(UNIT-I) MARKETING RESEARCH

(UNIT-I)MARKETING RESEARCH : 

(UNIT-I)MARKETING RESEARCH Before Defining “Marketing Research” We Should Know “What Is Research” Research Always Starts With A Question Or Problem. Its Purpose Is To Find Answers To Question Through The Application Of The Scientific Method. It Is Systematic Study.

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MARKETING RESEARCH Definition:- 1:- Marketing research is a systematic and objective study of problem pertaining to the marketing of goods & services 2:- Marketing research is the function which links the consumer 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 market as a process.

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NATURE OF MARKEITNG RESEARCH MR­­- As an Economic Resource MR- As a System of Authority MR- As a Function of Marketing Management MR- As a Teamwork or Group Effort MR- As an Art or a Science MR- As a Profession

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Research Can Be Classified into 2 Categories: Basic Research: Also Called Fundamental Research, Theoretical Research, Or Pure Research Applied Research: Also Called “Decisional Research Applied Research Can Be Divided into 2 Categories: Problem solving research: it concern with particular issue or problem Problem oriented research: it concern with class of issues or problems

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OBJECTIVE OF MARKETING To gain awareness with a observable fact or to achieve new insights into it To show accurately the characteristics of a particular individual, situation or a group To determine the frequency with which something occurs or with which it is associated with something else. To test a hypothesis of a causal relationship between variables

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IMPORTANCE OF MARKETING RESEARCH   For quick and pertinently accurate information flow from external and internal environments of firms to facilitate the process of decision-making The increasing importance of marketing research is based on the following three trends: Shift from the Local to National and International Markets Transition from Consumer Needs to Consumer Wants Shift from Price Competition to Non-price Competition

ROLE OF MARKETING RESEARCH : 

ROLE OF MARKETING RESEARCH Following are the major users of marketing information: Consumer Goods Manufacturers Industrial Goods Manufacturers Market Intermediaries Consumer Services Media and Business Services Farmers Rural Markets Non-Business Users Governmental Organizations Miscellaneous Users

USES AND LIMITATIONS OF MR : 

USES AND LIMITATIONS OF MR USES It helps in obtaining sufficient background information where absolutely nothing is known about the problem area or product field in question. It helps in concept identification and in its exploration. It is used to identify relevant and salient behavioral patterns, beliefs, opinions, attitudes, motivation, etc. MR is useful in establishing priorities amongst categories of behavior and psychological variables life beliefs, opinions and attitudes. Quantitative MR is generally helpful in defining problem areas fully and formulating hypotheses for further investigation and quantification. MR is useful during a preliminary screening process in order to reduce a large number of possible contenders to a smaller number to probable ones. MR also helps in obtaining large amount of data about beliefs, attitudes, etc., as data input for multivariate analysis studies.   It is used in piloting questionnaires to test comprehension, word forms, the memory factor, etc.

USES AND LIMITATIONS OF MR : 

USES AND LIMITATIONS OF MR LIMITATIONS Marketing research tends to be fragmentary in its approach as a result of which it becomes difficult to have an overall perspective in which a marketing problem is to be viewed and studied Marketing research is criticized on the ground that it becomes too superficial and faulty in industry. There is an absence of a meaningful dialogue between the marketing management and the marketing research team. Marketing research is not an exact science.

APPLICATION OF MARKETING RESEARCH : 

APPLICATION OF MARKETING RESEARCH Pricing Research Product Research Concept Testing Positioning Research Customer Satisfaction Research Brand Equity Research Advertising Research Market Segmentation Sales Analysis

MARKETING INFORMATION SYSTEM : 

MARKETING INFORMATION SYSTEM DEFINITION: “A marketing information system is a ongoing and interacting structure of people, equipment and procedure to gather, sort, analyze, evaluate and distribute relevant, timely and accurate information for use by marketing decision makers to improve their marketing planning, execution and control” CONCEPT: Firms are engaged in understanding their executives information needs and Designing Information Systems to meet these needs. This information system has to stock data related to the persons interacting with each other, markets, channels, competitors, publics, internal support system and the marketing decision makers.

NEED FOR MARKETING INFORMATION SYSTEM : 

NEED FOR MARKETING INFORMATION SYSTEM A systems framework facilitates the conversion of raw data into processed and meaningful information. Help in organizing the information in an indicative pattern or manner, ensuring an integrative, decision oriented and smooth operation of all marketing activities. The marketing job involves the same Marketing Information which can be interpreted and used for a variety of marketing decisions. When a systems framework is established it is possible to retrieve the same information as and when required in the Desired (systematic) manner. A systems framework of Marketing Information will help in the classification of the information according to the purpose eg:-Information for planning and forecasting, for general marketing operations, information for marketing contact etc. Marketing information can be classified according to content matter in term of –product, consumer, competition, sales volume etc.

