Exam 2 Flashcards
Exploratory research
secondary research, focus group
Descriptive research
Focus on “what” not “why”
- large samples
- probability sampling
- closed-ended questions
-surveys
Performance Monitoring
-Tracks a company’s/ brand performance over times
- Market share changes, preference changes, price levels, competitive activity,
tracking (panels), CSS
- panels that are compensated to avoid respondents losing interests
Casual Research
Cause and effect relationship
(increase advertising= increased sales)
The marketing research process
1.) Identify and formulate the problem/ opportunity
2.) Plan the research design and gather secondary data
3.) Specify the sampling procedures
4.) Collect primary data
5.) Analyze the data
6.) Prepare and present the report
7.) Follow up
1.) Identify and Formulate the Research Problem (also called Statement of
Information Needs)
1.) Identify and Formulate the Research Problem (also called Statement of
Information Needs)
2.) Secondary/ Primary Data
1.) Secondary Data - Data that is already published, although may not answer all questions so primary data may be necessary
2.) Primary Data- consider cost
-personal( indept interviews, focus groups, mall intercepts..)
- Mail, Telephone, Observational ( Mystery Shopper)
- Internet or web-based surveys
Questionnaire Design: Open and closed-ended surveys.
3.) Sampling Procedures
- Nonprobability (Nonrandom) Samples:
- Convenience: No pattern, easy to reach individuals.
- Judgment: Based on researcher’s knowledge.
- Quota: Nonrandom selection within subgroups.
- Snowball: Member referral.
- Probability (Random) Samples:
- Simple: Equal chance for every individual.
- Stratified: Subgroups based on characteristics.
- Cluster: Random clusters selected, all within chosen clusters included.
- Systematic: Regular intervals after random starting point.
- Errors in Sampling:
- Frame: Inaccurate sampling frame.
- Non-Response: Lack of participant response.
- Random Errors: Chance variations, reduced by larger samples.
4.) Collecting Data
Can often be contracted to a field service firm
Product
A tangible offering or satisfaction of need ( most important of the four P’s of the marketing mix
Types of consumer products: Convenience
Unplanned, impulse (distribution is key)
Types of Consumer Products: Shopping
infrequent, expensive ( comparison shop)
Types of Consumer Products: Specialty
Luxury (exclusive distribution, status-conscious, brand importance)
Types of Consumer Products: Unsought
Burial plots, insurance ( aggressive selling)
Advertising economies
Several products under one advertising umbrella
Package uniformity
A common, recognizable look
Standardized components
reduces manufacturing and inventory costs
Efficient sales and distribution
Distributors and retailers more inclined to stock a company’s products if it offers a full line
Equivalent Quality
perceived consistency in quality
Product Line
group of closely related items
- Increase depth to attract buyers with different preferences, economies of scale
-Increase width to spread risk across many product lines and leverage brand equity.
Product line: Extension
add additional products to compete
Product line: Contraction
Concentrate on fewer products to compete
Product line: Modification
Change product’s charactersitics- Price, function, style
Product Line: Planned obsolescence
Modifying products so that those that have been sold become obsolete before they actually need replacement
Product Line: Repositioning
Changing consumers’ perceptions of brand
Branding (and Trademarks)
Brand names, logos, and taglines
Brand Equity
Value of a brand
Brand Loyalty
Preference for one brand over others
Co-branding
Two or more brand names of a product
Global branding
one or many names, color, cultural issues
New product Strategy
A plan that links the new-product development process with the objectives of the marketing department, the business unit and the corporations
Idea Generation
-Customers
-Employees
-Distributors
-Competitors
-Research and development
-Consultants
-other experts
Screening-
The first filter in the product development process which eliminates ideas that are inconsistent with the organization’s new-product strategy or are obviously inappropriate
Concept test:
A test to evaluate a new-product idea, usually before any prototype has been created
Business Analysis
The second stage of the screening process, where preliminary figures for demand, cost, sales, and profitability are calculated
Development
The stage in the product development process in which a prototype is developed and a marketing strategy is outlined
- Can last a long time and be very expensive
Simultaneous product development
A team-oriented approach to new-product development
Test Marketing
The limited introduction of a product and a marketing program to determine the reactions of potential customers in a market situation
Commercialization
The decision to market a product
- Ordering production materials and equipment
-Starting production
-Building inventories
-Shipping the product to field distribution points
-Training the sales force
- Introducing the new product to the trade and consumers
Why do some products succeed and others fail?
-They don’t offer any discernible benefit as compared to existing products.
-There is a poor match between product features and customer desires.
-Market size was smaller than estimated
-the product was incorrectly targeted, positioned, distributed, or promoted.
- The product was inferior
