1. Managing Marketing
Information
The Marketing Research Process
Cecilia M. O. Alvarez

2. Learning Objectives
• At the end of this lecture you will be able to:
– List the stages of the Marketing Research
Process
– Understand the interconnectedness of the stages
within the marketing research process
– Recognize each step of the marketing research
process in real case studies.
Cecilia M. O. Alvarez

3. The Marketing Research Process
Step 1: Establish the need for marketing research
Step 2: Define the problem
Step 3: Establish research objectives
Step 4: Determine research design
Step 5: Identify information types and sources
Step 6: Determine methods of accessing data
Cecilia M. O. Alvarez

4. The Marketing Research Process
Step 7: Design data collection forms
Step 8: Determine sample plan and size
Step 9: Collect data
Step 10: Analyze data
Step 11: Prepare and present a research report
Cecilia M. O. Alvarez

5. The Marketing Research Process
• Words of Caution
– Not all studies use every step.
– Steps are not always sequential.
Cecilia M. O. Alvarez

6. Step 1: Establish the Need for Marketing
Research
• When Marketing Research is not needed?
– The information is already available
– Decisions need to be made now!
– Can’t afford doing research
– Costs outweigh the value of the research
Cecilia M. O. Alvarez

7. Step 2: Define the Problem
•The research problem can come about from:
–The need to solve a current problem
–A desire to pursue an opportunity
Problem is a situation that call for managers to
make choices among alternatives. So in order to
define the problem the marketing manager needs to
determine first the decision to be made.
Cecilia M. O. Alvarez

8. Step 3: Establish Research Objectives
• Objectives tell the researcher exactly how to
obtain the information they need. They define:
• What information will be collected?
• From whom?
• And in what format?
Cecilia M. O. Alvarez

9. The Birth of M&M Dark
Chocolate Candy
A major package goods firm is deciding on
whether to continue the development of a
new “hard candy” product. The new product
is a line extension offering a distinctive new
ingredient ( dark chocolate) that should be
attractive to at least some category users.
Cecilia M. O. Alvarez

10. Should they dare to go to
the dark side?
• Research problem:
– To determine if the company
should proceed (or not) with the
introduction of a new “hard
candy” product containing dark
chocolate.
Cecilia M. O. Alvarez

11. Should they dare to go to
the dark side?
• Research objective:
– Conduct a survey based upon a
representative sample of the target market
(adults between 20- 65 years) and
determine their attitudes and purchase
intention (measured with a 7 point scales)
of a new “hard candy” product containing
dark chocolate.
Cecilia M. O. Alvarez

12. Step 4: Determine Research Design
• Exploratory Research: collects information in
an unstructured and informal manner
• Descriptive Research: refers to a set of
methods and procedures describing marketing
variables
• Causal Research (experiments): allows
isolation of causes and effects
Cecilia M. O. Alvarez

13. Step 5: Identify Information Types and
Sources
• Secondary Data: information that has been
collected for some other purpose other than the
research at hand
• Primary Data: information that has been
gathered specifically for the research
objectives at hand
Cecilia M. O. Alvarez

14. Step 6: Determine Methods of Accessing
Data
• Secondary Data: accessing data through
sources such as the Internet and library
• Primary Data: collecting data through methods
such as telephone, mail, and face-to-face
interviews, mall-intercept studies, online
surveys or observation studies and focus
groups.
Cecilia M. O. Alvarez

15. Step 7: Design Data Collection Forms
• The design of the data collection form that is
used to ask and record information in
marketing research projects is critical to the
success of the project.
– Quantitative (questionnaires)
– Qualitative (observation studies)
Cecilia M. O. Alvarez

16. Step 8: Determine Sample Plan and Size
• Sample plan: refers to the process used to
select units from the population to be included
in the sample
• Sample size: refers to determining how many
elements of the population should be included
in the sample
Cecilia M. O. Alvarez

17. The Healthy Snack
The low-salt and unsalted crackers accounted
for 7.2% of the total cracker sales in 2002.
These crackers vary in importance to the
parent brand. The established entry into the
low-salt and unsalted category now accounts
for 23% of the total brand volume. However,
with the recent success, competitive entries
have begun to appear.
Cecilia M. O. Alvarez

18. The Healthy Snack
In order to continue to build the low-salt
cracker business and to effectively defend
these brands against new competitive entries
(increase and maintain market share), a
better understanding of consumers’ usage of
low-salt and unsalted crackers and their
attitudes towards our brand and the
competition is needed.
Cecilia M. O. Alvarez

19. The Healthy Snack
• Research problem/opportunity: To protect
our brand from competitive entries to the
market by increasing the usage and benefits
(strengths) of our brand.
Cecilia M. O. Alvarez

20. The Healthy Snack
• Research objectives: Conduct a survey among low-
salt/unsalted cracker consumers, and determine:
1. Consumers attitudes ( 7 point scales like/dislike)
towards our brand and the competition on the main
brand benefits: taste, nutrition, calories, and sodium
content.
2. Determine the consumer’s product usage context (how,
how much, when, and with what is the product
consumed)
Cecilia M. O. Alvarez

21. The Healthy Snack
• Research Design: descriptive research
• Information Type: primary data.
• Data Collection Method: National mail
survey among users of any brand of crackers
(Krispy, Rits, Premium, Town House, Wheat
Thins, and Triscuit).
Cecilia M. O. Alvarez

22. The Healthy Snack
• Sampling Plan: It is suggested a two-stage
mailing to a consumer panel.
– An initial screening phase in order to identify
product users.
– A follow-up phase with an extensive auto-
administered survey.
• Sample Size: It is suggested a minimum of
150 users per brand
Cecilia M. O. Alvarez

23. Step 9: Collect Data
• Data collection is very important because,
regardless of the data analysis methods
used, data analysis cannot “fix” bad data.
• Non-sampling errors may occur during data
collection.
Cecilia M. O. Alvarez

24. Step 10: Analyze Data
• Data cleaning: process by which raw data
are checked to verify that the data have
been correctly entered from the data
collection form to the computer software
program
• Data analysis: involves entering data into
computer files, inspecting data for errors,
and running tabulations and various
statistical tests
Cecilia M. O. Alvarez

25. Step 11: Prepare and Present the
Final Research Report
• Consists of a formal written research report
and an oral presentation
• Its importance cannot be overstated because
it is the report, or its presentation, that
properly communicates the results to the
client.
Cecilia M. O. Alvarez

26. Managing Marketing
Information
The Marketing Research Process
Cecilia M. O. Alvarez