Lecture 6 – Marketing Information
and Research
MKTG, 13e
Chapter 9: Marketing Research
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part. 1
Learning Outcomes
At the end of this chapter, you should be able to:
1. Define marketing research and explain its importance to marketing decision
making.
2. Describe the steps involved in conducting a marketing research project.
3. Discuss the profound impact of the Internet on marketing research.
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The Role of Marketing Research
• Marketing research is the process of
planning, collecting, and analyzing data
relevant to a marketing decision
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Steps in a marketing research project
1
Define
Problem
2
Plan Research 3 Specify
Design
Sampling
Procedure 4
Collect
Data
5
Analyze
Data
6 Prepare/
Present
7 Report
Follow Up
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Step 1: Define Problem
Determining what information is needed and
Marketing
how that information can be obtained
research
efficiently and effectively
problem
The specific information needed
Marketing
to solve a marketing research problem;
research
the objective should provide insightful
objective decision-making information.
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Step 2: Research design
What, how
Which research
and when
questions
will data be
must be answered?
gathered?
?
What – primary / secondary data?
How – survey research / observational research?
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Step 2: Research design -
Types of Data
Secondary Data
• data previously collected for any purpose other
than the one at hand
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Sources of secondary data
• Internal information
−Sales, costs, distribution, etc.
• External information
−Government agencies
−Trade and industry associations
−Marketing research firms
−Commercial publications
−News media
−Internet
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Secondary data
Advantages Disadvantages
Saves time and money if on May not be on target with
target research problem
Aids in determining Quality and accuracy of
direction for primary data data may pose a problem
collection
Pinpoints the kinds of Out of date data
people to approach
Serves as a basis of
comparison for other data
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BIG DATA AND MARKET ANALYTICS
• Big data – the exponential growth in the volume,
variety, and velocity of information
−the development of complex, new tools to analyze
and create meaning from such data
• Allow the analysis of unstructured data such as social
media, emails, audio files, and YouTube videos
• Identify hidden customer shopping patterns and
produce actionable insights.
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Primary data
Data collected for the first time,
which can be used for solving the
particular problem under
investigation.
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Primary data
Advantages Disadvantages
Answers a specific research Expensive
question
Data is current Quality declines if interviews
are lengthy
Source of data is known Reluctance to participate in
lengthy interviews
Secrecy can be maintained Time consuming to collect
data
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Traditional Survey Research
(Asking People)
In-Home Interviews Mail Surveys
Mall Intercept Interviews Executive Interviews
Telephone Interviews Focus Groups
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Traditional Survey Research
(Asking People)
• In home personal interviews: Provide high-quality
information, but are expensive because of travel time
and mileage costs for the interviewer.
• Mall intercept interviews: that involves interviewing
people in the common areas of shopping malls.
• Telephone interviews: Many facilities for telephone
interviews utilize computer-assisted interviewing,
where information is directly input into a computer
application.
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Traditional Survey Research
(Asking People)
• Mail Surveys: Benefits are the low
cost, elimination of interviews.
However, mail questionnaires
usually produce low response rates
• Executive interviews: Survey
involves businesspeople at their
offices regarding industrial products
or services.
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Traditional Survey Research
(Asking People)
Focus group:
A group of about 7 - 10 people who
participate in a discussion led by a
moderator.
The meeting place has audio, video and
perhaps Internet recording equipment
A viewing room with a one-way mirror so
that clients may watch the session
A moderator leads the group discussion
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Focus group
Source: Kerin, Marketing in Asia, McGrawHill
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New trend
of Internet Survey
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Advantages of Internet Surveys
Rapid development,
Real-time reporting
Reduced costs
Personalized questions
and data
Improved respondent
participation
Contact with the
hard-to-reach
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Questionnaire design
An interview question that
encourages an answer phrased in a
respondent’s own words.
Open-ended
question e.g. Why do you like your school?
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Questionnaire design
An interview question that asks
the respondent to make a selection
from a limited list of responses.
Closed-ended
e.g.? Did you heat the food before
question
eating?
Yes 1
No 2
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Questionnaire design
A closed-ended question
designed to measure the intensity
of a respondent’s answer.
Scaled-
response e.g.? Are you satisfied with your
question current brand of dishwasher powder?
_____ Satisfied
_____ Neutral
_____ Not Satisfied
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Questionnaire Design
Typical problems in wording questions
© 2021 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or Source:
posted to Kerin, Marketing
a publicly in Asia,inMcGrawHill
accessible website, whole or in part. 23
Observational Research
Situation Example
People watching people Observers stationed in supermarkets watch
consumers select frozen Mexican dinners; the
purpose is to see how much comparison shopping
people do at the point of purchase.
People watching an observer stationed at an intersection counts traffic
activity moving in various directions.
Machines watching people Cameras record behavior as in the people-watching-
people example above.
Machines watching an Traffic-counting machines monitor traffic flow.
activity
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Observational research
• Advantages
−Bias from interviewing process is eliminated
−Observation does not rely on the respondent’s
willingness to provide data
• Disadvantages
−Costly
−Unreliable when different observers report
different conclusions in watching the same
event
−Observation can reveal what people do but it
cannot easily determine why they do it
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Step 3: Sampling procedure
• Sample – a subset from a larger population
• Universe – the population from which a sample will be
drawn
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Sampling Procedure
Sample
Universe
Probability Samples
Non-Probability Samples
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Probability samples
A sample in which every element
in the population has a known
statistical likelihood of being
selected.
Probability
sample Advantages: equal chance of
being selected, unbiased
selection.
Disadvantages: more time
consuming and costly
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Non-probability samples
Any sample in which little or no
attempt is made to get a
representative cross-section of
Non-probability the population.
sample Advantages: when time and
budget are limited
Disadvantages: arbitrary
judgments of researchers
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Step 4: Data Collection
Go to collect data based on the
research plan.
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Step 5: Data analysis
To interpret and draw conclusions from the mass
of collected data.
Quantitative tends to use statistics for its data
analysis, e.g. frequency, cross-tabulations.
Qualitative tends to use pattern matching for its
data analysis
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Step 6: Prepare and Present the Report
• Prepare the report and communicate the
conclusions and recommendations to
management.
Step 7: Follow up
• The researcher is providing strategic information
and advice on how to apply the findings and
recommendations.
Further study: BHMH2131 Marketing Research Fundamentals
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