c5958module 1

7/29/2019 c5958module 1

1/44

Amity Business School

Sonia [email protected]


An Introduction toMarketing Research

7/29/2019 c5958module 1

2/44


A voyage of discovery; A journey; Anattitude; An experience; A

method of critical thinking; A carefulcritical enquiry in seeking

facts for principles

It is what a research is

7/29/2019 c5958module 1

3/44


Career Opportunities in Marketing Research

Marketing research analyst

Marketing information manager

Project manager Director of market research

Research account manager

Research analyst Methodologist

7/29/2019 c5958module 1

4/44


Minute Maid Quits Trying to Free OJ

Minute Maid attempted to market

orange juice as more than a breakfastdrink.

They failed in their attempt, butsucceeded in re-discovering theiroriginal market.

With a renewed emphasis on marketingorange juice as a breakfast drink, saleshave steadily risen.

Who thinks they were right to try.

7/29/2019 c5958module 1

5/44


Learning Objectives (Module-I) Introduction to MR

Why study MR Applications of MR

When to do MR

Limitations of MR

7/29/2019 c5958module 1

6/44


What is marketing research?

Marketing research:is the process of designing,gathering, analyzing, and reporting informationthat may be used to solve a specific marketing

problem. (Burns & Bush)is the function that links the consumer, customer, andpublic to the marketer through informationinformationused to identify and define marketing opportunities andproblems; generate, refine, and evaluate marketing actions;monitor marketing performance; and improve the

understanding of marketing as a process. (AMA)

7/29/2019 c5958module 1

7/44

Amity Business SchoolMarketingResearch

Function of Marketing Research is to link anorganization to its market through information

Identify and define marketing opportunity andproblems

Generate, redefine and evaluate marketingactions

Monitor marketing performance

Improve understanding of marketing as aprocess

7/29/2019 c5958module 1

8/44


Participants in marketing research activities

Information Users

Information Suppliers:

Inside Company

Information Suppliers:

Outside Company

General management

Planning

Marketing and sales managers

Product managers

Lawyers

Marketing research department Sales analysis group

Accounting department

Corporate strategic planning

Research consultants Marketing research suppliers

Advertising agencies

7/29/2019 c5958module 1

9/44

Amity Business SchoolMarketing research provides information to

help implement

The Study of Marketing

The Use of the Marketing Concept Marketing Strategy

Lets look at each of these in turn

7/29/2019 c5958module 1

10/44


help implement

Marketing:process of all activities necessary for

the conception, pricing, promotion, anddistribution of ideas, goods, and services tocreate exchanges that satisfy individual andorganizational objectives

7/29/2019 c5958module 1

11/44


help implement

Marketing Concept:the business philosophy that

holds the key to achieving organizational goalsconsists of determining the benefits sought bytarget market members and delivering thesebenefits more effectively & efficiently thancompetitors. This is to be done at a profit.

7/29/2019 c5958module 1

12/44


help implement

Marketing Strategy:consists of selecting one ormore segments of the market as the companystarget market(s) and designing the proper mixof the 4Ps

7/29/2019 c5958module 1

13/44


Key Point:To practice marketing; toimplement the marketing concept; to carry

out a marketing strategy, managers must makeinformed decisions.

Many decisions require additional information

and marketing research may be needed in

order to supply that information.

7/29/2019 c5958module 1

14/44

Amity Business SchoolWhat is online research?

Online research:the use of computer networks,

including the Internet, to assist in any phase ofthe marketing research process includingdevelopment of the problem, research design,data gathering, analysis, and report writing anddistribution

7/29/2019 c5958module 1

15/44

Amity Business SchoolWhat is online research?

Web-based research:research that is conducted

to evaluate various facets of Web applications;may use traditional methods as well as on-lineresearch methods in conducting research onWeb-based applications

Online survey research:collection of data using

computer networks

7/29/2019 c5958module 1

16/44

Amity Business SchoolMarketing Information System

Marketing Information System (MIS):a structure

consisting of people, equipment, and proceduresto gather, sort, analyze, evaluate, and distributeneeded, timely, and accurate information tomarketing decision makers.

7/29/2019 c5958module 1

17/44

Amity Business SchoolComponents of an MIS

Internal Reports System existing

organization/company reports and

records (sometimes calledaccounting information system)

Marketing Intelligence System

everyday info about pertinentdevelopments in the environment

7/29/2019 c5958module 1

18/44

Amity Business SchoolComponents of an MIS

Decision Support System (DSS) collecteddata that may be accessed and analyzedusing tools and techniques that assistmanagers in decision making (playing whatif?).

Marketing Research Systemprovidesinformation not available from other systems.

When specific problem must be solved,marketing research may be needed. This isproject-based not continuous as with othersystems.

7/29/2019 c5958module 1

19/44

Amity Business SchoolScience or Art?

Objectivity of Investigator

Unbiased Procedural integrity

Accurate reporting

Accuracy of Measurement

Valid and Reliable

Meaningful and useful

Appropriate design (sample, execution)

Open-minded to Findings

Willing to refute expectations

Acknowledge limitations

7/29/2019 c5958module 1

20/44

Amity Business SchoolManaging the Research

Process Good researchmanagement motivatesdecision makers to useresearch information

Determinants of whetherresearch data were used

conformity to priorexpectations

clarity of presentation

research quality

political acceptabilitywithin the firm

lack of challenge to the

status quo

7/29/2019 c5958module 1

21/44


Role of Marketing Research in

Managerial Decision Making

Four Stages of Market PlanningProcess

Situation analysis

Strategy development Marketing program development

Implementation

7/29/2019 c5958module 1

22/44

Amity Business SchoolSituationAnalysis

Analysis of

Market environment

Market characteristics Consumer behavior

Research Approaches

Organize information obtained from priorstudies (secondary)

Focus groups

7/29/2019 c5958module 1

23/44

Amity Business SchoolStrategy Development

Market Research Provides Information toAssist Management With Three Critical

Decisions What business should we be in?

