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PPT 4-23
PPT 4-24
PPT 4-25
p. 110
p. 110
PPT 4-26
p. 110
Primary Data Collection
Research Approaches
Observational research involves gathering primary data by
observing relevant people, actions, and situations.
Observational research can obtain information that people
are unwilling or unable to provide through questioning.
Ethnographic research involves sending trained observers
to watch and interact with consumers in their “natural
habitat.”
Ethnographic research often yields the kinds of details that
don’t emerge from traditional research questionnaires or
focus groups.
Disadvantages:
Some things cannot be observed.
Long-term or infrequent behavior is also difficult to
observe.
Observations can be very difficult to interpret.
Survey research, the most widely used method for primary
data collection, is the approach best suited for gathering
descriptive information.
The major advantage of survey research is its flexibility.
Disadvantages:
Sometimes people are unable to answer survey
questions.
People may be unwilling to respond to unknown
interviewers or about things they consider private.
Respondents may answer survey questions even
when they do not know the answer.
Busy people may not take the time, or they might
resent the intrusion into their privacy.
Experimental research is best suited for gathering causal
information. Experimental research tries to explain
cause-and-effect relationships.
p. 109
Table 4.1: Planning
Primary Data
Collection
p. 109
Key Term:
Observational
research
p. 109
Key Term:
Ethnographic
research
p. 110
Ad: Landor
Families
p. 110
Key Term: Survey
research
p. 110
Key Term:
Experimental
research
Copyright© 2018 Pearson Education
p. 110
p. 111
p. 111
Contact Methods
Mail, Telephone, and Personal Interviewing
Mail questionnaires can be used to collect large amounts of
information at a low cost per respondent.
Respondents give more honest answers to personal
questions.
No interviewer is involved to bias the respondent’s answers.
Disadvantages:
Not very flexible
Take longer to complete
Very low response rate
As a result, more marketers are now shifting to
email and online surveys.
Telephone interviewing is the one of the best methods for
gathering information quickly, and it provides greater
flexibility than mail questionnaires.
Interviewers can explain difficult questions.
Response rates are higher than with mail questionnaires.
Disadvantages:
Cost per respondent is higher than with mail
questionnaires.
People may not want to discuss personal questions
with an interviewer.
Introduces interviewer bias
Different interviewers may interpret and record
responses differently.
Increasingly high rates of hang-ups
Personal interviewing takes two forms—individual and
group interviewing.
Individual interviewing involves talking with people
one-on-one.
Group interviewing (focus group interviewing) consists
p. 111
Key Term: Focus
group interviewing
p. 111
Copyright© 2018 Pearson Education
PPT 4-27 of inviting six to ten people to meet with a trained
moderator to discuss a product, service, or
organization.
Many companies are now moving away from
traditional, formal research approaches and
employing new ways of listening to consumers.
Photo: The Mom
Complex
p. 112
PPT 4-28
Online Marketing Research
Increasingly, researchers are collecting primary data through
online marketing research.
Online research usually costs much less than research
conducted through mail, phone, or personal interviews.
The Internet is well suited to quantitative research, but
researchers are also adopting qualitative approaches.
A primary qualitative Web-based research approach is online
focus groups.
Web-based research has drawbacks, including control of who
is in the online sample. In addition, consumer privacy is a
major ethical concern.
p. 112
Key Term: Online
marketing research
p. 112
Photo: Snap
Surveys
p. 113
Key Term: Online
focus groups
p. 113
Photo: FocusVision
p. 114
Key Term:
Behavioral targeting
Assignments, Resources
Use Real Marketing 4.1 here
Use Additional Projects 2, 3, and 4 here
Use Individual Assignments 2 here
p. 114
PPT 4-29
PPT 4-30
Sampling Plan
A sample is a segment of the population selected for
marketing research to represent the population as a whole.
Designing the sample requires three decisions.
1. Who is to be studied (what sampling unit)?
2. How many people should be included (what sample
size)?
3. How should the people in the sample be chosen (what
sampling procedure)?
The two types of samples are:
1. Probability samples
p. 114
Key Term: Sample
p. 115
Table 4.2: Types of
Samples
Copyright© 2018 Pearson Education
p. 115
PPT 4-31
PPT 4-32
2. Nonprobability samples
Research Instruments
The questionnaire is the most common data collection
instrument.
Closed-end questions include all the possible answers, and
subjects make choices among them.
Open-end questions allow respondents to answer in their
own words.
Care should be given to the wording and
ordering of questions.
Researchers also use mechanical instruments to monitor
consumer behavior. People meters and checkout scanners are
examples.
Neuromarketing techniques can measure consumer involve–
ment and emotional responses, but these can be difficult to
interpret.
p. 116
Photo: Mechanical
Instruments
p. 116
PPT 4-33
Implementing the Research Plan
The data collection phase of the marketing research process
must be carried out carefully to make sure the plan is
implemented correctly.
Researchers must process and analyze the collected data to
isolate important information and findings.
Interpreting and Reporting the Findings
Researchers should present important findings and insights
that are useful in the major decisions faced by management.
However, interpretation should not be left only to
researchers. Managers should work closely alongside them.
