Unit 2 B Flashcards
Why is the size of the market important for businesses?
It helps narrow down the types of market research needed.
What should businesses consider regarding trends?
Trends indicate customer demand and require adaptation to changing preferences.
What is primary qualitative research?
Information about customer opinions and feelings, providing in-depth findings.
Name three methods used in primary qualitative research.
- Surveys
- Interviews
- Focus groups
What is primary quantitative research?
Research that presents large amounts of data in a statistical format.
Surveys can be conducted in which manners?
- Face to face
- Phone
What are the key steps for an effective survey?
- Identify the target audience
- Write survey questions
- Find the correct platforms
- Conduct survey within time and cost
- Analyse results
What defines primary research?
It is personalized and conducted by or on behalf of the business.
What are structured interviews?
Interviews with pre-planned questions, simple and reliable but restrictive.
Describe unstructured interviews.
Informal interviews with no pre-planned questions, allowing for natural flow.
What is a semi-structured interview?
A mix of structured and unstructured methods, allowing for follow-up questions.
How can observations benefit businesses?
They provide insights into customer behavior and demand.
What is test marketing?
A method where a segment of the target audience tests a new product before mass launch.
List two advantages of test marketing.
- Reduces risk of product failure
- Opportunity to develop the product
List two disadvantages of test marketing.
- Testers’ views may not reflect the majority
- Competitors may launch a rival product first
What are focus groups?
Groups of 4 to 10 people providing qualitative views, best used in early development stages.
What is primary research?
Research conducted specifically for the business.
Define secondary data.
Existing data collected from inside or outside the business.
What is internal secondary research?
Using existing data from within the business, such as sales records.
How can loyalty cards enhance customer data?
They reward customers and track detailed purchasing behavior.
What is external secondary research?
Using data from outside the business, often through internet searches.
What do commercial market research businesses like MINTEL provide?
Reports to help identify target audience needs and effective promotion methods.
What type of statistics do government agencies provide?
Demographic statistics such as unemployment figures and household information.
What is the purpose of trade journals?
To provide industry-specific news, statistics, and articles.
Define validity in research.
The process of assessing how valid information is by tracing it to trusted sources.
What does reliability refer to in research?
The consistency of the results of the research.
What does appropriateness in research mean?
How ethical the research methods were and if they consider discrimination.
What is currency in the context of research?
How up-to-date the research is, though older research can still be useful.
What factors contribute to the cost of conducting research?
- Planning
- Conducting research
- Collating results
- Agency fees
