LESSON -1

MARKETING RESEARCH
CONTENTS
1.1 INTRODUCTION
1.2 ROLE OF MARKETING RESEARCH
1.3 THE EVOLUTION OF MARKETING RESEARCH
1.4 MARKETING RESEARCH CHARACTERISTICS
1.5 THE MARKET RESEARCH


1.1 INTRODUCTION
Successful entrepreneurs must adapt to an ever-changing business environment. In
addition to the everyday aspects of running a business, a company has to consider materials,
energy shortages, inflation, economic recessions, unemployment, and technological changes. A
profitable company must also respond to the market with its products and advertising. A critical
tool for measuring the market and keeping competitive is effective marketing research. In this
chapter, we will introduce marketing research and discuss the tools you need to be successful.
Think of marketing research as a search for information that will help you succeed in
capturing market share. To begin, lets consider the differences between fundamental and applied
research.Fundamental research seeks to extend the boundaries of knowledge in a given area and
doesnt necessarily solve your immediate problems. Nevertheless, it has useful applications. It
reveals information and relationships that could be useful at a later date. For example, The Green
Yogurt company conducted fundamental research about consumer preferences for certain
combinations of fruits, nuts, and caramel that differ in sugar type and strength of sweetness.
Applied research gathers information to solve a specific problem or set of problems. For
instance, customers engaged in a blind taste test would respond with what they specifically liked
or disliked about a new yogurt product compared to a competitors product. You would use this
information to tune your business plan, focus your advertising campaign, or improve your
product.
Marketing research is the process or set of processes that links the consumers,
customers, and end users to the marketer through information information used to identify
and define marketing opportunities and problems; generate, refine, and evaluate marketing
actions; monitor marketing performance; and improve understanding of marketing as a process.
Marketing research specifies the information required to address these issues, designs the method
for collecting information, manages and implements the data collection process, analyzes the
results, and communicates the findings and their implications
It is the systematic gathering, recording, and analysis of qualitative and quantitative data
about issues relating to marketing products and services. The goal of marketing research is to
identify and assess how changing elements of the marketing mix impacts customer behavior. The
term is commonly interchanged with market research; however, expert practitioners may wish to
draw a distinction, in that market research is concerned specifically with markets, while
marketing research is concerned specifically about marketing processes.,either by target market:
Consumer marketing research, and
Business-to-business (B2B) marketing research Or, alternatively, by methodological
approach:
Qualitative marketing research, and
Quantitative marketing research
Consumer marketing research is a form of applied sociology that concentrates on understanding
the preferences, attitudes, and behaviors of consumers in a market-based economy, and it aims to
understand the effects and comparative success of marketing campaigns. The field of consumer
marketing research as a statistical science was pioneered by Arthur Nielsen with the founding of
the ACNielsen Company in 1923.
Thus, marketing research may also be described as the systematic and objective
identification, collection, analysis, and dissemination of information for the purpose of assisting
management in decision making related to the identification and solution of problems and
opportunities in marketing
1.2 ROLE OF MARKETING RESEARCH
The task of marketing research (MR) is to provide management with relevant, accurate,
reliable, valid, and current information. Competitive marketing environment and the ever-
increasing costs attributed to poor decision making require that marketing research provide
sound information. Sound decisions are not based on gut feeling, intuition, or even pure
judgment.
Marketing managers make numerous strategic and tactical decisions in the process of
identifying and satisfying customer needs. They make decisions about potential opportunities,
target market selection, market segmentation, planning and implementing marketing programs,
marketing performance, and control. These decisions are complicated by interactions between
the controllable marketing variables of product, pricing, promotion, and distribution. Further
complications are added by uncontrollable environmental factors such as general economic
conditions, technology, public policies and laws, political environment, competition, and social
and cultural changes. Another factor in this mix is the complexity of consumers. Marketing
research helps the marketing manager link the marketing variables with the environment and the
consumers. It helps remove some of the uncertainty by providing relevant information about the
marketing variables, environment, and consumers. In the absence of relevant information,
consumers' response to marketing programs cannot be predicted reliably or accurately. Ongoing
marketing research programs provide information on controllable and non-controllable factors
and consumers; this information enhances the effectiveness of decisions made by marketing
managers.
Traditionally, marketing researchers were responsible for providing the relevant
information and marketing decisions were made by the managers. However, the roles are
changing and marketing researchers are becoming more involved in decision making, whereas
marketing managers are becoming more involved with research. The role of marketing research
in managerial decision making is explained further using the framework of the "DECIDE"
model:
The DECIDE model conceptualizes managerial decision making as a series of six steps.
The decision process begins by precisely defining the problem or opportunity, along with the
objectives and constraints. Next, the possible decision factors that make up the alternative
courses of action (controllable factors) and uncertainties (uncontrollable factors) are enumerated.
Then, relevant information on the alternatives and possible outcomes is collected. The next step
is to identify and select the best alternative based on chosen criteria or measures of success. Then
a detailed plan to develop and implement the alternative selected is developed and put into effect.
Last, the outcome of the decision and the decision process itself are evaluated.
1.3 THE EVOLUTION OF MARKETING RESEARCH
Marketing research has evolved in the decades since Arthur Nielsen established it as a viable
industry, one that would grow hand-in-hand with the B2B and B2C economies. Markets
naturally evolve, and since the birth of ACNielsen, when research was mainly conducted by in-
person focus groups and pen-and-paper surveys, the rise of the Internet and the proliferation of
corporate websites have changed the means by which research is executed.
Web analytics were born out of the need to track the behavior of site visitors and, as the
popularity of e-commerce and web advertising grew, businesses demanded details on the
information created by new practices in web data collection, such as click-through and exit rates.
As the Internet boomed, websites became larger and more complex and the possibility of two-
way communication between businesses and their consumers became a reality. Provided with the
capacity to interact with online customers, Researchers were able to collect large amounts of data
that were previously unavailable, further propelling the Marketing Research Industry.
In the new millennium, as the Internet continued to develop and websites became more
interactive, data collection and analysis became more commonplace for those Marketing
Research Firms whose clients had a web presence. With the explosive growth of the online
marketplace came new competition for companies; no longer were businesses merely competing
with the shop down the road competition was now represented by a global force. Retail
outlets were appearing online and the previous need for bricks-and-mortar stores was
diminishing at a greater pace than online competition was growing. With so many online
channels for consumers to make purchases, companies needed newer and more compelling
methods, in combination with messages that resonated more effectively, to capture the attention
of the average consumer.
Having access to web data did not automatically provide companies with the rationale behind the
behavior of users visiting their sites, which provoked the marketing research industry to develop
new and better ways of tracking, collecting and interpreting information. This led to the
development of various tools like online focus groups and pop-up or website intercept surveys.
These types of services allowed companies to dig deeper into the motivations of consumers,
augmenting their insights and utilizing this data to drive market share.
As information around the world became more accessible, increased competition led companies
to demand more of Market Researchers. It was no longer sufficient to follow trends in web
behaviour or track sales data; companies now needed access to consumer behaviour throughout
the entire purchase process. This meant the Marketing Research Industry, again, needed to adapt
to the rapidly changing needs of the marketplace, and to the demands of companies looking fora
competitive edge.
Today, Marketing Research has adapted to innovations in technology and the corresponding ease
with which information is available. B2B and B2C companies are working hard to stay
competitive and they now demand both quantitative (What) and qualitative (Why?)
marketing research in order to better understand their target audience and the motivations behind
customer behaviors.
This demand is driving Marketing Researchers to develop new platforms for interactive, two-
way communication between their firms and consumers. Mobile devices such as Smartphones
are the best example of an emerging platform that enables businesses to connect with their
customers throughout the entire buying process. Innovative research firms, such as On Research
with their On Mobile app, are now providing businesses with the means to reach consumers from
the point of initial investigation through to the decision and, ultimately, the purchase.
As personal mobile devices become more capable and widespread, the Marketing Research
Industry will look to further capitalize on this trend. Mobile devices present the perfect channel
for Research Firms to retrieve immediate impressions from buyers and to provide their clients
with a holistic view of the consumers within their target markets, and beyond. Now, more than
ever, innovation is the key to success for Marketing Researchers. Marketing Research Clients are
beginning to demand highly personalized and specifically-focused products from the MR firms;
big data is great for identifying general market segments, but is less capable of identifying key
factors of niche markets, which now defines the competitive edge companies are looking for in
this mobile-digital age.
1.4 MARKETING RESEARCH CHARACTERISTICS
First, marketing research is systematic. Thus systematic planning is required at all the stages of
the marketing research process. The procedures followed at each stage are methodologically
sound, well documented, and, as much as possible, planned in advance. Marketing research uses
the scientific method in that data are collected and analyzed to test prior notions or hypotheses.
Experts in marketing research have shown that studies featuring multiple and often competing
hypotheses yield more meaningful results than those featuring only one dominant hypothesis.[6]
Marketing research is objective. It attempts to provide accurate information that reflects a true
state of affairs. It should be conducted impartially. While research is always influenced by the
researcher's research philosophy, it should be free from the personal or political biases of the
researcher or the management. Research which is motivated by personal or political gain
involves a breach of professional standards. Such research is deliberately biased so as to result in
predetermined findings. The objective nature of marketing research underscores the importance
of ethical considerations. Also, researchers should always be objective with regard to the
selection of information to be featured in reference texts because such literature should offer a
comprehensive view on marketing. Research has shown, however, that many marketing
textbooks do not feature important principles in marketing research.
FOCUSING YOUR RESEARCH
Marketing research focuses on understanding the customer, the company, and the competition.
These relationships are at the core of marketing research. Companies must understand and
respond to what customers want from their products. However, this relationship is always
influenced by competitors and how their products are received by your market. Thus, you must
clearly identify the customer, company, and competition before developing a research project.
There are several important factors you must consider before you begin, including:
Your customers and competition
Awareness and image of your product
Product usage
Undiagnosed problems with your product
Customer desires and needs for new product development
At the Qualtrics.com Survey University, we have identified twenty different types of applied
research surveys that are fundamental to marketing research. Each focuses on a different aspect
of marketing research and your business activities, and provides deep insights into your
companys market position, your products, your competition, and the market in general.
The marketing researcher's task goes beyond the collecting of data. He/she must also interpret it
in terms of what the data means to the organisation which commissioned the research. Knowing
that sixty percent of those interviewed thought that product A was superior to product B is, in its
self, of little value. The organisation needs to know the alternative ways it can respond to this
data. Data is equivalent to the raw materials of manufacturing it has to be converted to
information before it becomes useful in decision making. The process of converting data into
information is achieved through analysis.

