At its core, market research exists to solve problems and answer questions. Does your business want to better understand consumer sentiment? Market research can help with that. Does your business want to learn how to better serve their customers? Market research can help with that. You name it, market research can solve for it.
And it’s because of this, that market research insights oftentimes serve as the strategic foundation for many companies. Unfortunately, newer industries tend to avoid investing in market research despite the fact that these industries are the ones that are in the greatest need for research!
Take the crypto currency industry for example. While countless articles are published every day about the latest crypto scam or price capitulation, millions of people around the world still continue to hold and use crypto. It is because of this that crypto currency is in desperate need of research.
What is causing these scams? How can they be avoided? Why do people continue to HOLD despite these scams? What does the future hold?
However, it can be hard to know where to start on one’s research journey when there is no foundational research to build off of. Luckily, we, here at Echo, have outlined some of the key questions that can help these companies get started over the next few months:
At the end of the day, businesses are all competing against each other, and those that win are the ones that have the best products and the ones that create the best customer experiences.
Your restaurant can make the best food in the world, but if you are “cash only,” you are going to miss out on a ton of potential card-carrying customers. And in 10 years, the same may be said if you are a “card + cash only” restaurant and not a “card + cash + crypto” restaurant. It’s because of this that businesses need to start researching how to best integrate crypto into their accounting, payment portals, and overall infrastructure.
Currently, there are four major cryptocurrency exchanges in the United States: Coinbase, Gemini, Binance, and FTX.
The services offered by all four of these exchanges are very similar to each other, the user experiences across all four are equally positive, and the leadership/funding across all four is equally strong. So, what makes someone purchase all of their crypto from Coinbase instead of Gemini? That’s a great question and is exactly what these four exchanges should be looking into. Doing so, will allow them to optimize their apps for their users and will help them steal market share from their competitors.
As is the case with crypto exchanges, there are currently only a few trusted hardware wallet companies in the cryptocurrency space today. But there is very little that differentiates one wallet company from another.
This presents an amazing opportunity for these companies to start looking into what leads a customer to choose one wallet over another. Is it the value proposition? The pricing? Or something else entirely?
Perhaps the biggest hurdle that the cryptocurrency industry is currently facing is the fact that so many people are still afraid to jump in the pool. But why is this? Are people afraid of losing their money to hackers? Does the volatility scare them off? Or do they just not believe/understand the potential use cases for cryptocurrency?
Likely, the biggest deterrent is just a combination of all of these questions. However, I am confident that a simple segmentation analysis would find that certain groups of people are more put off by hackers than others. And I bet that other groups of people are more concerned with volatility than others. Once equipped with this knowledge, exchanges can craft marketing campaigns targeted towards these segments that will help quell any and all fears that are preventing them from investing. But in order to have the answers to these questions, market research must be conducted!
The last question in this list is a doozy. Is it the idea of a decentralized ledger that people find most confusing? Is it general blockchain technology that the uninitiated struggle to understand the most? Or is it the difference between Proof of Work vs Proof of Stake that is leaving people scratching their heads?
Regardless of the answer, cryptocurrency companies need to know what potential customers are struggling to understand so that they can help educate the population. Knowing this will help these companies make sure that everyone is equipped with the knowledge necessary to enter the industry in an informed and safe manner. If this can be done, the widespread adoption will surely follow suit.