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Chapter 4 marketing research pace
- 1. Make Marketing Value Decisions (Part 1) Understand Consumers’ Value Needs (Part 2) Create the Value Proposition (Part 3) Communicate the Value Proposition (Part 4) Deliver the Value Proposition (Part 5)
- 2. Chapter 4 What do customers want? Conducting and Understanding Market Research.
- 3. Chapter Objectives • Explain the role of a marketing information system and in marketing decision making. • Understand data mining and how marketers can put it to good use. • List and explain the steps and key elements of the marketing research process.
- 4. Consider these questions? • Whether or not to increase the price of a bottle of shampoo? • Whether or not to redesign the package for cereal? • What new flavors of soda to introduce?
- 5. How do we know what the market wants? Marketing Information System or.. or.. Market Company Acquired Intelligence Data Databases Information coming from Databases within the Databases purchased or the marketing company: buying trends, negotiated from another environment. Competitor sales data, customer company. Kroger, gov’t, information, economic complaint data, refunds, cell phone companies, trends, etc... etc... credit card or... Marketing Research
- 6. Syndicated vs. Custom Market Research
- 7. Syndicated vs. Custom Market Research
- 8. How Ad Meter works USA TODAY assembled 282 adult volunteers in Bakersfield, Calif., and McLean, Va., and electronically charted their second-by-second reactions to ads during the Super Bowl. Shugoll Research and Trotta Associates chose the volunteers, who used handheld meters to register how much they liked each ad. A computer continuously averaged the scores. Scores are the highest average for each ad.
- 9. Data Mining A large amount of data can usually be subject to data mining. Data mining is frequently used for very large amounts of data that may have “hidden stories”. Data mining uses computers that run sophisticated programs so that analysts can combine different databases to understand relationships among buying decisions, exposure to marketing messages, and in-store promotions.
- 10. Data Mining A large amount of data can usually be subject to data mining. Data mining is frequently used for very large amounts of data that may have “hidden stories”. Data mining uses computers that run sophisticated programs so that analysts can combine different databases to understand relationships among buying decisions, exposure to marketing messages, and in-store promotions.
- 11. Data Mining A large amount of data can usually be subject to data mining. Data mining is frequently used for very large amounts of data that may have “hidden stories”. Data mining uses computers that run sophisticated programs so that analysts can combine different databases to understand relationships among buying decisions, exposure to marketing messages, and in-store promotions.
- 12. End Module 1
- 14. !"#$%&'$(')"*+$+',%$%*$ -*./$ !"#$%&'$(')"*+$+',%$%*$ 01$2&3%$4*$-*.$56#'$7'"%$ -*./$ 37*.%$89:;$ <1$2&3%$4*$-*.$56#'$ 5'3"%$37*.%$89:;$ !"#$#%&$'(#)*#+,+--.#/)0# 123)45$"5#1%#5/1%#5)#6)7#1"#$# &)''(8(9# !"#$#%&$'(#)*#+,+--.#/)0# 123)45$"5#1%#5/1%#5)#6)7#1"#$# &)''(8(9#
- 15. That was Market Research!
- 16. Some important questions? Why should firms conduct research? Who conducts research? Where does information come from? What kind of information is important? What is the market research process? How can firms use the data they collect?
- 17. Why should firms conduct research? Who conducts research? Where does information come from? What kind of information is important? What is the market research process? How can firms use the data they collect?
- 18. Why should firms conduct research? Who conducts research? Where does information come from? What kind of information is important? What is the market research process? How can firms use the data they collect? To get insights into market-related issues that will help the firm make better decisions
- 19. Why should firms conduct research? Who conducts research? Where does information come from? What kind of information is important? What is the market research process? How can firms use the data they collect?
- 20. Why should firms conduct research? Who conducts research? Where does information come from? What kind of information is important? What is the market research process? How can firms use the data they collect? • !"#$%&'()*+%,*&'%"-+./&#)0*+-12/ • 31"4-&1/&#)0*+-12/ • 5#+60"#7'/#".*+-8*9#+2/ • :#41"+)1+'/*.1+&-12/ • ;*"<1'/"121*"&=/7")2>/1'&?/
- 21. Market Research Process 1. Identify the problem and state objectives Problem..... 2. Create the research design (descriptive or Did people like the diagnostic?) Superbowl ads? 3. Choose the method of research 4. Select a sampling procedure Objective.... 5. Collect data To understand how 6. Analyze data people felt about 7. Write a presentation/report the Superbowl ads.
- 23. Problem: Poor game attendance during inclement weather = lost $$$ 1. Research Problem
- 24. Problem: Poor game attendance during inclement weather = lost $$$ 1. Research Problem
- 25. Problem: Poor game attendance during inclement weather = lost $$$ We already know that rain and snow keeps fans from coming out to games. 1. Research Problem
- 26. Problem: Poor game attendance during inclement weather = lost $$$ We already know that rain and snow keeps fans from coming out to games. 1. Research Problem
- 27. Problem: Poor game attendance during inclement weather = lost $$$ We already know that rain and snow keeps fans from coming out to games. Who are you interested in for the study? 1. Research Problem
- 28. Problem: Poor game attendance during inclement weather = lost $$$ We already know that rain and snow keeps fans from coming out to games. Who are you interested in for the study? Current Bengal Fans? Potential Bengal Fans? Non football fans? Season ticket holders? Scalpers? 1. Research Problem
- 29. Your research PROBLEM indicates your research objectives…. So - What is a research objective? A goal statement, defining the specific information needed to solve the marketing research problem 1. Research Objective
- 30. Your research PROBLEM indicates your research objectives…. So - What is a research objective? A goal statement, defining the specific information needed to solve the marketing research problem !"#$%&'(#"'#)*+,"-%'#."/#0"#%(,"1'&2%#&3%()&(,%#&0#4%(2&$+# 2&5%+#)1'*(2#'&*(6+("/# 1. Research Objective
- 31. How can the problem and objectives be addressed? The research design dictates exactly what information to collect, and how (i.e. the type of research method) Primary or Secondary Data? For the Bengals’ problem, what would you suggest? Does the information already exists somewhere? Perhaps another NFL team has faced this issue? Perhaps another sport industry has faced this issue? 2. Research Design
- 32. Primary vs. Secondary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
- 33. ! “soft” data ! “hard” data ! Less structured ! Generally fast collection and cheap to ! Subject to collect interpretation ! Easily ! Time consuming comparable and expensive results ! Highly structured
- 34. ! “soft” data ! “hard” data ! Less structured ! Generally fast collection and cheap to ! Subject to collect interpretation ! Easily ! Time consuming comparable and expensive results ! Highly structured
- 35. ! “soft” data ! “hard” data ! Less structured ! Generally fast collection and cheap to ! Subject to collect interpretation ! Easily ! Time consuming comparable and expensive results ! Highly structured
- 36. Watching/Open-ended questions. Convert to numbers. Interpretive & Inductive Deductive. QUALITATIVE METHODS QUANTITATIVE METHODS In-depth interviews Surveys Focus Groups Experiments – causal research Observation Scanner Data Ethnography Case Study Projective Techniques
- 37. Watching/Open-ended questions. Convert to numbers. Interpretive & Inductive Deductive. QUALITATIVE METHODS QUANTITATIVE METHODS In-depth interviews Surveys Focus Groups Experiments – causal research Observation Scanner Data Ethnography Case Study Projective Techniques What kind of research problem or question would you address with Experimental/Causal Research??
- 38. Watching/Open-ended questions. Convert to numbers. Interpretive & Inductive Deductive. QUALITATIVE METHODS QUANTITATIVE METHODS In-depth interviews Surveys Focus Groups Experiments – causal research Observation Scanner Data Ethnography Case Study Projective Techniques What kind of research problem or What would of research problem or question kind you address with question would you address with Survey Experimental/Causal Research?? Research??
