Solving the Problem: Five-Step Marking Research Approach – PowerPoint Presentation

Solving the Problem: Five-Step Marking Research Approach

MKT/421

Introduction

Importance of Research in MarketingFive-Step Marketing Research ApproachPrimary Market ResearchSecondary Market ResearchAlternative methods of Market ResearchService Differentiation

Importance of research marketing

What is Marketing Research?“Marketing research is the process of defining a marketing problem and opportunity, systematically collecting and analyzing information, and recommending actions” (Kerin & Hartley, 2017).

Centers the business to the consumersImproves decision making abilitiesAllows managers to be future oriented and relevantHelps keep the business focusedReduces Risks

Advantages of Market Research

Minimizes potential risksGuiding factor on communication with customers and potential customersHelps to identify opportunities in the marketplaceMeasures your reputationUncovers and identifies potential problems

Disadvantages of Market Research

Studies consumer behavior and the market environment, which is always changing, thus making it difficult to get exact informationIs a social science, so not all solutions are exactAid to the decision making process, not a decision making toolOnly provides insightReduces risks, but does not eliminate all business risks

Five-Step Marketing Research Approach

Step 1

Step 2

Step 3

Step 4

Step 5

Step 1: Define the Problem

This is the most important aspect of the marketing research processKnow what you want to learn from the research well before any research or data is collectedKnowing the problem that needs to be solved will determine what information is needed and how to gather it

Develop questions that will allow you to define the problemExamine all potential causes so the research can be reduced to only the information needed to solve the problemDetermine what actions need to be taken

Step 2: Develop the Research Plan

Specify constraints In a decision these are the restrictions placed on potential solutions to a problem.Identify data needed for marketing actions Determine how to collect data When deciding how to collect the data, we look at two elements: concepts and methodsConcepts: ideas about products or servicesMethods: approaches that can be used to collect data or solve problem

Step 3: Collect Relevant Information

Secondary DataFacts and figures recorded prior to the projectInternal and external dataPrimary DataFacts and figures newly collected for the projectObservational data, questionnaire data, and other sources of data

Step 4: Develop Findings

Analyze the dataLook at the gathered information to find trendsDon’t try to find patterns based on assumptions prior to collecting dataWrite up a summaryInclude process followed, the results, conclusions, recommendations

Step 5: Take Marketing Actions

Action RecommendationsAdvertise to target audiencePromotional periodsSpecial events

Evaluate ResultsEvaluating the decision itselfEvaluating the decision process used

Secondary Research

“Research that has already been compiled, gathered, organized and published by others” (“Hartford”, 2018).Office dataInternetMagazinesNewspaper

AdvantagesEasily accessibleLow costDisadvantagesQuality of researchNot specific to researcher’s needs

Primary Research

“Involves going directly to a source usually customers and prospective customers in your target market to ask questions and gather information” (“The Hartford”, 2018).InterviewsSurveysQuestionnairesFocus groups

AdvantagesTargeted issues addressedData interpreted is betterDisadvantagesCosts moreTakes longer to conduct

Alternative Methods of Market Research

Quantitative Gathers numerical dataSurveys on customer return frequencySales figuresIndustry product sales numbersOnline or phone questionnairesFinancial trends

Qualitative Gathers views and attitudes Focus groups with customers and potential customersFormal and information conversationsVisits and reviews of competitors

Differentiation

What is differentiation?“A marketing strategy that involves a firm using different marketing mix actions to help consumers perceive the product as being different and better than the competing products” (Kerin & Hartley, 2017).

Unique marketing strategyCompetitive advantagesCreates valueBrand loyaltyPrevents or reduces perceived substitutesNon price competition

References

Kerin, R. A., & Hartley, S. W. (2017). Marketing (13th ed.). Retrieved from The University of Phoenix eBook Collection database.The Hartford(2018). Retrieved from https://www.thehartford.com/business-playbook/in-depth/business-primary-second-research Spindler, M. (n.d.). 10 Benefits of Market Research. Retrieved from https://happy-creative.co.uk/10-benefits-of-market-research/ Market Research Methods(2016). Retrieved from https://www.business.qld.gov.au/starting-business/planning/market-customer-research/basics/methods