Pros and Cons of Outsourcing Research

Here are a few of the pros and cons of doing your company�s marketing research in house vs. outsourcing to a marketing research company:

  • Marketing research companies bring an objective third party view to the research, but they don't know the ins and outs of your business like an internal employee might.

  • Professionals at marketing research companies have up-to-date knowledge of research and analysis tools, but they can't always communicate the value or outcomes to management as well as an internal employee might.

  • Outsourcing marketing research can be a costly expense, but decreased client headcount and various efficiencies marketing research companies can take advantage of can effectively minimize costs while maximizing value.

  • Marketing research companies have the ability to contact a high volume of customers, but they don't always represent the client's company as well as the company itself would.

  • Contracted marketing research companies provide a quick turn around for reports and help, but they might assign junior (less experienced) project managers to write the report.

When checking out marketing research companies, you should look for evidence of their financial stability and quality standards. You should consider the advantages and disadvantages of hiring large vs. small and local vs. out-of-state marketing research companies. Other important considerations may be the amount of experience within your industry, the type of research they specialize in, or their policies for assigning project management.

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