MARK 3000 EXAM 2 STUDY GUIDE CHAPTER 9 Marketing Research Marketing Information everyday information about developments in the marketing environment that managers use to prepare and adjust marketing plans Decision Support System DSS an interactive immediate results flexible can manipulate data in various ways computerized information system that enables managers to obtain and manipulate information as they are making decisions Bypasses the information processing specialist and gives managers access to useful data from their own desks Interactive flexible discovery oriented find trends answer what if questions accessible easy to use Database marketing the creation of a large computerized file of customers and potential customers profiles and purchase patterns fastest growing use of DSS Key for successful one to one marketing Marketing Research the process of planning collecting and analyzing data relevant to a marketing decision Links consumer customer and public to the marketer through information Products from marketing research become data in a DSS 3 Roles Descriptive gathering and presenting factual statements what is the historic sales trend in the industry Diagnostic explaining data determining the impact on sales of a change in design of the package Predictive address what if questions how can the researcher use the results from descriptive and diagnostic to predict the results of a planned marketing decision Steps in Marketing Research 1 Identify and formulate the problem opportunity 2 Plan the research design and gather secondary data 3 Specify the sampling procedures 4 Collect primary data 5 Analyze the data 6 Prepare and present the report 7 Follow up The Marketing Research Problem determining what information is needed and how that information can be obtained efficiently and effectively The Marketing Research Objective the specific information needed to solve a marketing research problem the objective should be to provide insightful decisionmaking information EX Pantene s marketing research problem how a woman s hair affects her feelings and moods marketing research objective to reformulate pantene to affect women s hair more positively and reposition the brand as an antidote to bad hair days Management Decision Problem a broad based problem that uses marketing research in order for managers to take proper actions broader in scope and much more general than marketing research problems Pantene s management decision problem deciding how to win women back after the recession Secondary Data data previously collected for any purpose other than the one at hand used to be hard but now easy because of internet Saves time and money can aid in formulating the problem statement however often don t align exactly with the specific needs of the market research Marketing Research Aggregator a company that acquires catalogs reformats segments and resells reports already published by large and small marketing research firms growing business Research Design specifies which research questions must be answered how and when the data will be gathered and how the data will be analyzed project budget is usually finalized after this Primary Data Information collected for the first time used for solving the particular problem under investigation Current accurate specific time consuming expensive Piggy back studies gather data on two different studies using one method ex questionnaire Survey Research the most popular technique for gathering primary data in which a researcher interacts with people to obtain facts opinions and attitudes In home personal interviews Mall intercept interview Computer assisted personal interviewing reads questions to responder from a computer screen and enters responses into computer Computer assisted self interviewing mall interviewer intercepts responders and directs them to a computer where they respond to questions Central location telephone facility CLT specially designed room to conduct telephone interviewing Executive interview interviews businesspeople at their offices Mail surveys Focus groups Questionnaire Design Open ended question encourages an answered phrase in the respondent s own words Closed ended question respondent makes a selection from limited responses Scaled response question a closed ended question designed to measure the intensity of a respondent s answer Observation Research a research method that relies on four types of observation people watching people people watching an activity machines watching people and machines watching an activity Mystery shopper researchers posing as customers who gather observational data about a store Behavioral Targeting BT a form of observation marketing research that combines a consumer s online activity with psychographic and demographic profiles compiled in databases ex social networking aka conversational eavesdropping analysis user declared information targeting Ethnographic Research the study of human behavior in its natural context involves observation of behavior and physical setting Participant observers use their intimacy with the people they are studying to gain richer deeper insights into culture and behavior At home consumption market eludes much research Sample a subset from a larger population ii Universe the population from which a sample will be drawn iii Probability sample a sample in which every element in the population has a known statistical likelihood of being selected iv Random sample a sample arranged in such a way that every element of the population has an equal chance of being selected as part of the sample v Nonprobability sample any sample in which little or no attempt is made to get a representative cross section of the population vi Convenience sample a form of nonprobability sample using respondents who are convenient or readily accessible to the researcher for example employees friends or relatives vii Measurement error an error that occurs when there is a difference between the information desired by the researcher and the information provided by the measurement process Sampling Error sample does not represent the population Frame Error sample does not represent the target population Random Error selected sample is an imperfect representation of the overall population Field Service Firm a firm that specializes in interviewing respondents on a subcontracted basis collect most primary data Cross Tabulation a method of analyzing data that lets the analyst look at the responses