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Slide 1.1 Near East University MARKETING RESEARCH MARK 401 Preliminary Understanding of Naresh Malhotra and David Birks, Marketing Research, 3 rd Edition, ゥ Pearson Education Limited 2007 Preliminary Understanding of Marketing Research SESSION 1 Rana SERDAROGLU Source:Malhotra and Birks, et al. Chp 1 Dr. Eric Shiu lecture notes

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Page 1: MARKETING RESEARCH MARK 401 - Near East Universityold.staff.neu.edu.tr/~rserdaroglu/files/MR CHPTERLER/MR CHP SESSI… · Naresh Malhotra and David Birks, Marketing Research, 3rd

Slide 1.1

Near East University

MARKETING RESEARCH

MARK 401

Preliminary Understanding ofMarketing Research

SESSION 1

Naresh Malhotra and David Birks, Marketing Research, 3rd Edition, © Pearson Education Limited 2007

Near East University

MARKETING RESEARCH

MARK 401

Preliminary Understanding ofMarketing Research

SESSION 1Rana SERDAROGLU

Source:Malhotra and Birks, et al. Chp 1Dr. Eric Shiu lecture notes

Page 2: MARKETING RESEARCH MARK 401 - Near East Universityold.staff.neu.edu.tr/~rserdaroglu/files/MR CHPTERLER/MR CHP SESSI… · Naresh Malhotra and David Birks, Marketing Research, 3rd

Slide 1.2

Chapter outline1) What does marketing research encompass?

2) Definition of marketing research

3) The marketing research process

4) A classification of marketing research

5) The global marketing research industry

6) The limitations of marketing research

7) Internet and computer applications

Naresh Malhotra and David Birks, Marketing Research, 3rd Edition, © Pearson Education Limited 2007

1) What does marketing research encompass?

2) Definition of marketing research

3) The marketing research process

4) A classification of marketing research

5) The global marketing research industry

6) The limitations of marketing research

7) Internet and computer applications

Page 3: MARKETING RESEARCH MARK 401 - Near East Universityold.staff.neu.edu.tr/~rserdaroglu/files/MR CHPTERLER/MR CHP SESSI… · Naresh Malhotra and David Birks, Marketing Research, 3rd

Slide 1.3

WHAT MARKETINGRESEARCHER PEOPLE DO?

Marketing researchers support decision-makers by;collecting, analysing andinterpreting INFORMATION needed to identifyand solve marketing problems.

Slide 1.3

Naresh Malhotra and David Birks, Marketing Research, 3rd Edition, © Pearson Education Limited 2007

Marketing researchers support decision-makers by;collecting, analysing andinterpreting INFORMATION needed to identifyand solve marketing problems.

Naresh Malhotra and David Birks, Marketing Research, 3rd Edition, © Pearson Education Limited 2007

Page 4: MARKETING RESEARCH MARK 401 - Near East Universityold.staff.neu.edu.tr/~rserdaroglu/files/MR CHPTERLER/MR CHP SESSI… · Naresh Malhotra and David Birks, Marketing Research, 3rd

Slide 1.4

Two broad categories of research

1. Basic research: To extend knowledge

2. Applied research: To solve a specificproblem/grasp a specific opportunity

Naresh Malhotra and David Birks, Marketing Research, 3rd Edition, © Pearson Education Limited 2007

Two broad categories of research

1. Basic research: To extend knowledge

2. Applied research: To solve a specificproblem/grasp a specific opportunity

Page 5: MARKETING RESEARCH MARK 401 - Near East Universityold.staff.neu.edu.tr/~rserdaroglu/files/MR CHPTERLER/MR CHP SESSI… · Naresh Malhotra and David Birks, Marketing Research, 3rd

Slide 1.5

Time to clarify some terms…

• Product vs. Service

• Customer vs. Consumer

• Marketing research vs. Market research

Naresh Malhotra and David Birks, Marketing Research, 3rd Edition, © Pearson Education Limited 2007

• Product vs. Service

• Customer vs. Consumer

• Marketing research vs. Market research

Page 6: MARKETING RESEARCH MARK 401 - Near East Universityold.staff.neu.edu.tr/~rserdaroglu/files/MR CHPTERLER/MR CHP SESSI… · Naresh Malhotra and David Birks, Marketing Research, 3rd

Slide 1.6

Figure 1.1 The role of marketing research within the marketing system

Naresh Malhotra and David Birks, Marketing Research, 3rd Edition, © Pearson Education Limited 2007

