MARK 3000 1st Edition Lecture 7 Outline of Last Lecture I Segmentation II Segmentation Targeting Process Outline of current Lecture I Marketing Research II The research Process III Step 1 Defining objectives IV Step 2 Designing the research V Step 3 Data collection a Types of Data b Secondary Data Current Lecture Marketing Research Set of techniques and principles for systematically collecting recording analyzing and interpreting data that can aid decision makes involved in marketing goods services or ideas Marketing research is very profitable It reduces the uncertainty under which firms operate Marketing research provides a crucial link between firms and their environment Firms can respond and quickly to competitor moves by constantly monitoring competitors The Research Process 1 Define objectives and research needs 2 Design the research 3 Data Collection 4 Analyzing Data and developing insights 5 Action plan and implementation Step 1 Defining objectives and research needs Since research is expensive and time consuming it is important to establish what problem needs to be solved These notes represent a detailed interpretation of the professor s lecture GradeBuddy is best used as a supplement to your own notes not as a substitute Involves clearly define the objectives of their marketing research project What information is needed to answer a specific research question How should that information be obtained Step 2 Designing the Research Involves the design Identify the types of data needed and determine the research necessary to collect it Objectives of the product drive what type of data is needed Step 3 Data collection Process Begin to gather data that corresponds with the design Types of Data Data is collected from samples and then generalized about all customers with the same characteristics Samples a group of customers who represent the customers of interest in a research study Primary data Data that you create Data collected Specifically for this research Creating new information Secondary data Already exists looking things up Pieces of information collected prior to this research project Secondary Data Inexpensive external secondary data readily available at a low cost Governments sources census Often not adequate for researcher needs External Syndicated Data Data available for fee from commercial research firms such as AC Nielsen Provide information about shifts in brand preferences Scanner data used in quantitative research obtained from scanner readings of UPC labels at checkout counters Panel data information collected from a group of consumers organized in to panels over time o Mix of primary and secondary data Show firms what customers are buying or not buying Internal Secondary Data The data that firms generate from their day to day operations Data Warehouse large computer files that store millions and even billions of pieces of individual data Data Mining uses a variety of statistical analysis tools to uncover previously unknown patters in data or relationships among variables Many retailers try to customize product and service offering to match needs of customers o Ex Grocery companies tracking the purchases of customers through loyalty cards and anticipating their future purchases o Can also help retailers know about complementary goods that customers buy together Through data mining companies reduce their Churn levels o Churn number of customers who stop using a product divided by average number of consumers of that product