vddf 1

Chapter One
Introducton to Marketng
Research
1-2
Chapter Outne
1) Overview
2) Definition of Marketing Research
3) A Classification of Marketing Research
4) Scope
5) Avantages
!) "i#itations
1-3
Redenng Marketng Research
$he A#erican Marketing Association %AMA)
reefine Marketing Research as&
$he f'nction which links the cons'#er( the
c'sto#er( an p')lic to the #arketer
thro'gh INFORMATION
1-4
*se to ientif+ an
efine #arket
opport'nities an
pro)le#s
,enerate( refine( an
eval'ate #arketing
perfor#ance
Monitor #arketing
perfor#ance
-#prove 'nerstaning
of #arketing as a
process
Redenng Marketng Research
1-5
Denton of Marketng Research
Marketing research is the s+ste#atic an o).ective

ientification

collection

anal+sis

isse#ination

an 'se of infor#ation
for the p'rpose of i#proving ecision #aking relate to
the

ientification an

sol'tion of pro)le#s an opport'nities in

#arketing/
1-6
Market Research

Speces the nformaton necessary

to address these ssues

Manages and mpements the data

coecton process

Anayzes the resuts

Communcates the ndngs and

ther mpcatons
1-7
Ob|ectves of Marketng
Research

Market Attractveness
Evauaton

Compettve Forces

Product Testng

Concept Testng

Prcng
1-8
Ob|ectves of Marketng
Research

Ustand why customers buy a

product?

Forecast future saes or

expected market share

Assess compettve strengths

and strateges.

Assess customer satsfacton

of companys product/
servces.
1-9
Scope of Marketng Research

Producers

Busness & Government

Market Research Agences

Managers
1-10
A Casscaton of Marketng
Research
Marketing Research
0ro)le#
-entification Research
0ro)le# Solving
Research
Market 0otential Research
Market Share Research
Market Characteristics Research
Sales Anal+sis Research
1orecasting Research
2'siness $rens Research
Seg#entation Research
0ro'ct Research
0ro#otion Research
Distri)'tion Research
Fg 1.1
1-11
Probem Sovng Research

Determine the basis of segmentation

Establish market potential and

responsiveness for various
segments

Selet target markets

!reate lifest"le profiles#

demograph"$ media$ and
produt image harateristis
SEGMENTATION RESEARCH

Test onept

Determine optimal produt design

%akage tests

%rodut modifiation

&rand positioning and

repositioning

Test marketing

!ontrol sore tests

PRODUCT RESEARCH
Tabe 1.1
1-12
Probem Sovng Research
Tabe 1.1 cont.
PRICING RESEARCH

%riing poliies

Importane of prie in brand seletion

%rodut line priing

%rie elastiit" of demand

Initiating and responding to prie hanges

$ALE
PROMOTIONAL RESEARCH

Optimal promotional budget

Sales promotion relationship

Optimal promotional mi'

!op" deisions

Media deisions

!reative advertising testing

Evaluation of advertising effetiveness

!laim substantiation
0.00%
APR
1-13
Probem Sovng Research
Tabe 1.1 cont.
DISTRIBUTION RESEARCH
Determne.

Types of dstrbuton

Atttudes of channe members

Intensty of whoesae & resae

coverage

Channe margns

Locaton of reta and whoesae

outets
1-14
Advantages of Marketng
Research

Indcates current market trends.

Pnponts decences n marketng

process.

Suggests saes promoton

technques.

Ohers gudance to marketng

executves.

Promotes busness actvtes.

Suggests new marketng

opportuntes.
1-15
Lmtatons of MR

Not an exact Scence, resuts of MR

may not be 100% accurate.

Based on Humans, who behave

dherenty acc to stuatons &
mood.

Not free from Bas.

Research probems & ob|ectves not

ceary dened.

Costy

Traned manpower requred.

