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1 What Is Marketing Research

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Marketing Research: An Applied Orientation

Seventh Edition

Chapter 1
Introduction to Marketing
Research

Copyright © 2019, 2010, 2007 by Pearson Education, Inc. All Rights Reserved.
Redefining Marketing Research (1 of 2)
The American Marketing Association (AMA) redefined
Marketing Research as:

The function that links the consumer, the


customer, and public to the marketer through
INFORMATION

Copyright © 2019, 2010, 2007 by Pearson Education, Inc. All Rights Reserved.
Redefining Marketing Research (2 of 2)
Used to identify and define
market opportunities and
problems

Generate, refine, and


Information evaluate marketing
performance

Monitor marketing
performance

Improve understanding of
marketing as a process

Copyright © 2019, 2010, 2007 by Pearson Education, Inc. All Rights Reserved.
Definition of Marketing Research
Marketing research is the systematic and objective
– identification
– collection
– analysis
– dissemination
– and use of information
For the purpose of improving decision making related to the
– identification and
– solution of problems and opportunities in marketing

Copyright © 2019, 2010, 2007 by Pearson Education, Inc. All Rights Reserved.
Classification of Marketing Research
Problem-Identification Research
• Research undertaken to help identify problems which are
not necessarily apparent on the surface and yet exist or
are likely to arise in the future. Examples: market potential,
market share, image, market characteristics, sales
analysis, forecasting, and trends research.
Problem-Solving Research
• Research undertaken to help
solve specific marketing problems.
Examples: segmentation, product,
pricing, promotion, and distribution
research.
Copyright © 2019, 2010, 2007 by Pearson Education, Inc. All Rights Reserved.
A Classification of Marketing Research
Figure 1.1 A Classification of Marketing Research

Copyright © 2019, 2010, 2007 by Pearson Education, Inc. All Rights Reserved.
Problem-Solving Research
Table 1.1 Problem-Solving Research
Determine basis of segmentation
Establish market potential and responsiveness for various segments
Select target markets and create lifestyle profiles, demography, media, and product image
characteristics
Product Research Promotional Research
Test concept Optimal promotional budget
Optimal product design Sales promotion relationship
Package tests Optimal promotional mix
Product modification Copy decisions
Brand positioning and repositioning Media decisions
Test marketing Creative advertising testing
Control store tests Claim substantiation
blank Evaluation of advertising effectiveness
Pricing Research Distribution Research
Importance of price in brand selection Type of distribution
Pricing policies Attitudes of channel members
Product line pricing Intensity of wholesale and retail coverage
Price elasticity of demand Channel margins
Response to price changes Location of retail and wholesale outlets

Copyright © 2019, 2010, 2007 by Pearson Education, Inc. All Rights Reserved.
Marketing Research Process (1 of 2)
Step 1 : Problem Definition
Step 2 : Development of an Approach to the Problem
Step 3 : Research Design Formulation
Step 4 : Fieldwork or Data Collection
Step 5 : Data Preparation and Analysis
Step 6 : Report Preparation and Presentation

Copyright © 2019, 2010, 2007 by Pearson Education, Inc. All Rights Reserved.
Marketing Research Process (2 of 2)
Step 1: Defining the Problem

Step 2: Developing an Approach to the Problem

Step 3: Formulating a Research Design

Step 4: Doing Field Work or Collecting Data

Step 5: Preparing and Analyzing Data

Step 6: Preparing and Presenting the Report

Copyright © 2019, 2010, 2007 by Pearson Education, Inc. All Rights Reserved.
Marketing Research Suppliers & Services
(1 of 2)

