1. Chapter Fifteen Copyright © 2006 John Wiley & Sons, Inc. Managing Marketing Research and Research Ethics

2. John Wiley & Son, Inc 2 Learning Objectives 1.To understand what clients want from a research supplier or department. 2.To appreciate the role of communications in managing marketing research. 3.To learn about the research management goals of assurance of data quality, cost control, adherence to time schedules, maintenance of client profitability, and staff development.

3. John Wiley & Son, Inc 3 Learning Objectives 4.To examine unethical practices among marketing research suppliers, clients, and marketing research field services. 5.To become familiar with respondents’ rights. 6.To discover methods by which the level of professionalism in marketing research can be raised

4. John Wiley & Son, Inc 4 To understand what clients want from a research supplier or department Marketing Research Supplier Management Top Ten Things A Client Wants In A Research Company Or Department 1.Maintains client confidentiality 2.Is honest 3.Is punctual 4.Is flexible 5.Delivers against projects specifications 6.Provides high-quality output

5. John Wiley & Son, Inc 5 To understand what clients want from a research supplier or department 7.Is responsive to the client’s needs 8.Has high quality-control standards 9. Is customer-orientated in interactions with client 10. Keeps the client informed throughout a project Marketing Research Supplier Management

6. John Wiley & Son, Inc 6 Communications –Liaison Must communicate accurately honestly and frequently with client Should go over the project objectives, methodology, and timing with client Client should sing off on the questionnaire Ascertain how often the client wants progress reports To appreciate the role of communication in managing marketing research Marketing Research Supplier Management

7. John Wiley & Son, Inc 7 Managing the Research Process –Research Management Data Quality Management –Integrity and Quality of Data –Procedures –Time Management Keep Project on Schedule Two Problems –The incident rate problem –A longer-than-anticipated interview –System to Control Schedules To learn about the research management goals of assurance of data quality, time schedule, cost control, client profitability and staff development Marketing Research Supplier Management

8. John Wiley & Son, Inc 8 To learn about the research management goals of assurance of data quality, time schedule, cost control, client profitability and staff development. Costs Management –Capture data collection and other costs daily. –Daily reporting of costs to project managers. –Communicate the budget picture to clients and managers. –Quickly identify over-budget situations –Offer options to client early in the process. Marketing Research Supplier Management

9. John Wiley & Son, Inc 9 To learn about the research management goals of assurance of data quality, time schedule, cost control, client profitability and staff development. Client Profitability Management –“Twenty percent of the clients generate eighty percent of the profits”. Marketing Research Supplier Management

10. John Wiley & Son, Inc 10 Staff Management and Development 1.Create an environment that encourages risk taking, experimentation, and responsibility 2.Foster recognition and accountability 3.Provide job autonomy 4.Attract and support people with entrepreneurial attitudes To learn about the research management goals of assurance of data quality, time schedule, cost control, client profitability and staff development. Marketing Research Supplier Management

11. John Wiley & Son, Inc 11 5.Connect rewards to a business result 6.Open your financial books 7.Offer diversity within your organization 8.Provide clear promotional paths To learn about the research management goals of assurance of data quality, time schedule, cost control, client profitability and staff development Marketing Research Supplier Management

12. John Wiley & Son, Inc 12 Selecting The Right Marketing Research Supplier 1.Determine the project’s requirements 2.Assess the capabilities of alternative suppliers 3.Consider the size of the firm 4.Establish up front the individual who will be managing the project Managing a Marketing Research Department To learn about the research management goals of assurance of data quality, time schedule, cost control, client profitability and staff development

13. John Wiley & Son, Inc 13 5.Research department manager needs to become acquainted with the backgrounds of the potential vendors 6.Questions that should be asked to determine the stability of the company 1.How long has the vendor been in business? 2.What other companies have they conducted research projects? 3.What are the academic backgrounds and experiences of those persons who will be working on the project? 4.Does the success of the project depend on the capabilities of a subcontractor To learn about the research management goals of assurance of data quality, time schedule, cost control, client profitability and staff development. Managing a Marketing Research Department