1-16
1-17
Marketng Research Process
Step 1& 0ro)le# Definition
Step 2& Develop#ent of an Approach to
the 0ro)le#
Step 3& Research Design 1or#'lation
Step 4& 1ielwork or Data Collection
Step 5& Data 0reparation an Anal+sis
Step !& Report 0reparation an
0resentation
1-18
The Roe of Marketng Research
!ontrollable
Marketing
30ro'ct
30ricing
30ro#otion
3Distri)'tion
(ariables
Marketing
Researh
Marketing
Deision
Making
%roviding
Information
Assessing
Information
Needs
Marketing Managers
3 Market Segmentation
3 %erformane ) !ontrol
3 Target Market Seletion
3 Marketing %rograms
*nontrollable
Environmental
Fators
34cono#+
3$echnolog+
3"aws 5
Reg'lations
3Social 5 C'lt'ral
1actors
30olitical 1actors
!ustomer +roups
3 Emplo"ees
3 Shareholders
Suppliers
3
3 !onsumers
Fg 1.2
1-19
Marketng Research Suppers &
Servces
LIMITED SERVICE
Branded
Products
and Services
Data
Analysis
Services
Analytical
Services
Coding and
Data Entry
Services
Field
Services
FULL SERVICE
Syndicate
Services
Standardized
Services
Customiz
ed
Services
Internet
Services
RESEARCH
SUPPLIERS
EXTERNAL
INTERNAL
Fg 1.3
1-20
Top 50 U.S. Marketng Research
Frms
U.S. rank Worldwide resear! Non"U.S. resear! Peren#
$%%& $%%% re'en(es) re'en(es) non"U.S.
*+, in -illions. *+, in -illions. re'en(es
1 2 VNU, Inc. New York vnu.com $2,400.00 $1,100.00 45.80%
2 3 IMS Heath, Inc. Fared, Conn. msheath.com 1,171.00 702 60
3 4 Informaton Resources, Inc. Chcago nfores.com 555.9 135.6 24.4
4 6 The Kantar Group Fared, Conn. kantargroup.com 962.3 663.2 68.9
5 5 Westat, Inc. Rockve, Md. westat.com 285.8 6 6
6 7 Arbtron, Inc. New York arbtron.com 227.5 7.9 3.5
7 6 NOP Word US New York nopword.com 224.1 17.5 7.8
8 8 NFO WordGroup Greenwch, Conn. nfow.com 452.9 289.9 64
9 9 Market Facts, Inc. Arngton Heghts, I. marketfacts.com 189.7 33.5 17.7
10 11 Tayor Neson Sofres USA London tnsofres.com 166.9 16.4 9.8
11 11 Martz Research Fenton, MO. martzresearch.com 181.7 54.6 30
12 23 Ipsos New York psos.com 204.3 91.4 44.7
13 15 | .D. Power and Assocates Westake Vage, Caf. |dpa.com 128 18.7 14.6
14 14 Opnon Research Corp. Prnceton, N.| . opnonresearch.com 133.6 42.2 31.6
15 10 The NPD Group, Inc. Port Washngton, N.Y. npd.com 101.7 13 12.8
16 17 | upter Meda Metrx, Inc. New York |mm.com 85.8 17.2 20
17 18 Harrs Interactve, Inc. Rochester, N.Y. harrsnteractve.com 75.4 10.5 13.9
18 20 Abt Assocates, Inc. Cambrdge, Mass. abtassocates.com 62.8 9.4 15
19 19 C&R Research Servces, Inc. Chcago crresearch.com 43.6 6 6
20 22 Wrthn Wordwde McLean, Va. wrthn.com 46.8 7.2 15.4
21 24 Leberman Research Wordwde Los Angees rwonne.com 43.1 4.3 10
22 25 Burke, Inc. Cncnnat burke.com 45.5 11.2 24.6
23 21 MORPACE Internatona, Inc. Farmngton Hs, Mch. morpace.com 48.3 15.9 32.9
24 26 Market Strateges, Inc. Lvona, Mch. marketstrateges.com 31.7 1.5 4.7
25 30 GfK Custom Research, Inc. Mnneapos customresearch.com 29.8 0.9 3.9
Or/ani0a#ion Head1(ar#ers We2 si#e
1-21
Top 50 U.S. Marketng Research
Frms
U.S. rank Worldwide resear! Non"U.S. resear! Peren#
$%%& $%%% re'en(es) re'en(es) non"U.S.
*+, in -illions. *+, in -illions. re'en(es
26 32 ICR/Int Communcatons Research Meda, Pa. csurvey.com 28.8 0.3 1
27 29 M/A/R/C Research Irvng, Texas marcresearch.com 24.5 0.5 2
28 31 Erck & Lavdge Marketng Research Tucker, Ga. erckandavdge.com 22.9 6 6
29 36 RDA Group, Inc. Boomed Hs, Mch. rdagroup.com 26 3.6 13.8
30 33 Leberman Research Group Great Neck, N.Y. ebermanresearch.com 22.3 0.5 2.2
31 6 Knowedge Networks, Inc. Meno Park, Caf. knowedgenetworks.com 21.4 6 6
32 34 Waker Informaton Indanapos wakernfo.com 26.8 5.5 20.5
