INSEEC BBA 1A - Market Study - 1 - 23012020 - Market Surveys

INSEEC - BBA 1A - Market Study

Laurent Dorey – [email protected] -> INSEEC B1A - Market Study

Market Surveys

Laurent Dorey

January 23rd, 2020



Market Surveys

Program of the Module:

BBA 1A - 2 - 31012020 - Managing Marketing Information

BBA 1A - 1 - 23012020 - Market Surveys

BBA 1A - 3 - 03022020 - Information Monitoring

BBA 1A - 5 - 11022020 - Global Marketing Studies

BBA 1A - 4 - 04022020 - Contextualization of Market Studies

BBA 1A - 6 - 12032020 - International Marketing Plan

BBA-1A



Market Surveys

Program:

Study of the Offer

Steps of a Market Study

What is a Market Survey?

Conclusions of the Market Survey

Study of the Demand

Workshop - Practical Case



Market Surveys

Definitions:

« A market study is an exploration work to measure, analyze and understand the actual

functioning of a market » (Wikipédia)

« The preparation, collection, analysis and exploitation of data and information relating

to a marketing situation » (Kotler & Dubois)

« A set of figures on the importance, structure and evolution of sales of a product. All

factors likely to influence sales of a product » (Mercator)



Market Surveys

What is a Market Survey?

From the formulation of a need/opportunity:

Measure, analyze and understand the supply situation for a given product

Measure, analyze and understand the demand situation for a given product

Segment the market

Analyze, interpret and use the results

Identify opportunities and threats for launching a product/service

Prepare the marketing mix for the launch of a product/service

Prepare a business plan for the launch of a product/service



Market Surveys

Steps of a Market Study:

1. Definition of the mission and activities of the company

2. Definition of the objectives of the company

3. Evaluation of the methodology, the cost and the timing of the operation:

Study context

Purpose of the study

Information to collect

Costs

Schedule

4. Execution of the market study:

The study of the size, offers, competition and evolution of the market

The study of demand, consumer behavior and evolutions

Segmentation of the market according to the different types of targets



Market Surveys

Steps of a Market Study:

5. Results analysis:

Validation of the study: Reliability, prudence, common sense and synthesis

Determination of the SWOT matrix: Strength/Weaknesses and Threats/Opportu-

nities

Definition of 4Ps

6. Definition of the launching strategy and action plan

7. Forecast and business plan

8. Implementation and monitoring/control/adaptation



Market Surveys

The Different Types of Methodologies:

1. Documentary Studies or Secondary Data Studies

Types:

Internal sources: sales network, recently hired staff

Nearby public: Distributors, customers, suppliers, service providers

External sources:

• Studies: Panels or store check

• Professional press, sometimes mainstream press

• Exhibitions and congress

• Professional organizations

• Missions abroad

• Patent monitoring

• Internet search



Market Surveys


1. Documentary Studies or Secondary Data Studies

External sources (continued):

• Public organizations

• Financial information of companies

• Declarations, in private or in the press, of competing companies

• Bibliographic search...

Needs:

• Evaluation of the market supply

• Demand assessment

• Evaluation of barriers to entry: Standards, taxes,

legal restrictions ...



Market Surveys


2. Qualitative studies

Definition :

"It is a phase of research allowing the comprehension of the behaviors of the individuals,

their motivations, their needs and their conscious and unconscious desires: It is to

apprehend in depth all the questions addressed in the problematic of the study".

“Understand"

Needs:

Exploratory studies

Market potential assessments

Studies of consumption habits

Position/image studies

Feasibility study launch new product/service

Product/Concept/Service Tests



Market Surveys



Needs (continued):

• Research/validation of brand names, packaging and prices

• Pre-tests and post-tests

• Spot studies

Investigative techniques:

• Focus groups

• Projective methods: photos, tests

• Interviews

Non-directive or free interviews

Semi-structured interviews

• Product tests



Market Surveys



Investigative techniques (continued):

• IHVs (In Home Visits)

• Observational studies and control markets

Analysis:

• Content analysis:

Transcripts

Choice of themes and units of analysis

Verbatim Analysis

Results interpretation

• Report and actions/recommendations



Market Surveys


3. Quantitative studies

Definition:

"It is a question of making counts with a given population, by questioning the

individuals who compose it. These individuals form a set called sample, sample that

the researcher will try to make as representative as possible of the population”. "

Measure "

Needs:

Usage and attitude surveys

Market potential assessment

Notoriety, image and positioning studies

Product/Concept/Service Test

Pre-tests and advertising post-tests

Definition of psychological prices



Market Surveys



Needs (continued):

Distribution/geomarketing/household and displacement studies

POS testing

Barometers

Panels

Collection method:

Ground: Face to face, at home ...

