the mkt research process

The Role of Symptoms in Problem recognition

"Sales are down" - Managers must be careful to avoid confusing symptoms with problems. - Managers must be aware that the symptoms are not the problem but "signals" that alert us of the problem. - the problem may be found among all those factors that are causing lower sales

A research objective should be very specific and should satisfy four criteria:

- Specify from whom the information is to be gathered - Specify what information is needed - Specify the unit of measurement used to gather information - Word questions used to gather the information, in the respondents‟ frame of reference"

Step 1: When is Marketing Research not needed?

- When the information is already available - When the timing is wrong to conduct marketing research...must react now! - When Funds are not available for marketing research. - When Costs outweigh the value of marketing research.

mkt research process

1: Establish the need for Marketing Research 2: Define the Problem 3: Establish research objectives 4: Determine research design 5: Identify information types and sources 6: Determine methods of accessing data 7: Design data collection forms 8: Determine the sample plan and size 9: Collect data 10: Analyze data 11: Prepare and present the final research report

Step 9: Collect Data

Errors in collecting data may be attributed to fieldworkers or respondents and they may be either intentional or unintentional. • It is important that the researcher knows the sources of these errors and implements controls to minimize them

"The formulation of a problem is often more essential than its solution."

How a problem is defined sets the direction for the entire project. A good definition is necessary if marketing research is to contribute to the solution of the problem. A bad definition dooms the entire project from the start and guarantees that subsequent marketing and marketing research efforts will prove useless. Nothing we researchers can do has so much leverage on profit as helping marketing define the right problem.

Step 3: Hypotheses

Since hypotheses are essentially statements of the decision alternative's assumed consequences, they can be very helpful in determining the research objective.

Step 2: The Role of the Researcher in Problem Definition

When management defines the problem in terms of a decision to be made - Researchers should ensure managers are defining the problem correctly. • Gibson wrote: - "researchers must resist the temptation to go along with the first definition suggested." - "They should take time to conduct their own investigation and to develop and consider alternative definitions"

Step 3: Action Standards

pre-designation of some quantity of a measured attribute or characteristic that must be achieved for a research objective in order for a predetermined action to take place. - The purpose of the action standard is to define what action will be taken given the results of the research findings - Action standards require you to make important decisions before you collect your information and serve as clear guidelines for action once the research is over

Recognizing the Problem

the only thing worse than having a problem is to have a problem and not be aware that you have it!

Step 8: Determine Sample Plan and Size

• A population consists of the entire group that the researcher wishes to make inferences about • A sample is a subset of the population. • Sample plans describe how each sample element, or unit, is to be drawn from the total population. • The size of the sample determines how accurately your sample results reflect values in the population

Step 3: Criteria for Research Objectives (continued)

• From whom are we gathering information? • The research objective should not only specify who is to provide the information sought, but also state how these persons are to be included in the sample • What constructs do we wish to measure? - Memory, relevance, believability, understandability, likeability, attitude, and intention to purchase are examples of constructs. What is the unit of measurement? - The construct "intention to buy" may be measured on a scale ranging from either 1 to 5 or 1 to 7 or 1 to 10 points. - Researchers can access sources of information that provide them with operational definitions needed to measure many constructs • When formulating research objectives, the information requested of respondents must be worded in the respondent's frame of reference - Every industry has its own jargon and this jargon is to be avoided

Step 2: Problem vs Opportunity

• Gap between what was supposed to happen and what did happen, i.e., failure to meet an objective. - This is what we normally think of when we think of "a problem" • Gap between what did happen and what could have happened - This is called an opportunity because the situation represents a favorable circumstance or chance for progress or advancement

Step 2: Problem definition

• If the "Problem Is Confirmed" and the decision to be made is stated, we are now ready to proceed to the "Specification of the Decision" which includes "Specify Decision Alternatives" • However, if the researcher cannot confirm the problem as stated by management, the researcher must discuss the situation with management • If the researcher cannot convince the manager to abandon an ill-defined problem, the researcher is confronted with an ethical dilemma

Step 2: Defining the Problem (continued.)

• In defining the problem, managers must first determine what decisions they must make. • Secondly, they must ask if they have adequate information already available to them to make the decision. • Managers should not conduct marketing research "just to know something" because marketing research takes times and money to conduct

Step 1: Establish the Need for Marketing Research

• Inadequate information signals the need for marketing research • company policy: - not conducting marketing research - conducting different types of studies on a continuous basis at specified intervals - certain types of studies being used whenever a particular situation occurs - marketing research conducted on an "as needed" basis - preference for a type of marketing research, i.e. focus groups - Can the information be obtained from the internal report systems, the marketing intelligence system, or the decision support system? - When the information is not available, the researcher should consider conducting marketing research

Step 1: Research has greater value when

• It helps clarify problems or opportunities? • it identifies changes that are occurring in the marketplace among consumers and/or competitors? • it identifies the best alternative to pursue among a set of proposed alternatives? • it helps your brand gain a competitive advantage?

