Marketing Research
It is basically systematic collection and analysis and interpretation of data relating to the marketing of goods and services.
OR
It is the systematic gathering, recording, and analysis of qualitative and quantitative data about issues relating to marketing products and services.
Characteristics of Marketing Research
- Marketing research is systematic – Well planned and Executed
- Marketing research is objective
- Exploratory: The researcher uses the exploratory research when he has a very little information about the research problem and needs to gain insights about it before finding the solutions to it. his can be done by using the secondary data
- Descriptive: A descriptive study is undertaken when the researcher wants to know the characteristics of certain groups such as age, educational level, income, occupation etc., who are the prospective buyers of the product?, How the products are consumed?, What fraction of the population uses the product?, What is the demand forecast? And who are the potential competitors
- Casual: Causal research looks at the cause-and-effect relationships in an attempt to explain why things happen
Market research Involves Two Types of Data:
- Primary information. This is research you compile yourself or hire someone to gather for you.
- Secondary information. This type of research is already compiled and organized for you. Examples of secondary information include reports and studies by government agencies, trade associations or other businesses within your industry.
Importance of Marketing Research
- Greater Market Share
- Discover the New Markets
- Create promotional Activities
- Make Accurate Decisions
- New Market Strategies
- Improves Sales
- Tastes and Preferences of Customers
- Minimize the Cost of Marketing
- Improve the Quality of Product:
- Reduction of Risk
Marketing Research Process
Define the Problem: What is to be researched (content and the scope)? And Why the research is to be done (decisions that are to be made)?
Develop the Research Plan: gathering the information relevant to the research objective.
Collect the Information:: This is one of the most expensive methods of marketing research
Analyze the Information: Once the information is collected the next step is to organize it in such a way that some analysis can be obtained.
Present the Findings: Finally, all the findings and the research are shown to the top management level
Make the Decision: This is the last step of the marketing research, once the findings are presented to the top level management it is up to them either to rely on the findings and take decisions or discard the findings as unsuitable.