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Chapter 1

Introduction and Early


Phases of Marketing
Research

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Chapter Outline

1) Overview

2) Definition of Marketing Research

3) A Classification of Marketing Research

4) Marketing Research Process

5) Careers in Marketing Research

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Redefining Marketing Research

The American Marketing Association (AMA)


redefined Marketing Research as:

The function that links the consumer, the


customer, and public to the marketer
through INFORMATION

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Definition of Marketing Research

A more thorough definition for this course:


Marketing research is the systematic and objective
 identification
 collection
 analysis
 dissemination
 and use of information
For the purpose of improving decision making related to the
 identification and
 solution of problems and opportunities in marketing

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Classification of Marketing Research

Problem-Identification Research
Research undertaken to help identify problems which are
not necessarily apparent on the surface and yet exist or
are likely to arise in the future.
• Example: conduct research on emerging trends in the market.

Problem-Solving Research
Research undertaken to help solve specific marketing
problems.
• Example: conducting research on your pricing strategy.

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A Classification of Marketing Research

Marketing Research

Problem Problem-Solving
Identification Research Research

• Market Potential Research • Segmentation Research


• Market Share Research • Product Research
• Market Characteristics Research • Pricing Research
• Forecasting Research • Promotion Research
• Business Trends Research • Distribution Research
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Problem-Solving Research

SEGMENTATION RESEARCH
1. Determine the basis of
customer segmentation
• Through demographics, media
preferences, product preferences, PRODUCT RESEARCH
etc.
1. Test product concept
2. Establish market potential for 2. Package tests
various
segments 3. Product testing and modification
3. Select target markets 4. Brand positioning and
• E.g. high-end, tech-savvy, suburban repositioning
customers aged 35-55.
5. Test marketing

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Test marketing

• How does test marketing work?


http://www.cbsnews.com/news/columbus-ohio-
test-market-of-the-usa/

• What does test marketing aim to accomplish?

• Why Columbus, OH?

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Problem-Solving Research
PROMOTIONAL RESEARCH

0.00% APR  Choosing the optimal promotional


budget and mix

 Media decisions

 Creative advertising testing

 Evaluation of advertising
PRICING RESEARCH
effectiveness
 Pricing policies
 Branding through pricing
 Product line pricing

$ALE
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Problem-Solving Research

DISTRIBUTION RESEARCH

Determine the…
 Proper types of distribution
 Intensity of wholesale & resale coverage
 Ideal location(s) of retail and wholesale
outlets

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Marketing Research Process

Step 1: Defining the Problem (Chapter 2)

Step 2: Developing an Approach to the Problem (Chapter 2)

Step 3: Formulating a Research Design (Chapter 3-12)


(Data desired, measurement decision, survey design, sampling decisions)

Step 4: Doing Field Work or Collecting Data (Chapter 13)

Step 5: Preparing and Analyzing Data (Chapters 14-21)

Step 6: Preparing and Presenting the Report (Chapter 23)

Who needs to know this process?


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Selected Marketing Research Career Descriptions

Research Director

Vice President of Marketing • Part of senior


Research management
• Part of top management team
• Heads the
• Directs company’s market research
development and
operation
execution of all
• Sets goals & objectives
research projects

Statistician/Data Processing
• Oversees experimental design, data
processing, and data analysis
Professor/ Post-doc
• Conducts research for academic
publication Fieldwork Director
• Consults outside organizations on • Handles selection, training,
special projects supervision, and evaluation of
interviewers and field workers
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Careers in Marketing Research

• Career opportunities are available with marketing research


firms

• e.g., AC Nielsen, Burke.

• Careers in business and non-business firms with in-house


marketing research departments

• e.g., Procter & Gamble, Coca-Cola, the Federal Trade


Commission, United States Census Bureau

• Advertising agencies

• e.g., Arnold Worldwide, Ogilvy & Mather, J. Walter


Thompson

• Universities

• e.g., UMass, UNH, Northeastern, BU, Harvard, etc.


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Top 10 U.S. Marketing Research Firms

Full list at:


https://www.ama.org/Documents/Honomichl50Report_June2013.pdf
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Top Local Marketing Research Firms

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Thank You!

Questions?

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