14. John Wiley & Son, Inc 14 7.Review the quality control standards of each potential vendors 8.The reputations of the firms must be considered in the decision 9.Avoid letting price be the sole determining factor in the selection To learn about the research management goals of assurance of data quality, time schedule, cost control, client profitability and staff development Managing a Marketing Research Department

15. John Wiley & Son, Inc 15 Researcher’s Challenge –To shed their long held tradition role as a support function –To move beyond the task of simply crunching numbers and churning out results –To begin to understand the underlying business issues at stake and adjust the information they gather and how they analyze it –To reach out to other departments, building relationships and a better understanding of the issues companywide To learn about the research management goals of assurance of data quality, time schedule, cost control, client profitability and staff development. Managing a Marketing Research Department

16. John Wiley & Son, Inc 16 To examine some unethical practices found among marketing research suppliers, clients, & marketing research field services Ethics: –Moral principles or values generally governing the conduct of an individual or group. –Not a one-way relationship. Research Supplier Ethics –Low-ball Pricing –Underpaying Field Services –Allowing Subjectivity into the Research Marketing Research Ethics

17. John Wiley & Son, Inc 17 –Abuse of respondents –Most common problem: lengthy interviews –Refusal rate now averages 60 percent. –Selling unnecessary research –Violating client confidentiality Client Ethics –Requesting when a supplier has been predetermined –Obtaining free advice and methodology via bid requests –Making false promises –Unauthorized request for proposals To examine some unethical practices found among marketing research suppliers, clients, & marketing research field services Marketing Research Ethics

18. John Wiley & Son, Inc 18 Field Service Ethics –Over reporting hours worked –Falsifying data –Use of professional respondents To examine some unethical practices found among marketing research suppliers, clients, & marketing research field services Marketing Research Ethics

19. John Wiley & Son, Inc 19 Data Collection Code of Ethics—Marketing Research Association –Issues in data collection Accuracy of statements given to respondents Protection of respondents anonymity Respect for the respondent’s right to refuse cooperation The need for parental consent before interviewing children Treating respondents with respect and not attempting to influence responses To examine some unethical practices found among marketing research suppliers, clients, & marketing research field services Marketing Research Ethics

20. John Wiley & Son, Inc 20 –Field services responsibilities Research should be conducted per client specifications The confidentiality of techniques, information, clients, and respondents will be protected Multiple surveys are not administered sequentially during one interview without expressed permission Research results are reported accurately and promptly No misrepresentations are made with regard to qualifications, experience, skills, or facilities Membership in the MRA is not to be used as proof of competency To examine some unethical practices found among marketing research suppliers, clients, & marketing research field services Marketing Research Ethics

21. John Wiley & Son, Inc 21 –Client’s responsibilities Clients will provide safe products/services and disclose all product contents Clients will provide instructions Clients will not request activities that violate the code or are prohibited by law To examine some unethical practices found among marketing research suppliers, clients, & marketing research field services Marketing Research Ethics

22. John Wiley & Son, Inc 22 To become familiar with respondent’s rights Respondent Rights –The Right to Choose to Participate –The Right to Safety –The Right to be Informed –The Right to Privacy Marketing Research Ethics

23. John Wiley & Son, Inc 23 Ethics and Professionalism –Business ethics Employees’ needs and desires and the long-range best interests of the organization People directly affected by company activities and their long-range goodwill and best interests (creates good publicity for the firm) Social values and conditions for society at large that provide values, sanctions, and a social structure that enables the company to exist Methods by which the level of professionalism in marketing research can be raised Marketing Research Ethics

24. John Wiley & Son, Inc 24 –Challenges to professionalism Push polls Sales pitches disguised as research –Fostering Professionalism Profession versus professionalism Council of American Survey Research Organizations (CASRO)-trade association representing full-service marketing research firms CASRO—raising professionalism in the marketing research industry Marketing Research Ethics Methods by which the level of professionalism in marketing research can be raised

25. John Wiley & Son, Inc 25 –Researcher Certification Licensing Certification Marketing Research Ethics Methods by which the level of professionalism in marketing research can be raised

26. John Wiley & Son, Inc 26 SUMMARY Marketing Research Supplier Management Managing a Marketing Research Department Marketing Research Ethics

27. John Wiley & Son, Inc 27 The End Copyright © 2006 John Wiley & Son, Inc