Market Research Competitive Intelligence & Market Analysis 2 — Questions and Answers
Question 1: What is 'market sizing' in competitive analysis research?
- Determining the physical size and layout of market locations
- Estimating the total revenue or sales volume available in a specific market (Correct answer)
- Sizing the research budget relative to the total market opportunity
- Measuring the geographic boundaries and reach of a target market
Correct answer: Estimating the total revenue or sales volume available in a specific market
Market sizing estimates the total addressable market (TAM), serviceable addressable market (SAM), and serviceable obtainable market (SOM) to assess business opportunity.
Question 2: What do TAM, SAM, and SOM represent in market analysis?
- Three different quantitative market research methodologies
- TAM is total market demand, SAM is the segment you can serve, SOM is the share you can realistically capture (Correct answer)
- Three levels of consumer needs: Total, Specific, and Optional
- Three forecasting time horizons: This year, All years, and Some years
Correct answer: TAM is total market demand, SAM is the segment you can serve, SOM is the share you can realistically capture
TAM (Total Addressable Market) is the overall revenue opportunity, SAM (Serviceable Addressable Market) is the portion you can reach, and SOM is your realistic market share target.
Question 3: What is 'perceptual positioning' research designed to reveal?
- How consumers physically perceive and process advertising visual content
- How consumers mentally position a brand relative to competitors on key attributes (Correct answer)
- How a brand positions itself in its own internal marketing materials
- The physical position and placement of products on retail shelves
Correct answer: How consumers mentally position a brand relative to competitors on key attributes
Perceptual positioning research reveals the mental map consumers hold of competing brands, showing differentiation gaps and opportunities for repositioning.
Question 4: What is 'competitive gap analysis' used for in market research?
- Measuring gaps in available competitive intelligence data sources
- Identifying differences between current performance and competitor or best-practice benchmarks (Correct answer)
- Analyzing geographic distribution gaps relative to competitive coverage
- Measuring the time lag between your product launches and those of competitors
Correct answer: Identifying differences between current performance and competitor or best-practice benchmarks
Competitive gap analysis compares a company's capabilities, performance, and positioning against competitors to identify areas of competitive disadvantage and priority for improvement.
Question 5: What is 'brand health tracking' research?
- Researching the physical condition of brand visual assets like logos
- Ongoing measurement of key brand metrics such as awareness, consideration, and preference over time (Correct answer)
- Tracking the financial health and market valuation of competing brands
- Monitoring employee satisfaction and engagement with the corporate brand
Correct answer: Ongoing measurement of key brand metrics such as awareness, consideration, and preference over time
Brand health tracking is a longitudinal research program that continuously monitors key brand performance indicators to detect trends, competitive threats, and campaign impact.
Question 6: What distinguishes 'primary competitive intelligence' from 'secondary competitive intelligence'?
- Primary intelligence is more important strategically; secondary intelligence is less critical
- Primary intelligence is gathered firsthand; secondary intelligence is gathered from published sources (Correct answer)
- Primary focuses on direct competitors; secondary focuses on indirect competitors
- Primary uses quantitative methods; secondary exclusively uses qualitative methods
Correct answer: Primary intelligence is gathered firsthand; secondary intelligence is gathered from published sources
Primary competitive intelligence involves directly gathering information through interviews and surveys, while secondary uses existing published sources like reports, patents, and press releases.
Market Research Competitive Intelligence & Market Analysis 2
What is 'market sizing' in competitive analysis research?