PROCESS OF MARKETING INFORMATION SYSTEM : 

PROCESS OF MARKETING INFORMATION SYSTEM MKT. ENVIRON. FACTORS MARKET CHANNELS COMPETITION MEDIA MARKETING DECISION MAKERS MARKETING INTELLIGENCE SYSTEM ANALYTICAL MARKETING SYSTEM MARKETING RESEARCH SYSTEM INTERNAL REPORT SYSTEM

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INTERNAL REPORTS: This refers to the inter accounting systems which reports on issues such as sales and orders. MARKETING INTELLIGENCE: This subsystem provide all information about the relevant development in the marketing environment

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ANALYTIC MARKETING: Refers to the advanced techniques for analyzing data and problem which is inclusive for statistical bank. MARKETING RESEARCH SYSTEMS: Marketing research is a proactive search for information. That is, the enterprise which commissions these studies does so to solve a perceived marketing problem. In many cases, data is collected in a purposeful way to address a well-defined problem.

COMPONENTS OF MIS : 

COMPONENTS OF MIS THE DATA SYSTEM The data system includes the processes used to capture data as well as the methods used to store data coming from marketing, finance, the sales force, and manufacturing, as well as any other external or internal source MODELS When managers look at data they have a preconceived (Fixed) idea of how something works therefore what is interesting and worth while in the data .These ideas are called models. The most frequent tools for analyzing marketing research data are: Frequencies, Percentage, Tables, and Comparing different groups. THE INTERFACE The interface (Line) using the system models to produce reports that satisfy the particular information needs. The reports can be tables or graphs, and the report format can be specified by the manager. It facilitates user-friendliness, reduce errors, and increase usage.

What Is Science? : 

What Is Science? Before Defining “SCIENTIFIC METHOD & NON SCIENTFIC METHOD” We Should Know “What Is Science ?” You see something happen, you ask why? You want to make something happen, you ask how? Science is a tool for answering why and how.

THE SCIENTIFIC METHOD : 

THE SCIENTIFIC METHOD Observe an event. Develop a model (or suggestion) which makes a prediction. Test the prediction. Observe the result. Revise the suggestion. Repeat as needed. A Successful hypothesis (Theory) becomes a Scientific Method.

SCIENTIFIC METHOD : 

SCIENTIFIC METHOD The Scientific Method encourages (support) doubts and criticism so that what emerges (appear) is the real evidence which has stood the test of reasoning(analyzing). It makes science progressive as it is never too sure about its results. A unique characteristics possessed by this method is self-correction. A scientist does not believe any proposition without testing it. These testing are free from personal beliefs, attitudes, and values.

NON-SCIENTIFIC METHOD : 

NON-SCIENTIFIC METHOD Non-Scientific Method: Method of gaining knowledge is through senses, experience, intuition, and revelation, all of these classified as non-scientific methods. Some gain knowledge through physical senses - sight, sound, touch, taste, and smell -, and experience. Senses and Experiences. Some knowledge is obtained by senses and experiences. When one gets too close to a fire and gets burned once, he or she gains the knowledge that it is dangerous to be too close to the fire. Other gain knowledge by intuition or revelation. Intuition. Some rely on intuition as a source of knowledge. Intuition is the strong hunch or feeling that what one perceives to be the case is indeed true. If one strongly believes what one perceives is real and true, knowledge thus is obtained. While there is no reason to doubt the truthfulness of the knowledge obtained by intuition, like knowledge obtained from senses and experiences, it is subjective. Revelation. Some knowledge are obtained by revelation. Revelation is the presentation of the truth from a supernatural source, such as deity (god, ideal etc). Knowledge acquired via experience, intuition, revelation, and even measurement remain as private knowledge. The validity of knowledge obtained through nonscientific methods cannot be subject to objective testing.

CHARACTERISTICS OF SCIENTIFIC METHOD : 

CHARACTERISTICS OF SCIENTIFIC METHOD 1. Careful and accurate classification of facts and observation of their correlation and sequence. 2. The discovery of scientific laws with the aid of the creative imagination. 3. Self-criticism and the final touchstone of equal validity for all normally constituted minds. Hence, Scientific Method aims at the testing and verification of facts empirically so that they can be confirmed or rejected.

