With the Indian economy growing steadily, the market research companies in India are also set for a boom. This is a far cry from its negligible presence two decades back.
Market research may have come to India a little late, but it has taken off with a bang! As the Indian economy grows and its talented workforce proves its mettle, local research as well as outsourced work is fuelling its growth story. Today Indian firms are not just engaged in the local market, they are fast emerging as the preferred choice in studying multi-national markets.
Market research companies in India have come a long way. Not too long ago there were just a handful of market research firms in India. Even these lacked the infrastructure that is so necessary for modern research. However, the last two decades have been revolutionary for Indian business and this has directly impacted the market research industry in India.
The pre-liberalisation eraMarket research may have come to India a little late, but it has taken off with a bang! As the Indian economy grows and its talented workforce proves its mettle, local research as well as outsourced work is fuelling its growth story. Today Indian firms are not just engaged in the local market, they are fast emerging as the preferred choice in studying multi-national markets.
Market research companies in India have come a long way. Not too long ago there were just a handful of market research firms in India. Even these lacked the infrastructure that is so necessary for modern research. However, the last two decades have been revolutionary for Indian business and this has directly impacted the market research industry in India.
The Indian economy can perhaps be sharply divided into its pre and post liberalisation phases. In its earlier avatar its face was completely different. With lack of competition, market research was hardly needed and rarely carried out. Most of the time these were broad surveys, meant to gauge the ‘mood’ of the local consumer.
The consumer, on her part, was exposed to a pretty monopolised market where there was little competition or exposure to foreign products. Since, the information technology boom was yet to happen, access to information, news or knowledge of overseas markets and products was also limited. This meant a consumer with fairly low expectations.
Market research companies also faced a serious infrastructure challenge. Many research practices that were deemed essential in developed markets like America were difficult to carry out because of lack of infrastructure. For instance, something as simple as telephone interviews were impossible because of lack of telecom penetration in the country. Market research labs were almost non-existent.
The result was a market that saw little innovation or a drive to meet customer expectations. Most of the research was quantitative in nature. Qualitative research, so essential to understand the consumer, was sorely lacking. This would change dramatically as the Indian markets opened up with liberalisation.
The post-liberalisation era
Liberalisation or the opening up of the Indian markets brought about two significant developments that would impact the market research companies in India — rising competition and development of infrastructure. One made market research essential and the other made it possible.
Competition and its impact: As the markets allowed both foreign and Indian investment, Indians suddenly had more choice than ever before. This meant they were less likely to stay loyal to the old brands. Newer companies were now vying for a share of the pie. This forced companies to find better products, spurring on product innovation and development. Suddenly, the old and trusted were no longer so sure of their position as new companies with better products and prices offered enticing alternatives.
For the first time the consumer was the king. It was becoming necessary to understand them and their rapidly changing expectations. Businesses now needed to stay a step ahead of the game. All this elevated market research from luxury to a dire necessity.
Infrastructure: While competition brought about the need for research, improving infrastructure made this possible. Indian market research firms had the means and the funds to invest in better technologies and hardware. Now, we have research labs that follow established practices. At the same time, telecom and the internet has made larger swaths of the population accessible for research.
Talent pool: Unlike many emerging economies India offers a talent pool that can compete with the best in the world. Indian professionals come from top educational institutions and are adept at English as well as local languages. The local competition has ensured an aggressive and result-driven industry that can match international standards.
The firm of choice
For foreign companies from countries like Singapore and UK, the development of the market research industry is just what they needed. For these firms, used to more homogenous markets, the Indian market can be bewilderingly chaotic and confusing. Research gives them a valuable insight into the very complex Indian market.
Market research companies in India are the helping hand they need for understanding the local consumer, markets, distribution and marketing channels. With more and more companies now fighting for the local market, the Indian market research industry is only set to expand further.
Source - http://www.apsense.com/article/the-changing-face-of-market-research-companies-in-india.html
Competition and its impact: As the markets allowed both foreign and Indian investment, Indians suddenly had more choice than ever before. This meant they were less likely to stay loyal to the old brands. Newer companies were now vying for a share of the pie. This forced companies to find better products, spurring on product innovation and development. Suddenly, the old and trusted were no longer so sure of their position as new companies with better products and prices offered enticing alternatives.
For the first time the consumer was the king. It was becoming necessary to understand them and their rapidly changing expectations. Businesses now needed to stay a step ahead of the game. All this elevated market research from luxury to a dire necessity.
Infrastructure: While competition brought about the need for research, improving infrastructure made this possible. Indian market research firms had the means and the funds to invest in better technologies and hardware. Now, we have research labs that follow established practices. At the same time, telecom and the internet has made larger swaths of the population accessible for research.
Talent pool: Unlike many emerging economies India offers a talent pool that can compete with the best in the world. Indian professionals come from top educational institutions and are adept at English as well as local languages. The local competition has ensured an aggressive and result-driven industry that can match international standards.
The firm of choice
For foreign companies from countries like Singapore and UK, the development of the market research industry is just what they needed. For these firms, used to more homogenous markets, the Indian market can be bewilderingly chaotic and confusing. Research gives them a valuable insight into the very complex Indian market.
Market research companies in India are the helping hand they need for understanding the local consumer, markets, distribution and marketing channels. With more and more companies now fighting for the local market, the Indian market research industry is only set to expand further.
Source - http://www.apsense.com/article/the-changing-face-of-market-research-companies-in-india.html
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