MK209 Marketing More

Consumer purchase decisions are impacted by ___ factors as well as competing offerings

macro-environmental

Success in the marketplace requires...

knowing, then attracting, satisfying, and retaining customers

The five key questions are...

Where do they buy? What are their choice criteria? When do they buy? How do they buy? Who is important?

Demands are...

human wants that are backed by buying demands power

All marketing decisions are based on ___ and ___ of consumer behaviour

assumptions, knowledge

Consumer behaviour consists of many aspects like...

Psychology, economics, sociology, anthropology, neuroscience

What can affect/influence consumer behaviour?

Psychological, social, and situational factors and the marketing mix

What are the five values influencing consumer choice?

Functional, social, emotional, epistemic and conditional

Sensory marketing

Marketing that engages the consumers' senses and affects their perception, judgement, and behaviour

Sensation

When the stimulus impinges upon (interrupts) the receptor cells of a sensory organ—it is biochemical (and neurological) in nature

Perception

The awareness or understanding of sensory information

The key instrument to ensure sustainability is...

customer satisfaction

Nature

Primary and secondary information

Sources

Own and external records, marketing intelligence and marketing research

Type

On customers, organisations/competitors, and the marketing environment

In-house

Gives you more control and is less cost-effective

Agency

Requires a formal research brief and a research proposal

Quantitative

Surveys, panels, experiments

Qualitative

Interviews, focus groups, delphi technique, observation and participation, mystery shopping

Big data

Internet research, store audits and scanner data

Spurious relationship

One that lacks any theoretical support that exists because of the simultaneous connection of the observed variables to a third variable that has not been accounted for

Quantitative investigations serve...

deductive reasoning

Consumer's spending income.

The amount of money the consumer will spend to buy a smart phone, as well as how often the consumer will upgrade his/her phone

Ratio

These are measures (or variables) that can take literally any value between the minus or plus infinity. We also have the value of zero

Nominal

These are measures (or variables) that can only take literally an integer value. We cannot sum, subtract, multiply or divide these numbers

Interval variables

Variables that we developed so that they take only integers, lacks a zero (real and conventional alike), and has a conceptually constant interval between all and every individual value they can get

Ordinal variables

Variables that we developed so that they take only integers, lacks a zero (real and conventional alike), and lacks a conceptually constant interval between all and every individual value they can get. Instead they give a RANKING along different alternatives/categories

Trend analysis

Seeks to eliminate 'noise' from a time series that various events may cause. 'Noise' elimination usually comes with a smoothing technique called "moving average calculation".

Forecasting

Using the knowledge of the past to predict the future. Note that the future is not necessarily an extrapolation (linear or not) of the past and modelling is often required.

Correlation

A change in one variable relates with a change in the other variable (happening simultaneously)

Causation

The causing effect takes time precedent of the result

Nature association

Theory to establish

Strength association

Model to establish

Modelling association

Seeks to establish the strength of the association between two or more variables

Structural Equation Modelling (SEM)

Dealing with the complexities of the reality

Customer insight

A non-obvious understanding about customers and markets, which, if acted upon, has the potential to benefit both the organisation and the customer

Information explosion

The major growth in information available in a wide range of formats from a wide range of sources. This growth has principally resulted from improvements in the capabilities and speeds of computers.

Triangulation

Using a combination of different sources of data where the weaknesses in some sources are counterbalanced with the strengths of others.

Customer databases are generally developed for four main reasons:

Personalisation of marketing communications, improved customer service, improved understanding of customer behaviour, assessing the effectiveness of the organisation's marketing and service activities

List brokers

Organisations that sell off the shelf data files listing names, characteristics and contact details of consumers or organisations.

Research brief

A written document that sets out an organisation's requirements from a marketing research project. This provides the specification against which the researchers will design the research project.

The three main categories of marketing research are...

exploratory research, descriptive research and casual research

Exploratory research

Intended to develop initial ideas or insights and to provide direction for any further research needed

Descriptive research

Describe what is happening in a market without potentially explaining why it is happening e.g who, what, where, how and when

Causal research

Examines whether one variable causes or determines the value of another variable

Marketing research myopia

A too narrow definition of who in the organisation does marketing research (Malhotra, 1992)

Structured interviews use...

a pre-defined set of questions and a pre-determined format

Semi-structured interviews are guided by...

A set of questions and prompts for discussion but have in-built flexibility to adapt to particular respondents and situations; for these reasons they are among the most popular forms of interviews in education research, and are particularly favoured by beginning researchers.

Approaching observation

Establishing the focus of the observations, selecting the cases for observation and, as appropriate, selecting within cases for observation (Foster, 1996b). In other words, the researcher has to decide what will be observed and why.

The recording observational data ranges from the use of...

video and audio/visual equipment to the use of field notes. These different recording methods each have their strengths and their limitations (Foster, 1966b).

Systematic review treat research publications as...

documentary sources, from which to develop narrative, configurative or aggregative accounts of current knowledge on particular topics (Gough et al., 2012).

