Copyright  2004 McGraw-Hill Australia Pty Ltd PPTs t/a Marketing: A Practical Approach 5/e by Peter Rix Slides prepared by: Joe Rosagrata 3–13–1 Chapter 3 Gathering Marketing Information

Copyright  2004 McGraw-Hill Australia Pty Ltd PPTs t/a Marketing: A Practical Approach 5/e by Peter Rix Slides prepared by: Joe Rosagrata 3–23–2 Managing marketing information All organisations need information about the market and the marketing environment. Effectively managed information is the key to successful, strategic market planning.

Copyright  2004 McGraw-Hill Australia Pty Ltd PPTs t/a Marketing: A Practical Approach 5/e by Peter Rix Slides prepared by: Joe Rosagrata 3–33–3 The need for marketing information Competitive pressure. Expanding markets. Cost of mistakes. Increasing customer expectations.

Copyright  2004 McGraw-Hill Australia Pty Ltd PPTs t/a Marketing: A Practical Approach 5/e by Peter Rix Slides prepared by: Joe Rosagrata 3–43–4 Marketing research Marketing research is the interpretation of decision-oriented information and is used in all phases of the marketing mix process.

Copyright  2004 McGraw-Hill Australia Pty Ltd PPTs t/a Marketing: A Practical Approach 5/e by Peter Rix Slides prepared by: Joe Rosagrata 3–53–5 The sources of marketing research Syndicated research services—reports produced and sold by research firms, e.g. ABS or ACNielsens. Marketing information systems—the firm’s internal system for providing continuous, scheduled and standardised marketing information.

Copyright  2004 McGraw-Hill Australia Pty Ltd PPTs t/a Marketing: A Practical Approach 5/e by Peter Rix Slides prepared by: Joe Rosagrata 3–63–6 The scope of marketing research Decision-support systems—computer-based systems that enable marketers to quickly answer specific research questions. Databases—data is organised, stored and updated in a computer database.

Copyright  2004 McGraw-Hill Australia Pty Ltd PPTs t/a Marketing: A Practical Approach 5/e by Peter Rix Slides prepared by: Joe Rosagrata 3–73–7 Advantages of databases They can isolate groups of customers by specific characteristics: – Demographics. – Psychographics (lifestyle analysis). – Purchase history. Inventory and stock control, e.g. supermarket scanners.

Copyright  2004 McGraw-Hill Australia Pty Ltd PPTs t/a Marketing: A Practical Approach 5/e by Peter Rix Slides prepared by: Joe Rosagrata 3–83–8 Marketing research projects Typical marketing research projects include: – The concept test. – Customer-satisfaction surveys. – The ‘copy’ test. – Market-share analysis. – Segmentation studies.

Copyright  2004 McGraw-Hill Australia Pty Ltd PPTs t/a Marketing: A Practical Approach 5/e by Peter Rix Slides prepared by: Joe Rosagrata 3–93–9 THE SIX-STEP MARKETING RESEARCH PROCESS 1.Define the objective/problem—the goal/s of the researcher (usually to solve the problem). 2.Conduct a situation analysis—a background investigation. 3.Conduct an informal investigation—examine readily available information. 4.Plan and conduct a formal investigation—collect primary and secondary data. 5.Analyse the data and report results. 6.Conduct follow up—determine if and how the research was used.

Copyright  2004 McGraw-Hill Australia Pty Ltd PPTs t/a Marketing: A Practical Approach 5/e by Peter Rix Slides prepared by: Joe Rosagrata 3–10 Research process Insert Fig 3.1 p 68 marketing research procedure

Copyright  2004 McGraw-Hill Australia Pty Ltd PPTs t/a Marketing: A Practical Approach 5/e by Peter Rix Slides prepared by: Joe Rosagrata 3–11 PRIMARY DATA IS GATHERED USING: Surveys – Personal interviews. – Telephone surveys. – Mail surveys. Observation – Personal. – Mechanical. Experiments – Laboratory. – Field.

Copyright  2004 McGraw-Hill Australia Pty Ltd PPTs t/a Marketing: A Practical Approach 5/e by Peter Rix Slides prepared by: Joe Rosagrata 3–12 Surveys Surveys—Gathering data by interviewing people. Can be expensive and time-consuming. Potential respondents sometimes refuse to participate. Response error may occur.

