Marketing
Research
1
Marketing Research
The process of planning,
collecting, and analyzing data
relevant to a marketing
decision.
2
Roles of Marketing Research
Descriptive
 Gathering and presenting
factual statements
Diagnostic
 Explaining data
Predictive
 Attempting to estimate the
results of a planned
marketing decision
3
Management Uses of
Marketing Research
Improve the quality of decision making
Trace problems
Focus on keeping existing
customers
Understand the ever-changing
marketplace
4
Marketing Research Problem
Determining what
information is
needed and how that
information can be
obtained efficiently
and effectively
5
Secondary Data
Data previously collected for
any purpose other
than the one at hand.
6
Sources of Secondary Data
Internal Corporate Information
Government Agencies
Trade and Industry Associations
Marketing Research Firms
Commercial Publications
News Media
7
Advantages of Secondary Data
Saves time and money if on target
Aids in determining direction for
primary data collection
Serves as a basis of comparison
for other data
8
Disadvantages of Secondary
Data
May not be on target with the research
problem
Quality and accuracy of data may pose a
problem
9
The New Age of Secondary
Information: The Internet
Search Engines
and Directories
www
Sites of Interest to
Marketing Researchers
(AMA, FTC, American
Demographics, etc.)
Discussion Groups
Periodical, Newspaper, and Book Databases
10
Research Design
Specifies which research
questions must be answered,
how and when the data will
be gathered, and how the
data will be analyzed.
11
Primary Data
Information collected for the
first time. Can be
used for solving the particular
problem under
investigation.
12
Advantages of Primary Data
Answers a specific research question
Data are current
Source of data is known
Secrecy can be maintained
13
Disadvantages of Primary Data
Expensive
Quality declines if interviews /
questionnaires are lengthy
Reluctance to participate in lengthy
interviews
Disadvantages are
usually offset by the
advantages
of primary data!
14
Survey Research
The most popular technique
for gathering primary data in
which a researcher interacts
with people to obtain facts,
opinions,
and attitudes.
15
Forms of Survey Research
In-Home Interviews
Mail Surveys
Mall Intercept Interviews
Executive Interviews
Telephone Interviews
Focus Groups
16
Focus Group
Seven to ten people who
participate in a group
discussion led by a
moderator.
17
Advantages of
On-Line Focus Groups
Speed
Cost-effectiveness
Broad geographic
scope
Accessibility
Honesty
18
Questionnaire Design
Open-Ended
Question
An interview question that
encourages an answer phrased in
respondent’s own words.
An interview question that asks
Closed-Ended
the respondent to make a selection
Question
from a limited list of responses.
ScaledResponse
Question
A closed-ended question
designed to measure the intensity
of a respondent’s answer.
19
Types of Questions in
Questionnaire Design
20
Questionnaire Design
Clear and Concise
No Ambiguous Language
Qualities
of
Good
Questionnaires
Unbiased
Reasonable Terminology
21
Observation Research
A research method that relies
on three types of observation:
people
watching people
people
watching an activity
machines
watching people
22
Observation Research
People
Watching
People
Types of
Observation
Research
People
Watching
an Activity
Machines
Watching
People
Mystery Shoppers
One-Way Mirrors
Audits
Traffic Counters
Passive People Meter
23
Mystery Shoppers
Researchers posing as
customers who gather
observational data about
a store and collect data about
customer-employee
interactions.
24
Experiment
A method a researcher uses
to gather primary data in
which one or more variables
are altered to determine their
affect on another variable.
25
Sampling Procedure
Sample
A subset from a large population.
Universe
The population from which
a sample will be drawn.
26
Sampling Procedure
Universe
Sample
Probability
Samples
Non-Probability
Samples
27
Probability Samples
Probability
Sample
A sample in which every element in
the population has a known
statistical likelihood of being
selected.
Random
Sample
A sample arranged so that every
element of the population has an
equal chance of being selected.
28
Nonprobability Samples
Nonprobability
Sample
Any sample in which little or
no attempt is made to get a
representative cross-section
of the population.
Convenience
Sample
A form of nonprobability sample
using respondents who are
convenient or readily
accessible to the researcher.
29
Types of Errors
Measurement
Error
Error when there is a difference
between the information desired and the
information provided by research
Sampling
Error
Error when a sample somehow does not
represent the target population.
Frame
Error
Error when a sample drawn from a
population differs from the
target population.
Random
Error
Error because the selected sample is
an imperfect representation of
the overall population.
30
Field Service Firm
A firm that specializes in
interviewing respondents on a
subcontracted basis.
31
Field Service Firms
Provide:
Focus group facilities
Mall intercept locations
Test product storage
Kitchen facilities
Retail audits
32
Data Analysis
One-Way Frequency Counts

Record responses to a question
Cross-Tabulation
33
Cross-Tabulation
A method of analyzing data
that lets the analyst look at
the responses to one
question in relation to the
responses to one or more
other questions.
34
Preparing and Presenting
the Report
Concise statement of the research
objectives
Explanation of research design
Summary of major findings
Conclusion with recommendations
35
Following Up
Were the recommendations followed?
Was sufficient decision-making information
included in the report?
What could have been done to make
the report more useful to management?
36
Impact of the Internet
Allows better and faster decision making
Improves ability to respond quickly to
customer needs and market shifts
Makes follow-up studies and research
easier
Slashes labor- and time-intensive research
activities
37
Advantages of Internet Surveys
Rapid development,
Real-time reporting
Reduced costs
Personalized questions
and data
Improved respondent
participation
Contact with the
hard-to-reach
38
Internet Samples
Unrestricted
Internet
Sample
A survey in which anyone with
a computer and modem can fill out
the questionnaire.
Screened
Internet
Sample
An Internet sample with quotas
based on desired sample
characteristics.
Recruited
Internet
Sample
A sample in which respondents
are prerecruited and must
qualify to participate.
39
Sales Forecasting
Companies also use market research in
order to predict future sales.
Look at historical data, sales analysis and
predict what sales will be in the future.
**Important always but, even more so if
your company is launching a new product
or installing a new marketing plan based
on research factors.
40