MARKETING

RESEARCH
ORGANISATION AND
ADMINSTRATION
 7.1 Learning Objectives
To understand:
• The basis for setting and running a market
research function, whether own facility or
outside agency.
• The importance of the Research Brief and
Research Proposal in marketing research.
• The selection, training, and supervision of
interviewers.
• The importance of analysing, tabulating and
presenting results.
 7.2 RESPONSIBILITY FOR
RESEARCH
Who should be responsible for Research?
There are four generally accepted alternatives:
(a) Own Research Dept.;
(b) Outside Research Organisations
(c) Advertising Agency with Research Dept
(d) Sales Manager and the salespeople.
Let us look at these in more detail.
 Responsibility (Cont.)
(a) Own Research Department
• Ideal but costly
• Generally manned by a Market Research
Manager responsible to the Marketing Director.
• Reporting to him are two executives heading
Desk Research and Field Research.
• Each of the two sections responsible desk and
field research as previously discussed.
 Responsibility (Cont.)

Advantages of own Research Department

• More convenient, more speedy, more
specialised.
• No competition for time, unlike at agency.
• Has deeper product knowledge.
• Research can be more confidential.
 Responsibility (Cont.)

Disadvantages
• Danger of bias in favour of own products.
• Agency which handles wide range of
products is bound to have a broader
knowledge of techniques than staff of own
department.
 Responsibility (Cont.)
(b) Outside Research Organisations
Pros and Cons:
Advantage: Specially trained & experienced staff, using
modern methods and with an impartial view.
Drawback: However well briefed the agency will lack deep
product knowledge, and too costly
Particular Uses:
• Agency can be used for investigations too large for own
department.
• Agency often used for overseas research because local
agency better placed in terms language, etc, and can do
the survey much more quickly.
 Responsibility (Cont.)

(c) Advertising Agencies

• What has been said in (b) applies here.
• The danger is that the staff doing the
actual research may be drawn from people
who originated in advertising or publicity,
and whose tendency may be more to
influence people than study their reactions
impartially.
 Responsibility (Cont.)

(d) Sales Manger and Sales force

• In many smaller companies, market
research is carried by the Sales Manager
and his team.
• It is relatively inexpensive
• Weakness: Sales force cannot be impartial
and lack the critical approach needed for
research.
 7.3 COMMISSIONING MARKET
RESEARCH
7.3.1 Research Brief
• It is vital to ensure that before research is
commissioned and undertaken that objectives, scope,
time-scale, and costs are fully understood and agreed.
• The document which accompanies this stage of the
research procedure is known as the Research Brief.
• The Brief should specify the nature of the problem,the
objectives, methods, analysis of results, time, and
budget required.
• Most importantly,these aspects must be understood
and agreed between the 2 parties.
 Research Brief (Cont.)
To write a good brief, it must:
(a) Mean the same to both parties;
(b) Not ask for irrelevant information;
(c) Define the population to be sampled;
(d) State the accuracy required;
(e) State variables to be measured and how these
relate to the problem;
(f) Specify analyses;
(g) State objectives of research and problems
facing the firm
 Commissioning (Cont.)
7.3.2 Research Proposal
• Once the brief is agreed, the marketing team then
drafts the Research Brief.
• The main considerations are:
(a) Restate the problem to demonstrate understanding;
(b) Specify research method and reasons;
(c) Specify the sample method/size/frame;
(d) Specify interviewing method/location/supervision;
(e) Specify data processing methods;
(f) Specify anticipated analyses;
(g) Specify length of survey and costs.
 7.3.3 INTERVIEWERS
• An important link in the process, at least when
primary data collection is involved, is the interview.
• To ensure that research is not misleading and
biased, interviewers must be carefully chosen,
trained,and controlled.
7.3.3.1 Interviewer Choice
In consumer surveys, interviewers are part-time but
industrial requires someone technically qualified in
the subject.
 Interviewer (Cont.)

