Lecture 4B: Marketing

Research Process and

Methods
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Overview

 Describe the basic stages and

techniques involved in market research

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Marketing Research

 The function that links the consumer,

customer and public to the marketer through
information used to:
– identify and define marketing opportunities and
problems
– generate, refine and evaluate marketing actions
– monitor marketing performance
– improve understanding of the marketing process

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Value Linked Market Research Applications

Value component Market Research Applications

Understanding Market description, customer value analysis; usage and
Value awareness studies, critical incident studies, market
share, brand image and positioning; monitoring of
community attitudes

Configuring New product research, market feasibility studies, brand

Value extension studies, usability research

Communicating Brand health, audience research (TV, radio, newspapers,

Value magazines, internet); copy testing, advertising testing,
advertising tracking, PR effectiveness, integrated
market communication research
Delivering Retail research, research among channel partners, staff
Value motivation research

(Source: Gabbott 2004)

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The marketing research process

Fig 6.3 p. 212 Kotler, Brown, Adam, Burton, Armstrong: Marketing 7e © 2007 Pearson Education Australia

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Define the problem

Exploratory Descriptive Causal

Objective Discovery of ideas Describe market Determine cause
and insights characteristics or and effect
functions relationships

Characteristics Flexible, versatile Marked by the Manipulation of one

Often the front end prior formulation or more
of total research of specific independent
design hypotheses variables
Pre-planned and Control of other
structured design mediating variables
Methods Pilot surveys, Secondary data, Experiments,
expert surveys, surveys, panels, regression analysis,
secondary data, observational and annova, etc.
qualitative research other data
Source: Malhotra et. al., 2006 p. 115

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Develop the plan / design the
research – types of data
 Secondary data
– consist of information that already exists
– Not primarily collected to answer specific problem identified
by the firm
 Primary data
– consist of information collected for the current research
purpose.
 Start with secondary data
– Proceed to collection of primary data only when secondary
data sources exhausted or yield marginal returns

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Classifying Secondary Data

From other
Secondary elements of
Data the MkIS

Internal External

Ready to Further
use Processing

Published Syndicated Computerised

Materials Services Databases

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Main Types of Primary Market

Research Methods
Method

Qualitative Quantitative
(exploratory or
descriptive)
Survey Experiment
Focus Depth (Descriptive) (Causal)
Groups Interviews

Interviewer
Observation Self-
Completion conducted

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Focus Groups

 Very common MR technique

 Definition: An interview conducted by a trained
moderator among a small group of respondents in
an unstructured and natural manner
 Examples
– Groups to test reactions to new brand logo
– Groups to help understand issues in choice of interior features
of motor vehicles
– Groups to explore customers’ moments of truth with Financial
Services provider
– Groups to evaluate a TV commercial (message not impact)

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Focus Groups
 8 – 10 people representing target
market
 Often min of 3 groups for validity
reasons
 Trained moderator
 Typical Costs
– Venue, hosting (food, drink) $50-$100
– Recruiter's fee $40 - $100
– Incentives $45 - $80
– Tapes, transcripts

 CHARGE to client $2,500 - $4,000

(per group)
– Plus incentives
– Plus travel and accommodation
– Plus out-of-pocket expenses
– Discount for bulk?

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Depth Interviews

 Depth Interviews
– Intensive, one-on-one discussion between researcher &
respondent
> Typically 30-90 minutes
> Semi-structured
> Aims at insight
 Application areas
– Business to Business research
– When access to groups is limited
– When group discussions might inhibit responses eg research
into condom or tampon use and experiences
 Selection of respondents
– Key informants or judgment ‘sample’

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Planning Primary Data Collection
(Quantitative)

 Research approaches  Sampling plan

– Observation – Sampling unit
– Survey – Sample size
– Experiment – Sampling procedure
 Contact methods  Research instruments
– Mail – Questionnaire
– Telephone – Mechanical instruments
– Personal

Adapted from Table 623 p. 220 Kotler, Brown, Adam, Burton, Armstrong: Marketing 7e © 2007 Pearson Education Australia

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Contact methods

Table 6.3 p. 221 Kotler, Brown, Adam, Burton, Armstrong: Marketing 7e © 2007 Pearson Education Australia

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Sampling

Table 6.4 p. 225 Kotler, Brown, Adam, Burton, Armstrong: Marketing 7e © 2007 Pearson Education Australia

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Implementing and interpreting

 Implementing the research plan

– After gathering the data, the researcher now
implements the plan. This involves collecting,
processing and analysing the information and
findings.
 Interpreting and reporting findings
– The researcher must now interpret the findings, draw
conclusions and report them to management.
– The researcher should present the major findings
that are useful for the main decisions faced by
management.
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Public Policy and Ethics in Marketing Research

 When properly used, marketing research benefits

both the sponsoring company and its customers.
It helps the company to make better marketing
decisions, which in turn results in products and
services that meet the needs of consumer more
effectively. However, when misused, marketing
research can also annoy customers. Examples
include:
– Intrusions on consumer privacy
– Misuse of research findings
– An increase in Codes of Practice

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Summary
 Market research is required to solve specific
problems faced by an organisation
 Problems can be solved through the application of
qualitative and quantitative research projects
 The MR process guides the development and
implementation of market research projects
 MR project can only be successful if the right
questions are asked, to the right people, using the
right methods

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