Marketing ManagementArab World EditionKotler, Keller, Hassan, Baalbaki and Shamma
Chapter 4
Conducting Marketing Research and Forecasting Demand
Chapter Questions
1. What constitutes good marketing research?
2. What are good metrics for measuring marketing productivity?
3. How can marketers assess their return on investment of marketing expenditures?
4. How can companies more accurately measure and forecast demand?
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The Marketing Research SystemChapter Question 1:
What constitutes good marketing research?
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واعطاء : المعلومات وتحليل لجمع نظام خلق هى التسويق بحوث
االوضاع عن االجابات واعطاء المعلومات تلك حول هامة تقارير
الشركة وتواجه بالسوق المحيطة
P&G has a dedicated Consumer & Market Knowledge (CMK) market
research function.
The Marketing Research SystemChapter Question 1:
What constitutes good marketing research?
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البحث بمهمة للقيام خارجية بحوث شركات مع الشركات تتعاقد ما غالبا
انواع ثالث وهم : التسويقى
عامة : بحوث كاوضاع شركات العامة البحوث فى تتخصص التى وتلك
جهاز ) واالسعار والمستهلكين السوق
االحصاء التعبئة
متخصصة : تسويق بحوث بالتعاقد شركات تقوم التى الشركات وهى
ابسوس ) – ( شركة نيلسن شركة مثل عمولة او اجر نظير معين بحث على
تنفيذية : بحوث جمع شركات على الوحيدة مهمتها تقتصر شركات وهى
المعلومات وجمع الميدانية البحوث تنفيذ خالل من المعلومات
The Marketing Research SystemChapter Question 1:
What constitutes good marketing research?
جمع اجل من ظريفة بطرق تقوم الصغيرة الشركات بعض
اقل بتكلفة : المعلومات
فعلية عمل ورش فى الجامعات فى والطالب االساتذة اشراك
االنترنت استخدام
المنافسين لمقار ميدانية زيارة
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The Marketing Research ProcessChapter Question 1:
What constitutes good marketing research?
Effective marketing research
follows the six steps shows
in Figure 4.1.
Fig. 4.1: The Marketing Research Process
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Step 1: Define the Problem and Research Objectives
Chapter Question 1:
What constitutes good marketing research?
المشكلة تحديد
البدائل تحديد
البحث اهداف
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Step 2: Develop the Research Plan
Chapter Question 1:
What constitutes good marketing research?
حول قرارات اتخاذ إلى بحاجة ونحن البحث، خطة :لتصميم
البيانات :مصادر
البيانات؟ الثانوية أو األولية البيانات
تشمل - أن يمكن البحث :منهج
الرصدية البحوث
البحثية المجموعة التركيز
المسحية البحوث
السلوكية البيانات
التجريبي البحث
A focus group in session
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Step 2: Develop the Research Plan
Chapter Question 1:
What constitutes good marketing research?
البحث ادوات تحديد يجب
االستبيانات
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Question Types – اختيارين من اختيار
؟ تدخن هل
Yes No
Chapter Question 1:
What constitutes good marketing research?
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With whom are you traveling on this trip?
No one
Spouse
Spouse and children
Children only
Business associates/friends/relatives
An organized tour group
Question Types – Multiple Choice
Chapter Question 1:
What constitutes good marketing research?
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Indicate your level of agreement with the following statement: Small airlines generally give better service than large ones.
Strongly disagree
Disagree
Neither agree nor disagree
Agree
Strongly agree
Question Types – Likert Scale
Chapter Question 1:
What constitutes good marketing research?
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Royal Jordanian Airlines
Large ………………………………...…….Small
Experienced………………….….Inexperienced
Modern……………………….…..Old-fashioned
Question Types – Semantic Differential
Chapter Question 1:
What constitutes good marketing research?
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Airline food service is _____ to me.
Extremely important
Very important
Somewhat important
Not very important
Not at all important
Question Types – Importance Scale
Chapter Question 1:
What constitutes good marketing research?
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Royal Jordanian Airlines’ food service is _____.
Excellent
Very good
Good
Fair
Poor
Question Types – Rating Scale
Chapter Question 1:
What constitutes good marketing research?
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How likely are you to purchase tickets on American Airlines if in-flight internet access were available?
Definitely buy
Probably buy
Not sure
Probably not buy
Definitely not buy
Question Types – Intention-to-Buy Scale
Chapter Question 1:
What constitutes good marketing research?
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What is your opinion of American Airlines?
Question Types – Completely Unstructured
Chapter Question 1:
What constitutes good marketing research?
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What is the first word that comes to your mind when you hear the following?
Airline ________________________
Royal Jordanian __________________
Travel ________________________
Question Types – Word Association
Chapter Question 1:
What constitutes good marketing research?
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When I choose an airline, the most important consideration in my decision is: ________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________.
Question Types – Sentence Completion
Chapter Question 1:
What constitutes good marketing research?
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“I flew by American Airways a few days ago. I noticed that the exterior and interior of the plane had very bright colors. This aroused in me the following thoughts and feelings.” Now complete the story. __________________________________________________________________________________________________________________________________________________________________________________________________________________________________________
Question Types – Story Completion
Chapter Question 1:
What constitutes good marketing research?
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Question Types – Picture (Empty Balloons)
Chapter Question 1:
What constitutes good marketing research?
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Step 2: Develop the Research Plan
Chapter Question 1:
What constitutes good marketing research?
