Copyright © 2007 Pearson Education Canada 5-1 Chapter Five Managing Marketing Information With Duane Weaver

OUTLINE Importance of Info Assessing Info Needs Data Gathering Techniques The Research Process Types of Data –Secondary –Primary Sampling CRM Research Issues Copyright © 2007 Pearson Education Canada 5-2

Copyright © 2007 Pearson Education Canada 5-3 The Importance of Information Companies need information about their: –Customer needs. –Marketing environment. –Competition. Marketing managers do not need more information, they need better information.

Copyright © 2007 Pearson Education Canada 5-4 Assessing Information Needs A good MIS (Marketing Information System) balances the information users would like against what they really need and what is feasible to offer.

Copyright © 2007 Pearson Education Canada 5-5 Data Gathering Techniques Internal data. –Internal information that the various departments already have. Marketing intelligence. –Information that can be gathered from public or legally available sources. Marketing research. –Specific information gathered to answer a specific question.

Copyright © 2007 Pearson Education Canada 5-6 Market Research Process Define the problem. Set the research objectives. Develop a research plan. Implement the marketing research plan. Analyze and interpret the data. Report the findings.

Copyright © 2007 Pearson Education Canada 5-7 Types of Marketing Research Exploratory research. –To gather preliminary information. –Primary or secondary data. Descriptive research. –To describe marketing situations or markets. –Surveys, observational studies. Causal research. –To experiment with cause-and-effect relationships.

Copyright © 2007 Pearson Education Canada 5-8 Types of Data Secondary. –Data or information that has been gathered and published by other parties. –Publications, websites, directories. Primary. –Data or information that is gathered directly from the subjects of the research. –Interviews, focus groups, observation, surveys, experiments.

Copyright © 2007 Pearson Education Canada 5-9 Gather Secondary Data Information that already exists somewhere. –Internal databases. –Commercial data services. –Government sources. Available more quickly and at a lower cost than primary data. Must be relevant, accurate, current and impartial.

Copyright © 2007 Pearson Education Canada 5-10 Sources of Secondary Data Government publications. –Statistics Canada, Strategis. Periodicals and books. –Trade directories, indexes and industry surveys. Commercial data services. –Collections of business research articles. –Industry and scanner data. International data. –Euromonitor, GMID, U.N. Statistical Yearbook

Copyright © 2007 Pearson Education Canada 5-11 Sources of Secondary Data Internet data sources –Huge amount of data available online, not all of it trustworthy. –Search engines. –Industry websites

Copyright © 2007 Pearson Education Canada 5-12 Primary Data Collection Consists of information collected for the specific purpose at hand. Must be relevant, accurate, current and unbiased. Must determine: –Research approach. –Contact methods. –Sampling plan. –Research instruments.

Copyright © 2007 Pearson Education Canada 5-13 Primary -Observational Research The gathering of primary data by observing relevant people, actions and situations. Ethnographic research. –Observation in “natural environment.” Mechanical observation. –People meters. –Checkout scanners.

Copyright © 2007 Pearson Education Canada 5-14 Primary - Survey Research Most widely used method for primary data collection. Approach best suited for gathering descriptive information. Can gather information about people’s knowledge, attitudes, preferences or buying behaviour.

Copyright © 2007 Pearson Education Canada 5-15 Primary - Experimental Research Tries to explain cause-and-effect relationships. Involves: –Selecting matched groups of subjects. –Giving different treatments. –Controlling unrelated factors. –Checking differences in group responses.

Copyright © 2007 Pearson Education Canada 5-16 Sampling Sample. –A segment of the population selected to represent the population as a whole. Sample unit. –Who is to be surveyed? Sample size. –How many people should be surveyed? Sampling procedure. –How should those surveyed be chosen?

Copyright © 2007 Pearson Education Canada 5-17 Primary Research Instruments Mechanical: –People meters. –Supermarket scanners. –Galvanometer. –Eye cameras. –Computers. Questionnaires: –What questions to ask. –Form of each question. Closed-ended. Open-ended. –Wording. –Ordering.

Copyright © 2007 Pearson Education Canada 5-18 CRM Systems Customer Relationship Management. –Software that gathers, stores and analyzes individual customer information. –All departments view the customer through a single “window.” –Correlates disparate information to find marketing opportunities. –Provides an integrated view of the company to the customer.

Copyright © 2007 Pearson Education Canada 5-19 Research Issues Small businesses and non-profit organizations lack research resources. International marketing information can be difficult and costly to obtain. Competitive information often difficult to obtain ethically. Public policy issues. –Intrusions on consumer privacy. –Misuse of research findings.

Copyright © 2007 Pearson Education Canada 5-20 Thank You!