Page 7: MARKETING RESEARCH MARK 401 - Near East Universityold.staff.neu.edu.tr/~rserdaroglu/files/MR CHPTERLER/MR CHP SESSI… · Naresh Malhotra and David Birks, Marketing Research, 3rd

Slide 1.7

The role of marketing research

Marketingresearch

Controllablemarketing

• Product• Pricing

variablesMarketingresearch

Uncontrollableenvironmentalfactors

• Economy• Technology•

Uncontrollableenvironmentalfactors

• Economy• Technology• Laws and

• Consumers• Employees• Shareholders• Suppliers

Customer groups• Consumers• Employees• Shareholders• Suppliers

Customer groups• Consumers• Employees• Shareholders• Suppliers

Customer groups

Naresh Malhotra and David Birks, Marketing Research, 3rd Edition, © Pearson Education Limited 2007

• Pricing• Promotion• Distribution

Assessinginformationneeds

Marketingdecisionmaking

ProvidinginformationProviding

needs

Marketing managers

• Market segmentation

• Performance & control

•Target market selection• Marketing Programs

Marketing managers

• Market segmentation

• Performance & control

•Target market selection• Marketing Programs

Marketing managers

Market segmentation

Marketing managers

• Market segmentation

• Performance and control

• Target market selection• Marketing programs

•regulations

•factors

• Political factors

• Laws andregulations

• Social and culturalfactors

• Political factors

Page 8: MARKETING RESEARCH MARK 401 - Near East Universityold.staff.neu.edu.tr/~rserdaroglu/files/MR CHPTERLER/MR CHP SESSI… · Naresh Malhotra and David Birks, Marketing Research, 3rd

Slide 1.8

LETS SUM UP WHAT WE HAVE DONESO FAR…

‘Marketing research is a key element within the totalfield of marketing INFORMATION. It links theconsumer, customer and public to the marketerthrough INFORMATION, which is used to identifyand define marketing opportunities andproblems; generate, refine and evaluatemarketing actions; and improve understanding ofmarketing as a process and of the ways in whichspecific marketing activities can be made moreeffective’

Naresh Malhotra and David Birks, Marketing Research, 3rd Edition, © Pearson Education Limited 2007

‘Marketing research is a key element within the totalfield of marketing INFORMATION. It links theconsumer, customer and public to the marketerthrough INFORMATION, which is used to identifyand define marketing opportunities andproblems; generate, refine and evaluatemarketing actions; and improve understanding ofmarketing as a process and of the ways in whichspecific marketing activities can be made moreeffective’

Page 9: MARKETING RESEARCH MARK 401 - Near East Universityold.staff.neu.edu.tr/~rserdaroglu/files/MR CHPTERLER/MR CHP SESSI… · Naresh Malhotra and David Birks, Marketing Research, 3rd

Slide 1.9

WHY INFORMATION IS SO IMPORTANT?

• INFORMATION is the lifeblood of marketing• To manage a business well, you need to

manage its future,• To manage the future, you need to manage

information• INFORMATION is not just an input to make

good decisions but provides a competitiveadvantage.

Naresh Malhotra and David Birks, Marketing Research, 3rd Edition, © Pearson Education Limited 2007

• INFORMATION is the lifeblood of marketing• To manage a business well, you need to

manage its future,• To manage the future, you need to manage

information• INFORMATION is not just an input to make

good decisions but provides a competitiveadvantage.

Page 10: MARKETING RESEARCH MARK 401 - Near East Universityold.staff.neu.edu.tr/~rserdaroglu/files/MR CHPTERLER/MR CHP SESSI… · Naresh Malhotra and David Birks, Marketing Research, 3rd

Slide 1.10

EXAMPLE: CLUBCARD DATA

CUSTOMER HEAD OFFICE SYSTEM

Clubcard registration data:•Name, surname, adress•Telephone/email•Dietary requirements•Family composition•Data protection options

Reference data:•Store referance details•Product details•Store turnover•Promotions data

Naresh Malhotra and David Birks, Marketing Research, 3rd Edition, © Pearson Education Limited 2007

Clubcard registration data:•Name, surname, adress•Telephone/email•Dietary requirements•Family composition•Data protection options

Clubcard transactional data:•Item level sales info for alltransactions•Coupon and voucher redemption•Store, date, time

Reference data:•Store referance details•Product details•Store turnover•Promotions data

Other sources:•Clubs information•Customer complaints•Customer market research•Contact history