- 39. Watching/Open-ended questions. Convert to numbers. Interpretive & Inductive Deductive. QUALITATIVE METHODS QUANTITATIVE METHODS In-depth interviews Surveys Focus Groups Experiments – causal research Observation Scanner Data Ethnography Case Study Projective Techniques What kind of research problem or What would of research problem or question kind you address with question would you address with Survey Experimental/Causal fans a free Bengals poncho If we promised all Research?? on rainy days, would attendance increase? Research??
- 40. Watching/Open-ended questions. Convert to numbers. Interpretive & Inductive Deductive. QUALITATIVE METHODS QUANTITATIVE METHODS In-depth interviews Surveys Focus Groups Experiments – causal research Observation Scanner Data Ethnography Case Study Must be something Projective Techniques measurable!! What kind of research problem or What would of research problem or question kind you address with question would you address with Survey Experimental/Causal fans a free Bengals poncho If we promised all Research?? on rainy days, would attendance increase? Research??
- 41. Watching/Open-ended questions. Convert to numbers. Interpretive & Inductive Deductive. QUALITATIVE METHODS QUANTITATIVE METHODS In-depth interviews Surveys Focus Groups Experiments – causal research Observation Scanner Data Ethnography Case Study Must be something Projective Techniques measurable!! What kind of research problem or What would of research problem or question kind you address with question would you address with Survey Experimental/Causal fans a free Bengals poncho If we promised all Research?? on rainy days, would attendance increase? Research?? effect
- 42. Watching/Open-ended questions. Convert to numbers. Interpretive & Inductive Deductive. QUALITATIVE METHODS QUANTITATIVE METHODS In-depth interviews Surveys Focus Groups Experiments – causal research Observation Scanner Data Ethnography Case Study Must be something Projective Techniques measurable!! What kind of research problem or What would of research cause question kind you address with problem or question would you address with Survey Experimental/Causal fans a free Bengals poncho If we promised all Research?? on rainy days, would attendance increase? Research?? effect
- 43. Validity – measuring what we intended to measure. Are we measuring game attendance or just ticket sales? Reliability – consistency of our instrument – repeatability. Where are we getting our attendance data from? Representativeness – Can we speculate that our findings are relevant to the rest of our population potential game attendees?
- 44. Can you draw Reliability and Validity?? Validity – measuring what we intended to measure. Are we measuring game attendance or just ticket sales? Reliability – consistency of our instrument – repeatability. Where are we getting our attendance data from? Representativeness – Can we speculate that our findings are relevant to the rest of our population potential game attendees?
- 45. Can you draw Reliability and Validity?? Validity – measuring what we intended to measure. Are we measuring game attendance or just ticket sales? Reliability – consistency of our instrument – repeatability. Where are we getting our attendance data from? Representativeness – Can we speculate that our findings are relevant to the rest of our population potential game attendees?
- 46. Can you draw Reliability and Validity?? Validity – measuring what we intended to measure. Are we measuring game attendance or just ticket sales? Reliability – consistency of our instrument – repeatability. Where are we getting our attendance data from? Representativeness – Can we speculate that our findings are relevant to the rest of our population potential game attendees?
- 47. Can you draw Reliability and Validity?? Validity – measuring what we intended to measure. Are we measuring game attendance or just ticket sales? Reliability – consistency of our instrument – repeatability. Where are we getting our attendance data from? Representativeness – Can we speculate that our findings are relevant to the rest of our population potential game attendees?
- 48. Can you draw Reliability and Validity?? Validity – measuring what we intended to measure. Are we measuring game attendance or just ticket sales? Reliability – consistency of our instrument – repeatability. Where are we getting our attendance data from? Representativeness – Can we speculate that our findings are relevant to the rest of our population potential game attendees?
- 49. Can you draw Reliability and Validity?? Validity – measuring what we intended to measure. Are we measuring game attendance or just ticket sales? Reliability – consistency of our instrument – repeatability. Where are we getting our attendance data from? Representativeness – Can we speculate that our findings are relevant to the rest of our population potential game attendees?
- 50. Can you draw Reliability and Validity?? Validity – measuring what we intended to measure. Are we measuring game attendance or just ticket sales? Reliability – consistency of our instrument – repeatability. Where are we getting our attendance data from? Representativeness – Can we speculate that our findings are relevant to the rest of our population potential game attendees?
- 51. Can you draw Reliability and Validity?? Validity – measuring what we intended to measure. Are we measuring game attendance or just ticket sales? Reliability – consistency of our instrument – repeatability. Where are we getting our attendance data from? Representativeness – Can we speculate that our findings are relevant to the rest of our population potential game attendees?
- 53. Not all marketing problems can or should be addressed with research efforts.
- 54. Not all marketing problems can or should be addressed with research efforts. Reasons not to begin the market research process…
- 55. Not all marketing problems can or should be addressed with research efforts. Reasons not to begin the market research process… Not enough $$ to • Conduct the research • Implement anything based on the findings
- 56. Not all marketing problems can or should be addressed with research efforts. Reasons not to begin the market research process… Not enough $$ to • The questions cannot be • Conduct the research answered • Implement anything based on • The information already exists the findings (secondary data)
- 57. Not all marketing problems can or should be addressed with research efforts. Reasons not to begin the market research process… Not enough $$ to • The questions cannot be • Conduct the research answered • Implement anything based on • The information already exists the findings (secondary data) • Costs outweigh the benefits • Inability to make changes at all based on current situation
- 58. Now, what if we want to be sure that our fans are satisfied with the ponchos we give them on rainy/snowy days and they will be encouraged to return even in bad weather? Lets think Surveys…
- 59. Now, what if we want to be sure that our fans are satisfied with the ponchos we give them on rainy/snowy days and they will be encouraged to return even in bad weather? Lets think Surveys… What kinds of questions?
- 60. Now, what if we want to be sure that our fans are satisfied with the ponchos we give them on rainy/snowy days and they will be encouraged to return even in bad weather? Lets think Surveys… What kinds of questions? Satisfaction: from 1-5, how satisfied are you with...... Attitude: from 1-5, how much did(do) you like/dislike, agree/disagree..... Behavior: how often do you.... , have you, will you......
- 61. Who can provide the data we need? Probability sample – each person in the population has an equal or known chance of being sampled. Helps ensure generalizability. Randomly select people who have recently attended a Bengals game. Non-probability sample – some customers may be better to sample from than others. Convenience - first 500 people in the door. Ability to express opinions and attitudes - willing to share info. Expertise - season ticket holders; attend 2x per year
- 62. Go out and get it! Mail your survey, email the survey, link on the website, use interviewers at the gates, etc.. Challenges faced by quantitative and qualitative data collection ★ Bias in the survey language - leading questions, confusion questions, irrelevant questions ★ Bias using interviewers - are your interviewers offensive? Smelly? Have bad attitudes? Inducing socially responsible answers? ★ Timely collection and interpretation - a study conducted too late becomes useless. Can someone adequately interpret/analze your results? ★ Influence of external factors - can other things have caused or influenced your data? (maybe there were good beer specials during rainy days too?)
- 63. Are the results meaningful? ★ Are you able to implement any changes to help address your problem? ★ Are the results powerful enough for you to do so? ★ Should we really offer these ponchos? Did we solve our problem? 6.
- 64. Communicate the conclusions found in the study. e.g….”We conclude that after giving free ponchos on rainy days, attendance increased. We calculated a 12% increase over the rainy game day average attendance from the past 3 years.” Concluding recommendation: If the increased revenue from attendance exceeds costs of purchasing ponchos, we should continue to give free ponchos on rainy days. Sampled fans indicated that they were very satisfied with the ponchos. 7.
- 65. End Chapter 2
- 67. Three Main Reasons 1. Understand market dynamics 2. Anticipate what your rivals might do 3. Create more practical marketing plans
- 68. An assessment of the strengths and weaknesses of current and potential competitors. FIRST: • Who are your competitors? • How do you define them? • Do your customers see them as alternatives to your business and its offerings?