Whilst there is a need for accuracy, precision and thoroughness in marketing research it is to be
remembered that, in practice, there is a perpetual conflict between the demands of expediency
and the search for truth. The reality is that management is frequently under pressure to make
timely decisions. Therefore management often seeks answers through marketing research in the
shortest time possible and moreover, at minimum cost. On such occasions its methods tend to be
less theoretically rigorous and its analysis more superficial.



1.5THE MARKET RESEARCH
Marketing research can be concerned with any of a variety of aspects of the market; the product,
sales, buyer behaviour, promotion, distribution, pricing, packaging etc. Since the researcher
cannot investigate everything about a market, he/she must be selective. The question remains as
to how the researcher decides where to focus the study; and to what depth each issue should be
investigated. The answers should lie in a document called the research brief. The research brief is
a set of guidelines given to the researcher by the person(s) who have commissioned the research
and/or the individual(s) who are to make us of the results in their decision making. The brief
must inform the researcher which aspects of the market are particularly important. In particular,
the research brief should include:
The purpose of the research
The objectives stated in a clear, concise, attainable, measurable and quantifiable way
A time horizon
A resource allocation, including the budget and facilities
A reporting period.
The purpose of the research
It is not at all unusual for marketing managers to neglect to tell the researcher the precise purpose
of the research. They often do not appreciate the need to do so. Instead, they simply state what
they think they need to know. This is not quite the same thing. To appreciate the difference
consider the following case.
A marketing research agency was contacted by the International Coffee Organisation (ICO) and
asked to carry out a survey of young people in the age group 1524 years of age. They wanted
information on the coffee drinking habits of these young people; how much coffee, they drank, at
what times of day, with meals or between meals, instant or ground coffee, which other beverages
they preferred and so on. In response, the research organisation developed a set of wide ranging
proposals which included taking a large random sample of young people.

In fact, much of the information was interesting rather than important. Important information is
that which directly assists in making decisions and the ICO had not told the research company
the purpose of the research. The initial reason for the study had been a suspicion, on the part of
the ICO, that an increasing percentage of young people were consuming beverages other than
coffee -particularly soft drinks- and simply never developed the coffee drinking habit. Had this
been explained to the research company then it is likely that their proposals would have been
radically different. To begin with, the sample would have been composed of 1524 year old non-
coffee drinkers rather than a random sample of all 1524 year olds. Second, the focus would
have been non-coffee drinking habits rather than coffee drinking habits. Unless the purpose of
the research is stated in unambiguous terms it is difficult for the marketing researcher to translate
the decision-maker's problem into a research problem and study design.

