Chapter 10 Flashcards
(177 cards)
1
Q
What do good products and marketing programs begin with?
A
Good customer information and insights
Companies also need an abundance of information on competitors, resellers, and other actors and marketplace forces.
2
Q
More than just gathering info, marketers must do what with it?
A
Marketers must use the information to gain powerful customer and market insights.
3
Q
Why do marketers need formal studies in addition to general marketing intelligence info about general consumers, competitors, and marketplace happenings?
A
Often need formal studies that provide customer and market insights for specific marketing situations and decisions.
4
Q
What are some examples of companies that use marketing research to guide decisions?
A
Starbucks uses marketing research to understand customer reactions to a new breakfast menu item. Google uses it to assess reactions to website redesigns. Samsung uses research to predict which consumers will buy their next-generation ultrathin televisions.
5
Q
What is marketing research?
A
The systematic design, collection,
analysis, and reporting of data relevant to a specific marketing situation facing an organization
6
Q
How do companies use
marketing research in a wide variety of situations?
A
Ex. It gives marketers insights into customer motivations, purchase behaviour, and satisfaction. It can help them to assess market potential and market share or measure the
effectiveness of pricing, product, distribution, and promotion activities.
7
Q
What kind of department do large companies have for marketing?
A
Have their own research departments that work with marketing managers on marketing research projects.
8
Q
Why do both large and small companies frequently hire outside research specialists?
A
To consult with management on specific marketing problems and to conduct marketing research studies. Sometimes firms simply purchase data collected by outside firms to aid in their decision making
9
Q
How has traditional marketing research changed in recent years?
A
Lots of new digital data-gathering technologies have burst onto the scene, traditional marketing research has undergone a major transformation. Traditional mainstays such as research surveys and focus groups, although still prevalent and powerful, are now giving way to newer, more agile, more immediate, and less costly digital data-gathering methods.
10
Q
What are some new digital data-gathering methods that are replacing traditional marketing research?
A
Ranging from real-time social media, website, and online feedback monitoring to mobile device
tracking—pose a threat to traditional marketing research.
11
Q
How is the market research industry being described now?
A
“The market research industry, as we have known it for decades, is disappear-ing,” proclaims one industry observer. “It is being
absorbed into a rapidly transforming collection of market intelligence subdisciplines.”
12
Q
What is just in time research?
A
Today’s fast and agile decision making often calls for fast and agile marketing information and research—call it just-in-time research
13
Q
How does just in time research work?
A
In such situations, speed often
matters more than research rigour and precision.
14
Q
What is the justification of just in time research?
A
If marketing managers can, at the tap of a button, see the views, clicks, likes, and shares of a new ad campaign, as well as listen to the roar—or silence, depending upon its
success—of social media comments; then why would they be willing to wait four weeks for a [market research study’s] bar chart to tell them that their spontaneous awareness has gone up?”
15
Q
What is traditional research in danger of?
A
Traditional research is in danger of being not only slower but also less insightful than other sources of information. Marketing researchers must adjust to the new pace of
information.
16
Q
Although its role is changing, how is traditional marketing research still widely used and very important.
A
For many marketing decisions, information quality and rigour
are more important than speed, convenience, and lower cost
17
Q
What are the benefits of traditional marketing research?
A
The traditional research
approaches, although often more time-consuming and expensive, can allow for deeper, more focused probing, especially into the whys and wherefores of consumer attitudes and behaviour
18
Q
What are the opportunities the rise of new digital research platforms also presents the marketing research industry with?
A
When combined, the traditional and new digital approaches can greatly enhance the marketer’s ability to gather, analyze, communicate, and gain insights from data about consumers and markets
19
Q
What is the key for marketers in terms of blending approaches?
A
Blend the traditional and new approaches into a unified marketing information system that yields agile but deep and complete marketing
information and insights.
20
Q
What can new digital approaches provide?
A
New digital approaches can provide immediate and affordable access to real-time data on the wants, whens, wheres, and hows of consumer buying activities and responses.
That frees traditional marketing research approaches to dig more deeply and rigorously into the whys.