33 37 Natona Research Corp. Lncon, Neb. natonaresearch.com 17.7 6 6
34 38 Drectons Research, Inc. Cncnnat drectonsrsch.com 16.7 6 6
35 48 Marketng and Pannng Systems, Inc. Watham, Mass. mapsnet.com 19.7 3.2 16.2
36 6 Aance Research, Inc. Crestvew Hs, Ky. aanceresearch.com 15.4 6 6
37 40 Data Deveopment Corp. New York datadc.com 15.6 0.3 1.9
38 46 Marketng Anaysts, Inc. Chareston, S.C. marketnganaysts.com 15.1 0.4 2.6
39 6 Marketng Research Servces, Inc. Cncnnat mrs.com 14.3 6 6
40 43 Greened Onne, Inc. Wton, Conn. greened.com 14.2 6 6
41 42 Greened Consutng Group, Inc. Westport, Conn. greenedgroup.com 14 0.1 1
42 45 Savtz Research Companes Daas savtzresearch.com 13.2 6 6
43 44 The PreTestng Co., Inc. Tenay, N.| . pretestng.com 13.1 0.7 5.3
44 39 Schuman, Ronca, & Bucuvaas, Inc. New York srb.com 12.1 0.7 5.8
45 49 Cheskn Redwood Shores, Caf. cheskn.com 14.3 3.1 22
46 6 The Marketng Workshop, Inc. Norcross, Ga. mwshop.com 10.6 6 6
47 6 Symmetrca Hodngs, Inc. Deered Beach, Fa. symmetrca.com 10.4 6 6
48 6 comScore Networks, Inc. Reston, Va. comscore.com 10 6 6
48 6 MarketVson Research, Inc. Cncnnat marketvsonresearch.com 10 6 6
50 47 The B/R/S Group, Inc. San Rafae, Caf. brsgroup.com 10.9 2.2 20
Or/ani0a#ion Head1(ar#ers We2 si#e
1-22
Seected Marketng Research
Career Descrptons
(ie,%resident of Marketing Researh# The senior position in
marketing researh- The vie president .(%/ is responsible for the
entire marketing researh operation of the ompan" and serves on
the top management team- This person sets the ob0etives and
goals of the marketing researh department-
Researh Diretor# Also a senior position- The researh diretor has
the general responsibilit" for the development and e'eution of all
the marketing researh pro0ets-
Assistant Diretor of Researh# Serves as an administrative assistant
to the diretor and supervises some of the other marketing
researh staff members-
.Senior/ %ro0et Manager# 1as overall responsibilit" for design$
implementation$ and management of researh pro0ets-
Statistiian2Data %roessing Speialist# Serves as an e'pert on theor"
and appliation of statistial tehni3ues- Responsibilities inlude
e'perimental design$ data proessing$ and anal"sis-
Fg 1.4
1-23
Seected Marketng Research Career
Descrptons
(ie %resident of Marketing
Researh
3 %art of ompan"4s top
management team
3 Direts ompan"4s entire market
researh operation
3 Sets the goals ) ob0etives of the
marketing researh department
Researh Diretor
3 Also part of senior
management
3 1eads the development
and e'eution of all
researh pro0ets
Assistant Diretor of Researh
3Administrative assistant to diretor
3Supervises researh staff members
Senior %ro0et Manager
3 Responsible for design$ implementation$ )
researh pro0ets
Fg 1.4 cont.
1-24
Anal"st
3 1andles details in e'eution of
pro0et
3 Designs ) pretests 3uestionnaires
3 !onduts preliminar" anal"sis of
data
5unior Anal"st
3 Seondar" data anal"sis
3 Edits and odes 3uestionnaires
3 !onduts preliminar" anal"sis of data
Field6ork Diretor
3 1andles seletion$ training$
supervision$ and evaluation of
intervie6ers and field 6orkers
Senior Anal"st
3 %artiipates in the development of pro0ets
3 !arries out e'eution of assigned pro0ets
3 !oordinates the efforts of anal"st$ 0unior anal"st$ ) other personnel in the
development of researh design and data olletion
3 %repares final report
Fg 1.4 cont.
Statistiian2Data %roessing
3 Serves as e'pert on theor" and
appliation on statistial tehni3ues
3 Oversees e'perimental design$ data
proessing$ and anal"sis
Seected Marketng Research Career
Descrptons
1-25
Marketng Research Suppers &
Servces