Copyright  2004 McGraw-Hill Australia Pty Ltd PPTs t/a Marketing: A Practical Approach 5/e by Peter Rix Slides prepared by: Joe Rosagrata 3–13 Personal interviews Face to face (researcher can clarify a response). One to one (may be formal or informal). In-depth interviews (usually used to probe for more information). Focus groups, usually four to ten people.

Copyright  2004 McGraw-Hill Australia Pty Ltd PPTs t/a Marketing: A Practical Approach 5/e by Peter Rix Slides prepared by: Joe Rosagrata 3–14 Telephone surveys Cost-effective. Easy to administer. Timely questioning advantage. Should be short and to the point.

Copyright  2004 McGraw-Hill Australia Pty Ltd PPTs t/a Marketing: A Practical Approach 5/e by Peter Rix Slides prepared by: Joe Rosagrata 3–15 Mail surveys Mail and fax with no contact between interviewer and respondent. Self-administered. Usually no personal bias. Economical to administer. Respondent can remain anonymous. Usually a lower response rate. Response time is longer.

Copyright  2004 McGraw-Hill Australia Pty Ltd PPTs t/a Marketing: A Practical Approach 5/e by Peter Rix Slides prepared by: Joe Rosagrata 3–16 Quantitative and qualitative Research can be: – Quantitative—this is where quantifiable information is gathered by asking many people specially structured questions. – Typical answers are ‘Yes’ or ‘No’ or numerical (closed- ended questioning).

Copyright  2004 McGraw-Hill Australia Pty Ltd PPTs t/a Marketing: A Practical Approach 5/e by Peter Rix Slides prepared by: Joe Rosagrata 3–17 Quantitative and qualitative Qualitative—this is where a question is asking for an in-depth answer (open-ended questioning). The objective of the survey is to collect more insightful or complex information.

Copyright  2004 McGraw-Hill Australia Pty Ltd PPTs t/a Marketing: A Practical Approach 5/e by Peter Rix Slides prepared by: Joe Rosagrata 3–18 Observation Personal – Observing people in action. – No interview is conducted. – Researcher may pose as the customer to collect appropriate qualitative information. Mechanical – Information from supermarket scanners. – In-store camera visual electronic observation.

Copyright  2004 McGraw-Hill Australia Pty Ltd PPTs t/a Marketing: A Practical Approach 5/e by Peter Rix Slides prepared by: Joe Rosagrata 3–19 Experiments An experiment is a method of gathering primary data by which the researcher is able to observe the results of changing one variable in a situation while holding all other variables constant. Options for experiments: – Laboratory. – Field.

Copyright  2004 McGraw-Hill Australia Pty Ltd PPTs t/a Marketing: A Practical Approach 5/e by Peter Rix Slides prepared by: Joe Rosagrata 3–20 Questionnaire design—the right questions are the key Issues to consider in questionnaire design: Question selection. Question form. Question wording. Question sequencing. Closed-ended. Open-ended.

Copyright  2004 McGraw-Hill Australia Pty Ltd PPTs t/a Marketing: A Practical Approach 5/e by Peter Rix Slides prepared by: Joe Rosagrata 3–21 The sample The marketer should choose a sample that will provide the most accurate information for solving the problem. Basic types of sampling: – Random. – Probability. – Convenience.

Copyright  2004 McGraw-Hill Australia Pty Ltd PPTs t/a Marketing: A Practical Approach 5/e by Peter Rix Slides prepared by: Joe Rosagrata 3–22 Collecting the data People (data gatherers) who collect information in the field: – Should avoid bias error. – Should avoid asking their own version of the question. – Should avoid written response cheating (fake answer supplied by the interviewer).

Copyright  2004 McGraw-Hill Australia Pty Ltd PPTs t/a Marketing: A Practical Approach 5/e by Peter Rix Slides prepared by: Joe Rosagrata 3–23 Analyse data and report results Analysis and interpretation are the key elements to a good research report. The end product of the investigation is the researcher’s conclusions and recommendations. The report should contain: –Synopsis. –Methodology. –Findings. –Recommendations.

Copyright  2004 McGraw-Hill Australia Pty Ltd PPTs t/a Marketing: A Practical Approach 5/e by Peter Rix Slides prepared by: Joe Rosagrata 3–24 The follow up Follow up is done to determine if the findings of the report are being implemented successfully.