Marketing Research

What is the most popular way to collect primary data in marketing research?

Descriptive research

Different types of external suppliers

Full-Service and Limited-Service

Problem Identification Research

Research undertaken to help identify problems which are not necessarily apparent on the surface and yet exist or are unlikely to arise in the future. -ex. market potential, market share, image, market characteristics

Problem Solving Research

Research undertaken to help solve specific marketing problems -ex. segmentation, product, pricing, promotion, and distribution research

What is the first step in the marketing research process?

defining the problem

Problem definition begins with

discussions with the key decision makers

Quantitative Research

is a research methodology that seeks to quantify the data and typically applies some form of statistical analysis

Focus Group

is an interview conducted by a trained moderator in an unstructured and natural manner

How do a cross sectional and longitudinal design differ?

longitudinal sample(s) remain the same over time

Overview of Syndicated data

look at slide 33-36 chapter 3

All of the following are examples of topics typically addressed by problem-solving research except -segmentation -market share -promotion -product -pricing

market share

Institutional Data

may be obtained from retailers, wholesalers, or industrial firms

Which of the following classifications of marketing research involves going below the surface to identify the true underlying problem that the marketing manager is facing?

problem identification

Single-Source Data

provide integrated information on household variables, including media consumption and purchases, and marketing variables, such as product sales, price, advertising, promotion, and in-store marketing effort

Which statement is not true about research design?

research design is undertaken before developing the approach to the problem

Role playing

respondents are asked to play the role or assume the behavior of someone else

Types of Marketing Research Suppliers

Internal and External

Methods of Descriptive Research

-Surveys -Panels -Observational and other data

Distribution Research

-Types of distribution -Attitudes of channel members -Intensity of wholesale & resale coverage -Channel margins -Location of retail and wholesale outlets

Projective Techniques

-an unstructured, indirect form of questioning that encourages respondents to project their underlying motivations, beliefs, attitudes, or feelings regarding the issues of concern

Marketing Research Problem

-asks what information is needed and how it should be obtained -Information oriented -Focuses on the underlying causes

Adavantages of Online Focus Groups

-geographical constraints are removed and time constraints are lessened -you can re-contact group at later date -can recruit people not typically interested in focus groups -moderators can carry on side conversations with individuals -lower cost

Psychographic Lifestyle Data

-interest in golf -interest in winter skiing -interest in book reading -interest in running

Depth Interviews

-like focus groups are unstructured and direct way of obtaining information -unlike focus groups, however, depth interviews are conducted on a one-on-one basis -typically lasts 30 minutes to more than an hour

Demographic Data

-sex -name, address, phone number -marital status -age -etc.

Conclusive Research Design (Findings)

Conclusive

Qualitative Research (Sample)

small number of non-representative cases

Management Decision Problem

-Asks what the decision maker needs to do -Action oriented -Focused on symptoms

Segmentation Research

-Determine the basis of segmentation -Establish market potential and responsiveness for various segments -Select target markets

Conclusive Research Design (Characteristics)

-Information needed is clearly defined. -Research process is formal and structured -Sample is large and representative -Data analysis is quantitative

Exploratory Research Design (Characteristics)

-Information needed is defined only loosely -Research process is flexible and unstructured -Sample is small and non-representative -Data analysis is qualitative

Promotional Research

-Optimal promotional budget -Sales promotion relationship -Optimal promotional mix -Copy decisions -Media decisions -Creative advertising -Evaluation of advertising effectiveness

Pricing Research

-Pricing policies -Importance of price in brand selection -Product line pricing -Price elasticity of demand -Initiating and responding to price changes

Methods of Exploratory Research

-Survey of experts -Pilot surveys -Secondary data analysis -Qualitative research

Product Research

-Test concept -Determine optimal product design -Package tests -Product modification -Brand positioning and re-positioning -Test marketing -Control score tests

Advantages of a Focus Group

-group interaction produces a wider range of information, insights, and ideas than do individual interviews -one persons comments can trigger unexpected reactions from others -responses are generally spontaneous and candid, providing rich insights

Disadvantages of Online Focus Groups

-only people that have access to the internet can participate -verifying that a respondent is a member of a target group is difficult -there is a lack of general control over the respondent's environment -only audio and visual stimuli can be tested, cant touch products -difficult to capture body language and emotions

