The Marketing Research Industry PDF

The Marketing Research Industry History: Earliest Known Studies Charles Coolidge Parlin is known as the “father of marketing research.” Parlin conducted the first continuous marketing research in the early 1900s for the Curtis Publishing Company. The purpose of Parlin’s research was to increase adve...

The Marketing Research Industry History: Earliest Known Studies Charles Coolidge Parlin is known as the “father of marketing research.” Parlin conducted the first continuous marketing research in the early 1900s for the Curtis Publishing Company. The purpose of Parlin’s research was to increase advertising for Saturday Evening Post magazine. Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Growth of Marketing Research (1 of 2) 1930’s – marketing research becomes widespread as markets became geographically diverse and colleges began to teach courses in marketing research 1940’s – statistical sampling (Alfred Politz) and focus groups (Robert Merton) introduced 1950’s – computers introduced 1960’s – marketing research seen as indispensable to track consumption in widespread markets 1970’s – automation of data analysis Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Growth of Marketing Research (2 of 2) 1980’s – personal computers led to improvement of data analysis 1990’s – increased globalization led to major changes in the marketing research industry including consolidation 2000’s – new technologies (such as mobile device use) spur innovations Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Who Conducts Marketing Research? (1 of 2) Client-side research: organizations that supply their own marketing research information. – Internal suppliers: Formal departments or individuals conduct research internally. – DIY research: facilitated by Internet, firms have access to secondary data, online survey platforms and better knowledge of data analysis software such as SPSS. Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Who Conducts Marketing Research? (2 of 2) Supply-side research: External suppliers hired to fulfill a company’s marketing research needs. – Supplier or agency: firm specializing in marketing research that offers its services to buyers needing information to make more informed decisions. Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved The Top 10 Global Marketing Research Firms Rank Company Headquarters Website Employees Global Revenues 1 Nielsen Holdings N.V. New York Nielsen.com 43,000 $6,309,000,000 2 Kantar London Kantar.com 30,000 $3,384,700,000 3 IQVIA Danbury, C T iqvia.com 27,000 $3,301,000,000 4 Ipsos S A Paris Ipsos.com 16,600 $1,962,000,000 5 GfK S E Nuremberg gfk.com 13,069 $1,677,000,000 6 IRI Chicago iriworldwide.com 5,032 $631,400,000 7 Westat Inc. Rockville, M D westat.com 1,921 $500,700,000 8 Wood MacKenzie Edinburgh woodmac.com 1,300 $582,500,000 9 Intage Group Tokyo intage.co.jp 2,431 $410,100,000 10 dunnhumby Hammersmith dunnhumby.com 3,124 $300,000,000 Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Industry Structure Types of firms and their specialties – Full-service supplier firms: have the capability to conduct the entire marketing research project for buyer firms. – Full-service firms offer clients a broad range of services; they often define the problem, specify the research design, collect and analyze the data, and prepare the final written report. – Typically, these are larger firms with the expertise and necessary facilities to conduct a wide variety of research that may range from qualitative studies to large international surveys to modeling the effects of a proposed marketing mix. Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Industry Structure Types of firms and their specialties – Limited-service supplier firms: specialize in one or, at most, a few marketing research activities. – Firms can specialize in marketing research services such as online communities, questionnaire development and pretesting, data collection, or data analysis. – Some firms specialize in specific market demographic segments such as senior citizens or Hispanics. Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Major Types of Marketing Research Services (1 of 2) Type Description Example Firms Syndicated Data Services Analyze the trends and consumer behavior within an industry and sell to many companies Nielsen, I R I, YouGov, Intage Packaged Services Use a proprietary process to conduct a service such as test marketing or measuring customer or employee satisfaction GfK, Video Research L T D, Burke, Inc. Online Research Specialists Provide client services associated with measuring online consumer behavior and measurement or online data Collection Comscore, Inc., Harris Interactive, Knowledge Networks, Toluna, FocusVision Customized Services Provide services customized to individual clients’ needs All of the major firms can do this. Some examples include Burke, Inc., Kantar, Ipsos S A, Maritz Industry or Market Segment Specialists Specialize in a particular industry or a market segment I M S Health, Inc., Westat Inc., Latin Facts, Inc., Olson Research Group, Inc., Focus Latino Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Major Types of Marketing Research Services (2 of 2) Technique Specialty Type Description Example Firms a. Qualitative Conduct research using methods such as focus groups, interviews, and shopping with consumers Abt Associates, Gongos, Just the Facts b. Mobile Research Conduct research using mobile devices such as iPads or smartphones Kinesis Survey Technologies, Cint, P2Sample c. Sampling Use different sampling methods to draw samples to suit client’s research objectives S S I, uSamp, Research Now, Ipsos, N P D d. Neuromarketing Observe brain activity as consumers are exposed to stimuli such as packages or ads Ipsos, Nielsen Consumer Neuroscience, Sands e. Market Segmentation Determine firms’ target markets, locate these consumers, and determine other characteristics of these consumers, such as media habits E S R I, Nielsen Claritas f. Social Media Monitoring Monitor for relevant buzz over social media and attach meaning for companies and their brands Decooda, Conversition, Meltwater, g. Field Services Collect data using a variety of methods: telephone, online, person to person, mall intercept Readex Research, I/H/R Research Group, Focus Market Research, Irwin, Fieldwork, Schlesinger Associates h. Marketing Research Online Communities Create and host marketing research online communities Decision Analyst, Psyma, My-Take, incling Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Industry Performance: Industry Revenues and Profits The estimate for worldwide revenues for the marketing research industry at $44 billion. Top 25 firms generated more than $22 billion. The largest marketing research companies (led by Nielsen) are truly international. Revenues vary around the world. Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Challenges Facing Marketing Research Need to incorporate innovative and evolving sources of data and methodologies Need for the effective communication of results Need for talented and skilled employees Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved