MARKETING

RESEARCH
MARKETING RESEARCH
• is the function responsible for acquiring and evaluating
market and consumer based information for decision
making and the determination of marketing strategic
direction.
 Are you familiar with marketing research?

What do you thing are the steps in conducting

marketing research?

Is it important for a business enterprise to conduct a

marketing research?
PURPOSE AND IMPORTANCE OF MARKETING RESEARCH

• Identify viable new products and services

• Enable risk reduction
• Identify market opportunities and threats
• Determine the level of customer satisfaction
• Pinpoint and anticipate market trends or changes
• Decide on the best advertising medium
PURPOSE AND IMPORTANCE OF MARKETING RESEARCH

• Pre-test and post-test advertising and promotional

campaigns
• Evaluate the results of test marketing
• Evaluate the results of packaging, brand name, and label
testing
• Determine consumer price awareness and sensitivity
• Undertake location studies
STEPS IN THE MARKETING RESEARCH
Step 1: Research need determination
• The initial step in the marketing research process is necessary in
order to save effort, time, and cost, the problem situation has to
be assessed initially to determine if marketing research is
needed at all. The research may no longer be necessary if the
required information for decision-making is already available.
Another reason, that may render research unnecessary is
budgetary constraints. Lastly, being rather lengthy and tedious
process, marketing research becomes worthless if the results
cannot be delivered to the decision maker on time.
STEPS IN THE MARKETING RESEARCH

Step 2: Problem/Opportunity definition

Both problems and opportunities can be subjects of
marketing research. However, to set the general research
direction and operational parameters, the problem,
opportunity must be defined precisely.
STEPS IN THE MARKETING RESEARCH

Step 3: Research Design determination

At this step, methods and procedures for the collection

and analysis of information must be determined.
 FOUR MAJOR TYPES OF MARKETING
RESEARCH DESIGNS
1. Observational – social phenomenon is observed in its
natural setting, and observations can be made at any one
time or regularly within a period of time.
2. Experimental – includes laboratory experiments and test
marketing. Results from two sets of samples are compared.
 FOUR MAJOR TYPES OF MARKETING
RESEARCH DESIGNS
3. Qualitative – includes focus group, in-depth interviews,
and projective techniques. This type of research uses only
a small number of respondents. Thus, results are not
reflective of the general population.
4. Quantitative – one example of this type of research is
the use of surveys. It is used to test observations. The
number of respondents is relatively large and randomly
selected, and the results are generally reflective of the
population.
STEPS IN THE MARKETING RESEARCH
Step 4: Information source/type identification
The two basic types of information utilized in market research are
primarily and secondary information.
• Primary information –refers to data gathered by the researcher
himself for the specific research problem. Primary data acquired is,
therefore, both timely and relevant, but costly and time consuming.
• Secondary information – is information acquired from
previously conducted researches, journals, periodicals, and other
similar sources.
• Example: Macro-economic, and industry data
STEPS IN THE MARKETING RESEARCH

Focus Group Discussions (FGD) –is a marketing research

tool that involves a small group of people usually eight to
ten). For the purpose of acquiring preliminary information,
spontaneous and unstructured discussions are the norm.
Often moderated by a trained psychologist or researcher,
the results of the discussions are eventually used in the
development of survey questionnaires.
STEPS IN THE MARKETING RESEARCH

Step 6: Determination of data access methods

One of the most popular ways of data access in
consumer surveys is through person-administered
surveys. This could either be administered through face-to-
face or telephone interviews.
STEPS IN THE MARKETING RESEARCH

Step 5: Determination of data access methods

One of the most popular ways of data access in
consumer surveys is through person-administered
surveys. This could either be administered through face-to-
face or telephone interviews.
STEPS IN THE MARKETING RESEARCH
Step 7: Data Collection forms design
A typical survey questionnaire has the following major parts.
1. Introduction – contains a greeting, researcher introduction and
affiliation, purpose, and a statement assuring the respondent of
confidentiality/anonymity of their responses.

2. Screening – the series of questions designed to eliminate

respondents who are not qualified to take part in the survey.