21
Q
In spite of all the benefits digital approaches can deliver, how should it be viewed and used as?
A
Should be viewed not solely as a substitute for existing methods but as a new approach that can complement and enhance what has come before.
22
Q
What are the benefits of digital data gathering methods?
A
Newer, more agile, more immediate,
and less costly
23
Q
What are the four steps of the marketing research process?
A
- Defining the problem and research objectives
- Developing the research plan for collecting information
- Implementing the research plan- collecting and analyzing the data
- Interpreting and reporting the findings
24
Q
Although the first step of the marketing research process is the most difficult, why is it the most important?
A
It guides the entire research
process. It’s frustrating and costly to
reach the end of an expensive
research project only to learn that
you’ve addressed the wrong problem
25
What is exploratory research?
Marketing research to gather
preliminary information that will
help define problems and suggest
hypotheses
26
What is descriptive research?
Marketing research to better
describe marketing problems,
situations, or markets, such as the
market potential for a product or
the demographics and attitudes of
consumers.
27
What is casual research?
Marketing research to test
hypotheses about cause-and-effect
relationships.
28
Why must marketing managers and researchers work together closely?
To define the problem and agree on research objectives
29
In a marketing manager and researcher relationship, what do each bring to the table?
The manager best understands the decisions for which information is needed, whereas the researcher best understands marketing
research and how to obtain the information.
30
What is the hardest step in the research process?
Defining the problem and research objectives
The manager may know that
something is wrong without knowing the specific causes.
31
What happens after the problem has been defined carefully?
The manager and the researcher
must set the research objectives
32
What are the 3 types of objectives a marketing research project might have?
1. Exploratory research
2. Descriptive research
3. Casual research
33
Give an example of a research problem/hypothesis/question.
Would a 10 percent decrease in tuition at a private college result in an enrolment increase sufficient to offset the reduced tuition? Managers often start with exploratory research and later follow with descriptive or causal research.
34
What guides the entire research process?
The statement of the problem and research objectives guides the entire research process.
35
Why should the manager and researcher put the statement in writing?
To be certain that they agree on the purpose and expected results of the research
36
What must researchers do once they have defined the research problem and objectives?
They must determine the exact information needed, develop a plan for gathering it efficiently, and
present the plan to management.
37
What does the research plan outline?
Outlines sources of existing data
and spells out the specific research approaches, contact methods, sampling plans, and instruments that researchers will use to gather new data.
38
Research objectives must be translated into specific information needs. Give an example.
Suppose that Swiss Chalet wants to know how consumers would react to the addition of vegan “chicken” tenders to its appetizer menu.
The proposed research might
call for the following specific information:
- The demographic, economic and lifestyle characteristics of current Swiss Chalet customers
- The characteristics and usage patterns of the broader population of fast-food and fast-casual diners
- Impact on the Swiss Chalet customer experience
- Swiss Chalet employee reactions to vegan “chicken”
- Forecasts of vegan “chicken” sales and profits
Swiss Chalet’s marketers would need these and many other types of information to decide whether to introduce vegan “chicken” tenders and, if so, the best way to do it.
39
How should research plans be presented?
Research plan should be presented in a written proposal
40
When are written proposals especially important?
When the research project is large and complex or when an outside firm carries it out
41
What should written proposals cover?
Should cover the management problems addressed, the research objectives, the information to be obtained, and how the results will help management’s decision making. The proposal also should include estimated research costs
42
To meet the manager’s information needs, what can the research plan call for?
Gathering secondary data, primary data, or both.
43
What is secondary data?
Information that already exists
somewhere, having been collected
for another purpose.
44
What is primary data?
Information collected for the
specific purpose at hand.
45
What kind of data do researchers usually start gathering with and what's a good starting point?
Usually start by gathering secondary data. The company’s internal data-base provides a good starting point. However, the company can also tap into a wide assortment of external information sources.
46
Companies can buy secondary data from outside suppliers. What's an example?
For example, Nielsen sells shopper insight data from a consumer panel of more than 250,000 households in 25 countries worldwide, with measures of trial and repeat purchasing, brand loyalty, and buyer demographics.
Environics Analytics, one of Canada’s fastest-growing companies in 2018, pro-vides clients with access to 45 databases of over 30 000 variables to help connect with customers
47
What are commercial online databases used for? What are some examples?
Using commercial online databases, marketing researchers can conduct their own searches of secondary data sources. General database services such as ProQuest and LexisNexis put an incredible wealth of information at the fingertips of marketing decision makers.
48
Where can information be found beyond commercial services offering information for a fee?
Almost every industry association, government agency, business publication, and news medium
offers free information to those tenacious enough to find their websites or apps.
49
How are internet search engines used?
Can also be a big help in locating relevant secondary information sources.
50
What are the draw backs of using internet search engines?
Can be very frustrating and inefficient. Ex. a Swiss Chalet marketer Googling “fast-food vegan chicken” would come up with more than 42 million hits.
51
How can online searches be a good starting point to any marketing research project?
Well-structured, well-designed online searches can be a good starting point to any marketing research project
52
What are some advantages of secondary data over primary data?
- Usually be obtained more quickly and at a lower cost than primary data.
- Can sometimes provide data an individual company cannot collect on its own—information that either is not directly available or would be too expensive to collect.
53
What is an example of data that would be too expensive for a company to collect?
Consumer products brand such as Coca-Cola or Tide to conduct a continuing retail store audit to find out about the market shares, prices, and displays of its own and competitor's brand. But those marketers can buy store sales and audit data from IRI, which provides data from more than 100 000 retail stores in markets around the U.S.
54
What are the problems with secondary data?
Researchers can rarely obtain all the
data they need from secondary sources. Ex. Swiss Chalet will not find existing information regarding consumer reactions about vegan chicken tenders in the fast-food setting. Even when data can be found, the information might not be very usable.
55
What criteria must researchers evaluate secondary information carefully for?
- Relevant (fits the research project’s needs)
- Accurate (reliably collected and
reported)
- Current (up to date enough for current decisions)
- Impartial (objectively
collected and reported).
56
Overall what are the main reasons someone will use secondary data?
-Provide a good starting point for research
- Often help to define research
problems and objectives
57
Designing a plan for primary data collection calls for decisions on what 4 things?
- Research approaches
- Contact methods
- Sampling plan
- Research instruments
58
What are the 3 approaches for gathering primary data?
1. Observations
2. Surveys
3. Experiments
59
What is observational research?
Gathering primary data by
observing relevant people, actions,
and situations.
60
What is an example of observational research?
Petro-Canada might evaluate possible new gas station locations by checking traffic patterns, neighbourhood conditions, and the locations of competing Irving Oil, Esso, and other retail chains.
61
Why do researchers often observe consumer behaviour? Give an example
To glean customer insights they
can’t obtain by simply asking customers questions. Ex. many new menu items at pizza giant Domino’s come from its stores, where franchisees observe special
requests from customers and fiddle accordingly to adapt existing offerings.
62
Marketers not only observe what consumers do but also observe______?
What consumers are saying.
63
Why do marketers now routinely listen in on consumer conversations on social media, blogs, and websites
Observing such naturally occurring
feedback can provide inputs that simply can’t be gained through more structured and formal research approaches.
64
What is ethnographic research?
A form of observational research
that involves sending trained
observers to watch and interact
with consumers in their “natural
environments.”
65
What are some observers of ethnographic research?
Might be trained anthropologists and psychologists or company researchers and managers.
66
What is an example of a contact method, sampling unit, and research instruments required for observational research?
Contact method: mail
Sampling plan: sampling unit
Research instruments: questionnaire
67
What is an example of a contact method, sampling unit, and research instruments required for survey research?
Contact method: telephone
Sampling method: sampling size
Research instruments: mechanical instruments
68
What is an example of a contact method, sampling unit, and research instruments required for experimental research?
Contact methods: personal, online
Sampling plan: sampling procedure
Research instruments
69
Give an example of ethnographic research.
