The Marketing Research Process 1. Define the Problem 2. Obtaining Data 3. Analyze Data 4. Rec. Solutions 5. Applying Results
1. Defining The Problem Problem Definition – occurs when a business clearly identifies a problem and states the information needed to solve the Problem.
2. Obtaining the Data There are two types of data: Primary Data – data that is obtained for the first time and used specifically for the particular problem under study. Secondary Data – data that has already been collected for some purpose other than the current study.
Where do we get Secondary Data from? U.S. Government Agencies – Census Bureau Corporate, Public, and University Libraries Business Publications Trade Publications, books and journals
Secondary Data Advantages Can be obtained quickly Less Expensive than Primary Data Disadvantages Existing data may not be relevant to the current problem Data might be old
Sample A sample is a part of the target population that is assumed to represent the entire population. Usually the larger the sample the more accurate the results of the survey.
How do we obtain Primary Data? The Survey Method – information is gathered from people directly through the use of interviews or questionnaires. Observation Method – people’s actions are observed and recorded. The Experimental Method – observations under controlled conditions.
The Survey Method Questionnaire Personal Interview Focus Group Interview Telephone Interview Mail Survey Online Computer Services
The Observation Method We can observe Customers or Employees in Natural Situations or Contrived Situations Point of Sale Research – combining natural observation with personal interviews to get people to explain their buying behavior.
The Experimental Model Often used to test new package designs, levels of media usage, and new promotions. Least often used form of Primary data collection due to the costs associated.
3. Analyzing the Data Data Analysis – is compiling, analyzing, and interpreting of the results of the primary and data collection.
4. Recommending Solutions to the Problem The conclusions drawn from research usually are presented in a report. See Page 440 for an outline of possible items to include in a Report.
Constructing the Questionnaire Validity – data should measure what it was intended to measure. Reliability – Questions should ask the same type of information from all respondents.
Writing the Questions Open Ended – generate a wide variety of responses that are often difficult to tabulate and categorize. Forced Choice – ask the respondents to choose from possibilities. Can be either two choice questions, multiple choice, or rating questions.