Marketing Research

Chapter 1:
The Role of Marketing Research
 The Task of Marketing Management

Pr
od
uc ce
t i
Pr

Target

Market

t i on Pla
mo c
Pr o em
en
t
Source: Gilbert A. Churchill, Jr. and J. Paul Peter, Marketing: Creating Value for
Customers, 2nd ed. (Burr Ridge, IL.: Irwin/McGraw Hill, 1998), p. 22.
 The Marketing Environment
Po
i c E liti
om nt n cal
o n me vi r / Le
Ec iron o nm ga
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Environment

Environment
Competitive

Marketing

Social
Mix
Source:
Te Gilbert A. Churchill, Jr.
ch
En nol ral nt and J. Paul Peter,

tu me
Marketing: Creating
vir og a
on ica N on
Value for Customers,
me l ir
2nd ed. (Burr Ridge, IL.:
nt v Irwin/McGraw Hill,
En 1998), p. 29.
 The Marketing Environment

As Marketers and as Marketing Researchers you must take into account the various environments
that face a business and its consumers. Each of these environments can impact on your Marketing
Mix (4 P’s). They are summarized below…
 
Economic Environment: This is an extremely important area and includes elements such as the
overall wealth of a country (measured in Gross Domestic Product per Capita) or the wealth of a
specific market segment (measured in terms of average income or social class). The economic
environment also includes elements such as consumer spending levels, debt levels, and any other
economic indicators that will have an impact on a consumer’s ability to purchase your product.
 
Political / Legal Environment: This relates to the laws and regulations governing your business
activities within the market you are selling your product. If you are selling your product in many
different countries and/or markets then you will need to deal with many different sets of regulations.
For example, some common questions a marketer of cigarettes (such as British American Tabacco)
must address in this area are, for example…
 
• Can my product be legally sold in this market?
• Are my marketing activities regulated in any way by the government or a regulatory organization?
• Is there a large risk of litigation if my product causes harm to someone who consumes it?
• Can I legally advertise my product in this market?
 The Marketing Environment
Social Environment: This area relates to the social norms and customs in a specific market and/or
country. A marketer must keep in mind that not all markets are the same and that one product may
be acceptable in one market but completely inappropriate in another. For example, a specific brand
of fish sauce could be very popular in South East Asia but may not be successful in a market such as
Canada where local tastes are very different!
 
Natural Environment: The natural environment must always be taken into account, especially for
products that are designed to suit a specific environment. For example, one would not have much
success in selling snow skis in Cambodia and conversely, one would not have much success in
selling coconut seeds in Canada! This is an intuitive point, but one that is often neglected by
marketers.
 
Technological Environment: The technological environment is extremely important for the
marketing of products and services that require a certain type of technology infrastructure in order to
operate. For example, in order to sell access to the Internet, the marketer must focus on those who
have access to a fixed line or mobile phone on which they can connect.
 
Competitive Environment: The competitive environment must constantly be assessed by the
marketer. Is my product priced correctly? Are there substitute products that are taking away my
customers? Is my competition running a promotion at the moment? A marketer cannot afford to
ignore the competition, especially in highly competitive markets.
 
 What is Marketing Research?

Marketer Information Consumer

MR Agency
 Definition of Marketing Research

Marketing Research is the function which

links the consumer, customer, and public
to the marketer through information.
 Marketing Research is Used To…

• identify and define marketing opportunities and problems

• generate, refine, and evaluate marketing actions

• monitor marketing performance

• improve understanding of the marketing process (4 P’s)

• Reduce the risk & uncertainty of important decisions

 Could marketing research be used to
investigate the following? How?

• What is the market demand for our product?

• What are the preferred channels of distribution for
our products?
• Which is the most effective brand name for our
product?
• How can we improve the satisfaction of our
customers?
• How viable is our product idea?
• What is the most effective trade promotion
program?
• How can we segment our customer base?
 A Professional Market Researcher Will…

• Determine the information required to address the issues

• Design the best method for collecting information

• Manage and implement the data collection process

• Analyze the results

• Communicate the findings and their implications.

 How might each of these organizations
use marketing research?

• An mobile phone • A regulatory body

provider • A movie theater
• A local bank • A direct seller of
• A dairy farm cosmetics
• A nature conservation • A hospital
group
• MVU University
 Who Does Marketing Research?

• Producers of Products and Services

• Advertising Agencies

• Marketing Research Companies

• Governments

• Universities

• And many others….

 The World’s 10 Largest Marketing
Research Firms

Global Research
Parent Revenues
Organization Country (U.S. $ in millions)
1. VNU NV Netherlands $2,400.0
2. IMS Health Inc. U.S. 1, 171.0
3. WPP plc U.K. 1, 006.9
4. Taylor Nelson Sofres plc U.K. 813.2
5. Information Resources Inc. U.S. 555.9
6. GfK Group Germany 479.6
7. NFO Worldgroup Inc. U.S. 452.9
8. Ipsos Group SA France 429.9
9. NOP World U.K. 324.7
10. Westat Inc. U.S. 285.8
 Who Are the Research Companies in
Cambodia?

• Indochina Research LTD. (Phnom Penh)

• Interpro Marketing (Phnom Penh)
• MSD (Market Strategy & Development) (Phnom Penh)
• Strategic Management Solutions Cambodia (Phnom Penh)
• Ad Focus Media Design Co Ltd (Phnom Penh)
• AIM Cambodia Ltd. (Phnom Penh)
• Cambodia Media Monitor (Phnom Penh)
• IQ / Manpower (Phnom Penh)
• Mike Allen International Corporate Consultants (Phnom Penh)
• Seven Star Marketing Group (Phnom Penh)
• And others!!
 What Kinds of Jobs do Market Research
Companies Offer?

Positions in the “Field”…

• Interviewers
• Supervisors
• Field Managers
• Senior Field Managers

Positions in the “Client Service” area…

• Statisticians
• Junior Research Executives
• Research Executives
• Senior Research Executives
• Research Managers
 Why Study Marketing Research?

• Marketing Research is always required by organizations

– they can not afford to make decisions without it

• There will always be demand for good market

researchers

• There are many Market Research companies in

Cambodia and the number will grow

• Cambodia needs researchers that know the market and

can speak the language – That’s YOU!!