Market research helps online businesses understand customers, competitors, and trends to make smart choices. If you're launching a new product or growing your store, research helps you find the right audience, set good prices, and stay ahead of competitors.
This guide will show you simple steps to gather and use market data.
Steps to conduct market research for the Ecommerce industry
Market research for ecommerce can help you understand your market and make informed decisions.
Here are the steps:
1. Define your objectives
Start by deciding what you want to achieve, like launching a new product or entering a new market. This keeps your research focused.
Secondary Research
- Keyword Research: Use tools like Semrush, and Google Keyword Planner to see what people search for, helping gauge demand.
Let me cite an example:
We used Semrush to find the top-performing products and topics covered by Wayfair online store.

This will help a related competitor to plan their content and product prioritisation strategy.
- Competitor Analysis: Study competitors’ websites and social media to learn their strategies and pricing, using tools like SimilarWeb.
- Market Trends: Look at reports from Statista or Allied Market Research to spot growing markets.
- Social Media Monitoring: Follow influencers and monitor hashtags on platforms like Instagram to understand customer preferences.
Primary Research
- Surveys: Create surveys with tools like SurveyMonkey to ask potential customers about their needs.
- Focus Groups: Talk to small groups to get detailed feedback on your product ideas.
- Customer Feedback: Read reviews on platforms like Amazon to see what customers like or dislike.
NOTE:
Consainsights simplifies market research with expert primary and secondary research.
Our team conducts surveys, focus groups, and customer feedback analysis to gather real insights, helping businesses make informed decisions and stay ahead in the eCommerce market.
👉 Here’s a sample of our healthcare market research insights.
Build and Test
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Create a simple version of your store to test the market, using platforms like Shopify.
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Use A/B testing to try different prices or designs and see what works best.
Analyze Data
Iterate and Refine
This approach helps you understand your customers and market, with tools making it easier to gather and analyze data.
Detailed Market Research Guide for Ecommerce
Market research for ecommerce is a critical process to understand your target audience, competition, and market trends, ensuring informed decision-making for your online business.
This guide provides a comprehensive, step-by-step approach, drawing from various industry insights and practical methods, and includes detailed tools, metrics, and examples to support your research efforts.
1. Secondary research: leveraging existing data
Secondary research involves analyzing existing data to gain insights without direct customer interaction. This phase is cost-effective and provides a broad market overview.
Keyword research
This step helps determine product demand and supports inbound marketing strategies. Use tools like Google Keyword Planner, Ahrefs, or SEMRush to analyze search volumes.
For example, high search volumes for “organic skincare” indicate consumer interest, though profitability needs further analysis.
Competitor Analysis: Analyze competitors’ business models, sales funnels, and websites to identify gaps and opportunities.
Look at dropshipping, third-party logistics (3PL), pricing, marketing tactics, returns policies, and user experience.
Use Google Trends to compare competitor popularity over time.
Social Media Monitoring
Follow influencers and monitor hashtags to gauge customer sentiment and trends. Analyze competitor posts for engagement rates and content strategies.
For instance, a 26- to 35-year-old demographic showed high social media use in Q3 2020, with brands leveraging micro-influencers and user-generated content (UGC) for engagement.
2. Primary research: direct customer insights
Primary research involves collecting data directly from your target audience, offering specific and actionable insights. This can be more resource-intensive but is crucial for understanding customer needs.
Surveys
Design online surveys to gather feedback on customer preferences and pain points. Tools like SurveyMonkey and Typeform facilitate distribution.
For example, a survey might reveal that 65% of respondents prioritize “free delivery” as the most important factor, based on a 2020 International Post Corporation survey.
Focus Groups and Interviews
Conduct in-depth discussions with small groups or individuals to explore customer perceptions.
This is particularly useful for developing ideal customer profiles and testing product ideas.
For instance, focus groups can help identify that customers find a product “not soft enough,” a common pain point.
Customer Feedback Analysis
Review ratings and reviews on platforms like Amazon to understand likes, dislikes, and ideal customer demographics (e.g., age, gender, nationality).
Filter by star ratings to focus on specific feedback.
Here’s an example of gathering product data from Amazon:
Understand customer’s feedback from reviews:

In fact, Amazon gives you a summary of all product reviews based on different parameters:

3. Building and testing: market validation
After gathering initial insights, test your ideas in the market to validate demand and refine strategies.
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Prototype or Minimum Viable Product (MVP): Set up an online store using platforms like BigCommerce, Shopify, or WooCommerce. Drive traffic through SEO, content marketing, social media, or performance marketing to test customer response. For example, start with a simple store to gauge interest in a new product line.
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A/B Testing: Experiment with different elements, such as pricing, product descriptions, or website layouts, to see what resonates with customers.
Data analysis: turning insights into action items
Collect and analyze data to understand customer behavior and the effectiveness of your strategies.
Website Analytics
Use Google Analytics to track traffic, user behavior, and sales data. Monitor metrics like purchase conversion rates, top-referring websites, and device usage.
For example, identify where customers drop off in the sales funnel to optimize user experience.
Social Media Insights
Analyze engagement rates, follower growth, and post-performance on platforms like Instagram, Linkedin and Facebook.
Here’s an example from LinkedIn data insights:

The above screenshot from LinkedIn shos the type of audience who engage with your posts.
This helps refine social media strategies, such as increasing shoppable posts or collaborations with influencers.
Survey and Feedback Analysis
Use text analytics to process large volumes of survey responses and customer feedback, identifying common themes like delivery concerns or product quality issues.
For instance, if 60% of feedback mentions slow shipping, consider partnering with faster logistics providers.
4. Iteration and Refinement: Continuous Improvement
Market research is an ongoing process. Use the following insights gained to refine your offerings and stay competitive.
Continuous Feedback Collection
Regularly survey customers and monitor reviews to stay updated on changing preferences.
For example, if customers start requesting eco-friendly packaging, consider adopting sustainable practices.
Stay Updated with Trends
Keep an eye on industry reports and competitor activities. For instance, if a competitor launches a loyalty program with 365-day returns, evaluate if this could work for your business.
Here are ways you can stay updated with the latest news in your industry:
Competitor Benchmarking
Regularly revisit competitor analysis using tools like SimilarWeb or Jungle Scout (for Amazon sellers). If a competitor introduces a subscription model with free shipping (e.g., Amazon Prime), test a similar loyalty program.
Social Listening
Use tools like Brandwatch or Mention to monitor conversations about your industry on platforms like X or Reddit. For instance, a surge in posts about sustainable fashion could signal a pivot toward greener products.
Trade Shows and Events
Attend virtual or in-person ecommerce events (e.g., Shopify Unite or IRCE) to learn about emerging tools and strategies directly from industry leaders.
👉 Read our weekly guides on custom market research
Iterative Strategy Adjustment
Market research for ecommerce is not a one-time task—it’s an ongoing cycle of learning, testing, and refining.
Iterative strategy adjustment involves using the insights you’ve gathered from secondary research, primary research, and data analysis to continuously improve your offerings, marketing tactics, and operational processes.
Post-Purchase Surveys
Send automated emails or in-app prompts after a purchase using tools like Klaviyo or SurveyMonkey. Ask specific questions like “What did you like about your purchase?” or “What could we improve?”
For example, if 30% of respondents mention slow shipping, prioritize logistics upgrades.
Review Monitoring
Actively track reviews on your website, marketplaces like Amazon, or social media. Use sentiment analysis tools (e.g., Hootsuite Insights) to identify recurring themes. If customers frequently complain about packaging waste, consider switching to eco-friendly materials.
Customer Support Insights
Analyze support tickets and live chat logs to spot pain points. For instance, if many inquiries relate to unclear return policies, update your website with a more prominent FAQ section.
Net Promoter Score (NPS)

