Transcript Research for Marketing Decisions Unit 1

Research for Marketing
Decisions
1
INTRODUCTION TO MARKETING RESEARCH
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Redefining Marketing Research
The American Marketing Association
(AMA) redefined Marketing Research as:
The function which links the consumer, the
customer, and public to the marketer
through INFORMATION
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Redefining Marketing Research
Used to identify and
define market
opportunities and
problems
Generate, refine, and
evaluate marketing
performance
Monitor marketing
performance
Improve understanding
of marketing as a
process
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Definition of Marketing Research
Marketing research is the systematic and objective
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identification
collection
analysis
dissemination
and use of information
for the purpose of improving decision making related to the
 identification and
 solution of problems and opportunities in marketing.
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Market Research
 Specifies the information necessary to address
these issues
 Manages and implements the data collection
process
 Analyzes the results
 Communicates the findings and their implications
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Classification of Marketing Research
Problem Identification Research
 Research undertaken to help identify problems which are
not necessarily apparent on the surface and yet exist or are
likely to arise in the future. Examples: market potential,
market share, image, market characteristics, sales
analysis, forecasting, and trends research.
Problem Solving Research
 Research undertaken to help solve specific marketing
problems. Examples: segmentation, product, pricing,
promotion, and distribution research.
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A Classification of Marketing Research
Marketing Research
Problem
Identification Research
Market Potential Research
Market Share Research
Market Characteristics Research
Sales Analysis Research
Forecasting Research
Business Trends Research
Problem Solving
Research
Segmentation Research
Product Research
Promotion Research
Distribution Research
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Marketing Research Process
Step 1: Problem Definition
Step 2: Development of an Approach to the
Problem
Step 3: Research Design Formulation
Step 4: Fieldwork or Data Collection
Step 5: Data Preparation and Analysis
Step 6: Report Preparation and Presentation
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The Role of Marketing Research
Customer Groups
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Consumers
Employees
Shareholders
Suppliers
Uncontrollable
Environmental
Factors
Controllable
Marketing
Variables
Marketing
Research
•Product
•Pricing
•Promotion
•Distribution
Assessing
Information
Needs
Providing
Information
Marketing
Decision
Making
Marketing Managers
• Market Segmentation
• Target Market Selection
• Marketing Programs
• Performance & Control
•Economy
•Technology
•Laws &
Regulations
•Social & Cultural
Factors
•Political Factors
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Marketing Information System
 A formalised set of procedures for generating,
analysing, storing and distributing pertinent
information to marketing decision makers on an
ongoing basis
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Marketing Information System
Marketing
Information
Marketing
Information
Marketing Information System
Marketing
Environment
Target Markets
Marketing Channels
Competitors
Publics
Macro Environment
Forces
Internal
Report
System
Marketing
Intelligence
System
Marketing
Research
System
Analytical
Marketing
System
Marketing Decisions and Communications
Marketing
Managers
Analysis
Planning
Implementation
Control
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Decision Support System
 An information system which enables decision
makers to interact directly with both databases
and analysis models. The important
components of a DSS include hardware and a
communication network, database, model base,
software base and DSS user.
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Difference between MIS & DSS
 MIS
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Structured Problems
Use of Reports
Rigid Structure
Information displaying
restricted
Can improve decision
making by clarifying raw
data.
 DSS
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Unstructured Problems
Use of Models
User-friendly interactions
Adaptability
Can improve Decision
making by using “What if”
analysis.
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RESEARCH DESIGN
A Research Design is a framework or blue print for the
research study which guides the collection & analysis of
data.
To be effective, a research design should furnish at least the
following details.
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A statement of objectives of the study or the research output.
A statement of the data inputs required on the basis of which
the research problem is to be solved.
The methods of analysis which shall be used to treat and
analyse the data inputs.
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Exploratory Research Design
Exploratory Research Design provides insight into and
an understanding of the problem confronting the
researcher. Exploratory Research fine tunes the
broad problem into specific problem statement and
generates possible hypotheses.
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Exploratory Research Design
The exploratory studies are mainly used for:
 Providing information to enable a more precise problem
definition or hypothesis formulation.
 Establishing research priorities.
 Giving the researcher a feel of the problem situation and
familiarising him with the problem.
 Collecting information about possible problems in carrying
out research, using specific collection tools and specific
techniques for analysis.
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Exploratory Research Design
 The generally used methods in exploratory research
are:
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Survey of existing literature
Survey of experienced individuals
Analysis of selected case situations.
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Conclusive (Descriptive) Research Design
Primarily in use for preliminary studies, this type of
design is employed to facilitate description and
inference building about population parameters and
the relationship among two or more variables.
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Conclusive (Descriptive) Research Design
Descriptive designs are a very frequently used, perhaps the
most commonly used category of research design. In short
descriptive research can be used for the following purposes.
 To describe the characteristics of certain groups of interest to the
marketer e.g. users of the product, potential users, non users, possible
receivers of promotional communication by the company and so on.
 To estimate the proportion of people in a given population who behave
in a certain way for example the proportion of consumers who are
prone to deals.
 To make specific predictions for specified future periods.
 To develop inferences whether certain variables are associated, for
example income and shopping place preference.
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Conclusive (Descriptive) Research Design
The generally used methods in Conclusive Research
are:
 Panel Research Design (Longitudinal)
 Cross Sectional Design
 Focus Groups
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Causal Research Design
Causal Research is used to obtain evidence of cause
and effect (causal) relationships.
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Causal Research is appropriate in the following purposes:
To understand which variables are the cause (independent
variables) and which variables are the effect (dependent
variables) of a phenomenon.
To determine the nature of relationship between the causal
variables and the effect to be predicted.
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Experimental Research Design
 Experimental design provides a stronger and more
reliable basis for the existence of casual relationship
between variables. Here, the researcher is able to
eliminate all extraneous variables from the
experimental and the control group through the use
of a random selection procedure.
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Experimental Research Design
The generally used methods in Experimental Research
are:
 After-only with One Control Group
 Before-After with One Control Group
 The Solomon Four Group Design
 Completely Randomised Design