Marketing Research: Chapter 5- Secondary Data and Packaged Information

Primary Data
information that is developed or gathered by the researcher specifically for the research project at hand
Secondary Data
previously gathered information by someone other than the researcher and/or for some other purpose than the research project at hand
Internal secondary data
data that have been collected within the firm
Database marketing
the process of building, maintaining, and using customer (internal) databases and other (internal) databases (products, suppliers, and resellers) to contact, transact, and build customer relationships
Database
a collection of data and information describing items of interest
Record
each unit of information in a database; could represent a customer, supplier, competitive firm, product, or an individual inventory item
Fields
subcomponents of information; include name, address, telephone number, email address, products purchased, dates of purchases, locations where purchased, warranty information, and any other information the company considered useful
Internal databases
databases consisting of information gathered by a company, typically during the normal course of business transactions
Customer relationship management (CRM)
internal databases for purpose of direct marketing and to strengthen relationships with customers
Data mining
software that helps managers make sense out of seemingly senseless masses of information contained in databases
Micromarketing
using a differentiated marketing mix for specific customer segments, sometimes fine-tuned for the individual shopper
External secondary data
data obtained from outside the firm
Published sources
sources of information that are prepared for public distribution and are normally found in libraries or through a variety of other entities, such as trade associations, professional organizations, and companies
Syndicated services data
data made available in a standard format subscribing firms; typically highly specialized and are not available in libraries for the general public
External Databases
databases supplied by organizations outside the firm
Online information databases
sources of secondary data searchable by search engines online
Core-based statistical areas (CBSAs)
geographic reporting units used by the Census Bureau; made up of 2 smaller units, metropolitan and micropolitan statistical areas
Metropolitan SAs
defined by the Office of Management and Budget as having at least one urbanized area of 50,000 or more population, plus adjacent territory that has a high degree of social and economic integration with the core as measured by commuting ties
Micropolitan SAs
a new set of statistical areas that have at least one urban cluster of at least 10,000 but less than 50,000 population, plus adjacent territory that has a high degree of social and economic integration with the core MSA as measured by commuting ties
Geodemographics
the classification of arbitrary, usually small, geographic areas in terms of the characteristics of their inhabitants
American Community Survey (ACS)
represents the most significant change in the availability of secondary data to be used for marketing research purposes in several decades
American Factfinder
the tool used for searching data collected by the ACS
Packaged information
type of secondary data in which the data collected and/or process of collecting the data are prepackaged for all users
Syndicated Data
packaged information collected in a standard format and made available to all subscribers
Packaged services
a prepackaged marketing research process that is used to generate information for a particular user
Esri’s Tapestry Segmentation
a services that uses a ready-made, prepackaged process to profile residential neighborhoods
Buzz or consumer-generated media (CGM)
content created by consumers on blogs, discussion boards, forums, user groups, and other social media platforms; also referred to as online consumer word of mouth (eWOM)
Tracking studies
longitudinal studies that monitor a variable such as sales or market share over time
Five ways companies use their databases (Kotler and Keller)
1. identify prospects
2. which customers should receive a particular offer
3. deepen customer loyalty
4. reactivate customer purchases
5. avoid serious customer mistakes
three sources of external data
1. published
2. syndicated services data
3. databases
Advantages of secondary data
1. it can be obtained quickly
2. compared to collecting primary data, secondary data are inexpensive
3. some secondary data are readily available
4. secondary data may enhance primary data by providing a current look at issues, trends, yardsticks of performance, and so on that may affect what primary data should be collected
5. secondary data may be all that is needed to achieve the research objective
Disadvantages of Secondary Data
1. incompatible reporting units
2. mismatch of units of measurement
3. differing definitions used to classify the data
4. timeliness of the secondary data
5. lack of information needed to assess the credibility of the data reported
Five Questions Useful in evaluating secondary data
1. What was the purpose of the study?
2. Who collected the information?
3. What information was collected?
4. How was the information obtained?
5. How consistent is the information with other information?