Conducting Effective Market Research in the Trade and Construction Sectors

In any industry,  understanding your market is the foundation of sustainable success. And that is certainly true in in the complex world of construction. Whether you are a local builder or trade, a specialist contractor, or a supplier, effective market research helps you make smarter decisions, stand out from competitors, and deliver what your customers want.

 

Why Market Research Matters in Construction

The construction sector is unique. Projects can be complex and involve multiple stakeholders. And despite what customers may tell us, buying decisions are rarely based on price alone.

Market research provides the insights you need to:

• Identify where demand is growing (for example, in energy-efficient materials, refurbishment work, or home extensions.)

• Understand what matters to different decision-makers (including homeowners, architects, contractors, or developers)

• Benchmark your business against competitors

• Reduce risk when launching new products or services

 

Steps to Conducting Market Research

1. Define Your Objectives

Start by clarifying what you want to learn. Are you testing demand for a new service? Trying to understand why customers choose your competitors? Or looking to identify new niches? Setting clear goals ensures your research is focused and actionable.

2. Use Both Secondary and Primary Research

Secondary research (also known as desk research) involves gathering existing data-such as government reports, industry publications, and looking through competitor websites. This is a cost-effective way to get a broad view of market trends and customer needs.

Primary research means collecting new data directly from your target audience. This can include surveys, interviews, focus groups, or even informal chats with customers on-site. Primary research gives you specific insights tailored to your business.

3. Leverage Technology and Data Tools

Modern tools can make market research faster and more accurate. AI-driven platforms, CRM integrations, and online survey tools help you gather and analyse data efficiently.

For example, using project databases or social media listening tools can reveal trends and customer sentiment in real time.

4. Understand Your Stakeholders

Construction projects involve various decision-makers, such as home-owners, architects, contractors, and developers. Each will have their own priorities. Market research helps you identify what matters to each group, from sustainability standards to ease of installation or cost control.

5. Benchmark Against Competitors

Regularly review your competitors’ offerings, marketing, and customer feedback. This helps you spot gaps in the market, refine your positioning, and ensure you are not falling behind on key trends like sustainability or digital adoption.

Practical Examples for Trade and Construction Businesses

Example 1: Surveying Local Contractors

A small building supplies company could send out a short online survey to local contractors, asking about their biggest challenges, preferred brands, and what would make them switch suppliers. This direct feedback can guide stock decisions and customer service improvements.

Example 2: Analysing Competitor Websites

A specialist trades business might regularly review competitors’ websites and social media to see what services they promote, what customer reviews say, and how they price their work. This can highlight opportunities to differentiate-such as offering faster turnaround times or better aftercare.

Summary

Effective market research isn’t just for big players. It is a powerful tool for any trade or construction business that wants to grow. By combining desk research, customer feedback, and competitor analysis, you’ll gain the insights needed to make confident decisions, reduce risk, and deliver real value to your clients.

Take Action

• Set a clear objective for your market research.

• Choose one simple method, such as a customer survey or competitor review to get started.

• Use your findings to make one practical change in your business, whether that is refining your service offering, updating your website, or targeting a new customer segment.

Up Next: Forget the USP! How Focusing on Four Key Strengths Makes Your Business One of a Kind.

In our next post, we’ll explore why the traditional “Unique Selling Proposition” might be holding your business back, and how identifying and promoting your four key strengths can set you apart in the crowded construction market.

Found This Useful?

I hope you've found this post on conducting effective market research in the trade and construction sectors helpful. If you would like to discuss how to carry out market research for your business, please email me. You can also connect with me on LinkedIn. If you would like to talk about your construction company's digital marketing strategy, feel free to reach out as well.

About the Author

John Wright started his career in the construction industry at Kennedy Builders Merchants in the 1980s. This marked the beginning of a 35-year journey in sales, marketing, and business development in construction.

In 2016, John transitioned into digital marketing as an it’seeze web design franchisee, before founding RBC Marketing in 2022. Today, he uses his strong knowledge of the construction industry along with marketing skills. He helps construction companies create a strong online presence. He also drives business growth through both digital and traditional marketing strategies.