Market Research Techniques Quiz

Market Research

• Market research involves gathering, analyzing, and interpreting information about products or services for potential consumers.
• Accurate data collection is essential; inaccuracies can lead to invalid results.
• Tips for collecting data include organizing promptly, ensuring relevance, collecting extensively, creating additional data, and noting significant findings.

Data Collection Techniques

• Surveys: Common method using questionnaires or interviews via various mediums (mail, phone, internet, face-to-face).
• Guidelines for Questionnaire Design:
  • Keep questions simple and clear.
  • Cluster related questions together.
  • Move from complex to specific inquiries.
  • Ensure consistency in response scales.

Interview Method

• Interviews offer reliable insights directly from target customers.
• Typically last 15 to 40 minutes and allow for detailed exploration of topics.
• Types of Interviews:
  • Structured: Uses a standard set of questions.
  • Personal: Builds relationships, clarifies answers, and achieves high response rates.
  • Telephone: Less expensive than personal but lower response rates than face-to-face interactions.

Focus Group Discussion (FGD)

• FGDs involve moderated group discussions or brainstorming sessions to understand user needs and behaviors.
• Optimal session length is 90 to 120 minutes with 8 to 10 participants.
• Moderator should be an expert to manage group dynamics, using semi-structured discussions.

7 P's of Marketing Mix

• A framework for effective product marketing consisting of product, place, price, promotion, people, packaging, and positioning.

Product

• Refers to goods or services produced to meet consumer demands.
• Types include business goods (for production) and consumer goods (for final consumption).
• Services can be professional (for businesses) or consumer-focused (for individuals).

Place

• The distribution channel where exchanges occur between buyers and sellers.

Price

• Represents monetary value for products/services, influenced by various pricing strategies:
  • Penetration Pricing: Low initial price to gain market share.
  • Competition Pricing: Benchmarking against competitors.
  • Bundle Pricing: Selling multiple items at a reduced price.
  • Premium Pricing: Higher prices to suggest superior value.
  • Psychological Pricing: Setting prices slightly below round numbers to influence perception.
  • Value-Based Pricing: Price based on perceived consumer value.

Promotion

• Involves activities communicating the product or brand to create awareness and induce purchases.
• Includes:
  • Advertising: Various media channels (radio, television, print).
  • Public Relations (PR): Non-paid promotion through media coverage.
  • Personal Selling: Direct sales by individual salespersons.
  • Sales Promotions: Initiatives to boost sales (e.g., free gifts, discounts).
  • Direct Marketing: Marketing without intermediaries (e.g., brochures, email).

People

• Essential marketing components; all individuals involved in producing and delivering the service or product.

Packaging

• This aspect affects product presentation and encompasses:
  • Protection: Safeguarding products.
  • Containment: Facilitating shipping.
  • Information: Conveying product details and instructions.
  • Utility: Enhancing user convenience.
  • Promotion: Using design elements to influence purchase decisions.

Positioning

• The strategic process of creating a distinct image of a product in the target market's mind.

Brand Development

• A brand name differentiates a seller's goods/services.
• A brand represents customers' overall experience and is a key business asset.
• Brand Strategy: Long-term plan for brand development to achieve business goals.
• Branding: A high-level marketing strategy to distinguish products and build economic value.

Business Plan Components

• Introduction: Overview of the business plan.
• Executive Summary: Condensed version highlighting key business aspects; crucial for reader engagement.
• Management Section: Business management and operational team outline.
• Marketing Section: Product/service design, pricing, sales channels, and marketing strategies.
• Financial Section: Overview of business financial needs, revenue expectations, and expenditures.
• Production Section: Description of area, equipment, and materials required for operations.
• Competitive Analysis: Strategy to research and understand major competitors and their marketing approaches.