Chapter 5 - Market Research

Question 1

Marketing Information Systems

Answer 1

Procedure developed by a firm to gather, sort, analyze, store, and distribute relevant and timely marketing information to its managers.

Question 2

Intranet

Answer 2

Internal corporate communication network that uses internet tech. to link company departments, employees, and databases.

Question 3

Marketing Intelligence System

Answer 3

Method by which marketers get info. about everyday happenings in the marketing environment.

Question 4

Scenarios

Answer 4

Possible future situations that futurists use to assess the likely impact of alternative marketing strategies.

Question 5

Marketing Research

Answer 5

Process of collecting, analyzing, and interpreting data about customers, competitors, and the business environment in order to improve marketing effectiveness.

Question 6

Syndicated research

Answer 6

Research by firms that collect data on a regular basis and sell the reports to multiple firms.

Question 7

Custom Research

Answer 7

Research conducted for a single firm to provide specific information its managers need.

Question 8

Marketing Decision Support System

Answer 8

Data, analysis software, and interactive software that allow managers to conduct analyses and find the information they need.

Question 9

Data mining

Answer 9

Sophisticated analysis techniques to take advantage of the massive amount of transaction info. now available.

Question 10

Customer acquisition

Answer 10

Demographic and other info. about customers in a database.

Question 11

Customer Retention

Answer 11

Identifying big-spending customers and targeting them for special offers

Question 12

Customer Abandonment

Answer 12

Some customers cost the company too much money, so the firm sends them elsewhere.

Question 13

Market basket analysis

Answer 13

Focused promotional strategies based on its records of which customers have bought certain products.

Question 14

Marketing Research Steps

Answer 14

1. Define the problem
2. Determine the research technique
3. Gather data
4. Ensure the data quality
5. Report the findings
6. Take appropriate action

Question 15

Define the Problem & Determine Technique

Answer 15

Level 1 - Exploratory (don’t know if problem exists)
Level 2 - Descriptive (describe the problem)
Level 3 - Causal (what caused the problem)

Question 16

Qualitative Techniques - E

Answer 16

• Customer Interviews (one on one)
• Focus groups (discussion among small group)
• Case Studies (benchmark)
• Ethnographies (observation of people)
• Projective Studies (used to find underlying feelings)

Question 17

Research Design

Answer 17

Plan that specifies what info. marketers will collect and what type of study they will do.

Question 18

Secondary Data

Answer 18

Data that have been collected for some purpose other than the problem at hand.

Question 19

Primary Data

Answer 19

Data from research conducted to help in making a specific decision.

Question 20

Exploratory Research

Answer 20

Used to generate insights for future, more rigorous studies.

Question 21

Descriptive Research

Answer 21

Probes more systematically into a problem and bases its conclusions on a large number of observations (250).
- More rigorous

Question 22

Quantitative Techniques - D

Answer 22

• Cross-sectional vs. longitudinal studies
• Surveys
• Personal Observation
• Mechanical Instruments (infrared trackers)
  Unobtrusive Measures (don’t know about it)

Question 23

Cross-sectional vs. Longitudinal

Answer 23

CS - Take info at one point in time

L - Choosing group and following the same group over time.

Question 24

Causal Research

Answer 24

Attempts to understand cause and effect.

Question 25

Causal Research Techniques

Answer 25

• Experiments (test variables in controlled area)
• Are there alternatives?
• Field Studies (real world)

Question 26

Hawthorne Experiments

Answer 26

• Mayo
• Employees were more motivated if the conditions were improved and they realized they were being watched
• Both groups improved
• People were being paid attention to and leveled out because of soldiering (work slower when watched)
• CONCLUSION - EES FELT VALUED

Question 27

Telemarketing

Answer 27

Use of phone to sell directly to consumers and business customers.

Question 28

Data Quality

Answer 28

• Validity
• Reliability
• Representativeness

Question 29

Validity

Answer 29

Extent to which research actually measures what it was intended to measure.
- Accuracy

Question 30

Reliability

Answer 30

• Consistency

- The extent to which research measurement techniques are free of errors.

Question 31

Responsiveness

Answer 31

• Extent to which customers in a study are similar to a larger group of interest.
• quality sample

Question 32

Sampling

Answer 32

Process of selecting respondents who statistically represent a larger population of interest.

• Random sampling (best kind - everyone participates, have a frame or list)
• Quota sampling (identify all that should be included)
• Convenience sampling (whoever wants to participate)

Question 33

Issues with sampling

Answer 33

• Size
• Response Rate
• Non-response bias
• Primary vs. Secondary

Question 34

Back-translation

Answer 34

Process of translating material to a foreign language and then back to the original language.

Question 35

Single-source data

Answer 35

Info. integrated from multiple sources to monitor the impact of marketing communications on a particular customer group over time.

Question 36

Cookies

Answer 36

Text files inserted by a web site sponsor into a web surfer’s hard drive that allow the site to track the surfer’s moves.