(Decisions to make, continued):
• Sampling plan
o Sampling unit: Who is to be surveyed?
o Sample size: How many people should be surveyed?
o Sampling procedure: How should the respondents be chosen?
• Contact methods
o Mail questionnaire
o Telephone interview
o Personal interview
o Online interview Insights from Kraft-sponsored online communities helped the company
develop its popular line of 100-calorie snacks.
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Step 3: Collect the Information
Chapter Question 1:
What constitutes good marketing research?
Data-collection phase is generally the most expensive and the most prone to error.
Problems collecting survey data include:
•Respondents not at home/not contactable
•Respondents refuse to cooperate
•Respondents give biased or dishonest answers
•Interviewers are biased or dishonest
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Step 4: Analyze the Information
Chapter Question 1:
What constitutes good marketing research?
Extract the findings by:
•Tabulating the data
•Working out averages and measures for spotting patterns
•Applying statistical techniques and decision models
•Testing different hypotheses and theories
•Applying sensitivity analysis to test strength of conclusions
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Step 5: Present the Findings
Chapter Question 1:
What constitutes good marketing research?
Researcher presents findings relevant to the major marketing decisions facing management.
Researchers are often asked to add their opinion and recommendations, to act as consultants.
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Step 6: Make the Decision
Chapter Question 1:
What constitutes good marketing research?
Many organizations use a marketing decision support system (MDSS) to help marketing managers make better decisions.
A MDSS is a coordinated collection of data, systems, tools, and techniques with supporting software and hardware
by which an organization gathers and interprets relevant information
from business and the environment and turns it into a basis for marketing action.
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Measuring Marketing ProductivityChapter Question 2:
What are good metrics for measuring marketing
productivity?
Marketing metrics are the set of measures that helps
marketers quantify, compare, and interpret marketing
performance.
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Marketing Metrics
Chapter Question 2:
What are good metrics for measuring marketing
productivity?
Companies should ask themselves five questions to review how
they measure their marketing performance:
1.Do you routinely research consumer behavior (retention, acquisition, usage) and why consumers behave that way?
2.Do you routinely report the results of this research to the board in a format integrated with financial marketing metrics?
3.In those reports, do you compare the results with the levels previously forecasted in the business plans?
4.Do you also compare them with the levels achieved by your key competitor using the same indicators?
5.Do you adjust short-term performance according to the change in your marketing-based asset(s)?
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Table 4.6: Sample Marketing Metrics
Chapter Question 2:
What are good metrics for measuring marketing
productivity?
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Marketing-Mix Modeling
Chapter Question 3:
How can marketers assess their return on investment of marketing expenditures?
Marketing-mix models analyze data from a variety of
sources, such as retailer scanner data, company shipment
data, pricing, media, and promotion spending data, to
understand more precisely the effects of specific marketing
activities.
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Marketing Dashboards
Chapter Question 3:
How can marketers assess their return on investment of marketing expenditures?
• A customer-performance scorecard records how well the company is doing year after year on customer-based measures.
• A stakeholder-performance scorecard tracks the satisfaction of various constituencies who have a critical interest in and impact on the company’s performance including employees, suppliers, banks, distributors, retailers, and stockholders.
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Box 4.1: Sample Customer-Performance Scorecard Measures
Chapter Question 3:
How can marketers assess their return on investment of marketing expenditures?
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Fig. 4.2: Marketing Measurement Pathway
Chapter Question 3:
How can marketers assess their return on investment of marketing expenditures?
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Fig. 4.3: Example of a Marketing Dashboard
Chapter Question 3:
How can marketers assess their return on investment of marketing expenditures?
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Forecasting and DemandMeasurement
Chapter Question 4:
How can companies more accurately measure and
forecast demand?
The Measures of Market Demand
Fig. 4.4 shows 90 different types of demand measurement.
But there are productive ways to
break down the market, for example:
• Potential market
• Available market
• Target market
• Penetrated market
Fig. 4.4: Ninety Types of Demand Measurement
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Chapter Question 4:
How can companies more accurately measure and
forecast demand?A Vocabulary for Demand Measurement
• Market demand
• Market forecast
• Market potential
• Company demand
• Company sales forecast
• Company sales potential
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Chapter Question 4:
How can companies more accurately measure and
forecast demand?A Vocabulary for Demand Measurement
Fig. 4.5: Market Demands Functions
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Chapter Question 4:
How can companies more accurately measure and
forecast demand?Estimating Current Demand
Marketing managers want to estimate:
• Total market potential
o Use: chain-ratio method
• Area market potential
o Use: market-buildup method, or multiple-factor index method
• Industry sales and market shares
o Identify competitors and estimate their sales
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Chapter Question 4:
How can companies more accurately measure and
forecast demand?Estimating Future Demand
How do companies develop their forecasts?
• Survey of buyers’ intentions
• Composite of sales force opinions
• Expert opinion
• Past-sales analysis
• Market-test method
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Credits
• Slide 1 Camera Press Ltd: Richard Wayman
• Slide 3 Press Association Images: Wilfredo Lee / AP
• Slide 8 Alamy Images: Adams Picture Library t / a apl
• Slide 24 Alamy Images: Jeff Greenberg
• Slide 34 “What does marketing success look like?”, Marketing Management, Vol 10 (1), pp.12–18, (Ambler, T.,
2001), copyright © American Marketing Association. Reproduced by permission of AMA and the author
• Slide 30 Adapted from Patrick LaPointe, Marketing by the Dashboard Light – How to Get More Insight, Foresight, and Accountability from Your Marketing Investments. © 2005,
Patrick LaPointe