MKT1705D Week 3 Marketing Intelligence

Marketing Research

Systematic design, collection, analysis, and reporting of data & findings relevant to a specific marketing situation facing firm

Caveats for Market Research

– Aids but not substitutes marketing decision making

– Not perfect even if carefully planned & controlled

– External factors not considered in project should also be taken into account

– Cost of gathering information vs incremental knowledge derived from research

Marketing Research Process

1) Defining the problem and research objectives

2) Developing the research plan for collecting information

3) Implementing the research plan — collecting and analysing the data

4) Interpreting and reporting the findings

Research Objectives

Refer to the identifying of managerial problem and translate into specified set of variables to be studied

Close co-operation between marketing manager and researcher needed

Exploratory Research

Gather preliminary information that will help define the problem and suggest hypothesis (generally broad and considered secondary research)

Descriptive Research

Describes things (e.g., market potential for a product, demographics, and attitudes) (primary research)

Casual Research

Test hypotheses about cause-and-effect relationships

Research Design and Implementation

Set of methods and procedures used to collect and analyse measures of variables specified in research problem

Data Sources

1) Secondary Data

2) Primary Data

Secondary Data

Existing data generated for a problem other than the one at hand

Advantages of Secondary Data

1) Quicker

2) Cheaper

3) Particularly useful in early stages of research

Disadvantages of Secondary Data

1) Unavailability

2) Inaccessibility

3) Irrelevant

4) Inaccurate

5) Dated

6) Partial (Bias)

Primary Data

Original data specifically collected for the problem at hand

Types of Primary Research

1) Observation (limited) (valid measure)

2) Survey (costly) (wide scope of information)

3) Experiment (realism difficult to achieve) (deep level of inquiry)

Sampling

Set of procedures used to determine sample size and composition.

Key Decisions of Sampling

1) Sampling Unit: Who to survey?

2) Sample Size: How many to survey?

3) Sampling Procedure: How to select participants?

Data Collection, Processing, and Analysis

Collecting data often most expensive and error prone phase.

Interpreting and reporting the findings

1) Final Phase

2) Criteria for report evaluation

Criteria for Evaluating Marketing Research Reports

1. Full statement of the problems to be resolved by the study

2. Source of financing for the study

3. Names of organizations participating in the study, together with their qualifications and vested interests

4. Exact time period covered in data collection

5. Definitions of terms employed

6. Copies of data collection instruments

7. Source of collateral data

8. Complete statement of method

What does the research output help to do?

1) Monitor environment

2) Implement Marketing Concept

3) Formulate and evaluate market segments

4) Assess Demand

5) Evaluate marketing tactics and performance

Customer Relationship Management (CRM)

Managing detailed information about customers to manage touchpoint and maximize loyalty

Benefits of CRM

1) Understand customers better

2) Pinpoint high-value customers