Marketing Research

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Marketing Research

• Aaker, Kumar, Day
• Ninth Edition
• Instructors Presentation Slides

http//www.drvkumar.com/mr9/
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Chapter Three

• The Marketing Research Process

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Overview of Marketing Research Process

• MR Process Evolves From Answers to Five Key
  Questions
• Why should we do research?
• What research should be done?
• Is it worth doing the research?
• How should the research be designed to achieve
  the research objectives?
• What will we do with the research?

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Marketing Research Process
MARKETING PLANNING AND INFORMATION SYSTEM

• Information system
• Databases
• DSS

• Planning system
• Strategic plans
• Tactical plans

1. AGREE ON RESEARCH PROCESS

• Problems or opportunities
• Decision alternatives
• Research users

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Marketing Research Process (cont.)
2. ESTABLISH RESEARCH OBJECTIVES

• Research questions
• Hypotheses
• Boundaries of study

NO
Estimate the value of information Is benefit gt
cost?
Do not conduct marketing research
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Marketing Research Process (cont.)
Is benefit gt cost
YES
4. DESIGN THE RESEARCH

• Choose among alternative research approaches
• Specify the sampling plan
• Design the experiment
• Design the questionnaire

5. COLLECT THE DATA
6. PREPARE AND ANALYZE THE DATA
7. REPORT THE RESEARCH RESULTS AND PROVIDE
STRATEGIC RECOMMENDATIONS
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The Marketing Research Process Step 1- Research
Purpose

• Problem or opportunity analysis
• Which problems or opportunities are anticipated?
• What is the scope of the problems and the
  possible reasons?
• Evaluation of decision alternatives
• What are the alternatives being studied?
• What are the criteria for choosing among the
  alternatives?
• What is the timing or importance of the decision?
• Research users
• Who are the decision makers?
• Are there any covert purposes?

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Problem or Opportunity Analysis

• What Do Todays Buyers Want?
• Todays Buyers are
• Skeptical
• Cautious
• Tired of selling and sales pressure
• Busy
• Confused

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The Marketing Research Process Step 2 - Research
Objective

• A statement of what information is needed
• Research objective should be framed to ensure
  information obtained will satisfy research
  purpose

• Components of research objectives
• Research Question
• Hypothesis Development
• Research Boundaries

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Research Question

• Asks what specific information is required to
  achieve the research purpose

• Sample questions to determine if a specific
  advertisement should be run
• Will the advertisement be noticed?
• Will it be interpreted accurately?
• Will it influence attitudes?

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Hypothesis Development

• A hypothesis is a possible answer to a research
  question.
• Generating a hypothesis
• Draw on previous research efforts
• Borrow from other disciplines such as
• Psychology
• Sociology
• Marketing
• Economics
• Managers experience with related problems,
  coupled with knowledge and the use of judgment

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Hypothesis Development (cont.)
Source

• Theory
• Management experience
• Exploratory research

Hypothesis
Research Question
Research Purpose
Research Design
Research Objective
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The Marketing Research ProcessStep 3 -
Estimating the Value of Information

• Value depends on
• Importance of decision
• Uncertainty that surrounds it
• Influence of research information on the
  decision

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Illustrative Decision Models
Success
Success
4 million
4 million
Introduce
Introduce
Failure
Failure
1 million
1 million
Case A
Do not introduce
Do not introduce
0
0
Success
Success
4 million
4 million
Introduce
Introduce
- 2.5 million
- 2.5 million
Case B
Failure
Failure
Do not introduce
Do not introduce
0
0
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The International Marketing Research Process

• Marketing research process is consistent for both
  domestic and international markets
• Variety of market environments affect
  international marketing research process
• Major Environmental Forces Influencing
  International Marketing
• Research Process
• Economic Environment
• Social-cultural Environment
• Political and Legal Environment
• Technological, Multimedia and Infrastructural
  Facilities

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The International Marketing Research Process

• To avoid mistakes
• Profile your target customers and clients
• Interview target segments to assess how well they
  match your preconceived ideas
• Hire local researchers
• Use a variety of methods (Qualitative and
  quantitative methods) to get a well-rounded
  picture
• Look at the findings and analyze what must be
  done differently, abroad or internationally, in
  comparison with current domestic marketing
  activities

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Framing Research Questions in an International
Environment

• Possible questions
• Do opportunities exist for entry into foreign
  markets?
• Which foreign markets warrant detailed
  investigation?
• What are the major economic, political, legal,
  and other environmental facts in each potential
  country?
• What mode of entry does the company plan to
  adopt?
• What is the market potential in these countries?
• Who are the firms present and potential
  customers?
• What is the nature of competition in the foreign
  market?
• What kind of marketing strategy should the firm
  adopt?