Figure 1.3 Marketing Research Suppliers and Services

Copyright © 2019, 2010, 2007 by Pearson Education, Inc. All Rights Reserved.
Selected Marketing Research Career
Descriptions (1 of 3)
Vice President of Marketing Research: The senior position in
marketing research. The vice president (VP) is responsible for the
entire marketing research operation of the company and serves on the
top management team. This person sets the objectives and goals of
the marketing research department.
Research Director: Also a senior position. The research director has
the general responsibility for the development and execution of all the
marketing research projects.
Assistant Director of Research: Serves as an administrative assistant
to the director and supervises some of the other marketing research
staff members.
(Senior) Project Manager: Has overall responsibility for design,
implementation, and management of research projects.
Statistician/Data Processing Specialist: Serves as an expert on
theory and application of statistical techniques. Responsibilities
include experimental design, data processing, and analysis.
Copyright © 2019, 2010, 2007 by Pearson Education, Inc. All Rights Reserved.
Selected Marketing Research Career
Descriptions (2 of 3)
Vice President of Marketing Research Director
Research
• Also part of senior
• Part of company’s top management management
team
• Heads the development and
• Directs company’s entire market execution of all research
research operation projects
• Sets the goals & objectives of the
marketing research department Assistant Director of Research
• Administrative assistant to director
• Supervises research staff members

Senior Project Manager


• Responsible for design, implementation, & research
projects

Copyright © 2019, 2010, 2007 by Pearson Education, Inc. All Rights Reserved.
Selected Marketing Research Career
Descriptions (3 of 3)
Senior Analyst
• Participates in the development of projects
• Carries out execution of assigned projects
• Coordinates the efforts of analyst, junior analyst, & other personnel in the
development of research design and data collection
• Prepares final report

Analyst Statistician/Data Processing


• Handles details in execution of • Serves as expert on theory and
project application on statistical techniques
• Designs & pretests questionnaires • Oversees experimental design, data
• Conducts preliminary analysis of data processing, and analysis

Junior Analyst Fieldwork Director


• Secondary data analysis • Handles selection, training,
• Edits and codes questionnaires supervision, and evaluation of
• Conducts preliminary analysis of data interviewers and field workers

Copyright © 2019, 2010, 2007 by Pearson Education, Inc. All Rights Reserved.
Overview of Ethical Issues in Marketing
Research (1 of 3)
Table 1.3 An Overview of Ethical Issues in Marketing
Research
I. Problem Definition
• Using surveys as a guise for selling or fundraising
• Personal agendas of the researcher or client
• Conducting unnecessary research
II. Developing an Approach
• Using findings and models developed for specific clients or projects for other projects
• Soliciting proposals to gain research expertise without pay

III. Research Design


• Formulating a research design more suited to the researcher’s rather than the client’s
needs
• Using secondary data that are not applicable or have been gathered through
questionable means

Copyright © 2019, 2010, 2007 by Pearson Education, Inc. All Rights Reserved.
Overview of Ethical Issues in Marketing
Research (2 of 3)
[Table 1.3 Continued]
III. Research Design [Continued]
• Disguising the purpose of the research
• Soliciting unfair concessions from the researcher
• Not maintaining anonymity of respondents
• Disrespecting privacy of respondents
• Misleading respondents
• Disguising observation of respondents
• Embarrassing or putting stress on respondents
• Using measurement scales of questionable reliability and validity
• Designing overly long questionnaires, overly sensitive questions, piggybacking
• Using inappropriate sampling procedures and sample size
IV. Fieldwork
• Increasing (dis)comfort level of respondents
• Following (un)acceptable fieldwork procedures

Copyright © 2019, 2010, 2007 by Pearson Education, Inc. All Rights Reserved.
Overview of Ethical Issues in Marketing
Research (3 of 3)
[Table 1.3 Continued]
V. Data Preparation and Analysis

• Identifying and discarding unsatisfactory respondents


• Using statistical techniques when the underlying assumptions are violated
• Interpreting the results and making incorrect conclusions and recommendations
VI. Report Preparation and Presentation

• Incomplete reporting
• Biased reporting
• Inaccurate reporting

Copyright © 2019, 2010, 2007 by Pearson Education, Inc. All Rights Reserved.

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