Suppose that the marketing manager states that he/she needs to know the potential market for a
new product his organisation have been developing. At first glance this might appear to meet all
of the requirements of being clear, concise, attainable, measurable and quantifiable. In practice, it
would possible meet only one of these criteria, i.e. it is concise. The problem with the objective;
that the needs to know the potential market for the new product, is that it is not attainable. One
could find out how many tree lifters were currently being sold but this is not the same as the
objective set by the marketing manager. As figure 11.1 suggests the market potential for any new
brand is a function of at least 4 things: customer reaction, competitor reaction, the marketing mix
and trends in the environment.






LESSON -2
BASICS OF MARKETING RESEARCH
CONTENTS
2.1 SCIENTIFIC METHOD OF INVESTIGATION
2.2 CLASSIFICATION OF MARKETING RESEARCH
2.3 MARKETING RESEARCH PROCESS
2.4 ESSENTIALS OF THE RESEARCH PLAN
2.5 BASIC METHOD OF DATA COLLECTION

2.1 SCIENTIFIC METHOD OF INVESTIGATION
Scientific Method: A method reducing uncertainty stemming from a lack of information.
Reliability and Validity are the two traits which characterize the scientific method.
Validity characteristic used to describe the research that measures what it claims to measures
ex-to measure television viewing audiences.
Reliability-characteristic of a research methodology that allows it to be repeated again by any
researcher-always with the same results
Scientific method in the physical sciences and marketing
Physical Sciences appears significantly more scientific than marketing.
In most physical sciences the reproducible experiment is the accepted scientific method,
an experiment is conducted under controlled condition

In marketing it is difficult to control all the condition surrounding research project.

Until recent years marketing research is not supported by Validity and Reliability and the
methodology is not published.

Nowadays there are some marketing research which can be called as experiments.
Distinction between Scientific and Nonscientific
Three major differences between scientific and non scientific methods that affect the reliability
and validity of results are
Objectivity of the investigator
Accuracy of Measurement
Continuing and Exhaustive nature of investigation

Objectivity of the Investigator
Researcher must base their judgment on facts, not on perceived notions or intuition.
If an investigator is not completely objective in his thinking , if he is not just as anxious
to find facts supporting one outcome of his study , it is unlikely his work will be
scientific.
Marketing researcher often report to strong- willed executives and they pressurize the
researcher to confirm their views.
Accuracy of Measurement
The Scientific method attempts to obtain the most accurate measurement possible.
In the Physical Sciences electronic measuring devices of great accuracy are available for
some measurements.
In marketing researches typical scales used are
I like a lot
I like it little
I dislike it
I dislike it little
DIFFICULTIES IN APPLYING SCIENTIFIC METHODS TO MARKETING
RESEARCH
1. Investigator Involved in Use of Results: Organizations are the clients of researchers.
Sometimes, they try to fit in results which are readily acceptable to the clients. This is
possible when the researchers manipulates the data or does not conduct an exhaustive study.
In either of these circumstances, the study becomes unscientific.
2. Imprecise Measuring Devices: Accuracy of measurement is one of the key components
that differentiate scientific and unscientific methods. As marketing research deals with
people most of the information is obtained by interview a partially subjective procedures
that rarely leads to precise measurements. For example, the preference of an individual for a
brand of Soft Drink can be measured, but only in a relatively crude way means in
qualitative form.
3. Influence of Measurement: In case of pure science same results can experience time and
again by conduct an experiment. Whilst, this is not the case with marketing research. Since it
deals with agile behavior of human whose behavior undergoes on changing. When humans
recognize that they are being measured, they frequently change. Thus a reliability and
validity of research will suffer to a great extent.
4. Time Pressure: Marketing research must be carried out within a given time-span. Since
market operates in a dynamic environment, delays in research may results in outdated
information to the clients and moreover rivals might enter and capture the market shares. On
the contrary, research conducted in a hasty manner suffers from lack of credibility because it
does not benefit from the continuing and comprehensive study that characterizes the
scientific method.
5. Testing of Hypothesis: Testing of hypothesis is the core of any research, but unfortunately,
the use of experimentation in marketing research is often impractical to carry out due to the
many factors which come in the way. For example while measuring the impact of
advertisement on sales, it may so happen that rivals have also advertise, resulting in lesser
volume of sales. Furthermore, it is impossible to reproduce the same experiment.
6. Complexity of the Subject: since marketing research deals with the human beings, the
subject matters of marketing research become very complex. Human behavior varies from
time to time. Thus it became very difficult to identify most frequent stimuli the spark an
individual interest. Since different individuals react differently for a given stimuli. For
example advertisement may yield different results in different circumstances due to the
changed perceptions and reactions by individual.
2.2 CLASSIFICATION OF MARKETING RESEARCH
Organizations engage in marketing research for two reasons: (1) to identify and (2) solve
marketing problems. This distinction serves as a basis for classifying marketing research into
problem identification research and problem solving research.
Problem identification research is undertaken to help identify problems which are,
perhaps, not apparent on the surface and yet exist or are likely to arise in the future like company
image, market characteristics, sales analysis, short-range forecasting, long range forecasting, and
business trends research. Research of this type provides information about the marketing
environment and helps diagnose a problem. For example, The findings of problem solving
research are used in making decisions which will solve specific marketing problems.
The Stanford Research Institute, on the other hand, conducts an annual survey of
consumers that is used to classify persons into homogeneous groups for segmentation purposes.
The National Purchase Diary panel (NPD) maintains the largest diary panel in the United States.
Standardized services are research studies conducted for different client firms but in a standard
way. For example, procedures for measuring advertising effectiveness have been standardized so
that the results can be compared across studies and evaluative norms can be established. The
Starch Readership Survey is the most widely used service for evaluating print advertisements;
another well-known service is the Gallup and Robinson Magazine Impact Studies. These
services are also sold on a syndicated basis.
Customized services offer a wide variety of marketing research services customized to
suit a client's specific needs. Each marketing research project is treated uniquely.
Limited-service suppliers specialize in one or a few phases of the marketing research
project. Services offered by such suppliers are classified as field services, coding and data
entry, data analysis, analytical services, and branded products. Field services collect data
through through the internet, traditional mail, in-person, or telephone interviewing, and
firms that specialize in interviewing are called field service organizations.
These organizations may range from small proprietary organizations which operate
locally to large multinational organizations with WATS line interviewing facilities. Some
organizations maintain extensive interviewing facilities across the country for
interviewing shoppers in malls.
Coding and data entry services include editing completed questionnaires, developing a
coding scheme, and transcribing the data on to diskettes or magnetic tapes for input into
the computer. NRC Data Systems provides such services.
Analytical services include designing and pretesting questionnaires, determining the best
means of collecting data, designing sampling plans, and other aspects of the research
design. Some complex marketing research projects require knowledge of sophisticated
procedures, including specialized experimental designs, and analytical techniques such as
conjoint analysis and multidimensional scaling. This kind of expertise can be obtained
from firms and consultants specializing in analytical services.
Data analysis services are offered by firms, also known as tab houses, that specialize in
computer analysis of quantitative data such as those obtained in large surveys. Initially
most data analysis firms supplied only tabulations (frequency counts) and cross
tabulations (frequency counts that describe two or more variables simultaneously). With
the proliferation of software, many firms now have the capability to analyze their own
data, but, data analysis firms are still in demand.
[citation needed]