- 69. Who does Bengals football compete ! Who are your competitors? with? ! What customer needs and preferences are you competing to meet? ! What are the similarities and differences between their products/services and yours? ! What are the strengths and weaknesses of each of their products and services? ! How do their prices compare to yours? ! How are you uniquely suited to compete with them? Do you have a USP? ! How are they doing overall? Market share? ! How do you plan to compete? ! Offer better quality services? Lower prices? More support? Easier access to services?
- 70. Capitalize. Minimize. Take Protect Advantage. Against.
- 71. ! Keeping up with competitors is of key importance ! CompetitiveIntelligence is the systematic and ethical approach for gathering and analyzing information about competitor activities and related business trends. ! 80% of all information is public knowledge.
- 72. ! Keeping up with competitors is of key importance ! CompetitiveIntelligence is the systematic and ethical approach for gathering and analyzing information about competitor activities and related business trends. ! 80% of all information is public knowledge. Sources: Annual and financial reports, industry reports (market share), speeches by company executives, government documents, online databases, trade organizations, popular and business press, customers
- 73. ! Determine what factors are key to success in your industry. ! Your customers can tell you a lot about what to look for. ! Are you meeting these factors? Are your competitors? ! Good Market Information Systems can help you collect information on competitors in a systematic fashion. These are problems/ questions that can be addressed with market research.
- 74. ! Market research is used to help solve marketing problems ! Market research is a process of data collection and analysis ! There are many forms of research methods, many of which are complementary to each other ! Market research can assist in competitor analysis ! Competitor intelligence is key to long- term success, especially in a high rivalry industry
Hinweis der Redaktion
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- These are all marketing decision situations that can benefit from marketing research!\n
- To make good decisions, marketers must have information that is accurate, up-to-date, and relevant.\nThe marketing information system\nOne of the ways firms collect information is through a marketing information system (MIS). The MIS is a process that first determines what information marketing managers need. Then it gathers, sorts, analyzes, stores, and distributes relevant and timely marketing information to system users. \n\nInformation to feed the system comes from:\n&#x2022;Internal company data.\n&#x2022;Marketing intelligence data on competition and other elements in the firm&#x2019;s business environment.\n&#x2022;Information gathered through marketing research.\n&#x2022;Acquired databases.\nComputer hardware and software store and access this information. Based on an understanding of managers&#x2019; needs, MIS personnel generate a series of regular reports for various decision makers.\n\nInternal Company Data\nThe internal company data system uses information from within the company to produce reports on the results of sales and marketing activities. Internal company data include a firm&#x2019;s internal records of sales\n\nOften, an MIS allows salespeople and sales managers in the field to access internal records through a company intranet. An intranet is an internal corporate communications network that uses Internet technology to link company departments, employees, and databases.\n\nMarketing managers can see daily or weekly sales data by brand or product line from the internal company data system. They also can see monthly sales reports to measure progress toward sales goals and market share objectives.\n\nMarketing Intelligence\nA second important element of the MIS is the marketing intelligence system, a method by which marketers get information about everyday happenings in the marketing environment. Nearly all the information companies need about their environment&#x2014;including the competitive environment&#x2014;is available by monitoring everyday sources: newspapers, trade publications, or simple observations of the marketplace. And because salespeople are the ones &#x201C;in the trenches&#x201D; every day, talking with customers, distributors, and prospective customers, they too can provide valuable information.\n\nMarketing managers may use marketing intelligence data to predict fluctuations in sales due to economic conditions, political issues, and events that heighten consumer awareness, or to forecast the future so that they will be on top of developing trends. Some marketing researchers known as futurists specialize in predicting consumer trends. They try to forecast changes in lifestyles that will affect the wants and needs of customers in the coming years. Futurists try to imagine different scenarios&#x2014;possible future situations that might occur&#x2014;and assign a level of probability to each.\n\nMarketing Research\nMarketing research refers to the process of collecting, analyzing, and interpreting data about customers, competitors, and the business environment to improve marketing effectiveness. Although companies collect marketing intelligence data continuously to keep managers abreast of happenings in the marketplace, marketing research also is called for when managers need unique information to help them make specific decisions. \n\nIn general, marketing research data available in an MIS include syndicated research reports and custom research reports. Syndicated research is general research collected by firms on a regular basis, and then sold to other firms. In contrast, custom research is research a single firm conducts to provide answers to specific questions.\n\nSome firms maintain an in-house research department that conducts studies on its behalf. Many firms, however, hire outside research companies, like Plan-it Marketing, that specialize in designing and conducting projects based on the needs of the client.\n\nAcquired Databases\nA large amount of information that can be useful in marketing decision making is available in the form of external databases. Firms may acquire these databases from any number of sources. In recent years, the use of such databases for marketing purposes has come under increased government scrutiny as some consumer advocates protest against the potential invasion of privacy these may cause.\n
- In general, marketing research data available in an MIS include syndicated research reports and custom research reports. Syndicated research is general research collected by firms on a regular basis, and then sold to other firms. In contrast, custom research is research a single firm conducts to provide answers to specific questions.\n\nSome firms maintain an in-house research department that conducts studies on its behalf. Many firms, however, hire outside research companies, like Plan-it Marketing, that specialize in designing and conducting projects based on the needs of the client.\n\nweblinks: http://www.nielsen.com/content/corporate/us/en.html#4 http://www.surveysampling.com\n\n
- Admeter is syndicated research\n
- Most MIS systems include internal customer transaction databases and many include acquired databases. Often these databases are extremely large. To take advantage of the massive amount of data now available, a sophisticated analysis technique called data mining is now a priority for many firms. Data mining is a process in which analysts sift through data (often measured in terabytes&#x2014;much larger than kilobytes or even gigabytes) to identify unique patterns of behavior among different customer groups.\n\nData mining uses computers that run sophisticated programs so that analysts can combine different databases to understand relationships among buying decisions, exposure to marketing messages, and in-store promotions. \n\n&#x2022;Customer acquisition: Many firms include demographic and other information about customers in their database.\n&#x2022; Customer retention and loyalty: The firm identifies big-spending customers and then targets them for special offers and inducements other customers won&#x2019;t receive.\n&#x2022;Customer abandonment: Strange as it may sound, sometimes a firm wants customers to take their business elsewhere because servicing them actually costs the firm too much. Today, this is popularly called &#x201C;firing a customer.&#x201D;\n - Market basket analysis develops focused promotional strategies based on the records of which customers have bought certain products.\n
- Most MIS systems include internal customer transaction databases and many include acquired databases. Often these databases are extremely large. To take advantage of the massive amount of data now available, a sophisticated analysis technique called data mining is now a priority for many firms. Data mining is a process in which analysts sift through data (often measured in terabytes&#x2014;much larger than kilobytes or even gigabytes) to identify unique patterns of behavior among different customer groups.\n\nData mining uses computers that run sophisticated programs so that analysts can combine different databases to understand relationships among buying decisions, exposure to marketing messages, and in-store promotions. \n\n&#x2022;Customer acquisition: Many firms include demographic and other information about customers in their database.\n&#x2022; Customer retention and loyalty: The firm identifies big-spending customers and then targets them for special offers and inducements other customers won&#x2019;t receive.\n&#x2022;Customer abandonment: Strange as it may sound, sometimes a firm wants customers to take their business elsewhere because servicing them actually costs the firm too much. Today, this is popularly called &#x201C;firing a customer.&#x201D;\n - Market basket analysis develops focused promotional strategies based on the records of which customers have bought certain products.\n