Intuit (Tubo Tax, Quickbooks) follow-me-home” program, small, well-trained teams of employees visit customers’ homes and offices to watch customers experience the company’s products in real life—everything from removing the shrink-wrap to applying the software. The teams don’t interview the customers; they simply observe.
Similarly, global branding firm Landor launched Landor Families, an ongoing ethnographic study that has followed 11 French families intensely for the past seven years. Landor researchers visit the families twice a year in their homes, diving deeply
into both their refrigerators and their food-shopping behaviours and opinions.
70
What can today’s big data analytics provide important insights on?
Into the whats, whens, and wheres of consumer buying. The Landor Families program is designed to explore the whys. According to Landor, “There is no better way to understand people than to observe them in real life.”
71
What is a benefit of observational and ethnographic research?
Yields the kinds of details that just
don’t emerge from traditional research questionnaires or focus groups
It provides a window into customers’ unconscious actions and unexpressed needs and feelings
72
What is the difference between the info found in traditional and observational research?
Whereas traditional quantitative research approaches seek to test known hypotheses and obtain
answers to well-defined product or strategy questions, observational research can generate fresh customer and market insights that people are unwilling or unable to
provide
73
What are drawbacks of observational research?
- Some things simply cannot be observed, such as attitudes, motives, or private behaviour
- Long-term or infrequent behaviour is also difficult to observe.
-Observations can be very difficult to interpret.
74
What methods do researchers use based on the limitations of observational data?
Because of these limitations, researchers often use observation along with other data-collection methods
75
What is survey research?
Gathering primary data by asking
people questions about their knowledge, attitudes, preferences,
and buying behaviour.
76
What is the backbone of traditional marketing research?
Survey research is the most widely used method for primary data collection.
77
What is survey research best suited for?
Gathering descriptive information; a company can ask people directly
78
What is the major advantage of survey research?
Its flexibility; it can be used to obtain
many kinds of information in many different situations.
79
How can surveys be conducted?
Surveys addressing almost
any marketing question or decision can be conducted by phone or mail, online, or in person.
80
What problems does survey research present?
- People are unable to answer survey questions, cannot remember or have never thought about what they do and why they do it
- People may be unwilling to respond
to unknown interviewers or about things they consider private.
- May answer survey questions even when they do not know the answer just to appear smarter or more informed.
- May try to help the interviewer by giving pleasing answers.
- Busy people may not take the time
- Might resent the intrusion into their privacy
81
What is experimental research?
Gathering primary data by selecting
matched groups of subjects, giving
them different treatments, controlling related factors, and
checking for differences in group
response
82
Whereas observation is best suited for exploratory research
and surveys for descriptive research, what is experimental research best suited for?
For gathering causal information
83
What is an example of experimental research?
Before adding a new sandwich to its menu, McDonald’s might use
experiments to test the effects on sales of two different prices it might charge. It could introduce the new sandwich at one price in one city and at another price in another city. If the cities are similar and if all other marketing efforts for the sandwich are the same, then differences in sales in the two cities could be related to the price charged
84
What are the benefits of online controlled experiments?
It can be simple and inexpensive to run with immediate and revealing results.
85
What is an example of an online experiment?
To test a possible change in the way its Bing search engine displays ad headlines, Microsoft conducted an online “A/B test” or “split-run test” in which one group of users saw the old headline format (version A) while another group saw the new format (version B). Within only hours, the new headline variation was producing an astonishing 12 percent ad revenue increase without harming the user experience.
86
What are contact methods?
The different ways information can be collected (for surveys)
87
What are the 4 different contact methods?
1. Mail
2. Telephone
3. In-person interviewing
4. Online
88
What are the benefits of mail questionnaires?
- Used to collect large amounts of info
- Low cost per respondent
- Respondents more likely to give honest answer compared to unknown interviewer in person or over the phone
- No interviewer involved to bias answers
89
What are the drawbacks of mail questionnaires?
- Not very flexible (all respondents answer same questions in fixed order)
- Usually take longer to complete and response rates are often low
90
As a result of the drawbacks of mail questionnaires, what are more marketers shifting towards?
