marketing research process.ppt

8/10/2019 Marketing research process.ppt

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Marketing research process

1. The marketing research

process


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Marketing research

is the function which links the consumer,

customer and public to the marketerthrough information.The information is used to :

identify and define marketing opportunities and problems;

generate, refine and evaluate marketing actions;

monitor marketing performance;

Improve understanding of marketing as a process.


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The mission of marketing research

department:

To gather, analyze and interpret marketing

and other relevant information needed fordecision making at all levels of management.

These activities should be performed in a

cost- effectivemanner and with high

professional standards.


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The 3 major functions of marketing

research are:

2. Risk assessment of future programs.

When considering alternative marketing strategies,the marketing manager should test them against

different scenarios.

3. Monitoring of current programs

Marketing research plays a key role in monitoring


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The marketing research is used to:

Forecast the sales of existing and new products

Refine new product concepts

Understand competitors

Identify marketing segmentation opportunities

Understand how customers in different market segments make

buying decisions

Determine what price to charge Understand how customers perceive the product and the

company


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The research process consists of 6

steps:

1. Problem definition.

2. Information needs.3. Type of study or research exploratoryto obtain preliminary information that will help

better define the problem

descriptiveto describe things such as the market potential

for a product, the demographics and attitudes of consumerwho buy the product.

causal to test hypotheses about cause and effectrelationships.


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The research process consists of 6

steps:

4.Data collectionat this stage depending on the kind ofinformation needed, the researcher must establish the specific

data sources, including the sample of people or organizationsstudied.

5. Data analysis and conclusionssome person,either internal or external, must analyze the data and draw

conclusions that address the stated problem.6. Reportinga report is usually written to communicate the

findings to the marketing organization and other relevant

groups.


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2. Secondary data sources

Secondary

information sources

are those that alreadyexist and were not

developed for the

particular problem.

Marketing managers almostalways consult secondary data

before the use of primary data

collection.

Secondary

data

Less

expensive

More

available

Quickly

to obtain


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Types of secondary data sources:

1. Internal sources: Past marketing plans (strategic and statistical information)

Sales department and salespeople (information aboutcompetitor activities, changes in attitudes and behavior bychannels of distribution, customer attitudes toward theproduct)

Accounting department (detailed information on transactions,

stock keeping units, catalogue retailers, details on sales) Research and development department (benchmarking

provides excellent information about the competitors costs,technology and quality


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3. Primary data sources:

- Are those that are

generated for the

particular problembeing studied.

Primary

data

InformalQualitative

research

Quantitative

research


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Informal research:

- It is often useful to collect information from friends,

relatives, customers and informal observation.

Although these sources may not berepresentative samples, such information can

help you form hypotheses about the quality of

competitors products and marketing strategy.


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Qualitative research:

Usually involves small samples of customers and producesinformation that does not lead directly to decisions but isvaluable as an input for further research. Qualitative researchmy be done :

1. Focus- Group is a small group of people typically chosen fortheir membership in various target groups of interests. Thepeople could be consumers, influencers of buying decisions,former customers or noncustomers etc. these people are

usually brought together in a room and have a discussion abouta topic chosen by the marketing manager and led by aprofessional moderator. He develops a report on hisconclusions.


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Focus-Group:

Advantage it is an inexpensive way to do

research, is a valuable source of information for

keeping in touch with customers.

Limitsthe sample is small, not all behaviors

generalizable and the results can be misleading.


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Quantitative research:

Involves statistical analysis of data inorder to provide descriptive results. It isapplied to a large number ofrespondents. It may be obtained trough:

1. Survey- performed by administeringquestionnaires to people. The twoprimary issues for the manger toconsider are the sample and varioussurvey approaches that can be used.


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Survey approaches:

Personal interview

Telephone interview Mail

Internet


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2. Experimentis the only true way to

determine cause and effect.Types of experiment:

Laboratory experiment is run in an artificial

environment. ( store, classroom etc)

Field experiment takes place in realistic

environments


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3. Panel is a set of customers who are enlisted to give

responses or to provide data repeatedly over a

period of time.

The main benefit of a panel is the ability to observe

changes in behavior caused by changes in mk

variables.

There are several problems:

Panel dropout

Sample is not always representative

marketing research process.ppt

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