Branded marketing research products and services are specialized data collection and
analysis procedures developed to address specific types of marketing research problems.
These procedures are patented, given brand names, and marketed like any other branded
product.
TYPES OF MARKETING RESEARCH
Marketing research techniques come in many forms, including:
Ad Tracking periodic or continuous in-market research to monitor a brands performance
using measures such as brand awareness, brand preference, and product usage.
Advertising Research used to predict copy testing or track the efficacy of advertisements for
any medium, measured by the ads ability to get attention (measured with Attention Tracking),
communicate the message, build the brands image, and motivate the consumer to purchase the
product or service.
Brand equity research how favorably do consumers view the brand?
Brand association research what do consumers associate with the brand?
Brands attribute research what are the key traits that describe the brand promise?
Brand name testing - what do consumers feel about the names of the products?
Commercial eye tracking research examine advertisements, package designs, websites, etc.
by analyzing visual behavior of the consumer
Concept testing - to test the acceptance of a concept by target consumers
Cool hunting - to make observations and predictions in changes of new or existing cultural
trends in areas such as fashion, music, films, television, youth culture and lifestyle
Buyer decision making process research to determine what motivates people to buy and
what decision-making process they use; over the last decade, Neuro marketing emerged from the
convergence of neuroscience and marketing, aiming to understand consumer decision making
process
Copy testing predicts in-market performance of an ad before it airs by analyzing audience
levels of attention, brand linkage, motivation, entertainment, and communication, as well as
breaking down the ads flow of attention and flow of emotion.
Customer satisfaction research - quantitative or qualitative studies that yields an understanding
of a customer's satisfaction with a transaction
Demand estimation to determine the approximate level of demand for the product
Distribution channel audits to assess distributors and retailers attitudes toward a
product, brand, or company
Internet strategic intelligence searching for customer opinions in the Internet: chats, forums,
web pages, blogs... where people express freely about their experiences with products, becoming
strong opinion formers.
Marketing effectiveness and analytics Building models and measuring results to determine
the effectiveness of individual marketing activities.
Mystery consumer or mystery shopping - An employee or representative of the market
research firm anonymously contacts a salesperson and indicates he or she is shopping for a
product. The shopper then records the entire experience. This method is often used for quality
control or for researching competitors' products.
Positioning research how does the target market see the brand relative to competitors? -
what does the brand stand for?
Price elasticity testing to determine how sensitive customers are to price changes Sales
forecasting to determine the expected level of sales given the level of demand With respect to
other factors like Advertising expenditure, sales promotion etc
Segmentation research - to determine the demographic ,psychographic, and behavioural
characteristics of potential buyers
Online panel - a group of individual who accepted to respond to marketing research online
Store audit to measure the sales of a product or product line at a statistically selected store
sample in order to determine market share, or to determine whether a retail store provides
adequate service
Test marketing a small-scale product launch used to determine the likely acceptance of the
product when it is introduced into a wider market
Viral Marketing Research - refers to marketing research designed to estimate the probability
that specific communications will be transmitted throughout an individual's Social Network.
Estimates of Social Networking Potential (SNP) are combined with estimates of selling
effectiveness to estimate ROI on specific combinations of messages and media.
All of these forms of marketing research can be classified as either problem-identification
research or as problem-solving research.
There are two main sources of data
primary and secondary. Primary research is conducted from scratch. It is original and
collected to solve the problem in hand. Secondary research already exists since it has been
collected for other purposes. It is conducted on data published previously and usually by
someone else. Secondary research costs far less than primary research, but seldom comes in a
form that exactly meets the needs of the researcher.
A similar distinction exists between exploratory research and conclusive research.
Exploratory research provides insights into and comprehension of an issue or situation. It should
draw definitive conclusions only with extreme caution. Conclusive research draws conclusions:
the results of the study can be generalized to the whole population.
Exploratory research is conducted to explore a problem to get some basic idea about the solution
at the preliminary stages of research. It may serve as the input to conclusive research.
Exploratory research information is collected by focus group interviews, reviewing literature or
books, discussing with experts, etc. This is unstructured and qualitative in nature. If a secondary
source of data is unable to serve the purpose, a convenience sample of small size can be
collected. Conclusive research is conducted to draw some conclusion about the problem. It is
essentially, structured and quantitative research, and the output of this research is the input
to management information systems (MIS).
Exploratory research is also conducted to simplify the findings of the conclusive or descriptive
research, if the findings are very hard to interpret for the marketing managers.
Marketing research methods Methodologically, marketing research uses the following types of
research designs Based on questioning
Qualitative marketing research - generally used for exploratory purposes small
number of respondents not generalizable to the whole population statistical
significance and confidence not calculated examples include focus groups,in-depth
interviews, and projective techniques
Quantitative marketing research - generally used to draw conclusions tests a
specific hypothesis - uses random sampling techniques so as to infer from the sample to
the population involves a large number of respondents examples
include surveys and questionnaires. Techniques include choice modelling, maximum
difference preference scaling, and covariance analysis.
Based on observations
Ethnographic studies by nature qualitative, the researcher observes social phenomena
in their natural setting observations can occur cross-sectionally (observations made at
one time) or longitudinally (observations occur over several time-periods) - examples
include product-use analysis and computer cookie traces. See
also Ethnography andObservational techniques.
Experimental techniques - by nature quantitative, the researcher creates a quasi-artificial
environment to try to control spurious factors, then manipulates at least one of the
variables examples include purchase laboratories and test markets
Researchers often use more than one research design. They may start with secondary research to
get background information, then conduct a focus group (qualitative research design) to explore
the issues. Finally they might do a full nation-wide survey (quantitative research design) in order
to devise specific recommendations for the client.
Business to business market research
Business to business (B2B) research is inevitably more complicated than consumer research. The
researchers need to know what type of multi-faceted approach will answer the objectives, since
seldom is it possible to find the answers using just one method. Finding the right respondents is
