Most companies do not have a Market Intelligence department and, unsurprisingly, most new businesses fail. Those that do succeed likely use some elements of this field—perhaps without even knowing it.

An entrepreneur finds a new market opportunity, a competitor leaves the market, or a new technology changes the entire business landscape: these are situations where it isn’t hard to figure out how to be successful.

However, the larger a company becomes, the more important it is to have people dedicated to MI (market intelligence).

Microsoft can create a new operating system that nobody wants. But, thanks to the massive PC market, high profit margins, and the customer base they have, they can stay in business and recover.

However, firms that don’t have millions to spend on getting it right the second time around need people to research the market, analyze trends, and track key competitors.

Defining Market Intelligence (MI)

Market Intelligence (MI) is the combination of marketing data (Big Data) and its analysis to make sound business decisions.

Core functions included:

  • Marketing research (customers and business environment)
  • Market analysis (opportunities, trends, and changes)
  • Competitive analysis (products and strategy)
  • Reporting (impact and recommendations)

MI works like a library: information is gathered from credible sources, analyzed, and distributed to decision-makers and sales departments within organizations.

To be as productive as possible, MI must focus on both short-term and long-term needs:

  • The short-term focus responds to changes within the organization or any other factors that may impact current sales or new product development efforts. Necessary action: immediate analysis and communication of the potential impact
  • The long-term focus centers on future changes and product strategies, new opportunities, changes in the competitive landscape, or consumer habits.

marketing intelligence

Implementing MI

MI is an extremely powerful tool that helps you run your business. Before using a tool with such potential, it is important to evaluate your company’s resources:

  • SWOT analysis
  • resources that can be allocated to MI (people, budget, relationships with research consultancy firms, training, and know-how)
    short and long-term needs (what is the strategy you are taking?)
  • top management’s commitment to growing and supporting this new function
  • the company’s positioning in relation to its stated vision and values

To create an MI library, research tools and facilities are needed for the employees who will be doing the work.

Additionally, funds must be invested in research reports from specialized firms, competitor products (for analysis), and market research to fill the remaining gaps.

Benefits of MI

MI starts showing its value when the Sales and Production departments regularly send information about customers and competitors to become part of the MI library. Every piece of information helps create an overview for the entire company, helping to understand the market, customers, and competitors.

Analyses that target questions related to the reasons why certain decisions were made rather than those related to what happened are desirable. These will help top management better understand the motivations of customers and competitors, giving them the opportunity to react in ways that have an impact on turnover.

The MI department (just like an external consultant) is objective. The people here look at the market or a specific product through the customer’s eyes and speak on their behalf. They judge a company product by comparing it with those of the competition, highlighting strengths and weaknesses.

For example, it is the MI department’s job to say if a product is “ugly” or will not sell – which means that this job should not be given to so-called “yes-men” or those who always tell their bosses what they want to hear…

About us

MKOR Marketing Consulting is the consultant you can rely on when you need market research or related consulting. With dozens of research projects conducted since our founding, we have the experience to create and lead market research, as well as interpret the results.

The founder of MKOR Marketing Consulting is Corina Buzatu, a marketing specialist with over 8 years of experience. She is an MBA student at Cotrugli Business School and a graduate of the Public Relations master’s program at Babeș-Bolyai University Cluj. She has worked with large and small companies, but she likes start-ups the most, having two of her own: MKOR Consulting and Top Panouri Solare (the only lead-generation site in the solar industry in Romania).

To contact us, please use the Contact page.