Marketing : Unit 33- 35

Question 1

1. What is market research?

Answer 1

• Collection, presentation and analysis of information relating to the marketing and consumption of goods and services.

Question 2

2. What are the 4 main purposes of market research?

Answer 2

• To identify and understand customer needs.
• To identify gaps in the market.
• To reduce risk
• To inform business decisions.

Question 3

3. What is untapped?

Answer 3

• Supply , market or talent that is available but has not yet been exploited.

Question 4

4. What are the two types of research?

Answer 4

• Primary/ field research
• Secondary/ desk research

Question 5

5. What is primary/ field research?

Answer 5

Is the gathering of “new” information that does not already exist.

Question 6

6. What are the 4 main methods of primary research?

Answer 6

• Questionnaires
• Focus groups/ panels
• Observation
• Test marketing

Question 7

7. What are questionnaires?

Answer 7

• Questionnaires is a list of written questions.

Question 8

8. What are the 4 types of questionnaires/surveys? define

Answer 8

• Postal surveys : questionnaires that are sent out to people by letter and they are asked to complete them in their own time.
• Telephone interviews:- Is interviewing people over the telephone.
• Personal interviews are carried out in the street or on the doorstep.
• Online surveys:- Sent directed through an email confirming an online transaction

Question 9

9. What are the advantages of questionnaires?(4)

Answer 9

• can gather detailed information
• consumer opinions can be gathered
• Cheaper
• Can be linked to prize draws

Question 10

10. What are the disadvantages of questionnaires?(3)

Answer 10

• If they are poorly designed, may provide misleading information.
• Time-consuming and expensive
• Time consuming to collect and analyse.

Question 11

10. What are interviews?

Answer 11

• It revolves around an interviewer asking questions from an interviewee.

Question 12

10. What are advantages of interviews?

Answer 12

• can explain questions if the interviewee doesn’t understand
• Can gather detailed information

Question 13

What are the disadvantages of interviews?

Answer 13

• Interviewee bias in a way that the interviewer would like/ want to hear.
• Time consuming and expensive.

Question 14

9. What are consumer panels?

Answer 14

• groups of customers are asked for feedback about products over set period.

Question 15

What is and advantage of consumer panels? disadvantages?(3)

Answer 15

• ad. provide detailed information about consumer opinions
• disad. Expensive, time consuming, bias

Question 16

10. What is observation?

Answer 16

• This is where market researchers ‘ watch the behaviors’ of customers

Question 17

What is an advantage? a disadvantage of observation?

Answer 17

• Cheap way of gathering data(ad)
• Only basic information can be collected.(dis

Question 18

11. What is test marketing

Answer 18

• This involves selling a new product in a restricted geographical are to test it and sales levels before a national launch.

Question 19

12. What is secondary/ desk research?

Answer 19

• Collection of data that already exists

Question 20

13. What are the two types of data?

Answer 20

-Qualitative data
- Quantitative data

Question 21

14. What is qualitative data?

Answer 21

Qualitative data is information about attitudes, beliefs and intentions, usually written words.

Question 22

15. What is quantitative data

Answer 22

Quantitative data information that can be quantified, that is, expressed in numbers.

Question 23

16. What are the 6 advantages of using social media for market research?

Answer 23

• Broad reach
• Ability to target
• Free/low cost
• Personal
• Fast
• Easy

Question 24

17. What is sample?

Answer 24

Sample is a small group of people, that must represent a proportion of the total market when carrying out market search.

Question 25

19. What are the 2 types of sample?

Answer 25

- Quota sample: it's when people are selected on a basis of certain. - Random Sample : It's when people are selected at random as a source of information for market research.

Question 26

What are the sources for secondary market research?(6)

Answer 26

- Government publication - Market intelligence report - Newspaper report - Internal company records - Internet - Competitors reports

Question 27

What are the advantages of secondary research?

Answer 27

- Easily available it is less time-consuming to obtain information. - Less costly - Comparison of secondary sources - Identifies the nature of the market.

Question 28

What are the disadvantages of secondary market research?

Question 29

18. What is a market?

Answer 29

- set of arrangements that allow buyers and sellers to communicate and trade in goods and services.

Question 30

19. What is marketing?

Answer 30

- identifying the customer needs and satisfying them profitably.

Question 31

20. What are the 4 types/ examples of markets?

Answer 31

- consumer goods markets: where products are sold. -Market for services: market for services such as... - The housing market: where people buy and sell properties. - Commodity market: where raw materials such as oil, metal, and grains are traded.

Question 32

21. What are the 4 examples of customer loyalty schemes?

Answer 32

- Reward cards - Free gifts - Charitable donations - Partnerships deals with other business,

Question 33

22. What is product oriented?

Answer 33

- where a business focuses on the design and manufacture of the product itself rather than the needs of the customers.

Question 34

23. What is market-oriented?

Answer 34

- where a business focuses on the needs of the consumers when developing products.

Question 35

24. What is market share?

Answer 35

proportion of sales in a total market that a business or product enjoys.

Question 36

26. What is market analysis?

Answer 36

quantitative and qualitative assessment of a market.

Question 37

27. What are mass markets?

Answer 37

very large markets in which products with mass appeal are marketed

Question 38

28. What is a niche market?

Answer 38

- smaller market, usually within a large market or industry.

Question 39

29. Why do markets change? (4)

Answer 39

- Changing customer needs - Changing customer/consumer spending patterns - Increased competition - Competition puts businesses under some pressure.

Question 40

30. What are the 5 ways businesses may use to attract customers to compete with other businesses?

Answer 40

- lowering prices - making their products appear different to those of rivals - offering better quality products - using mor powerful or attractive advertising or promotions - offering "extras" like high quality customer service.

Question 41

31. What is market segments?

Answer 41

part of a whole market where a particular customer group has similar characteristics.

Question 42

32. What are the methods of market segmentation?

Answer 42

- location (geographical) segmentation - Demographic segmentation - Lifestyle(or psychographic) segmentation

Question 43

32. What are socio-economic groups?

Answer 43

- division of people according to social class based on employment status.

Question 44

33. What are the 4 benefits of market segmentation?

Answer 44

- businesses that produce different products can increase revenue. - customers may be more loyal to a business that provides products designated to them. - Business may avoid using wasting promotional resources. - market a wider range of goods different customer groups.