Market Research

Introduction

What is market research?

Lesson’s Objectives

To have an awareness of different types pf market research

To understand the difference between Quantitative and qualitative analysis

Purpose of market research

Diamond rank cards

Using the key purpose of Market research

Decide which is the most to least important ‘purpose’ of market research

Types of Research

Market research is the collection of information or data to better understand what is happening in the market place. A firm's marketing department needs to know about economic trends, as well as consumers' views. Based on this information, they can put together a marketing plan, which will meet their own needs as well as those of their consumers.

There are two general types of research: Primary or field research Secondary or desk research

Primary or Field Research

Obtaining new data for a specific purpose. The marketing department of a firm or a specialist research organisation can provide this. Typically, the data is gathered by face-to-face interviews, by telephone or by post, using questionnaires. This is called a survey. Sometimes potential consumers are asked to test products, and their responses are recorded.

Field research has the advantage that the firm itself has control over the whole process. The disadvantages are that it takes longer, and costs more

Secondary or Desk research

This is the use of existing data that has already been collected.

It can be anything from a company's own sales statistics to Department of Trade and Industry reports. Other secondary sources of information include journals, company reports, government statistics, and surveys published by research organisations.

Traditionally, these have been paper-based, but more and more information is now available on CD-ROM or on-line through the Internet.

Desk research has the advantages of being cheaper and quicker than field research. The disadvantages are not knowing if the findings are accurate, or how relevant they will be to your product.

You decide: Which is desk and field research? Accounts Consumer panels Experiments Government statistics Group interviews High street surveys Internet results Loyalty cards Market research publications Observations On line surveys Sales record

Field = Primary

Desk = Secondary

Use your whiteboard

Write

PRIMARY on one side

And

SECONDARY on the other…

Now create a list in your notes

sorting these out into Primary

& Secondary

The results

Primary Consumer panels Experiments Group interviews High street surveys Observations On line surveys

Secondary Accounts Government statistics Internet results Loyalty cards Market research

publications Sales record

Quantitative research

Statistical basis Gathers numerically

measurable data Sampling plays a key role Data obtained through

surveys Concerned with obtaining

hard data

Age?Gender?

Income bracket?How often do you

shop at X?

Government statistics…

More Government statistics

UpMyStreet.com

How do you feel when you eat Haagen Dazs?

Qualitative research

Subjective and personal Gathers “soft” data Main purpose is to

understand consumer behaviour, attitudes and perceptions

Obtained by methods designed to get detailed responses

Research topics usually explored in some depth

Psychological opinions

Watch the DVD

Best of working Lunch

Clip 7 Researching the Market…

Key concepts include…

Consumer panel What is it? How does it operate? What are the

limitations of a consumer panel?

What is the difference between qualitative and quantitative?

Which is better?

How has ICT improved MR?

What’s the best way to research consumer views on LEGO? Zero Coke? Dulux Paint? Big Brother 2008? Ryan Air service

Heathrow to Belfast? Capital Radio? Nuts magazine

Would you use primary or secondary research?

Suggest 3 Qualitative Q’s & 3 Quantitative Q’s you’d

use?

What’s the connections?

Failed market research

Issues with Market Research and start up businesses? Can a start up business afford market

research? Can you afford not to do any research? What are the consequences of not doing

market research? What type of market research would a

start up business use?

Homework

This Friday – INSET

Revise for assessment…. Next lesson…. Monday

Everything that we have covered with me this ½ term.

Plenary

What is the difference between desk & field research?

Give me an example of a qualitative market research question?

Give me an example of a quantitative market research question?