Review Learning Objective 3: Outline the steps in the
marketing research process.
Assignments, Resources
Use Critical Thinking Exercise 4-7 here
Use Video Case here
Use Think-Pair–Share 1-4 here
Copyright© 2018 Pearson Education
Use Small Group Assignment 2 here
Use Outside Example 2 here
Troubleshooting Tip
Most students will be unfamiliar with the market research
process. They have not had to collect information in any
large-scale process, although they might have been involved
with collecting information from members of a student
organization regarding group activities. One effective way to
discuss this issue is to talk about end-of-year course
evaluations. Explain that the evaluations are not to rate
instructors but to provide valuable feedback to the university,
the department, and the instructor on course offerings, course
content, and instructor competence. Also, give examples of
poorly designed surveys and show how they lead the
respondent to answer in a given way. Especially helpful are
questionnaires that use leading or loaded questions, or
double-barreled questions that are difficult to answer.
p. 116
PPT 4-34
p. 117
PPT 4-35
PPT 4-36
Explain how companies analyze and use marketing
information
ANALYZING AND USING MARKETING
INFORMATION
Customer Relationship Management (CRM)
Companies capture information at every possible customer
touch point.
Customer relationship management (CRM) is used to
manage detailed information about individual customers and
carefully manage customer touch points to maximize
customer loyalty.
CRM integrates everything that a company knows about
individual customers to provide a 360-degree view of the
customer relationship.
By using CRM to understand customers better, companies
can provide higher levels of customer service and develop
deeper customer relationships. They can use CRM to pin-
point high-value customers, target them more effectively,
cross-sell the company’s products, and create offers tailored
to specific customer requirements.
Big Data and Marketing Analytics
Learning Objective
4
p. 117
Key Term:
Customer
relationship
management
p. 117
Copyright© 2018 Pearson Education
p. 119
p. 120
PPT 4-37
Marketing analytics consists of the analysis tools,
technologies, and processes by which marketers dig out
meaningful patterns in big data to gain customer insights and
gauge marketing performance.
The most common CRM mistake is to view CRM as a
technology and software solution only. Technology alone
cannot build profitable customer relationships.
CRM is just one part of an effective overall customer
relationship management strategy.
Distributing and Using Marketing Information
The marketing information system must make the
information available to managers and others who make
marketing decisions or deal with customers.
Many companies use a company intranet to facilitate
information distribution. The intranet provides ready access
to data, stored reports, and more.
Companies are increasingly allowing key customers and
value-network members to access account and product
information, along with other information, through extranets.
Review Learning Objective 4: Explain how
companies analyze and use marketing information.
Key Term:
Marketing analytics
p. 119
Photo: Kraft
p. 120
Photo: Zappos
Assignments, Resources
Use Discussion Question 4-3 here
Use Marketing by the Numbers here
Use Real Marketing 4.2 here
Use Small Group Assignment 1 here
p. 120
PPT 4-38
PPT 4-39
Discuss the special issues some marketing researchers
face, including public policy and ethics issues.
OTHER MARKETING INFORMATION
CONSIDERATIONS
Marketing Research in Small Businesses and Nonprofit
Organizations
Managers of small businesses and nonprofit organizations
can obtain marketing insights through observation or
informal surveys using small convenience samples.
Learning Objective
5
p. 121
Photo:
Bibbentuckers
Copyright© 2018 Pearson Education
p. 121
p. 122
p. 123
p. 123
p. 124
Many associations, local media, and government agencies
provide special help to small organizations.
Managers can glean a wealth of competitive data and
information by turning to the Internet.
International Marketing Research
International marketing researchers follow the same steps as
domestic researchers.
The international researcher may have a difficult time
finding good secondary data.
International researchers frequently must collect their own
primary data.
Reaching respondents is often not easy in other parts of the
world.
Cultural differences from country to country cause additional
problems for international researchers.
Language is the most obvious obstacle.
Even when respondents are willing to respond, they may not
be able to because of high functional illiteracy rates.
Although the costs and problems associated with
international research may be high, the costs of not doing it
might be even higher.
Public Policy and Ethics in Marketing Research
Intrusions on Consumer Privacy
Many consumers strongly resent or even mistrust marketing
research.
Increasing consumer resentment has led to lower survey
response rates in recent years.
The best approach is for researchers to ask only for the
information they need, to use it responsibly to provide
customer value, and to avoid sharing information without the
customer’s permission.
p. 122
Ad: Nielsen
p. 123
Photo: Target
Copyright© 2018 Pearson Education
p. 124
Most major companies have now appointed a chief privacy
officer (CPO).
Misuse of Research Findings
Many research studies appear to be little more than vehicles
for pitching the sponsor’s products.
Several associations have developed codes of research ethics
and standards of conduct.
In the end, unethical actions cannot be regulated away. Each
company must accept responsibility for its own conduct.
Review Learning Objective 5: Discuss the special
issues some marketing researchers face, including
public policy and ethics issues.
Assignments, Resources
Use Discussion Question 4-5 here
Use Marketing Ethics here
Use Online, Mobile, and Social Media Marketing
here
Use Company Case here
Copyright© 2018 Pearson Education