data of this type, it would be able to predict its sales for the future and also estimate the revenue it would be able to make for its business.
- Customer Feedback form: This kind of data is again internal to the company. If the company is able to get the interests preferences and concerns of the customers on various parameters then it helps it to plan its products and services for the future.
- Annual Report, Competitor: Analysis of the competition is essential, rather mandatory to be able to become successful. Correlation of the activities of the competitor’s activities with the strategy of the company helps it to define its plan of action.
- Government Data: It is one of the most accurate sources of secondary data and it is a very helpful aid in determining the growing trends in the market and makes the company aware of the modifications in the rules and regulations in the market.
- Internet: This is an external source of data again, and with the ease of availability of all sorts of data online, it has become the most widely used means of secondary data retrieval. Most of the companies, whether private or Government, have their own websites which has rich information available for use and more than often, a lot of information that we access online is free of cost.