J460 Study Guide 09 30 2013 The process of planning and executing the conception pricing promotion and distribution of ideas goods and services to create exchanges that satisfy individual and organizational objectives Chapter 1 Marketing Marketing Mix Price Product Promotion Place Marketing 5 P s Product Price Promotion People Marketing 5 C s Customer Company Competition Collaborators Context Marketing Concept A business philosophy based on consumer orientation goal orientation and systems orientation o Consumer orientation The identification of and focus on the people or firms most likely to buy a product and the production of a good or service that will meet their needs most effectively o Goal Orientation A focus on the accomplishment of corporate goals a limit set on consumer orientation o Systems Orientation The creation of systems to monitor the external environment and deliver the desired marketing mix to Marketing Strategy the target market A plan to guide the long term use of a firm s resources based on its existing and projected internal capabilities and on projected changes in the external environment Marketing Research the planning collection and analysis of data relevant to marketing decision making and the communication of the results of this analysis to management 3 functional roles Descriptive Function o Gathering and presentation of statements of fact Diagnostic Function Predictive Function o The explanation of data or actions o Specification of how to use descriptive and diagnostic research to predict the results of a planned marketing decision Applied Vs Basic Research Applied Research o Research aimed at solving a specific pragmatic problem Better understanding of the market place determination of why a strategy or tactic failed or reduction of uncertainty in management decision making Ex What name should Toyota select for a new sedan Should the price of DiGiorno frozen pizza be raised 40 cents Basic Research problem concept o or pure research research aimed at expanding the frontiers of knowledge rather than solving a specific pragmatic o used to validate an existing theory or learn more about a ex test hypothesis about high involvement decision making or consumer information processing Ex companies that do basic research are Microsoft IBM Programmatic Research vs Selective vs Evaluative Xerox and Hewlett Packard Programmatic o Research conducted to develop marketing options through market segmentation market opportunity analyses or consumer attitude and product usage studies Selective o Research used to test decision alternatives Ex testing concepts for new products advertising copy testing and test marketing Evaluative o Research done to assess program performance Ex includes tracking advertisement recall doing organizational image studies and examining customer attitudes on a firm s quality of service Extra info from book about marketing research A tool for discovering opportunities in the marketplace Determined why specific brands are popular Identified market leaders Ascertained which market segments for new products are growing and which are declining Who influences their consumers purchase decisions Chapter 2 Producers of Goods and Services Proctor Gamble and American Airlines are the ultimate users of research data Their primary business is sale of products and services Organization General Categories of Organizations Involved in Marketing Research Consumer and Industrial goods and services producers o Firms such as Kraft General Foods Proctor Gamble Ford Motor Media Companies o Advertising agencies such as J Walter Thompson Young Rubican Public relations companies such as Hill and Knowlton Sales promotion firms such as Acosta Syndicated Service Firms o Marketing research data gathering and reporting firms such as Nielsen Arbitron and Symphony IRI which collect data of general interest to many firms but for no one firm in particular Anyone can buy the data they collect Online Tracking Firms o Companies like Nielsen buzz metrics on social media sites such as Twitter along with blogs and discussion board Buzz metrics collects information from 130 million blogs and 8 000 message boards Firms like Clearspring and Rap Leaf and Google s Double Click gather information about a person s online activities This data is sold to firms to be used for targeted advertising Custom Research Firms o Marketing research consulting firms such as Ipsos DSS Research which do customized marketing research projects that address specific problems for individual clients Field Service Firms o Firms that collect data only on a subcontract basis for corporate marketing research departments ad agency research departments custom research firms or syndicated research firms Specialized Service Firms o Firms that provide specialized support services to the marketing research industry such as SDR in Atlanta which provides sophisticated quantitative analysis or SSI which provides samples for marketing research supplies Others o Government agencies university research bureaus individual university professors and database providers Structure of the Marketing Research Industry Players in the Marketing Research Industry Federal state and local governments Media companies Manufacturers Marketing research suppliers Marketing research supplier service firms Research Suppliers Custom Research firms o Customized research projects that address specific problems for individual clients Millward Brown SMS Lieborman Research Syndicated Research firms o Collect data of general interest and sell information to many clients firms Field Service Firms Nielson Arbitron Mintel SRDS GFK MRI o Companies that only collect survey data for corporate clients or research firms o Data collection specialists Research Panel A group of individuals who agree to participate in a series of research studies over time Advantages Users of Marketing Research External Clients o The company s vendors Strategic partnership an alliance formed by two or more firms with unique skills and resources to offer a new service for clients provide strategic support for each firm or in some other manner create mutual benefits o Franchises Internal Clients o Marketing Department Logistics sales advertising and promotion new product development brand managers pricing committee Product engineers finance manufacturing legal human o Other departments resources management o Senior Management Look for the danger signals when evaluating research