Make it yourself or outsource?

While most organizations collect and process internal information independently, they typically have considerable difficulty in collecting and processing of external information. Research on external sources can be implemented independently of the marketing department. It can also be outsourced, ie an agency specialized research. core environmental challenges such as independent research carried out is whether workers have the right personnel skills, technical and financial resources for research (ie to justify the behavior, or hire a group of investigators rent a room for interviews Focus). In the case of outsourcing, the main problem is cost.

How and why so expensive?

This question sums up the attitude of the leaders, ideally the company offers market research. It is believed that market research is expensive, and no matter how much you spend on it, the money will be fully exploited. Most complaints are made about the cost, time of completion (repeatedly extended deadlines), the type of reporting (unintelligible language, diagrams without commentary), the first endless preparations.

Of course, do not always so. There are agencies to carry out their duties fully, meet deadlines and still relatively cheap.

research costs for the employer

How much market research done from the perspective of an employer, namely the client of an agency research? Several cost elements can be distinguished: Time lost – through contact with the Agency, saved through good communication with the Agency; knowledge – to assess the research report, it is essential to decipher the numbers without comments, said psychological costs or lose patience in contacts with representatives of the Agency and to his superiors, saved thanks to fast and easy exchange of information with the Agency, and the price fixed by the Agency.

The most important is the price. While managers say they take into account a variety of different components in the selection of research organizations, the most significant and important to them the price and the question of how quickly the research is conducted. The dream of many managers looking for an agency to resolve the research problem within 24 hours free.

The pricing principle

According to the market research company, it is not easy to establish a price for your individual research. It is relatively easy to search for highly standardized, such as research omnibus. Difficulties arise with personalized search.

David Ogilvy said that the pricing is a guessing game. In part, it can be expressed this way. An example of the practical application of rate pricing may be a price quote for a tender. It’s like a game between participants in a tender to the client. In addition to fixing the minimum price, which contribute to the cost of the research itself is, each member of the financial capacity of the employer (which means that the employer and means, how it can spend research has to guess), and financial capabilities of competitors (the price they offer and how they can reduce the price).

The theory gives three principles of pricing:

* * * Cost of application competition

These three principles are simultaneously used in market research.

Every agency wants to conduct research at prices higher than the cost of research. The cost may depend in part on the type of research (qualitative research is less expensive than quantitative) methods of collecting and processing information (the phone is cheaper than the direct talks) are the size of sample and the availability (smaller sample cheaper, is not easily accessible respondents more expensive), the number of individuals in the conduct of research and technical expertise involved. In some cases, companies commit to a specific technology and the dumping of extra money to pay for research. It is possible that if the prospective client, for example, has announced a tender for the job, but most jobs can be expected later. examine

research organizations financial performance of a client if they have a price. But do not expect to do exactly the same search of a big business mogul and shoe manufacturers. This is not only a significant discount because of the smaller scale of activity. The research will be completely different, a methodology adapted to the needs and possibilities of the employer.

The market research firm is driven by fierce competition. It is therefore important to monitor how prices are set by competitors. Few choose to publish their price lists. Among the 39 research organizations, the names are in the media and advertising Almanac (Almanac medicine? Reklamy “) and those agreed with their own sites, only three, their prices do lists based on research and provides only the Whenever such price list.

give the issue of price lists

Why do most agencies, the prices of their services? Because that would mean standardization of research techniques and is inconsistent with what most organizations is important to note that the search is tailored to the needs and possibilities of the client makes. A lack of price lists contributes to the price as a tactical element, which is about space and allows flexibility in the relevant market.

In addition, the official price lists are sometimes a myth. Current prices are negotiated individually and are lower than those presented in the price lists. However, do not expect discounts as those known in advertising (40%), but it is possible that the initial price of 5-8% less.

What to do, so it cheaper?

A company plans to operate a market study, and at the same time, reduce costs significantly, has several options. Especially if the company intends to conduct quantitative research, it can reduce the sample to abandon or quantitative research in favor of qualitative research. On the other hand, can use the company has a small research agency, Research Institute Science and higher education. Third, the company may attempt to conduct research through its own marketing department.

As Compare offers?

offers market research through special agencies are compared to each other how can you compare a Fiat with a Mercedes does. You have one common characteristic – they are both cars. In addition, the differences are left. Just as not everyone has to drive a Mercedes, not every company has used the services of the ten largest research agencies in Poland. It depends on the needs and financial possibilities.

What should be considered in selecting the most appropriate offers?

* * If a report is included in the price of basic research or is it to pay for more?; />
If a report is sent to raw data in the form allows independent treatment? content;
* is a graphical representation of results (graphs and drawings) in the base price?;
* calculations are further changes (for example, during three months from the delivery of report) in the base price? ;
* Indicates additional compensation for respondents, the cost of research?

price comparisons

agencies to avoid comparing their offerings and especially the prices. So, there is virtually no research to present the standard prices of individual services. Most of them relate to market research expenditure, the income of the Agency, the number of interviews, but not prices.

market research should not be very expensive. It is high time to recognize that not only representatives of research (most expensive) has a meaning. The company has access to a range of methods which have different prices. Each method has its advantages and disadvantages, and that society itself should with the assistance of a possible search, benefits and costs of the judges of the method chosen. The general rule should not be forgotten, which means that research is conducted to minimize the risk of a poor decision and not the correctness of the activities that have begun to confirm.