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Marketing Research Process

Marketing Research Process. Marketing Research is Systematic and Objective Must be completed in this fashion It is not haphazard or non-scientific GIGO. Marketing Research Process. Notes on the Research Process. Not a Simple “Linear” Process Steps do not Take the Same Amount of Time

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Marketing Research Process

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  1. Marketing Research Process • Marketing Research is Systematic and Objective • Must be completed in this fashion • It is not haphazard or non-scientific • GIGO

  2. Marketing Research Process

  3. Notes on the Research Process • Not a Simple “Linear” Process • Steps do not Take the Same Amount of Time • Objective is Information for Decision Making (not Completing a Report) • Key is to develop a design which minimizes “Total Error” • Total Error = Sampling Error + Non-sampling Error • Can calculate sampling error [+ or – 1.96 (s/ √n)] • Cannot calculate non-sampling error

  4. Problem Formulation • Interaction Between Researcher & Manager, is Critical • Specification of Management & Research Objectives • Why is the research being performed? • Development of Hypotheses (in the “Ideal World”) • Statement of what we think the answer might be

  5. Research Design • Exploratory Research -- Help Define Problem and/or Develop Hypotheses • Descriptive Research -- Describing the Marketplace • Causal Research -- Developing Cause-and-Effect Statements

  6. Research Design • Exploratory Research • Research completed to help reduce the ambiguity of a problem • Can often perform this type of research without applying purely “scientific” principles • Often go back to “Problem Formulation” stage when this step is completed • May involve a “pilot study” • Small scale study that uses a small (and often) non-scientifically based sample

  7. Research Design • Descriptive Research • Research used to describe the characteristics of a population • Want to make sure that you capture a representative sample of the population

  8. Research Design • Causal (Experimental) Research • Research used to identify cause-and-effect relationships • Scientific principles must be carefully employed (i.e., experimentation) • More than just saying y follows x (Concomitant variation) • Want to say “x causes y”

  9. Design of Data Collection Method & Forms • Secondary vs. Primary Data • Secondary Data -- data collected for purposes other than the focal study, but applied to the present problem • Primary Data -- data gathered exclusively for the study at hand

  10. Design of Data Collection Method & Forms • Communication (Survey) vs. Observation • Communication (Survey) • Involves communication with a set of respondents • Observation • Monitor the actions of a set of respondents • Advantages of each?

  11. Sample Design & Data Collection • Who do we talk to (or observe)? • Identification of sample frame • How many people do we talk to? • Sample Size • Must gather the data -- actually talk to respondents or observe them

  12. Analysis & Interpretation of Data • Objective -- turn Raw Data into Information • Screen the Data (i.e., does the data look like the information we need?) • Edit the Data (e.g., is the data usable?) • Code the Data (i.e., turn responses into numbers) • Analyze the Data (counts & statistical analyses)

  13. Research Report • Clear, Concise & Communicate

  14. Problem Formulation • “A problem is half solved when it is defined” • Anonymous • Key Steps in Problem Formulation • Meet with Client • Clarify Problem / Opportunity • State Manager’s Decision Problem • Develop Full Range of Possible Research Problems • Select the Research Problem that is best represents Managerial Problem • Prepare Research Request Agreement

  15. Problem Formulation • How can this needed communication (between researcher and manager) be facilitated? • Research Request Agreement • Force manager to write out the request • Clearly articulate why research is needed • Research Proposal system • Propose what you can do, how long it will take to do it, and how much it will cost • Facilitates communication

  16. Problem Formulation • Research Request Agreement(Prepared by Manager) • ORIGIN • The events that led to the manager’s decision problem • DECISION PROBLEM • The underlying question confronting the manager • RESEARCH PROBLEMS • The range of research problems that would provide input to the decision problem • USE • The way each piece of information will be used • TARGETS AND THEIR SUBGROUPS • The groups from whom the information must be gathered • LOGISTICS • Estimates of time and money that are available to conduct the research

  17. Problem Formulation • Research Proposal(Prepared by Researcher) – generated in response to the Research Request Agreement • Tentative project title • Statement of the marketing problem • Purpose and limits of the project • Outline • Data sources and research methodology • Estimate of time and personnel requirements • Cost estimates

  18. Problem Formulation • Research Proposal • Negotiate • When agreement is reached • Both parties sign

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