• Home
• Store
• Past Posts
• Resignation
• Contact us
• search

Subscribe

Market Research

Market Research
Get Paid To Take Free Online Surveys.

The American Marketing Association defines marketing resource as the function that links the consumer, customer and public to the marketer through info.The info is used to identify and define marketing opportunities and problems:

• Generate, refine and evaluate marketing actions

• Monitor marketing performance.

• Improve understanding of marketing.

Market research helps the marketer to anticipate or respond to customer needs. It helps them to know about their current and prospective customer and helps them to know about the success of their own practices.

Sources of information
Information for market research can care from various sources, these can be categorized as:

1. Internal sources

2. External sources

1. Internal sources
   A marketer can get information or data from within the organization itself. Records like sales records can show which products bring in the most profit. Inventory records can show which goods are moving off the shelf quickly.

2. External sources
   A marketer needs to know what is happening outside another organization. How customers view the organization: how their products are perceived by the consumer, they also need to know about technological developments, legal environment e.t.c.

They can get this info from:

• Business and industry publications

• Research services

• Trade groups

• Customers surveys

• Computer databases

• Government reports

According to Gilbert A. Churchill jnr, Marketing : creating value for customers one can collect data specifically for a particular investigation i.e. primary data or one can collect data for some purpose other than the immediate study at hand.

In primary data, one can use various methods to achieve results or to be able to make a decision.

1. Statistical Inference
   This is one method of drawing a conclusion about data by using a sample of the collected data to draw conclusions about an entire population. This method is used instead of carrying out a survey of the entire population since a survey will be a big task to do and the possibility of errors are high.

The marketer here questions or carries out a survey on a sample of the population, then uses statistics to read conclusions based on the data gathered about the sample.

2. Sampling
   This involves selecting research subjects in such a way that each member of the population has a known chance of being selected because the subjects are selected randomly. One can use probability sampling. The larger the random sample, the more representative of the total population it will be.

3. Benchmarking
   This involves “identifying organizations that excel at carrying out a function and using their practices as a springboard for improvement” according to Gilbert A. Churchill, jnr.

One identifies one or more organizations that excel and use their practices as a source of ideas for improvement. Benchmarking can be done through such activities as:

1. • Reading about the organization

   • Visiting them or calling them

   • Taking a past competing products to see where they are made

Benchmarking generates ideas for improving marketing and other activities.It is most useful for learning about existing products, business practices and ways of satisfying customers.

Market Research Process
According to Gilbert A. Churchill, marketing research process involves several steps. These are:

1. formulating the problem to be solved.

2. determine a research design

3. collect the data.

4. analyse and interpret the data

5. prepare the research report.

   Formulating the problem
   This is the process that is done first in MR. MR starts when someone in the organization sees a need for information, thus they need to formulate the problem to be solved and then find ways to improve the situation or solve the problem
   Determining a research design
   Research design is the plan on how to collect and analyze the data. The marketer defines the kinds of information needed and the researcher design the research. The researcher can use one or more basic research design like exploratory, descriptive and casual research.

Marketing research

Market research can be defined as a formal organized effort to acquire specific information for a specific purpose.According to Warren J. Reagan “Global Marketing Practise Hall 1995“ there are two ways of conducting a market research.

There are various tools used for market research. These are;

1. Survey Research:
   This involves interviewing a target group to obtain desired information. A questionnaire is normally used to ensure a successful survey.A good questionnaire should have three characteristics:

1. It’s simple

2. It’s easy for respondents to answer.

3. It’s easier for interviewer to record.

4. It keeps the interview to the point.

5. It obtains the desired information.

2. Sampling
   This is the selection of a subset or group from a population that is representative of the entire population.According to Warren J. Reagan, the two basic sampling methods in use today are;

 

1. Probabilistic
   In this method each unit chosen has a chance of being included in the sampling. The results of probabilistic sampling can be extended (projected) to the entire population with statistical reliability. Random sample is used in this method and it produces results of statistically measureable accuracy.

2. Non-probabilstic.
   The results of this method cannot be projected with statistical reliability. A method used in non-probabilstic is using quota sampling i.e. selecting units which do not have equal or known chance of being selected.

According to Warren J. Reagan, a mathematical formular for selecting a sample size to be used as representative of the population is;

N = (t²)(s²)

e²

where n=sample size

t=confidence limit expressed in standard errors = 99% confidence

3. Non-probabilistic : The results of these methods cannot be projected with statistical reliability. A method used in non probabilistic is using quota sampling i.e. selecting units which do not have equal or known chance of being selected.

According to Warren J. Keegan a mathematical formula for selecting a sample size to be used as representative of the population is

N = (t²) (S)

e²

Where n = sample size

t = confidence limit expressed in standard errors = 99% confidence

s = standard deviation

e = error limit

There are various Analytical tools used in market research, these are

Demand Pattern Analysis
Industrial growth patterns provide an insight into demand. Production patterns are also used to assess market opportunities because they generally reveal consumption patterns.

As demand rises a marketer can basically look at opportunities for his organization and can also quickly gather information about what the users need.

2. Cluster Analysis
   This analysis groups variables into clusters maximize group similarities and also maximize group differences. Different regions have different requirements or needs, thus a marketer can use cluster analysis to group those users who have similar needs together.

3. Regression Analysis
   A researcher can use multiple regression tactics according to Warren J. Kegan. This tool uses independent or predictor variables to estimate a dependent variable.

Recommended Text

Comments

• Recent Posts

  • Rapid application Development (RAD) Technique
  • Dynamic System Development Method (DSDM)
  • Certification and Accreditation Process: Last Phase
  • Certification and Accreditation Process:Certification testing
  • Certification and Accreditation Process:Assessing risk
  • Certification and Accreditation Process:Minimum security baseline & best practices
  • Certification and Accreditation Process:System security plans
  • Certification and Accreditation Process:Assessing data sensitivity and criticality
  • Certification and Accreditation Process: System Inventory process
  • Certification and Accreditation Process: Scope definition