The Research Industry

1
Lecture 2

• The Research Industry

2
Session Objectives

• broad appreciation of the size and structure of
  the global marketing research industry
• ethical considerations for the market researcher
• the marketing research brief and the marketing
  research proposal
• factors involved in using an external marketing
  research agency .

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Research industry

• 16 billion world wide (ESOMAR 2002)
• Quantitative research (80), nearly half industry
  turnover through face to face interviews,
  telephone 20, postal 8, 22 other methods
  (observation, internet surveys)
• Top UK Companies
• TNS plc, NOP, MORI, BMRB (100s smaller companies)
• Specialist service, field agencies, data
  analysis, consultants
• Global
• Taylor Nelson Sofres plc, Kantar Group, NOP World.

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Ethical considerations

• Invasion of privacy
• Deceptive practices
• Impositions on respondents
• Codes of conduct
• Confidentiality.

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Legal considerations

• Information Commissioner Data Protection Act
  1998, independent, freedom of information
• 8 key principles (see next slide)
• Codes of Best Practice
• Market Research Society
• Direct Marketing Association
• ICC/ESOMAR code of marketing and social research
  practice
• Rights of respondents, responsibility of
  researches, mutual responsibilities
• Preference Services
• Mail and telephone

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The 8 Key Principles

• Personal data must be processed fairly and
  lawfully and only if certain conditions are met
  e.g. obtaining appropriate consent
• Personal data shall only be obtained for one or
  more specified purposes and shall not be used or
  disclosed in any manner incompatible with that
  purpose
• Personal data shall be adequate, relevant and not
  excessive for its purpose
• Personal data shall be accurate and, where
  necessary, kept up to date
• Personal data held for any purpose or purposes
  shall not be kept for longer than is necessary
  for that purpose or those purposes
• Personal data shall be processed in accordance
  with the rights of data subjects (subject access,
  automated decision-taking etc)
• Appropriate technical and organisational measures
  shall be taken against accidental loss or
  destruction of, or damage to, personal data
• Personal data shall not be transferred to a
  country outside the EEA without adequate levels
  of protection for the rights and freedoms of the
  data subjects.

Rachel Markham Information Governance Manager,
Lincolnshire NHS Shared Services
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Understanding the Research Problem!
The problem
the research brief
The Market Researcher
The Client
The research proposal
Firm research objectives
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The Research Brief

• Your project will include the following stages
• Preparing a research brief
• Constructing an appropriate questionnaire or
  topic plan
• Piloting the questionnaire or the topic plan
• Designing and producing a questionnaire or topic
  plan in appropriate form
• Administering the survey or interviews
• Entering and analysing data (SPSS) or
  transcribing and analysing interviews
• Drawing conclusions from the analysis
• Preparing appropriate material (text and
  graphics) for inclusion in the report

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Contents of your Report

• some background to the project
• the research proposal
• specific objectives and data requirements
• the methodology used (and justification for it)
• the findings of the research
• analysis of the findings
• a set of conclusions
• recommendations if appropriate.

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Selecting An Agency

• Track Record
• Experience in your sector
• Location
• Client Lists
• Testimonials other clients
• Size/resources
• Creativity, Approach, Understanding
• Chemistry.

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Agency Specialisms

• Customer Satisfaction
• Employees
• Social research
• Opinion Polls (NOP)
• Readership Surveys (NRS)
• Audience Research (BARB)
• Full service, fieldwork (teams of interviewers),
  data preparation and analysis (computer analysis)
  .

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Selection criteria (Wilson 2006)

• ability to understand brief and translate into
  proposal
• compatibility,
• innovation,
• market understanding,
• methodology,
• meeting budget and timescales,
• Experience.

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Market Research Overview

• The need for information to improve the basis for
  management decisions on tactics and strategy,
• Definition of Marketing - Satisfying Customer
  Needs Profitably
• Purpose of Research
• - Who are our Customers?
• - What are their needs?
• - Are they satisfied?.

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The Process

• Defining the problem, and research objectives
• Developing the Research Plan for collecting
  information
• Implementing the Research Plan - collecting and
  analysing the data
• Interpreting and reporting the findings.

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The Unwritten Rules

• Know the answers before you start
• Be prepared to implement the findings.

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Sources of Information

• Customers Past Customers
• New Customers
• Big Customers
• Little Customers
• Non Customers
• Competition Eyeball (Observation)
• Garbage
• Public Information
• Suppliers Common Suppliers (you and them)
• Quality, Volume, Contract Terms
• Retailers Campaigns, Volume
• Community Environment, Perceptions, Policies
• Employees Changes, work conditions, interviews
• Exhibitions Ask the Exhibitor!
• Telephone Ask the staff!

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Research Objectives

• Exploratory Research
• to gather information, define the issues, and
  suggest approaches
• Descriptive Research
• attitudes of customers, product market
  potential, demographics of customers
• Causal Research
• "What if we did............. how would the
  market respond?"
• Objectives should be defined at the outset and
  agreed in writing if an outside agency is
  involved.

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Seminar

• Working in Groups
• Suggers, Fruggers and Data Muggers part 2

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