Session 1

1. Why Study Marketing Research? Several factors increase the relevance for studying marketing research. They are as follows.
• New challenges were posed by the growth of internet based services and e-commerce.
•Stakeholders now have more information at their disposal and are more resistant to marketing stimuli.
• Competition is growing and coming from unexpected sources.
• There is more government intervention geared toward protecting its various publics through restrictions on marketing tools.
• Marketing managers have more variables to consider in every decision.
• The quality of theories and models in marketing is improving.
• Greater computing power provides the potential to get more data faster, integrate that data using warehousing, understand it using data mining, and analyze it using statistical tools.
• Research methods are gaining wider acceptance in dealing with a wide range of marketing problems.
 Because of greater computing power and speed:
• Data collection cost is reduced.
• Better visualization tools are available.
• Powerful computations can be made very easily.
• More and more integration of data is possible
• Access to the information has become easy.
• Several advanced analytical tools are available for enhanced insights
• Reports can be customized as per the requirement of the client.

2. Marketing Planning Drives Marketing ResearchAn organization’s mission drives its marketing goals, strategies, and tactics and, consequently, its need for marketing decision support systems and marketing intelligence.

3.Information SourcesDecision Support Systems
Numerous elements of data are organized for retrieval and use in marketing decision making. It is stored and retrieved via Intranets and Extranets

Marketing Intelligence Systems
It includes Ongoing information collection. It focusses on events, trends in micro and macro-environments.

Explanation: When elements of data are organized for retrieval, they collectively constitute a marketing decision support system (DSS). This data is often shared over an intranet or an extranet.
An intranet is a private network that is contained within an enterprise and is not available to the public at large. It may consist of many interlinked local area networks. It typically includes connections through one or more computers to the Internet. The main purpose of an intranet is to share company information and computing resources among internal audiences.
An extranet is a private network that uses the Internet protocols and the public telecommunication system to share an organization’s information, data, or operations with external suppliers, vendors, or customers. An extranet can be viewed as the external portion of a company’s intranet.
A marketing intelligence system (MIS) is designed to provide ongoing information about events and trends in the technological, economic, political and legal, demographic, cultural, social, and competitive areas.

4.Sources of Marketing Intelligence
• Sources of government information include speeches by elected officials, recordings of public proceedings, press releases, and agency websites.
• Sources of competitive information include presentations at conferences, literature searches, press releases, syndicated industry studies, web sites, clipping services, and marketing research.
• Sources of economic information include literature searches and government reports.
• Sources of cultural and social information include syndicated studies, public opinion organizations, marketing research, and government reports.
• Sources of technological information include patent filings, web sites, syndicated industry studies, presentations at conferences, literature searches, and clipping services.
• Sources of demographic information include syndicated studies, government reports, and marketing research.

5.Marketing Research Defined….• American Marketing Association define Marketing Research as:
– The systematic gathering, recording, and analyzing of data about problems relating to the marketing of goods and services.

Marketing research is the systematic and objective
 identification,
 collection,
 analysis,
 dissemination, and
 use of information
for the purpose of improving decision making related to the
 identification and
 solution of problems and opportunities in marketing.

6.Hierarchy of Marketing Decision Makers Visionaries (on Top)
 Standardized Decision Makers (in middle)
 Intuitive Decision Makers (at bottom)

 Intuitive Decision Makers:
 Most decisions are based on past experience and instinct
 Decisions supported with secondary data searches.

 Standardized Decision Makers
• Some decisions based on business research
• Firms use tried-and-true methodologies, including other that might be appropriate.
• Limited enterprise-wide data and finding.

 Visionaries
• Every decision guided by business research
• Firms develop proprietary methodologies and are innovative in their combination of methodologies
• Enterprise-wide access to research data and findings.

7. Characteristics of Good Research
A good research should have:
 Its purpose clearly defined
 A detailed research process
 Its design thoroughly planned
 High ethical standards
 Its limitations clearly mentioned
 Adequate analysis and relevant findings
 Unambiguous presentation
 Its conclusions clearly justified
 Credentials.

8.Classification of Marketing Research
Research can be classified into:
a. Problem identification research
b.Problem solving research.

a.Problem Identification ResearchResearch undertaken to help identify problems which are not necessarily apparent on the surface and yet exist or are likely to arise in the future. Examples: market potential, market share, image, market characteristics, sales analysis, forecasting, and trends research.

b.Problem Solving ResearchResearch undertaken to help solve specific marketing problems. Examples: segmentation, product, pricing, promotion, and distribution research.

Problem Solving Research is further classified as:
SEGMENTATION RESEARCH
 Determine the basis of segmentation
 Establish market potential and responsiveness for various segments
 Select target markets
 Create lifestyle profiles: demography, media, and product image characteristics

PRODUCT RESEARCH
 Test concept
 Determine optimal product design
 Package tests
 Product modification
 Brand positioning and repositioning
 Test marketing
 Control score tests

PROMOTIONAL RESEARCH
 Optimal promotional budget
 Sales promotion relationship
 Optimal promotional mix
 Copy decisions
 Media decisions
 Creative advertising testing
 Evaluation of advertising effectiveness
 Claim substantiation

PRICING RESEARCH
 Pricing policies
 Importance of price in brand selection
 Product line pricing
 Price elasticity of demand
 Initiating and responding to price changes

DISTRIBUTION RESEARCH
Determine…
 Types of distribution
 Attitudes of channel members
 Intensity of wholesale & resale coverage
 Channel margins
 Location of retail and wholesale outlets

9.Marketing Research Suppliers & ServicesTwo types of suppliers
a.Internal suppliers
b.External suppliers
i. Full-service suppliers
1.Syndicated services
2.Standardized services
3.Customized services
4.Internet services
ii. Limited-service suppliers
1.Field services
2.Coding and data entry services
3.Analytical services
4.Data analysis services
5.Branded marketing research products