Market Research Merry-Go-Round: Not So Merry

In the merry-go-round of market research metrics, the GRIT Report serves as a conscientious scorekeeper, giving us the lowdown on who’s up, who’s down, and who’s spinning their wheels. Last year’s GRIT Insights Practice data took us on a bit of a roller coaster, showcasing a notable dip in the number of insights organizations who managed to exceed their organizational goals—a metric that feels like it's measured with optimism as its foundation.

Buyer-side market researchers and field services providers seemed to stick to their guns, with changes in goal achievement that could easily be statistical noise. Full-service research suppliers and strategic consultancies, who evidently found themselves a bit more bogged down, missing their overachievement badges by 5% and 6%, respectively. 

The real head-turners are the technology and data analytics providers. They seemed to have left their compass at home, veering off by 20% and 12% (often their goals are very much stretch goals because they are capable of both substantial growth as well as substantial contraction). Yet, in a twist worthy of a daytime soap opera, budget sizes and revenue trends didn't always tag along with performance, hinting at a disconnect that even the savviest of financial analysts might furrow their brows at.

The real plot thickener comes with the curious case of financial rewards seemingly divorced from exceeding goals. Take technology providers, who despite their poorer show in 2022, saw a revenue increase of 19%. This definitely suggests that goals are not always in alignment with revenue.

It's possible that the pandemic years—with their changing bars and adjusted expectations—gave many a false sense of security or achievement, which the post-pandemic reality is now correcting. As we emerge blinking into the harsh light of a post-COVID world/pre-AI (at least, fully implemented), it seems that not only are the goalposts shifting, but they might be on different playing fields altogether.

So, what do we make of all this? GRIT’s data paints a picture of an industry in flux, grappling with new normal, old habits, and changing needs. The insight sector has proven its resilience and ability to navigate change. But as we move forward, the challenge will be in aligning the feel-good factor of exceeding goals with the cold hard cash of financial metrics. After all, in the market research merry-go-round, the ride never really stops—we just have to get on a different horse.

Looking ahead, the biggest shifts in the insights industry could revolve around the integration of emerging technologies and evolving market dynamics. As GenerativeAI matures, we’re likely to a shift in both efficiency and efficacy. Additionally, the increasing emphasis on real-time data and predictive analytics could redefine benchmarks for success in the industry. Market research is on the cusp of a transformative evolution, driven by technological innovation, massive data (public and proprietary) and the pursuit of deeper insights.