- Most MIS systems include internal customer transaction databases and many include acquired databases. Often these databases are extremely large. To take advantage of the massive amount of data now available, a sophisticated analysis technique called data mining is now a priority for many firms. Data mining is a process in which analysts sift through data (often measured in terabytes&#x2014;much larger than kilobytes or even gigabytes) to identify unique patterns of behavior among different customer groups.\n\nData mining uses computers that run sophisticated programs so that analysts can combine different databases to understand relationships among buying decisions, exposure to marketing messages, and in-store promotions. \n\n&#x2022;Customer acquisition: Many firms include demographic and other information about customers in their database.\n&#x2022; Customer retention and loyalty: The firm identifies big-spending customers and then targets them for special offers and inducements other customers won&#x2019;t receive.\n&#x2022;Customer abandonment: Strange as it may sound, sometimes a firm wants customers to take their business elsewhere because servicing them actually costs the firm too much. Today, this is popularly called &#x201C;firing a customer.&#x201D;\n - Market basket analysis develops focused promotional strategies based on the records of which customers have bought certain products.\n
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- Ideally, marketing research is an ongoing process, a series of steps marketers take repeatedly to learn about the marketplace.\nStep 1: Define the Research Problem\nThe first step in the marketing research process is to clearly understand what information managers need. We refer to this step as defining the research problem. Defining the problem has three components:\n&#x2022;Specify the research objectives: What questions will the research attempt to answer?\n&#x2022;Identify the consumer population of interest: What are the characteristics of the consumer group(s) of interest?\n&#x2022;Place the problem in an environmental context: What factors in the firm&#x2019;s internal and external business environment might influence the situation?\n\n
- Ideally, marketing research is an ongoing process, a series of steps marketers take repeatedly to learn about the marketplace.\nStep 1: Define the Research Problem\nThe first step in the marketing research process is to clearly understand what information managers need. We refer to this step as defining the research problem. Defining the problem has three components:\n&#x2022;Specify the research objectives: What questions will the research attempt to answer?\n&#x2022;Identify the consumer population of interest: What are the characteristics of the consumer group(s) of interest?\n&#x2022;Place the problem in an environmental context: What factors in the firm&#x2019;s internal and external business environment might influence the situation?\n
- Ideally, marketing research is an ongoing process, a series of steps marketers take repeatedly to learn about the marketplace.\nStep 1: Define the Research Problem\nThe first step in the marketing research process is to clearly understand what information managers need. We refer to this step as defining the research problem. Defining the problem has three components:\n&#x2022;Specify the research objectives: What questions will the research attempt to answer?\n&#x2022;Identify the consumer population of interest: What are the characteristics of the consumer group(s) of interest?\n&#x2022;Place the problem in an environmental context: What factors in the firm&#x2019;s internal and external business environment might influence the situation?\n
- Ideally, marketing research is an ongoing process, a series of steps marketers take repeatedly to learn about the marketplace.\nStep 1: Define the Research Problem\nThe first step in the marketing research process is to clearly understand what information managers need. We refer to this step as defining the research problem. Defining the problem has three components:\n&#x2022;Specify the research objectives: What questions will the research attempt to answer?\n&#x2022;Identify the consumer population of interest: What are the characteristics of the consumer group(s) of interest?\n&#x2022;Place the problem in an environmental context: What factors in the firm&#x2019;s internal and external business environment might influence the situation?\n
- Ideally, marketing research is an ongoing process, a series of steps marketers take repeatedly to learn about the marketplace.\nStep 1: Define the Research Problem\nThe first step in the marketing research process is to clearly understand what information managers need. We refer to this step as defining the research problem. Defining the problem has three components:\n&#x2022;Specify the research objectives: What questions will the research attempt to answer?\n&#x2022;Identify the consumer population of interest: What are the characteristics of the consumer group(s) of interest?\n&#x2022;Place the problem in an environmental context: What factors in the firm&#x2019;s internal and external business environment might influence the situation?\n
- Ideally, marketing research is an ongoing process, a series of steps marketers take repeatedly to learn about the marketplace.\nStep 1: Define the Research Problem\nThe first step in the marketing research process is to clearly understand what information managers need. We refer to this step as defining the research problem. Defining the problem has three components:\n&#x2022;Specify the research objectives: What questions will the research attempt to answer?\n&#x2022;Identify the consumer population of interest: What are the characteristics of the consumer group(s) of interest?\n&#x2022;Place the problem in an environmental context: What factors in the firm&#x2019;s internal and external business environment might influence the situation?\n
- Ideally, marketing research is an ongoing process, a series of steps marketers take repeatedly to learn about the marketplace.\nStep 1: Define the Research Problem\nThe first step in the marketing research process is to clearly understand what information managers need. We refer to this step as defining the research problem. Defining the problem has three components:\n&#x2022;Specify the research objectives: What questions will the research attempt to answer?\n&#x2022;Identify the consumer population of interest: What are the characteristics of the consumer group(s) of interest?\n&#x2022;Place the problem in an environmental context: What factors in the firm&#x2019;s internal and external business environment might influence the situation?\n
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- Step 2: Determine the Research Design\nOnce marketers isolate specific problems, the second step of the research process is to decide on a &#x201C;plan of attack.&#x201D; This plan is the research design, which specifies exactly what information marketers will collect and what type of study they will do.\n\nResearch designs fall into two broad categories: secondary research and primary research.\n
- Secondary Research\nThe first question marketers must ask when they determine their research design is whether the information they require to make a decision already exists. We call data that have been collected for some purpose other than the problem at hand secondary data. If secondary data are available, it saves the firm time and money because the expense to design and implement a study has already been incurred.\n\n&#x2022;Guideline.com (offers numerous industry and trend reports that are useful as secondary data sources): www.guideline.com\n&#x2022;The U.S. Census Bureau: www.census.gov\n&#x2022;The American Marketing Association: http://www.marketingpower.com/Pages/default.aspx\n&#x2022;Dialog (sorts companies by location, size, and industry): www.dialog.com\n\nPrimary Research\nOf course, secondary research is not always the answer. When a company needs to make a specific decision, it often needs to collect primary data; information it gathers directly from respondents to specifically address the question at hand.\n
- Exploratory (Qualitative) Research\nMarketers use exploratory research to come up with ideas for new strategies and opportunities or perhaps just to get a better handle on a problem they are currently experiencing with a product. Because the studies are usually small scale and less costly than other techniques, marketers may use exploratory research to test their hunches about what&#x2019;s going on without too much risk. Exploratory studies often involve in-depth probing of a few consumers who fit the profile of the &#x201C;typical&#x201D; customer that&#x2019;s of interest.\n\nWe refer to most exploratory research as qualitative: that is, the results of the research project tend to be nonnumeric and instead might be detailed verbal or visual information about consumers&#x2019; attitudes, feelings, and buying behaviors in the form of words rather than in numbers.\n\nDescriptive (Quantitative) Research\nThe next step in marketing research, then, often is to conduct descriptive research. This kind of research probes systematically into the marketing problem and bases its conclusions on a large sample of participants. Results typically are expressed in quantitative terms&#x2014;averages, percentages, or other statistics that result from a large set of measurements.\n\n
- Exploratory (Qualitative) Research\nMarketers use exploratory research to come up with ideas for new strategies and opportunities or perhaps just to get a better handle on a problem they are currently experiencing with a product. Because the studies are usually small scale and less costly than other techniques, marketers may use exploratory research to test their hunches about what&#x2019;s going on without too much risk. Exploratory studies often involve in-depth probing of a few consumers who fit the profile of the &#x201C;typical&#x201D; customer that&#x2019;s of interest.\n\nWe refer to most exploratory research as qualitative: that is, the results of the research project tend to be nonnumeric and instead might be detailed verbal or visual information about consumers&#x2019; attitudes, feelings, and buying behaviors in the form of words rather than in numbers.\n\nDescriptive (Quantitative) Research\nThe next step in marketing research, then, often is to conduct descriptive research. This kind of research probes systematically into the marketing problem and bases its conclusions on a large sample of participants. Results typically are expressed in quantitative terms&#x2014;averages, percentages, or other statistics that result from a large set of measurements.\n\n
