Unit 1 - Nature and scope of market research Flashcards
What is the definition of marketing research?
It is the planning, collecting and analysing of data relevant to the market decision making and communication of the results of this analysis to management.
What is the definition of marketing?
It is an organisational function and a set of processes for creating, communicating, and delivering value to customers and for managing customer relationships in ways that benefit the organisation and its stakeholders.
What are the tendencies in marketing?
- All customers differ
- All customers change
- All competitors react
- All resources are limited
What are the different time periods characterised by throughout history?
- Age of manufacturing: mass manufacturing makes industrial powerhouses powerful
- Age of distribution: global connections and transportation systems make distribution key
- Age of information: connected PC’s and supply chains means those that control information flow dominate
- Age of the customer: empowered buyers demand new level of customer obsession
What is problem-identification research?
It is undertaken to help identify problems that are not apparent on the surface and yet exist or are likely to arise in the future.
Examples: market potential, market share, brand or company image, market characteristics, sales analysis, business trends research.
What is problem-solving research?
Once a problem or opportunity has been identified, problem-solving research is undertaken to arrive at a solution. The findings of problem-solving research are used in making decisions that will solve specific problems.
Examples: segmentation, product research, pricing, promotion, distribution.
What are the steps to the marketing decision problem?
Step 1: problem definition
Step 2: development of an approach to the problem
Step 3: research design formulation
Step 4: fieldwork or data collection
Step 5: data preparation and analysis
Step 6: report preparation and presentation
What are the research priorities (2020-2022)?
- Delivering customer value
- Evolving landscape of advertising
- Tools for capturing information to fuel growth
- The rise of omnichannel promotion
- Organising for marketing agility
- Innovation, new product development and commercialisation
What are the steps to creating value for customers?
- Understand the marketplace, customer needs and wants
- Design a customer-driven marketing strategy
- Construct an a marketing program that delivers superior value
- Build customer relationships
Who said “I never rely on market research”?
Steve Jobs, because according to him “people don’t know what they want until you show it to them”
What is research design?
Research design is a framework or blueprint for conducting the marketing research project. It details the procedures necessary for obtaining the information needed to structure or solve marketing research problems.
What types of research is there?
Research may be classified as two types: exploratory and conclusive. Conclusive research can be: descriptive and causal research.
What are the differences between exploratory and conclusive research?
Exploratory:
- provide insights and understanding
- information is defined loosely;
- research process is flexible and unstructured
- sample is small and non-representative
- generally is followed by further research
Conclusive:
- test specific hypotheses
- information is clearly defined
- research process is formal and structured
- sample is large and representative
- findings are conclusive and are used as input in decision making
When is it not appropriate to conduct research?
In situations when:
- There is a lack of resources: time and/or money are not available
- Research results would not be useful
- There is poor timing in the marketplace: if the opportunity for successful market entry has passed
- The decision has already been made
- Managers cannot agree on what information they need to make a decision
- The costs of the research outweigh the benefits
When should marketing research be undertaken?
Marketing research should be undertaken when the expected value of information it generates exceeds the costs of conducting the marketing research project and when there is high level of uncertainty.