How will we compete?

What are the objectives for the business?

7/29/2019 c5958module 1

24/44

Amity Business SchoolMarketing Program

Development

Programs embrace specific tasks

Action program usually focuses on a

single objective in support of one elementof overall business strategy

7/29/2019 c5958module 1

25/44

Amity Business SchoolImplementation

Starts with decision to proceed to a newprogram or strategy

Commitment to objectives, budgets andtimetables

Specific measurable objectives must be set forall elements of marketing program

"Did the elements achieve their objectives?"

Should the marketing program be continued,discontinued, revised or expanded?"

7/29/2019 c5958module 1

26/44

Amity Business SchoolSituation

Analysis

Strategy

Development

Marketing

Program

Development

Implementation

Understand the environment and the market

Identify threats and opportunities

Assess the competitive position

Define the business scope and served marketsegments

Establish competitive advantages

Set performance objectives.

Product and channel decision

Communication decisions

Pricing

Personal selling decisions

Performance monitoring

Refining strategies and program

7/29/2019 c5958module 1

27/44

Amity Business SchoolFactors Influencing Marketing ResearchDecisions

Relevance

Type and Nature of Information Sought Timing

Availability of Resources

Cost-benefit Analysis

7/29/2019 c5958module 1

28/44


Marketing Research An investment toreduce uncertainty

Can help guide

decisions on Whether to enter

Product characteristics

Promotional strategy

Positioning

Must weigh costs andbenefits of research

Money

Time spent No perfect method

tradeoffs betweenmethods

7/29/2019 c5958module 1

29/44


What Decision Makers Want FromMarketing Research

1 Should maintain client confidentiality2 Should be honest

3 Should be punctual

4 Should be flexible

5 Should deliver according to project specifications

6 Should provide high quality output

7 Should be responsive to the clients needs

8 Should have high quality-control standards9 Should be customer oriented in interactions with

client

10 Should keep the client informed throughout the

project

7/29/2019 c5958module 1

30/44


Applications of MarketingResearch

7/29/2019 c5958module 1

31/44


Applications of Marketing

ResearchTraditional Applications: 4P (product,

price, promotion, Place)

Contemporary Applications: CompetitiveAdvantage, Brand Equity, CustomerSatisfaction

Emerging Applications: databasemarketing, Relationship Marketing

7/29/2019 c5958module 1

32/44

Amity Business SchoolPhase in New Product Research

Concept generation

Concept evaluation & development

Product evaluation & development

Testing & marketing program

7/29/2019 c5958module 1

33/44

Amity Business SchoolNew Product Research

Need identificationPerceptual maps

Trends analysis

Benefit structure analysisDiary analysis

Focus-group

Lead User analysisConcept identification

To monitor the environment systematically

Information acceleration

7/29/2019 c5958module 1

34/44


New Product Research

Product evaluation & development

Use Testing

Predicting trial purchase- ESP model Pretest marketing- ASSESOR model

Advantages of laboratory test

Test marketing

To gain the information & predict theprograms outcome

7/29/2019 c5958module 1

35/44


Pricing ResearchApproaches: Gabor & Grainger method,

Multi-brand choice method

Pricing strategies (Randomly discounting,Second market discounting, Periodicdiscounting, Price signaling, Penetration

pricing, Geographic pricing, Premiumpricing, Price bounding, Complementarypricing)

7/29/2019 c5958module 1

36/44


Distribution ResearchWarehouse and retail location Center-of-gravity simulation

Computerized simulation models

Trade area analysis Outlet location research

Number and location of representatives

Sales effort approach

Field experiments Computerized models of sales force size & allocation

7/29/2019 c5958module 1

37/44


Promotion ResearchAdvertising research Budge decision

Media research

Sales promotion research Retailer promotions

Trade promotions

Consumer promotions

7/29/2019 c5958module 1

38/44


Competitive AdvantageMarketing strategy (ex: Porter five forces

analysis)

Market-based /Process-basedassessment

7/29/2019 c5958module 1

39/44


Brand EquityResearch questions:

Brand loyalty

Name awareness Perceived quality

Brand associations

Other brand assets: patents, trademarks,channel relationships, etc.

Measuring brand equity

7/29/2019 c5958module 1

40/44


Customer SatisfactionMeasurement process

Issues in questionnaire design and scaling

TQM (Total Quality Management), QFD(Quality Function Deployment)

7/29/2019 c5958module 1

41/44


Database MarketingElements of a databaseWays to gather customer data

A customer/ prospect databaseValue-added database

Enhancement

Analysis/ modeling

Identify most profitable customers

Validating prospect profiles

7/29/2019 c5958module 1

42/44


Database MarketingBenefits:

Customers are easer retain than acquire

Determine theirlifetime value

Developing relationships with customers

E-commerce

7/29/2019 c5958module 1

43/44


Relationship MarketingThree keys:

Marketing database

Deliver differentiate messages to targetedhouseholds

Track the relationship

CRM, data mining

7/29/2019 c5958module 1

44/44

Amity Business SchoolDifficulties of Achieving Scientific

Studies in Marketing

Investigator is deeply involved in the use of theresults.

Imprecise measuring devices

Very complex and interrelated subject matter

Difficulty using experiments

Influence of the measurement process on results

Time pressure for results

Documents

c5958module 1