51 terms

Marketing Research

STUDY
PLAY
Advantages of Secondary Data
•Can help to clarify or refine the issue or problem
• Might provide solution to research problem
• Can alert the researcher to other problems
•Provides background information enhancing research credibility
Disadvantages of Secondary Data
•Might be outdated or questionable
•Qualitative nature makes analysis difficult
•Could be misapplied to your situation
• Might be biased - intentionally or unintentionally
• Lack of available data on your topic
Internal Secondary Data
"A collection of related information developed from data within an organization."

Walmart
Internal data - consumers using membership/discount cards tracks what they buy and in what quantity. Often based on sales results.
External Secondary Data
External data - Survey's to see whether or not their customers are satisfied with Walmart.
Or External data being "data warehouses"
Database Marketing
Marketing that relies on the creation of a large computerized file of customers' and potential customers' profiles and purchase patterns to create a target marketing mix.
Define a Focus Group
"A group of eight to 12 participants who are led by a moderator in an in-depth discussion on one particular topic or concept."
Steps of conducting a focus group
1. Define on the key focus group objectives
2. Use secondary research to hone questions
3. Select focus gruop facility and participants
4. Begin recruiting after deciding on participants incentives
5. Select a moderator
6. Develop a moderator guide to chart flow of a focus group
7. Conduct the focus group- generally about two hours
8. Review the videotape, your notes--and analyze the results
9. Pepare a written report
Moderator's role
Interacting among people in a group. The moderator must manages this issue deftly.
Advantages of a Focus Group
-stimulate new ideas, insights
-in-depth discussion on topics, concepts
-allows client to observe & comment onsite
-can be executed quickly
-can enhance other data collection methods
Disadvantages of a focus group
-moderator's style influences the response
-group process itself
-interpretation is subjective
-may mislead managers
-often misused as representative the general population
Why survey research?
-The need to know: Who, Why, How
Survey research error
-random error
-systematic bias: measurement error, sample design error
Random error
Due to chance variation. Chance variation is the difference between the sample value and the true value of the population mean. This error cannot be eliminated, but it can be reduced by increasing the sample size.
Systematic bias
Results from mistakes or problems in the research design or from flaws in the execution of the sample design.
Sample design error
Is a systematic error that results from a problem in the sample design or sampling procedures. Types of errors include: frame errors, population specification errors, and selection errors.
Measurement error
Occurs when there is a variation between the informing being sought and the information actually obtained by the measurement process. These errors include surrogate info error, interviewer error, measurement instrument bias, processing error, nonresponse bias, and response bias.
Types of surveys
-door to door
-mall intercept interviews
-telephone interviews
-self administered questionnaires
-mail surveys
-email-internet
Survey Research on the Internet
1.)Design the questionnaire
2.)Use a web survey software (Survey Monkey, Survey Gizmo) and transfer
3.)Email potential respondents
a.Provide chance to win a prize (sweepstakes) vs. pay all
b.Provide hyperlink to survey
4.)Collect responses thru survey software website
5.)Download response & analyze data
Comercial online panels
oOpen OR closed online panel recruitment
oRespondent cooperation (rewards, prizes)
oControlling panel (quality)
Advantages of internet surveys
oLow costs & no geographic barriers
oCan be executed quickly/ real time results
oPersonalization
oGood for getting fresh ideas/ brainstorming
oGenerally higher response rates
oHighly profitable for research firms
Disadvantages of internet surveys
oInfo security (privacy)
oNot everyone has easy access to the internet
oOften not representative of general population
oAnyone can take survey if not password protected
oCan be hard to track who responded & who didn't
oRepeat responses
oNo clarification of open ended questions
Conditions for using observation research
oNeeded info must be observable OR inferable
oBehavior should be repetitive, frequent, OR predictable
oBehavior must be relatively short in duration
3 types of observation research
oHuman observation: ethnographic research, mystery shoppers, one way mirror
oMachine observation: people meter, behavior scan
oInternet observation: clickstream data
Advantages of observation research
oSee what people actually do... realistic
oFirsthand info is less prone to biases
oObservational data can be executive quickly & accurately
