Market Research and Information Technology Principles of Marketing Chapter 5 1 Importance of Marketing Research Determine current consumer needs Shifts in attitudes and purchasing patterns Changes in the economy New technologies creating obsolescence of projects 2 5 stages of research process 1 2 3 4 5 Locating and defining issues or problems Designing the research project Collecting data Interpreting research data Reporting research findings 3 1
Types of Research Exploratory- to better understand a problem, perceptions or situation. Conclusive- to assist decision making Descriptive Clarify characteristics of possible situation to solve a particular problem EX: Why are sales dropping? Experimental Influences of variables in relationships 4 Strength of Research Reliability Valuable Validity 5 Data Collection Primary Secondary Good Information 6 2
Data Collection Primary Collection of information specifically for issue at hand Secondary Use of data collected by another source May not be representative Sample Collection methods Reporting Secondary Information Often considered first Cheaper to acquire Not specifically for the project Internal or external in nature 8 Primary data Much more focused Sample of the population Represents make-up of the target market (demographics) Probability Random Stratified Non-probability Quota 9 3
Survey methods Mail Telephone Online Crowd-sourcing 10 Other methods Personal interview survey In-home (door to door) Focus-group Customer advisory boards Telephone depth interview Shopping mall intercepts On-site computer interview 11 Constructing Questions Open-Ended Allows for the participant to share what ever he/she feels pertinent to the questions. Free flow of ideas. Dichotomous (Either or) Multiple Choice Scales such as Likert 12 4
Scale Development LIKERT SCALE EXAMPLE Principles of Marketing class is exciting Strongly agree Somewhat disagree Neither Somewhat Strongly agree or disagree agree agree 1 2 3 4 5 International travel is great 1 2 3 4 5 I love eating new foods 1 2 3 4 5 Iowa is a great place to live 1 2 3 4 5 Observation methods Behavior instead of opinion Conditions affecting behavior can be taken into consideration Electronic observation is less intrusive and may provide more honest information 14 Interpretation and Reporting Biggest complaint is too much or the wrong information Statistical interpretation uses analysis based on a bell curve and deviations from the average Charts, graphs, tables often used for clear summarization 15 5
Using Techonology Improving information gathering and analysis 16 MIS MIS Marketing Information Systems 17 Data Storage and Retrieval Databases Customer Relations Build listing of current and potential customers (including demographic makeup) Single source Data Information from a firm that specializes in household data Marketing Decision support system Can support customer orientation and satisfaction Replacement.Com Amazon 18 6
Ethical Issues Certificate of Completion The National Institutes of Health (NIH) Office of Extramural Research certifies that Christine Schrage successfully completed the NIH Webbased training course Protecting Human Research Participants. Date of completion: 09/08/2009 Certification Number: 284332 19 9 guidelines with questionnaires Introduction of interviewer by name State name of research organization Indicate survey is marketing research project Explain no sales are involved General topic- Consumer opinion Likely duration of the interview Assure anonymity of respondentconfidentiality If an honorarium is applicable, state so Reassure no right or wrong answers 20 7