crucial in B2B research since they are often busy, and may not want to participate. Encouraging
them to open up is yet another skill required of the B2B researcher. Last, but not least, most
business research leads to strategic decisions and this means that the business researcher must
have expertise in developing strategies that are strongly rooted in the research findings and
acceptable to the client.
There are four key factors that make B2B market research special and different from consumer
markets:
The decision making unit is far more complex in B2B markets than in consumer markets
B2B products and their applications are more complex than consumer products
B2B marketers address a much smaller number of customers who are very much larger in
their consumption of products than is the case in consumer markets
Personal relationships are of critical importance in B2B markets.
Marketing research in small businesses and nonprofit organizations
Marketing research does not only occur in huge corporations with many employees and a large
budget. Marketing information can be derived by observing the environment of their location and
the competitions location. Small scale surveys and focus groups are low cost ways to gather
information from potential and existing customers. Most secondary data (statistics,
demographics, etc.) is available to the public in libraries or on the internet and can be easily
accessed by a small business owner.
Below are some steps that could be done by SME (Small Medium Enterprise) to analyze the
market:
1. Provide secondary and or primary data (if necessary);
2. Analyze Macro & Micro Economic data (e.g. Supply & Demand, GDP, Price change,
Economic growth, Sales by sector/industries, interest rate, number of investment/ divestment,
I/O, CPI, Social analysis, etc.);
3. Implement the marketing mix concept, which is consist of: Place, Price, Product,
Promotion, People, Process, Physical Evidence and also Political & social situation to analyze
global market situation);
4. Analyze market trends, growth, market size, market share, market competition (e.g.
SWOT analysis, B/C Analysis, channel mapping identities of key channels, drivers of customers
loyalty and satisfaction, brand perception, satisfaction levels, current competitor-channel
relationship analysis, etc.),etc.;
5. Determine market segment, market target, market forecast and market position;
6. Formulating market strategy & also investigating the possibility of partnership/
collaboration (e.g. Profiling & SWOT analysis of potential partners, evaluating business
partnership.)
7. Combine those analysis with the SME's business plan/ business model analysis (e.g.
Business description, Business process, Business strategy, Revenue model, Business expansion,
Return of Investment, Financial analysis (Company History, Financial assumption, Cost/Benefit
Analysis, Projected profit & Loss, Cash flow, Balance sheet & business Ratio, etc.).
Note as important : Overall analysis should be based on 6W+1H (What, When, Where, Which,
Who, Why and How) question.
International Marketing Research plan
International Marketing Research follows the same path as domestic research, but there are a few
more problems that may arise. Customers in international markets may have very different
customs, cultures, and expectations from the same company. In this case, Marketing Research
relies more on primary data rather than secondary information. Gathering the primary data can
be hindered by language, literacy and access to technology. Basic Cultural and Market
intelligence information will be needed to maximize the research effectiveness. Some of the
steps that would help overcoming barriers include; Collect secondary information on the country
under study from reliable international source e.g. WHO 2. Collect secondary information on the
product/service under study from available sources 3. Collect secondary information on product
manufacturers and service providers under study in relevant country 4. Collect secondary
information on culture and common business practices 5. Ask questions to get better
understanding of reasons behind any recommendations for a specific methodology
Commonly used marketing research terms
Market research techniques resemble those used in political polling and social science
research. Meta-analysis (also called the Schmidt-Hunter technique) refers to a statistical method
of combining data from multiple studies or from several types of studies. Conceptualization
means the process of converting vague mental images into definable concepts.
Operationalization is the process of converting concepts into specific observable behaviors that a
researcher can measure. Precision refers to the exactness of any given measure. Reliability refers
to the likelihood that a given operationalized construct will yield the same results if re-
measured. Validity refers to the extent to which a measure provides data that captures the
meaning of the operationalized construct as defined in the study. It asks, Are we measuring
what we intended to measure?
Applied research sets out to prove a specific hypothesis of value to the clients paying for
the research. For example, a cigarette company might commission research that attempts
to show that cigarettes are good for one's health. Many researchers have ethical
misgivings about doing applied research.
Sugging (from SUG, for "selling under the guise" of market research) forms a sales
technique in which sales people pretend to conduct marketing research, but with the real
purpose of obtaining buyer motivation and buyer decision-making information to be used
in a subsequent sales call.
Frugging comprises the practice of soliciting funds under the pretense of being a
research organization.
In essence, management is about decision making. Decision is invariably surrounded by
uncertainties and, therefore, risks. Marketing research is charged with helping to reduce such
uncertainties, "...but will never remove it. At best, marketing research will increase the
probability that the decisions which management has to take will help attain the organisation's
marketing objectives.
THE ROLE AND LIMITATIONS OF MARKETING RESEARCH
"Marketing research does not make decisions and it does not guarantee success". Marketing
managers may seek advice from marketing research specialists, and indeed it is important that
research reports should specify alternative courses of action and the probability of success, where
possible, of these alternatives. However, it is marketing managers who make the final marketing
decision and not the researcher. The second observation, that marketing research does not
guarantee success, is simply a recognition of the environment within which marketing takes
place. In the fields of science and engineering researchers are often working with deterministic
models of the world where y = f(x). That is, x is a necessary and sufficient condition for y to
occur. For instance, an increase in pressure is usually necessary and sufficient to bring about a
rise in air temperature. In the social sciences, and this includes marketing and marketing
research, the phenomenon under investigation rarely, if ever, lends itself to deterministic
modelling. Consider the marketing problem of determining how much to spend on promotion in
order to achieve a given market share. The link between promotional expenditure and sales is not
so direct as that between pressure and temperature. There are a great many more intervening
variables, including: the media used, the effectiveness of the promotional message, the length
and frequency of the campaign, not to mention the many dimensions of the product, price and
distribution. Marketing researchers work with probabilistic models of the form:
Marketing researchers cannot guarantee that decisions based on their information will always
prove 'successful'. Rather the best that a competent researcher and a well designed study will be
able to offer is a reduction in the amount of uncertainty surrounding the decision.












