CONSUMER RESEARCH &
studies on consumer behavior are based
on a set of beliefs and assumption called
positivism or modernism. Researchers who
support the assumptions of modernism are
referred to the positivists .
research method consist of
experiment , survey techniques & observation.
Consumer Research Methods
Methods of consumer
disadvantages of each
Two Research Methods
Secondary: use of existing
research already done
◦ Consulting firms
◦ Newspaper and magazine
Primary: creation of specific
studies to answer specific
Primary Research Methods
Getting people to follow
Opportunities for branching
Sampling frame and response
Correlating data on which not
all respondents have
answered the same questions
world relevance vs.
control (internal vs.
“Treatments” and factorial
Sample sizes and
Start out talking
context of product
Gradually focus in
on actual product
consumers are unwilling
Consumer discusses what
other consumer might
think, feel, or do
Consumer is observed-preferably unobtrusively-while:
◦ Examining products prior to
making a purchase
◦ Using a product
◦ Engaging in behavior where
the product may be useful
Defining the objectives of the research
collecting and evaluating secondary data
designing a primary research study
collecting primary data
analyzing the data
preparing a report on the findings
The Consumer Research
Descriptive in nature.
Enables marketers to “predict”
Research methods include experiments,
survey techniques, and observation.
Findings are descriptive, empirical and
Consists of depth interviews, focus
groups, metaphor analysis, collage
research, and projective techniques.
Administered by highly trained
Findings tend to be subjective.
Small sample sizes.
Market is a physical place where buyers & sellers
gathered to buy and sell goods. Or Collection of
buyers and sellers who transact over a particular
E.g 1. Consumer Market- Soft Drinks, cosmetics, air
2. Business Markets- Infosys, Huwai, BPO’s
3. Global markets- Import & Export companies,
4. Nonprofit & Govt Markets-Temples, Universities,
◦ Dividing a market into distinct groups with
distinct needs, characteristics, or behavior
who might require separate products or
Goal 2: Understand the major bases for segmentation
What is Market
The breaking down or building up
of potential buyers into groups
1. Identifies opportunities for new product
2. Helps design marketing programs most
effective for reaching homogenous
groups of buyers
3. Improves allocation of marketing
LEVELS OF MARKET
Same product to all consumers
Different products to one or more segments
Different products to subgroups within segments
( more segmentation)
Products to suit the tastes of individuals or locations
Example: Automobile industry – basic model is same but for A.C ,
power steering, power window buyer has to extra price
NICHE MARKETING :Group of customers seeking a distinctive mix of benefits who are
ready to pay extra premium. Egs :- detergents :- surf excel on
tough stains ,Ezee godrej for delicate clothes . Sanskar ,Shankara
T.V ,TTD(Tiruapti tirumala Devasthanam) – focus on religion &
Ex. – Spiderman 3 was released in 5 different language in India
Ex. Paint companies have started doing this- Asian Paint , Nerolac
, Berger Paints
Arvind mills launched Ruff’n Tuff Jeans, branded ready to sitch
The Classic Segmentation Variables for
Consumer Markets & Customer
regions or cities
Age, gender, family
size and life cycle,
benefits, uses, or
Ex.- Mcdonalds globally, sell burgers aimed at local markets,
for example, burgers are made from lamb in India rather then
beef because of religious issues.
Needs and wants change as people ages . Egs :- Nappies for
babies, Toys for children , Clothes for teenagers, Gender
segmentation is used within the cosmetics, clothing and
Stores like Big Bazar, Woodland are predominantly aimed at the
TATA aim their vehicles at price sensitive buyers who require a
bundle of benefits for the price.
Products and services are also aimed at different lifecycle.
Holidays are developed for families, the 18-30's singles, and for
those in their 50's. (Kesari Or Mahindra Club)
Mobile, High valued house/flat, Good Salary, Young
50's , Retired early from profession, Time to spare,
- Archies and Hallmark, cards,
Monaco at tea time.
BENEFITS – Shampoo for hair conditioning,
cleaning , hair fall defence dandruff control
USER STATUS- light – medium – heavy user
LOYALTY STATUS- hardcore loyal , split loyalloyal to 2-3 brand ,shifting loyal, switcher
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