Marketing Flashcards
What are the types of market research?
Primary and secondary
What is primary information?
New information that is collected by the business itself.
What is secondary research?
Consists of existing data that has been collected and always should be examined before using primary sources.
What are the advantages of primary research?
Results relevant to the needs of the business that commissioned the research.
Data should answer all of the questions needed if it is well planned and detailed.
Data up to date and therefore usually more accurate.
What are the disadvantages of primary research?
Takes a long time to plan and carry out effectively.
Expensive.
Results can be inaccurate or bias if carried out by someone who lacks experience or is not planned properly.
What are the advantages of secondary research?
Easier to search out secondary sources of data.
Relatively low expense.
Can be useful to highlight general trends and areas of interest and can guide researchers conducting this.
Quicker than primary.
What are the disadvantages of secondary research?
Data may be of limited use as it may not have been targeted for the exact issue you have.
Data may be out of date so results could be inaccurate.
Information available to competitors.
What are all the methods of market research?
Surveys Focus Groups Consumer panels Test marketing Interviews Observation Store loyalty cards
What are all the different types of surveys?
Face to face surveys
Telephone survey
Postal survey
Internet survey
What are the advantages of face to face surveys?
Breaks barriers between interviewer and respondent so higher response rates.
Body language may be watched
The researcher can explain any questions
Can clarify answers if initial answer is unclear
What are the disadvantages of face to face survey?
Takes up time
Cost can be very high compared to telephone or Internet
Usually involves small samples due to the time and cost involved
What are the advantages of telephone survey?
Cheaper than face to face
Allows a sample from a worldwide geographical area so more representative of the area.
It is quicker to get a response than with postal or face to face.
What are the disadvantages of telephone survey?
May not be truly representative of whole population - not everyone has a telephone.
Increase of telesales and identity fraud means that individuals are less likely to take part.
The interviewee does not see e questions in written form so there is more chance of answering incorrect.
What are the advantages of e-surveys?
Speed-can be sent, completed and returned quickly.
Cheaper than postal or face to face surveys.
Only the intended respondent will receive the questionnaire.
What are the disadvantages of e-surveys?
Response rate can be low as potential respondents will delete the email.
Problems with Internet security mean that it can be less secure.
Not everyone has an email or access to Internet, not representative of whole population.
What are the advantages of focus groups?
Quick and easy to assemble and results can be produced quickly.
Can build on the answers of others. A freer discussion, so more detailed and complex answers.
Useful to obtain data from children or people who would not normally be able to complete the other forms of surveys.
What are the disadvantages of focus groups?
Conducted on a small scale so results might not be truly representative.
Difficult to analyse results which are qualitative.
Results depend on the researcher who is moderating and leading the discussion. E.g. the timing or manner it is asked in.
What are the advantages of consumer panels?
Useful when gathering vital qualitative information.
Respondents gain experience and confidence as they are used on an ongoing basis.
What are the disadvantages of consumer panels?
Conducted on a small scale so results may not be truly representative.
Difficult to analyse the results as they are qualitative so it requires and experienced researcher.
What are the advantages of test marketing?
Ensure valuable resources are not wasted producing a product people are unlikely to purchase.
Can be used to test aspects of the marketing mix.
Products are usually tested on a large geographical scale so the sample is likely to be more representative than in the case of other market research.
What are the disadvantages of test marketing?
Can give competitions vital information about their products.
Can be a time consuming and costly process.
Usually carried out late in market research process and firms will have already made significant investment in the product and so the reduction to risk and cost is minimal.
What are the advantages of interviews?
Allows researcher to collect informative qualitative data which can be a good insight in consumer behaviour.
Less structure so a good rapport can be built between researcher and respondent.
One to one basis so responses are not influenced by dominant group members.
What are the disadvantages of interviews?
Time consuming and expensive to carry out.
Interviews usually carried out with a small sample so mightn’t be truly representative.
Can be affected by interviewer bias.
