Many SMEs in Vietnam spend tens of millions on advertising without generating orders because they do not clearly understand what market research is and when to conduct it. This is a common mistake in the context of increasingly fierce digital competition.
According to the report Vietnam Digital Landscape 2026 of AnyMind Group, Vietnamese consumer behavior is changing rapidly across each digital platform, forcing businesses to continuously update market insights. At the same time, the scale of the Vietnam retail market will reach approximately 269 billion USD in 2026 according to the Ministry of Industry and Trade, showing great potential but also fierce competition.
This article will help you understand the nature of market research, when to deploy it, and how to apply it in practice to optimize marketing effectiveness.
What is market research? Nature and role in marketing
Defining market research from a business perspective
Market research is the process of collecting, analyzing, and interpreting data about customers, competitors, and market trends. This is not just a simple survey but the foundation for all business decisions.
Effective research needs to answer 3 questions: who the customers are, what they need, and why they choose you or a competitor. Without this data, businesses easily fall into a state of “guessing”.
Based on the experience of DPS. MEDIA, SMEs should start with minimum data such as customer insights and purchasing behavior before deploying large campaigns.
Common types of market research
Businesses can apply many different types of research depending on specific goals.
- Customer research: analyzing needs, behaviors, and buying motives
- Competitor research: identifying strategies and strengths/weaknesses
- Product research: assessing market fit
- Trend research: monitoring industry changes
- Price research: determining the optimal price level
- Distribution channel research: optimizing customer touchpoints
The role of market research in digital marketing
Market research helps businesses reduce risks when investing in marketing. It allows you to identify the right customer segment, message, and appropriate channel.
For example, a cosmetics shop in District 1 once ran Facebook ads ineffectively due to targeting the wrong age group. After re-researching, they switched to TikTok and increased revenue by 220% after 3 months.
Ngược lại, một startup F&B bỏ qua nghiên cứu thị trường đã mở cửa hàng sai khu vực, dẫn đến lỗ 300 triệu chỉ trong 6 tháng trước khi điều chỉnh chiến lược.
When is market research needed? 6 times businesses cannot ignore
When launching a new product/service
This is the most important time. Without research, the product may not fit the needs.
Minimum threshold: need to survey at least 50–100 target customers before launching.
Tip: use online surveys and test landing pages to measure real demand.
When expanding markets or customer segments
Each market has different behaviors. For example, Southern and Northern customers have distinctly different shopping trends.
Benchmark: tỷ lệ chuyển đổi giảm >20% khi mở rộng là dấu hiệu cần nghiên cứu lại.
Tip: analyze Google Analytics data by region.
When marketing campaigns are ineffective
If advertising costs increase but orders decrease, the cause usually lies in wrong insights.
For example, a fashion business in Ho Chi Minh City reduced CPL by 35% after re-researching customer behavior and changing advertising content.
Tip: audit the entire marketing funnel before increasing budget.
When changing pricing strategy or positioning
Price changes can greatly affect brand perception.
Ngưỡng: nếu tăng giá >15%, cần test phản ứng khách hàng trước.
Tip: A/B test prices on the website or e-commerce platforms.
When competitors grow strongly
This is a signal that the market is changing.
For example, a local coffee brand lost 40% of customers after a competitor applied a stronger digital strategy.
Tip: monitor competitor ads and content through social listening tools.
When the business wants to optimize marketing costs
Research helps allocate budget more effectively.
Benchmark: ROAS below 2 is a sign that optimization is needed.
Tip: focus on channels with high conversion instead of spreading thin.
Professional market research process for SMEs
Define research objectives
Clear goals help avoid wasting resources. For example: increasing conversion or understanding customer insights.
Choose research methods
Businesses can choose qualitative or quantitative research.
| Method | Targets | Advantages | Limitations |
|---|---|---|---|
| Qualitative | Deep understanding of insights | Details | Difficult to scale |
| Quantitative | Measure | Easy to compare | Lacks depth |
Collect and analyze data
Data can come from surveys, Google Analytics, or market reports.
Apply insights into strategy
Insights only have value when applied in practice.
DPS. MEDIA recommends that businesses should integrate insights into advertising content and digital strategy to maximize effectiveness.
Common mistakes in market research
Relying on intuition instead of data
Many business owners believe in personal experience more than data.
Choosing the wrong research sample
A non-representative sample will lead to wrong conclusions.
Not updating new data
The market changes quickly, old data no longer has value.
Not transforming insights into action
This is the most common mistake.
Costs and ways to optimize market research for Vietnamese businesses
Common cost levels
| Type of research | Cost | Appropriate |
|---|---|---|
| Online survey | 5–20 million | SMEs |
| In-depth research | 50–200 million | Large enterprises |
When to hire an agency
When the business lacks data or analysis experience.
Market research support tools
- Google Trends to analyze search trends
- Facebook Audience Insight to understand customers
- SurveyMonkey for quick surveys
- Ahrefs to analyze keywords
- SimilarWeb to analyze competitors
How to measure research effectiveness
Effectiveness is shown through marketing KPIs such as conversion rate, CPL, and ROAS.
Market research is no longer an option but a requirement if businesses want to develop sustainably in a digital competitive environment.
- Understanding customers correctly helps increase conversion rates
- Reduce risks when launching new products
- Optimize marketing costs more effectively
- Discover new market opportunities
- Increase competitive advantage over rivals
If you are looking to build a marketing strategy based on real data in reality, DPS. MEDIA is a partner worth considering for SMEs in Vietnam.
