Description
the various applications of Marketing Research in detail.
Applications of MR
The scope stretches from identification of a consumer’s needs to the evaluation of his satisfaction. ? It includes research in respect of consumers, product, sales, distribution channel, advertising, pricing, and physical distribution.
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Scope
Product Research
? ? ? ?
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? ?
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Evaluate performance in terms of sales , profits and market segments. Determining modifications Determining acceptance Determining current use and new uses Study of Competitors products Market testing Test package and label design Appraising diversification and simplification plans
Determining the demographic characteristics . ? Identifying the consumer needs and expectation levels ? Identifying the factors influencing purchase ? Ascertaining the levels of consumer satisfaction.
?
Consumer Research
? ? ? ? ? ?
Aims at gathering facts about markets and forces operating therein. It includes Determining size of the market Assessing the trends Ascertaining the SWOT Determining the impact/ support from govt. Demand and sales forecasting
Market Research
? ? ? ? ? ? ?
Aims at finding out the sales potential and appraise the sales performance. It includes Determining & appraising the sales methods. Establishing and revising sales territories. Measuring sales performance Analyzing the operations and appraising the sales Personnel. Determining the sales quota and other standards Sales Research/Sales Determining the mode of compensating sales Forecasting personnel.
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?
? ? ?
Aims to study the price expectations and ability (reaction & response) of the consumers. It includes Determining the price expectations in different market segment Comparing the pricing strategies Testing the alternative pricing strategies Evaluating the consumer reaction and measuring their response.
Pricing Research
? ? ? ? ?
Aims at understanding the worth of the message and its impact. It includes Determining the ad message and appeal. Comparing the probable effectiveness of alternative ad copies Selecting the media Evaluating the Ad effectiveness.
Advertising Research
Identifying the existing and potential distribution channels and appraising their relative strengths and weakness in context of consumer needs. ? Identifying the appropriate intermediaries to products and determining their numbers and types. ? Measuring and evaluating the performance of the channels and different intermediaries. ? Determining the needs of the dealers and the factors governing their behaviour. Channel Research
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Aims at determining the problems associated with holding , handling and transportation of finished goods. ? Explore possibilities of cost reduction and enhance the time and place utility of the product.
?
Physical Distribution Research
Determining the optimum inventory levels ? Determining the design and location of distribution centers ? Considering the different modes of material handling and transportation.
?
Physical Distribution Research Conti….
Aims at collecting the feedback from the market. It includes: ? Studying and anticipating legislative and administrative actions of the state . ? Ascertaining consumer opinion and determining the level of consumer satisfaction
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Post Transaction Research
Marketing Segmentation Research
Three important steps: ? Identifying market segments in terms of their (consumers) characteristics. ? Investigate the difference between segments –usually on the basis of attitudes , lifestyles , perceptions or benefits sought. ? Evaluating the long-term attractiveness of each segment.
?
The priori Design uses Demographic variables such as age …..and proceeds to collect data such as product usage ,media habits and attitudes ? The cluster based design groups respondents on the basis of similarities with ref. to some set of selected variables like attitudes, needs, benefits and lifestyle. ? The cluster and priori approach is a combination of both the approaches.
?
Three Research Design
?
?
? ? ? ? ?
Consumer needs-benefit sought Product usage Brand loyalty Purchase inference Innovativeness Geographical location Account type and size
Identifying markets segments in terms of descriptors
Developing a product strategy Developing new product ideas Preliminary screening of product ideas Final screening Developing product specifications Product testing Test marketing Commercialization: (PLC , Package Testing,Display) Product Research- Procedure
?
?
? ? ?
Marketing Product life Required input Future planning Financial Appraisal
New Product Research
Brand preference generally leads to brand loyalty. ? An increasing number of studies are being done to discover what buyers , think about products and companies. ? Well planned attitude studies may lead to changes in the total strategy and often to redirect the emphasis towards company or product image building. ? There is a growing use of psychologists to undertake this type of research.
?
Brand Image Research
?
Copy search
? ? ? ? ? ? Pre-testing Post testing Recognition Recall Aided recall Believability Attitudinal Change
Advertising Research
?
Pre Testing Method
? ?
Order of Merit rating Paired comparison test.
? Consumer Jury ? Which of these ad would you notice first? ? Which of these ad would interest you most and why? ? Which of these ad can be easily read and understood?
Advertising Research Conti…
? ?
Formula: N = n(n-1)/2
? where N – No of comparison
n – No of ads to be tested For example 5 ads are to be tested 5(5-1)/2 = 10 No. of comparisons -10.
Paired Comparison
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?
? ? ?