Page 11: MARKETING RESEARCH MARK 401 - Near East Universityold.staff.neu.edu.tr/~rserdaroglu/files/MR CHPTERLER/MR CHP SESSI… · Naresh Malhotra and David Birks, Marketing Research, 3rd

Slide 1.11

Table 1.2 Top 20 countries with highest MR spend per capita, 2004

18.7819.543679 Australia

18.885.351018 Denmark

19.815.201037 Finland

20.24291.045,8926 USA

20.3582.4116775 Germany

20.507.171474 Switzerland

24.7059.841,4783 France

27.968.872482 Sweden

32.1859.071,9011 UK

Spend per capita (€ percapita)

Population (million)Turnover (€m)Country

Naresh Malhotra and David Birks, Marketing Research, 3rd Edition, © Pearson Education Limited 2007

8.17127.481,04220 Japan

8.614.183619 Singapore

9.2841.1638218 Spain

9.3957.4854017 Italy

10.658.168716 Austria

12.7210.3013115 Belgium

13.7531.2743014 Canada

16.113.916313 Ireland

16.8616.0727112 Netherlands

16.883.856511 New Zealand

17.294.517810 Norway

18.7819.543679 Australia

Page 12: MARKETING RESEARCH MARK 401 - Near East Universityold.staff.neu.edu.tr/~rserdaroglu/files/MR CHPTERLER/MR CHP SESSI… · Naresh Malhotra and David Birks, Marketing Research, 3rd

Slide 1.12

Classification of marketing research

Problem identification research• Research undertaken to help identify problems

that are not necessarily apparent on the surfaceand yet exist or are likely to arise in the future.Examples: market potential, market share,image, market characteristics, sales analysis,forecasting and trends research.

Problem-solving research• Research undertaken to help solve specific

marketing problems. Examples: segmentation,product, pricing, promotion and distributionresearch.

Naresh Malhotra and David Birks, Marketing Research, 3rd Edition, © Pearson Education Limited 2007

Problem identification research• Research undertaken to help identify problems

that are not necessarily apparent on the surfaceand yet exist or are likely to arise in the future.Examples: market potential, market share,image, market characteristics, sales analysis,forecasting and trends research.

Problem-solving research• Research undertaken to help solve specific

marketing problems. Examples: segmentation,product, pricing, promotion and distributionresearch.

Page 13: MARKETING RESEARCH MARK 401 - Near East Universityold.staff.neu.edu.tr/~rserdaroglu/files/MR CHPTERLER/MR CHP SESSI… · Naresh Malhotra and David Birks, Marketing Research, 3rd

Slide 1.13

Example 1• A marketing research study has been conducted on

Europe’s developing beer market, which gives signalsthat the market is in danger of an increasing oversupplyof brands. As a result, consumers are likely to turn backto brands that they have tried and liked before.

SO what kind of research does this particular studybelong to?

Naresh Malhotra and David Birks, Marketing Research, 3rd Edition, © Pearson Education Limited 2007

• A marketing research study has been conducted onEurope’s developing beer market, which gives signalsthat the market is in danger of an increasing oversupplyof brands. As a result, consumers are likely to turn backto brands that they have tried and liked before.

SO what kind of research does this particular studybelong to?

Page 14: MARKETING RESEARCH MARK 401 - Near East Universityold.staff.neu.edu.tr/~rserdaroglu/files/MR CHPTERLER/MR CHP SESSI… · Naresh Malhotra and David Birks, Marketing Research, 3rd

Slide 1.14

EXAMPLE 2

• Kellogg's was originally popular during 1990’s as abreakfast cereal. However, it began to lose market sharein the 2000’s. this forced the management to conductmarketing research for reversing the trend.

SO AGAIN what kind of research does this particularstudy belong to?

PLEASE give some recommendations about how themanagement can improve lost?

Naresh Malhotra and David Birks, Marketing Research, 3rd Edition, © Pearson Education Limited 2007

• Kellogg's was originally popular during 1990’s as abreakfast cereal. However, it began to lose market sharein the 2000’s. this forced the management to conductmarketing research for reversing the trend.

SO AGAIN what kind of research does this particularstudy belong to?

PLEASE give some recommendations about how themanagement can improve lost?

