Marketing Research Aaker, Kumar, Leone and Day Eleventh Edition Instructor’s Presentation Slides

Standardized Sources of Marketing Data Chapter Six Standardized Sources of Marketing Data Advertising data Sales data Surveys Marketing http://www.drvkumar.com/mr11/ Marketing Research 11th Edition

Growth of Standardized Sources Contributing Factors: Multitude of information users having common information needs When cost of satisfying individual user's need is prohibitive The increasing use of scanner systems at the check out points http://www.drvkumar.com/mr11/ Marketing Research 11th Edition

Audits and Surveys: National Market Audit Bi-monthly audit focused on products irrespective of the type of outlet carrying the product Retail Store Audits Every two months a team of auditors from a research firm visits a sample of stores to count the inventory on hand and record deliveries to the store since the last visit Beginning inventory Deliveries Closing inventory Sales http://www.drvkumar.com/mr11/ Marketing Research 11th Edition

Nielsen Retail Index Nielsen’s auditing services cover four reporting groups: Grocery products Drugs Other merchandise Alcoholic beverages Contents of a Nielsen Store Audit Report Sales Distribution Selling prices Retailer support Media advertising Special analyses http://www.drvkumar.com/mr11/ Marketing Research 11th Edition

Consumer Purchase Panels To cover the gap between store audits/warehouse withdrawal services and actual purchases, two methods of data collection are used: Home Audit Approach Panel member agrees to permit an auditor to check the household stocks of certain product categories at regular intervals Mail Diary Method Panel member records the details of each purchase and returns the diary by mail at regular intervals http://www.drvkumar.com/mr11/ Marketing Research 11th Edition

Advantages & Limitations of Consumer Panels Can provide information on aggregate sales activity, brand shares, shifts in buyer characteristics and types of retail outlets Knowledge of sequence of purchases makes it possible to analyze: Heavy buyers and their characteristics Brand-switching rates and the extent of loyal buying Cumulative market penetration and repeat purchase rates for new products Limitations Selection Bias Mortality Effect Testing Effects http://www.drvkumar.com/mr11/ Marketing Research 11th Edition

Scanner Services Benefits of Scanner-Based Audit Services: High degree of accuracy Time saving Ability to study very short time periods of sales activity http://www.drvkumar.com/mr11/ Marketing Research 11th Edition

Scanner Services (cont.) Weekly results from scanner service Weekly results from scanner service Applying scanner data http://www.drvkumar.com/mr11/ Marketing Research 11th Edition

RFID Radio Frequency Identification Technology may replace the bar codes. Utilizes a tiny silicon chip to store information; a small transmitter then sends this information to a scanner. Advantages over UPC: The ability to store more information than an 11-digit bar code The ability to change the information on the tag The ability to transmit all the information on the chip to a scanner without clear line of sight http://www.drvkumar.com/mr11/ Marketing Research 11th Edition

Single-source Systems Usually set up in self-contained communities with their own newspapers and cable TV and are roughly representative of the demographics of the country A test panel of community households is recruited and monitored for recording exposure to programming and specific commercials Each member is provided an identification card for presenting at scanner-equipped stores http://www.drvkumar.com/mr11/ Marketing Research 11th Edition

Process of Scanner Data Collection by IRI Subscriber The process of scanner data collection by IRI. SOURCE: Information Resources, Inc. http://www.drvkumar.com/mr11/ Marketing Research 11th Edition

Advantages and Disadvantages of Single Source Systems Availability of extensive pre-test records Immediate availability of test results Ability to compare purchases of households prior to and after exposure to the message Ability to control settings Disadvantages Can track purchases only at stores equipped with scanners No information on whether viewers actually watch or just leave the TV on Chance of biased results http://www.drvkumar.com/mr11/ Marketing Research 11th Edition

Expert Systems Based on Single-source Services Since users of scanner data are flooded with massive amounts of data, expert systems are used to help the users understand the data quickly Examples of Expert Systems Are: Aldata. Apollo Space Management Software Nielsen Promotion Stimulator Spotlight Sales Advisor http://www.drvkumar.com/mr11/ Marketing Research 11th Edition

Media Related Standardized Sources National T.V. audiences Nielsen Television Index (NTI) Both regional and national radio and TV panels Arbitron Diary Panel Print media Starch Scores Magazine, TV, newspaper, radio (Simmons Service) Multi Media Services http://www.drvkumar.com/mr11/ Marketing Research 11th Edition

Nielsen Television Index (NTI) Rating – Percent of all households that have at least one TV set turned to a program for at least 6 of every 15 minutes that the program is telecast Share – Percent of households that have a TV set that is tuned to a specific program at a specific time Cost efficiency represents a television program’s ability to deliver the largest target audience at the smallest cost. A cost per thousand (CPM) calculation is computed as http://www.drvkumar.com/mr11/ Marketing Research 11th Edition

Applications of Standardized Data Sources 17 Applications of Standardized Data Sources Measuring Promotion Effectiveness Scanner Data Diary Panels Measuring Ad Exposure & Effectiveness Starch Scores NTI Arbitron Multimedia Services Measuring Product Sales & Market Share Retail Audits Internal Records NAICS Estimation & Evaluation of Models http://www.drvkumar.com/mr11/ Marketing Research 11th Edition

End of Chapter Six