Helps in separating weak ad from strong. Less exp and flexible Conducted within a short period Does not require actual running of ad Prevents the ad from making a serious mistake.
Paired Comparison-Advantages
Test appears to be unrealistic. ? Sometimes no ad may be liked by the jury ? There may be the possibility of a biased response ? The test is based on opinion rather than in-depth study of preferences of the respondent.
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Paired ComparisonDisadvantage
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?
? ? ?
Rating Scale Portfolio test Psychological test Lab test After test or post tests.
? ? ? ? ?
Come back in the early 2000s that there was a long waiting list . The management decision problem : Should Harley Davidson invest to produce more motorcycles? The market research problem: To determine if customers would be loyal buyers of Harley D in the long term.
Harley Goes Whole Hog
Who are the customers? ? What are their demographic and psychographic characteristics? ? Can different types of customer be distinguished? ? Is it possible to segment the market in a meaningful way? ? How do customers feel regarding their Harleys? ? Are all the customers motivated by the same appeal? ? Are the customer loyal to HD ? Research hadbrandaddress to loyalty? ? What is the extent of
?
following components
Can the motor cycle buyers be segmented based on psychographics characteristics ? ? H1: There are distinct segments of the motor cycle buyers. ? H2: Each segment is motivated to own a HD for a different reason. ? H3: Brand loyalty is high among HD customers in all segment.
?
Research Question
The research was guided by the theory of Brand loyalty. BL is the result of positive beliefs, attitude, affect and experience with the brand. ? Both qualitative and quantitative research was conducted ? Focus groups: Groups of current owners, would be owners, and owners of the other brands , to understand their feeling about HD. ? 16000 surveys were mailed to get the psychological , sociological and demographic profiles of customers and also their subjective appraisal of Harley.
?
The approach
? ? ? ? ? ? ? ? ?
Seven categories of customers could be distinguished: Adventure loving traditionalist The sensitive pragmatist The stylish status seeker The laid –back camper The classy capitalist The cool headed loner The cocky misfit Thus H1 was supported
Some of the major findings
?
All the customers had the same appeal to own HD :it was symbol of independence , freedom and power. H2 contradicted
?
?
All customers were long term loyal customers of HD
H3 supported. ? Based on these finding the decision was taken to invest and this way to increase the numbers of Harley units. ? HD continued to increase annual production at a double digit rate of production in 2003 .
?
doc_843799080.ppt
the various applications of Marketing Research in detail.
Applications of MR
The scope stretches from identification of a consumer’s needs to the evaluation of his satisfaction. ? It includes research in respect of consumers, product, sales, distribution channel, advertising, pricing, and physical distribution.
?
Scope
Product Research
? ? ? ?
?
? ?
?
Evaluate performance in terms of sales , profits and market segments. Determining modifications Determining acceptance Determining current use and new uses Study of Competitors products Market testing Test package and label design Appraising diversification and simplification plans
Determining the demographic characteristics . ? Identifying the consumer needs and expectation levels ? Identifying the factors influencing purchase ? Ascertaining the levels of consumer satisfaction.
?
Consumer Research
? ? ? ? ? ?
Aims at gathering facts about markets and forces operating therein. It includes Determining size of the market Assessing the trends Ascertaining the SWOT Determining the impact/ support from govt. Demand and sales forecasting
Market Research
? ? ? ? ? ? ?
Aims at finding out the sales potential and appraise the sales performance. It includes Determining & appraising the sales methods. Establishing and revising sales territories. Measuring sales performance Analyzing the operations and appraising the sales Personnel. Determining the sales quota and other standards Sales Research/Sales Determining the mode of compensating sales Forecasting personnel.
?
?
? ? ?
Aims to study the price expectations and ability (reaction & response) of the consumers. It includes Determining the price expectations in different market segment Comparing the pricing strategies Testing the alternative pricing strategies Evaluating the consumer reaction and measuring their response.
Pricing Research
? ? ? ? ?
Aims at understanding the worth of the message and its impact. It includes Determining the ad message and appeal. Comparing the probable effectiveness of alternative ad copies Selecting the media Evaluating the Ad effectiveness.
Advertising Research
Identifying the existing and potential distribution channels and appraising their relative strengths and weakness in context of consumer needs. ? Identifying the appropriate intermediaries to products and determining their numbers and types. ? Measuring and evaluating the performance of the channels and different intermediaries. ? Determining the needs of the dealers and the factors governing their behaviour. Channel Research
?
Aims at determining the problems associated with holding , handling and transportation of finished goods. ? Explore possibilities of cost reduction and enhance the time and place utility of the product.
?
Physical Distribution Research
Determining the optimum inventory levels ? Determining the design and location of distribution centers ? Considering the different modes of material handling and transportation.