Page 15: MARKETING RESEARCH MARK 401 - Near East Universityold.staff.neu.edu.tr/~rserdaroglu/files/MR CHPTERLER/MR CHP SESSI… · Naresh Malhotra and David Birks, Marketing Research, 3rd

Slide 1.15

Figure 1.4 A classification of marketing research

Naresh Malhotra and David Birks, Marketing Research, 3rd Edition, © Pearson Education Limited 2007

Page 16: MARKETING RESEARCH MARK 401 - Near East Universityold.staff.neu.edu.tr/~rserdaroglu/files/MR CHPTERLER/MR CHP SESSI… · Naresh Malhotra and David Birks, Marketing Research, 3rd

Slide 1.16

Table 1.1 Examples of problem-solving research

Naresh Malhotra and David Birks, Marketing Research, 3rd Edition, © Pearson Education Limited 2007

Page 17: MARKETING RESEARCH MARK 401 - Near East Universityold.staff.neu.edu.tr/~rserdaroglu/files/MR CHPTERLER/MR CHP SESSI… · Naresh Malhotra and David Birks, Marketing Research, 3rd

Slide 1.17

SO WHO USES THIS INFORMATION / DATA ACQUIRED ???

Figure 1.5 Marketing research suppliers

Naresh Malhotra and David Birks, Marketing Research, 3rd Edition, © Pearson Education Limited 2007

Page 18: MARKETING RESEARCH MARK 401 - Near East Universityold.staff.neu.edu.tr/~rserdaroglu/files/MR CHPTERLER/MR CHP SESSI… · Naresh Malhotra and David Birks, Marketing Research, 3rd

Slide 1.18

Figure 1.2 Simple linear description of the marketing research process

Naresh Malhotra and David Birks, Marketing Research, 3rd Edition, © Pearson Education Limited 2007

Page 19: MARKETING RESEARCH MARK 401 - Near East Universityold.staff.neu.edu.tr/~rserdaroglu/files/MR CHPTERLER/MR CHP SESSI… · Naresh Malhotra and David Birks, Marketing Research, 3rd

Slide 1.19

Figure 1.3 The marketing research process detailing iterations between stages

Naresh Malhotra and David Birks, Marketing Research, 3rd Edition, © Pearson Education Limited 2007

Page 20: MARKETING RESEARCH MARK 401 - Near East Universityold.staff.neu.edu.tr/~rserdaroglu/files/MR CHPTERLER/MR CHP SESSI… · Naresh Malhotra and David Birks, Marketing Research, 3rd

Slide 1.20

Misconceptions of marketing research

• Marketing research does not make decisions.

• Marketing research does not guarantee success.

Naresh Malhotra and David Birks, Marketing Research, 3rd Edition, © Pearson Education Limited 2007

• Marketing research does not make decisions.

• Marketing research does not guarantee success.

Page 21: MARKETING RESEARCH MARK 401 - Near East Universityold.staff.neu.edu.tr/~rserdaroglu/files/MR CHPTERLER/MR CHP SESSI… · Naresh Malhotra and David Birks, Marketing Research, 3rd

Slide 1.21

TO BE A GOOD MARKETING RESEARCHER,YOU NEED TO UNDERSTAND;

• Marketing

• Psychology and consumer behaviour

• Statistics and quantitative methods

• Qualitative methods

• Internet and computer skills.

• Effective written and verbal communication skills.

• Creative thinking

Naresh Malhotra and David Birks, Marketing Research, 3rd Edition, © Pearson Education Limited 2007

• Marketing

• Psychology and consumer behaviour

• Statistics and quantitative methods

• Qualitative methods

• Internet and computer skills.

• Effective written and verbal communication skills.

• Creative thinking

Page 22: MARKETING RESEARCH MARK 401 - Near East Universityold.staff.neu.edu.tr/~rserdaroglu/files/MR CHPTERLER/MR CHP SESSI… · Naresh Malhotra and David Birks, Marketing Research, 3rd

Slide 1.22

ESOMAR: European Society for Opinion andMarketing Research (www.esomar.nl)

MRS: The Market Research Society (UK)(www.marketresearch.org.uk)

CASRO: The Council of American Survey ResearchOrganizations (www.casro.org)

MRSA: The Market Research Society ofAustralia (www.mrsa.com.au)

PMRS: The Professional Marketing ResearchSociety (Canada) (www.pmrs-aprm.com)

Marketing research associations online

Naresh Malhotra and David Birks, Marketing Research, 3rd Edition, © Pearson Education Limited 2007

ESOMAR: European Society for Opinion andMarketing Research (www.esomar.nl)

MRS: The Market Research Society (UK)(www.marketresearch.org.uk)

CASRO: The Council of American Survey ResearchOrganizations (www.casro.org)

MRSA: The Market Research Society ofAustralia (www.mrsa.com.au)

PMRS: The Professional Marketing ResearchSociety (Canada) (www.pmrs-aprm.com)