MARKETING

MARKETING RESEARCH
Marketing research - this is the process of collecting, analyzing and interpreting
data in order to make an informed decision about a product, customers, target
market or industry. The role or marketing research is to provide management with
information that is current, accurate, valuable, relevant and reliable.
IMPORTANCE OF CONDUCTING
MARKETING RESEARCH
 Helps management to make informed decisions
 Helps in identifying marketing opportunities
 Means by which the needs of the target market can
be ascertained
 Pertinent information relating to the pricing of the
firm’s products can be ascertained
 The level of competition in the market can be
assessed
 The features of a product that appeals to the target
market can be determined
 The firm’s performance in the market can be
monitored
 Helps to prevent the firm from making uncalculated
risks
STAGES OF MARKETING RESEARCH

Management
Research Data
identification
objectives collection
problem

Analysis and
Research
Sampling presentation
techniques
of data
 MANAGEMENT PROBLEM IDENTIFICATION

 This forms the basis of the research.

 A business could spend thousands of dollars undertaking market research but if there is no clear idea of the purpose of this
research or the problem that needs investigating, then the money could be wasted.
RESEARCH OBJECTIVES

These must be tied in with Usually based on the

the original problem and research design. Research
Objectives must be SMART
must be set in such a way Should outline the ‘what’, design are the strategies put
– specific, measurable,
that when they have been ‘where’ and the ‘why’ of the in place to address the
attainable, realistic and time
assessed, they provide all of research. problem. They can take one
bound.
the information needed to of three forms: exploratory,
solve the problem. descriptive or causal.
DATA COLLECTION

This stage can have serious implications on the results of the research.

Sufficient and credible information should be taken.

Information can be collected from two main sources: primary sources and
secondary sources
SAMPLING
 This is the process of selecting a segment of the market and
conducting the research on that segment. The segment should be a
representative sample.
 A sampling plan should be drafted before the firm selects a
sample.
 Sampling plan should include information on the following:
sampling unit, sample size, sample procedure, population.
Other key concepts to note:
 Population
 Sample frame
 Sample
 Probability sampling – simple random
sample, systematic sampling, stratified
sampling, cluster sampling, mult- sage
SAMPLING sampling
PROCEDURES
Non-probability sampling – purposive
or judgmental sampling, quota
sampling, convenience/accidental
sampling, snowball sampling
RESEARCH TECHNIQUE

 Qualitative research – collection of descriptive data that is based on the

respondent’s beliefs, attitudes and intentions
 Quantitative research – collection of data which is in a numerical form.

Research techniques include:

 Focus groups

 Surveys

 In-depth interviews

 Observation

 Test marketing
ANALYSIS AND PRESENTATION OF DATA
 Time consuming

Results can be biased if the sample is not properly

chosen
LIMITATIONS OF
MARKET Can be very costly
RESEARCH
Final decision is based on value judgement and
probabilities hence it might not be 100% accurate

Results can be biased based on the response people

give and how the questionnaire was organized