- Exploratory research can take many forms. Consumer interviews are one-on-one discussions in which an individual shares her thoughts in person with a researcher.\n\nThe focus group is the technique that marketing researchers use most often for collecting exploratory data. Focus groups typically consist of five to nine consumers who have been recruited because they share certain characteristics (they all play golf at least twice a month, are women in their twenties, and so on). These people sit together to discuss a product, ad, or some other marketing topic a discussion leader introduces. Typically, the leader records (by videotape or audiotape) these group discussions, which may be held at special interviewing facilities that allow for observation by the client who watches from behind a one-way mirror.\n\nResearchers use projective techniques to get at people&#x2019;s underlying feelings, especially when they think that people will be unable or unwilling to express their true reactions. This method asks the participant to respond to some object, often by telling a story about it.\n\nThe case study is a comprehensive examination of a particular firm or organization.\n\nAn ethnographic study is a different kind of in-depth report. It employs ethnography, which is a technique marketers borrow from anthropologists who go to &#x201C;live with the natives&#x201D; for months or even years. Some marketing researchers visit people&#x2019;s homes or participate in real-life consumer activities to get a handle on how they really use products\n\nMarketing researchers who employ descriptive techniques most often use a crosssectional design. This approach usually involves the systematic collection of responses to a consumer survey instrument, such as a questionnaire, from one or more samples of respondents at one point in time. The data may be collected on more than one occasion but generally not from the same pool of respondents. In contrast to these one-shot studies, a longitudinal design tracks the responses of the same sample of respondents over time. Market researchers sometimes create consumer panels to get information; in this case a sample of respondents that are representative of a larger market agrees to provide information about purchases on a weekly or monthly basis.\n\nSurvey Methods \nSurvey methods involve some kind of interview or other direct contact with respondents who answer questions. Questionnaires can be administered on the phone, in person, through the mail, or over the Internet.\n\nCausal Research\nCausal research attempts to identify cause-and-effect relationships. Marketers use causal research techniques when they want to know if a change in something (for example, placing cases of beer next to a diaper display) is responsible for a change in something else (for example, a big increase in diaper sales). They call the factors that might cause such a change independent variables and the outcomes dependent variables. The independent variable(s) cause some change in the dependent variable(s).\n\nTo rule out alternative explanations, researchers must carefully design experiments that test predicted relationships among variables in a controlled environment. Because this approach tries to eliminate competing explanations for the outcome, researchers may bring respondents to a laboratory so they can control precisely what the participants experience.\n\nAlthough a laboratory allows researchers to exert control over what test subjects see and do, marketers don&#x2019;t always have the luxury of conducting this kind of &#x201C;pure&#x201D; research. But it is possible to conduct field studies in the real world, as long as the researchers still can control the independent variables\n
- Exploratory research can take many forms. Consumer interviews are one-on-one discussions in which an individual shares her thoughts in person with a researcher.\n\nThe focus group is the technique that marketing researchers use most often for collecting exploratory data. Focus groups typically consist of five to nine consumers who have been recruited because they share certain characteristics (they all play golf at least twice a month, are women in their twenties, and so on). These people sit together to discuss a product, ad, or some other marketing topic a discussion leader introduces. Typically, the leader records (by videotape or audiotape) these group discussions, which may be held at special interviewing facilities that allow for observation by the client who watches from behind a one-way mirror.\n\nResearchers use projective techniques to get at people&#x2019;s underlying feelings, especially when they think that people will be unable or unwilling to express their true reactions. This method asks the participant to respond to some object, often by telling a story about it.\n\nThe case study is a comprehensive examination of a particular firm or organization.\n\nAn ethnographic study is a different kind of in-depth report. It employs ethnography, which is a technique marketers borrow from anthropologists who go to &#x201C;live with the natives&#x201D; for months or even years. Some marketing researchers visit people&#x2019;s homes or participate in real-life consumer activities to get a handle on how they really use products\n\nMarketing researchers who employ descriptive techniques most often use a crosssectional design. This approach usually involves the systematic collection of responses to a consumer survey instrument, such as a questionnaire, from one or more samples of respondents at one point in time. The data may be collected on more than one occasion but generally not from the same pool of respondents. In contrast to these one-shot studies, a longitudinal design tracks the responses of the same sample of respondents over time. Market researchers sometimes create consumer panels to get information; in this case a sample of respondents that are representative of a larger market agrees to provide information about purchases on a weekly or monthly basis.\n\nSurvey Methods \nSurvey methods involve some kind of interview or other direct contact with respondents who answer questions. Questionnaires can be administered on the phone, in person, through the mail, or over the Internet.\n\nCausal Research\nCausal research attempts to identify cause-and-effect relationships. Marketers use causal research techniques when they want to know if a change in something (for example, placing cases of beer next to a diaper display) is responsible for a change in something else (for example, a big increase in diaper sales). They call the factors that might cause such a change independent variables and the outcomes dependent variables. The independent variable(s) cause some change in the dependent variable(s).\n\nTo rule out alternative explanations, researchers must carefully design experiments that test predicted relationships among variables in a controlled environment. Because this approach tries to eliminate competing explanations for the outcome, researchers may bring respondents to a laboratory so they can control precisely what the participants experience.\n\nAlthough a laboratory allows researchers to exert control over what test subjects see and do, marketers don&#x2019;t always have the luxury of conducting this kind of &#x201C;pure&#x201D; research. But it is possible to conduct field studies in the real world, as long as the researchers still can control the independent variables\n
- Exploratory research can take many forms. Consumer interviews are one-on-one discussions in which an individual shares her thoughts in person with a researcher.\n\nThe focus group is the technique that marketing researchers use most often for collecting exploratory data. Focus groups typically consist of five to nine consumers who have been recruited because they share certain characteristics (they all play golf at least twice a month, are women in their twenties, and so on). These people sit together to discuss a product, ad, or some other marketing topic a discussion leader introduces. Typically, the leader records (by videotape or audiotape) these group discussions, which may be held at special interviewing facilities that allow for observation by the client who watches from behind a one-way mirror.\n\nResearchers use projective techniques to get at people&#x2019;s underlying feelings, especially when they think that people will be unable or unwilling to express their true reactions. This method asks the participant to respond to some object, often by telling a story about it.\n\nThe case study is a comprehensive examination of a particular firm or organization.\n\nAn ethnographic study is a different kind of in-depth report. It employs ethnography, which is a technique marketers borrow from anthropologists who go to &#x201C;live with the natives&#x201D; for months or even years. Some marketing researchers visit people&#x2019;s homes or participate in real-life consumer activities to get a handle on how they really use products\n\nMarketing researchers who employ descriptive techniques most often use a crosssectional design. This approach usually involves the systematic collection of responses to a consumer survey instrument, such as a questionnaire, from one or more samples of respondents at one point in time. The data may be collected on more than one occasion but generally not from the same pool of respondents. In contrast to these one-shot studies, a longitudinal design tracks the responses of the same sample of respondents over time. Market researchers sometimes create consumer panels to get information; in this case a sample of respondents that are representative of a larger market agrees to provide information about purchases on a weekly or monthly basis.\n\nSurvey Methods \nSurvey methods involve some kind of interview or other direct contact with respondents who answer questions. Questionnaires can be administered on the phone, in person, through the mail, or over the Internet.\n\nCausal Research\nCausal research attempts to identify cause-and-effect relationships. Marketers use causal research techniques when they want to know if a change in something (for example, placing cases of beer next to a diaper display) is responsible for a change in something else (for example, a big increase in diaper sales). They call the factors that might cause such a change independent variables and the outcomes dependent variables. The independent variable(s) cause some change in the dependent variable(s).\n\nTo rule out alternative explanations, researchers must carefully design experiments that test predicted relationships among variables in a controlled environment. Because this approach tries to eliminate competing explanations for the outcome, researchers may bring respondents to a laboratory so they can control precisely what the participants experience.\n\nAlthough a laboratory allows researchers to exert control over what test subjects see and do, marketers don&#x2019;t always have the luxury of conducting this kind of &#x201C;pure&#x201D; research. But it is possible to conduct field studies in the real world, as long as the researchers still can control the independent variables\n
