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Proctor and Gamble Market

Research project/report
P2,M1,D1

P2 explain how different market research methods have been (could be used) to
make a marketing decision within a selected situation or business
M1 explain, with examples, how different market research methods are
appropriate to assist different marketing situations
D1 evaluate the market research method used by a selected organisation.

Produce a report to go to the director of marketing that details how Procter
and Gamble are using market research to make marketing decisions

1) Provide an introduction to the company you are going to be referring
to for this report including the products and services they provide and
who their target markets are
2) Choose a company and explain how they have used market research
to make decisions relating to a part or whole of the marketing mix
3) Explain why they were used and how they were appropriate for
finding out the information required to help with the development of the
marketing mix
4) Using the information you have gathered for P2 and M1, choose one
form of research and evaluate how appropriate the method research of was


Task 2
Rebranding of Oil of Ulay to a younger market and launching
Olay was an aging and failing brand concerns it would die
with its users -redeveloped for younger target market through
interviews and product testing
Olay developed a soap with the aim to be a competitor for
Dove, very successful in early stages and product development
but failed at branding stage as the Olay brand too strongly
associated with the female market
Pampers feedback from research on nappies led to them
developing disposable changing mats and wipes
Febreeze came from consumers feedback that they wanted
something not to disguise smells but to eat them ie make them
disappear
Key examples
Sample the people who are chosen to take part in
market research
Qualitative, quantitative, primary, secondary types
of research used
Monadic (on its own) / parallel (with one or more
other products) the ways in which product testing is
conducted
Brand fit is the brand appropriate for the intended
audiendce

Key terms to use
Use primary research as the main source for product
development, price and branding decisions. Prefer qualitative
rather than quantitative

Product testing
Monadic will ask the sample to test a product for a short while
(linked to them getting proper use a week for toothpaste for
example) and answer questions relating to their experience
Parallel testing alongside another product sometimes a
competitor
Blind testing is usually used in these cases so that there are no
preconceptions to taint the feedback
Primary methods used
Product is tested for a length of time dependent on
usage cycle of the product
A questionnaire is given with questions such as do
you like the colour/smell/taste/price to pay/purchase
intent/brand fit
A sample of these are invited in to be interviewed and
join a focus group to analyse the results
A test market will then be conducted if the product
What happens during blind product
testing
Secondary research used for decisions related to
generic statistics such as who lives in a specific area
if doing a mini launch of a product
Using Nielson data to find out how many people
watch Coronation Street on a Wednesday for
example http://www.nielsen.com/uk/en
Supermarket data analysing buyer behaviour when
purchasing products to assess ideal product
positioning

Secondary research used by P&G
1. Opportunity identification
2. Need identification
3. Concept and product identification
4. Branded product/concept/fit/appeal
5. Market testing

From Product development to
launch/Market Research cycle
Main research is qualitative one to one interviews, focus
groups, blind product testing
Qualitative research is used at every stage of a products
development
Quantitative research will be used once a concept has been
developed eg would you buy this product yes or no
A follow up using qualitative research of the previous sample will
be used again to find out why people would or wouldnt buy
analysis
Tested in a small geographical area where tv etc can be isolated
so advertisements are only shown there and products are only
sold there

fail cheap is P&G motto with regards to research
whatever has been spent previously on research will still
be less than what has been spent on the launch of a new
product
Less than 5% of product ideas and concepts make it to be
launched
Proud (and secretive) of how well their market research is
conducted so mainly do it internally they have well
trained professionals and do not pay research companies
to do it on their behalf
Why is market research used so
extensively for P&G?
Why are certain types of research used
to assist marketing situations at P&G?
Justify them
Product Promotion
Place
Price
Deciding when to
advertise
Product
placement
New products
Product
redevelopment
Where to sell
Deciding at
which price to
sell a new
product
Some brands are hard to disguise for blind testing eg
aquafresh has a very distinct product with the blue
red and white stripes

It is hard to get good qualitative feedback on certain
products that are deemed embarrassing or for very
personal use
Dentures, sanitary products
When is research difficult?
Can the amount of time and money spent on
marketing research be justified? How?
Qualitative research is P&Gs preferred method is
this appropriate for the type of company they are?
Is there any way difficult types of research could be
overcome? How? Why?
They only research internally is this the only way?
Why/Why not?
For D1 look back on your report so far
and consider