Market Research

Question 1

What is the Target Market?

Answer 1

The target market is who the product / service is aimed at

Question 2

How does Target Market help business segmentation ?

Answer 2

It helps to group the information in one e.g. people of one age into one and etc.

Question 3

What is Market Research?

Answer 3

Its how a business collects info on weather they product/service is bought or not

Question 4

How are the 4P’s involved in marketing ?

Answer 4

The 4P’s help a business to choose their marketing strategy.

Question 5

Why is Market Research important ?

Answer 5

Tells a business weather there is demand for their product and avoids unnecessary investment.

Question 6

What are the 2 methods of research ?

Answer 6

• Primary research
• Secondary research

Question 7

What is Primary research ?

Answer 7

Collecting information that is new

Question 8

What is Primary research know as ?

Answer 8

‘field’ research

Question 9

What is Secondary research ?

Answer 9

looking at information collected by another organisation

Question 10

What is secondary research known as ?

Answer 10

‘Desk’ research

Question 11

Which methods are used for primary research?

Answer 11

• Questionnaires
• Interviews
• Focus group
• Trials

Question 12

What are the advantages of using questionnaires ?

Answer 12

• cheaper than interviews
• can easily target particular audience

Question 13

What are the disadvantages of questionnaires?

Answer 13

• Difficult to predict how many people
  completed
• people filling the form may not understand the questions being asked

Question 14

What are the advantages of Interviews ?

Answer 14

• questions can be explained if there was a
  misunderstanding
• easy to target customers

Question 15

What are the disadvantages of Interviews ?

Answer 15

• expensive because interview is paid
• Not everyone like interviews

Question 16

What are the advantages of Trials ?

Answer 16

• a good way to see if the product is what
  people want
• saves money as they are trying it out and
  not producing it straight away which could
  be more costly
• reduces risks of producing large quantities

Question 17

What are the disadvantages of Trials ?

Answer 17

Costly to set up since the area chosen should represent the total target market

Question 18

What are the advantages of Focus groups ?

Answer 18

• The data from the focus group is usually
  accurate since the people are representing
  the target market

Question 19

What are the disadvantages of Focus groups ?

Answer 19

• it will only be a small group
• it is usually costly to carry out

Question 20

What is focus group ?

Answer 20

They are a group representing the target market that test out the product and give opinion on it or given information on product and asked questions about it.

Question 21

What are the secondary methods of research ?

Answer 21

• Census data
• data from newspaper and magazines
• Data from websites
• Internal data

Question 22

What is a UK Census data?

Answer 22

A record of everyone in the UK that questions the number of people in the family, income and etc. It is done every 10 year.

Question 23

What is Internal data ?

Answer 23

It is past sales figures, profits and comments from customers that is kept as data on computers

Question 24

What are the advantages of Census data ?

Answer 24

• Information comes from a lot of people
• the data is already collected and analysed
  so it reduces the cost of the business

Question 25

What are the disadvantages of Census data?

Answer 25

• Information has not been collected to
  meet the specific needs of the business.
• information will need careful
  interpretation because the info could be
  quite old .

Question 26

What are the advantages of data from newspaper and magazines ?

Answer 26

• cheap
• good source of ideas

Question 27

What are the disadvantages of data from newspaper and magazines ?

Answer 27

• information will be general and not
  specific

Question 28

What are the advantages of data from websites?

Answer 28

• cheap to collect and readily available

Question 29

what are the disadvantages of data from websites ?

Answer 29

• needs carful interpretation because the
  data might not be accurate

Question 30

What are the advantages of Internal data ?

Answer 30

-cheap to collect and readily available

Question 31

What are the disadvantages of Internal data ?

Answer 31

• Data is historical - looks at what has happened not what will happen

Question 32

What are the advantages of secondary research ?

Answer 32

• Cheap
• Wide range of data is available

Question 33

What are the disadvantages of secondary research ?

Answer 33

• based on outdated market research
• might not be exactly what a business
  wants

Question 34

What is qualitative data ?

Answer 34

data based on opinions

Question 35

what is quantitative data ?

Answer 35

data based on facts and numbers

Question 36

What are the advantages of qualitative data?

Answer 36

helps business understands what customers are thinking

Question 37

What are the disadvantages of qualitative data ?

Answer 37

info might be provided with limited number of people

Question 38

What are the advantage of quantitative data ?

Answer 38

• easy to analyse
• can be gathered from a lot of people

Question 39

What are the disadvantage of quantitative data ?

Answer 39

• limits what people can say about what they like and dislike