Online Market Research: What It Is and How To Do It

From building a business to buying a house, on Competitive analysisline market research is an effective tool for making sound decisions.

Oh, and it’s not just you. 

Over 53% of consumers do online research routinely, with an astounding 95% reading online reviews before making a purchase.

What is online market research?

Online market research takes secondary data from the internet or collects primary data online to support research or expand knowledge for a chosen topic. The information is then analyzed to inform or substantiate a theory.

Here are a few things you can do with digital market research:

• Discover new topics or content to write about
• Track consumer journeys
• See what creatives and ads perform well
• Find the best marketing channels
• Explore which markets are ripe for entry
• Analyze a target audience
• Research potential product or service improvements
• Benchmark your business
• Understand market dynamics and spot trends
• Find out what your competitors are doing and unpack their tactics
• Uncover new opportunities

Digital market research can help a company grow efficiently and effectively—supporting a business in its quest to stay relevant; and to survive and thrive in its market.

Take two, and hear first-hand from Harvard Business School Professor Rem Koning about the difference between traditional market research and state-of-the-art Digital Intelligence powered by behavioral data from Similarweb. 

Online market research methods

Almost all online market research methods can be grouped into two subcategories; primary or secondary market research. Within these two core groups, you also have qualitative and quantitative research methods to consider.

Here’s a quick explainer of the core four types of online market research, including what they are and how to use them.

Primary Market Research

This is the first-hand collection of data by an organization. It gives full control over what questions are asked. The data obtained isn’t freely available online to anyone else, and the person or company conducting the research retains full ownership of the information they acquire.

This type of research wasn’t always this easy to do online. Thanks to advancements in technology and the heightened use of video conferencing in our daily lives – many types of primary research can be done remotely. Market research surveys, online focus groups, and interviews are perhaps the most widely adopted form of online primary research online.

See below for a complete list of primary research types.

Secondary Market Research

This takes information from various sources online and repurposes it to inform or pad-out research into a chosen topic. It’s often quicker and cheaper to conduct than primary market research but offers fewer controls regarding research methodologies and customization. This data is freely available to anyone online, providing no exclusivity with the insights or information used.

This type of digital market research is also known as desk research and is a tried and tested way to gather facts or insights into a market, consumers, competitors, or products. Research reports, digital intelligence platforms, media outlets, and rival websites are some of the most relevant types of research.

But there are others

Aside from the core online market research methods, there are two other well-known research types to consider.

Qualitative Market Research

This type of digital market research looks at how people feel about a specific topic or brand. It takes more time to plan than most other forms of research, often with a smaller group of people. Let’s say you want to trial a new feature or product; you’d do this form of research pre-launch or post-trial to get under the hood and understand consumer sentiment.

As a form of primary data, it’s a highly tailored form of research that aims to give granular insights into why things are the way they are. Some of the most popular forms of qualitative research that can be done entirely online include focus groups, online forums, and interviews.

Read More: 83 Qualitative Research Questions & Examples

Quantitative Market Research

Quantitative market research is a numbers game. It’s a process that collects and analyzes data, dealing with primary and secondary information contained in a numerical format. The uses of quantitative market research include making predictions, trendspotting, finding patterns, and establishing averages in a market or business.

If an organization needs to do market sizing, market validation, and forecasting – they’ll usually use quantitative research to inform these activities. It can be done online when you need to gather numerical data from or about a target audience. It’s delivered in mixed formats, including raw data, charts, graphics, and tables. A common form of quantitative research that’s done online is a survey—specifically those using close-ended questions with answer options that have a numerical value. Once the values are collected, various analysis tools can be used to turn them into insights.

Read More: 98 Quantitative Market Research Questions & Examples

How to do market research online

As with any project, you must establish its goals, AKA your research objective. Once you have clarity on what you’re trying to achieve, you can map out how to get from point A to point B.

Here’s a quick explainer to guide you through the process.

1. Establish research objectives

Consider what you want to learn from your research. Are you trying to find which market could be best to enter next? Perhaps you need to find new opportunities for efficient growth. You might even want to flesh out some ideas for future enhancements to your product.

Whatever it is, write it down and make it your project goal.

2. Select the right online market research methods

Now you know your goal, it’s time to lay out the foundation of your online market research strategy. At this point, the only thing to consider is the type of data you need and the right types of market research to use to help you get it.

There are four core types of market research to choose from.

• Primary market research
• Secondary market research (also known as desk research)
• Qualitative market research
• Quantitative market research

Not sure where to start? Read this post to learn more about the different types of market research.