DISTINCTION BETWEEN SCIENTIFIC AND NON-SCIENTIFIC METHOD : 

DISTINCTION BETWEEN SCIENTIFIC AND NON-SCIENTIFIC METHOD The scientific method is more objective as compared to the non-scientific method. This is one of the strongest points in favor of SM. Over the years, a good deal of thoughts and experience has gone into the development of scientific procedures as a result of which far greater objectivity is found in the scientific method as compared to other method.  The Scientific Method is more precise than the non-scientific method. Qualitative concepts are also defined precisely, which enables easier and more effective communication among researcher. Scientific Method takes cognizance(recollection of data) of the existing knowledge in a particular field, carries out further investigation in it and compares the results with those obtained earlier. This leads to the expansion of knowledge. Thus, the scientific method contributes to the accumulation of systematic knowledge while the non-scientific method may not be able to do so.

DIFFICULTIES IN APPLYING SCIENTIFIC METHOD IN MARKETING RESEARCH : 

DIFFICULTIES IN APPLYING SCIENTIFIC METHOD IN MARKETING RESEARCH It is easy to explain conceptual framework of scientific method but may not be that simple to apply it in practical marketing situations. The researchers may encounter some difficulties while attempting to apply the scientific method to marketing problems. There are six main difficulties facing the researcher, viz.: (i) Complexity of subject; (ii) Difficulty of obtaining accurate measurements; (iii) Process of measurement may influence results; (iv) Difficulty of using experiments to text hypothesis (v) Difficulty of making accurate predictions; and (vi) Problematic objectivity of investigator.

THE MARKETING RESEARCH PROCESS : 

THE MARKETING RESEARCH PROCESS Research Process consists of series of actions or steps necessary to effectively carry out research and the desired sequencing of these steps. SET OBJECTIVES DEFINE RESEARCH PROBLEM DETERMINE THE RESEARCH DESIGN DESIGN THE DATA COLLECTION METHOD & FORMS DESIGN THE SAMPLE AND COLLECT DATA ANALYSE AND INTERPRET THE DATA PREPARE THE RESEARCH REPORT

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UNIT - II

What is Research Design? : 

What is Research Design? Research design provides the glue that holds the research project together. We often describe a design using a brief information that enables us to summarize a complex design structure efficiently.

METHOD OF RESEARCH DESIGN : 

METHOD OF RESEARCH DESIGN (1) EXPLORATORY METHOD: In this type research the focus is on the discovery of “Ideas”. In a business where sales have been declining for the past few months, the management may conduct a quick study to find-out what could be the possible explanation- the might declined on account of number of factors such as- Quality of Product Increased Competition Ineffective Advertising Lack of trained Salesman Use of the Wrong Channel of Distribution In such cases an “Exploratory study” may be conducted to find most likely cause. (2) DEACRIPTIVE REEARASCH: It is also called explanatory design. This is the one that simply describes something such as demographic characteristics of consumers who use the product. The descriptive study is typically concerned with determining frequency with which something occurs or how two variables vary together. When researcher is interested to knowing the characteristics of certain group such as- Age, Sex, Educational level, occupation / income, etc. a “Descriptive Study” may be necessary. The objective of this study is to answer the “Who, What, When, Where and How” of the subject under investigation. (3) EXPERIMENTAL RESEARCH: As the name implies, an Experimental Research investigate the cause and effect relationship between two or more variables. eg. a manufacturer has sold his product at two points of time “P1” and “P2”. The sale in P2 is higher then that in the previous year. During the year the firm has also launched an advertising campaign for its product. The manufacturer is interested in knowing whether advertising has caused the increase in sale in the year for P2 or something else.

IMPORTANCE OF EXPLORATORY RESEARCH DESIGN : 

IMPORTANCE OF EXPLORATORY RESEARCH DESIGN Exploratory study can be used to establish priorities in studying the competing explanations of the phenomenon. The exploratory design is primarily used to define research problem whereas the descriptive and experimental designs are used to find solutions to these. In sum, an exploratory design is used for any or all of the following purposes: Formulating a problem for more precise investigation or for developing hypotheses; Establishing priorities for further research; Gathering information about particle problems for carrying out research hypothetical statements; Increasing the analyst’s familiarity with the problem and; Clarifying the concepts. It can be classified as: Literature Survey Experience Research Analysis of Selected Cases Projective Techniques Focus-Group Interviews To conclude, we can say that in exploratory research a specific subject is investigated. It helps in generating a set of hypothesis or research based questions that can be used at a later stage.