9Marketing ResearchDr. Close

Role of ResearchDefined as: the planning, collecting, and analyzing information to improve marketing decisions.A decision Support System (DSS)Keep isolated marketing managers in touch with markets.Whats hot? Whats not?DSS: Interactive, flexible, discovery-oriented & accessibleCreate customer profiles via database marketing

Marketing Research Scientific Method:Is the objective and orderly process for testing ideas about relationships between variable(s).Hypothesis is an educated guess about relationship between variables (if a, then b).Is this the best way to understand consumers?

Marketing ResearchEthics (politicians find weak spots)Withhold info: ads, phone-in poll, what else?Privacy: war on debt faith giftFake surveys: telemarketerAny other examples?Internet examples?

Marketing Research StepsIdentify the problems (or opportunity)Is the most difficult and important (Cingular wireless: product failures: cast about reasons: lack of image; $300 million BBDO)Book: often outside specialists must understand situation.Budget constraints an issue.

Research Brings New Ideas

Marketing Research Steps2. Plan Research Design & Collect DataQuick and cost effective (eliminates need)Secondary data (Vans: law; skatepark)Information already collected and or publishedStudy information already availableEnd: decide if information is still neededIf so, conduct a new, original (primary) research study Market research is what I do almost every day!

How the Internet has Changed Secondary and Primary Data Collection Methods

Marketing Research StepsPlan to gather data: surveys2b. If primary data, have to collect data yourselfQuestioning: survey (Scales)Set of questions to collect information directly from subjects (open or closed ended)Self administer or in person (at events, malls)Problem: low response rates 10% is good, 36% diss)Problem (from low response): representativeOnline surveys (zoomerang.com.surveymonkey.com)

Marketing ResearchMarketing Research Process Plan to gather data: novel methods2b. Depth interviewsObserving you can observe a lot, just be lookingAdvantage: natural inquiry (kids), and gather information without influencing customers.What about disadvantages??Mystery shoppers (what are examples??)Scanner data: collect buying information (unlimited use)Netnography/ethnographyOnline/focus groups/

Marketing ResearchPlan to gather data: experiments2b. DataExperimenting Two similar groupsDiffer on one item of importanceHold all else constantAdvantage: causation (Eckerd; 20 stores; POP; Atkins death)Disadvantage: naturalism (is it so fake?) LeSportsac vs K-MartLook on the back of a prescription drug print ad.that is an experiment

K-MartImpression of K-Mart?

How would you research consumers

Marketing Research Steps5. Analyse/Interpret dataSolve with statisticsIssues:Reliability: consistency (same result in repeated trials; scale for weight)Validity: measure what you intend to (accurate standardized testsStatistical software assists you

SPSS vs. SAS

Marketing Research StepsAnalyze the data (not just interesting)

Run cross-tabsHypothesis testingAssociation MeasuresRegression AnalysisStructural Equation Models

Marketing Research6. Prepare/Present Report or ManuscriptSolve objectives clearlySearch for the better question (ask about food quality in dining hall; everyone talks about price or location)Tailor to audience (executive or expert scholarsFollow upHow could your improve?Was a decision made based on your study?Build a relationship

SummaryRead: Uses of Internet in marketing informationKnow the steps and methods (surveys, experiments, observations, etc.)Others:Define researchPurpose of researchQualitative v/s QuantitativeAny questions??

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