Journal Entry “Consumers accept only ____out of every 10 new products introduced into the marketplace. Why do you think this is?”

Key Terms and Main Ideas Terms: Marketing Research Marketing Research Marketing Information Management Marketing Information Management Database marketing Database marketing Database Database Essential Questions? Purpose of MR Purpose of MR Purpose of Marketing Information System Purpose of Marketing Information System Procedures for gathering information using technology Procedures for gathering information using technology

Reasons Products Fail Poor/_______ products Poor/_______ products Customer __________to another product Customer __________to another product Inferior __________ Inferior __________ Poor____________ Poor____________ Misleading / ____ name Misleading / ____ name High price High price Unclear image of the products’ intended use Unclear image of the products’ intended use

What is Marketing Research? Involves marketing function that links____________,_____________, & public to the marketer through information Involves marketing function that links____________,_____________, & public to the marketer through information Gathering,___________, & ___________of information about problems related to marketing Gathering,___________, & ___________of information about problems related to marketing

Why should MR matter to us as marketers? To obtain information about: To obtain information about:*_____________*_____________*_____________*_____________ *& plans of potential customers…AND

What can MR do? Determine what customers________ Determine what customers________ Minimize _________when introducing a new product Minimize _________when introducing a new product Increase _______/profits Increase _______/profits Solve problems Solve problems ___________ ___________

Example=Stouffers Almost 13 years of MR to develop Lean Cuisine product line Almost 13 years of MR to develop Lean Cuisine product line Studied trends in health/dieting Studied trends in health/dieting Success of $125 million in sales after the first year of national distribution Success of $125 million in sales after the first year of national distribution

Who uses MR? _____businesses _____businesses ______for profits ______for profits Government Government Entertainment Business Entertainment Business Financial Services Financial Services

Marketing Information System Set of _______& ___________that_ __________,_____ ______, analyzes, & distributes marketing information used in making decisions

What’s included in a marketing information system? ________ records– sales, expenses, supplier data __________ records- such as prices, products, locations, market share Customer data– buying behavior, shopping patterns, demographics, lifestyles research ______________data– price trends, laws/regulations Marketing research reports –Primary & secondary

Marketing Databases Focus on ___________ ______________Management (CRM) Related info on specific topic: Characteristics & ________patterns Companies use info to send special offers or to sell to other companies ( Ethical?)

Marketing Databases CRM- process of___________,___ ____, & managing customer lists List include: info on individual _____________& transactions w/ business Lists developed from touch points: -______ to face sales -direct ___ responses -phone/internet purchase -website visits

Consumer Privacy Gov’t has regulations to protect ______of consumers –Companies offer the choice of being added to mailing list –Banks offered detailed privacy statements

Ways to Collect Data Create a “_________customer card” Adds customer ______to the purchase Receive special______ Company analyzes info to better understand ____________/ buying behaviors

T YPES OF M ARKETING R ESEARCH  Attitude Research  Market Intelligence Research  Media Research  Product Research

T YPES OF MR 1 & 2 1. Attitude  _____________research  How people___________ about product, company, or ideas  Customers rate “How satisfied” with product/company  Opinion polls by Gallup on politics, economy, & social issues  ______Groups- consumer panels  Ex. Attitude of the general public on clean energy or going green 2. _____________Intelligence  Size, location, and make-up of the market for particular product/service  Before product is __________ and during__________________  Uses customer and market analysis to obtain data…  Helps to identify potential target markets

C USTOMER & M ARKET A NALYSIS  Customer Analysis: study of customer behavior  _________________& ________________about buying motives etc.  Market Analysis: study of ___________of consumer market; investigate potential market for a product and define market characteristics

W HEN WE CONDUCT MARKET RESEARCH, WE USE … 1. Sales Forecasting 1. Estimates future sales of product 2. Calculate total market and individual product 3. Then try to make changes to increase market share  Economic Forecasting: attempt to predict future economic conditions 1. Extensive economic knowledge 2. Done by federal agencies

T YPES OF MR 3 & 4 3. ____________  Focus on media selection & frequency  Which Media mix to use to reach target market  Studies brand awareness, ad recall, brand image, audience size 4. ______________  Centers on product design, usage, and consumer acceptance of products  Done to test new and existing product packages  Also done to collect info on competitors products Click on TV for YouTube Funny Commericals (7 min) AD recall after video

MR ______ AND L IMITATIONS  Trends  Global market place  Technology- (TQM) Total Quality Management = using databases/technology to improve business. Ex. Texting e- coupons  Limitations  Money  Time  Accuracy  Fast changing market