1. Journal Entry §Have you ever taken a marketing research survey on-line, in-person, written questionnaire, or over the phone? What types of information were the researchers looking for?

2. Marketing Research Part 2 Conducting Marketing Research How do you design and conduct market research?

3. Marketing Research Process §1. Defining the Problem-the problem or research issue is identified and goals are set to solve the problem §2. Obtaining Data-utilize primary and secondary resources §3. Analyzing the Data-compile, analyze and interpret the data §4. Recommending Solutions-come up with potential solutions to the problem and present them in a report §5. Applying the Results-put results into action

4. Step 1:Defining the Problem §Specific, measurable objectives are set §Objectives help develop the actual questions to be used in the research instrument §Money and time are limited so all problem and issues cannot be addressed

5. Step 2:Obtaining Data §Two types l Primary-data obtained for the first time & used specifically for the particular problem under study l Secondary-data already collected for some other purpose other than the current study

6. Secondary Data §Cost effective to obtain first §Internal Sources-within the company §External Sources-outside of the company §Advantages l Obtained quickly l Less expensive than primary data §Disadvantages l Existing data may not be suitable for problem under study l May be dated and inaccurate

7. Obtaining Secondary data §Internet sources-company’s home page, digital dossiers(company profiles, income statements, balance sheets of public companies) §US & State Governments-population, demographics, specific markets, industries, etc. FedWorld, Federal Web, Census, US Department of Commerce §Specialized Research Companies-Sell information to businesses(Mediamark Research Inc-MRI) §Business Publications and Trade Organizations- Magazines(Forbes, WSJ) and journals from trade organizations(Advertising Research Foundation)

8. Primary Data §Two sources l individual company research l commercial research organizations §Three basic methods l survey method l observation method l experimental method

9. Survey Method-information gathered directly from people using interviews or questionnaires §Most frequently used §Determine number to be surveyed- Census=everyone and a sample is part of target market that is assumed to represent entire market) §Create instrument (questionnaire) l Personal interview l Phone (limited by Do Not Call lists) l Mail(usually less than 10% response rate) l Internet(limited to those with access)

10. Survey methods §Technological Methods-online surveys, focus group chat sessions, fax broadcasting, digital surveys(prerecorded voice qualify respondent), automatic dialers(eliminate busy signals and answering machines), and interactive voice response §Interviews-face-to-face-Mall intercept(central location),focus group(8-12 people, build on responses) l Advantage-people more likely to respond than thru mail, phone or Internet l Disadvantage-cost, time get responses into analysis

11. Observation Method-actions of people are observed and recorded §Advantage-what people do is better than what they say(survey method), cost effective, faster §Disadvantage-Can’t measure attitude or motivation §Example-mystery shopper

12. Observation Method §Point-of-sale research l combines natural observation with personal interview to get people to explain buying behavior l Choose research subject based on observation, and ask questions

13. Experimental Method-a researcher observes under controlled conditions, the results of changing one or more marketing variables while keeping certain other variables constant §Often used to test new package designs, media usage, and new promotions §Least often used §Good for keeping info from competitors §Disadvantage: Cost and people respond differently under controlled conditions

14. Step 3:Analyzing the Data §Compiling, analyzing and interpreting the results of data collection §Straight analysis-look at each question individually §Cross analysis-tie questions together to determine differences. Ex: look at number of responses for men or women on each question §Data mining-computer process that uses statistical methods to extract new information from large amounts of data

15. Step 4:Recommending solutions §Usually in report form §Must be clear and well written §Data must support recommendations §Use appendix for supporting documents and tabulations §Report layout: §Title page §Table of contents §Executive summary §Background §Methods §Findings/conclusions §Strategic plan §Bibliography §Appendix

16. Step 5:Applying the Results §May find out inconclusive results, additional research needed, or a specific course of action §After action is taken, you should carefully monitor results to determine success