Post on 29-May-2018
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Marketing
Ajax Persaud Dhruv Grewal
Michael Levy Shirley Lichti
Chapter 5
Marketing Researchand InformationSystems
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Explain how marketers use information systems tocreate value for customers
Discuss ethical issues firms encounter whenconducting marketing research
Describe the necessary steps to conduct marketingresearch
Explain the differences between primary and
secondary data, and determine when should eachbe used
Explain the differences between exploratory andconclusive research
Chapter Objectives
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2007 McGraw-HillCompanies, Inc., McGraw-Hill/Irwin
Marketing Research
Consists of a set of techniques andprinciples for systematically collecting,
recoding, analyzing and interpreting data
that can aid decision makers involved in
marketing goods, services or ideas.
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Why Do Market Research?
Measure and forecast future demandfor your products and services
Realistic view of the coming year
Allocate needed resources (finite)
Make business changes proactivelyinstead of reactively
Leading edge versus bleeding edge
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2007 McGraw-HillCompanies, Inc., McGraw-Hill/Irwin
Using Marketing Information Systems
to Create Better Value
Marketing Information
System (MIS) is a set of
procedures and methodsapplied to the regular,
planned collection,analysis, andpresentation of
information to be used inmarketing decisions.
Data warehouse?
Data mining?
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2007 McGraw-HillCompanies, Inc., McGraw-Hill/Irwin
The Ethics of Using Customer Information
Code of Standards and Ethics for Survey Research
Bottom Line: Marketing research should be used onlyto produce unbiased, factual information.
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Why Is It Important To Keep The MarketResearch Data Real?
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The Marketing Research Process
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Step 1: Defining the Problemsand Objectives
What information is neededto answer specific research
questions?
How should thatinformation be
obtained?
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Problems and Objectives
What are some problems orobjectives that businesses may
need market research to help themsolve or achieve?
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Step 2: Designing the Research Project
Secondary data Primary data
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Determine Specific Information Needs
Target customer characteristics
Patterns of product use
Demand factors
Response of marketing channels
Customer reactions
Projected sales
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Advantages and Disadvantages ofSecondary and Primary Data
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Step 3: Data Collection Process
Conclusive research
Exploratory research
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Exploratory Versus ConclusiveData Collection
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Exploratory Methods
Focus group
Observation In-depth interview
Projective Technique
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How can a firm use exploratory research to uncoverconsumers attitudes toward their product/service?
Using Exploratory Research
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Case in Point: Kit Kat Bars
Challenge
Answer
Results
Kit Kat bars were losing appeal
among younger consumerswhile remaining popular withconsumers aged 25 -40.
Qualitative interviews were
conducted with youngerconsumers. New forms of Kit Katbars were sampled. The interviews
were followed with focus groups.
The introduction of the Kit Kat
chunky, a single large Kit Kat bar.
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Focus Group Activity
Form groups of 4-6 With bottled water as the topic, use the
suggested questions on the next slideto determine the feelings of your focusgroup about these products.
Be prepared to report what yourresearch has found.
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Focus Group Questions
Are you in favour of the sale of water inplastic bottles on campus?
Why? Why not?
Do you feel bottled water should bebanned or controlled?
What are some alternatives?
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Ethical Dilemma 9.1: WatchingConsumers
Marketing research firms dedicated to watchingconsumers.
Gather data that would not otherwise be available.
Should researchers get consent prior to observing?
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Conclusive Research Methods
Can be either:
Descriptive Experimental
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Survey Research
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What Not to Do When Designing a
Questionnaire
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Web Surveying
Response rates arerelatively high
Respondents may lie less
It is inexpensive
Results are processed
and received quickly
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Case in Point: Derham MarketingResearch, Ltd.
Challenge
Answer
Results
Derham Marketing Research Limited was
looking for a reliable means of writing,delivering and analyzing online surveys.
Partnering with Form Artist software thatallowed the firm to have internal control
over their online surveys.
Derham has saved money, kept costsdown, increased control. Quantifiable
benefits: saved on average 2 days atleast in project turnaround, and often up
to a week. Reporting can be the sameday, also saving up to a week. Electronicfiles saved paper and clarified the
reporting procedure. The capacity to copyand paste has saved further re-handling
and ensured accuracy of any informationcarried across to the clients' ownsystems.
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2007 McGraw-HillCompanies, Inc., McGraw-Hill/Irwin
Using Experimental Research
How can firms use experimental research to improvevalue for customers and the firm?
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Case in Point: Its Beginning to Smell aLot Like Christmas
2007 McGraw-HillCompanies, Inc., McGraw-Hill/Irwin
Challenge
Answer
Results
Retailers need to get shoppers
into the holiday spending mood.
Use an experiment to determine what
factors in the retail environmentcontribute to customers holidayspending mood.
Retailers who used holiday musicand holiday scents together wereviewed more favorably, themerchandise in the store was ratedhigher, and purchase intentionsincreased compared to retailers whoused either alone or non-congruent
music and scent.
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Scanner Research
2007 McGraw-HillCompanies, Inc., McGraw-Hill/Irwin
Information Resources, Inc.
AC Nielsen
What if Ireduce my
price by10%?
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Panel Research
2007 McGraw-HillCompanies, Inc., McGraw-Hill/Irwin
What are theybuying or not
buying?
Group of consumersSurvey or sales receipts
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Step 4: Analyzing Data
2007 McGraw-HillCompanies, Inc., McGraw-Hill/Irwin
Converting data into information to explain, predict and/orevaluate a particular situation.
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Survey-Based Segments
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Brand Research
Attitudinal equity - Virgin Mobile
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Step 5: Presenting Results
2007 McGraw-HillCompanies, Inc., McGraw-Hill/Irwin
Present important findings
Company ultimately mustdecide on correctinterpretation and how to
proceed
Assists decision-making(remember past failures)
Doing our best to measureand forecast demand!
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Some past research mistakes
MasterCard priceless campaign shouldnot run
The Seinfeld pilot got the lowest pre-testscores in NBC history
The Sony Walkman was predicted to fail
New Coke was predicted to succeed
The better the research the better yourchances of predicting success!
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Homework
Groups for Group Projectformed by June 1st
Individual Submission due
June 8th
Read Chapter 6