Marketing Research Presented by, Saneem Nazim, S4 MBA, Roll No: 12 CHMM College
Transcript
1. Presented by, Saneem Nazim, S4 MBA, Roll No: 12 CHMM
College
2. Marketing research is the systematic gathering, recording
and analyzing of the data about the marketing problems towards the
end of providing information useful in marketing decision making.
-Still and Cundiff Definition
3. Research includes: Sales research Product research
Advertising research Motivation research Service marketing research
Micro environmental research
4. Product Research Product market research serves several
goals: new product design and market validation research, or
assessing existing product strength and line extension potential.
Concept Testing Concept testing research evaluates advertising
concepts, ad theme concepts and appeals, new product concepts,
pricing, brand concepts, brand names, and positioning strategy
concepts. Applications of Market Research
5. Branding Research Branding decisions drive branding
marketing research strategy. Brand Management and Research services
help to understand the brand's value, strengths and vulnerabilities
and increase the brand position Brand Equity Research Brand equity
research measures the breadth and depth of brand power in the
target markets. A key to research design is the goal of a brand
equity measurement study.
6. Advertising Research Advertising research design is
determined by specific advertising goals and the stage of ad
development, or campaign. Pricing Research Various types of
research used to explore the role of price, optimal pricing, and
pricing demand curves Sales Analysis An analysis of sales by period
or year to project trends, identify problems and measure a
retailer's performance
7. Positioning Research Studies designed to help identify the
optimal positioning for a brand or service Market Segmentation
Market segmentation is a process by which market researchers
identify key attributes about customers and potential consumers
that can be used to create distinct target market groups Customer
Satisfaction Research It is area of marketing research which
focuses on customers' perceptions with their shopping or purchase
experience.
8. I. Defining the problem and setting the objectives: The
definition of the problem helps in determining the techniques to be
used, the extent of information to be collected. After defining the
basic problem, the researcher must specify the objective of the
study. II. Conducting situational analysis: It means collecting the
information about the business environment. Marketing Research
Process
9. III. Conducting an informal investigation: The researcher
must conduct an informal investigation with the people outside the
company, like wholesalers, advertising agencies, consumers etc. IV.
Planning and conducting a formal investigation: It includes a)
Selecting the source of information b) Deciding methods of data
collection c) Preparing frames and forms d) Pre-testing the forms
e) Planning the samples f) Collecting the data
10. V. Analyzing and Interpreting data: Data analysis and
interpretation is the process of assigning meaning to the collected
information and determining the conclusions, significance, and
implications of the findings. VI. Preparing a written report Making
the written report clearly presented and highlighting the findings
and the decision maker should be able to take decision effectively
after going through the findings and recommendations.
11. Research is not guarantee of success Lack of adequate
knowledge of marketing research Research is based on sample and
sampling research lacks the complete accuracy Trained personnel and
a lot of time is required for marketing research It is difficult to
evaluate the economic benefits derived by marketing research
Limitation of Marketing Research
12. It can't give 100% accurate results It provides suggestions
and not solutions. Marketing research is a costly affair. It can't
predict consumer behaviour.(changing the behaviour of consumers)
Long time is required in the marketing research procedures
13. PREPARED BY: SREEJA
14. Introduction Market research is the process by which
businesses find out about customers' needs, wants and desires. It
makes possible the successful development of new products. New
product development should start with an insight based on consumer
needs. Throughout the NPD process and test marketing, market
research is a valuable tool to check viability and minimize the
risk of the product launches.
15. PRODUCT DEVELOPMENT NEW PRODUCT PLANNING PROCESS The new
product planning is the function of the top management personnel
& specialists drawn from sales & marketing, research &
development, manufacturing & finance. PHASES OF NEW PRODUCT
DEVELOPMENT Idea generation:- The first stage is on searching for
new product ideas. An important source of new product ideas is
customers. Screening of ideas:- It means critical evaluation of
product ideas generated. The main objective of screening is to
abandon those ideas which are inconsistent with the product policy
of the firm.
