Chapter 5
Market Research
Chapter 5 Objectives
Understand the nature of the marketing research process.
Know the difference between primary and secondary data
Recognize the range of alternative sampling methodologies.
Understand the value of alternative data collection methodologies.
Appreciate the necessity of a marketing information system.
Learning Objective 1
Marketing research process
Problem recognition
Identification of research objectives
Research design
Data collection
Analysis and evaluation of results
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Discuss each step with the student—see pp. 102–109. Elaborate.
Learning Objective 1
Step 1: Problem recognition
Define the problem.
All stakeholders should be included in this phase of the research.
Defining the problem is more in depth than identifying a symptom of the problem.
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Discuss differences between problem and symptoms.
Learning Objective 1
Step 2: Identification of research objectives
Four forms
Exploratory—need to determine the cause of the problem
Descriptive—attempt to identify new issues or markets
Test hypotheses
Predictive—try to forecast demand for a service
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Page 134 in text for further explanation.
Learning Objective 1
Step 3: Research design
Plan for the entire study.
Specify data needed and methods to be used to collect data.
Specify methods to analyze and interpret results.
Primary or secondary data
People involved in first two stages are those affected by the issue; after this point those involved are research professionals.
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Learning Objective 2
Primary data
Information collected to address a specific research question
Qualitative and quantitative (empirical)
First-hand observation or interview
Most current data
Costly and time consuming
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Learning Objective 2
Secondary data
Information collected previously for another purpose (internally or externally)
Syndicated marketing research
Benchmark information
Available to all, including competitors
Big Data impact (clinical and administrative)
Data mining
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FIGURE 5-2 Categorization of Research Tools
Learning Objective 2
Data collection—qualitative
Primary data collection research methods
Observational: Can usually address the what, not the why
A.C. Nielsen
Medical mystery shoppers
Cameras
Focus groups
Personal interviews
Social media (opinion, sentiment analysis)
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Refer students to pages 142–144.
Learning Objective 2
Primary data collection—quantitative
Primary data collection research methods
Experimental
Factors are manipulated to determine a causal relationship.
Quasi-experimental design (ex-test market)
Survey research (telephone, mail, online)
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Have students discuss limitations of experimental research (real-world applications).
Learning Objective 3
Designing a sample
Collection of data from portion of target population
Six steps
Define the population.
Specify the sampling frame.
Specify the sampling unit.
Select sampling method.
Determine the sample size.
Specify the sampling plan.
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Discussion of the six steps with the students, pp. 149–157.
Learning Objective 4
Data collection methodologies
Questionnaire design
Clarity of meaning to the terms used
Simple (KISS)
No presuppositions
Ask for only one piece of info at a time.
Question format
Open-ended questions
Multichotomous questions
Yes/no, Likert scale, or semantic differential scale
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Have students discuss specifics. Refer to pp. 154–157.
Learning Objective 5
Analysis and evaluation of research
Qualitative (focus groups)
Quantitative (empirical studies/info)
Statistical analysis
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Learning Objective 5
Marketing information systems
A structured, interacting complex of persons, machines, and procedures designed to generate an orderly flow of pertinent information collected from intra- and extra-firm sources, for use as the bases for decision making in specific responsibility areas of marketing management
Growth in database marketing has spurred need for effective MIS.
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Refer to pp. 158–159.
Summary
Marketing research is a process that involves the collection of primary and secondary data, or a combination of both. These data can be either quantitative or qualitative in form.
Secondary data can be obtained from the organization itself, from regulatory agencies, and from commercial firms.
The collection of primary market research data can be accomplished through observation, experiments, interviews, and surveys.
Summary (cont.)
Mail, telephone, and personal interviews vary in terms of flexibility, cost, and respondent cooperation.
An increasingly common qualitative data-gathering method in health care is the focus group.
In conducting market research, organizations can collect data from all members of the target population (census) or they can use a subset (sample).
Summary (cont.)
Any sampling method is dependent of five factors:
Probability, stratification, equal likelihood of selection, number of stages, and level of the unit
In order to develop any survey instrument appropriately, it is essential to pretest the instrument among a group of people similar to those who will receive the final survey.
Summary (cont.)
Marketing information systems are an approach to organizing an array of data for use in strategic market decisions.
Organizations are developing database marketing efforts that allow them to identify, profile, and reach individual customers.
