Chapter 2 Foundations of Marketing

Chapter 2: Marketing Research and Information Systems Ms DANG THI MAI HUONG (SARAH) Faculty of Economics and Management International School of Thai Nguyen University Email: sarahhuong11@gmail.com • • • • • • Topic Outline Assessing Marketing Information Needs Developing Marketing Information Marketing Research Analyzing Marketing Information Distributing and Using Marketing Information Other Marketing Information Considerations Marketing Information and Customer Insights Customer Insights are: • Fresh and deep insights into customers needs and wants • Difficult to obtain – Not obvious – Customer’s unsure of their behavior • Not derived from more information but better information and more effective use of existing information Customer Insights • Companies are forming customer insights teams – Include all company functional areas – Use insights to create more value for their customers – Customer controlled could be a problem Marketing Information Systems (MIS) Marketing information system (MIS) is a framework for the day-to-day management and structuring of information gathered regularly from sources both inside and outside an organization Assessing Marketing Information Needs MIS provides information to the company ’ s marketing and other managers and external partners such as suppliers, resellers, and marketing service agencies • FedEx, for example, has developed interactive marketing systems to provide instantaneous communication between the company and its customers Through use of the telephone and Internet, customers can track their packages and receive immediate feedback concerning delivery The company’s website provides valuable information about customer usage, and it allows customers to express directly what they think about company services The evolving telecommunications and computer technology is allowing marketing information systems to cultivate one-to-one relationships with customers Assessing Marketing Information Needs Characteristics of a Good MIS • Balancing what the information users would like to have against what they need and what is feasible to offer User’s Needs MIS Offerings Developing Marketing Information Marketers obtain information from Internal data Marketing intelligence Marketing research Marketing Research Written Research Plan Includes: Management problem Research objectives Information needed How the results will help management decisions Budget Secondary data consist of information that already exists somewhere, having been collected for another purpose Primary data consist of information gathered for the special research plan Advantages Disadvantages Cost Current Speed Relevant Could not get data otherwise Accuracy Impartial • • • • Methods of collecting primary data: Sampling procedures Survey methods Observation • Sampling: the process of selecting representative units from a total population • There are two basic types of sampling: probability sampling and nonprobability sampling • Probability sampling: A sampling technique in which every element in the population being studied has a known chance of being selected for study • Random sampling: A type of probability sampling in which all units in a population have an equal chance of appearing in a sample • Stratified sampling: A type of probability sampling in which the population is divided into groups according to a common attribute, and a random sample is then chosen within each group • Nonprobability sampling: A sampling technique in which there is no way to calculate the likelihood that a specific element of the population being studied will be chosen • Survey Methods: Marketing researchers often employ sampling to collect primary data through mail, telephone, online, or personal-interview surveys The results of such surveys are used to describe and analyze buying behavior • Mail survey: A research method in which respondents answer a questionnaire sent through the mail • Telephone survey: A research method in which respondents’ answers to a questionnaire are recorded by interviewers on the phone • Online survey: A research method in which respondents answer a questionnaire via e-mail or on a website • Personal-interview survey: A research method in which participants respond to survey questions face to face • In-home (door-to-door) interview: A personal interview that takes place in the respondent’s home • Focus-group interview: A research method involving observation of group interaction when members are exposed to an idea or a concept Questionnaire Construction • Questions must be clear, easy to understand, and directed toward a specific objective; that is, they must be designed to elicit information that meets the study’s data requirements • The questions are usually of three kinds: openended, dichotomous, and multiple choice • Open-ended question: • What is your general opinion about broadband Internet access? - Dichotomous question  Do you presently have broadband access at home, work, or school?  Yes No • Multiple-choice question • What age group are you in? a) Under 20 b) 20–35 c) 36 and over Market Research Research Approaches Observational research involves gathering primary data by observing relevant people, actions, and situations Ethnographic research involves sending trained observers to watch and interact with consumers in their natural environment Marketing Research Implementing the Research Plan Collecting the information Processing the information Analyzing the information Interpret findings Draw conclusions Report to management [...]... websites (also called wikis or wikipages) Marketing Research • Marketing research is the systematic design, collection, interpretation, and reporting of information to help marketers solve specific marketing problem or take advantage of marketing opportunities • The purpose of marketing research is to inform an organization about customers’ needs and desires, marketing opportunities for particular goods... • Electronic marketing (or e -marketing) The strategic process of creating, distributing, promoting, and pricing products for targeted customers in the virtual environment of the Internet • Blogs Web-based journals in which people can editorialize and interact with other Internet users • Wikis Software that create an interface that enables users to add or edit the content of some types of websites (also...Developing Marketing Information Internal Data Internal databases are electronic collections of consumer and market information obtained from data sources within the company network Marketing Intelligence Marketing intelligence is the systematic collection and analysis of publicly available information about consumers, competitors, and developments in the marketplace Marketing on the Internet... value or set of values assumed by the independent variable) be measured Marketing Research Defining the Problem and Research Objectives Exploratory research Descriptive research Causal research Marketing Research Developing the Research Plan • Outlines sources of existing data • Spells out the specific research approaches, contact methods, sampling plans, and instruments to gather data Marketing Research... two basic types of sampling: probability sampling and nonprobability sampling • Probability sampling: A sampling technique in which every element in the population being studied has a known chance of being selected for study • Random sampling: A type of probability sampling in which all units in a population have an equal chance of appearing in a sample • Stratified sampling: A type of probability... on how often teenagers eat at fast-food restaurants after school or how often customers buy new pairs of athletic shoes • For example, if Nike and Reebok want to target more young women, they might ask 15- to 35year-old females how often they work out, how frequently they wear athletic shoes for casual use, and how many pairs of athletic shoes they buy in a year • Experimental research allows marketers... patterns of customers Market information increases marketers’ ability to respond to customer needs, which leads to improved organizational performance The Marketing Research Process Locating and Defining Research Issues or Problems • The first step in launching a research study is issue or problem definition, which focuses on uncovering the nature and boundaries of a situation or question related to marketing. .. data consist of information that already exists somewhere, having been collected for another purpose Primary data consist of information gathered for the special research plan Advantages Disadvantages Cost Current Speed Relevant Could not get data otherwise Accuracy Impartial • • • • Methods of collecting primary data: Sampling procedures Survey methods Observation • Sampling: the process of selecting... purpose of exploratory research is to better understand a problem or situation and/or to help identify additional data needs or decision alternatives • If marketers need to understand the characteristics of certain phenomena to solve a particular problem, descriptive research can aid them Such studies may range from general surveys of customers’ education, occupation, or age to specific surveys on how often... sampling technique in which there is no way to calculate the likelihood that a specific element of the population being studied will be chosen • Survey Methods: Marketing researchers often employ sampling to collect primary data through mail, telephone, online, or personal-interview surveys The results of such surveys are used to describe and analyze buying behavior • Mail survey: A research method