More marketers are now shifting to faster, more flexible, and lower-cost email, online, and mobile phone surveys.
91
What are the benefits of telephone interviewing?
- Used to gather info quickly
- Greater flexibility than mail questionnaires
- Interviewers can explain difficult questions
- Depending on the answers they receive, interviewers can skip some questions or probe on others
- Response rates higher than mail questionnaires
- Interviewers can ask to speak to respondents with the desired characteristics or even by name
92
What are the drawbacks of phone interviews?
- The cost per respondent is higher than with mail, online, or mobile questionnaires
- People may not want to discuss personal questions with interviewer
- Introduces interviewer bias (the way they talk, ask questions, and other differences that affect respondents' answers)
- Potential survey respondents increasingly not answering or hanging up
93
Due to the drawbacks of phone interviews, what are the results?
Although telephone interviewing remains a valuable marketing research methodology, its use has declined in recent years
94
What are the two forms of personal interviewing?
1. Individual interviewing
2. Group interviewing
95
What is individual interviewing?
Involves talking with people in their homes or offices, on the street, or in shopping malls.
96
What are the benefits of individual interviewing?
- Can take place anywhere
- Flexible
- Interviewers can guide interviews, explain difficult questions, and explore issues as the situation
requires
- Can show subjects actual products, packages, ads, or videos and observe reactions and behaviour
97
What is a drawback of individual interviewing?
Expensive: individual personal interviews may cost three to four times as much as telephone interviews
98
What is (focus) group interviewing?
Personal interviewing that involves
inviting small groups of people to
gather for a few hours with a
trained interviewer to talk about a
product, service, or organization.
The interviewer “focuses” the
group discussion on important
issues.
99
How are the reactions of participants observed in traditional focus groups?
Researchers and marketers watch the focus group discussions from behind a one-way mirror and video-record sessions for later study
100
How has technology impacted focus group interviewing?
Through videoconferencing and internet technology, marketers in far-off locations can look in and listen, even participate, as a focus group progresses
101
What are the benefits of focus group interviewing?
Focus group interviewing remains one of the major qualitative marketing research tools for gaining fresh insights into consumer thoughts and feelings
- Researchers can not only hear consumer ideas and opinions but observe facial expressions, body movements, group interplay, and conversational flows
102
What are the challenges of focus group interviewing?
- Usually employ small samples to keep time and costs down, and it may be hard to generalize from the results
- Consumers in focus groups are not always open and honest about their real feelings, behaviours, and intentions in front of other people
103
How are the challenges of focus group interviewing overcome?
Many researchers are tinkering with the focus group design
- Some companies changing environments where focus group is conducted to help consumers relax and elicit more authentic responses
- Immersion groups
104
Give an example of a company changing the environment of a focus group study.
Lexus hosts “An Evening with Lexus” dinners in customers’ homes with groups of luxury car buyers to learn up close and personal why they did or did not buy a Lexus.
105
What are immersion groups
Small groups of consumers who interact directly and informally with product designers without a focus group moderator present
106
How does "The Mom Complex" use immersion groups to help brand marketers from companies such as Unilever, Johnson & Johnson,
Kimberly-Clark, Kellogg, Playskool, and Walmart understand and connect with their “Mom customers”?
“Mom Immersion Sessions,” in which brand marketers interact directly with groups of mothers, who
receive US$100 in compensation for a two-hour session. Rather than the usual focus group practice of putting the marketers behind a one-way mirror to observe groups of moms discussing their brands, the participants and marketers sit in the same room.
107
Why are focus groups still the most widely used qualitative research tool?
- Individual and focus group interviews can add a personal touch vs more numbers-oriented, big data-driven research
- Can provide rich insights into the motivations and feelings behind the numbers and analytics.
- Things really come to life when you hear people say them
108
How big of an impact did the internet have on how marketing research is conducted?
Dramatic impact
Increasingly, researchers are collecting primary data through online marketing research
109
What is online marketing research?
Collecting primary data through
internet and mobile surveys,
online focus groups, consumer
tracking, experiments, and online
panels and brand communities.
110
What are the different forms online marketing research can take?
