The Definition of Marketing Research - Essay Example

Bala Muhammad Makosa Academia-Research 25th October, 2007 MARKETING RESEARCH While effort is placed for any kind of investment, there is need to make some finding which deals with research, so that the aim will be achieved effectively. By adapting to this aspect, thus no failure will be expected to be recorded, as all the ways forward were recorded efficiently. The Marketing Research is also a very important advantage for the Producers who invent new product for the consumptions of the target people. But, what is the definition of Marketing Research "Marketing research is the function that links the consumer, customer, and public to the marketer through information - information used to identify and define marketing opportunities and problems; generate, refine, and evaluate marketing actions; monitor marketing performance; and improve understanding of marketing as a process. Marketing research specifies the information required to address these issues, designs the methods for collecting information, manages and implements the data collection process, analyzes, and communicates the findings and their implications." (Introduction to Marketing Research) Meanwhile, at this point, let begin with sighting ways through which the Marketing Research data can be obtained. These include Primary and Secondary data collection procedures. PRIMARY DATA: This data is always gathered in order to solve the problems in hand. SECONDARY DATA: It implies desk research, which is usually collected for other purposes. PLAN FOR PRIMARY DATA COLLECTION "Is collected for the first time. It is original and collected for a specific purpose, or to solve a specific problem. It is expensive, and time consuming, but is more focused than secondary research. There are many ways to conduct primary research. We consider some of them." (Introduction to Marketing Research) This research system involves: 1. Interviews: On this aspect, there is tendency for making face to face interview, telephone and other sources that might be apply to achieve the desire goal. 2. Mystery Shopping: "Companies will set up mystery shopping campaigns on an organizations behalf. Often used in banking, retailing, travel, cafes and restaurants, and many other customers focused organizations, mystery shoppers will enter, posing as real customers. They collect data on customer service and the customer experience. Findings are reported back to the commissioning organization. There are many issues surrounding the ethics of such an approach to research." (Introduction to Marketing Research) 3. While other ways of conducting the Primary Data Research are: 4. Focus Group 5. Projective Technique 6. Products test 7. Dairies 8. Omnibus Studies IDENTIFICATION OF SOURCES OF SECONDARY DATA Now what is means by 'Secondary Data Collection Procedure in Marketing Research According to a definition "is data which has been collected by individuals or agencies for purposes other than those of our particular research study. For example, if a government department has conducted a survey of, say, family food expenditures, then a food manufacturer might use this data in the organization's evaluations of the total potential market for a new product. Similarly, statistics prepared by a ministry on agricultural production will prove useful to a whole host of people and organizations, including those marketing agricultural supplies". (Secondary Source Information) However, in order to achieve this ob objective, there are certain ways as follows: 1. By applying the secondary data collection, sometimes it replaces primary sources, because the secondary data solves most of the problems facing. 2. A real secondary data is more simple and cheaper if compared with the primary data, while by applying the secondary gives more fruitful result than primary sources. 3. While adapting to collect information by applying secondary data, it consumes less time than adapting to primary source. 4. You can get more perfect and accurate information by adapting to secondary source, more than adapting to primary source, this is because "where a government or international agency has undertaken a large scale survey, or even a census, this is likely to yield far more accurate results than custom designed and executed surveys when these are based on relatively small sample sizes". (Secondary Source Information) SOURCES OF INFORMATION: There are two types of Secondary Data Source of Information, namely; internal and external source: INTERNAL SOURCE And WHY: "It is well known fact that, Internal secondary data is usually an inexpensive information source for the company conducting research, and is the place to start for existing operations. Internally generated sales and pricing data can be used as a research source. The use of this data is to define the competitive position of the firm, an evaluation of a marketing strategy the firm has used in the past, or gaining a better understanding of the company's best customers". (Internal Data Source) Meanwhile, there are three main source of the Internals Data that can be collected: These include; a. Sales and Marketing Report, which deals with many categories of marketing transactions, such as, Types of Product and Service Purchase, and many others. b. Accounting and Financial Report: While "These are often an overlooked source of internal secondary information and can be invaluable in the identification, clarification and prediction of certain problems. Accounting records can be used to evaluate the success of various marketing strategies such as revenues from a direct marketing campaign". (Internal Data Source) c. Miscellaneous reports: "These can include such things as inventory reports, service calls, number (qualifications and compensation) of staff, production and R&D reports. Also the company's business plan and customer calls (complaints) log can be useful sources of information." (Internal Data Source) EXTERNAL SOURCE: Nowadays, the most common steps taken to achieve the gathering of this source include: "Federal government Provincial/state governments Statistics agencies Trade associations General business publications Magazine and newspaper articles Annual reports Academic publications Library sources" (Internal Source Data) Computerized bibliographies Syndicated services SIX STEPS OF MARKETING RESEARCH There are six steps to be explored in order to have effective Marketing Research: These are; 1. Identifying and defining problem: That is to figure out the main problems that will stands as block toward effectiveness of making the research and defining them. 2. Developing Approach: Then while problems are figure out, then there is need also to make strategies on how to approach the task ahead. 3. Research Design: Then also, another plan should be mapped out on how to carry out the research. 4. Collecting Data: Then there is needs to gather information 5. Performing Data analysis: Then that should be carry out the task ahead 6. Reporting and Presentation: Finally, after making all analysis and complications, there will be reporting and presenting the final data collected. MARKETING PLAN: This will implies certain factors which will be carry out while making the plan, including how it will work effectively. "Should star with executive summary. The summary will give a quick over view of the main point of the plan." (Marketing Plan Summary and Introduction) However, we would achieve a significant marketing plan while we adapt to the following strategies: The Challenges: This will go with the explanation of the product that is aim to be marketed and the goals for that. Company Analysis: There is need also to make assessment of the company's goals, focus, it culture, strength and the weakness, including Customers Analysis: This is also one of the primary factors needed to be focus on, which include number, type, value drivers, decision process, and including concentration of customer base for particular product. Competitors Analysis: We would make analysis on market position, its strength and weakness, and also market share. Collaborators: This consists of joint ventures, subsidiaries, distributors and many others in that related field. Climate: Under this aspect, we will carefully and diligently study the political and legal environment. Others to be studied include economic, social and cultural environments, and the technological environment. We should also apply SWOT Analysis; meaning "a tool for auditing an organization and its environment. It is the first stage of planning and helps marketers to focus on key issues. SWOT stands for strengths, weaknesses, opportunities, and threats. Strengths and weaknesses are internal factors. Opportunities and threats are external factors". (Swot Analysis Lesson) Under this factor, we should make assessment on strategies to be adapted in order to scale through competitive environment. These strategies we should adapt are; "Patent Strong brand name Good reputation among customers Cost advantage from propriety know-how Exclusive access to high grade natural resource Favorable access to distribution" (Swot Analysis) References Introduction to Marketing Research, http://marketingteacher.com/Lessons/lesson_marketing_research.htm Secondary Source Information, The nature of secondary source information, http://www.fao.org/docrep/W3241E/w3241e03.htm Steppingstone, Internal Data Source,(2004), Research Using Secondary Data Source, Business Reference Library, http://www.steppingstones.ca/artman/publish/article_60.shtml Marketing Plan Summary and Introduction, Practical Advise for Business, http://www.businesslink.gov.uk/bdotg/action/detailtype=RESOURCES&itemId=1075313149 Swot Analysis Lesson, Marketing Teacher, http://marketingteacher.com/Lessons/lesson_swot.htm Swot Analysis, Strategic Management, http://www.quickmba.com/strategy/swot/ Read More