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Marketing Research:: Applications
Marketing Research:: Applications
Applications
Product Levels
Space Levels
Time Levels
Product-item Sales
Short-range Sales
Product-form Sales
Sales by territory
Medium-range Sales
Product-line Sales
Sales by Country
Long-range Sales
Company Sales
Global Sales
Industry Sales
National Sales
Describing a market
Penetrated Market
Current number of users of a product or a
service and the sales volume generated by
them.
Potential market
Those people who have an interest in buying
the product or the service
Available Market
Source of
Information:
Secondary
data
Sample
Survey
Segmentation Research I
Segment
refers to a unique group of customers or potential customers
who share some common characteristics that differentiate them
from others.
Segmenting and choosing the optimum market is called target
marketing and is a vital marketing skill.
demographic variables
geographic variables
geodemographic variables
psychographic variables
behavior patterns
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Segmentation Research II
Geographic segments:
Based on consumers geographic location including streets,
towns, cities, provinces, countries, regions, continents,
trading and/or political blocks, such as AFTA, NAFTA,
ASEAN etc.
Demographic segments:
based on variables such as age, sex, level of education,
marital status, family lifecycle, job type and level of income
etc.
Geodemographic segments:
based on variables such as house-type and locations, for
example, people who live in high-rise apartment complex
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Behavioral segments
based on behavior pattern of people such as consumption
behavior such as heavy user, medium user, light user etc.
and on the basis of other benefit enjoyed.
Customer location
Size
In terms of sales, number of staff etc.
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Product Research
Has three roles:
Idea Generation
Includes alternative specifications for product concepts
utilizing end user analysis or problem analysis.
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Data collection
methods include:
Focus group discussion
Survey Research
Not very easy
Questions are to be
formulated carefully
to capture and
effectively
communicate the
spark of an idea.
Demonstration
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QUESTION ITEMS
TYPICAL QUESTIONS
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Product/Market Testing II
Technical Testing on a prototype provides
information on product shelf life, product wear/tear
rates, problems regarding use/consumption,
potential defects, maintenance schedule
Preference and satisfaction testing
reserved for the final version of the product
Design Issues:
The number of test markets
to be chosen;
at least three
involves cost-benefit
analysis
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Price Research I
Generally undertaken for exploring pricing
approaches for new products or services before
they are launched. Involves
showing different sets of brands in the same
product category to respondents at different
prices and asking them which one they would buy;
presenting different prices for a product/service to
respondents and asking them if they would buy
the product/service. The responses are then used
to construct a so-called buy-response curve.
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Price Research II
Pricing research may also be conducted using consumer
panels. Data obtained may be analyzed using regression
analysis. Regression analysis can help in sorting out
effects of price Vs other variables on quantities sold.
Sample survey may also be used in price research.
However, this should be used with care since obtaining a
response curve using survey may be subject to error and
bias.
Other pricing research techniques include:
Laboratory experiments,
simulated test markets
using standard test market
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Promotion Research
Objective: To develop advertising appeals.
Types of research generally undertaken include:
Psychological or motivational studies
Generally used within the framework of individual interviews.
Involves talking with people in depth about what a product or
service may mean to them, what feelings are evoked by it, and
discover what it symbolizes to them.
Sociological studies
Focus group studies may be undertaken to generate ideas.
Anthropological studies
A small number of people may be observed to understand how a
product fits into their lives and what keep them interested in a
particular brand.
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ADVERTISING RESEARCH
MESSAGE RESEARCH
Pre-test
MEDIA RESEARCH
Newspaper as a Medium
Verbal Response
Circulation Research
Physiological Response
Readership Research
Behavioral Response
Television as a Medium
Post-test
Telephone Interview
Recognition
Audimeter Device
Recall
People Meter
Triple Association
Diary Method
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Pre-test II
Consumer jury method: Uses 50 to 100 customers as
jurors who are asked to rank the test advertisements in
order of interest, preference or ability to influence the
purchase of the product.
Portfolio test:A sample of consumers are asked to look
through a portfolio of 6 - 8 print advertisements within
an allotted period of time. The portfolio is then taken
away and the respondents are asked to recall the specifics
of the ads shown. Recalls are generally unaided. The
effectiveness of the test is measured by attributes such as
ability to recall the contents, claim of credibility in the
advertisement, general reaction, etc.
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Pre-test II
Qualitative Research: The two most widely used
methods are Focus group discussions and depth
interviews. Commonly used during the development stage
of the advertisement.
On-the-air test:The test advertisement is broadcast in a
small number of test markets and selected respondents
are interviewed by telephone on the following day to
ascertain various aspects of the ad message.
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Pre-test III
Theater persuasion test: Involves a test group of target
customers who are invited to a small theater to view pilot
episodes of some new TV programs. But before the show starts,
they are presented with a list of product brands (including the
brand shown on the test ad) and asked to indicate their
preferred brand. It is announced that a lucky draw will be held
and each winner will be awarded their preferred brand. The TV
program is then shown including the test ad. At the end of the
show, the viewers are once again asked to indicate their
preferred brand followed by a second lucky draw.
Brand preferences both before and after the show are then
computed and compared.
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Pre-test - IV
Galvanic Skin Responses, pupil dilation response and eyemovement tracking method make use of different types of
mechanical devices are not very popular methods.
Post-test
Most of the pre-testing techniques are applicable to post testing.
Additional ones are briefly described below:
Media Research I
Focuses on six aspects:
1. Media distribution
Refers to circulation of newspaper/magazine/periodicals or
the number of TV/Radio ownership and Internet
subscription.
2. Media audience
Number of people exposed to the ad medium in question.
3. Exposure
Number of people actually noting the advertisement;
generally less than media audience.
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Media Research II
Focuses on six aspects...
4. Perception
Number of people having conscious awareness and perception of
the advertisement in question. In print advertisements, perception
is affected by factors such as size, color, position and language of
the media. Typically, perception is less than exposure.
5. Communication
Number of people who comprehend specific things about and
aspects of the advertisement. Communication lags perception.
6. Purchase
Number of people purchasing the product after seeing the
advertisement.
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Newspaper as Ad Medium
Major types of information needed are;
Circulation
Generally available from secondary sources in
the form of audited circulation figures.
Readership
Data on readership is generally unknown and
need to be gathered through sample surveys.
Often problematic because identifying the reader is not
always easy.
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Television as a Medium I
Objective is to determine the TV audience. Programs
watched by more people are preferred by advertisers.
Methods of measurement include:
Telephone interviewing
Also known as coincidental telephone interview, this method involves
telephone interview with a sample of respondents during the broadcasting
hour.
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Television as a Medium II
Using audimeter device
Developed by A.C. Nielson Company, this is the most sophisticated
method of TV audience measurement. A technical device called
audimeter is attached to each of the TV sets of a panel of preselected households. The device automatically records the time
when the TV set is switched on (and off), the channel watched,
duration of watching; and instantly transmits the data to a central
computer for processing. However, an audimeter does not record
who in the household is/are watching.
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Radio/Cinema/Internet as media
Number of radio listeners may be measured in the
same way as TV audience is measured. Simplest way to
measure cinema audience is through sample survey.
Internet users may also be identified using Internetbased surveys.
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