Marketing Research

Where we have been thus far... 4 P’S of Marketing Market Strategy

Marketing – The 4 P’s Product Pricing Placement Promotion What we are going to sell How much we will charge How we will advertise the product/ service How we will get product/ Service to the customer

Marketing Strategy – 2 Steps Create Target Market Create Marketing Mix

Creating/Improving products What is a “New” Product Depends on who you ask Dominos example…“New” pizza Apple’s “New” forthcoming tablet pc Many “new” products are simply improvements on existing products Truly new products are rare Truly new products do not have an existing substitute What new products have been introduced in our lifetime?

Creating/Improving products Remember! Companies should not assume what customers want and then try to convince them. Good companies are customer focused…they figure out what customers want and then try to provide it. (Marketing Orientation)

Creating a New Product So…product creation should begin with researching what your target market desires MARKETING RESEARCH –finding solutions to problems through carefully designed studies involving consumers

Types of Research Primary Research Pros Targeted to company’s needs Cons Time consuming Costly Secondary Research Pro Can be cheaper Quicker Cons May not be relevant Open to all

Types of Research Studies Customer Survey Focus Groups ObservationsExperiments

Customer Surveys Most common type of research study Gather information using carefully planned questions Quantifiable is good Can be conducted in-person, over phone, through mail or over internet

Focus Groups Small number of consumers taking part in a group discussion Discussion topics might include customer’s experiences with a product reactions to new ideas suggestions for product improvements

Observations Collect information by recording actions of consumers Common questions answered by observation How do customers interact with packaging? What routes do customers take through store?

Experiments Two carefully controlled alternatives Examples Compare sales of two products with different size, packaging, etc. Effect of promotions Coupons Customer “limits”

Steps in Marketing Research 1.Define the Marketing Problem Are we rolling out a new product? Trying to improve customer service? 2.Develop the plan 3.Collect the information 4.Analyze the information 5.Present the findings

Work Session: Re-invent a product 1.What is the product’s name? 2.How much is it? 3.What changes would you make to it? 4.How much will it cost the consumer? 5.Who is your target market (who’s buying it)? 6.How will you promote it?

Create a Survey Create 10 questions. Your respondents will be your classmates. Record their responses for your analysis.

Surveys What were some issues with the surveys you took yesterday? What makes a survey a good survey? What were the types of questions you asked?

Market Research Project You and your business partner own a shoe store and have decided to extend your shoe line to include sandals. 1 st task – Design your introductory sandals. Write a customer profile on your target market. 2 nd task – Create a 9 question survey, the 10 th question will be your sandal illustration. 3 rd task – Distribute your survey to consumers within your target market. You will need to get 30 responses. 4 th task – Analyze your results and make changes to your design accordingly. 5 th task- Create a presentation that includes your design, survey questions, and your analysis including your results. Also, a 2 nd design after your changes you made based on your survey results.

Market Research Assignment You have been asked to conduct a survey to determine what type of business casual merchandise to carry. Your target market is teenagers. 10 question survey – Data results should lead you to what you need to buy the store. Example: What style of shoe do you prefer: A.Flats B.Classic pumps C.Ankle strap sandals D.Ankle boots