Phone

Mail post

Via Internet

Mystery shoppers



Market Surveys



Classification of quantitative surveys:

• In BtoC:

Public inquiries

Prescriber/opinion leader surveys

• In BtoB:

Industrial surveys

Distributor/Reseller Inquiries

Targeted surveys



Market Surveys

Study of the Offer:

Measure a market:

The size of the market: By volume

The size of the market: In value

Market Shares: Sale of a brand (or product)/global sales

Evolutions

Market types:

• Market mass VS niche

• Open Market Vs Closed Market

• Fragmented market Vs concentrated market• Market Life Cycle: Launch, Development, Matu-

rity, Decline



Market Surveys

Study of the Offer:

Factors influencing supply:

The political and institutional situation

Standards, norms, tariff and non-tariff barriers in the sector

The economic, social and cultural situation

Seasonality

The trends

The weather

The effects of the offer:

• Substitution effects

• Creative innovation of new market

• Competition and marketing

• Price elasticity



Market Surveys

Study of the Offer:

Market segments:

Customer segments

Product segments

Criteria for analyzing the sale of a product:

Geographical criteria: by zone, by country

Buyers Criteria: e.g. Professional vs. Family

Criteria related to product characteristics: e.g. AOC

Criteria related to the nature of the purchase: e.g. TVs Renewal Purchase or 1st

Purchase

Competitor criteria: by brands, by producers



Market Surveys

Study of the Offer:

Competitive space:

Competition products

Intersegment competition

Generic competition (indirect competition)

Types of competition:

External competition

Internal competition and cannibalisation

Description of competitors:

Identification of competitors

Positioning of competitors

Potential competitor analysis



Market Surveys

Study of the Offer:

Description of competitors (continued):

Competitor Strategy

Estimation of the degree of reactivity

Analysis of prices and their evolution



Market Surveys

Study of the Demand:

Purchasing/consumption habits:

Frequency of purchase/consumption

Places and moments of purchase/consumption

Purchasing/consumption requirements

Universe of purchase/consumption

Notoriety:

Top of mind

Spontaneous

Assisted

False awareness

Last purchase vs Intention to purchase

Inertia, transfer of brands and attractiveness of brands



Market Surveys


Satisfaction

Procurement process and/or choice:

Purchasing/consumption criteria

Weight in the purchase decision

Brakes and motivation to buy

The image of the brands

Brand positioning and competitiveness

Potential of the product to launch

Psychological price

Communication and its influence on buying/consuming



Market Surveys


Principle of the polls

Sampling:

Sample size

Sampling procedures

• Random methodology

• Quota methodology

• Methodology of itineraries

• Arbitrary methodologies



Market Surveys


The questionnaire:

Problem definition, questions to ask

Defining the order of questions to ask

Definition of measurement scales (numerical, qualitative, text ...)

Choice between closed questions, semi closed questions and open questions

Choice between single response, multiple response, or ordered questions

Length of the questionnaire

General rules:

• Only ask questions that are relevant to the study

• The questionnaire must be logical

• The questions must be precise



Market Surveys


The questionnaire:

General rules (continued):

Questions must be simple and understandable

The respondent must be able to answer questions

Avoid taboo or personal topics

One idea per question

Methodologies

Post mailing

Internet

Face to face

Telephone

By observation



Market Surveys


The questionnaire:

Possible errors

Sampling error

Administration errors

The pretest

Field brief (training)

The unfolding



Market Surveys


The questionnaire:

Controls:

Supervisors

Physical backcheck

Telephone backcheck

Logic control

The input

The input mask

The input quality

Control



Market Surveys

Conclusions of the Market Study:

SWOT matrix:

Strength vs Weaknesses

Threats vs Opportunities

Project level decision-making: Yes vs No

If yes:

Definition of 4Ps

Segmentation

Definition of the optimal launch strategy

Forecasting and development of the business plan and the action plan

Application for funding and financing

Implementation and execution

Assessment and refittings



Market Surveys

International Market Study:

Reasons to go abroad:

Internal reasons

External reasons

Internal diagnosis and potential for export:

Organization and HR

Products and services

Potentials

Proof of the export project

Choice of countries:

Market potential:

• Demographic trends

• General economic situation



Market Surveys



Market potential (continued):

• Size and trend of the market for the products under consideration

• Analysis of cultural factors likely to positively or negatively influence deve-

lopment in this market

• Analysis of existing competition

• Analysis of the distribution

The regulatory environment:

• Barriers to entry and any restrictions

• Price regulation

• Possible restrictions on capital movements

and repatriation of profits



Market Surveys



The regulatory environment (continued):

• Aid and subsidies

• Social legislation

• Regulation of advertising

Political risks

Social troubles

Risks of expropriation and nationalization

General instability

Risk of regulatory change



Market Surveys


Choosing the implantation formula:

Light implantation:

• Transfer of license or franchise

• Export:

Distributors

Agents

Direct export

Heavy implantation formula:

• 100% Subsidiaries

• Joint Venture



Market Surveys


Data sources:

International Organizations: United Nations, World Bank, IMF, OECD ...

Public bodies of the country studied: Embassies, Ministries, Official Statistical

Institutes, Chamber of Commerce ...

Specialized organizations in the country of origin: CEPEX, FAMEX, economic

services of French Embassies abroad ...

Website specialized in international market research: Euromonitor ...

Experts specialized in international development



Market Surveys


Export market study:

Presentation of the country

The economic and social environment

The regulatory environment

Competition

Requirement

Constraints

The export strategy:

Product: "Think global, act local" ????

• The range and intrinsic characteristics of the products

• The packaging

• The name



Market Surveys


The export strategy (continued):

Price:

• Transfer price

• Final consumer price

• Tax system

Distribution

Communication:

• Choice of media

• Trade fairs



Market Surveys


The action plan

Service/Export direction?

The business plan and expected results

Search for financing and financing

Prospecting

The implementation of the export strategy

Workshop - Practical Case



Present the following markets in 2015-2020

The tourist market

The Electric Bikes market

in France

The Smartphones market

The Men's Cosmetics market

The Hoverboards market

The Video Games Market

The Alicaments market

The Home Care Market

3x3 then Verbal Restitution next session

The Newborns market

Qualitative

Quantitative

Trends

Main players



The end

INSEEC BBA 1A - Market Study - 1 - 23012020 - Market Surveys

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