Image source: oxatis.com
Measure customer loyalty by asking, “How likely are you to recommend us to a friend?” on a scale of 0-10.
You can use tools like Delighted to track NPS over time and identify detractors (scores 0-6) for follow-up.
Market research tools for the ecommerce industry
Here’s a table listing key tools for each research phase, with examples and purposes:
Tool
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Description
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Price
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Ecommerce relevance
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Statista
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Offers data trends and reports across 170 industries and 150 countries, with visualizations like graphs for easy trend analysis.
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Basic free, Plans at $39/month
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Provides ecommerce market size, consumer preferences, and competitor analysis via charts.
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Think With Google
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Utilizes Google Trends for search popularity, Market Finder for new markets, and Rising Retail Categories for sales trends.
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Free
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Identifies trending ecommerce products, predicts hot items, and compares market fit.
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SurveyMonkey
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Easy-to-use survey tool for targeted audience feedback, offers global panel, translation, and reporting dashboard.
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Plans start at $25/month
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Gathers ecommerce customer purchase insights, product development feedback, and audience-specific data.
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Typeform
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Mobile-friendly survey tool with one-field-at-a-time format, supports multiple-choice, open-ended, and scale ratings.
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Plans start at $25/month
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Collects ecommerce customer feedback casually, useful for product development surveys.
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Tableau
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Business intelligence platform connecting data sources, transforms unstructured data into visualizations.
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Plans start at $15/month
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Streamlines ecommerce data analysis, visualizes sales trends, and customer insights.
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Meltwater Radarly
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AI-powered platform for real-time consumer insights from online conversations, detects patterns, and understands audience sentiments.
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Contact for pricing
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Helps analyze consumer preferences and buying habits for ecommerce targeting.
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Attest
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Digital focus groups and surveys with rapid responses, analyzes results, and offers consumer insights, pay-per-response model.
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Contact for pricing
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Enables ecommerce feedback on products, buying habits, and audience profiles.
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Answer the Public
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Free search listening tool compiling Google autocomplete questions for product development and content marketing.
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Free
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Identifies ecommerce customer questions, aids in product improvements, and content strategy.
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BrandMentions
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Social media monitoring tool showing keyword buzz, reach, performance, and mentions for launch planning.
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Contact for pricing
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Tracks ecommerce brand mentions, competitor analysis, and launch buzz on social platforms.
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Heartbeat AI
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AI tool for sentiment analysis, recognizes themes in text data, turns insights into visuals.
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Contact for pricing
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Analyzes ecommerce customer sentiments on brands/products, useful for reputation management.
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Discuss
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AI-powered qualitative research with video, note-taking, and highlight reels for capturing insights.
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Contact for pricing
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Enhances ecommerce focus groups, captures customer perceptions for product strategy.
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U.S. Census Bureau
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Provides demographic data (family sizes, income levels, populations) with customizable maps and tables.
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Free
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Offers ecommerce market demographic insights, industry saturation via NAICS codes.
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How consainsights can help you in doing custom Ecommerce market research
If you want to grow your online store, you need to understand your market, customers, and competition.
Consainsights makes this easy by providing custom eCommerce market research to help you make smart business decisions.
1. Learn About the Market
We study trends, customer behaviour, and new opportunities in eCommerce. Our research covers 13,000+ markets worldwide, so you get the best insights to help your business grow.
2. Understand Your Competition
Knowing what your competitors are doing can help you improve. We analyze pricing, product strategies, and customer engagement to show you how to stay ahead.
3. Find the Right Customers
We help you identify your ideal customers by studying their interests, buying habits, and needs. This way, you can create better ads and products that attract the right people.
4. Set the Best Prices & Plan for the Future
Our pricing research helps you find the best price for your products. We also predict future trends so you can plan and stock the right items.
Why Choose Consainsights?
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Research on 13,000+ markets
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Expert advice for online businesses
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Custom reports made just for you
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Affordable and delivered on time
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A skilled team of market researchers
For example:
If you run an online fashion store, we can help you understand the latest clothing trends, popular styles, and customer preferences.
Our research will also show you which age groups prefer certain types of clothing and how to price your products to increase sales.
👉 Explore our custom market research services

Start Growing Today
Want to grow your eCommerce business?
Contact us at [email protected] or visit www.consainsights.com to learn more!