Internal suppliers

E'ternal suppliers

Full,servie suppliers

S"ndiated servies

Standardi7ed servies

!ustomi7ed servies

Internet servies

8imited,servie suppliers

Field servies

!oding and data entr" servies

Anal"tial servies

Data anal"sis servies

&randed marketing researh produts

1-26
Crtera for Seectng a Research
Supper

7hat is the rep'tation of the s'pplier8

Do the+ co#plete pro.ects on sche'le8

Are the+ known for #aintaining ethical stanars8

Are the+ fle9i)le8

Are their research pro.ects of high :'alit+8

7hat kin an how #'ch e9perience oes the

s'pplier have8 ;as the fir# ha e9perience with
pro.ects si#ilar to this one8

Do the s'pplier<s personnel have )oth technical

an non=technical e9pertise8

Can the+ co##'nicate well with the client8

Co#petitive )is sho'l )e o)taine an
co#pare on the )asis of :'alit+ as well as price/
1-27
Careers n Marketng Research

Career opport'nities are availa)le with #arketing

research fir#s %e/g/( AC >ielsen( 2'rke( -nc/( M?A?R?C)

Careers in )'siness an non=)'siness fir#s an

agencies with in=ho'se #arketing research epart#ents
%e/g/( 0rocter 5 ,a#)le( Coca=Cola( A$ 5 $( the 1eeral
$rae Co##ission( *nite States Cens's 2'rea')

Avertising agencies %e/g/( 22DO -nternational( Ogilv+ 5

Mather( @/ 7alter $ho#pson( Ao'ng 5 R')ica#)

0ositions& vice presient of #arketing research( research

irector( assistant irector of research( pro.ect #anager(
fiel work irector( statistician?ata processing specialist(
senior anal+st( anal+st( .'nior anal+st( an operational
s'pervisor/
1-28
A Sampe of Marketng Research
|obs
1-29
Preparaton for a Career n Mktg.
Research

Take a the marketng courses you can.

Take courses n statstcs and quanttatve methods.

Acqure Internet and computer sks. Knowedge of

programmng anguages s an added asset.

Take courses n psychoogy and consumer behavor.

Acqure ehectve wrtten and verba communcaton

sks.

Thnk creatvey. Creatvty and common sense

command a premum n marketng research.
1-30
Management Informaton Systems vs.
Decson Support Systems

*nstrutured %roblems

*se of Models

*ser Friendl" Interation

Adaptabilit"

!an Improve Deision

Making b" *sing 9:hat if;
Anal"sis
DSS
MIS

Strutured %roblems

*se of Reports

Rigid Struture

Information Displa"ing
Restrited

!an Improve Deision Making

b" !larif"ing Data
1-31
The Dept. Store Pro|ect
The foowng nformaton was socted:
1/ 1a#iliarit+ with the ten epart#ent stores/
2/ 1re:'enc+ with which ho'sehol #e#)ers shoppe at
each of the ten stores/
3/ Relative i#portance attache to each of the eight
factors of the choice criteria/
4/ 4val'ation of the ten stores on each of the eight factors
of the choice criteria/
5/ 0reference ratings for each store/
!/ Rankings of the ten stores %fro# #ost preferre to least
preferre)/
B/ Degree of agree#ent with 21 lifest+le state#ents/
C/ Stanar e#ographic characteristics %age( e'cation(
etc/)
D/ >a#e( aress( an telephone n'#)er/
1-32
Domesti
AA0OR& A#erican Association for 0')lic Opinion Research
%www/aapor/org)
AMA& A#erican Marketing Association %www/a#a/org)
AR1& $he Avertising Research 1o'nation %www/a#ic/co#?arf)
CASRO& $he Co'ncil of A#erican S'rve+ Research OrganiEations
%www/casro/org)
MRA& Marketing Research Association %www/#ra=net/org)
FRCA& F'alitative Research Cons'ltants Association
%www/:rca/org)
R-C& Research -n'str+ Coalition %www/research in'str+/org)
Marketng Research Assocatons Onne
1-33
International
4SOMAR& 4'ropean Societ+ for Opinion an Marketing
Research %www/eso#ar/nl)
MRS& $he Market Research Societ+ %*G)
%www/#arketresearch/org/'k)
MRSA& $he Market Research Societ+ of A'stralia
%www/#rsa/co#/a')
0MRS& $he 0rofessional Marketing Research Societ+ %Canaa)
%www/p#rs=apr#/co#)
Marketng Research Assocatons Onne