Basic Marketing Research: Using Microsoft Excel Data Analysis, 2nd Edition

Alvin C. Burns Ronald F. Bush Louisiana State University University of West Florida

Prentice Hall Publishers

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Introducing Marketing Research

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

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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. 1- 4 .

What is the Marketing Concept? ‡ Marketing Concept: is a business philosophy that holds that the key to achieving organizational goals consists of the company¶s being more effective than competitors in creating. delivering. ‡ Hollywood is successful because they make movies people want to see! 15 . and communicating customer value to its chosen markets.

promotion.What is Marketing Strategy? ‡ A Marketing Strategy: consists of selecting a segment of the market as the company¶s target market and designing the proper ³mix´ of the product/service. 1- 6 . price. and distribution system to meet the wants and needs of the consumers within the target market.

Not All Marketing Decisions are Successful There are many product and service failures every year Having the right information reduces the probability of failure 1- 7 .

We need Marketing Research to: ‡ Make the ³right´ decisions to Implement marketing: ‡ Practice the marketing concept and ‡ Make the right decisions to select the right marketing strategy ‡ Toyota¶s Prius strategy targeted the ³fuel economy´ segment of the auto market and their ³mix´ fulfills wants & needs better than any other hybrid auto« 18 .

gathering. and reporting information that may be used to solve a specific marketing problem. analyzing.What is Marketing Research? ‡ Marketing research: is the process of designing. 1- 9 .

refine. customer. and public to the marketer through information -.What is Marketing Research? AMA Definition ‡ Marketing research: is the function that links the consumer. generate. monitor marketing performance. and improve the understanding of marketing as a process.information used to identify and define marketing opportunities and problems. and evaluate marketing actions. 110 .

and analyzing of data with respect to a particular market. where µmarket¶ refers to a specific group in a specific geographic area.´ 1- 11 . Marketing Research ‡ Market research: is the ³systematic gathering.Market Research vs. recording.

Marketing Research Continued ‡If we conducted surveys in several different areas of the U.S.Market Research vs. to determine the preferences of consumers for a new car designed for one person that got 50 mpg«this would be marketing research .not market research.. 1- 12 .

this would be market research and it would be considered a subset of marketing research. Marketing Research Continued ‡As an example.Market Research vs. if we conducted research to determine how many persons in County X were in favor of a public-financed baseball park located downtown. 1- 13 .

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 1- 14 .

‡ Marketing research has predicted failure when products/services have been a success! 1- 15 .Sometimes Marketing Research is Wrong! ‡ Marketing research has predicted success when products/services failed.

refine. and evaluate potential marketing actions ‡ Monitor marketing performance ‡ Improve marketing as a process 1- 16 .What are the uses of Marketing Research? ‡ Identify marketing opportunities and problems ‡ Generate.

Classifying Marketing Research Studies ‡ Identifying marketing opportunities and problems ‡ Market-demand determination ‡ Market segments identification ‡ Marketing audits SWOT analysis ‡ Problem: Does our advertising work? 1- 17 .

and evaluating potential marketing actions ‡ Proposed marketing-mix evaluation testing ‡ New-product prototype testing ‡ Advertising pre-testing 1- 18 .Classifying Marketing Research Studies ‡ Generating. refining.

i. sales.e.e.Classifying Marketing Research Studies ‡ Monitoring marketing performance ‡ Image analysis. bank image analysis ‡ Tracking studies. market shares of all brands in our category ‡ Customer satisfaction studies 1- 19 . i.

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 (Applied research) facing a company. 1- 20 .

‡ 1- 21 .Classifying Marketing Research Studies Continued ‡ Some examples: How does background music affect perceptions of products? How the pre-shopping information affects product returns«.Understanding cultural differences in consumer impatience«all in the Journal of Marketing.

The Marketing Information System ‡ An MIS: is a structure consisting of people. analyze. timely. evaluate. sort. and accurate information to marketing decision makers. equipment. and distribute needed. 1- 22 . and procedures to gather.

Information coming from outside the firm« ‡ Marketing Decision Support System (DSS) «database with analytical tools ‡ Marketing Research System« How Different from the above???? 123 . inventory records. shipping invoices« ‡ Marketing Intelligence System.Components of an MIS ‡ Internal Reports System« Accounting information System«data from Income statement..

subsystems. Example: General Mills study«which of three cookie recipes should we consider producing? Answer not found in other three MIS components.The Marketing Research System occupies a role in the 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. Must use Marketing Research! 1- 24 .

The Marketing Research System occupies a role in the MIS because« Continued ‡Marketing research projects unlike other MIS components are not continuous ± they have a beginning and an end. Ad hoc studies/Projects 1- 25 .

Hot Topics in Marketing Research ‡ Online Marketing Research ‡ Growing Consumer/Respondent Resentment ‡ Globalization 1- 26 .

com 127 . Inc. including the Internet. and report writing and distribution. ‡ Example: Ordering samples online via Survey Sampling. research design.Hot Topics: Online Marketing Research ‡ Online research: the use of computer networks. to assist in any phase of the marketing research process including development of the problem.surveysampling. analysis. See www. data gathering.

Insight Express. etc. may use traditional methods as well as online research methods in conducting research on web-based applications.Hot Topics: Online Marketing Research ‡ Web-based research: research that is Webconducted on web applications. Harris Interactive. 1- 28 . Knowledge Networks. Greenfield Online. Example: Usability studies ‡ On-line survey research: collection of Ondata using computer networks«.

1- 29 .Hot Topics: Growing Consumer/ Respondent Resentment ‡ Marketing research is invasive.´ ‡ The government through FTC has instituted a ³Do not call´ list. ‡ Telemarketers and direct marketers have abused ³marketing research.

The industry must treat respondents ethically if it¶s members expect to reduce growing resentment 130 . ‡There is a ³Do Not Mail´ movement.Hot Topics: Growing Consumer/ Respondent Resentment Continued ‡The marketing research industry is so far excluded from the ban of the ³do not call´ regulations.

‡ Global examples in the text are highlighted through the use of the global icon. 1- 31 .S. ‡ According to Jack Honomichl. so did marketing research firms. nearly 70% of the world¶s top marketing research firms¶ revenues were generated outside of U.Hot Topics: Globalization ‡ As marketing firms spread globally.