Unit 4.4 Flashcards
Define Market Research
The process of collecting and analysing data about customers (current and potential), competitors, and the market
Why firms carry out market research
Up to date information
E.g. fashion and electronics
Identify likely future trends
Improve marketing strategy
Better product design
More suitable price
Testing of new products
Define primary research
Collecting data first-hand for a specific purpose
Specific to the needs of the firm
What are the methods of primary research?
Surveys
Interviews
Focus Groups
Observation
Define survey
Document containing series of questions to collect data
Can collect both Quantitative research (numerical results) And Qualitative research (non-numerical, behavioural)
Define inteview
One on one discussions, gain lots of qualitative data
Define focus groups
Small and interactive discussion groups
Define observations
Watching how people behave rather than asking
Define secondary market research
Collection of second-hand data collected by someone else for their specific purpose
Examples of secondary research
Market analyses
Academic journal
Government publications
Media articles
What is quantitative data
numerical data
What is qualitative data
non-numerical/behavioural data
Open ended
Provides more context
Define sampling
Doing market research with a proportion of the population
What are non probability sampling methods
Snowball sampling
Convenience Sampling
Quota Sampling
What are probability samplings methods
Random Sampling
Stratified Sampling
Cluster Sampling
Define convenience sampling
Selecting respondents because of their availability or ease of access
E.g. Asking people on the street
Likely to have sampling bias
Define snowball sampling
One person is asked this person refers a friend, who refers a friend
Define quota sampling
Population is segmented into distinct sub-groups (e.g. Male/Female)
Researcher is given a quota (e.g. e.g. 100 males, 50 females
Researcher then uses ‘judgement’ to get a sample
Define random sampling
Each member of target population has an equal chance of being selected.
- Make a list of the total population
- Use probability methods to select the sample
Define cluster sampling
Taking a sample from one or two groups
Often geographical
E.x. Population is whole country but take sample from one city
Define stratified sampling
Population is segmented into strata
Take a random proportion from strata based on how many there are in proportion to total
E.g. if the population contained 20% old people and sample size is 1000 people there must be 200 old people in the sample