2.3MARKETING RESEARCH PROCESS
















STAGE 1: FORMULATING THE PROBLEM
Formulating a problem is the first step in the research process. In many ways, research starts with
a problem that management is facing. This problem needs to be understood, the cause diagnosed,
and solutions developed. However, most management problems are not always easy to research.
A management problem must first be translated into a research problem. Once you approach the
Problem Formulation
Cost-Value Analysis

Method of Inquiry
Research design
Data collection Design
Planning and Survey design
Data collection
Analyzing and interpreting
data
Research report
problem from a research angle, you can find a solution. For example, sales are not growing is a
management problem. Translated into a research problem, we may examine the expectations and
experiences of several groups: potential customers, first-time buyers, and repeat purchasers. We
will determine if the lack of sales is due to (1) poor expectations that lead to a general lack of
desire to buy, or (2) poor performance experience and a lack of desire to repurchase.
What then is the difference between a management problem and a research problem?
Management problems focus on an action. Do we advertise more? Do we change our advertising
message? Do we change an under-performing product configuration? If so, how? Research
problems, on the other hand, focus on providing the information you need in order to solve the
management problem.
Once youve created a research problem, you have to develop a research question. A research
question gives your research direction. From the research question, a hypothesis or hypotheses
can be formulated to guide the research. A hypothesis should include a statement about the
relationship between two or more variables and carry clear implications for testing the stated
relationship. For example, you might need to know if and how your customers positive and
negative product expectations are confirmed or disconfirmed upon product use.
Problem formulation is simplified once we define the components of the research problem.
1. Specify the Research Objectives
A clear statement of objectives will help you develop effective research. It will help the decision
makers evaluate your project. Its critical that you have manageable objectives. (Two or three
clear goals will help to keep your research project focused and relevant.)
2. Review the Environment or Context of the Problem
As a marketing researcher, you must work closely with your team. This will help you determine
whether the findings of your project will produce enough information to be worth the cost. In
order to do this, you have to identify the environmental variables that will affect the research
project. These variables will be discussed in-depth in later chapters.
3. Explore the Nature of the Problem
Research problems range from simple to complex, depending on the number of variables and the
nature of their relationship. If you understand the nature of the problem as a researcher, you will
be able to better develop a solution for the problem. To help you understand all dimensions, you
might want to consider focus groups of consumers, sales people, managers, or professionals to
provide what is sometimes much needed insight.
4. Define the Variable Relationships
Marketing plans often focus on creating a sequence of behaviors that occur over time, as in the
adoption of a new package design, or the introduction of a new product. Such programs create a
commitment to follow some behavioral pattern in the future. Studying such a process involves:
Determining which variables affect the solution to the problem.
Determining the degree to which each variable can be controlled.
Determining the functional relationships between the variables and which variables are critical
to the solution of the problem.During the problem formulation stage, you will want to generate
and consider as many courses of action and variable relationships as possible.
5. The Consequences of Alternative Courses of Action
There are always consequences to any course of action. Anticipating and communicating the
possible outcomes of various courses of action is a primary responsibility in the research process.
Exhibit 1.3 provides an example of a company introducing a new product based on research that
did not examine relevant variables in the consumer purchase decision.
STAGE 2: METHOD OF INQUIRY
The scientific method is the standard pattern for investigation. It provides an opportunity for you
to use existing knowledge as a starting point and proceed impartially. As shown in Exhibit 1.4,
the scientific method includes the following steps:
1. Formulate a problem
2. Develop a hypothesis
3. Make predictions based on the hypothesis
4. Devise a test of the hypothesis
5. Conduct the test
6. Analyze the results
The terminology is similar to the stages in the research process. However, there are subtle
differences in the way the steps are performed. For example, the scientific method is objective
while the research process can be subjective. Objective-based research (quantitative research)
relies on impartial analysis. The facts are the priority in objective research. On the other hand,
subjective-based research (qualitative research) emphasizes personal judgment as you collect and
analyze data.
STAGE 3: RESEARCH METHOD
In addition to selecting a method of inquiry (objective or subjective), you must select a research
method.
There are two primary methodologies that can be used to answer any research question:
experimental research and non-experimental research. Experimental research gives you the
advantage of controlling extraneous variables and manipulating one or more variables that
influences the process being implemented. Non-experimental research allows observation but not
intervention. You simply observe and report on your findings.
STAGE 4: RESEARCH DESIGN
The research design is a plan or framework for conducting the study and collecting data. It is
defined as the specific methods and procedures you use to acquire the information you need.
STAGE 5: DATA COLLECTION TECHNIQUES
Your research design will develop as you select techniques to use. There are many ways to
collect data. Two important methods to consider are interviews and observation.
Interviews require you to ask questions and receive responses. Common modes of research
communication include interviews conducted face-to-face, by mail, by telephone, by email, or
over the Internet. This broad category of research techniques is known as survey research. These
techniques are used in both non-experimental research and experimental research.
Another way to collect data is by observation. Observing a persons or companys past or present
behavior can predict future purchasing decisions. Data collection techniques for past behavior
can include analyzing company records and reviewing studies published by external sources.
In order to analyze information from interview or observation techniques, you must record your
results. Because the recorded results are vital, measurement and development are closely linked
to which data collection techniques you decide on. The way you record the data changes depends
on which method you use.
STAGE 6: SAMPLE DESIGN
Your marketing research project will rarely examine an entire population. Its more practical to
use a samplea smaller but accurate representation of the greater population. In order to design
your sample, you must find:
Sample to be selected
Method (process) for sample selection
Size of the sample
Once youve established who the relevant population is (completed in the problem formulation
stage), you have a base for your sample. This will allow you to make inferences about a larger
population. There are two methods of selecting a sample from a population: probability or non-
probability sampling. The probability method relies on a random sampling of everyone within
the larger population. Non-probability is based in part on the judgment of the investigator, and
often employs convenience samples, or by other sampling methods that do not rely on
probability.
The final stage of the sample design involves determining the appropriate sample size. This
important step involves cost and accuracy decisions. Larger samples generally reduce sampling
error and increase accuracy, but also increase costs.
STAGE 7: DATA COLLECTION
Once youve established the first six stages, you can move on to data collection. Depending on
the mode of data collection, this part of the process can require large amounts of personnel and a
significant portion of your budget. Personal (face-to-face) and telephone interviews may require
you to use a data collection agency (field service). Internet surveys require fewer personnel, are
lower cost, and can be completed in days rather than weeks or months.
Regardless of the mode of data collection, the data collection process introduces another
essential element to your research project: the importance of clear and constant communication.
STAGE 8: ANALYSIS AND INTERPRETATION
In order for data to be useful, you must analyze it. Analysis techniques vary and their
effectiveness depends on the types of information you are collecting, and the type of
measurements you are using. Because they are dependent on the data collection, analysis
techniques should be decided before this step.
STAGE 9: THE RESEARCH REPORT
The research process culminates with the research report. This report will include all of your
information, including an accurate description of your research process, the results, conclusions,
and recommended courses of action. The report should provide all the information the decision
maker needs to understand the project. It should also be written in language that is easy to
understand. Its important to find a balance between completeness and conciseness. You dont
want to leave any information out; however, you cant let the information get so technical that it
overwhelms the reading audience.
One approach to resolving this conflict is to prepare two reports: the technical report and the
summary report. The technical report discusses the methods and the underlying assumptions. In
this document, you discuss the detailed findings of the research project. The summary report, as
its name implies, summarizes the research process and presents the findings and conclusions as
simply as possible
Another way to keep your findings clear is to prepare several different representations of your
findings. PowerPoint presentations, graphs, and face-to-face reports are all common methods for
presenting your information. Along with the written report for reference, these alternative
presentations will allow the decision maker to understand all aspects of the project.
2.4ESSENTIALS OF THE RESEARCH PLAN
The research plan is the main part of a grant application describing a principal investigator's
proposed research, stating its importance and how it will be conducted. A typical research plan
has four main sections:
SPECIFIC AIMS
The specific aims is a formal statement of the objectives and milestones of a research project in a
grant application. The purpose of this section is to clearly and concisely describe what the
proposed research is intended to accomplish.
Should include specific research objectives.
Should be hypothesis-based.
Objectives should be obtainable within the proposed timeframe.
Study aims should fit together in an overall framework.
Study should be well-focused rather than broad and diffuse.

