Marketing Research Concepts Quiz

Chapter 8 Marketing Research

• Marketing Research: a process for defining a problem, gathering information, and recommending actions. Includes systematically collecting and analyzing data.
• Considerations in Marketing Research
  • Predicting consumer purchase of new products.
  • Determining reasons for consumer product choices (consumer behavior).
• Five-step marketing research approach:
  • Define the problem:
    • Set measurable and specific research objectives.
    • Exploratory research: identifies general problems/questions (e.g., interviews, focus groups)
    • Descriptive research: determines frequency of occurrences or relationships between factors.
    • Causal research: establishes relationships between variable changes.
    • Identify possible marketing actions: using criteria/standards to evaluate proposed solutions.
  • Develop the Research Plan:
    • Identify constraints (e.g., time, money).
    • Determine the needed data; ensuring data is effective, relevant, and focuses on the objective.
    • Establish data collection methods.
  • Collect Relevant Information:
    • Secondary data: pre-existing data from internal (within the organization) or external (outside the organization) sources.
      • Internal: marketing input data (e.g., budget reports), marketing outcome data (e.g., sales figures).
      • External: demographic, economic, census data, industry reports, trade association studies.
    • Primary data: newly collected data for specific project:
      • Observational: watching how people behave; mechanical (e.g., TV ratings), personal (e.g., mystery shoppers, ethnographic research), neuromarketing.
      • Questionnaire data: gathering data via surveys/questionnaires; methods include individual interviews, group discussions (focus groups).

Chapter 9 Segmentation, Targeting, and Positioning

• Market segmentation: grouping similar customers. Crucial for tailored marketing actions, creating profitable segments.
• Uses for Market Segmentation:
  • Helps tailor marketing actions.
  • Allows organizations to provide a more specific marketing experience to consumers with unique needs and benefits.
  • Provides a framework for relating specific marketing actions to market segments.
• Strategies for Segmentation:
  • One Product and Multiple Markets: single product offered to multiple market segments (e.g., magazine targeting various age groups).
  • Multiple Products and Multiple Markets: different products to different market segments (e.g., automakers offering various models for various target audiences).
• Segmenting and Targeting:
  • Criteria for forming segments: simplicity, cost-effectiveness, potential for profitability, differences between segments' needs, ability to reach a segment.
  • Bases for segmenting consumer markets: geographic, demographic (e.g., age, income), psychographic (e.g., personality), behavioral (e.g., usage rate), customer lifetime value (CLTV).
• Organizational Synergies: benefits from performing organizational functions (e.g., marketing or manufacturing) more efficiently.
• Potential drawback is cannibalization, where older or existing products lose sales to newer products launched by the same organization.
• Differentiation Positioning: creating a brand unique and distinct by targeting a smaller, less competitive market niche.

Chapter 10 Developing New Products and Services

• Product: a good, service, or idea with tangible and intangible attributes to meet needs and traded for value.
• Recognising different forms of products: goods (durable/non-durable) and services, as well as ideas.
• Various forms regarding product classifications:
  • Product line
  • Product class/Industry
  • Product item
  • Product mix
• Recognize the significance of "newness" regarding new products.
• New Product Development Process
  • Research different stages involved in creating a product.
  • Recognize the importance of a firm's specific needs, resources and goals when creating a new product.
• Product Life Cycle (stages): introduction, growth, maturity, decline.
  • Factors contributing to product failure: inappropriate product/market fit, poor timing, poor execution (i.e. marketing mix) and insufficient market attractiveness.