Introduction to Market Research

About Me

Passed out of Welingkars in 2004

Worked for the last 5 years with IMRB , stints in Media Planning and consulting prior to that

Worked on the following types of studies

Brand Tracks Advertising Pre Testing Segmentation Product Testing Concept Testing Awards Research Pricing Research Agricultural Research

Brands I have worked with

So what comes to your mind when I say the words market research?

Questionnaires
Surveys Door to Door

Opinion Polls 100 page reports Analysis Secondary

Summer Projects Tables Primary

Dilbert's view on Market Research

Lets examine a few objections to market research

We do no market research. We don t hire consultants. We just want to make great products -Lt .Steve Jobs

If I d asked customers what they wanted, they would have said a faster horse -Henry Ford

I never hired a consultant or did any market research to tell me whether people will fly. I mean, it was staring in my face. If the economy improved, people had to fly Capt Gopinath Founder of Deccan Aviation

Market Research may not give you the next Google or Facebook because
Customers don t know what they want Customers don t know what s possible Customers don t know each other
It s very hard to envision the solution you want without actually seeing it

Customers have no idea about the enabling technologies involved

they re busy enough with their own lives and jobs they don t have a lot of time for analyzing what needs they have in common with others

If you just ask customers what they want, do you ll end up with incremental and evolutionary improvements to what they already have (at best) or more likely a random collection of band-aid features, and not the new and dramatically better solution that you re looking for -Marty Cagan of the Silicon Valley Product Group

So is Market Research Irrelevant?

Global market research is a US$ 31.2 Bn Industry

There is a bit of Market Research involved in almost everything you do

The ads you saw on TV yesterday

The design of your Facebook page

The fragrance in the soap you used today

The ranking of your B-School

The features on your Cell phone

Fact # Market Research helps clients solve actual business problems

The marketing team of an apparel brand wants to check if its recent ad campaign was effective How do they do this?

A product manager at a telecom company wants to check if his new tariff plan will cannibalize customers from his old plan How does he ensure this does not happen?

A FMCG major wants to ensure the right kind fragrance for its new soap variant. How does it choose from the variety of scents available?

Fact# A host of major brands in India use market research very seriously in their marketing process

Market Research
Green and Tull have defined marketing research as follows:

Marketing research is the systematic and objective search for, and analysis of, information relevant to the identification and solution of any problem in the field of marketing.

Market Research: What it is

An integral marketing function A systematic approach Search for relevant information To support decision making

Market Research: What it isn't

Not an academic pursuit Not an oracle with all answers Not the absolute truth Not a substitute for judgment and creativity

The world of research is vast

FMCG Research Media Research Financial Research Business to Business Research Pharmaceutical Research Trade Research Panel Research Customer Satisfaction Agricultural Research Automotive Research Awards and Rankings Research

When do I initiate market research?

I have insufficient knowledge to take a marketing decision

Do I have the key information easily available?

Available from existing resources

Not available from existing resources

Sales Trends Sales Force

Internet

Consumer Feedback Industry Bodies

Can I get valid information in time and within budget?

Dealer Visits

Yes

No

Initiate Research

Somethings are not researchable : Figuring out the proportion of black money in a persons annual income? Somethings are not worth the time and cost: Knowing the number of Indians reading Russian newspapers? Somethings are not Ethical: Measuring the intention amongst teens to consume psychedelic drugs?

What will this course offer you?

Practical guidance on how to conduct market research. A step by step approach

Formulation of the marketing problem Development of the approach to solve the problem Creating a research framework Collecting the information Analysing Data Presenting Data

Why is this course very very important for you?

What is the difference between Secondary and Primary Research?

Secondary research is nowadays synonymous with

Any information that has been gleaned from studies performed previously(and not specifically for the problem at hand) becomes Secondary Data
Sources Government Publications(Census, Economic Survey) Industry/Trade Associations (CII,FICCI) Newspapers/Magazines/Journals Syndicated Sources (Indian Readership Survey)

Secondary Data Advantages: Low Cost, Fast, Offers a initial perspective into your problem Secondary Data Disadvantages: Low on accuracy, outdated, unclear methodology Secondary Data is good for Spicing up your reports -Background, Category History,
Developing hypothesis for your research

Primary Data
Wikipedia gives us very simple definition Primary research (also called field research) involves the collection of data that does not already exist, which is research to collect original data
Collecting Primary Data Interviewer administered or Self administered Data can be collected through Paper based questionnaires Diaries Digitally: Online, Offline, Cell Phone Telephonically

Primary Data Advantages: Accurate ,Focused on specific research issues, Control on how information is collected. Primary Data Disadvantages: Expensive,Time Consuming,