1. Getting Information for Marketing Decision Making
Marketing Research:
Getting Information for Marketing
Decision Making
To Accompany Basic Marketing, 14th Edition
by William D. Perreault, Jr. and E. Jerome McCarthy
Your host:
David J. Urban
Professor of Marketing
Virginia
Commonwealth
University

2. Key Topics in Marketing Research
What is it?
Why is it important?
How is it done?

3. Marketing Research consists of the procedures
Marketing Research Defined
Marketing Research consists of the procedures
to develop and analyze new information
to help marketing managers make decisions.
Marketing research gets the "facts" not
already available in the marketing
information system.

4. Who Does “Custom” Marketing Research
Suppliers
In-house research departments
Custom research firms
Consulting firms
Advertising agencies
Syndicated services
Colleges and universities

5. Internationalization of Marketing Research

6. The Importance of Marketing Research
Reason #1: Not getting the right information is the fastest path to marketing disaster.
Base marketing strategies on valid evidence and analysis
Don’t blow it!

7. The Importance of Marketing Research
Reason #2: research is often done poorly … and with serious consequences
Managers may not know much about research
Quality of suppliers is highly variable
Research is often done on a crisis basis

8. Reason #3: big changes are underway because of technology
The Importance of Marketing Research
Reason #3: big changes are underway because of technology
Instant feedback and rapid change
“Real time” data
Lack of understanding about how to use the tools
Changes do not happen all at once

9. Ethical Issues in Marketing Research
Withheld information
Acceptability of Findings
Research vs. Selling
“Lying” with Statistics

10. Marketing Research Process – Step 1
Early
Identification of
Solution
Most important and difficult part of the process
What do we need to know?
What pieces of information will give us what we need?
Manager and researcher must work together
Defining
the
Problem

11. Researcher – Manager Collaboration
That overpaid yuppie is clueless--she doesn’t even know how a chi-square is computed
That marketing research
geek doesn’t understand
my business--she doesn’t
even know my competitors!
I stats

12. Marketing Research Process – Step 2 Feedback to Previous Steps
Early
Identification of
Solution
Defining
the
Problem
Analyzing
the
Situation
What information is already available
Expert interviews and case studies
Secondary data
Feedback to Previous Steps

13. An Example of Secondary Data

14. Marketing Research Process – Step 3 Feedback to Previous Steps
Early
Identification of
Solution
Defining
the
Problem
Analyzing
the
Situation
Getting
Problem-
Specific
Data
Feedback to Previous Steps

15. Primary Data -- Qualitative

16. Primary Data - Quantitative
Questioning
Mail, telephone, face-to-face, and internet surveys

17. Primary Data - Quantitative
Questioning
Mail, telephone, face-to-face, and internet surveys
Observation
Human or machine observers

18. Primary Data - Quantitative
Questioning
Mail, telephone, face-to-face, and internet surveys
Observation
Human or machine observers
Experiments
Cause and effect relationships

19. A good research proposal keeps the process on track
The Research Proposal
A good research proposal keeps the process on track
What
data will be
collected
What it
will cost
How it
will be
collected
Research
Proposal
How long
it will take
From whom
Quality control
standards that will
be used
Who will
analyze it

20. Marketing Research Process – Step 4 Feedback to Previous Steps
Early
Identification of
Solution
Defining
the
Problem
Analyzing
the
Situation
Getting
Problem-
Specific
Data
Inter-
preting
Data
Feedback to Previous Steps

21. Key Issues Data Interpretation Is the sample representative?
Is the data reliable?
Is the data valid?
Are the statistical techniques appropriate?

22. Data Interpretation

23. Marketing Research Process – Step 5 Feedback to Previous Steps
Early
Identification of
Solution
Defining
the
Problem
Analyzing
the
Situation
Getting
Problem-
Specific
Data
Inter-
preting
Data
Solving
the
Problem
Feedback to Previous Steps

24. Information Enters a Database
Sources
Questions
and Answers
Decision
Maker
Results
Market
Research
Studies
Internal
Data
Sources
Inputs
Databases
External
Data
Sources

25. Support Systems Interact with the Database
Information
Sources
Questions
and Answers
Decision
Maker
Results
Marketing
Models
Market
Research
Studies
New Information
Answers ?
Internal
Data
Sources
Inputs
Databases
Decision
Support
System
(DSS)
External
Data
Sources
Information
Processing
Specialists

26. Decisions and Outcomes
Information
Sources
Questions
and Answers
Decision
Maker
Results
Marketing
Models
Market
Research
Studies
New Information
Answers ?
Internal
Data
Sources
Marketing
Manager
Decisions
Outcomes
Inputs
Databases
Decision
Support
System
(DSS)
External
Data
Sources
Information
Processing
Specialists
Feedback

27. Marketing Strategy Planning Process
Narrowing down to focused strategy with quantitative and qualitative screening criteria
Customers
Needs and other
Segmenting
Dimensions
Targeting &
Segmentation S. W. O. T.
Company
Mission, Objectives,
& Resources
Positioning &
Differentiation
Competitors
Current &
Prospective
External Market Environment
Technology Political & Legal Social & Cultural Economic