7.3.3.2 Interviewer Qualifications

• Some qualifications are common to all
interviewers, i.e. tact,courtesy, and an
ability to encourage people to talk and give
information without influencing them.
• Ability to record information accurately.
• Should be sympathetic personalities, as
opposed to aggressive and dominating
ones.
 Interviewers (Cont.)
7.3.3.3 Selection
In many fields of business selection scientific
methods are used. However, this is not
appropriate because:
(a) Employees are part-time.
(b) Pay can be relatively low.
(c) The work is often done at night or weekends.
(d) The work is not repetitious.
(e) The quality of work is difficult to determine
because of lack of supervision.
 Interviewers (Cont.)
7.3.3.4 Selection Criteria
(a) Sample Design. For probability sampling, the interviewer
must be able to read maps, follow instructions, etc.
(b) Sample Sites. To save on travel costs, they should be
located near sites.
(c) Race,sex and of Interviewers. Interviewers should
“match” respondents
(d) Occupation of Respondents. Specially trained
interviewers for senior executives.
(e) Nature of Questions. Highly experienced if questions are
open-ended.
(f) A car and a telephone will be required.
 Interviewers (Cont.)
7.3.3.5 Supervision and Training
• Day-to-day organisation of field interviews are
undertaken by a supervisor.
• All the first completed questionnaires of a new
interviewer are checked by supervisor
• Supervisor also makes spot checks for accuracy
and whether or not the interview took place, even
with experienced interviewers.
• Together with Marketing Research Manager, the
Supervisor may also play an important role in
checking, tabulation and reporting stages.
 7.4 ANALYSIS,TABULATION AND
PRESENTATION OF RESULTS
7.4.1 Checking and Analysing Results.
(a) Supervisor’s Role: Checking the Results:
• Checks completed questionnaires daily.
• Checks for accuracy of primary infor.
• Particularly important in industrial or
technical researches as technical terms
may be misunderstood by laymen.
 Analysis, Tabulation (Cont.)

(b) Analysis Procedures

• As soon the supervisor has perused the
questionnaires and taken any necessary
action,further checks are made at HQ.
• This allows opportunity for correction
before research has progressed too far.
• Analysis should be started as soon as
the first questionnaires are in.
 Analysis,Tabulation (Cont.)
(c) Checking Accuracy and Reliability
It is important to check information for both accuracy and
reliability.
Danger of Misleading Answers.
• Market Research, like intelligence work depends on
accurate information.
• Cross-checking. One way is checking one source of
information against another.
Another way is to include a check question.
One can also have two questions getting at the same thing,
but phrased in different ways and situated in different
parts of the questionnaire.
 Analysis,Tabulation (Cont.)
(d) Need for Accurate Statements in the Report.
• Make it clear which of your findings are merely
someone’s unverified opinion.
• You should indicate whether you consider the
source reliable, and whether is probably correct in
light of your other findings.
• Do not endorse a statement without being sure of
its accuracy.
• Do not give an answer you think management of a
firm wants to hear.
• Always stick to facts.
 Analysis, Tabulation (Cont.)
7.4.2 Tabulation: Types of Data
• After analysis and cross-checking, tabulation follows.
• Tabulation entails using some method to summarise
information.
• Computers are now commonly employed.
• In tabulation of data, two kinds of data are recognised,
i.e. qualitative and quantitative.
(a) Quantitative Data
e.g. “Do you use toothpaste?” 75% use it; 25% do not. “What
brand?” 5o% brand A, 50% brand B
(b) Qualitative Data. No numerical values but opinions,
views, reasons for doing things, etc.
 Analysis, Tabulation (Cont.)
7.4.3 Stages of the Tabulation Process
(a) Examine for Quality
• Questionnaires should be divided into piles,
each representing one interviewer.
• The idea is to spot any consistent error or bias.
• Questionnaires are also checked for illegible
writing and lack of clarity in expressing ideas.
• One can also determine whether particular
answers or interviews are acceptable and
whether the questionnaire was properly handled.
 Stages in Tabulation (Cont.)

(b) Edit
• Answers to the same multiple-choice and
open-ended questions vary tremendously.
• This can pose problems due to different
shades of meaning.
• The “editor” decides by helping classifiers
to put the answers under the appropriate
tabulation heading.
 Stages in Tabulation (Cont.)

(c) Classify
At this stage the answers are sorted into
various groups, e.g. age, sex, income, etc.

(d) Count
This can be done manually or by machine,
the latter offering distinct advantages.
 Analysis, Tabulation (Cont.)
7.4.4 Interpretation and Presentation of Results.
(a) Interpretation
• Interpretation has to be considered carefully.
• Statistical correlation does not necessarily
reflect cause and effect and often different
interpretations can be put on the same data.
• When interpreting data, it is always advisable
to bear in mind that a variety of interpretations
is possible (e.g. MBA).
 Interpretation (Cont.)
(b) Presentation
The UK Market Research Society has the following
standards it feels constitute the minimum acceptable
content of a survey report:
• Title
• Name of Client
• Date
• Name of Research Company
• Terms of Reference
• The various steps involved, e.g. method, sample
details
 Analysis, Tabulation and Presentation

Conclusion
• Remember that research results represent
the reason for conducting market
research.
• It is therefore particularly important that an
otherwise well designed and executed
research exercise is not spoiled at the last
hurdle by a badly presented report.
END