BUSINESS

STUDIES
0450
 Unit 3:
Marketing
• Chapter 10: Marketing, Competition & the Customer
• Chapter 11: Market Research
• Chapter 12: Marketing Mix: Product & Price
• Chapter 13: Marketing Mix: Place & Promotion
• Chapter 14: Marketing Strategy
 UNIT 3:
MARKETING

Chapter 11:
Market Research 市场调查
LEARNING OBJECTIVES:
This chapter will explain:

1. The importance & roles of market research

2. The 2 different types of market

3. The market research methods

4. Presentation & use of Market research Results (data)

 11.1
The role of market research

11.2
2 types of Businesses
MARKET
RESEARCH 11.3
Market research Methods

11.4
Presentation & use of Market research
Results (data)
TERMS: DEFINITIONS:
Product-Oriented Business focus of activity is on the product itself.

Market-Oriented Business which carries out market research to find out consumer wants before a product is
developed & produced.
Marketing budget A financial plan for the marketing of a product for some specified time. It specifies how much
money is available to market the product, so that Marketing department know how much they may
spend.
Market research The process of gathering, analyzing and interpreting information about a market.

Primary Research The collection & collation of original data via direct contact (also called field research)

Secondary Research Information that has already been collected & is available for use by others (also called desk
research)
Questionnaire A set of questions to be answered as a means of collecting data for market research

Sample The group of people who are selected to respond to a market research exercise, such as
questionnaire.
Random sample Is when people are selected at random as a source of information for market research

Quota sample When people are selected based on certain characteristics (such as age, gender or income) as a
source of information for market research
Focus group Is a group of people who are representative of the target market.
11.1: The role of Market
Research
Market Research Definition:
the process of gathering, analysing 分析 and interpreting 翻译 information about a
market.

The role of market research is to try to find out answers for these questions:

• Would customers be willing to buy my product?

• What price would they be prepared to pay?
• Where would they be most likely to buy my product?
• What feature 特征 of my product do customers most like or dislike?
• What type of customer would buy my product?
• What type of promotion would be effective with these types of customers?
• How strong is the competition and who are the main competing businesses?
Market Research allows businesses to:

 Find out what consumers like & dislike about their products
 Identify consumers tastes & preferences 口味和喜好
 Decide on the best promotion, packaging & distribution methods for its products
 Identify main competitors & find out about their USP (Unique Selling Point) – the
special feature of the product that sets it apart from competitor’s products
 Know the size of the market
 Explain the reason for the sales of its current products
 Predict 预测 how the demand for its products many change in the future

2 TYPES
OF
BUSINESS
ES
Market- Product-
oriented oriented
businesses businesses
 2 TYPES
11.2: 2 types of Businesses OF
BUSINESS
ES
Market-oriented Product-oriented
businesses businesses

• A biz that carries our market research to find
out consumer wants before a product is
developed & produced
• Products are developed based on consumer
demand
• Primary focus: customer’s preferences
• A biz whose main focus activity is on the product itself
• The firm decides what to produce & then tries to find
buyers for the product
• Primary focus: on its product & on the skills,
knowledge & system that support the product (Product
Benefits)

Gets the RIGHT PRODUCT !!! Gets the PRODUCT RIGHT !!! (emphasize on quality &
safety of the product)
The SHIFT PARADIGM 转移范式 : shifting FROM product-oriented biz TO market-oriented biz
Eg: Coco-Cola, Gillette, Travis Perkins (market & product oriented intertwined 交织在一起 )
 2 TYPES
OF
BUSINESS
ES
Market-oriented Product-oriented
businesses businesses

Tools of Mkt Orientation 市场定 Tools of Product Orientation 产品定

位: 位:

• Market research • Product research

• Market testing • Product testing
• Customer focus • Product focus
 11.3: Market Research Methods

PRIMARY RESEARCH
• The collection and collation 收集和
整理 of original data via direct
contact with potential or existing
customers (a.k.a = FIELD
RESEARCH)
• Collection of first hand data
SECONDARY RESEARCH
• Information that has already been
collected and is available for use by
others (a.k.a = DESK RESEARCH)
• Collection of data from second hand
sources
 Market Research Methods

PRIMARY RESEARCH SECONDARY RESEARCH

EXAMPLES: EXAMPLES:
• Observation • Internet
• Postal survey • Government publication External
• Phone interviews • Newspapers & magazines Source
• Online surveys • Market research agencies
• Focus groups • Internal business records
Internal
• Face-to-face surveys • Local library
Source
• Questionnaires
CLASS
ACTIVITY
Prepare in Exercise Book:
 Index: Chapter 11 Class Activity (with the day & date)
 Discuss the benefits and limitations of the methods (max 2) used
both in Primary and Secondary market research.

Refer slide12 for the list of all the examples included as methods of
Primary and Secondary market research methods.
 PRIMARY RESEARCH

BENEFITS LIMITATIONS
• Up-to date data • Costly & time consuming
• Specific purpose & its relevant to • Risk of bias, inaccurate data 有偏
the biz 见的风险，数据不正确
• Data not available to other biz
(CA– Competitive Advantage
• 竞争优势 )
 Questionnaires Online surveys

Tablet

PRIMARY
Smartphones
RESEARCH Home
(FIELD computer
RESEARCH)

Interviews Focus groups

Individual Group
 SECONDARY RESEARCH

BENEFITS LIMITATIONS
• Cheap & easy • Not updated data
• Quick and time efficient • Not reliable data as collected not
for specific purpose required by
the biz
 Existing pricing Finance department Customer records
data

Sales employees Internal Source Sales records

SECONDARY
RESEARCH
(DESK
Trade & employer RESEARCH) Internet
associations

External Source Government reports

Research reports & statistics

Market research
Specialist trade Media reports agencies’ reports
Newspapers journals
 Process of Market Research
data collection:

Decide on
Decide on
What is the the size of Collect the
the most Produce a
purpose of sample Carry out the data and
suitable report of the
the market needed and research analyse the
method of findings
research? who is going results
research
to be asked
11.4: Presentation & use of Market research Results
(data)
Market research information uses:

 Discover the current & future market size

 Provide information about biz’s existing products & market
 Identify Strengths (S) & Weaknesses (W) of competitor’s products
 Decide Price, Promotion & Distribution for customers
 Predict changes & trends

HOW to interpret market research data???

 Tables
 Bar charts
 Pei charts
 Pictograms
 Line graphs
 Diagra Line
Table
m graph

WAYS OF
PRESENTING DATA:

Pie chart Bar chart

LESSON RECAP: This chapter, we learned:

 The importance & roles of market

research

 The 2 different types of market

 The market research methods

 Presentation & use of Market

research Results (data)
THE END ^^