1. Marketing Information Management
Marketing Research
Set induction:
Let me see by a show of hands?
How many of you have ever participated in customer research? KEEP YOUR HANDS UP
How many of you have ever answered a survey either on the phone or in the mall.
How many of have ever received sample products in the mail or with your newspaper? Did they send a coupon with it and did you use the coupon?
How many of you have ever filled out a warranty card for something you have purchased?
Have ever been asked what zip code you live in when you purchase something.
If you have your hand up, Whether you know it or not you have participated or been counted in some sort of marketing research.
You have helped some company find out how to sell to other people just like you.
That’s what we are going to talk about today.
Why do you think research is important?
If you will remember back to the last chapter and the role of the consumer they
Determine the winning companies by voting with their dollars
Determine product demand
They help determine the price that they are willing to pay
Do you think companies want to know this information before the introduce a new product?
How much success would you have on writing a paper on Nuclear Weapons if you didn't look up some information first?
Companies are the same way. When they introduce a new product they want to be assured a certain level of success. The only way they can know if the consumer will buy it, or What’s the best color, or how much of this would you buy, or how much are you willing to pay is through research
In marketing when ever you are doing anything different your first step is research.

2. Objectives: Define marketing research
Discuss the primary uses of marketing research and why it is important
List the four types of marketing research
Explain the limitations of marketing research

3. What is marketing research?
The systematic gathering, recording, and analyzing of information about problems related to marketing goods and services.

4. Primary uses of marketing research
Obtain information about potential customer:
Preferences
Opinions
Habits
Trends
Plans

5. Why is marketing research important?
Marketing research helps companies answer the following questions:
What products to produce
Who is your primary customer
Where should the products be sold
How will the products be promoted
At what price will the product sell

6. 4 Areas of Marketing Research:
Market Research
Product Research
Advertising Research
Sales Research
Big companies like Kodak, Proctor and Gamble, Do all of these

7. 1. Market Research Customer Trends
Focuses on the customer and the market
Customer Trends
Buying behavior or how buying decisions are being made
Market Trends
What the customers are buying
What do the customers want?
What type of features does the customers like?
What colors do they like?
Are consumers buying foods with high carbs or Low carbs?
Is now the best time to come out with a product that says Buy new Chunky Soup and get twice the energy boosting carbs as other soups?
When companies do Market research they are trying to find out how their customers (target market makes decisions)
They are looking at your behavior and trying to figure out how they can market their product to you better.
When they find a specific behavior they think is important to their marketing efforts they call it a customer insight.
A good example of this is Coke and the refrigerator Pack.
Coke did a lot of research on when people are thirsty and how they decide what to drink when they go to the refrigerator. What they found was that people were more likely to get a coke if it was already in the fridge cold. Customer insight.
So what did Coke do. They got their best minds together so see how they could get people to put more cokes in the fridge.
They came up with the Fridge pack ( Show packaging)
Clothing - What brands are hot
Now

8. Common Techniques for Market Research
Questionnaires
Focus Groups
Mall Interviews
Phone Interviews
Mystery Shoppers

9. 2. Product Research Focuses on the product itself Product design
Product usage
Product acceptance
Package design
Competitive products
Focused on the product itself
Companies are constantly evaluating their products and trying to figure out new ways to package and sell what they make.
Use Kodak Wallet Packaging example
Coke Fridge packs
Some popular ways companies conduct product research are to do a test market or to send product samples out to people with coupons. These companies want you to try the product and hopefully like it enough to buy it.

10. Common Techniques for Product research
Test Market
Product Samples
Mail
Newspaper
In Store
These tests are designed to get the customer to try the product.
One you get them to try it you usually want to incent them to actually want to get the customer to purchase it.

11. 3. Advertising Research
Two Areas:
Media Type
Advertisement Itself

12. Media Type Focuses on: TV Radio Newspaper Magazine
Is it reaching your target?
Reach
Do they remember the message?
Recall
How many times are they seeing it?
Frequency
Return on cost

13. Advertising Design Ad Layout Message
Does photography or image catch the consumers attention?
Does the headline draw the consumer in to read about the product
Does the copy convince the consumer to buy the product?
Is the company logo prominently placed?

14. Testing Advertising Research
Consumer panels
Usually a group of people who share common characteristics
Target audience
Ad recall
Written Diaries
Ad recall
How many of you looked in the last issue of the Pawprint?
How many of you saw the Balloon closet ad?
Do you remember anything specific about the ad?

15. 4. Sales Research The study of sales data
The last type of marketing Research is Sales Research
How many of you shop at Kroger and use a Kroger plus card.
Why does Kroger wan you to use a plus card?
They want to record your sales transactions.
They want to know what people are buying.
How many of you have ever noticed how many little signs are posted in grocery stores promoting baby clubs. Have you ever noticed that these people get special parking spaces out front?
Why?
Do you think its out of kindness?
NOOOO These moms spend a lot of money
Have you seen how much diapers cost?
Its not just that Moms never walk in and buy one thing
They need baby food, shampoo, They don’t have time to cook so they stop by the deli and pick-up a baked chicken and potato salad or sandwiches and potato chips and drinks.
Stores want these people in the store because they spend a lot of money.

16. Primary use
Sales Forecasting: determining the potential sales for a product
Economic Forecasting: determining the potential economic conditions

17. Limitations of Marketing Research
Cost $$
Time
Customer commitment / Validity of data
The time lag between research and the application
Few companies can actually afford market research. The amount of information a company can gather is limited to the amount of money the company is willing to spend.

18. Review What is marketing research?
Primary uses of marketing research is to obtain what type of information about potential customers?
A the beginning of class we spoke about research? Who can tell me how we defined it?
The systematic gathering, recording, and analyzing of information about problems related to marketing goods and services.
Like everything in marketing we talked about research and the customer or our target market.
We said that the primary purpose of marketing research was to find out what about the consumer?
Preferences, Opinions, Habits, Trends, Plans of potential customers
We also talked about four areas of Marketing research Can you give me one of them (Go around room)

19. Activity
Hand out Handout #1; Types of Marketing Research