- Exploratory research can take many forms. Consumer interviews are one-on-one discussions in which an individual shares her thoughts in person with a researcher.\n\nThe focus group is the technique that marketing researchers use most often for collecting exploratory data. Focus groups typically consist of five to nine consumers who have been recruited because they share certain characteristics (they all play golf at least twice a month, are women in their twenties, and so on). These people sit together to discuss a product, ad, or some other marketing topic a discussion leader introduces. Typically, the leader records (by videotape or audiotape) these group discussions, which may be held at special interviewing facilities that allow for observation by the client who watches from behind a one-way mirror.\n\nResearchers use projective techniques to get at people&#x2019;s underlying feelings, especially when they think that people will be unable or unwilling to express their true reactions. This method asks the participant to respond to some object, often by telling a story about it.\n\nThe case study is a comprehensive examination of a particular firm or organization.\n\nAn ethnographic study is a different kind of in-depth report. It employs ethnography, which is a technique marketers borrow from anthropologists who go to &#x201C;live with the natives&#x201D; for months or even years. Some marketing researchers visit people&#x2019;s homes or participate in real-life consumer activities to get a handle on how they really use products\n\nMarketing researchers who employ descriptive techniques most often use a crosssectional design. This approach usually involves the systematic collection of responses to a consumer survey instrument, such as a questionnaire, from one or more samples of respondents at one point in time. The data may be collected on more than one occasion but generally not from the same pool of respondents. In contrast to these one-shot studies, a longitudinal design tracks the responses of the same sample of respondents over time. Market researchers sometimes create consumer panels to get information; in this case a sample of respondents that are representative of a larger market agrees to provide information about purchases on a weekly or monthly basis.\n\nSurvey Methods \nSurvey methods involve some kind of interview or other direct contact with respondents who answer questions. Questionnaires can be administered on the phone, in person, through the mail, or over the Internet.\n\nCausal Research\nCausal research attempts to identify cause-and-effect relationships. Marketers use causal research techniques when they want to know if a change in something (for example, placing cases of beer next to a diaper display) is responsible for a change in something else (for example, a big increase in diaper sales). They call the factors that might cause such a change independent variables and the outcomes dependent variables. The independent variable(s) cause some change in the dependent variable(s).\n\nTo rule out alternative explanations, researchers must carefully design experiments that test predicted relationships among variables in a controlled environment. Because this approach tries to eliminate competing explanations for the outcome, researchers may bring respondents to a laboratory so they can control precisely what the participants experience.\n\nAlthough a laboratory allows researchers to exert control over what test subjects see and do, marketers don&#x2019;t always have the luxury of conducting this kind of &#x201C;pure&#x201D; research. But it is possible to conduct field studies in the real world, as long as the researchers still can control the independent variables\n
- Exploratory research can take many forms. Consumer interviews are one-on-one discussions in which an individual shares her thoughts in person with a researcher.\n\nThe focus group is the technique that marketing researchers use most often for collecting exploratory data. Focus groups typically consist of five to nine consumers who have been recruited because they share certain characteristics (they all play golf at least twice a month, are women in their twenties, and so on). These people sit together to discuss a product, ad, or some other marketing topic a discussion leader introduces. Typically, the leader records (by videotape or audiotape) these group discussions, which may be held at special interviewing facilities that allow for observation by the client who watches from behind a one-way mirror.\n\nResearchers use projective techniques to get at people&#x2019;s underlying feelings, especially when they think that people will be unable or unwilling to express their true reactions. This method asks the participant to respond to some object, often by telling a story about it.\n\nThe case study is a comprehensive examination of a particular firm or organization.\n\nAn ethnographic study is a different kind of in-depth report. It employs ethnography, which is a technique marketers borrow from anthropologists who go to &#x201C;live with the natives&#x201D; for months or even years. Some marketing researchers visit people&#x2019;s homes or participate in real-life consumer activities to get a handle on how they really use products\n\nMarketing researchers who employ descriptive techniques most often use a crosssectional design. This approach usually involves the systematic collection of responses to a consumer survey instrument, such as a questionnaire, from one or more samples of respondents at one point in time. The data may be collected on more than one occasion but generally not from the same pool of respondents. In contrast to these one-shot studies, a longitudinal design tracks the responses of the same sample of respondents over time. Market researchers sometimes create consumer panels to get information; in this case a sample of respondents that are representative of a larger market agrees to provide information about purchases on a weekly or monthly basis.\n\nSurvey Methods \nSurvey methods involve some kind of interview or other direct contact with respondents who answer questions. Questionnaires can be administered on the phone, in person, through the mail, or over the Internet.\n\nCausal Research\nCausal research attempts to identify cause-and-effect relationships. Marketers use causal research techniques when they want to know if a change in something (for example, placing cases of beer next to a diaper display) is responsible for a change in something else (for example, a big increase in diaper sales). They call the factors that might cause such a change independent variables and the outcomes dependent variables. The independent variable(s) cause some change in the dependent variable(s).\n\nTo rule out alternative explanations, researchers must carefully design experiments that test predicted relationships among variables in a controlled environment. Because this approach tries to eliminate competing explanations for the outcome, researchers may bring respondents to a laboratory so they can control precisely what the participants experience.\n\nAlthough a laboratory allows researchers to exert control over what test subjects see and do, marketers don&#x2019;t always have the luxury of conducting this kind of &#x201C;pure&#x201D; research. But it is possible to conduct field studies in the real world, as long as the researchers still can control the independent variables\n
- Exploratory research can take many forms. Consumer interviews are one-on-one discussions in which an individual shares her thoughts in person with a researcher.\n\nThe focus group is the technique that marketing researchers use most often for collecting exploratory data. Focus groups typically consist of five to nine consumers who have been recruited because they share certain characteristics (they all play golf at least twice a month, are women in their twenties, and so on). These people sit together to discuss a product, ad, or some other marketing topic a discussion leader introduces. Typically, the leader records (by videotape or audiotape) these group discussions, which may be held at special interviewing facilities that allow for observation by the client who watches from behind a one-way mirror.\n\nResearchers use projective techniques to get at people&#x2019;s underlying feelings, especially when they think that people will be unable or unwilling to express their true reactions. This method asks the participant to respond to some object, often by telling a story about it.\n\nThe case study is a comprehensive examination of a particular firm or organization.\n\nAn ethnographic study is a different kind of in-depth report. It employs ethnography, which is a technique marketers borrow from anthropologists who go to &#x201C;live with the natives&#x201D; for months or even years. Some marketing researchers visit people&#x2019;s homes or participate in real-life consumer activities to get a handle on how they really use products\n\nMarketing researchers who employ descriptive techniques most often use a crosssectional design. This approach usually involves the systematic collection of responses to a consumer survey instrument, such as a questionnaire, from one or more samples of respondents at one point in time. The data may be collected on more than one occasion but generally not from the same pool of respondents. In contrast to these one-shot studies, a longitudinal design tracks the responses of the same sample of respondents over time. Market researchers sometimes create consumer panels to get information; in this case a sample of respondents that are representative of a larger market agrees to provide information about purchases on a weekly or monthly basis.\n\nSurvey Methods \nSurvey methods involve some kind of interview or other direct contact with respondents who answer questions. Questionnaires can be administered on the phone, in person, through the mail, or over the Internet.\n\nCausal Research\nCausal research attempts to identify cause-and-effect relationships. Marketers use causal research techniques when they want to know if a change in something (for example, placing cases of beer next to a diaper display) is responsible for a change in something else (for example, a big increase in diaper sales). They call the factors that might cause such a change independent variables and the outcomes dependent variables. The independent variable(s) cause some change in the dependent variable(s).\n\nTo rule out alternative explanations, researchers must carefully design experiments that test predicted relationships among variables in a controlled environment. Because this approach tries to eliminate competing explanations for the outcome, researchers may bring respondents to a laboratory so they can control precisely what the participants experience.\n\nAlthough a laboratory allows researchers to exert control over what test subjects see and do, marketers don&#x2019;t always have the luxury of conducting this kind of &#x201C;pure&#x201D; research. But it is possible to conduct field studies in the real world, as long as the researchers still can control the independent variables\n
