Conducting Marketing Research and Forecasting Demand Marketing Management, 13 th ed 4 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 4-2 Chapter Questions • What constitutes good marketing research? • What are good metrics for measuring marketing productivity? • How can marketers assess their return on investment of marketing expenditures? • How can companies more accurately measure and forecast demand? Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 4-3 What is Marketing Research? Marketing research is the systematic design, collection, analysis, and reporting of data and findings relevant to a specific marketing situation facing the company. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 4-4 Types of Marketing Research Firms • Syndicated service • Custom • Specialty-line Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 4-5 The Marketing Research Process • Define the problem • Develop research plan • Collect information • Analyze information • Present findings • Make decision Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 4-6 Step 1: Define the Problem • Define the problem • Specify decision alternatives • State research objectives Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 4-7 Step 2: Develop the Research Plan • Data sources • Research approach • Research instruments • Sampling plan • Contact methods Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 4-8 Research Approaches • Observation • Ethnographic • Focus group • Survey • Behavioral data • Experimentation Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 4-9 Research Instruments • Questionnaires • Qualitative Measures • Technological Devices Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 4-10 Questionnaire Do’s and Don’ts • Ensure questions are free of bias • Make questions simple • Make questions specific • Avoid jargon • Avoid sophisticated words • Avoid ambiguous words • Avoid negatives • Avoid hypotheticals • Avoid words that could be misheard • Use response bands • Use mutually exclusive categories • Allow for “other” in fixed response questions [...]... Limiting the Use of Marketing Research • • • • A narrow conception of the research Uneven caliber of researchers Poor framing of the problem Late and occasionally erroneous findings • Personality and presentational differences Copyright © 2009 Pearson Education, Inc Publishing as Prentice Hall Table 4.3 Characteristics of Good Marketing Research • • • • • • • Scientific method Research creativity Multiple... Education, Inc Publishing as Prentice Hall What is a Marketing Decision Support System (MDSS)? A marketing decision support system is a coordinated collection of data, systems, tools, and techniques with supporting hardware and software by which an organization gathers and interprets relevant information from business and environment and turns it into a basis for marketing action Copyright © 2009 Pearson Education,... methods Interdependence Value and cost of information Healthy skepticism Ethical marketing Copyright © 2009 Pearson Education, Inc Publishing as Prentice Hall What are Marketing Metrics? Marketing metrics are the set of measures that helps marketers quantify, compare, and interpret marketing performance Copyright © 2009 Pearson Education, Inc Publishing as Prentice Hall Table 4.4 Marketing Metrics External... Inc Publishing as Prentice Hall What is Marketing- Mix Modeling? Marketing- mix models analyze data from a variety of sources, such as retailer scanner data, company shipment data, pricing, media, and promotion spending data, to understand more precisely the effects of specific marketing activities Copyright © 2009 Pearson Education, Inc Publishing as Prentice Hall Marketing Dashboards • A customer-performance... Probability Samples • Simple random • Stratified random • Cluster Nonprobability Samples • Convenience • Judgment • Quota Copyright © 2009 Pearson Education, Inc Publishing as Prentice Hall Contact Methods • • • • Mail questionnaire Telephone interview Personal interview Online interview Copyright © 2009 Pearson Education, Inc Publishing as Prentice Hall Pros and Cons of Online Research Advantages • Inexpensive... Copyright © 2009 Pearson Education, Inc Publishing as Prentice Hall Question Types – Story Completion “I flew American a few days ago I noticed that the exterior and interior of the plane had very bright colors This aroused in me the following thoughts and feelings.” Now complete the story _ _ _ _ _ ... year on customer-based measures • A stakeholder-performance scorecard tracks the satisfaction of various constituencies who have a critical interest in and impact on the company’s performance including employees, suppliers, banks, distributors, retailers, and stockholders Copyright © 2009 Pearson Education, Inc Publishing as Prentice Hall Table 4.5 Sample Customer-Performance Scorecard Measures • • • •... lost customers to average # % of win-back customers to average # % of customers in various levels of satisfaction % of customers who would repurchase % of target market members with brand recall % of customers who say brand is most preferred Copyright © 2009 Pearson Education, Inc Publishing as Prentice Hall ... Hall Question Types – Picture (Empty Balloons) Copyright © 2009 Pearson Education, Inc Publishing as Prentice Hall Qualitative Measures • • • • • Word association Projective techniques Visualization Brand personification Laddering Copyright © 2009 Pearson Education, Inc Publishing as Prentice Hall Technological Devices • • • • • Galvanometers Tachistoscope Eye cameras Audiometers GPS Copyright © 2009... American Airlines? Yes No Copyright © 2009 Pearson Education, Inc Publishing as Prentice Hall Question Types – Multiple Choice With whom are you traveling on this trip? No one Spouse Spouse and children Children only Business associates/friends/relatives An organized tour group Copyright © 2009 Pearson Education, Inc Publishing as Prentice Hall Question Types – Likert Scale Indicate . Conducting Marketing Research and Forecasting Demand Marketing Management, 13 th ed 4 Copyright © 2009 Pearson Education,. companies more accurately measure and forecast demand? Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 4-3 What is Marketing Research? Marketing research is the systematic design,. Questions • What constitutes good marketing research? • What are good metrics for measuring marketing productivity? • How can marketers assess their return on investment of marketing expenditures? • How