Chapter 3 & Chapter 16 - Done Flashcards
What is market research?
Is the process that “links the customer, consumer, clients, partners and public to the marketer through information”
—> This information is used to identify and define marketing opportunities and problems; generate, refine and evaluate marketing actions: monitor marketing performance and improve the understanding of the marketing as a process
What is a marketing information system?
It is the structure put in place to manage information gathered during the usual operations of the organisation and they play a vital role in connecting customers with the marketers
What is the market research process?
- Define the research problem
- Design the research methodology
- Collect the data with accordance with the research design
- Analyse the data and draw conclusions
- Present the results and make recommendations
When is market research appropriate?
- Relevance: Research must be able to address the problem at hand
- Timing: It is only useful if the information it generates can be analysed ahead of the time at which the marketing decision needs to be made
- Availability of resources: Depending on the type of information needed, market research processes can consume considerable time and money
- Need for new information: Market research should not be conducted if the information needed is already available
- Cost benefit analysis: As with many business decisions, costs should be assessed against the benefits
What are some of the ethical regulations used in marketing research?
- The market research industry attempts to regulate itself through the Australian Market and Social Research Society
- The AMSRS has a detailed code of practice in place to govern the activities of market researchers
What is the purpose of defining a market research problem?
- Marketers need all the information they can get in order to learn about the market and then use this information to improve market performance
- They also use this information to identify and define marketing performance and improve their understanding of marketing as a process
What is included in a market research brief?
- Executive summary: Provides an overview of the market research brief. Outlines research requirements and includes sufficient information to enable the reader * Introduction: Explains why the research needs to be conducted and who is proposing the research
- Background: The background details the marketing problem currently faced and gives all the facts and references related research projects that are known to the organisation
- Problem Definition: Effective briefs detail the question that is to be addressed, including any objectives that have been set for the market research project. Information in the research is used to design the research project.
- Time and budget: Section on time and budget details the amount of money the marketer is able to spend on the market research project and when the results are needed. For complex market research projects, various milestones may be specified
- Reporting schedule: Specifies the precise dates on which preliminary, interim and final reports are required
- Appendices: May be included to provide more background information to further assist in the design stage for the market research project
What are the different types of research?
- Exploratory research: It is research intended to gather more information about a loosely defined problem
- Descriptive research: It is used to solve a particular and well defined problem by clarifying the characteristics of certain phenomena
- Causal research: Assumes that a particular variable causes a specific outcome and then, by holding everything else constant, tests whether the variable does indeed affect that outcome
What are the types of data?
Primary data - that which is collected by the organisation as part of the current market research project
Secondary data - that which has already been collected at some point in the past by another organisation, the same organisation or another body
What are the different types of research methods?
Quantitative research - focuses on collecting data that can be represented numerically and analyzed statistically (surveys, some interviews etc)
Qualitative research - usually used for descriptive or causal research (depth interviews, focus groups etc)
What is sampling?
The process of selecting individuals within the larger population to study and this group is known as the sample
What are the different methods of sampling?
- Random sampling - Each member of the population has an equal chance of being selected
- Stratified sampling - Population is divided into different groups based on age, ethnicity etc and then individuals are randomly chosen from these groups
- Quota - Divides the population into different groups and then arbitrarily selects individuals from each group
- Convenience - Individuals are chosen based on convenience
What are the steps after the collection of the data?
- Once the data has been managefully collected, it comes to
- Data analysis
This can either be quantitative analysis in the form of graphs and charts
This can also be qualitative analysis in the form of interview scripts, video recordings etc - Drawing conclusions
Conclusions must be drawn and recommendations must be made - Reporting the findings
In practice this usually involves writing a report or conveying the information to the user in some meaningful and concise manner - Responding to the research problem
What is data mining?
Practices that easily help the marketing team obtain and cleanse the data, analyze the data, and present the data
What does data?
It is a collection of neutral facts
What is analytics?
Analytics is the organisation of these facts into meaningful information
What are the different structures of data?
Dark data - will never be touched
Structured data - has some structure to the way it is presented
Unstructured data - has little to no structure to the way it is presented
What is a CRM?
A customer relationship module is a form of technology that companies use to manage and analyse customer interactions and data throughout a customer’s life cycle
What is the advantage of a CRM?
There is then better community engagement and therefore, there can be an extension of the internal sales team
What is the Bass model?
Bass model of diffusion can be reached by using non-linear or linear regression with data already collected by the company internally
What do data driven decisions allow organisations to do?
- It is the empowerment that comes with transformative knowledge of customer, guest, product, patient or fan information, as well as ongoing access to relevant, real time data in an easy to understand format
- Ultimately, this allows businesses to make the educated, actionable and profitable decisions that take them to a new level
Sometimes over-reliance on data driven results in modelling customer behavior can also be an issue, as there may be statistical reasons for people’s behavior outside of the available data
Ok
What are the different V’s in collecting data?