3. Core – the body of the survey questionnaire

4. Classification – questions used to classify respondents into

different groups for stratification and analysis purposes.
STEPS IN THE MARKETING RESEARCH
Step 7: Sample Size and Sampling plan determination
In order to achieve 100% accuracy in the conduct of
consumer surveys, it is ideal to give questionnaires to every
member of the target population. This type of survey is
called census.
Sampling methodology can either be non-probability or
probability-based.

• Non-probability sampling – does not involve

probabilities. All the members of the survey population do
TYPES OF NON-PROBABILITY SAMPLING:

• Convenience sampling – when the researcher arbitrarily

selects relatives, friends, and/or classmates, etc. to be given
survey questionnaires.
• Judgment sampling – the researcher gives survey
questionnaires to individuals who in his judgment, are qualified
to participate in the survey.
• Referral Sampling – the researcher asks initial respondents to
provide other qualified respondents for the survey.
• Quota Sampling – when the researcher specifies the
proportions of various classifications to be included in the
survey.
TYPES OF PROBABILITY SAMPLING:
• Simple random sampling - when the researcher selects
survey respondents so that each member of the population
has an identical chance of being chosen to be included in
the sample.
• Systematic Sample – a probability sampling method
where the researcher selects respondents using sampling
frame ( a list of all the members of the survey population),
a random starting point, and a skip interval (calculated as
sample population), a random starting point, and a skip
interval (calculated as sample population list size/sample
• Cluster Sampling - sampling method where the
survey population is divided into sub groups, each of
which represents the entire survey population.
• Stratified sampling – where the survey population is
divided into subgroups, and proportional samples from
all the subgroups are included in the sample using the
principle of randomness.
STEPS IN THE MARKETING RESEARCH
Step 8: Data Collection
This is the stage in the process where the questionnaires are
administered to the selected respondents.
Step 9: Data Analysis
At this stage, collected data is summarized and generalized.
Step 10: Report preparation and presentation
The last step in the marketing research process is the
preparation and presentation of the report findings,
interpretations, conclusions and recommendations to marketing
decision makers.
 MAKING MARKETING RESEARCH-
BASED DECISIONS
Marketing research reports include a lot of information that can
aid organizations in making effective marketing decisions, rather
than resorting to unsupported “gut feel” decisions.
Some examples of reports and the marketing decisions they can
support are:
• External factor research – the information from these researches
helps marketers identify macro-environmental shifts. These are
bases in pinpointing opportunities and anticipating threats.
• Observation research – this is an invaluable aid in determining the
retail shelf placement
 MAKING MARKETING RESEARCH-BASED
DECISIONS
• Test Marketing – based on marketing results, the company shall
gauge the acceptability of a proposed product/service. The company
can have the opportunity to recalibrate elements in the marketing
mix and to measure their effects on consumer demand and overall
satisfaction.
• Target Market Studies – these helps identify, quantify and
understand the target market better.
• Concept, product development, and product studies – using the
results generated by concept, product development, and product
studies, marketing organizations shall select the proposed
product/service concepts that have the highest level of market
acceptance.
 MAKING MARKETING RESEARCH-BASED
DECISIONS
• Pricing test – pricing tests can be utilized by marketers to calculate a
product’s or service’s optimal price, to determine price elasticity, or to
determine how price adjustment can affect total demand for the product or
service.
• Location Studies- location studies determine ideal retail store locations
and is a valuable tool in site selection.
• Advertising pre- and post-testing – these tests can determine advertising
copy effectiveness, advertising recall, sales promotion response rates,
outdoor advertising traffic, results, and the effectiveness of public relations
media placement.
• Usage, attitude, and image studies – these studies provide cost- effective
ways on how to increase a product’s/services awareness level and brand
 ASSIGNMENT/PERFORMANCE TASK
Look for newspaper articles pertaining to an actual marketing
research done in the Philippine.
Paste the article in the short bond paper.
Answer the following questions:
 
1.What was their research about?
2.Why was this marketing research made? What were its
goals and objectives?
3.What are the outcomes of their research?
4.Do you think their research was successful based on how
they achieved their goals and objectives? Explain.