?
Physical Distribution Research Conti….
Aims at collecting the feedback from the market. It includes: ? Studying and anticipating legislative and administrative actions of the state . ? Ascertaining consumer opinion and determining the level of consumer satisfaction
?
Post Transaction Research
Marketing Segmentation Research
Three important steps: ? Identifying market segments in terms of their (consumers) characteristics. ? Investigate the difference between segments –usually on the basis of attitudes , lifestyles , perceptions or benefits sought. ? Evaluating the long-term attractiveness of each segment.
?
The priori Design uses Demographic variables such as age …..and proceeds to collect data such as product usage ,media habits and attitudes ? The cluster based design groups respondents on the basis of similarities with ref. to some set of selected variables like attitudes, needs, benefits and lifestyle. ? The cluster and priori approach is a combination of both the approaches.
?
Three Research Design
?
?
? ? ? ? ?
Consumer needs-benefit sought Product usage Brand loyalty Purchase inference Innovativeness Geographical location Account type and size
Identifying markets segments in terms of descriptors
Developing a product strategy Developing new product ideas Preliminary screening of product ideas Final screening Developing product specifications Product testing Test marketing Commercialization: (PLC , Package Testing,Display) Product Research- Procedure
?
?
? ? ?
Marketing Product life Required input Future planning Financial Appraisal
New Product Research
Brand preference generally leads to brand loyalty. ? An increasing number of studies are being done to discover what buyers , think about products and companies. ? Well planned attitude studies may lead to changes in the total strategy and often to redirect the emphasis towards company or product image building. ? There is a growing use of psychologists to undertake this type of research.
?
Brand Image Research
?
Copy search
? ? ? ? ? ? Pre-testing Post testing Recognition Recall Aided recall Believability Attitudinal Change
Advertising Research
?
Pre Testing Method
? ?
Order of Merit rating Paired comparison test.
? Consumer Jury ? Which of these ad would you notice first? ? Which of these ad would interest you most and why? ? Which of these ad can be easily read and understood?
Advertising Research Conti…
? ?
Formula: N = n(n-1)/2
? where N – No of comparison
n – No of ads to be tested For example 5 ads are to be tested 5(5-1)/2 = 10 No. of comparisons -10.
Paired Comparison
?
?
? ? ?
Helps in separating weak ad from strong. Less exp and flexible Conducted within a short period Does not require actual running of ad Prevents the ad from making a serious mistake.
Paired Comparison-Advantages
Test appears to be unrealistic. ? Sometimes no ad may be liked by the jury ? There may be the possibility of a biased response ? The test is based on opinion rather than in-depth study of preferences of the respondent.
?
Paired ComparisonDisadvantage
?
?
? ? ?
Rating Scale Portfolio test Psychological test Lab test After test or post tests.
? ? ? ? ?
Come back in the early 2000s that there was a long waiting list . The management decision problem : Should Harley Davidson invest to produce more motorcycles? The market research problem: To determine if customers would be loyal buyers of Harley D in the long term.
Harley Goes Whole Hog
Who are the customers? ? What are their demographic and psychographic characteristics? ? Can different types of customer be distinguished? ? Is it possible to segment the market in a meaningful way? ? How do customers feel regarding their Harleys? ? Are all the customers motivated by the same appeal? ? Are the customer loyal to HD ? Research hadbrandaddress to loyalty? ? What is the extent of
?
following components
Can the motor cycle buyers be segmented based on psychographics characteristics ? ? H1: There are distinct segments of the motor cycle buyers. ? H2: Each segment is motivated to own a HD for a different reason. ? H3: Brand loyalty is high among HD customers in all segment.
?
Research Question
The research was guided by the theory of Brand loyalty. BL is the result of positive beliefs, attitude, affect and experience with the brand. ? Both qualitative and quantitative research was conducted ? Focus groups: Groups of current owners, would be owners, and owners of the other brands , to understand their feeling about HD. ? 16000 surveys were mailed to get the psychological , sociological and demographic profiles of customers and also their subjective appraisal of Harley.
?
The approach
? ? ? ? ? ? ? ? ?
Seven categories of customers could be distinguished: Adventure loving traditionalist The sensitive pragmatist The stylish status seeker The laid –back camper The classy capitalist The cool headed loner The cocky misfit Thus H1 was supported
Some of the major findings
?
All the customers had the same appeal to own HD :it was symbol of independence , freedom and power. H2 contradicted
?
?
All customers were long term loyal customers of HD
H3 supported. ? Based on these finding the decision was taken to invest and this way to increase the numbers of Harley units. ? HD continued to increase annual production at a double digit rate of production in 2003 .
?
doc_843799080.ppt