Market research Flashcards
What is market research?
“the systematic gathering, recording and analysing of data about problems relating to the marketing of goods and services.”
What are the 4Ps which identify the information that a company would like to gather?
Product research – e.g. lab testing, product safety, durability, adaptability etc.
Pricing research – e.g. understanding likely cost structure for TAC + pricing, methods of likely payment, discount structures, likely pricing strategies etc.
Promotional research – e.g. which media likely to be used?
Place research – e.g. which distribution channels to be used?
What are the two main methods of market research?
Desk research – the gathering and analysis of existing
(secondary) data.
Field research – the collection of new (primary) information directly from respondents.
What are some of the ways that information can be gathered when doing desk research?
existing company records – e.g. loyalty cards, management accounts, sales trends etc
general economic data – e.g. Government surveys, census
specific market intelligence– e.g. trade journals
What are some of the ways that information can be gathered when doing field research?
questionnaires
internet surveys
interviews
observation – e.g. what items do customers look at in a retail store, do they purchase them, do they look at the price of the item before deciding?
test marketing (small, self-contained, representative and adequate promotional facilities) – e.g. Marks and Spencer trial lines
experimentation – e.g. limited edition Kit Kats
trial testing – e.g. blind testing
What are the issues to consider when picking a method of market research?
Cost – desk research is likely to be less costly.
Historic vs future – it may be difficult to predict future actions from historic data.
Reliability – effective field research relies on reliable responses.
Adaptability – existing data may not be relevant to future plans.