3. Prepare research materials

As with most things in life, the better prepared you are, the easier the task is to complete. Online market research is no different. This essential third step in the digital research process entails laying the foundations for what’s to come. This means you need to collate any:

• Tools
• Templates
• Research questions
• Delegation of any responsibilities

As someone who’s written extensively about doing online market research and spoken with many thought leaders and professionals about the topic, the biggest tip I can provide is this.

Pro Tip: Take a systematic approach to documenting your findings. Record everything in a workable file in a centralized space. Having a mishmash of files, data, and assets will slow you down when it comes to the analysis phase.

Whatever type of online market research you’re doing, finding a template to use a framework can help speed things up. We’ve put together a free pack of 6 templates for you below.

4. Conduct your research

Carry out your online market research. Set a time limit, and try to stick to it. Regardless of the type of digital market research you choose, always keep your research goal in mind. If you’re using tools like Similarweb Research Intelligence to do industry, company, or market research, then make sure you compare the right data sets that examine the same periods and location. 

For secondary research, ensure that any reports or stats are backed up with verifiable sources. And for primary research, specifically, focus groups or surveys – be open to needing to change the line or type of questions being asked if you don’t feel confident the feedback will answer your research question adequately.

5. Analysis time

This final step in doing online market research involves summarizing your uncovered data. If you took on board the tip about using a systematic way of collecting data, this is where your foundation-setting will really start to pay off.

Once the data is summarized, you can start to analyze and uncover key insights that give you answers to your initial research questions and help bring you closer to your goals.

The market research process is ongoing and should never be viewed as a one-time thing. The more often you conduct it, the more insights and information you’ll uncover.

If you’re new to online market research, check out some free market research courses via the Similarweb Academy.

Online market research tools

Historically, market research was an arduous task that took time to do. Often, it would be done quarterly or perhaps yearly, using data that was already, to some extent, outdated.

Thankfully, times have changed. 

Today, modern online market research tools deliver real-time market data and fresh insights as and when you need them.

• Online Surveys

A firm favorite for companies looking to get feedback fast. Surveys can be done with or without a mailing list; and shared on a website or on socials. Typeform and Survey Monkey.

• Market research intelligence platforms (like Similarweb)

Software like Similarweb can give you highly relevant, up-to-date information about any market, company, or topic. Most types of online market research benefit from using digital intelligence tools. The data is trusted, it’s dynamic, and it’s one of the quickest types of online market research you can do.

• Think with Google

Great for doing research into persona development, consumer insights, and digital trends.

• Answer the Public

If you’re doing online market research into a specific topic, this is a real gem of a tool. It shows

what questions people are asking online relative to your theme, and can give insights into a target audience and their relative concerns.

• The Internet

I know it sounds a little elementary, but there’s a world of information available online. From trade associations to research companies that provide syndicated research reports, through to your rivals and even their social media profiles – there are plenty of insights waiting to be uncovered.

Read our dedicated blog on the topic if you want to find more online market research tools.

Similarweb for online market research

Similarweb Digital Research Intelligence is your gateway to endless online market research insights. Whether analyzing an industry or market, doing competitive research, or examining a target audience and their online behaviors, you can do this and more from within a single platform.

Competitive analysis is one of the most valuable types of online market research any firm can do. It takes a rival’s website and unpacks its successes in its basic form. When you do this systematically with your industry leaders and rising stars, you can see what channels, keywords, social platforms, ads, and content work best in your market.

Here, you can view website traffic and engagement metrics, marketing channels, competition keywords, and core audience demographic information, like age, geographics, device split, and gender. It shows the specific tactics and successes of any site. 

Oh, and it’s not just for market research; you can also use Similarweb to do audience analysis, benchmarking, company research, and consumer journey tracking across the web, mobile, and app channels.

Wrapping up: online market research

Whether you’re just starting or part of an established firm, you face dilemmas that online market research can help solve. In the past, market research was timely and costly, but that’s not the case anymore. With tools like Similarweb, you have a world of information and insight at your fingertips.

It’s easier, quicker, and more resolute than ever before. 

Try it out, for free, for a week – and see what you can discover about your market and the people in it.

FAQs

What is online market research?

A type of digital market research conducted online. It uses primary, secondary, quantitative, or qualitative research methods and is designed to help inform strategy or uncover more information about a topic.

What are the benefits of online market research?

You can do online market research with little-to-no professional training, it’s quick to conduct, and almost anyone can access secondary research data on the internet. Online research tools like Similarweb can significantly speed up the time it takes to complete a research project.

What is the best type of digital market research?

The best type of market research will depend on three things—your research goals, the time available, and your resources. Choosing the correct method of research will be crucial to your success. Read our guide to the different types of market research to see which is best for you.