16. Concept testing:- At this stage the product concept itself
is tested. It helps the company to choose the best among the
alternative products. Market analysis:- Estimates of sales, costs
& profits are important components of market analysis. Product
development:- The product is shaped corresponding to the needs
& desire of the buyers. Test marketing:- By test marketing we
mean, by trial & error method when a product is introduced into
the market. Commercialization:- At this stage production starts,
marketing programme begins to operate & products are into the
market for sale.
17. CONSIDER THE FOLLOWING BEFORE LAUNCHING A PRODUCT:-
Effective market research Ensure product policy Identification of
consumer needs Effective promotion Proper distribution system
Correct pricing strategy
18. TEST MARKETING Test marketing is an application of a
controlled experiment, done in limited but carefully selected parts
of the marketplace called test markets. Test marketing procedures
may be classified as follows:- Standard test market:- In standard
test market the products are sold through regular distribution
channels. Controlled test market:- In controlled test market the
entire test-marketing program is conducted by an outside research
company. The research company guarantees distribution of the
product in retail outlets that represent a percentage of the
market.
19. Application of market research in product development and
test marketing Market research involves the systematic gathering,
recording and analyzing of data about customers, competitors and
the market. This links marketers to consumers by supplying
essential information to solve marketing challenges and help with
marketing decisions. Market research helps a company create and
develop an up-to-date and relevant portfolio of products
20. Identifying consumer insights and product needs - where to
start? Market research should start with the consumer and serves
two purposes: 1) To inform companies about consumer needs and
desires. What are the trends in the market? What do consumers want?
2) To give consumers the opportunity to talk to the providers of
products and services so that their views are taken into
account.
21. Turning consumer insights into product concepts The team
generated ideas on how to address the consumer need. From these
ideas the marketing team created 'product concepts'. These describe
the product benefits and how they will meet the consumer needs.
Several concepts were written in different ways. These explained
and expressed unique product attributes
22. APPLICATION OF TEST MARKETING How large a plant is needed
for national sales? Which cities should be selected to run the
test? What should be the optimum expenditure on production? What
would be the return on investment? What time period is required to
run the test? What specific information should be collected during
the test? What action should be taken after the test?
23. SEGMENTATION The process of dividing the market into
homogeneous markets with similar characteristics is called market
segmentation. CRITERIA FOR MARKET SEGMENTATION Identity :- There
must be clear differences between segments. Members of such
segments can be identified by common characteristics which display
similar behavior. Accessibility :- It must be possible to reach the
different segments in regard to both promotion &
distribution.
24. Responsiveness:- A clearly defined segment must react to
changes in any of the elements of the marketing mix. Size:- The
segment must be reasonably large enough to be a profitable target.
Nature of demand:- It refers to the different quantities demanded
by various segments. Measurability:- The purpose of segmentation is
to measure the changing behavior pattern of consumers.
25. EXAMPLE Refrigerators: The market can be segmented on the
basis of:- Geographical:- North India,South India,East India Size
of refrigerators:-65 Litres,90 Litres,165 Litres Nature of
consumers:- Households, Indusrial
26. Prepared By:- Sreeji.J.R
27. Sales Forecasting Sales forecasting is a difficult area of
management. Most managers believe they are good at forecasting.
However, forecasts made usually turn out to be wrong! Market
Forecast refers to the estimates of future sales of a companys
products in the market. Sales forecasting is very popular in
industrially advanced countries where demand conditions are always
uncertain than the supply conditions.
28. Reasons for undertaking Sales Forecast Businesses are
forced to look well ahead in order to plan their investments,
launch new products, decide when to close or withdraw products and
so on. The sales forecasting process is a critical one for most
businesses. Key decisions that are derived from a sales forecast
include:- - Employment levels required - Promotional mix -
Investment in production capacity
29. Types Of Forecasting There are two major types of
forecasting, which can be broadly described as macro and micro:
Macro forecasting is concerned with forecasting markets in total.
This is about determining the existing level of Market Demand and
considering what will happen to market demand in the future. Micro
forecasting is concerned with detailed unit sales forecasts. This
is about determining a products market share in a particular
industry and considering what will happen to that market share in
the future.