Internet or mobile technology as a survey medium: It can include a questionnaire on its web or social
media sites or use email or mobile devices to invite people to answer questions.
Can create online panels that provide regular feedback or conduct live discussions or online focus groups
111
How can researchers also conduct online experiments?
- Experiment with different prices, headlines, or product features on different web or mobile sites or at different times to learn the relative effectiveness of their offers
- Set up virtual shopping environments and use them to test new products and marketing programs
- Learn about the behaviour of online
customers by following their click streams as they visit the online site and move to other sites
112
How is the internet especially well suited to quantitative research?
Ex. conducting marketing surveys and collecting data. Approximately 90 percent of all North Americans now use the internet, making it a fertile channel for reaching a broad cross-section of consumers
113
Why is the internet quickly replacing mail and the telephone as the
dominant data-collection methodology?
Response rates for traditional survey approaches decline
Costs increase
114
What are the advantages internet-based survey research offers over traditional phone, mail, and personal interviewing approaches?
Most obvious advantages are speed
and low costs
- Can quickly and easily distribute surveys to thousands of respondents simultaneously via email or by posting them on selected online, social media, and mobile sites (think SONA)
- Responses can be almost instantaneous
- Because respondents themselves enter the information, researchers can tabulate, review, and share research data as the information arrives
- Usually costs less than other research methods
- Low cost puts online research well
within the reach of almost any business, large or small
- Tend to be more interactive and engaging, easier to complete, and less intrusive than traditional phone or mail surveys = higher response
- Excellent medium for reaching the hard-to-reach consumer—for example, the often-elusive teen, single, affluent, and well-educated audiences
- Good for reaching people who lead busy lives, from working mothers to on-the-go executives (well represented online, and they can respond in their own space and
at their own convenience)
115
Why is online (survey) research generally cheaper?
- Using internet eliminates most of the postage, phone, interviewer, and data-handling costs associated with the other approaches
- Sample size and location have little impact on costs
- Once questionnaire is set up, there’s little difference in cost between 10 respondents and 10 000 respondents on the internet or between local or globally distant respondents
116
How are domains that used to be for research experts becoming more accessible to public?
Even smaller, less sophisticated researchers can use online survey services such as Google
Surveys (www.google.com/analytics/surveys),
Snap Surveys (www.snapsurveys.com), and
SurveyMonkey (www.surveymonkey.com) to
create, publish, and distribute their own custom online or mobile surveys in minutes
117
Marketing researchers have rushed to use the internet for quantitative surveys and data collection how are they now also adopting qualitative internet-based research approaches?
Online focus groups, blogs, and social networks. The internet can provide a fast, low-cost way to gain qualitative customer insights
118
What is a primary qualitative internet-based research approach?
Online focus groups
119
What are online focus groups?
Gathering a small group of people
online with a trained moderator to
chat about a product, service, or
organization and gain qualitative
insights about consumer attitudes
and behaviour
120
What is an example of an online focus group?
Online focus groups: FocusVision’s
InterVu service lets focus group
participants at remote locations see,
hear, and react to each other in
real-time, face-to-face discussions
121
What are the benefits of an online focus group?
- Groups can include participants at remote locations, anywhere in the world, at any time
- Focus sessions from their homes or offices and see, hear, and react to each other in real-time, face-to-face discussions
- Can capture thoughts and emotions through verbal and nonverbal responses, zeroing in on facial expressions and body language
- Can be conducted in any language and viewed with simultaneous translation
- Work well for bringing together people from different parts of the country or world at low cost
- Can view the sessions in real time from just about anywhere, eliminating travel, lodging, and facility costs
- Although online focus groups require some advance scheduling, results are almost immediate
122
What are the drawbacks of quantitative and qualitative internet-based research?
- Controlling who is in the online sample
- Without seeing respondents, it’s difficult to know who they really are
123
How are sample context problems being overcome with online based research?
- Many online research firms
use opt-in communities and respondent panels
- Alternatively, many companies have now developed their own “insight communities” from which they obtain customer feed-back and insights
124
What is an example of a company who has developed their own insight community?
