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Lecture Marketing research (12th edition) - Chapter 3: The marketing research process. In this chapter, the following content will be discussed: 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?
Marketing Research Aaker, Kumar, Leone and Day Twelfth Edition Instructor’s Presentation Chapter Three The Marketing Research Process Marketing Research 12th Edition Overview of Marketing Research Process MR Process Evolves From Answers to Five Key Questions: Marketing Research 12th Edition Marketing Research Process Marketing Research 12th Edition 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? Users of Research results ▫ Who are the decision makers? ▫ Are there any covert purposes? Marketing Research 12th Edition Problem or Opportunity Analysis • • What Do Today’s Buyers Want? Today’s Buyers are: ▫ Skeptical ▫ Cautious ▫ Tired of selling and sales pressure ▫ Busy ▫ Confused SOURCE: findmorebuyers.com/page.cfm/11, January 2003 Marketing Research 12th Edition Decision Alternatives • • For research to be effective, it must be associated with a decision A most useful way to clarify the decision motivating the research is to ask: What alternative actions are being considered? What actions would be taken, given the various feasible outcomes of the research? • The researcher and decision maker need to discuss all possible criteria in advance, and choose those that are appropriate • Timing and importance are always pivotal issues in the research process Marketing Research 12th Edition Research Users—Decision Makers • The major benefit from making an effort to reach all the decision makers is; ▫ To get the research purpose specified more adequately. ▫ To absorb a good deal about the resources that are available to deal with the problem. Marketing Research 12th Edition Step 2 Research Objective ▫ A statement of what information is needed ▫ Research objective should be framed to ensure information obtained will satisfy research Components of research objectives: purpose Research Question • Development of Hypotheses • Research Scope / Boundaries • Marketing Research 12th Edition 10 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? Marketing Research 12th Edition 11 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 Manager’s experience with related problems, coupled with knowledge and the use of judgment Marketing Research 12th Edition 12 Hypothesis Development (Contd.) Source Research Purpose • Theory • Management experience • Exploratory research Research Question Hypothesis Research Design Research Objective Marketing Research 12th Edition 13 Step 3 Estimating the Value of Information ▫ Value depends on: Importance of decision Uncertainty that surrounds it Influence of research information on the decision Marketing Research 12th Edition 14 Illustrative Decision Models 0.6 Success Introduce 0.4 Failure $ 1 million Case A Do not introduce $ 4 million $0 0.6 Success $ 4 million Introduce 0.4 Case B Failure Do not introduce $ 2.5 million $0 Marketing Research 12th Edition 15 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 • Socialcultural Environment • Political and Legal Environment • Technological, Multimedia and Infrastructural Facilities Marketing Research 12th Edition 16 The International Marketing Research Process (Contd.) • 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 wellrounded picture ▫ Look at the findings and analyze what must be done differently, abroad or internationally, in comparison with current domestic marketing activities Marketing Research 12th Edition 17 Framing Research Questions in an International Environment • Possible questions an international marketing researcher might ask to gather information on questions that will help management narrow the possibilities for international marketing activities; ▫ ▫ ▫ ▫ ▫ ▫ ▫ ▫ 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 firm’s present and potential customers? What is the nature of competition in the foreign market? What kind of marketing strategy should the firm adopt? Marketing Research 12th Edition 18 End of Chapter Three ...2 Chapter Three The Marketing Research Process Marketing Research 12th Edition Overview of Marketing Research Process MR Process Evolves From Answers to Five Key Questions: Marketing Research. .. Timing and importance are always pivotal issues in the research process Marketing Research 12th Edition Research Users—Decision Makers • The major benefit from making an effort to reach all the decision makers is; ▫ To get the research purpose specified more ... Hypothesis Development (Contd.) Source Research Purpose • Theory • Management experience • Exploratory research Research Question Hypothesis Research Design Research Objective Marketing Research