MARKETING RESEARCH ESSENTIALS WITH DATA ANALYSIS IN EXCEL AND SPAA McDaniel │ Gates │ Sivaramakrishnan │ Main Chapter Three: Secondary Data Collection and Management LEARNING OBJECTIVES Chapter Three: Secondary Data Collection and Management • Understand what secondary data is, as well as its advantages and disadvantages • Describe how firms create an internal database • Explain the process of data mining • Understand behavioural targeting • Describe the implications of marketing research on privacy concerns • Describe the types of information management systems Secondary Data • Research results that are already published • May be found internally (within a company) or externally (outside the company) • Should seek both if possible • Collect secondary data first—before primary data (new data gathered to help solve the problem under investigation) Advantages of Secondary Data • Saves time, money, and inconvenience • Can help to clarify or refine the issue or problem • Might provide solution to research problem • Might provide primary data research alternatives • Can alert the researcher to research problems • Provides background information, enhancing research credibility • May provide the sample frame Limitations of Secondary Data • • • • Lack of availability Not relevant Insufficient Inaccurate information: always ask yourself: 1. 2. 3. 4. 5. Who collected the data? What was the original study’s purpose? What was collected and how? When was it collected? Is it consistent with other data? Internal Databases • A collection of related information developed from data within the organization • Can be created from sales information • Is used as a marketing tool Internal Databases • Database Marketing • Marketing that relies on the creation of a large computerized file of customers’ and potential customers’ profiles and purchase patterns to create a targeted marketing mix • Allows for individualized direct marketing and customer relationship management Internal Databases Neural network – a computer program that mimics the processes of the human brain and is capable of learning from examples to find patterns in data Data mining • The use of statistical and other advanced software to discover non-obvious patterns hidden in a database • Used in marketing for: • • • • Customer acquisition Customer retention Customer abandonment Market basket analysis Internal Databases Behavioural targeting • the use of online and offline data to understand a consumer’s habits, demographics, and social networks in order to increase the effectiveness of online advertising Internal Databases Battle over privacy: • Identity theft • Government actions – laws to protect personal information and privacy • Payment for revealing private information Internal Databases Marketing research aggregators: • A company that acquires, catalogues, reformats, segments, and resells reports already published by large and small marketing research firms • A growing area • Examples: AllNetResearch.com, Profound.com, USADATA.com Information Management Geographic Information Systems (GIS): • Computer-based system • Uses secondary and/or primary data to generate maps • Visually displays various types of data geographically Decision Support Systems (DSS): • Interactive, personalized information management system • Designed to be initiated and controlled by individual decision-makers • View company information as you wish to see it • Can also ask what if questions Copyright Copyright © 2014 John Wiley & Sons Canada, Ltd. All rights reserved. Reproduction or translation of this work beyond that permitted by Access Copyright (the Canadian copyright licensing agency) is unlawful. Requests for further information should be addressed to the Permissions Department, John Wiley & Sons Canada, Ltd. The purchaser may make back-up copies for his or her own use only and not for distribution or resale. The author and the publisher assume no responsibility for errors, omissions, or damages caused by the use of these files or programs or from the use of the information contained herein.