Marketing research is the process of defining problems, developing research plans, collecting and analyzing data, and presenting findings to make business decisions. It involves secondary and primary data sources. Common research methods include surveys, focus groups, observation, and experiments. Researchers use various question types in questionnaires and qualitative measures to collect information. Sampling plans and contact methods must be developed. Findings are then analyzed and presented to decision makers.

1. What is Marketing Research?
Marketing research is the systematic
design, collection, analysis, and
reporting of data and findings relevant
to a specific marketing situation facing
the company.

2. 4-2
The Marketing Research Process
Define the problem
Develop research plan
Collect information
Analyze information
Present findings
Make
decision

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Step 1: Define the Problem
• Define the problem
• Specify decision alternatives
• State research objectives

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Step 2: Develop the Research Plan
Data
Sources
Contact
Methods
Research
Instruments
Sampling
Plan
Research
Approach

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Data Sources
Internal External
Secondary Data
(Already Exists)
Primary Data
(Freshly Gathered
For A Specific Purpose)

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Research Approaches
ObservationObservation
Focus GroupFocus Group
SurveySurvey
Behavioral DataBehavioral Data
ExperimentationExperimentation

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Focus Group in Session

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Research Instruments
Questionnaires
Qualitative Measures
Technological Devices

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Question Types—Dichotomous
In arranging this trip, did you contact
American Airlines?
 Yes  No

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Question Types—Multiple Choice
With whom are you traveling on this trip?
 No one
 Spouse
 Spouse and children
 Children only
 Business associates/friends/relatives
 An organized tour group

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Question Types—Likert Scale
Indicate your level of agreement with the
following statement: Small airlines generally give
better service than large ones.
 Strongly disagree
 Disagree
 Neither agree nor disagree
 Agree
 Strongly agree

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Question Types—Semantic Differential
American Airlines
Large ………………………………...…….Small
Experienced………………….….Inexperienced
Modern……………………….…..Old-fashioned

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Question Types—Importance Scale
Airline food service is _____ to me.
 Extremely important
 Very important
 Somewhat important
 Not very important
 Not at all important

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Question Types—Rating Scale
American Airlines’ food service is _____.
 Excellent
 Very good
 Good
 Fair
 Poor

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Question Types—
Intention to Buy Scale
How likely are you to purchase tickets on
American Airlines if in-flight Internet access
were available?
 Definitely buy
 Probably buy
 Not sure
 Probably not buy
 Definitely not buy

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Question Types—Completely
Unstructured
What is your opinion of American Airlines?

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Question Types—Word Association
What is the first word that comes to your mind
when you hear the following?
Airline ________________________
American _____________________
Travel ________________________

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Question Types—
Sentence Completion
When I choose an airline, the most important
consideration in my decision is:
_____________________________________
_____________________________________
_____________________________________
_____________________________________
_____________________________________
_____________________________________
__________________.

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Question Types—Story Completion
“I flew American a few days ago. I noticed that
the exterior and interior of the plane had very
bright colors. This aroused in me the following
thoughts and feelings.” Now complete the story.
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________

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Question Types—Picture
(Empty Balloons)

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Question Types—Thematic
Apperception Test
Make up a story that reflects what you think is
happening in this picture.

22. Qualitative research approaches
• Word Association
• Projective techniques
• Brand personification
• Laddering
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23. Technological devices
• Galvanometers
• Eye camera
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Sampling Plan
• Sampling unit: Who is to be surveyed?
• Sample size: How many people should be
surveyed?
• Sampling procedure: How should the
respondents be chosen?

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Table 4.2 Types of Samples
Probability Samples
• Simple random
• Stratified random
• Cluster
Nonprobability Samples
• Convenience
• Judgment
• Quota

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Contact Methods
Mail Questionnaire
Telephone
Interview
Personal
Interview
Online
Interview

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Pros and Cons of Online Research
Advantages
• Inexpensive
• Fast
• Accuracy of data,
even for sensitive
questions
• Versatility
Disadvantages
• Small samples
• Skewed samples
• Technological
problems
• Inconsistencies

28. Analyze the results
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29. Present the findings
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30. Make the decision
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What is Marketing Metrics?
Marketing metrics is the set of
measures that helps marketers
quantify, compare, and interpret
marketing performance.

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Table 4.4 Marketing Metrics
External
• Awareness
• Market share
• Relative price
• Number of complaints
• Customer satisfaction
• Distribution
• Total number of
customers
• Loyalty
Internal
• Awareness of goals
• Commitment to goals
• Active support
• Resource adequacy
• Staffing levels
• Desire to learn
• Willingness to change
• Freedom to fail
• Autonomy

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Figure 4.3 Example of a
Marketing Dashboard

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The Measures of Market Demand
Potential
Market(Interest)
Penetrated
Market
Target
Market
Available
Market(I,I,A)

35. Vocabulary for demand
measurement
• Market Demand
• Market forecast
• Market potential
• Company Demand
• Company Sales forecast
• Company sales potential
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36. Estimating Current Demand
• Total Market Potential
• Area market Potential
1.Market build up method
2.Multiple factor index method
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Product Penetration Percentage

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Estimating Future Demand
• Survey of Buyers’ Intentions
• Composite of Sales Force Opinions
• Expert Opinion
• Past-Sales Analysis
• Market-Test Method