Transcript Unit 1 Nature and Scope of Marketing Research DR. MOHD. RUMZI TAUSIF ASST. PROF.

Unit 1
Nature and Scope of
Marketing Research
DR. MOHD. RUMZI TAUSIF
ASST. PROF. (MKT)
SBS
Content…….
 Need to know the customer, definitions and
meaning of marketing research, applications
of marketing research. Application of
marketing research in India.
 Know your customers' needs
 What do you know about your customers?
 The more you know about your customers,




the more effective your sales and marketing
efforts will be. It's well worth making the
effort to find out:
who they are
what they buy
why they buy it
how they use your product
 If selling to other businesses, need to know which
individuals are responsible for the decision to buy
product or service.
 learn a great deal about customers by talking to
them. Asking them why they're buying or not buying,
what they may want to buy in the future and asking
what other needs they have can give a valuable
picture of what's important to them.
 Understanding customers' needs and desires can
help you tailor your product or service to better suit
their needs. It may also highlight valuable
developments you can make to your current offering,
or indicate gaps in the market that you can fill with
new products or services.
 Strong sales are driven by emphasising the benefits
that your product or service brings to your
customers. If you know the challenges that face them,
it's much easier to offer them solutions.
 It's also well worth keeping an eye on future
developments in your customers' markets and lives.
Knowing the trends that are going to influence your
customers helps you to anticipate what they are going
to need - and offer it to them as soon as they need it.
 conduct market research and there are many existing
reports that can help build a picture of where
customers' markets - and business - may be going.
Scope of Marketing Research
 Global spending on Marketing Research is about
$16.6 bn. With US accounting for 38%.
 Identifying marketing opportunities and constraints.




Who are the potential competitors, and how strong are their
market positions?
How satisfied are consumers with current offerings on the
market?
Are there any unmet consumer needs?
How are consumers likely to perceive our offerings relative to
competitors offerings?
 Embracing the Marketing Concepts
 Conducting marketing research to understand customer s and
their requirement.
 The philosophy of customer orientation that urges firms to
uncover customer needs first then coordinate all their
activities to satisfy those needs.
 Understanding the Competitive environment
 Marketing research is vital to maintaining and improving a
company’s overall competitiveness.
 Organizations continually collect and evaluate environmental
information to identify future market opportunities and
threats
Marketing Research (Definition)
 Marketing research involves conducting research to
support marketing activities, and the statistical
interpretation of data into information. This
information is then used by managers to plan
marketing activities, gauge the nature of a firm's
marketing environment and attain information from
suppliers.
 According
to American Marketing Association,
“Marketing Research is the function that links the
consumer, customer and public to the marketer
through information-information used to identify
and define marketing opportunities and problems,
generate, refine and evaluate marketing actions;
monitor marketing performance; and improve
understanding of marketing as a process.”
 Marketing Research is systematic problem analysis,
model building and fact finding for the purpose of
important decision making and control in the
marketing of goods and services.
 Marketing Research is a well-planned, systematic
process which implies that it needs planning at all
the stages. It uses scientific method. It is an objective
process as it attempts to provide accurate authentic
information. Marketing Research is sometimes
defined as the application of scientific method in the
solution of marketing problems.
 Marketing Research plays a very significant role in
identifying the needs of customers and meeting them
in best possible way. The main task of Marketing
Research is systematic gathering and analysis of
information.
 Marketing researchers use statistical methods such as
quantitative research, qualitative research,
hypothesis tests, Chi-squared tests, linear regression,
correlations, frequency distributions, Poisson
distributions, binomial distributions, etc. to interpret
their findings and convert data into information.
Quantitative research
 In the social sciences, quantitative research
refers to the systematic empirical investigation of
social phenomena via statistical, mathematical or
computational techniques. The objective of
quantitative research is to develop and employ
mathematical models, theories and/or hypotheses
pertaining to phenomena. The process of
measurement is central to quantitative research
because it provides the fundamental connection
between empirical observation and mathematical
expression of quantitative relationships.
Qualitative research
 Qualitative
research a method of inquiry
employed in many different academic disciplines,
traditionally in the social sciences, but also in market
research. Qualitative researchers aim to gather an indepth understanding of human behavior and the
reasons that govern such behavior. The qualitative
method investigates the why and how of decision
making, not just what, where, when. Hence, smaller
but focused samples are more often needed than
large samples.
 The marketing research process spans a number of
stages, including the definition of a problem,
development of a research plan, collection and
interpretation of data and disseminating information
formally in the form of a report. The task of
marketing research is to provide management with
relevant, accurate, reliable, valid, and current
information.
 A distinction should be made between marketing
research and market research. Market research
pertains to research in a given market. As an
example, a firm may conduct research in a target
market, after selecting a suitable market segment. In
contrast, marketing research relates to all research
conducted within marketing. Thus, market research
is a subset of marketing research.