1. CHAPTER two The Marketing Research Process and the Management of
Copyright © 2000 South-Western College Publishing Co.

2. Learning Objectives
1. To learn the steps involved in the marketing research process.
2. To understand the components of the research request.
3. To learn the advantages and disadvantages of survey, observation, and experimental research techniques.
4. To become familiar with the nature of research management.

3. Step One: Identifying and Formulating the Research Problem/Opportunity
To learn the steps involved in the marketing research process.
THE RESEARCH PROCESS
Step One: Identifying and Formulating the Research Problem/Opportunity
The marketing research problem: information
The marketing research objective: insight
The management decision problem: action
Find Out Why Information is Being Sought
Determine Whether the Information Already Exists

4. The Marketing Research Process
Figure 2.1
The Marketing Research Process
(8)
Follow-up
(2)
Creating of the Research Design
(7)
Writing and Presenting the Report
(1)
Identifying the Research Problem/Opportunity
(6)
Analyzing the Data
(3)
Choosing the Method of Research
(5)
Collecting the Data
(4)
Selecting the Sampling Procedure

5. Determine Whether the Question Can Really Be Answered.
To learn the steps involved in the marketing research process.
THE RESEARCH PROCESS
Determine Whether the Question Can Really Be Answered.
Using Exploratory Research to Define the Problem/Opportunity.
Definition of Research Objectives.
Research Objectives Must Avoid the “Nice to Know” Syndrome.
Management Decisions and Research Objectives

6. Research Objectives Stated As Hypotheses.
To learn the steps involved in the marketing research process.
THE RESEARCH PROCESS
Research Objectives Stated As Hypotheses.
Step Two: Creating the Research Design
a plan to answer the research hypothesis
Descriptive Studies: who, what, where, when, and how
Causal Studies: whether one variable determines the value of another variable
temporal sequence
concomitant variation
spurious association

7. Step Three: Choosing a Basic Method of Research
To learn the steps involved in the marketing research process.
THE RESEARCH PROCESS
Step Three: Choosing a Basic Method of Research
Survey: an interviewer and questionnaire
Observation: to monitor respondents’ actions without direct interaction
Experiments: to measure causality
Step Four: Selecting the Sampling Procedure
Probability versus Nonprobability Samples

8. Step Five: Collecting the Data
To learn the steps involved in the marketing research process.
THE RESEARCH PROCESS
Step Five: Collecting the Data
Marketing research field service
interviewing
Step Six: Analyzing the Data
To interpret and draw conclusions
Step Seven: Preparing and Writing the Report
Communicating the conclusions and recommendations to management

9. Step Eight: Following Up
To understand the components of the research request.
THE RESEARCH PROCESS
Step Eight: Following Up
Using the findings without conflict among departments
The Research Request
Clearly state why the desired information is critical to the organization
1. Action
2. Origin
3. Information
4. Use

10. 5. Targets and subgroups 6. Logistics 7. Comments
To learn the steps involved in the marketing research process.
THE RESEARCH PROCESS
5. Targets and subgroups
6. Logistics
7. Comments

11. What Decision Makers Want From Marketing Research
To learn the advantages and disadvantages of survey, observation . . .
MANAGING MARKETING RESEARCH
What Decision Makers Want From Marketing Research
1. maintains client confidentiality
2. is honest
3. is punctual
4. is flexible
5. delivers against project specifications

12. What Decision Makers Want From Marketing Research
To learn the advantages and disadvantages of survey, observation . . .
MANAGING MARKETING RESEARCH
What Decision Makers Want From Marketing Research
6. provides high-quality output
7. is responsive to the client’s needs
8. has high quality-control standards
9. is customer-oriented
10. keeps the client informed

13. Good Communication Is a Necessity
To learn the advantages and disadvantages of survey, observation . . .
MANAGING MARKETING RESEARCH
Good Communication Is a Necessity
Managers spend at least 80 percent of every working day communicating with others.
The Nature of the Decision-Making Information Depends on the Type of Research Conducted
Segmentation opportunities?
Profiles of the various segments?
Do some segments appear to be more likely candidates?
New product opportunities?
Marketing program options?

14. Minimize sources of error.
To learn the advantages and disadvantages of survey, observation . . .
MANAGING THE RESEARCH PROCESS
Data Quality
Minimize sources of error.
Managing Costs
systems to capture costs
daily reporting of costs
policies and practices to communicate the budget picture to clients
identify over budget situations

15. If over budget due to client error. . .
To learn the advantages and disadvantages of survey, observation . . .
MANAGING THE RESEARCH PROCESS
If over budget due to client error. . .
offer options early regarding higher costs
smaller sample size
shorter interviews
Time Management
Keeping the project on schedule
Can anything be done to speed up the process

16. The determinants of whether a manager used research data:
To become familiar with the nature of research management.
MANAGING THE RESEARCH PROCESS
Good Research Management Motivates Decision-Makers To Use Research Information
The determinants of whether a manager used research data:
(1) conformity to prior expectations
(2) clarity of presentation
(3) research quality
(4) political acceptability
(5) lack of challenge to the status quo

17. The End
Copyright © 2000 South-Western College Publishing Co.