- Data Quality: Garbage In, Garbage Out\nAll too often, marketers who commission a study assume that because the researchers give them a massive report full of impressive-looking numbers and tables, they must be looking at the &#x201C;truth.&#x201D; Unfortunately, there are times when this &#x201C;truth&#x201D; is really just one person&#x2019;s interpretation of the facts. At other times, the data researchers use to generate recommendations are flawed. Typically, three factors influence the quality of research results&#x2014;validity, reliability, and representativeness.\n\nValidity is the extent to which the research actually measures what it was intended to measure.\n\nReliability is the extent to which the research measurement techniques are free of errors. Sometimes, for example, the way a researcher asks a question creates error by biasing people&#x2019;s responses.\n\nRepresentativeness is the extent to which consumers in the study are similar to a larger group in which the organization has an interest. This criterion for evaluating research underscores the importance of sampling; the process of selecting respondents for a study.\n
- Data Quality: Garbage In, Garbage Out\nAll too often, marketers who commission a study assume that because the researchers give them a massive report full of impressive-looking numbers and tables, they must be looking at the &#x201C;truth.&#x201D; Unfortunately, there are times when this &#x201C;truth&#x201D; is really just one person&#x2019;s interpretation of the facts. At other times, the data researchers use to generate recommendations are flawed. Typically, three factors influence the quality of research results&#x2014;validity, reliability, and representativeness.\n\nValidity is the extent to which the research actually measures what it was intended to measure.\n\nReliability is the extent to which the research measurement techniques are free of errors. Sometimes, for example, the way a researcher asks a question creates error by biasing people&#x2019;s responses.\n\nRepresentativeness is the extent to which consumers in the study are similar to a larger group in which the organization has an interest. This criterion for evaluating research underscores the importance of sampling; the process of selecting respondents for a study.\n
- Data Quality: Garbage In, Garbage Out\nAll too often, marketers who commission a study assume that because the researchers give them a massive report full of impressive-looking numbers and tables, they must be looking at the &#x201C;truth.&#x201D; Unfortunately, there are times when this &#x201C;truth&#x201D; is really just one person&#x2019;s interpretation of the facts. At other times, the data researchers use to generate recommendations are flawed. Typically, three factors influence the quality of research results&#x2014;validity, reliability, and representativeness.\n\nValidity is the extent to which the research actually measures what it was intended to measure.\n\nReliability is the extent to which the research measurement techniques are free of errors. Sometimes, for example, the way a researcher asks a question creates error by biasing people&#x2019;s responses.\n\nRepresentativeness is the extent to which consumers in the study are similar to a larger group in which the organization has an interest. This criterion for evaluating research underscores the importance of sampling; the process of selecting respondents for a study.\n
- Data Quality: Garbage In, Garbage Out\nAll too often, marketers who commission a study assume that because the researchers give them a massive report full of impressive-looking numbers and tables, they must be looking at the &#x201C;truth.&#x201D; Unfortunately, there are times when this &#x201C;truth&#x201D; is really just one person&#x2019;s interpretation of the facts. At other times, the data researchers use to generate recommendations are flawed. Typically, three factors influence the quality of research results&#x2014;validity, reliability, and representativeness.\n\nValidity is the extent to which the research actually measures what it was intended to measure.\n\nReliability is the extent to which the research measurement techniques are free of errors. Sometimes, for example, the way a researcher asks a question creates error by biasing people&#x2019;s responses.\n\nRepresentativeness is the extent to which consumers in the study are similar to a larger group in which the organization has an interest. This criterion for evaluating research underscores the importance of sampling; the process of selecting respondents for a study.\n
- Data Quality: Garbage In, Garbage Out\nAll too often, marketers who commission a study assume that because the researchers give them a massive report full of impressive-looking numbers and tables, they must be looking at the &#x201C;truth.&#x201D; Unfortunately, there are times when this &#x201C;truth&#x201D; is really just one person&#x2019;s interpretation of the facts. At other times, the data researchers use to generate recommendations are flawed. Typically, three factors influence the quality of research results&#x2014;validity, reliability, and representativeness.\n\nValidity is the extent to which the research actually measures what it was intended to measure.\n\nReliability is the extent to which the research measurement techniques are free of errors. Sometimes, for example, the way a researcher asks a question creates error by biasing people&#x2019;s responses.\n\nRepresentativeness is the extent to which consumers in the study are similar to a larger group in which the organization has an interest. This criterion for evaluating research underscores the importance of sampling; the process of selecting respondents for a study.\n
- Data Quality: Garbage In, Garbage Out\nAll too often, marketers who commission a study assume that because the researchers give them a massive report full of impressive-looking numbers and tables, they must be looking at the &#x201C;truth.&#x201D; Unfortunately, there are times when this &#x201C;truth&#x201D; is really just one person&#x2019;s interpretation of the facts. At other times, the data researchers use to generate recommendations are flawed. Typically, three factors influence the quality of research results&#x2014;validity, reliability, and representativeness.\n\nValidity is the extent to which the research actually measures what it was intended to measure.\n\nReliability is the extent to which the research measurement techniques are free of errors. Sometimes, for example, the way a researcher asks a question creates error by biasing people&#x2019;s responses.\n\nRepresentativeness is the extent to which consumers in the study are similar to a larger group in which the organization has an interest. This criterion for evaluating research underscores the importance of sampling; the process of selecting respondents for a study.\n
- Data Quality: Garbage In, Garbage Out\nAll too often, marketers who commission a study assume that because the researchers give them a massive report full of impressive-looking numbers and tables, they must be looking at the &#x201C;truth.&#x201D; Unfortunately, there are times when this &#x201C;truth&#x201D; is really just one person&#x2019;s interpretation of the facts. At other times, the data researchers use to generate recommendations are flawed. Typically, three factors influence the quality of research results&#x2014;validity, reliability, and representativeness.\n\nValidity is the extent to which the research actually measures what it was intended to measure.\n\nReliability is the extent to which the research measurement techniques are free of errors. Sometimes, for example, the way a researcher asks a question creates error by biasing people&#x2019;s responses.\n\nRepresentativeness is the extent to which consumers in the study are similar to a larger group in which the organization has an interest. This criterion for evaluating research underscores the importance of sampling; the process of selecting respondents for a study.\n
- Data Quality: Garbage In, Garbage Out\nAll too often, marketers who commission a study assume that because the researchers give them a massive report full of impressive-looking numbers and tables, they must be looking at the &#x201C;truth.&#x201D; Unfortunately, there are times when this &#x201C;truth&#x201D; is really just one person&#x2019;s interpretation of the facts. At other times, the data researchers use to generate recommendations are flawed. Typically, three factors influence the quality of research results&#x2014;validity, reliability, and representativeness.\n\nValidity is the extent to which the research actually measures what it was intended to measure.\n\nReliability is the extent to which the research measurement techniques are free of errors. Sometimes, for example, the way a researcher asks a question creates error by biasing people&#x2019;s responses.\n\nRepresentativeness is the extent to which consumers in the study are similar to a larger group in which the organization has an interest. This criterion for evaluating research underscores the importance of sampling; the process of selecting respondents for a study.\n
- Data Quality: Garbage In, Garbage Out\nAll too often, marketers who commission a study assume that because the researchers give them a massive report full of impressive-looking numbers and tables, they must be looking at the &#x201C;truth.&#x201D; Unfortunately, there are times when this &#x201C;truth&#x201D; is really just one person&#x2019;s interpretation of the facts. At other times, the data researchers use to generate recommendations are flawed. Typically, three factors influence the quality of research results&#x2014;validity, reliability, and representativeness.\n\nValidity is the extent to which the research actually measures what it was intended to measure.\n\nReliability is the extent to which the research measurement techniques are free of errors. Sometimes, for example, the way a researcher asks a question creates error by biasing people&#x2019;s responses.\n\nRepresentativeness is the extent to which consumers in the study are similar to a larger group in which the organization has an interest. This criterion for evaluating research underscores the importance of sampling; the process of selecting respondents for a study.\n
