1 Unit 3: MARKETING RESEARCH Sports Marketing Mrs. Massimo

2 What is Marketing Research? ‘the systematic gathering, recording and analyzing of data about problems relating to the marketing of goods and services” ‘the systematic gathering, recording and analyzing of data about problems relating to the marketing of goods and services” Carried out through a Carried out through a Marketing Information System (MIS)

3 The Importance of Marketing Research Marketers spend much time researching their markets because: Marketers spend much time researching their markets because: Identifies the needs of the market. Identifies the needs of the market. Marketing activities are expensive. Marketing activities are expensive. Marketers want their plans to have the most impact possible. Marketers want their plans to have the most impact possible.

4 WHAT IS AN MIS? An MIS is an organized method of collecting and storing important information for marketers to use (and to make) necessary decisions for their organizations. An MIS is an organized method of collecting and storing important information for marketers to use (and to make) necessary decisions for their organizations. An MIS can be as simple as a notebook or as complex as technical computer databases. An MIS can be as simple as a notebook or as complex as technical computer databases.

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6 TYPES OF MARKETING QUESTIONS AN MIS NEEDS TO ANSWER

7 RESEARCHING THE GENERAL MARKET When conducting your research, there are crucial things you need to find out: When conducting your research, there are crucial things you need to find out: Critical Trading Radius Critical Trading Radius How far will customers travel for your product? How far will customers travel for your product? Size of the market Size of the market Is the market big enough to support your team? Is the market big enough to support your team? Demographics Demographics Psychographics Psychographics Spectatorship Levels for each demographic segment Spectatorship Levels for each demographic segment How many women watch football? How many women watch football? Data on Future Trends Data on Future Trends What is the trend for changing uniforms? What is the trend for changing uniforms?

8 DATA SOURCES FOR AN MIS An MIS has TWO general sources of Data: An MIS has TWO general sources of Data: INTERNAL INTERNAL Information from within the organization. Information from within the organization. EXTERNAL EXTERNAL Information from outside the company. Information from outside the company.

9 EXAMPLES OF INTERNAL SOURCES Sales Records Sales Records Inquiries from customers or fans Inquiries from customers or fans Accounting Records Accounting Records Letters or Phone Calls of Complaint or Praise Letters or Phone Calls of Complaint or Praise Web Site Interaction Web Site Interaction

10 EXTERNAL SOURCES External Sources can be broken down into two main categories: External Sources can be broken down into two main categories: 1)Secondary Data Data you receive from other sources. Data you receive from other sources. Newspapers, Magazines, Websites, Encyclopedia Newspapers, Magazines, Websites, Encyclopedia 2)Primary Data Data that you collect first hand. Data that you collect first hand.

11 SECONDARY DATA EXAMPLES Census Reports (every ten years) Census Reports (every ten years) Census-Based Demographic Reports Census-Based Demographic Reports State Agencies State Agencies NYS Dept. of Education—School Report Cards Public Libraries Public Libraries Chambers of Commerce Chambers of Commerce Trade Associations—player unions Trade Associations—player unions Professional Research Services— (Nielsen Ratings, Box Office Stats) Professional Research Services— (Nielsen Ratings, Box Office Stats) Trade Publications and Websites Trade Publications and Websites (ESPN, FANTASY FOOTBALL STATS)

12 TYPES OF PRIMARY DATA SOURCES Personal Observation/Interviews Personal Observation/Interviews Focus Groups Focus Groups Personal Interviews Personal Interviews Community Intercepts Community Intercepts Panel of Experts Panel of Experts Mystery Shopper Mystery Shopper Surveys and Questionnaires Surveys and Questionnaires On-Site Surveys On-Site Surveys Mail Surveys Mail Surveys Telephone Surveys Telephone Surveys Computerized Surveys Computerized Surveys

13 SURVEYS AND QUESTIONAIRES Surveys are one of the best methods to conduct research. Offered electronically and in hard-copy Consists of open-ended and close- ended questions. tioning/open_closed_questions.htm tioning/open_closed_questions.htm

14 Using closed questions Closed questions have the following characteristics: They give you facts. They are easy to answer. They are quick to answer. They keep control of the conversation with the questioner.

15 Open questions An open question is likely to receive a long answer. Open questions deliberately seek longer answers, and are the opposite of closed questions. Using open questions Open questions have the following characteristics: They ask the respondent to think and reflect. They will give you opinions and feelings. They hand control of the conversation to the respondent.

16 Survey Questions Open-Ended Questions: Open-Ended Questions: Questions to which there is not one definite answer. Questions to which there is not one definite answer. Respondents answer questions in their own words. Respondents answer questions in their own words. Ex: "Are there any other comments about the course Ex: "Are there any other comments about the course you would like to add?" you would like to add?" Advantages: Advantages: Very useful to pick-up unique information. Very useful to pick-up unique information. Yield quotable material. Yield quotable material. Steinbrenner is an excellent subject for any biography, but "Steinbrenner" doesn't live up to the man. “These hotdogs make me sick!” Disadvantages: Disadvantages: Responses can be more difficult to catalogue and interpret. Responses can be more difficult to catalogue and interpret. Time consuming to read and record data. Time consuming to read and record data.

17 Survey Questions Close-Ended Questions: Close-Ended Questions: Have a finite set of answers that the respondent chooses. Have a finite set of answers that the respondent chooses. Advantages Advantages Easy to standardize Easy to standardize Data gathered from leads to easy statistical analysis Data gathered from leads to easy statistical analysis Disadvantages: Disadvantages: More difficult to write than open-ended questions, as the evaluator must design choices to include all the possible answers a respondent could give for each question. More difficult to write than open-ended questions, as the evaluator must design choices to include all the possible answers a respondent could give for each question. See example sheet. See example sheet. Source:

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19 TIPS FOR DESIGNING A QUESTIONNAIRE Only publish contain questions for which the marketer really needs answers. Only publish contain questions for which the marketer really needs answers. Simple, objective, closed-ended questions should be used most of the time. Simple, objective, closed-ended questions should be used most of the time. Demographic questions should come at the end of the survey. Demographic questions should come at the end of the survey. Similar and related questions should be grouped together and should flow from general to specific. Similar and related questions should be grouped together and should flow from general to specific. Vary the style of questions used to maintain interest. Vary the style of questions used to maintain interest. The questions should be free of ambiguities. The questions should be free of ambiguities.