BACKGROUND AND SIGNIFICANCE
The background and significance section states the research problem including the proposed
rationale, current state of knowledge and potential contributions and significance of the research
to the field.
Critically evaluate existing knowledge, including background literature and relevant data.
References should reflect an updated knowledge of the field.
Specify existing gaps that the project is intended to fill.
Discussion should convey the importance and relevance of the research aims.
Highlight potential policy or practice impacts.
Highlight why research findings are important beyond the confines of the specific
research project (e.g., significance; how research results can be applied).
PRELIMINARY STUDIES AND PROGRESS REPORTS
The preliminary results section describes prior work by the investigators relevant to the proposed
project. In a new application, the preliminary results are important to establish the experience
and competence of the applicant to pursue the proposed research project and to provide support
for the study hypotheses and research design.
In a competing renewal application, this section becomes a progress report, describing studies
performed during the last grant period. The progress report should include a summary of the
previous application's specific aims and importance of the findings.
If you do not have the required expertise for a specific methodology, enlist a collaborator or
consultant (include a letter of support or agreementSection J of the Research Plan).Accuracy
and overall presentation are important in figures, tables and graphs.
RESEARCH DESIGN AND METHODS
The purpose of the research design and methods section is to describe how the research will be
carried out. This section is critical for demonstrating that the applicant has developed a clear,
organized and thoughtful study design.
Should provide an overview of the proposed design and conceptual framework
Study goals should relate to proposed study hypotheses.
Include details related to specific methodology; explain why the proposed methods are
the best to accomplish study goals.
Describe any novel concepts, approaches, tools or techniques.
Include details of how data will be collected and results analyzed.
Consider required statistical techniques.
Include proposed work plan and timeline.
Consider and discuss potential limitations and alternative approaches to achieve study
aims.

2.5BASIC METHOD OF DATA COLLECTION
There are three data sources:
Primary data,
Secondary data,
Commercial data.
Primary data is collected by the researcher. Respondents are asked questions while the
researcher collects the responses. These can be verbal or written. Responses can also be observed
via the respondents behavior. Collecting primary data is vital in finding solutions to research
problems.
Secondary data is collected from research. This information is often found in outside
sources. However, dont overlook your own companys records or your competitors open
records. Such information can help build a strong foundation for your research project.
Commercial data is secondary data sold by syndicated services. Marketing research firms or
industry associations collect this information. It is similar to both primary and secondary data
because commercial data is initially collected as primary data to address a research problem.
However, it is not specific to the purchasers current research problem. Commercial data tends to
be general enough to apply to a variety of projects, but it can be quite useful. Researchers can
purchase this information and incorporate it into their study as secondary source material.
Secondary data, including commercial data: obtaining secondary information, types of secondary
information, sources of external secondary data, and syndicated services that provide secondary
data. Secondary data allows both management and researchers to make critical decisions about a
research problem.

REASONS FOR OBTAINING SECONDARY INFORMATION
Before you start a research project, before you look at primary data, it is important to
investigate secondary sources first. The reasons will be discussed below.
Secondary information may solve The Problem
If enough information is available, you may solve the problem and avoid doing primary
research.
Example: Campbell Soup Co. based their successful soup is good food ad campaign on federal
government data. Information on eating habits and nutritional health was collected over 15 years.
This data provided Campbells with all of the information it needed for its campaign.
SECONDARY INFORMATION SEARCHES COST LESS
Compared to original research, an in-depth search of secondary sources takes a fraction
of the time and budget. Numerous research publications and databases can be accessed online for
free. The rewards of a secondary information search far outweigh the costs. Such information
allows you to avoid redundancy in your primary research. Furthermore, you can use the primary
research budget elsewhere. In fact, many research programs wont approve expenditures on
primary research if a secondary information source can be utilized.
SECONDARY INFORMATION HAS IMPORTANT SUPPLEMENTARY USE
Sometimes, secondary information isnt enough to solve your research problem, but it
can still be useful. Supplementary uses for secondary information include:


1. Defining the problem and formulating hypotheses about its uses.
As youre refining your research question and developing a hypothesis, you want as much
information as possible. Secondary information will develop the context for your research
problem, and may even suggest new solutions.
2. Planning the collection of primary data. Analyzing data collection techniques in secondary
research can provide input on what will work for your research project.
3. Defining the population and selecting the sample. Past information on the population, sample,
and appropriate sampling techniques can help establish a framework for your primary research.
SECONDARY INFORMATION PITFALLS
Even though secondary information is vital, you must be cautious. Secondary data must
be readily available, relevant to your needs, accurate, and pertinent to the problem. When you
research secondary sources, you must evaluate why the data was originally collected, if it is
reliable, and if the right techniques were used.
Example: One company wanted to do an analysis on foreign markets, emphasizing
demographics. The company wanted to use the official government census of each population.
However, the data was not available from all countries in equal quantity and detail. The
reliability of data was not the same.
In short, you cant always expect to find consistency among the data you consider. Data may not
use the same categories or demographics. You have to know what techniques were used and
what the original purpose for the data was as you research secondary sources.
TYPES OF SECONDARY INFORMATION
Secondary information generally falls into two categories:
internal secondary data and external secondary data.
INTERNAL SECONDARY DATA
Companies collect information as they conduct business everyday. They receive orders, fill
orders, record costs, receive warranty cards, submit sales reports, and make engineering reports.
These sources are called internal secondary data. Even though this information is collected for
other purposes, you can easily access it for a research project. The key to internal data is
knowing where to find it. In order to use internal data effectively, the company must have an
effective information system.
Example: The Spectra Physics Lasers Division produces laser grocery store scanners. They
regularly perform customer satisfaction studies. These studies are primary research for the
Retail Systems organization. They are also internal secondary information to other divisions
that may want to use the information. They can also be secondary data to the Retail Systems
organization, should they use them at a much later date for other projects.
EXTERNAL SECONDARY DATA
Data that you obtain from outside sources is called external secondary data. External data is
available in staggering amounts and assortments. It is often available for major types of
marketing research, focusing on non-controllable aspects of the problem (total market size;
market characteristics; competitor products, prices, promotional efforts, and distribution needs).

