1. ©2002 South-Western Chapter 8 Version 6e1 chapter Marketing Research 8 8

2. ©2002 South-Western Chapter 8 Version 6e2 Marketing Research The process of planning, collecting, and analyzing data relevant to a marketing decision. 2 2

3. ©2002 South-Western Chapter 8 Version 6e3 Diagnostic Predictive Descriptive  Gathering and presenting factual statements  Explaining data  Attempting to estimate the results of a planned marketing decision Roles of Marketing Research 2 2

4. ©2002 South-Western Chapter 8 Version 6e4 Management Uses of Marketing Research  Improve the quality of decision making  Trace problems  Focus on keeping existing customers  Understand the ever-changing marketplace 2 2

5. ©2002 South-Western Chapter 8 Version 6e5 The Marketing Research Process CollectDataCollectData SpecifySamplingProcedureSpecifySamplingProcedure Plan Design/ Primary Data Plan Design/ Primary Data DefineProblemDefineProblemAnalyzeDataAnalyzeData Prepare/PresentReportPrepare/PresentReport Follow Up 3 3

6. ©2002 South-Western Chapter 8 Version 6e6 Secondary Data Data previously collected for any purpose other than the one at hand. 3 3

7. ©2002 South-Western Chapter 8 Version 6e7 Sources of Secondary Data Government Agencies Trade and Industry Associations Marketing Research Firms Commercial Publications News Media Internal Corporate Information 3 3

8. ©2002 South-Western Chapter 8 Version 6e8 Advantages of Secondary Data  Saves time and money if on target  Aids in determining direction for primary data collection  Pinpoints the kinds of people to approach  Serves as a basis of comparison for other data 3 3

9. ©2002 South-Western Chapter 8 Version 6e9 Disadvantages of Secondary Data 3 3  May not be on target with the research problem  Quality and accuracy of data may pose a problem

10. ©2002 South-Western Chapter 8 Version 6e10 The New Age of Secondary Information 3 3 The Internet www  Search Engines and Directories  Sites of Interest to Marketing Researchers  Discussion Groups  Periodical, Newspaper, and Book Databases

11. ©2002 South-Western Chapter 8 Version 6e11 Primary Data Information collected for the first time. Can be used for solving the particular problem under investigation. 3 3

12. ©2002 South-Western Chapter 8 Version 6e12 Research Design Specifies which research questions must be answered, how and when the data will be gathered, and how the data will be analyzed. 3 3

13. ©2002 South-Western Chapter 8 Version 6e13 Planning the Research Design 3 3 Which research questions must be answered? How and when will data be gathered? How will the data be analyzed? ? ?

14. ©2002 South-Western Chapter 8 Version 6e14 Advantages of Primary Data 3 3  Answers a specific research question  Data are current  Source of data is known  Secrecy can be maintained

15. ©2002 South-Western Chapter 8 Version 6e15 Disadvantages of Primary Data 3 3  Expensive  Quality declines if interviews are lengthy  Reluctance to participate in lengthy interviews Disadvantages are usually offset by the advantages of primary data! Disadvantages are usually offset by the advantages of primary data!

16. ©2002 South-Western Chapter 8 Version 6e16 Survey Research The most popular technique for gathering primary data in which a researcher interacts with people to obtain facts, opinions, and attitudes. 3 3

17. ©2002 South-Western Chapter 8 Version 6e17 Forms of Survey Research Focus Groups Executive Interviews Mail Surveys Telephone Interviews (Home and Central Location) Mall Intercept Interviews In-Home Interviews 3 3

18. ©2002 South-Western Chapter 8 Version 6e18 Mall Intercept Interview Survey research method that involves interviewing people in the common areas of shopping malls. 3 3

19. ©2002 South-Western Chapter 8 Version 6e19 Executive Interviews 3 3 A type of survey that involves interviewing businesspeople at their offices concerning industrial products or services.

20. ©2002 South-Western Chapter 8 Version 6e20 Focus Group 3 3 Seven to ten people who participate in a group discussion led by a moderator.

21. ©2002 South-Western Chapter 8 Version 6e21 Advantages of On-Line Focus Groups 3 3  Speed  Cost-effectiveness  Broad geographic scope  Accessibility  Honesty

22. ©2002 South-Western Chapter 8 Version 6e22 Questionnaire Design 3 3 Open-Ended Question Open-Ended Question Closed-Ended Question Closed-Ended Question Scaled- Response Question Scaled- Response Question An interview question that encourages an answer phrased in respondent’s own words. An interview question that asks the respondent to make a selection from a limited list of responses. An interview question that asks the respondent to make a selection from a limited list of responses. A closed-ended question designed to measure the intensity of a respondent’s answer. A closed-ended question designed to measure the intensity of a respondent’s answer.

23. ©2002 South-Western Chapter 8 Version 6e23 Questionnaire Design Qualities of Good Questionnaires Clear and Concise No Ambiguous Language Unbiased Reasonable Terminology 3 3

24. ©2002 South-Western Chapter 8 Version 6e24 Observation Research 3 3

25. ©2002 South-Western Chapter 8 Version 6e25 Observation Research Mystery Shoppers One-Way Mirrors Types of Observation Research Audits Machines Watching People People Watching People People Watching an Activity Traffic Counters Passive People Meter 3 3

26. ©2002 South-Western Chapter 8 Version 6e26 Mystery Shoppers 3 3 Researchers posing as customers who gather observational data about a store and collect data about customer/employee interactions.

27. ©2002 South-Western Chapter 8 Version 6e27 Preparing and Presenting the Report 3 3  Concise statement of the research objectives  Explanation of research design  Summary of major findings  Conclusion with recommendations

28. ©2002 South-Western Chapter 8 Version 6e28 Following Up  Were the recommendations followed?  Was sufficient decision-making information included in the report?  What could have been done to make the report more useful? 3 3

29. ©2002 South-Western Chapter 8 Version 6e29 When Should Marketing Research be Conducted?  Where there is a high level of uncertainty  When value of research information exceeds the cost of generating the information 5 5

30. ©2002 South-Western Chapter 8 Version 6e30 Competitive Intelligence An intelligence system that helps managers assess their competition and vendors in order to become more efficient and effective competitors. 6 6

31. ©2002 South-Western Chapter 8 Version 6e31 Competitive Intelligence  Can help identify a competitor’s advantage  Can help determine how the competitor’s advantage was achieved 6 6

32. ©2002 South-Western Chapter 8 Version 6e32 Advantages of Competitive Intelligence  Predict changes in business relationships  Guard against threats  Forecast a competitor’s strategy  Develop a successful marketing plan 6 6

33. ©2002 South-Western Chapter 8 Version 6e33 Sources of Competitive Intelligence 6 6 Internet Company Personnel Experts CI Consultants Government Agencies UCC Filings Suppliers Newspapers/Periodicals Yellow Pages Trade Shows