MARKETING

RESEARCH

5th edition
Alvin C. Burns Ronald F. Bush

Introduction to Marketing
Research

Because Marketing Research is

part of Marketing we should
understand:
What is marketing?
What is the marketing concept?
What is marketing strategy?

Ch 1

What is Marketing?
Marketing has been defined by the
AMA as an organizational function
and a set of processes for creating,
communicating and delivering value
to customers and for managing
customer relationships in ways that
benefit the organization and its
stakeholders.
Ch 1

What is the Marketing Concept?

The Marketing Concept is a business
philosophy that holds that the key to
achieving organizational goals
consists of the companys being
more effective than competitors in
creating, delivering, and
communicating customer value to its
chosen markets.

Ch 1

What is Marketing Strategy?

A Marketing Strategy consists of
selecting a segment of the market as
the companys target market and
designing the proper mix of the
product/service, price, promotion,
and distribution system to meet the
wants and needs of the consumers
within the target market.
Ch 1

Learning by Doing:
Lets Apply Marketing to
a Restaurant
Target market segment?
Marketing strategy
Location?
Menu?
Prices?
Type?
Advertising?
Ch 1

Restaurant Marketing
Decisions
What if you owned a restaurant
located in Austin, Texas near the
University of Texas?
What would be your marketing
strategy?
How certain are you that you made
the right decisions?

Ch 1

Restaurant Marketing
Decisions
What if the restaurant was located
near a university in a foreign country
like China, Thailand, Italy, Iceland, or
Peru?
What would be your decisions?
How certain are you that you made
the right decisions now?
So, whats going on? Class
comments?
Ch 1

Key Point
To practice marketing; to implement
the marketing concepts; to implement
marketing strategy, managers must
make decisions.
Many decisions require additional
information and marketing research
is needed in order to supply that
information.
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We need Marketing Research to:

Make the right decisions to

Implement marketing
Practice the marketing concept and
Make the right decisions to select the
right marketing strategy

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11

What is Marketing Research?

(Burns and Bush Definition)
Marketing research is the process of
designing, gathering, analyzing, and
reporting information that may be
used to solve a specific marketing
problem.

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What is Marketing Research?

AMA definition
Marketing research: the function that
links the consumer, customer, and
public to the marketer through
information information used to
identify and define marketing
opportunities and problems; generate,
refine, and evaluate marketing actions;
monitor marketing performance; and
improve the understanding of
marketing as a process.
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13

Market Research vs. Marketing

Research
Market research: the systematic
gathering, recording, and analyzing
of data with respect to a particular
market, where market refers to a
specific group in a specific
geographic area.

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What is the purpose of

Marketing Research?
To link the consumer to the marketer
by providing information that can be
used in making marketing decisions

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15

What are the uses of

Marketing Research?
Identify marketing opportunities and
problems
Generate, refine, and evaluate
potential marketing actions
Monitor marketing
performance
Improve marketing
as a process
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16

Classifying Marketing
Research Studies
Identifying marketing opportunities
and problems
Market-demand determination
Market segments identification
Marketing audits SWOT analysis

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Classifying Marketing
Research Studies
Generating, refining, and evaluating
potential marketing actions
Proposed marketing-mix evaluation
testing
New-product prototype testing
Advertising pretestingsee Insight
Express AdInsight ad pretesting
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Classifying Marketing
Research Studies
Monitoring marketing performance
Image analysisbank image
analysis
Tracking studies...sales, market
shares of all brands in our category
Customer satisfaction studies

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Classifying Marketing
Research Studies
Improving marketing as a process
The purpose of these studies is to
expand knowledge (basic research) of
marketing as a process rather than to
solve a specific problem facing a
companyHow does background music

affect perceptions of productsHow

preshopping information affects product
returnsUnderstanding cultural differences in
consumer impatienceall in Journal of
Marketing.
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The Marketing Information

System
An MIS is a structure consisting of
people, equipment, and procedures
to gather, sort, analyze, evaluate,
and distribute needed, timely, and
accurate information to marketing
decision makers.

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21

Components of an MIS
Internal Reports System
Accounting information systemdata
from income statement, etc.
Marketing Intelligence System...
Information coming from outside the
firm
Marketing Decision Support System
(DSS)database with analytical tools
Marketing Research System
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22

The Marketing Research System

has a role in MIS because
It gathers information not gathered by the
other MIS component subsystems.
Marketing research studies are conducted
for a specific situation facing the company.
People Magazine study which of three
different cover stories should we use?
Marketing research projects unlike other
MIS components are not continuous
they have a beginning and an end. Ad
hoc studies/Projects
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Hot Topics in Marketing

Research
Online Marketing Research
Growing Consumer/Respondent
Resentment
Globalization

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Hot Topics Online Marketing

Research
Online research: the use of computer
networks, including the Internet, to
assist in any phase of the marketing
research process including
development of the problem,
research design, data gathering,
analysis, and report writing and
distribution.

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Hot Topics Online Marketing

Research
Web-based research: research that is
conducted on web applications; may use
traditional methods as well as on-line
research methods in conducting research
on web-based applications Usability
studies
On-line survey research: collection of
data using computer networks Ordering
samples online via Survey Sampling, Inc.
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Hot Topics Online Marketing

Research
On-line survey research: collection of
data using computer networks
Ordering samples online via Survey
Sampling, Inc.

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Hot Topics Growing Consumer/

Respondent Resentment
Marketing research is invasive.
Telemarketers and direct marketers
have abused marketing research.
The government through FTC has
instituted a Do not call list.
The marketing research industry is
so far excluded from the ban of the
do not call regulations.
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Hot Topics Globalization

As marketing firms spread globally,
so did marketing research firms.
According to Jack Honomichl, 48% of
U.S. marketing research firms
revenues were generated outside of
U.S.
The top 25 marketing research firms
in the world earn 67% of their
revenues outside their own country.
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