Module 2 Topic 4

8/16/2019 Module 2 Topic 4

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M ARKET RESEARCH


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ROLE AND IM PORTANCE OF

M ARKET RESEARCH

Process of collecting and analyzing

data for a good/service in a market Analyzing consumer reaction to eg.

Price changes, forms of promotion,packaging

Impacts marketing decisions


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IM PORTANCE OF A RESEARCH

PLAN

Reduce risk of new product launches

Predict future changes Eplain patterns in sales of eisting

products and market trends

Assess most popular designs, !avors,styles, promotions and packages


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STAGES OF M ARKET

RESEARCH "anagement pro#lem identi$cation

Research o#%ectives

&ources of data 'primary, secondary( &ampling 'pro#a#ility, non

pro#a#ility(

Research techni)ues 'focus groups,surveys, in depth interviews,o#servation(

Analysis and presentation of results


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M ANAGEM ENT PROBLEM

IDENTIFICATION "ost important step in process

*lear idea of purpose of research of

pro#lem to #e investigated

+hat is the size of the potentialmarket for our product

+hy are sales falling

-ow can we challenge our competitors


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M ARKET RESEARCH

OBJECTIVES "ust tie in with original pro#lem

&et to collect all information needed

to solve pro#lem

-ow many people are willing to #uy

our productIf we advertise via newspaper, what

will #e the impact on sales and marketshare


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SOURCES OF DATA

Primary original data gathered from people in targetmarket

&econdary use and analysis of data that already eist

&econdary data may #e more #ene$cial and should #eundertaken $rst

Advantages cheap, )uick, identi$es nature of

market/helps plan for primary research, comparison ofdata from di0erent sources

1isadvantages out of date, unsuita#le/irrelevant,inaccurate, not availa#le for new product developments


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SECONDARY SOURCES OF

DATA 2overnment pu#lications social indicators report,

economic trends, annual a#stract of statistics,family ependiture survey

3ocal li#raries and local government o4ces 5rade organizations society of motor traders,

furniture retailers assoc, engineering employersfederation

"arket intelligence reports mintel, keynotes,#usiness monitor intl, euromonitor

6ewspapers and specialist pu#licationsmarketing %ournals, $nancial times

Internal company records


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SAM PLING

Pro#a#ility and non pro#a#ilitysampling

&ample size larger samples give#etter results

*ost and time to consider


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PROBABILITY VS NON

PROBABILITY SAM PLINGPROBABILITY SAMPLING NON PROBABILITY

SAMPLING

&imple random sampling eachmem#er of population has an

e)ual chance of #eing includedin sample

*onvenience sampling samplechosen #ased on ease of access

&ystematic sampling sample ismade up of every nth item frompopulation

&now#all sampling refer fromfriend to friend

&trati$ed sampling sample istaken from di0erentgroups/layers/stratas ofpopulation 'di0erent opinions(

7udgemental sampling samplemade up of suita#le persons'timely(

Ad hoc )uotas any person ischosen to make u re8set


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RESEARCH TECHNIQUES

9uantitative num#er of consumerswho may #uy a product and in what)uantities

9ualitative discovering motivationalfactors #ehind consumer #uyingha#its


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QUANTITATIVE RESEARCH

:;&ERR


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+ho to ask sample must representpopulation

+hat to ask clear, logical)uestions

-ow to ask self completed)uestionnaire or direct interview

-ow accurate is it sampling #ias,)uestionnaire #ias, untruthfulness


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QUALITATIVE RESEARCH

@:*>& 2R:>P&


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PRESENTATION OF RESULTS

;ar charts

-istograms

3ine graphs Pie charts


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LIM ITATION OF M ARKET

RESEARCHBC of products fail after they have #een launchedPR:;3E"& +I5- PRI"AR? 1A5A

Relia#ility of data

-uman #ehavior untruthful, unpredicta#le &ampling and #ias sample may not represent

population 'sampling discrepancy(

;adly constructed )uestionnaires, leading )uestions

PR:;3E"& +I5- &E*:61AR? 1A5A

out of date, unsuita#le/irrelevant, inaccurate, notavaila#le for new product developments

Documents

Module 2 Topic 4