oElectronic collection (ex: scanners) is more efficient than manual counts
Disadvantages of observation research
oCannot measure attitudes, beliefs, or feelings
oOnly repetitive or frequent behavior
oNot always a good representation of the general population
oInterpretation is somewhat subjective depending on observation type
oData analysis is more qualitative
oCan be expensive & time consuming if subjects not readily available
Nominal scale
•Nominal scale: partition data into mutually exclusive & collectively exhaustive categories
oClassification type data
oYes or no
oGender
oRace/ethnicity
oOccupation
oAnalysis:
Cross tabulations, percentages
Sums & frequency counts
Cannot tell relative value of responses
Ordinal Scale
•Ordinal scale: nominal scales + ability to order data
oRanking type data
oRating: best liked, worst liked
oRanking: first, second, third
oAnalysis:
Cross tabulations, frequency counts
Percentages, mode, mean
Can tell the relative order of responses but not the distance between responses
Interval scale
•Interval scale: ordinal scales + equal intervals between points
oComparison type data
oTemperature
oAir pressure
oLevel of knowledge about brands
oAnalysis:
Standard deviation
Mean, median, mode
Sums and frequency counts
Correlation
Can tell the relative value of responses & the distance between responses
Arbitrary zero (Fahrenheit vs. Celsius)
Ratio Variable
•Ratio scale: Interval scales + meaningful zero point
oFlat numeric type data
oAge
oIncome
oNumber of children
oAnalysis:
Standard deviation
Mean, median, mode
Sums and frequency counts
Correlation, regression
Can tell the relative value of responses & can tell the distance between responses
True zero
Accuracy of measurement
•Accuracy of measurement
oReliability: degree to which the measures are free from random error
Does it produce consistent results?
Extent to which the survey responses are internally consistent
oValidity : does it measure what we want to measure?
sample design error
systematic error that results from an error in the sample design or sampling procedures
-includes: frame errors, population specification errors and selection errors
sampling frame
the list of population elements or members from which units to be sampled are selected
frame error
-results when you use an innacurate sampling frame
population specification error
errors that result from incorrectly defining the population or universe from which a sample is chosen
selection error
error that results from incomplete or improper sample selection procedures or not following appropriate procedures
surrogate information error
error that results from a discrepancy between the information needed to solve a problem and that sought by the researcher (failure to properly define a problem)
measurement insturment bias
error that results from the design of the questionaire or measurement insturment
processing error
mistakes when the info is entered into the computer
nonresponse bias
error that results from a systematic difference between those who do and those who do not respond to a measurement insturment
response bias
error that results from the tendency of people to answer a question incorrectly through either deliberate falsificaiton or unconscious misrepresentation
marketing concept
business philosophy based on including 1) consumer orientation 2) goal orientation 3) systems orientation
consumer orientation
identification of and focus on people or firms most likely to buy a product and production f a good r service that will meet their needs most effectively
goal orientation
a focus on the accomplishment of corporate goals; a limit set on consumer orientation
systems orientation
the creation of systems to monitor the external environment and deliver the desired marketing mix to the target market
The main goal of marketing research
Marketing reserach is the function of linking the consumer, customer and public to the marketer through information
Critical functions of marketing research
descriptive (gathering and presenting of statements of facts)
diagnostic (explanation of data or actions)
predictive (specification of how to use descriptive and diagnostic research to predict the results of a planned marketing decision)
Exploratory Studies
Preliminary research conducted to increase understanding of a concept, to clairfy the exact nature of the problem or to identify important variables to be studied
Purpose of Exploratory Research
-Define Terms
-Clarify Problem
-Develop Theories
-Establish Priorities
-Gain General Information
Observational Research
-typically descriptive research that monitors respondents' actions
Survey Research
research in which an interviewer interacts with respondents to obtain facts, opinions and attitudes
Experimental Methods
-research to measure causality in which the researcher changes one or more variables and observes the effects of the changes on another variable