30. Selection Of Forecasting The selection of which type of
forecasting is used depends on the several factors which can be
described as: (1) The degree of accuracy required if the decisions
that are to be made on the basis of the sales forecast have high
risks attached to them, then it stands to reason that the forecast
should be prepared as accurately as possible. However, this
involves more cost
31. (2) The availability of data and information - in some
markets there is a wealth of available sales information (e.g.
clothing retail, food retailing); in others it is hard to find
reliable, up-to-date information. (3) The time horizon that the
sales forecast is intended to cover. For example; forecasting next
weeks sales, or trying to forecast what will happen to the overall
size of the market in the next five years? (4) The position of the
products in its life cycle. For example, for products at the
introductory stage of the product life cycle, less sales data and
information may be available than for products at the maturity
stage when time series can be a useful forecasting method.
32. A common method of preparing a sales forecast has three
stages 1) Prepare a macroeconomic forecast what will happen to
overall economic activity in the relevant economies in which a
product is to be sold. 2) Prepare an industry sales forecast what
will happen to overall sales in an industry based on the issues
that influence the macroeconomic forecast. 3) Prepare a company
sales forecast based on what management expect to happen to the
companys market share.
33. Forecasting Process Forecast Objective Evaluate Result
versus forecast Determined independent and dependent variables
Total forecast Procedure Select forecast Analysis method Develop
Forecast Procedure Gather & analyze data Present assumption
about data Make & finalize forecast
34. METHODS OF FORECASTING. Some of the methods used in
forecasting are: user expectations sales force composite jury of
executive opinion Delphi technique market test Time series analysis
method
35. Purposes Of Forecasting Appropriate production scheduling
Reducing cost of purchasing raw materials Determining appropriate
price policy Setting sales targets and establishing controls and
incentives Evolving a suitable promotional program Forecasting
short-term financial requirements Planning of a new unit or
expansion of an existing unit Planning of long-term financial
requirements Planning of man-power requirements
36. Prepared by: Ismayil Khalam
37. What are Ethics? Ethics are a collection of principles of
right conduct that shape the decisions that people or organizations
make. Practicing ethics in marketing means deliberately applying
standards of fairness, or moral rights and wrongs, to marketing
decision making, behavior, and practice in the organization.
38. What is marketing research? Marketing Research is the
systematic and objective identification,collection,analysis,and use
of information for the purpose of improving decision making related
to the identification and solution of problems and opportunities in
marketing.
39. Importance of ethics in research: Promote the aims of
researcher Promote values Accountable to public Public support
40. Types of organization Ethical Base- when an organization
behaves ethically, customers develop more positive attitudes about
the firm, its products, and its services. Non-Ethical Base- Not
employing ethical marketing practices may lead to dissatisfied
customers, bad publicity, a lack of trust, lost business, or,
sometimes legal action.
41. Problems: Three key areas where problems often arise in
marketing research: 1. In the relationship between the researcher
and the client 2. Between the researcher and the research subject
3. Between the researcher and the marketing research industry
42. Ethical principles: Honesty Objectivity Integrity
Carefulness Openness Respect for intellectual prosperity
Confidentiality Social responsibility
43. Ethics and Marketing Research AMA Code of Ethics
Prohibiting and selling (sugging) or fund raising (frugging) under
the guise of conducting research Maintaining research integrity by
avoiding misrepresentation and omission of pertinent research data
Treating others (buyers and suppliers) fairly
44. Ethical Issues in Marketing Research Marketing ethics The
application of morals to behavior related to the exchange
environment. Moral standards Principles that reflect beliefs about
what is ethical and what is unethical. Ethical dilemma A situation
in which one chooses from alternative courses of actions, each with
different ethical implications.
45. Ethical Issues in Marketing Research (contd) Relativism A
term that reflects the degree to which one rejects moral standards
in favor of the acceptability of some action. This way of thinking
rejects absolute principles in favor of situation-based
evaluations. Idealism A term that reflects the degree to which one
bases ones morality on moral standards. example: the Golden
Rule
46. Ethical Issues in Marketing Research Excessive interviewing
Lack of consideration Abuse of respondents Delivering sales pitches
under the guise of marketing research
47. Ethical Issues in Marketing Research Incomplete reporting
of results Misleading reporting of results Nonobjective research
Use of data and the confidentiality of information collected