Marketing Research Quiz 1

Marketing Research
the process of furthering and interpreting data for use in developing, implementing, and monitoring the firms marketing plans.
Firms that conduct marketing research:
1. producers of product and services (Good Year, Philsbury)
2. advertising agencies (MEC, McCann)
3. Marketing research companies (Nielsen)
Skills important for careers in marketing research:
1. analytical skills – basic numerical and statistics
2. communication skills – verbal & written
3. human relation skills
3 reasons for marketing research:
1. careers opportunity as a market research
2. almost everyone is a consumer of marketing research in one way or another
3. managers must understand the process and potential outcomes
Marketing research process (4 stages)
1. problem definition
2. data collection (existing data from internal/external sources and primary data from individuals)
3. data analaysis
4. information reporting
General approaches to Marketing Research: (2)
1. the collection of data to address specific problems
2. the development of decision support systems that provide marketing intelligence on an ongoing basis.
Most critical error in marketing research:
Total Error – is more critical than any error, regardless of size, that might occur at any given stage
Utility Approach
focuses on society as an unit of analysis and stresses the consequences of an act on all those directly or indirectly affects.
If benefits > costs = the act is ethical
if benefits < costs + the act is unethical
Justice Approach
focuses on the equitability distributed costs and benefits.
If societal consensus is fair distribution = the act is ethical
Rights Approach
focuses on the individual as the unit of analysis stresses the consequences of an act on a persons basic rights.
An act is unethical if an individual basic rights are violated.
Types of research to be avoided:
1. unethical research (sugging and advocacy research)
2. research to support a decision that has already been made
3.research for which adequate resources are unavailable
4. research in which cost > benefits
Key steps in Problem Formation:
1. meet with the client
2. clarify the problem/opportunity
3. state the managers decision problem
4. develop a full range of possible research problems
5. select research problems to be addressed
6. prepare and submit a research request agreement
Two goals of the initial meeting with a research client:
1. develop rapport and open lines of communication
2. obtain as much information as possible about the problem or opportunity.
Two general sources of marketing problems/opportunity
1. unanticipated or unplanned change (reactive research)
2. planned change (proactive research)
Research must be actively involved in formulation problems because:
researchers can enhance their own learning regarding the situation, challenge, pre-existing assumptions, and bring a new perspective to the situation
Two types of decision problems:
1. discovery orientated problem – seeks answers to “what” and “why” questions (questions: focuses on generating useful information)

2. strategy orientated problem – seeks answers to “how” questions (questions: focuses on selecting alternative courses of action)

Decision Problems
problem/opportunity from the manager perspective
Research Problem
problem from the researches perspective (restatement of the decision problem in research terms)
Research Request Agreement
a researcher prepared written document summarzing the research problem and the needed information to address it.
Purpose of Request-for-Reposal:
1. state the nature of the problem
2. ask for providers to offer research proposals, including to offer research proposals, including cost estimates, for performing the job, ideally, easy comparison across vendors should be possible
Outline of various elements of the Research Proposal:
1. problem definition and background
2. research design and data sources
3. sampling plan
4. data collections forms
5. analysis
6. time schedule
7. personal requirements & cost estimates
8. appendices
Exploratory Research
1. formulates the managers decision problem
2. developing hypothesis
3. gaining familiarity with a phenomenon
4. clarifying concepts
Key characteristics of Exploratory Research:
1. small scale
2. flexibility
Litature Searches
involve reviewing conceptual and trade literature or published statistics
Depth Interviews
attempt to tap the knowledge and experience of those familiar with the general subject being investigated
Focus Groups
involve a discussion among a small number of individuals normally 9-12
Data Minning
involves exploratory statistical analysis of a company’s databases looking for useful patterns
Case Analysis
researchers study selected cases of phenonomen under investigations, ethnographic research is a popular example
Projected Methods
encourage respondents to reveal their own thoughts, feelings and behavior by shifting the focus away from the individual through the use of indirect tasks.
Two major pitfalls to avoid with focus groups
1. researchers and managers must consciously work to remain as objectives as possible when reviewing and interpreting exploratory data. it is very easy to see what you expect or want to see in qualitative data.
2. it is important to not use exploratory research to obtain answers and decisions rather than the ideas, insights, and hypotheses that these techniques were designed to deliver.
Secondary Data
are statistics not gathered for the immediate study, but for other purposes
Primary Data
are originated by the researcher for the purpose of the investigation at hand
Advantages/Disadvantages of Secondary Data
Advantages – time saving, money saving
Disadvantages – they don’t complete fit the problem at hand, they are not completely accurate
Marketing Information System (MIS)
a set of procedures and methods for the regular, planned collection, analysis, and presentation of information for use in making marketing decisions
Decisions Support Systems (DSS)
a coordinated collection of data, models for guiding decisions, and a user interface that allows user to interact with the system to produce customized information
Data System
processes used to capture and store data from internal and external sources
Dialog System
allow non-programmers to produce reports for themselves from databases
Knowledgement Management
an effort to systematically collect organizational and make it accessible to others
3 V’s of “Big Data”
1. Volume – the sheer amount of data being collected
2. Velocity – the pace of data flow, both into and out of a firm
3. Variety – the combination of structured and unstructured data collected
Structured Data
data can be easily contained in classic rows or columns of spreadsheets and databases
Unstructured Data
data does not follow grid-like convention, making it much harder
3 sources of “Big Data”
1. social media
2. mobile devices
3. multiple purchasing channels, also known as omni – channels
Descriptive Analytical Approach
is designed to enhance understanding of available data to benefit firm performance
Predictive Analysis Approach
designed to and both explanatory and forecasting abilities
Prescriptive Analysis Approach
designed to optimize the various courses of action available to enhance firm performances
Key challenges of “Big Data” intergration
1. access and retrieval of data
2. lack of sufficient analytical skills with firm
3. issues related to firm integration of both within and between firms
Process of search for external secondary data:
1. identify the information needed
2. develop a list of key terms and names
3. conduct an online search for the info
4. compile the info obtained and refined the list of keywords and authors
5. consult a reference librarian
6. identify authorities in the subject matter and consul with them
3 common uses for information supplied by standardized marketing information service
1. profile customer
2. measure product sales and market share
3. measure advertising exposure and effectiveness
Geodemography
refers to the availability of demographic, consumer behavior, and lifestyle data by arbitrary geographic boundries
Diary Pannels
is a log of purchases made and or products consumed over a given period of time by an individual or household
Scanner Data
produced by an electronic device that automatically reads the bar code imprinted on a product. Sales data, recorder at the point of sale are made available to producers as a means of gauging product sales at retail
People Meters
attempt to measure which household members are watching TV channels at which time via individual viewing numbers.
Single Sourced Data
the measurement refers to organizations that have the capability to monitor product-purchase data and advertising exposure data by household and relate that information to the demographic characteristics of the household
Standardized Marketing Information
secondary data collected by companies that sell the data to multiple companies, allowing the costs of collecting, editing, coding and analyzing them to be shared.
Model System
computerized routines that allow the user to do wanted analyses