How does market research impact brand positioning?

Market research significantly influences brand positioning by providing insights into consumer needs, preferences, and market trends.

Market research is a critical tool for businesses to understand their target audience and the competitive landscape. It involves gathering, analysing, and interpreting information about a market, about a product or service to be offered for sale in that market, and about the past, present, and potential customers for the product or service.

In terms of brand positioning, market research can provide valuable insights into what consumers value most in a product or service, and how they perceive different brands in the market. This information can help a business to position its brand in a way that resonates with its target audience and differentiates it from competitors. For example, if market research reveals that consumers in a particular market value sustainability, a business might choose to position its brand as environmentally friendly.

Furthermore, market research can help a business to identify gaps in the market that it can fill with its brand. For instance, if there is a demand for a particular type of product or service that is not currently being met, a business can position its brand to meet this demand.

Market research can also provide insights into how a brand is currently perceived in the market. If a brand is not perceived in the way that a business intends, it may need to reposition its brand. For example, if a brand is perceived as being expensive and exclusive, but the business wants to appeal to a broader market, it may need to reposition its brand as being more affordable and accessible.

In conclusion, market research plays a crucial role in brand positioning. It provides the information that a business needs to position its brand in a way that appeals to its target audience and differentiates it from competitors. Without market research, a business would be positioning its brand in the dark, without a clear understanding of what its target audience wants or how its brand is perceived in the market.