Disadvantages of a Focus Group

-the clarity and conviction with which group members often peak leads to a tendency for researchers and managers to regard findings as conclusive rather than as exploratory -difficult to moderate, skills of moderator are important -the unstructured nature of the responses makes coding, analysis, and interpretation difficult

The Marketing Research Process

1. Defining the problem (KNOW) 2. Developing an approach to the problem 3. Formulating a Research a Research Design 4. Doing field work/collecting data 5. Preparing & analyzing data 6. Preparing & presenting the report

Common errors in defining the market research problem

1. Problem is too broad 2. Problem is too narrow

Components of a Research Design (don't need to memorize)

1. Secondary and syndicated data analysis 2. Qualitative research 3. Survey and observation research 4. Experimental research 5. Measurement and Scaling Procedures 6. Questionnaire and form design 7. Sampling process and sample size 8. plan of data analysis

Qualitative Research (Outcome)

Develop an initial unerstanding

Conclusive Research Design (Outcome)

Findings used as input into decision making

Exploratory Research Design (Outcome)

Generally followed by further exploratory or conclusive research

Quantitative Research (Sample)

Large number of representative cases

Qualitative Research (Data Analysis)

Nonstatistical

Quantitative Research (Outcome)

Recommend a final course of action

Management Decision Problem Cont.

Should a new product be introduced? Should the advertising campaign be changed? Should the price of the brand be increased?

What is single-sourced data used for?

Single-source data are used by consumer packaged goods companies, like P&G, to design integrated marketing programs for households.

Quantitative Research (Data Analysis)

Statistical

Quantitative Research (Data collection)

Structured

Exploratory Research Design (Findings)

Tentative

Marketing Research Problem

To determine consumer preferences and purchase intentions for the proposed new product. To determine the effectiveness of the current advertising campaign. To determine the price elasticity of demand and the impact on sales and profits of various levels of price changes

Uses of Causal Research

To understand which variables are the cause (independent variables) and which variables are the effect (dependent variables) of a phenomenon *an experiment is the main method of causal research

Qualitative Research (Data Collection)

Unstructured

The Problem Audit

a comprehensive examination of a marketing problem with the purpose of understanding its origin and nature

Longitudinal Design

a fixed sample (or samples) of population elements is measured repeatedly on the same variables

Hypothesis

an unproven statement or proposition about a factor or phenomenon that is of interest to the researcher. Often, a hypothesis is a possible answer to the research question.

Syndicated Services

are companies that collect and sell common pools of data of know commercial value designed to serve a number of clients *can be classified based on the unit of measurement (households/consumers or institutions)

Secondary Data

are data which have already been collected for purposes other than the problem at hand. This data can be located quickly and inexpensively. *secondary data are of primary importance in marketing research

Primary Data

are originated by a researcher for the specific purpose of addressing the problem at hand. The collection of primary data involves all six steps of the marketing research process.

Research questions

are redefined statements of the specific components of he problem

__________ research is typically more formal and structured than __________ research.

conclusive; exploratory

A type of research design involving the one-time collection of information from any given sample of population elements is called ___________.

cross-sectional design

____________ is very versatile and can be used at any point in the study

exploratory research

An overall indication of the dependability of the data may be obtained by examining the cost of the source (T/F)

false

What are respondents asked to do in a projective technique?

interpret the behaviors of others -in interpreting the behavior of others, respondents indirectly project their own motivations, beliefs, attitudes, or feelings into the situation

Cross Sectional Design

involves the collection of information from any given sample of population elements only once

Research Design

is a framework or blueprint for conducting the marketing research project. It details the procedures necessary for obtaining the information needed to structure or solve marketing research problems.

Qualitative Research

is an unstructured, exploratory research methodology based on small samples that provides insights and understanding of the problem setting

Primary data vs Secondary data (cost)

primary data is very expensive compared to secondary data

Word Association

respondents are presented with a list of words, one at a time and asked to respond to each with the first word that comes to mind.

Third person technique

the respondent is presented with a verbal or visual situation and the respondent is asked to relate the beliefs and attitudes of a third person rather than directly expressing personal beliefs and attitudes.

Marketing Research

the systematic and objective -identification -collection -dissemination -use of information

Advantages of projective techniques

they may elicit responses that subjects would be unwilling or unable to give if they knew the purpose of the study

Exploratory Research Design (Objective)

to prove insights and understanding

Conclusive Research Design (Objective)

to test specific hypothesis and examine relationships

A projective technique in which respondents are presented with a list of words one at a time is called ___________

word association