Download presentation
Presentation is loading. Please wait.
Published byHelen Little Modified over 9 years ago
1
20 1 Lecture 18 35. Marketing Research 36. Marketing Organisation
2
20 2 Introduction to Market Research Prepared for: … in association with HK IPD, IP Australia
3
20 3 INTRODUCTION: MARKET RESEARCH Market research is the systematic and objective identification, collection, analysis and reporting of information for the purpose of assisting organisations in decisions relating to the understanding of the behaviours and attitudes of people and their organisations, the ultimate aim being the development and implementation of solutions to problems or opportunities. In this first chapter, the role and importance of market research will be reviewed: What is market research? The role of market research Whether to conduct market research In-house vs. external research
4
20 4 1) THE ROLE OF MARKET RESEARCH The role of market research is to help organisations—in this case IP agencies—align themselves to: (1) their customers; in the narrow context users of the IP agencies services, and in the wider context the general public (2) their organisational goals, which will reflect government policy and vary across individual Economies (3) changing market conditions Market Research Customers Policy Goals Market Environment Descriptive Diagnostic Predictive Alignment Function Measure awareness Explain behaviourPredict outcomes / trends
5
20 5 2) WHEN TO CONDUCT A RESEARCH STUDY No organisation should commence a research study before assessing the value of such work in relation to the expense. The very first task is to ask: Should I conduct market research at all? There are several situations where it may be best not to proceed: (1) Limited financial resources There are at least two situations in which a lack of funding should preclude marketing research: (a) When the organisation lacks the funds to do the research properly. (b) When funds are available to do the research but are insufficient to implement any recommendations from the findings of the research. (2) Precise objectives have not been formulated (3) The costs of conducting research outweigh the benefits (or return on objectives - ROO). (4) Inappropriate timing
6
20 6 3) IN-HOUSE vs EXTERNAL MARKET RESEARCH The second question: Should I conduct market research myself or hire a research company? Some large MNCs do nearly all their research in-house, including project design and focus groups. Others choose to outsource or do both on a case-to-case basis. The key elements necessary for successful internally managed research projects are: (1) long-term vision; (2) clearly defined goals; (3) earmarked budget; (4) project execution and management skills; and (5) a means of measuring success. Advantages of outsourcing research (1) Expertise and experience (2) Confidentiality and security (3) Unbiased viewpoint (4) More efficient Advantages of conducting in-house research (1) Lower costs (2) Stronger domain knowledge (3) Better control
7
20 7 The case for in-house research can be made under two circumstances: (1) Where the burden of the research effort is shared with a research firm. This can occur in several ways: (a) the IP agency has access to surveyors (e.g. student interns) that can be trained then deployed by the research firm; (b) the IP agency has its own research instruments. Research firms will always charge for questionnaire development as this is time consuming and requires a high level of expertise. Using the Pilot template or sharing templates used by other APEC Economies— even if these still require some modification to specific objectives—should reduce the overall cost; and (c) the IP agency has a captive audience (for self-completion surveys). In these circumstances, a research company should still be retained in order to advise on the correct implementation, sampling, etc. (2) Exploratory research, which does not need to be representative, can often be undertaken internally.
8
20 8
9
Marketing information and research
10
20 Importance of effective marketing information and research Effective penetration of markets requires specialised and sophisticated approaches to identify, assess and satisfy market demands. Effective marketing information and research enables an organisation to make better decisions on the most appropriate market entry and competitive strategies.
11
20 Defining market research Marketing research is the function which links the consumer, customer, and public to the marketer through information - information used to identify and define marketing opportunities and problems; generate, refine and evaluate marketing actions, monitor marketing performances, and improve understanding of marketing as a process. Marketing research specifies the information required to address those issues; designs the method of collecting information; manages and implements the data collection process; analyses the results; and communicates the findings and their implications. McDonald and Gates, 1990
12
20 The role of marketing research Consumer markets - In EU important to manufacturers as retailers act as buffer between manufacturers and end consumer. Provides accurate and reliable flow of information to the marketing decision makers. B2B markets - Helps organisations understand the marketing environment and make better informed decisions about marketing strategies.
13
20 Types of marketing research Exploratory. Descriptive. Causal or predictive.
14
20 Origins of research data Qualitative research - the collection of data that are open to interpretation, e.g. peoples’ opinions. Quantitative research - the collection of data that is quantifiable and is not open to the same level of interpretation as qualitative research, e.g. sales figures, market share data, etc.
15
20 Continuous research On going research usually undertaken by market research agencies and offered to organisations for a subscription or agreement to purchase the updated findings. Approaches include: Consumer panels. Home audits. Omnibus surveys. Retail audits.
