Unit 10 (4.4, 2.6) Flashcards
Market Research
The process of collecting and analyzing any data that is relevant to the marketing of the business about customers
- Customers buying habits
- Competitor strengths
- Future market trends
Quantitative Research
Research-based on numbers - numerical results
- How many times a week do you buy coffee?
Qualitative Research
Research is not based on numbers - usually opinions, thoughts, etc…
- What did you think of the double espresso this morning?
Pros of Market Research
- Identify future trends (e.g. fashion, electronics)
- Identify gaps in the market
- Improve your product
Cons of Market Research
- Costly
- Time-consuming
- Not always correct
Primary Research
Collection of first-hand data - i.e. collecting it yourself
Surveys
- A document where respondents fill out the answers to a variety of questions
- Online, Self-completed, Postal, Face-to-face
- Quantitative and qualitative data
- Can collect a large number of responses at once
- But often low response rate, and can’t ask questions
Interviews
- A discussion where an interviewer asks questions to an interviewee
- In-person, online
- Usually focused on qualitative data
- More time-consuming
- Can ask follow-up questions
Focus Groups
- Small and interactive discussion groups with multiple people
- E.g. consumer panels
- Get a wider range of opinions than interviews
- One member may dominate
Observations
- Watching how people behave rather than asking
- Real life or in a lab
- Can watch natural behavior
- Time-consuming, ‘what’ not ‘why’
Secondary Research
Collection of data that was collected by someone else
Market Analyses
- A report that shows details about a market
- E.g. market growth, the future, key brands, consumer profiles
- Often produced by market research firms
Academic Journals
Peer-reviewed publications
Government Publications
E.g. economic data, population numbers, environmental support
Media Articles
E.g. Newspapers, TV
Online Content
Anything found online - can be any of the above
Sampling
Identifying a group of people that is a representation of the whole population
Convenience Sampling
- Identify respondents because they are easy to ask
- E.g. Asking people that you see on the street
- Likely to have a sampling bias
Random Sampling
- Respondents are chosen using some random chance
- Each member of the target population has an equal chance of being selected
- Less bias, but some are still possible
- E.g. 300 under 30 and 700 over 30
Quota Sampling
- Respondents are chosen in proportion to the overall population
- E.g. for consumers, 50% are under 30 and 50% over 30
- 500 of each group
Communication
When information moves from one person to another person
- Verbal
- Non-verbal
- Written
- Images
Formal Communication
Communication through official means in structured ways, directly about the business
- Emails
- Meetings
- Video conferencing
- Reports
- Presentations
Informal Communication
Communication through unofficial means that is unstructured and not always directly about the business
- Water cooler chats
- Messages
- Team events
Pros of Email
- Easier geographically
- Often more time-effective
- Provide a paper trail - can be reread later
Pros of meeting in person
- Less likely to misinterpret what is communicated
- Provide audio and visual information as well
- Easier to build trust
Barriers to Communication
Things that stop or limit the effectiveness of the transfer of information
- Language and culture
- Too much use of business speak
- Location
- Preference of form of communication
- Assumptions
