Market Research: Unveiling Insights, Strategies, and Ethical Considerations

LECTURE NOTES SEMESTER/SESSION: SPRING SEMESTER, 2023/2024 SESSION TOPIC: MARKETING CHAPTERS 7-Market Research 1) Market Research • Will the research be useful, provide insights beyond what the managers already know, and reduce the uncertainty associated with the project? • • Is top management committed to the project and willing to abide by the results? Should the marketing research project be small or large? 2) Market Research Process i) ii) iii) iv) v) Define the Research Problem and Objectives Design the Research Plan • Identify the type of data needed and determine the kind of research necessary to collect Collect Data • Data can be collected from secondary or primary data sources • Secondary data are pieces of information that have been collected before the start ofthe focal research project. Include both external and internal data sources • Primary data are those data collected to address specific research needs, for example, focus groups, in-depth interviews, and surveys Analyze Data and Develop Insights • To generate meaningful information, researchers analyze and make use of the collecteddata • Data = Raw numbers or other factual information of limited value • Information = Data that has been organized, analyzed, interpreted, and converted into auseful form for decision-makers Determine an Action Plan • Analyst prepares the results and presents them to the decision-makers, who undertake appropriate marketing actions and strategies • Research presentation includes an executive summary 1 3) Secondary Data a) Internal Secondary Data • Data mining = The use of statistical analysis tools to search for patterns in • • data orrelationships among variables Example: Tesco uses its loyalty card to collect massive customer information. This data per loyalty card is useless until Tesco mines and analyses them to identify three income groups Big Data =Refers to extremely large quantities of data that companies have access to but are unable to handle using conventional data management and data mining software b) Secondary External Data • Some sources of external secondary data can be accessed quickly and at a • • • • relatively low cost; for example, Statistics Canada Sometimes, secondary data is inadequate to meet researchers’ needs; it may not berelevant, outdated, etc. Syndicated data = Data available for a fee from commercial research firms such as SymphonyIRI Group, National Diary Panel, Nielsen, and Leger Marketing Scanner Data = A type of quantitative research that uses data obtained from scanner readings of UPCs at checkout counters Panel Data = A type of quantitative research that involves collecting information from a group of consumers (the panel) over time; data collected may be from a survey or a record of purchases 4) Primary Data a) Qualitative Data - Primary i) Exploratory ii) • Reliability = The extent to which the same result is achieved when a study is repeated in identical situations • Validity = The extent to which a study measures what is supposed to measure • Sampling = A segment or subset of the population that adequately represents the entire population of interest Qualitative Data Collection Methods 2 • • • • Observation o A qualitative research method that entails examining purchase and consumption behaviors through personal or video camera scrutiny Social Media In-Depth Interview o A research technique in which trained researchers ask questions, listen to and record the answers, and then pose additional questions to clarify or expand on aparticular issue Focus Groups o A research technique in which a small group of people comes together for an in-depth discussion about a particular topic, with the conversation guided by a trained moderator using an unstructured method of inquiry b) Quantitative Data – Primary i) Quantitative Data Collection Methods • Survey & interview = A systematic means of collecting information from • • • • • people thatgenerally use a questionnaire Face-to-face Mall Intercept Web-based Panel = Can either be primary or secondary experiments = A type of quantitative research that systematically manipulates one or morevariables to determine which variables have a causal effect on another variable 5) Primary vs. Secondary • Advantages of Secondary research = Saves time in collecting data, reduces data collection costs • Advantages of primary research = Is specific to the immediate data needs and topics at hand, offers behavioral insights generally not available from secondary research 6) Ethical issues in Marketing Research • As technology continues to advance, the potential threats to consumers’ personal information grow in number and intensity • Three guidelines for conducting marketing research: 1. Prohibits selling or fundraising under the guise of conducting research 2. Supports maintaining research integrity by avoiding misrepresentation or the omission of pertinent research data 3. Encourages the fair treatment of clients and suppliers 7) Research - Small Budget 3