16
20 Marketing information systems (MIS) Effective systems of organising, structuring and managing the storage, access and dissemination of market research data.
17
20 The marketing information system Figure 6.1
18
20 Defining information requirements Table 6.1
19
20 Sources of marketing information External sources - ad hoc studies using secondary or primary research or continuous data which contains views from customers, suppliers, channels of distribution, strategic alliance partners, independent third parties, etc. Internal sources - information obtained from internal record keeping systems, sales reps, call details, customer enquiries, etc.
20
20 The marketing research process Figure 6.2
21
20 Secondary research (1 of 2) Sometimes referred to as desk research. Consists of data and information that is already in existence and which can be accessed by the organisation. Can be cheaper and quicker to access than primary research. May provide an organisation with information that it would not otherwise have time to gather. Secondary data may not always be up to date, be applicable to an organisation, or give the full picture.
22
20 Secondary research (2 of 2) Secondary data sources include: Government - e.g. Central Statistical Office. Chambers of commerce. Trade associations. Commercial publications - e.g. Dun & Bradstreet, Mintel, etc. Internet - e.g. country reports and news, etc.
23
20 Primary research Sometimes called field research. Is undertaken or commissioned by an organisation for a specific purpose. The required information does not already exist. It is exactly tailored to a problem. Can be expensive and time consuming.
24
20 Online market research The website provides several novel methods for the collection of primary data for example: Server based log file analysis of site activity. Browser based site activity data. Panel activity. Online focus groups. Online questionnaires. Mystery shoppers.
25
20 Advantages and disadvantages of internet research Table 6.5(a) Source: Alex Johnston, Technology and Communications Director for New Media Research International, as reported by Gray (2000b).
26
20 Advantages and disadvantages of internet research Table 6.5(b) Source: Alex Johnston, Technology and Communications Director for New Media Research International, as reported by Gray (2000b).
27
20 Sampling Figure 6.3 Source: Adapted from Tull and Hawkins (1990).
28
20 Business Functions and Organisation
29
20 Business Functions Human Resources Sales and Marketing Research and Development Production/Operations Customer Service Finance and Accounts Administration and IT
30
20 Human Resources Recruitment and retention – Job descriptions – Person Specifications Dismissal Redundancy Motivation Professional development and training Health and safety and conditions at work Liaison with trade unions
31
20 Sales and Marketing Market research Promotion strategies Pricing strategies Sales strategies The sales team Product – advice on new product development, product improvement, extension strategies, target markets
32
20 Research and Development New product development Product improvements Competitive advantage Value added Product testing Efficiency gains Cost savings
33
20 Finance and Accounts Cash flow – Monitoring income/revenue – Monitoring expenditure Preparing accounts Raising finance – Shares – Loans Links with all other functional areas
34
20 Production/Operations Acquiring resources Planning output – labour, capital, land Monitoring costs Projections on future output Production methods – Batch; Flow; Job; Cell Efficiency
35
20 Customer Service Monitoring distribution After-sales service Handling consumer enquiries Offering advice to consumers Dealing with customer complaints Publicity and public relations
36
20 Business Organisation Organisation by type Global businesses – complex organisation structures National – organisation possibly stretches throughout the country Regional – could be through a county or wider area (North West, South East, etc.) Local – small organisations serving local area or community
37
20 Business Organisation Authority – the right to make decisions and carry out tasks Span of control – the number of people a superior is responsible for Chain of Command – the relationship between different levels of authority in the business Hierarchy – shows the line management in the business and who has specific responsibilities Delegation – authority to carry out actions passed from superior to subordinate Empowerment – giving responsibilities to people at all levels of the business to make decisions
38
20 Administration and IT Managing estates – cleaning, health and safety, maintenance, security Reception Clerical work – reporting, recording, record keeping, communication Overview of quality control Use of IT systems
39
20 Organisation Charts Hierarchical Structure Managing Director Sales Director Marketing Director Finance Director ABCD Market Research Strategy Purchasing Manager Sales Manager Accounts Manager
40
20 Organisation Charts MD Middle Management Workers Pyramidal Structure Senior Management
41
20 Organisation Charts MD FinanceProductionSalesMarketingR&D Centralised/Entrepreneurial
42
