1. Unit 2 GCSE Business Communication Systems
Market Research

2. Learning Outcomes Students should be able to:
demonstrate knowledge and understanding of the different methods of market research
analyse and evaluate the different methods of market research
recommend the most suitable method for particular circumstance
analyse the impact digital technology has on market research process
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3. Paired Activity (10 minutes)
In pairs ….. Brainstorm how you think business obtain research on their products and customers….
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4. Marketing
“The gathering and analysis of data relating to market places or customers; any research which leads to more market knowledge and better informed decision-making.”
The Chartered Institute of Marketing (CIM)
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Methods of Research
There are two methods of market research:
Primary/Field Research
Secondary/Desk Research
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Primary Research
Primary research is also known as ‘field research’.
Primary research involves collecting new information by making direct contact with consumers.
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7. Examples of Primary Research
Questionnaires - face to face, postal, telephone or online
Interview
Observation
Consumer Panel
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8. Primary Research Advantages
Information is obtained directly from the business customers, staff etc
If the person doesn’t understand a question etc it can be explained by the questioner
As data is obtained from the source it is more reliable
It is up-to-date and collected specifically for the purpose
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9. Primary Research Disadvantages
Inaccurate – people may not give accurate answers eg they may say they will buy something when they will not
Time and money – to design the primary research, carry it out and analyse the data
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Secondary Research
Secondary research is also known as ‘desk research’.
Secondary research is the collection of data which already exists.
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11. Examples of Secondary Research
Newspaper / magazines
Public Libraries
Internet
Government publications
Data collected by another business
Statistics
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12. Secondary Research Advantages
Information is cheaper to obtain as it has already been collected
Information is available immediately
If taken from a reliable source the information should be reasonably accurate
The data available covers a wide range of sources
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13. Secondary Research Disadvantages
The data is unlikely to have been collected for exactly the same purpose as the business requires so it may not meet the business’s direct needs
Information may be out-of-date depending on when it was collected
Information is available to every other business
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Class Activity
Identify which type of research you could carried out for the following scenarios:-
A launch of a new product
To find out whether customers liked the taste of new product or not
To find out what your competitors are doing
To introduce a website for your business
To find out what customers think of your product
To gather statistical information on your product
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15. Impact of Digital Technology on Market Research
Market research has developed considerably through the use of digital technology.
It has a significant impact on market research in both positive and, potentially, not so positive ways.
Technology has radically changed market research.
Paper surveys in many cases are now replaced with robust, huge online surveys that provide instant feedback.
Conducting market research used to be time-consuming, expensive and now it is instant and convenient.
With the use of smart phones and social media business can collect information in real
time which is much more relevant for their business.
This allows businesses the opportunity to react more quickly to customers opinions.
Social media monitoring customer panels, brand online communities, online focus
groups, co-creation, crowd sourcing, web usability… these are just some of the
new research techniques and applications that have recently evolved alongside
the social media revolution.
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16. Market Research Using Digital Technology
Access to internet on a mobile device has led to much more market research and given that so many people have a mobile device, market research is being gathered constantly. Market research can be gathered by the following means;
Social media - all social media provides feedback which can affect reputations and brand awareness.
Mobile devices such as smartphones and tablets provide great market research – e.g trip advisor app can detect where you are and offer choices for restaurants or trips. This information can then be used for market research purposes.
Wearable tech-provide instant and real time feedback on activity which can used for market research purposes- e.g. sat nav , go pros, fit bits .
Passive tracking via mobile, tablets, laptops, desktop, smart TVs mean that consumer habits and trends can be identified and used for market research.
Online focus groups / surveys / social media monitoring etc
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17. Digital Technology in Market Research ADVANTAGES
Conduct market research more easily through social media monitoring
Less time / cost
More convenient
No interviewer - good for sensitive questions
Using technology allows you to interact with people across wide geographic area
Questionnaires can be more easily filled in by using a variety of digital methods with the results more easily gathered by the business.
Technology gives more choice and options for when, where, and how to research different markets
Feedback and results can be processed quicker e.g. Google docs or survey monkey
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18. Digital Technology in Market Research DISADVANTAGES
Limited sampling and respondent availability.  Certain populations are less likely to have internet access and to respond to online questionnaires. 
Possible cooperation problems.  Users today are constantly bombarded by messages and can easily delete your advances.
No interviewer.  A lack of a trained interviewer to clarify and probe can possibly lead to less reliable data.
The downside, though, is that ‘online research’ can give the false impression that it is as statistically reliable as traditional research. All research has an element of uncertainty attached to it but research from digital technologies cannot be certain of a respondents profile
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Pupil Activity
Working individually complete the following past paper questions:
2012 Question 3a
2013 Question 3a
2014 Question 3d
2015 Question 3a
2016 Question 2a
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20. Learning Check Can you:
demonstrate knowledge and understanding of the different methods of market research
primary
secondary
analyse and evaluate the different methods of market research
Questionnaire
Interview
Observation
Consumer Panel
Newspaper / magazine
Public libraries
Internet
Government publications
Data collected by another business
Statistics
recommend the most suitable method for particular circumstance
analyse the impact digital technology has on market research process
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