RESEARCH IN MARKETING

S.KIRUBASHINI
TTGI193003
BBA(2019)
 MARKET RESEARCH

▪ Market research is defined as the process of evaluating the feasibility of

a new product or service, through research conducted directly with
potential consumers. This method allows organizations or businesses to
discover their target market, collect and document opinions and make
informed decisions.
▪ Market research can be conducted directly by organizations or
companies or can be outsourced to agencies which have expertise in
this process.
▪ The process of market research can be done through deploying
surveys, interacting with a group of people also known as sample,
conducting interviews and other similar processes.
THREE KEY OBJECTIVE OF MARKETING RESEARCH

A market research project may usually have 3 important objectives.

1. Administrative: Help a company or business development, through proper
planning, organization, and both human and material resources control,
and thus satisfy all specific needs within the market, at the right time.
2. Social: Satisfy customer’s specific needs through a required product or
service. The product or service should comply with the requirements and
preferences of a customer when it’s consumed.
3. Economical: Determine the economical degree of success or failure a
company can have while being new to the market, or otherwise
introducing new products or services, and thus providing certainty to all
actions to be implemented.
 WHY IS MARKET RESEARCH IMPORTANT?

•Valuable information: It provides information and opportunities about the value of existing and
new products, thus, helping businesses plan and strategize accordingly.
•Customer-centric: It helps to determine what the customers need and want. Marketing is
customer-centric and understanding the customers and their needs will help businesses design
products or services that best suit them.
•Forecasts: By understanding the needs of customers, businesses can also forecast their
production and sales. Market research also helps in determining optimum inventory stock.
•Competitive advantage: To stay ahead of competitors market research is a vital tool to carry out
comparative studies. Businesses can devise business strategies that can help them stay ahead
of their competitors.
MARKETING RESEARCH PROCESS

1. Step 1: Defining the Problem

2. Step 2: Developing an Approach to the Problem
3. Step 3: Formulating a Research Design
4. Step 4: Doing Field Work or Collecting Data
5. Step 5: Preparing and Analyzing Data
6. Step 6: Preparing and Presenting the Report
 TEST PRODUCT

▪ Test marketing is defined as a strategy used by companies to

check the viability of their new product or a marketing campaign
before it is launched in the market on a large scale.
▪ It is used across the business world to find out what consumers
want and need in their everyday lives.
▪ It is like an experiment performed on the field (the test market)
covering real stores and real-life shopping situations.
▪ This is conducted without the customers’ knowledge of their
participation in an assessment exercise.
 WHAT IS THE PURPOSE OF TEST MARKETING

▪ Test marketing is used to ascertain various uses of a product, the class or

category of users, and the motives that prompt the users or buyers. This test is
conducted to know consumer behavior in terms of:
▪ Trial: If the potential customer will try out the product, at least once.
▪ Repeat: Whether the consumer will repurchase it after the trial.
▪ Adoption: Whether the customer receives the product with positivity and buys it
again.
▪ Frequency: How frequently will the customer purchase the product.
 ADVERTISING EFFECTIVENESS

▪ It is an attempt to measure whether the time, talents, and the treasure

invested in the creative activity has resulted in attaining the goals of
profit maximization to the advertiser and the maximization of
satisfaction to the consumers.
▪ Advertising effectiveness refers to an evaluation of the extent to
which a specific advertisement or advertising campaign meets the
objectives specified by the client.
▪ The measurement approaches include recall of ads and advertising
themes, attitudes toward the advertising, and impact on actual sales
levels.
WHY TO TEST THE AD EFFECTIVENESS

▪ To make sound future decisions.

▪ To impress upon the top management
▪ To have a clear break- up picture.
▪ To know the point of saturation
▪ To keep in touch with the new trends
 CELEBRITY ENDORSEMENT

▪ Celebrity endorsement is a
marketing strategy involving
the use of celebrities to
advertise for a brand with an
eye on increasing the product
sales or increasing the
awareness of the brand by
leveraging the awareness
levels of the celebrity.
 CONSUMER SATISFACTION

▪ Customer satisfaction is defined as a measurement that

determines how happy customers are with a company’s products,
services, and capabilities.
▪ Customer satisfaction information, including surveys and ratings,
can help a company determine how to best improve or changes its
products and services.
▪ It is a measure of how products and services supplied by a
company meet or surpass the customer’s expectations.
▪ If customer expectations are met then the customer is satisfied.
WHY CONSUMER SATISFACTION IS IMPORTANT?

▪ Customer is the boss of the market.

▪ Customer dictates market trends and direction.
▪ The organization is dependent on the customer and not the other
way round.
▪ Customer satisfaction means loyalty towards the organization.
▪ The satisfied customers will help in bringing the new customers by
the “word of mouth”.
 CONSUMER AWARENESS

▪ Consumer Awareness is an act of making sure the buyer or consumer is

aware of the information about products, goods, services, and consumers
rights.
▪ Consumer awareness is important so that buyer can take the right
decision and make the right choice.
▪ Consumers have the right to information, right to choose, right to safety.
▪ The Consumer Protection Act was enacted in 1986 to protect the
consumers from unfair trade practices.
▪ Every consumer must be aware of consumer rights and responsibilities
 CONSUMER RIGHTS

▪ Right to Safety: This is the first and the most important of the Consumer
Rights. They should be protected against the product that hampers their
safety. The protection must be against any product which could be
hazardous to their health.
▪ Right to Information: They should be informed about the product. The
product packaging should list the details which should be informed to the
consumer and they should not hide the same or provide false information.
▪ Right to Choose: They should not be forced to select the product. A
consumer should be convinced of the product he is about to choose and
should make a decision by himself. Monopolistic practices are not legal.
 CONSUMER RIGHTS

▪ Right to Heard: If a consumer is dissatisfied with the product purchased then they
have all the right to file a complaint against it. And the said complaint cannot go
unheard, it must be addressed in an appropriate time frame.
▪ Right to Seek Redressal: In case a product is unable to satisfy the consumer then
they have the right to get the product replaced, compensate, return the amount
invested in the product. We have a three-tier system of redressal according to the
Consumer Protection Act 1986.
▪ Right to Consumer Education: Consumer has the right to know all the information and
should be made well aware of the rights and responsibilities of the government. Lack
of Consumer awareness is the most important problem our government must solve.
 CONSUMER RESPONSIBILITIES

▪ They should be aware of their rights under the Consumer Protection Act
and should practice the same in case of need.
▪ They should be well aware of the product they are buying. Should act as
a cautious consumer while purchasing the product.
▪ If in case a product is found of anything false or not satisfactory a
complaint should be filed.
▪ The consumer should ask for a Cash Memo while making a purchase.
▪ A customer should check for the standard marks that have been
introduced for the authenticity of the quality of the product like ISI or
Hallmark etc.