Learning objective for Unit 7

Question 1

Explain the purpose of market research.

Answer 1

Market research’s purpose is to identify and define both marketing problems and opportunities and to generate and improve marketing actions. Market research seeks to reduce risks and uncertainties to improve decisions made by marketing managers.

Question 2

Describe data types and its uses.

Answer 2

SECONDARY DATA:
Secondary data refers to data, which has been collected by a third party, other than the user. It is information that already exists, and has been collected for another purpose. Secondary data can come from internal and external sources. Sources of secondary data include:

1. information collected by government departments
2. company past financial and other records
3. trade journals
4. existing data on the internet
5. data that was initially collected for other research purposes

PRIMARY DATA:
Primary data is data that is collected by the researcher using methods like observations, surveys, interviews, or experiments. Primary data is usually costly and done only after extensive secondary research. It consists of information collected for the specific purpose on hand. Data collected (from primary and secondary sources can come in the form of either qualitative or quantitative data.

QUALITATIVE DATA RESEARCH:
Qualitative Research is primarily exploratory research. It is used to gain insights into underlying reasons, opinions, and motivations of the customer. It provides an understanding of a problem or helps to develop ideas for the researcher to hypothesise for future potential quantitative research. It is used to uncover trends in thought and opinions, and dive deeper into the problem. Qualitative data collection methods vary using unstructured or semi-structured techniques. Methods include focus groups, individual interviews, and participation/observations. The sample size is typically small, and respondents are selected to fulfil a given quota decided by the researcher.

QUANTITATIVE DATA RESEARCH:
Quantitative research is a systematic empirical investigation of observable phenomen a via statistical, mathematical, or computational techniques. It is used to quantify the problem by way of generating numerical data and transform it into usable statistics. It can be used to quantify attitudes, opinions, behaviours, and other defined variables determined by the researcher to generalise results from a larger sample population. It uses measurable data to formulate facts and uncover patterns in research. Quantitative data collection methods are much more structured than qualitative data collection methods.

Quantitative data collection methods include:
a) online surveys
b) paper surveys
c) mobile surveys
d) kiosk surveys
e) face-to-face interviews
f) telephone interviews
g) longitudinal studies
h) website interceptors
i) online polls
j) systematic observations.

Question 3

Describe primary data collection methods.

Answer 3

Two commonly used primary data collection methods are:

1. Survey/Questionnaire
    Responses can be analysed with quantitative methods by assigning numerical values to Likert-type scales.
    Results are generally easier(than qualitative techniques) to analyse.
    Pre-test / Post-test can be compared and analysed. Common types of survey methodology used presently are online questionnaires found on apps such as Google Forms, SurveyMonkey, Surveyplanet and Polldaddy.
2. Focus Groups:
    A facilitated group interview with individuals that have something in common.
    Gathers information about combined perspectives and opinions.
    Responses are often coded into categories and analysed thematically.

For example, inviting a group of teenagers to an informal discussion about sneaker advertising and then they are shown advertisements. The teenagers are then asked a series of questions to gauge their likes and dislikes. The data collected is used to make better future advertising targeted at these teenagers or to gauge the effectiveness of an on-going communication campaign.

Question 4

Describe the steps required to collate data and form trends.

Answer 4

Step 1: Define the Problem and Research

Objectives Marketing managers and researchers must work closely together to define theproblem and agree on the research objectives.

Step 2: Develop the Research Plan

The research plan determines the exact information needed, develops a plan for gathering data efficiently and presents the plan and proposed budget in a written proposal to management for approval.

Step 3: Implement the Research Plan

This stage involves collecting, processing, and analysing the information.

Step 4: Interpret and Report Findings

This stage requires the researcher and the managers to discuss and interpret the findings, draw conclusions and report these findings and resulting recommendations to the management. The managers will also identify marketing actions and implementation plans as part of the recommendations.

Question 5

Explain the key terms used in data analytics.

Answer 5

• Data Analysis
  Refers to the process of examining, transforming and arranging a given data set in specific ways in order to study its individual parts and extract useful information.
• Data Analytics
  Encompasses the complete management of data.
• Market Research
  Market research-based data is more targeted to answer specific market-related question(s).
  Market research-based data that is more question-specific, and can also include qualitative data, and can answer “why” it happened.
• Big Data
  A term used to refer to the study and applications of very big and complex data sets that cannot be dealt with by traditional data-processing application software adequately.
• Data Warehouses (DW/DWH/EDW)
  A data warehouse (DW or DWH), also known as an enterprise data warehouse (EDW), is a system used for reporting and data analysis, and is a core component of business intelligence. DWs are central repositories of integrated data from one or more disparate sources. They store current and historical data in one single place that are used for creating analytical reports for workers throughout the enterprise.
• Data Mining
  Data mining is the process of discovering patterns in large datasets involving methods at the intersection of machine learning, statistics, and database systems.
  Data mining’s overall goal is to extract information using intelligent methods from a data set and transform the information into a comprehensible structure for further use.
• Text Data Mining
  Also known as text mining or text analytics, text data mining involves combing through a text document or resource to get valuable structured information. Sophisticated analytical tools are used to process text to glean specific keywords or key data points from what is considered relatively raw or unstructured formats.
• Predictive Modelling
  A process using data mining and probability to forecast outcomes. Each model is made up of some predictors, which are variables that are likely to influence future results. Once data has been collected for relevant predictors, a statistical model is formulated.
• Business Intelligence
  It is a technology-driven process for analysing data and presenting actionable information to help decision-makers in a company or organisation to make informed business decisions

Question 6

Explain the key benefits of data analytics.

Answer 6

• Cost Savings
  Instead of relying on usually incomplete data or small samples sizes that needed to be extrapolated to regional and international markets or target audiences, data analytics via big data enabled business and organisations to save costs.
• Time Reduction
  High speed data transformation tools like SAS Hadoop, Tableau, Power BI and Qlik assisted businesses and organisations analyse data quickly and helps them make decisions based on the learnings timely and decisively.
• Allow Timely New Product Development
  By knowing the trends of customer needs and satisfaction through analytics, firms can create new products and services according to the needs and wants of the target audience.
• Understand Market Conditions
  Organisations and business can analyse big data to gain a better understanding of past and present market conditions.
• Control Online Reputation
  Big data tools can do sentiment analysis providing companies feedback about their reputation, products and services. It assist companies to monitor their brand health and make adjustments to improve their online reputation.

Question 7

Outline the software tools commonly used to present data, trends and implications.

Answer 7

• Google Analytics
• Power BI by Microsoft
• Qlikview and Qliksense
• Tableau
• Sisense
• Datawrapper
• Highcharts
• SAS Hadoop

Question 8

Describe the use of data analytics (e.g. Google Analytics, etc.) in digital marketing campaign tracking.

Answer 8

Google Analytics is one of the most popular data analytics tools used worldwide today, as firstly, it is free, easy to use by beginners, and anyone with a Google account has access to its analytics capabilities.

Question 9

Explain considerations when using web analytics.

Answer 9

• Keyword insights
• Customer insights
• Social insights
• Page quality
• Trends and conclusions