ESPN fans who provide ongoing feed-back across a wide range of topics—everything from marketing and advertising campaigns to program content
125
How are today’s marketing researchers going even further—well beyond online surveys, focus
groups, and online communities?
Increasingly, they are listening to and watching consumers by actively mining the rich veins of unsolicited, unstructured, “bottom-up”
customer information already coursing around the internet
126
What is the difference between traditional marketing research and online listening?
Traditional marketing research provides more logical consumer responses to structured and intrusive
research questions, online listening provides the passion and spontaneity of unsolicited, real-time consumer opinions
127
What are different ways consumers are being tracked online?
Might be as simple as scanning customer reviews and comments on the company’s brand site or on shopping sites such as Amazon.ca or
BestBuy.ca. Or it might mean using sophisticated online-analysis tools to deeply analyze the mountains of consumer brand-related comments and messages found in blogs or on social media sites
128
How can listening to and engaging customers online benefit a brand?
It provides valuable insights into consumer opinions, fosters positive brand experiences, and strengthens customer relationships.
129
How are many companies now excelling at listening online and responding quickly and appropriately?
More and more companies are setting up social media command centres with which they scour the digital environment and analyze brand-related comments and conversations to gain marketing insights
130
What kind of information about consumer activity online is "pure gold" to marketers?
- What searches they make
- The online and mobile sites they visit
- How they shop, and
- What they buy
Today’s marketers are busy mining
that gold
131
What is behavioural targeting?
Using online consumer tracking
data and analytics to target
advertisements and marketing
offers to specific consumers
132
What is social targeting?
Mining individual online social networking activity for the purpose of target ads and marketing efforts
133
What can help marketers to harness the massive amounts of consumer information swirling around the internet?
Online listening, behavioural targeting, and social targeting
134
Why do many critics worry about consumer privacy as as marketers get more adept at trolling social media, shopping sites, and other internet and mobile domains?
At what point does sophisticated online research cross the line into consumer stalking? Although behavioural and social targeting can benefit consumers with more relevant ads and products, if overdone and done badly, it can also strike customers as more than just a little creepy
135
What is the "Do Not Track" system proposed by the FTC (U.S. Federal Trade Commission)?
It is an initiative similar to the "Do Not Call" registry, allowing individuals to opt out of having their online activities monitored.
136
How has progress on the "Do Not Track" system been described?
Progress has been mixed and slow, with no comprehensive implementation yet.
137
How have major internet browsers and social media platforms responded to privacy concerns?
They have added extended privacy features to address user concerns about online monitoring.
138
How do marketing researchers usually draw conclusions about large
groups of consumers?
By studying a small sample of the total consumer population
139
What is a sample?
A segment of the population
selected for marketing research to
represent the population as a
whole
140
Ideally why should samples be representative?
So that the researcher can make accurate estimates of the thoughts and behaviours of the larger
population.
141
Designing the sample requires what 3 decisions?
1. Who is to be studied (what sampling unit)?
2. How many people should be included (what sample size)?
3. How should the people in the sample be chosen (what sampling procedure)?
142
How is sampling unit decided?
- Not always obvious
Ex. tp learn about the decision-making process for a family automobile purchase, should the
subject be the husband, the wife, other family members, dealership salespeople, or all of these?
143
How is sample size decided?
Large samples give more reliable results than small samples. However, larger samples usually cost more, and it is not necessary to sample the entire target market or even a large
portion to get reliable results.
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How is sampling procedure decided?
Probability samples: Each population member has a known chance of being included in the sample, and researchers can calculate confidence limits for sampling error
Non- probability samples: When probability sampling costs too much or takes too much time, marketing researchers often take non-probability samples even though their sampling error cannot be measured
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What are the 3 different types of probability sampling?
1. Simple random sample
2. Stratified random sample
3. Cluster (area) sample
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What are the 3 different types of non-probability sampling?
1. Convenience sample
2. Judgment sample
3. Quota sample
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What is simple random sample?
Every member of the population has a known and equal chance of
selection
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What is stratified random sample?