Construct validity is a measure of...

how well you are measuring what you think you are measuring.

Criterion validity is a measure of...

how well the scale or test predicts future outcomes or how well the scale's score correlate with some 'gold standard' of the same variable

Content validity is the extent to which...

the items in the scale or test reflect the measured concept.

Face validity is the least important form of validity and is a...

casual review of how good the items of the test appear. Often confused with content validity.

Questions and response format

Open-ended, closed questions (single answer and multiple choice), ranking questions

Question wording fundamentals

Ensure clarity, avoid bias, avoid "fusion", decide on using direct or indirect questioning, randomised response technique for sensitive questions

The purpose of the pilot test is to...

check wording (clarity and comprehension), time to complete, ease to complete and participants' response and feedback

Collection methods

Telephone interview, mail interview, face-to-face interview, online

Types of analyses

Descriptive anad inferential

Sampling

The process of selecting a number of respondents (sample) to represent a population of interest

Probability sampling

Each sampling unit has a known, non-zero chance (not necessary an equal chance) of being selected

Non-probability sampling

Each sampling unit's chances of selection are unknown

Census

Attempting to study every member of your defined target population. Whereas a sample is selecting a subgroup of that population for study

Nomogram

A graphical calculating device, a two-dimensional diagram designed to allow the approximate graphical computation of a mathematical function

Stratified random sampling

The population usually includes specific groups that share a common attribute

Cluster sampling

Systematic stratified sampling requires that members belonging in the different strata are homogeneous in their behaviour

Convenience sampling

Researcher's convenience is basis for selection. Convenience may be defined in terms of time, place or access

Judgement sampling (or purposive sampling)

Researcher selects a sample that is most appropriate for research study and relies on their 'expertise'

Quota sampling

The non-probability version of stratified sampling. Subsets of population of interest are selected

Snowball sampling

An initial pool of participants is identified based usually on willingness to participate. Then, additional respondents are identified and selected on basis of referrals from the initial respondents

Dichotomous questions

Questions with only two potential responses e.g yes or no

Position bias

The phenomenon where respondents are more likely to choose items at the beginning or end of a list rather than those appearing in the middle. Also known as order effects.

Unidimensional scaling focuses on only ___ attribute whereas multidimensional scaling looks at ___ of dimensions

one, a variety

Graphic rating scales (sometimes known as continuous rating scales)...

present respondents with a continuum in the form of a straight line anchored between two extremes

Itemised rating scales...

have a finite set of distinct response choices. The respondent chooses the rating or score that best reflects their view of the subject

Comparative rating scales...

ask respondents to compare the organisation or issue in relation to a common frame of reference

A non-comparative rating scale does not...

provide a standard frame of reference and allows respondents to select their own frame of reference or even to use no frame of reference at all

A forced-choice scale does not allow...

respondents the option of selecting a neutral rather than a positive or negative view about an attribute

A balanced scale is one that has...

an equal number of positive and negative response choices

End-piling

A situation where almost all responses appear in a few categories at one end of a measurement scale

Test-retest reliability measures...

the stability of scale items over time

Split-half reliability measures...

the internal consistency of a summated rating scale and refers to the consistency with which each item represents the overall construct of interest

Cronbach's alpha

A statistical test used to measure the split-half reliability of a summated rating scale, also known as coefficient alpha

Content validity

A subjective yet systematic assessment as to how well a rating scale measures a topic of interest

Construct validity

An analysis of the underlying theories and past research that supports the inclusion of the various items in the scale. It is most commonly considered in two forms, convergent validity and discriminant validity

Convergent validity

A measure of the extent to which the results from a scale correlate with those from other scales or measures of the same topic/construct

Discriminant validity

Assess the extent to which the results from a scale do not correlate with other scales from which one would expect it to differ

Ambiguous questions

Respondents and researchers may read different meanings into questions, resulting in inappropriate or unexpected answers

Double-barrelled questions

Questions where two topics are raised within one question

Leading or loaded questions

Questions that tend to steer respondents towards a certain answer, particularly where the respondents are unsure as to their true feelings

Implicit assumptions

Questions where the researcher and the respondent are using different frames of reference as a result of assumptions that both parties make about the questions being asked

Classification questions

Questions that appear in almost all questionnaires and are concerned with gathering data on the respondent's personal or demographic characteristics

Pilot testing (sometimes known as pretesting) involves...

administering a questionnaire to a limited number of potential respondents in order to identify and correct design flaws

Sampling

The selection of a sample of respondents that is representative of a population of interest

Population of interest

The total group of people that the researcher wishes to examine, study or obtain information from. Sometimes known as the target population or universe

Sampling frame

A list of the population of interest from which the researcher selects the individuals for inclusion in the research

Sampling frame error

A bias that occurs as a result of the population implied by the sampling frame being different from the population of interest

Access panels

A database of individuals who have agreed to be available for surveys of varying types and topics

Simple random sampling

Every possible member of the population has an equal chance of being selected for the survey. Respondents are chosen using random numbers