- Volume: A lot of data
- Velocity: Occurs where the data is time-sensitive and needs to be processed and stored quickly
- Variety: Covers the various forms that data can take
- Validity: The interpreted data needs to have a sound basis in logic or fact
- Veracity: This is the accuracy of the data
- Value: The importance, worth or usefulness of the data to those consuming it
- Visualization: Presenting the data in a manner that is in a state of being able to be seen
What is the Internet of Things?
Used to describe the fact that almost all products and services collect data as part of their everyday operation
* Basically, it involves connecting all items to the internet and therefore being able to be remotely controlled and monitored by the user
What is scanner data?
Detailed data on sales of consumer goods (Through scanning barcodes)
What is web data?
The easiest way to get data from a data is to scrape the information from the website
What is mobile data?
Can be used to see where people are coming from and where they are going
What is social media data?
Social media data is the information collected from social networks that show how users share, view or engage with your content or profiles
What is an advantage of social media data?
The ability to find influencers and content that is performing well under different keywords and phrases to see what terms and memes are trending
What are some of the issues in data?
- Interpreting the results and metrics can be problematic, either due to the method of analysis or due to the underlying data itself
- The presence of spurious correlation, which is where the variables that have nothing to do with each other, appear to be related
- Messy data
An analyst must remember that causation does NOT mean correlation
Ok
What is data preparation/data wrangling?
Before data can be used, it has to be prepared to be analyzed
What are some computing resources?
Hard resources and data governance
What can be data analytics be broken down into in marketing?
Descriptive Analytics
Predictive Analytics
Prescriptive Analytics
What is Descriptive Analytics?
- Descriptive analytics is the simplest type, and is typically used to explain what has happened
- Looks at past data and seeks to understand the issues by analysing historical data to look for the reasons behind past marketing successes or failures (patterns)
What is Predictive Analytics?
Predictive analytics forecasts what might happen in the future
* Combines historical data with analytics algorithms to determine the probable future outcome of a marketing strategy
What is Prescriptive Analytics?
Tells you what action needs to be taken if predictive analytics does eventuate
When does the best use of data occur?
Best use of data occurs when the customer gets exactly the product that they want
Data analytics is not useful unless one is able to turn insights into marketing actions; data models must be deployable
OK
What are some issues with obtaining customer data for analytics?
Although there are many sources for marketers, consumers are becoming more hesitant to share their data with a company
What are examples of different types of analyses that may be used?
Predictive modelling, clustering, association rules and visual data analytics
What is a popular method for implementing an analytics project?
A popular method for implementing an analytics project is still the Cross Industry Process for data mining (CRISP DM) format that was conceived more than 18 years ago
What are some methods for marketing analytics?
Customer acquisition - Using analytics, marketers can accurately determine which customers are worth targeting and which are of lesser value to the organisation
Segmentation - When performing segmentation, there are drawbacks of using and not using primary/secondary data
Churn - Customer churn is when a customer stops using a product
Customer satisfaction - Marketing term used to measure how products or services supplied by a company meet or surpass a customer’s expectations
Recommender and market basket analysis
A/B Testing
Internal marketing metrics
What is the long tail distribution?
It means that products only catered to a small or niche market were not really discoverable
What is Recommender and market basket analysis?
- Products are sometimes offered based on a recommender system that uses the characteristics of the user, along with the data of the past purchases and data from others who have bought a similar product
- Based on the available data, if a person picks certain things, then they may be recommended other similar things as well
What is A/B Testing?
This type of testing changes a single variable among many others, while keeping the rest constant and therefore seeing what the difference in the reaction of consumers is (for example clicks on a website) in order to determine which one is better/more popular
What is Internal marketing metrics?
Internal metrics of success measures how internal staff are performing and provide the organisation with insights into effectively managing employees
What is machine learning?
Involves the use of algorithms which can extract information automatically
It is all about predictions, supervised learning, and unsupervised learning, while statistics is all about sample, population and hypothesis
What is over-fitting?
Occurs when behavior is attempted to be modelled based on previous activities when the model is too complex
What is the curse of dimensionality?
Where the amount of dimensions required increases by a large amount as the data increases
What are the benefits of data visiualisation?
- Visualisation of the data makes life easier for people
- There are many different softwares that people use to visualise their data
- Good visualisation helps notice trends and therefore identify opportunities
What is data mining?
Involves looking for patterns in data when these patterns may not have been known
What is text analytics?
- Facts: objective expressions about things
- Opinions: subjective expressions about things
- Sentiment analysis is the computational study of opinions, sentiments and emotions expressed in text
What are some issues in analytics?
- There may be too much over-reliance on data and sometimes there may not enough trained data analysts
- Another issue is that people fear that their data is being misused
What are some Legal and ethical issues in data analytics?
- There can be a lot of data but it may not be ethical to use all the data
- Data snooping
- —-Target mailing pregnant women with the father finding out is one example of legal and ethical issues that may be present
What are some good Analytics skills for decision makers?
For quantitative marketers, the best skill to have is to be able to understand and interpret data as well as understanding marketing
What is the future of data analytics?
- According to Ankit Jain, the future of analytics is delivering the right data to the right person at the right time
- Other believe it is the deployment of an application program interface in the cloud and using open-source software
It is important to balance the acquisition of real time data and the amount of data to make an accurate decision
Ok
