Market Research: CH 2 -"The Marketing Research Process"

There are 11 steps in the marketing research process:

1. Establish the need for marketing research
2. Defining the problem
3. Establishing research objectives
4. Determining research design
5. Identifying information types and
6. Determining methods of processing data
7. Designing data collection forms
8. Determining the sample plan and size
9. Collecting data
10. Analyzing data
11. Preparing and presenting the final research report

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Figure 2.1 11 Steps in the Marketing Research Process
Figure 2.1 11 Steps in the Marketing Research Process
Figure 2.1 11 Steps in the Marketing Research Process
Figure 2.1 11 Steps in the Marketing Research Process
Step 1: “Establishing the need for marketing research” involves knowing when to conduct the marketing research.
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You may not need to do research or the cost of the research is too high compared to the cost of the product.
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Step 2: “Define the Problem”: the most important step because if the problem is incorrectly defined, all else is a wasted effort.
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Problems stem from two primary sources:
– Gap between what is “supposed to happen” and what did happen and
-Gaps between “what did happen and what could be happening”.
Step 3: “Establish Research Objectives”: objectives state what the researcher must do in order to carry out the research and solve the manager’s problem or “gap”.
Insert Figure 2.2-Relationship between Marketing Manager’s Problem and Marketing Researcher’s Objectives: the relationship between the manager’s problem and the researcher’s establishment of objectives.
Figure 2.2 illustrates this relationship between the managers problem and the researchers a status meant of objectives. For example, if the problem is specifically stated as “What product improvements could be made to gain sales of our running shoes?”, then a research objective would be to describe the qualities people look for in running shoes. The information collected would tell the manager which feature of his running shoes he should focus on developing new versions of the running shoes.
Step 4: “Determine Research Design”-research design is the research approach undertaken to meet the research objectives.
3 recognized designs:
– Exploratory
– Descriptive
– Casual
Exploratory is trying new options.
Descriptive is describing the phenomena of interest.
Causal is uncovering what factors cause some event. For example, changing this chemical, or infomation about an issue of a coupon that gives me a short-term lift in purchases.
Step 5: “Identify Information Types and Sources”: researchers must identify the type and source of information they will use in step 5. Primary or secondary sources.
Secondary sources should always be sought first because it’s cheaper and faster. However it may not exist or be inadequate.
Use learn by checking Maria’s list on learn.
Primary data can be assessed through qualitative or quantitative data.
Qualitative is descriptive, rich information. Focus groups, observation, and monitoring online
Quantitative data is from interviewing:
-Face-to-face
-Telephone
-Telephone
-Mail
-Online
Step 7: Design Data Collection Forms-questionnaires is very popular but care must be taken to ensure that the questions asked can generate answers that satisfy the research objectives.
Questionnaire questions must also be worded to refuse refusal to answer questions and get as much information as desired.
Observationd forms are used to document behaviour.
Step 8: Determine sample plan and size: defined by research objectives-
-population-group you want to study
-sample subset of the population
– sample frame is a list of the elements
–type of sample plan determines representatives

–size of sample determines …….

Step 9: Collecting Data: errors can occur either intentionally or otherwise and researchers must know the sources of the errors.
Field workers fabricate data
Validation means checking some (10%) respondents to ……
Step 10:Analyze Data: the objective is to interpret information so research objectives. An be met
Qualitative seeks general patterns ( search engine analysis)
Quantitative seekers statistical patterns like hypothesis testing , seek differences ……
Both offer value but what you choose depends on what you are studying.
Prepare and present the final research report- critical step and must be an accurate and fair representation of the research process.
This report may be the clients only record of research and could be stored for future use.
The report is usually written with a presentation attached.
It is important to determine which vehicle to use to represent the data, pie chart, bar graph, etc.
Usually the report is small but the appendix huge.
Establishing the need for marketing research- Marketing research is NOT needed when the information is already available.
Timing may be wrong, not enough time or their use of the product was too far in their past to give accurate answers.
Funds may not be available or the cost outweighs the value.
Marketing research is valuable when it will strongly clarify the problems or when there are big changes in the marketplace, competitors or consumers.
Research is valuable when it clearly identifies the best alternative to pursue.
Research is valuable when it helps brands establish a competitive advantage.
The advantage of online research is that it can be very fast to conduct but don’t overuse it. Allows concept testing as e product develops
Allows for more supportive decisions to be made and is less costly.
You can download marketing research software that knows how best to conduct a survey. You input your questions.
Step 2: Defining the problem
Defining the problem is not always easy to define. For example hunger is a symptom not a problem so we need to look at the the problem and not the symptom
The most important step. “A problem well-defined is a problem half solved. “
Here are two sources of problem:
-Ehat was supposed to happen
-What did happen
-I.e. Unmet objective, poor product launch
Opportunity also involves a gap:
– WhT did happen or is happening and
– what could have happened
“We have a problem . . .we are losing money”
This is a symptom of a problem not the actual problem.
Headache caused by stress but WHAT causes the stress??? Find the problem by delving deeper.
In recognizing the problem, awareness of problem is key to managements task. Need control systems to identify the problem.
Symptoms sre changes …….
Our role as marketing researchers is to help manage diving the problem correctly.
You can use situational analysis which is a form of preliminary research to gather background information and data pertinent to the problem area
Some hurdles are:
Communication challenges- you think differently than the manager, problem definition can be slow and tedious.
There can be a difference between managers and reactors: one deals with people and processes, researchers manage information that is more technical.
The the ITB and RFP must define the problem.
Introduction
Scope of proposal
Deliverables
Evaluation criteria ( helps with structure)
Deadline bidding specifics
Defining the problem is a process as well as establishing research objectives.
There is. O universal approach but defining the problem is more art than science.
We also must access background and the manager’s situation which can help clarify the symptoms
Brainstorming can help you consider possible solutions that may alleviate the symptom.
Anticipate consequences of the possible solution. There may be no way to fix the problem.
We want to make assumptions about the consequences.
The role of hypothesis in defining the problem is important because they are statements that are taken for true for the purpose of argument or investigation.
It may be a Question: Will more advertising mean more sales?
Asses the information on hand or assess the information state, what is they quantity or quality of evidence s manager possesses for each assumption mode.
Seek information gaps or discrepancies between the current information level and the desired level.
Research objectives t is to simply close the gap or. VRidge the gap between what we know and what we want to know.
The role of action standard. If the reason is a headache what’s the next step or action? Visit a optimologist. The purpose is to define what action will be taken given the results. What are you ginger to do with that answer?
Don’t waste your time with something that. Ant produce an action.
Formulating the Marketing Research Proposal
The problem statement is really like a mission statement and contains the:
1. The company, division, or principals involved
2. The symptoms
3. The probable causes of these symptoms
4. The anticipated uses of research information to be provided.
Research objectives must be precise, detailed and clear.
Research objectives should be operational meaning they should define how the construct being evaluated is actually measured.
We construct or build a measurement tool. That is what is meant by construct. We build a tool that will actually measure our objectives.
Everything you make a coffee choice you choose Starbucks or nothing. That’s how we define our objective. The more specific then better.
Research method is the data collection method including data collection forms. Keep it straight forward and clear, to the point.