20 Organisation Charts Sales Marketing Production Accounts Collaborative
43
20 Organisation Charts Marketing Sales Production Finance R&D Circular/Flat
44
20 Organisation Charts Project Marketing R&D Sales Finance HR Production Matrix Structure
45
20 Organisation Charts Changes to business structures Linked to new thinking on leadership and management Less hierarchical Emphasis on communication and collaboration between sections Global businesses – more complex structures
46
20 DEVELOPING SUCCESSFUL MARKETING AND CORPORATE STRATEGIES C HAPTER
47
20 DEFINITION OF ORGANIZATIONS Profit Business Firm Organizations as defined by profit Nonprofit Organization Both commonly referred to as the Firm the Company the Corporation the Organization
48
20 ORGANIZATION’S LEVELS OF STRATEGY Corporate Level- create value for stockholders Functional Level –execute plan on daily basis Business Unit Level- plan direction for each SBU Department -specialized functions of daily operation
49
20 Mission -statement of the organization’s purpose for existing, often identifying its customers, markets, products, technology, and values. Goals or Objectives Goals or Objectives Quality Profit Sales Market Share Market Share Customer Satisfaction Employee Welfare Social Responsibility FOCUS OF THE STRATEGY
50
20 SETTING STRATEGIC DIRECTIONS - Competencies-identify what you do best A Look Around: Where Are We Now? - Identify your Customers Competitive Advantage-your unique strength - Competitors-identify the biggest threats
51
20 SETTING STRATEGIC DIRECTIONS Growth Strategies: Where Do We Want to Go? Business Portfolio Analysis (BCG Matrix) Relative Market Share-horizontal axis Market Growth Rate-vertical axis Cash Cows (LH) Stars (HH) Dogs (LL) Question Marks or Problem Children (HL)
52
20 Boston Consulting Group portfolio analysis for Kodak sbu’s in 2003 Kodak self- service kiosk Kodak film sales: US, Canada, & W. Europe Kodak digital photo printer Kodak digital camera
53
20 SETTING STRATEGIC DIRECTIONS Growth Strategies: How Do We Get There? Market-Product Analysis Market Penetration- same product; same market Market Development- same product; new market Product Development-new product; same market Diversification - new product; new market
54
20 Four market-product strategies: alternative ways to expand sales revenues for Ben & Jerry’s
55
20 THE STRATEGIC MARKETING PROCESS How do we allocate our resources to get where we want to go? How do we convert our plans to actions? How do our results compare with our plans, and do deviations require new plans? Marketing Plan Marketing Plan
56
20 Step 1: SWOT Analysis THE STRATEGIC MARKETING PROCESS -The Planning Phase GOOD NOW Maintain & build GOOD FUTURE Prioritize & optimize BAD NOW Remedy or stop BAD FUTURE Intercept and counter
57
20 Ben & Jerry’s: SWOT analysis
58
20 Step 2: Market-Product Focus and Goal Setting Market Segmentation Market Segmentation Set Marketing and Product Goals Select Target Markets Find Points of DifferenceFind Points of Difference Position the Product Which Product-Which Customers
59
20 Step 3: Marketing Program Product Strategy Price Strategy Promotion Strategy Place (Distribution) Strategy Marketing Program Strategy
60
20 Elements of the marketing mix that comprise a cohesive marketing program
61
20 Obtaining Resources Designing the Marketing Organization -delegating who does what Developing Schedules-Linear or Gantt THE STRATEGIC MARKETING PROCESS-The Implementation Phase
62
20 Tasks to complete a term project
63
20 Gantt chart for scheduling the term project
64
20 Comparing Results With Plans to Identify Deviations Acting on Deviations Filling the Planning Gap – Marketing’s Job THE STRATEGIC MARKETING PROCESS- The Control Phase
65
20 Evaluation & control of Kodak’s marketing program
66
20 Profit Profit is the reward to a business firm for the risk it undertakes in offering a product for sale. It is also the money left over after a firm’s total expenses are subtracted from its total sales.
67
20 Mission is a statement of the organization’s scope, often identifying its customers, markets, products, technology, and values. Mission
68
20 Goals or objectives convert the mission into targeted levels of performance to be achieved, often by a specific time. Goals or Objectives
69
20 Market share is the ratio of sales revenue of the firm to the total sales revenue of all firms in the industry, including the firm itself. Market Share
70
20 A marketing plan is a road map for the marketing activities of an organization for a specified future period of time. It allocates the 4P’s of a firm to reach the target market. Marketing Plan
71
20 SWOT analysis is an acronym describing an organization’s appraisal of its internal Strengths and Weaknesses and its external Opportunities and Threats. SWOT Analysis
72
20 Market segmentation involves aggregating prospective buyers into groups, or segments, that (1) have common needs and (2) will respond similarly to a marketing action. Market Segmentation
73
20 Points of difference are those characteristics of a product that make it superior to competitive substitutes. Points of Difference
Similar presentations
© 2025 SlidePlayer.com. Inc.
All rights reserved.