The population is divided into mutually exclusive groups (such as age groups), and random samples are drawn from each group.
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What is convenience sampling?
The researcher selects the population members from whom it is easiest to
obtain information.
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What is judgment sampling?
The researcher uses his or her judgment to select population members who are good prospects for accurate information
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What is quota sampling?
The researcher finds and interviews a prescribed number of people in each
of several categories.
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When are open-ended questions especially useful?
In exploratory research, when the
the researcher is trying to find out what people think but is not measuring how many people think in a certain way.
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When are close-ended questions especially useful?
Provide answers that are easier to interpret and tabulate
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How should researchers use care in the wording and ordering of questions?
- Questions should be arranged in a
logical order
- First question should create interest if possible
- Difficult or personal questions should be asked last so that respondents do not become defensive
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How do researchers use mechanical instruments to monitor consumer behaviour?
Nielsen Media Research attaches people meters to television sets in selected homes to record who watches which programs. Retailers use checkout scanners to record shoppers’ purchases. Other marketers use mobile phone GPS technologies to track consumer movements in and near their
stores
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What has the rise of big data and IoT (Internet of Things) led to in today's world?
Produced a flood of information
from internet-connected devices
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How many IoT-connected devices are there worldwide, excluding computers and phones?
There are more than 50 billion IoT-connected devices worldwide.
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What are examples of IoT-connected devices?
Examples include smart TVs, smart home devices, digital cameras, in-car navigation systems, and robotic vacuum cleaners.
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What potential do IoT-connected devices offer for marketers?
They provide significant opportunities to gather data on consumer movements, actions, and activities.
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What is neuromarketing?
It involves using EEG and MRI technologies to track brain electrical activity to understand how consumers feel and respond.
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What biometric measures are often combined with neuromarketing?
Measures include heart rates, respiration rates, sweat levels, and facial and eye movements.
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How can neuromarketing help companies?
Provide companies with insights into what turns consumers on and off regarding their brands and marketing
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What is an example of neuromarketing being used effectively?
Neuromarketing helped improve
the effectiveness of ads for the Shelter Pet Project, increasing viewer
attention, emotional engagement, and memory recall and more than
doubling traffic to the organization’s
website.
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What is a challenge of neuromarketing?
Although neuromarketing techniques can measure consumer involvement and emotional responses second by second, such brain responses can be difficult to interpret.
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How do researchers approach using neuromarketing?
Usually used in combination with other research approaches to gain a more complete picture of what goes on inside consumers’ heads.
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What happens when researches put the marketing plan into action?
Involves collect-ing, processing, and analyzing the information
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Who can data collection be carried out by?
Carried out by the company’s marketing research staff or outside firms
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What should researchers monitor during the implementation of the research plan?
They should ensure the plan is implemented correctly and guard against issues with data collection techniques, technologies, data quality, and timeliness.
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Why must researchers also process and analyze the collected data?
To isolate important information and insights. They need to check data for accuracy and completeness and code them for analysis.
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What happens after the researchers process and analyze the collected data?
Researchers then tabulate the results and compute statistical measures
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What is the next step after collecting and analyzing data in marketing research?
The researcher interprets the findings, draws conclusions, and reports them to management.
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How should researchers present their findings to management?
They should avoid overwhelming managers with numbers and complex statistical techniques, focusing instead on important findings and useful insights.
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Who should interpret marketing research findings?
Interpretation should involve both the researcher and the marketing manager, as both bring valuable perspectives to the process.
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Why can't interpretation be left solely to the researcher?
While researchers are experts in research design and statistics, the marketing manager has a deeper understanding of the problem and the decisions that need to be made.
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What is a potential problem if managers blindly accept interpretations from researchers?
The research may be misunderstood or misused if the manager accepts faulty interpretations without questioning them.
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What bias might managers bring to interpreting research findings?
Managers may tend to accept results that align with their expectations and reject findings that challenge what they hoped or expected.
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How can researchers and managers ensure accurate interpretation of research findings?
Managers and researchers must work together closely when interpreting research results and both must share responsibility for the research process and resulting decisions