- Data Quality: Garbage In, Garbage Out\nAll too often, marketers who commission a study assume that because the researchers give them a massive report full of impressive-looking numbers and tables, they must be looking at the &#x201C;truth.&#x201D; Unfortunately, there are times when this &#x201C;truth&#x201D; is really just one person&#x2019;s interpretation of the facts. At other times, the data researchers use to generate recommendations are flawed. Typically, three factors influence the quality of research results&#x2014;validity, reliability, and representativeness.\n\nValidity is the extent to which the research actually measures what it was intended to measure.\n\nReliability is the extent to which the research measurement techniques are free of errors. Sometimes, for example, the way a researcher asks a question creates error by biasing people&#x2019;s responses.\n\nRepresentativeness is the extent to which consumers in the study are similar to a larger group in which the organization has an interest. This criterion for evaluating research underscores the importance of sampling; the process of selecting respondents for a study.\n
- Data Quality: Garbage In, Garbage Out\nAll too often, marketers who commission a study assume that because the researchers give them a massive report full of impressive-looking numbers and tables, they must be looking at the &#x201C;truth.&#x201D; Unfortunately, there are times when this &#x201C;truth&#x201D; is really just one person&#x2019;s interpretation of the facts. At other times, the data researchers use to generate recommendations are flawed. Typically, three factors influence the quality of research results&#x2014;validity, reliability, and representativeness.\n\nValidity is the extent to which the research actually measures what it was intended to measure.\n\nReliability is the extent to which the research measurement techniques are free of errors. Sometimes, for example, the way a researcher asks a question creates error by biasing people&#x2019;s responses.\n\nRepresentativeness is the extent to which consumers in the study are similar to a larger group in which the organization has an interest. This criterion for evaluating research underscores the importance of sampling; the process of selecting respondents for a study.\n
- Data Quality: Garbage In, Garbage Out\nAll too often, marketers who commission a study assume that because the researchers give them a massive report full of impressive-looking numbers and tables, they must be looking at the &#x201C;truth.&#x201D; Unfortunately, there are times when this &#x201C;truth&#x201D; is really just one person&#x2019;s interpretation of the facts. At other times, the data researchers use to generate recommendations are flawed. Typically, three factors influence the quality of research results&#x2014;validity, reliability, and representativeness.\n\nValidity is the extent to which the research actually measures what it was intended to measure.\n\nReliability is the extent to which the research measurement techniques are free of errors. Sometimes, for example, the way a researcher asks a question creates error by biasing people&#x2019;s responses.\n\nRepresentativeness is the extent to which consumers in the study are similar to a larger group in which the organization has an interest. This criterion for evaluating research underscores the importance of sampling; the process of selecting respondents for a study.\n
- Data Quality: Garbage In, Garbage Out\nAll too often, marketers who commission a study assume that because the researchers give them a massive report full of impressive-looking numbers and tables, they must be looking at the &#x201C;truth.&#x201D; Unfortunately, there are times when this &#x201C;truth&#x201D; is really just one person&#x2019;s interpretation of the facts. At other times, the data researchers use to generate recommendations are flawed. Typically, three factors influence the quality of research results&#x2014;validity, reliability, and representativeness.\n\nValidity is the extent to which the research actually measures what it was intended to measure.\n\nReliability is the extent to which the research measurement techniques are free of errors. Sometimes, for example, the way a researcher asks a question creates error by biasing people&#x2019;s responses.\n\nRepresentativeness is the extent to which consumers in the study are similar to a larger group in which the organization has an interest. This criterion for evaluating research underscores the importance of sampling; the process of selecting respondents for a study.\n
- Data Quality: Garbage In, Garbage Out\nAll too often, marketers who commission a study assume that because the researchers give them a massive report full of impressive-looking numbers and tables, they must be looking at the &#x201C;truth.&#x201D; Unfortunately, there are times when this &#x201C;truth&#x201D; is really just one person&#x2019;s interpretation of the facts. At other times, the data researchers use to generate recommendations are flawed. Typically, three factors influence the quality of research results&#x2014;validity, reliability, and representativeness.\n\nValidity is the extent to which the research actually measures what it was intended to measure.\n\nReliability is the extent to which the research measurement techniques are free of errors. Sometimes, for example, the way a researcher asks a question creates error by biasing people&#x2019;s responses.\n\nRepresentativeness is the extent to which consumers in the study are similar to a larger group in which the organization has an interest. This criterion for evaluating research underscores the importance of sampling; the process of selecting respondents for a study.\n
- Data Quality: Garbage In, Garbage Out\nAll too often, marketers who commission a study assume that because the researchers give them a massive report full of impressive-looking numbers and tables, they must be looking at the &#x201C;truth.&#x201D; Unfortunately, there are times when this &#x201C;truth&#x201D; is really just one person&#x2019;s interpretation of the facts. At other times, the data researchers use to generate recommendations are flawed. Typically, three factors influence the quality of research results&#x2014;validity, reliability, and representativeness.\n\nValidity is the extent to which the research actually measures what it was intended to measure.\n\nReliability is the extent to which the research measurement techniques are free of errors. Sometimes, for example, the way a researcher asks a question creates error by biasing people&#x2019;s responses.\n\nRepresentativeness is the extent to which consumers in the study are similar to a larger group in which the organization has an interest. This criterion for evaluating research underscores the importance of sampling; the process of selecting respondents for a study.\n
- Data Quality: Garbage In, Garbage Out\nAll too often, marketers who commission a study assume that because the researchers give them a massive report full of impressive-looking numbers and tables, they must be looking at the &#x201C;truth.&#x201D; Unfortunately, there are times when this &#x201C;truth&#x201D; is really just one person&#x2019;s interpretation of the facts. At other times, the data researchers use to generate recommendations are flawed. Typically, three factors influence the quality of research results&#x2014;validity, reliability, and representativeness.\n\nValidity is the extent to which the research actually measures what it was intended to measure.\n\nReliability is the extent to which the research measurement techniques are free of errors. Sometimes, for example, the way a researcher asks a question creates error by biasing people&#x2019;s responses.\n\nRepresentativeness is the extent to which consumers in the study are similar to a larger group in which the organization has an interest. This criterion for evaluating research underscores the importance of sampling; the process of selecting respondents for a study.\n
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- Step 4: Design the Sample\nResearchers collect most of their data from a small proportion or sample of the population of interest. Based on the answers from this sample, researchers hope to generalize to the larger population. Whether such inferences are accurate or inaccurate depends on the type and quality of the study sample. There are two main types of samples: probability and nonprobability samples.\n\nProbability Sampling\nIn a probability sample, each member of the population has some known chance of being included. Using a probability sample ensures that the sample represents the population and that inferences we make about the population from what members of the sample say or do are justified.\n\nThe most basic type of probability sample is a simple random sample in which every member of a population has a known and equal chance of being included in the study.\n\nSometimes researchers use a systematic sampling procedure to select members of a population; they select the nth member of a population after a random start.\n\nNonprobability Sampling\nA nonprobability sample, which entails the use of personal judgment in selecting respondents&#x2014;in some cases they just ask whomever they can find. With a nonprobability sample, some members of the population have no chance at all of being included. Thus, there is no way to ensure that the sample is representative of the population.\n\nA convenience sample is a nonprobability sample composed of individuals who just happen to be available when and where the data are being collected. Researchers may also use a quota sample that includes the same proportion of individuals with certain characteristics as in the population\n
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- Step 6: Analyze and Interpret the Data\nData need interpretation if the results are going to be useful.\n\nTypically, marketers first tabulate the data as Table 4.4 shows &#x2014;that is, they arrange the data in a table or other summary form so they can get a broad picture of the overall responses. In addition, there may be a desire to cross-classify or cross-tabulate the answers to questions by other variables. Cross-tabulation means that we examine the data we break down into subgroups, in this case males and females separately, to see how results vary between categories.\n
- Step 7: Prepare the Research Report\nIn general, a research report must clearly and concisely tell the readers&#x2014;top management, clients, creative departments, and many others&#x2014;what they need to know in a way that they can easily understand. A research report will include these sections: an executive summary that covers the high points, an understandable description of the research methodology, a complete discussion of the results of the study, limitations of the study, and conclusions/recommendations drawn.\n
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