Step 2: Determine Probable Causes of symptoms

• It is important to determine all possible causes. If only a partial list of causes is made, it is possible that the real cause will be overlooked and we will specify the incorrect decision to be made. • After listing all possible causes, the researcher should narrow down the possible causes to a small set of probable causes, defined as the most likely factors giving rise to the symptom.

Step 2: When To Conduct a Situation Analysis

• Managers may call researchers when they sense that something is wrong and they need help in diagnosing the situation. - Here the researcher's task is more involved and the researcher should undertake a situation analysis • When management has previously defined the problem, marketing researchers should conduct a situation analysis to ensure the problem has been properly defined

Step 11: Presenting the Final Research Report

• Preparing and presenting the marketing research report is very important because, often, this is the only record of the research project for the client. • Reports follow a fairly standard report-writing format, which is illustrated later.

Problem Definition

• Regardless of the source, when managers recognize there is a problem, they must define the problem by identifying the decision alternatives • Whether management defines the problem independently and then calls upon marketing research, or management calls upon marketing research to help define the problem, in both cases the researcher plays an important role

Step 3: Establish Research Objectives

• Research objectives tell the researcher exactly how to obtain the information necessary to allow the manager to choose between the decision alternatives • Research objectives are totally dependent on the problem but they are different in that they state what the researcher must do • Research objectives state specifically what information must be produced by the researcher so that the manager can choose the correct decision alternative to solve the problem

Step 5: Identify Information Types and Sources

• Since research provides information to help solve problems, researchers must identify the type and sources of information they will use - Primary information: information collected specifically for the problem at hand - Secondary information: information already collected

Step 2: Specification of the Deci

• Specify decision alternatives to alleviate the symptom - Decision alternatives include any marketing action that the marketing manager thinks may resolve the problem • Consequences of the alternatives - Consequences are the results of marketing actions. What are the most likely consequences we can anticipate with each decision alternative? - If we do not know these consequences, marketing research can help us by providing information that allows us to predict the consequences • Identify the manager's assumptions about the consequences of the alternatives • Decision makers make assumptions when they assign consequences to decision alternatives. Assumptions are assertions that certain conditions exist or that certain reactions will take place if the considered alternatives are implemented • the manager's assumptions must be analyzed for validity • If we do not feel that information is adequate to make certain assumptions, then we will likely need new information-information gathered by conducting marketing research

symptoms

• Symptoms are changes in the level of some key monitor that measures the achievement of an objective. • Symptoms: Sales are falling; market share is down; customer satisfaction is down; product returns are up; complaint letters are up.... • The role of the symptom is to alert management to a problem; there is a gap between what should be happening and what is happening.

The Marketing Research Proposal

• The marketing research proposal serves several functions: - It states the problem - It specifies the research objectives - It details the research method proposed by the researcher to accomplish the research objectives - It contains a time table - It contains a budget

Step 2: Problem definition

• The most important step • a problem well defined is a problem half solved • if the problem is incorrectly defined, all else is wasted effort

Step 3: Information Gaps

• The researcher should ask questions about the current information state and determine the desired information state. • The researcher seeks to identify information gaps, which are discrepancies between the current information level and the desired information level of information at which the manager feels comfortable resolving the problem at hand. • Ultimately, information gaps are the basis for establishing research objectives • Exactly what information is needed in order to close the information gap? This question leads us to the next step, creating research objectives

Step 2: Validate the Symptoms of the Problem

• The researcher should clarify or validate the symptoms. - Are we certain we can place faith in the symptoms? - Are symptoms true? - Can the symptoms be corroborated by other factors identified in the situation analysis? - Are the symptoms aberrant? Are they likely to appear again? • It is the researchers role to explore and question the problem

Step 7: Design Data Collection Forms

• The survey or questionnaire must be worded objectively, clearly, and without bias in order to communicate with respondents

Step 4: Determine Research Design

• There are three widely recognized research designs: - Exploratory - Descriptive - Causal

Step 2: A Process for Defining the Problem and the Research Objective

• There is no one universally agreed upon process for defining the problem and the research objective.

Step 10: Analyze Data

• This includes basic descriptive analysis to summarize your data • Also involves generalization of values generated from sample data to the population, and how to test hypotheses

Step 6: Determining Methods of Accessing Data

• When obtaining data, there are 4 main choices: - a person asks questions - Use computer assisted questioning - Allow respondents to answer questions themselves without computer assistance - Use a combination of the above three methods