SOURCES OF EXTERNAL SECONDARY DATA
Weve discussed the different kinds of secondary data sources. Youll already have access to
some through internal data, but where do you find external secondary data? The major sources of
external secondary information include:
Government (supranational, federal, state, local, etc.)
Trade associations and trade press
Periodicals and professional journals
Institutions (universities, research organizations, etc.)
Commercial services
Both governmental and trade sources are so important that experienced researchers will be
thoroughly familiar with those having ties to his/her field of specialization. Periodicals and
research publications of universities and research organizations frequently provide valuable
information. Commercial services are also available and are useful for specific research
problems. These common secondary sources can be divided into government data sources,
private data sources, and internet databases.
GOVERNMENT DATA SOURCES
Basic market data is usually available from censuses conducted by federal, state, local, and
supranational governments. Censuses from these governments will normally provide such
demographic information as the number of consumers (or consuming units) by age group,
income class, gender, and geographic area. You can use this information for market performance
studies.
A good first source is the Statistical Abstract of the United States, available online from the
Bureau of the Census. This reference simplifies data from original reports and provides useful
material on social, political, and economic matters. The source is a good reference to more
detailed data.
Estimated U.S. sales
Estimated U.S. salespeople
Percent of sales by major product groups
Location of sales
Percent of sales by census region
Sales strategy Secondary Sources
The State and Metropolitan Area Data Book is a publication of the Bureau of the Census
that is available online in PDF format. It provides detailed comparative data on states,
metropolitan areas, component counties, and central cities. It covers information about numerous
relevant topics, including population, income, labor force, commercial office space, banking,
health care, housing, and so forth.
The Census of Population and the Census of Housing taken by the U.S. Department of
Commerce every 10 years is the most comprehensive of these options.
Updates of various census measurements based on smaller yearly surveys are available in
Current Population Reports and Current Construction and Housing Reports. Many other up-to-
date estimates are made periodically by governmental and nongovernmental agencies.
Data from the U.S. Census Bureau is available online for custom data analysis, on DVD, and in
report form as downloadable PDF files. There are also private companies that make such data
availablefor a feein more processed forms. GeoLytics corporation offers a line of census
data products and a variety of custom data retrieval services.
Other value-add companies provide mapping software that is used for geographic market
analysis. This type of software often integrates census data, making it useful for such
applications as retail site analysis, real estate site reports, direct marketing, and database creation.
One supplier is Scan/US, Inc., whose software product Scan/US Streets and Data U.S.A.
includes maps for the entire United States and includes all types of demographics.
PRIVATE DATA SOURCES
Private organizations are another useful source of demographic information. To illustrate,
SRDS publishes The Lifestyle Market Analyst. This annual publication provides demographic
and lifestyle information for 210 Designated Market Areas (DMAs) in the United States
Nielsens Claritas division, a provider of solutions for geographic, lifestyle and behavioral target
marketing, has developed a demographic widget that is available as a free download for personal
electronics.
Market size studies (e.g., size in sales dollars or units) often are conducted by trade
associations, media, industrial firms, and private research organizations. These studies are
published and made available to interested parties. They often include estimates of market
characteristics, market segments, and market segments size.
Example: Mediamark Research, Inc. conducts a single-source continuing survey,
primarily aimed at the advertising industry. It provides demographics, lifestyles, product usage,
and advertising media data. One part of this study is a series of studies on specific
products/services that is published as syndicated reports.
Information on new products and processes is available in the form of patent disclosures,
trade journals, competitors catalogs, and reports from testing agencies. A researcher can also
find governmental reports from the Food and Drug Administration, the Department of
Agriculture, and the National Bureau of Standards. Further resources provide an advertisers
gold mine:
Publishers Information Bureau provides a compilation of expenditures by medium for
each competitor. Audit Bureau of Circulations provides data on the number of magazine copies
sold under specified conditions. Standard Rate and Data Service provides complete information
on the rates and specifications for buying advertising space and time. Media mark Research, Inc.
publishes data on multiple major media markets, relating detailed media behavior to
demographic characteristics of readers/viewers/listeners. Arbitron Radio and Television Reports,
the Nielsen Radio-Television Index, and Starch Advertising Readership Service all measure of
audience exposure to specific advertisements or programs
COMPUTERIZED DATABASES
The Internet has become a research staple. You are able to access most commercial electronic
databases online. There are thousands of databases available. These can be divided into five
categories of commercial databases
Bibliographic databases that index publications
Financial databases with detailed information about companies
Statistical databases of demographic, econometric, and other numeric data for forecasting
and doing projections
Directories and encyclopedias offering factual information about people, companies, and
organizations
Full-text databases from which an entire document can be printed out
The advantages of such current databases are obvious, as indicated in Exhibit 3.1. All that
is needed is a personal computer with Internet access.
Computerized databases have led to an expanded focus on database marketing. Database
marketing is an extension of traditional marketing. Databases are employed to target direct
response advertising and track response and/or transactions. In database marketing, you identify
behavioral, demographic, psychographic, sociological, attitudinal, and other information on
individual consumers/households that are already served or that are potential customers. Data
may come from secondary and/or primary sources.
Qualtrics.coms clients are increasingly using APIs (Application Programming Interface)
to link and integrate customer databases with survey data and respondent panels. APIs can be
used to link and integrate data from multiple sources in real time. Thus, information in database
profiles is augmented by new contact and survey data, and can be viewed in conjunction with
current information and used to better target and predict market response.
Databases can be used to estimate market size, find segments and niches for specialized
offerings, and even view current customer use and spending. In short, they help you develop
more specific, effective, and efficient marketing programs.