This guide is intended to help you better understand market research and its importance. It provides information on how to conduct a market research project, specifying several options that are available to you regardless of your market research budget. Table of Contents What is market research? Successful businesses have extensive knowledge of their customers and their competitors.
But the perception of value is a subjective one, and what customers value this year may be quite different from what they value next year. As such, the attributes that create value cannot simply be deduced from common knowledge.
Rather, data must be collected and analyzed. The goal of marketing research is to provide the facts and direction that managers need to make their more important marketing decisions.
To maximize the benefit of marketing research, those who use it need to understand the research process and its limitations. Market Research These terms often are used interchangeably, but technically there is a difference. Market research deals specifically with the gathering of information about a market's size and trends.
Marketing research covers a wider range of activities. While it may involve market research, marketing research is a more general systematic process that can be applied to a variety of marketing problems.
The Value of Information Information can be useful, but what determines its real value to the organization? In general, the value of information is determined by: The ability and willingness to act on the information.
The accuracy of the information.
The level of indecisiveness that would exist without the information. The amount of variation in the possible results. The level of risk aversion. The reaction of competitors to any decision improved by the information. The cost of the information in terms of time and money.
The Marketing Research Process Once the need for marketing research has been established, most marketing research projects involve these steps: Define the problem Identify data types and sources Design data collection forms and questionnaires Determine sample plan and size Collect the data Analyze and interpret the data Prepare the research report Problem Definition The decision problem faced by management must be translated into a market research problem in the form of questions that define the information that is required to make the decision and how this information can be obtained.
Thus, the decision problem is translated into a research problem. For example, a decision problem may be whether to launch a new product. The corresponding research problem might be to assess whether the market would accept the new product.
The objective of the research should be defined clearly. To ensure that the true decision problem is addressed, it is useful for the researcher to outline possible scenarios of the research results and then for the decision maker to formulate plans of action under each scenario.
The use of such scenarios can ensure that the purpose of the research is agreed upon before it commences.
Research Design Marketing research can classified in one of three categories: Exploratory research Descriptive research Causal research These classifications are made according to the objective of the research. In some cases the research will fall into one of these categories, but in other cases different phases of the same research project will fall into different categories.
Exploratory research has the goal of formulating problems more precisely, clarifying concepts, gathering explanations, gaining insight, eliminating impractical ideas, and forming hypotheses.
Exploratory research can be performed using a literature search, surveying certain people about their experiences, focus groups, and case studies.
When surveying people, exploratory research studies would not try to acquire a representative sample, but rather, seek to interview those who are knowledgeable and who might be able to provide insight concerning the relationship among variables.
Case studies can include contrasting situations or benchmarking against an organization known for its excellence. Exploratory research may develop hypotheses, but it does not seek to test them. Exploratory research is characterized by its flexibility.
Descriptive research is more rigid than exploratory research and seeks to describe users of a product, determine the proportion of the population that uses a product, or predict future demand for a product.
As opposed to exploratory research, descriptive research should define questions, people surveyed, and the method of analysis prior to beginning data collection. In other words, the who, what, where, when, why, and how aspects of the research should be defined.
Such preparation allows one the opportunity to make any required changes before the costly process of data collection has begun.
There are two basic types of descriptive research: Longitudinal studies are time series analyses that make repeated measurements of the same individuals, thus allowing one to monitor behavior such as brand-switching.Research, Journal of Marketing Research, and Journal of Business Research.
He is the author, co-author, or editor of books, chapters, and proceedings including An Introduction to Marketing Research. American Marketing Association - the pre-eminent force in marketing for best and next practices, thought leadership and valued relationships, across the .
Chapter 3 Research Design Introduction In this chapter you will learn about: money on market research, managers will scan the quality of infor The design and the fieldwork and analysis is usually all handled by the research executive Interview or discussion guide.
You just clipped your first slide! Clipping is a handy way to collect important slides you want to go back to later. Now customize the name of a clipboard to store your clips. Data analysis in a market research project is the stage when qualitative data, quantitative data, or a mixture of both, is brought together and scrutinized in order to draw conclusions based on the data.
Guide to market research and analysis. From Innovation, Science and Economic Development Canada. This guide is intended to help you better understand market research and its importance. It provides information on how to conduct a market research project, specifying several options that are available to you regardless of your market research budget.