Market Research by Rahul

8/14/2019 Market Research by Rahul

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Market Researchby Rahul

Entrepreneurial Marketing 445


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Guest Speaker:Kaiping ZhangBusiness Librarian

Secondary Market Research Resources


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Why Market Research?

Continually recognize emerging opportunitiesEffectively capitalize on the most promisingDecisions about product features, targetaudiences, prices, communication methods,distribution approaches and much more


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Market Research

Any reliable information that improvesmarketing decisionsTrade offs (how much information iscollected, from which sources, collected inwhat manner, at what cost, and completed bywhat date)


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Market Research as a Logical Process

The set up

Recognize and define managerial problem

Set Research Objectives

Establish simple hypotheses

Identify information needed


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Themeasurement

Perform secondary data searchInternal/external

Obtain primary dataDevelop research design

Determine sampling strategy

Design questionnaire or measure instrument

Collect data

Analyze data


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Secondary data: information that has beenpreviously collected, such as governmentreports, trade association studies, pastmarketing research studies or internalcompany data files.Primary data: new information generated by

the by the researcher to address a particular problem.


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Themanagementdecision

Write report

Select the most appropriatedecision alternative


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Backward Approach

The set up

Determine the key management

decisions to be made

Specify information inputs that wouldlead to one decision alternative versus

other decision alternatives

Prepare sample tables or short reportcontaining the kinds of information

that would best help makethe managerial decision

Determine the analysis that will be

necessary to fill in the tables or report

Determine what questions must beasked to provide the data required

by the analysis

Ascertain whether needed questionshave been answered already


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Backward Approach

Themeasurement

Design sample

Implement research design

Analyze data


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Traditional vs. EntrepreneurialResearch

SurveysLarge sampleProfessional firm

Customers rationalStart with product:attributes, features,benefits

Analytical andquantitative

Richer insightsLower costLess complexity

Customers emotionalTap unconscious mindof buyersStart with consumer


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Principles to Guide theEntrepreneurial Research Process

Think Like a Guerrilla: unconventional tactics andunorthodox practicesMake Use of Your Surroundings

Find Insights in the OrdinaryExplore the UnconsciousBuild Research into Daily OperationsUse Technology CreativelyCreate and Mine Databases


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Low Cost Effective Research

QualitativeObserve Customers in Action

Garbology

In-depth InterviewsIndividual (Lead User Research)Focus Groups

Projective Techniques


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Snowball Sampling

Identify one or more contacts inside thebuying organization. The initial contact istelephoned and asked to identify four people

inside the organization who would bemeaningfully involved in a buying decision.Tally the two or three names that arementioned the most times. Create a qualified

sample from the ground up.


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Other inexpensive methods

Garbology: Study of a market by examiningwhat it discards.Monitor weblogs: A blog is a website thatincludes user-generated content, typically onsome focused topic.


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Low Cost Quantitative Research

Survey ResearchWeb basedConsumer panels

Experimentation Archival Studies (secondary data)

Internal archives (company records)

External archives


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Lead User

An Individual who has needs for which nosolution exists and who often has ideas for effective products that have not yet been

developed.


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Ethnography

Use of field work to capture behavior andhuman reactions in the natural setting as theyoccur.


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Environmental Scanning

Environmental Change

Environmental Complexity

Resource Scarcity

Uncertainty

Characteristics of Changing External Environments


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The Role of the Macroenvironment


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HBR Scanning the Periphery

Mattel Barbie vs. Bratz Avoid being blindsidedSee changes sooner and capitalize on themWhat dont we know that might matter? Improving Peripheral Vision


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Learning from the pastWhat have been our past blind spots? What ishappening in these areas now?

Is there an instructive analogy from another industry? (Nanotech and GMO)Who in your industry is skilled at picking up onweak signals and acting on them ahead of everyone else?


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Examining the PresentWhat important signals are you rationalizing away?(cheaper products?)What are your mavericks and outliers trying to tell you?(Organon drug company, secretary and cheerful allergypatients)What are peripheral customers and competitors reallythinking? (Complainers and defectors)


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HBR Scanning the PeripheryEnvisioning New Futures

What future surprises could hurt (or help) us?What emerging technologies could change the

game? (focus on customer conditions: over served, underserved and unable)Is there an unthinkable scenario?


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Key Ideas

Firms must be proactive in gathering andinterpreting inputs from the external environmentOngoing intelligence on customers, markets,

distributors and competitors.Changes about product features, target audiences,prices, communication methods, distributionapproaches and much more


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Key Ideas

Market research reduces uncertaintysurrounding managerial decisions.Best to use a logical process.Entrepreneurial: lower cost and greater ingenuity.Calculated part of calculated risk-taking

Documents

Market Research by Rahul