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MARKETING & TRAV E L H O S PI TALI TY Chapter 6 Marketing Research Copyright 2010 Delmar, a part of Cengage Learning. All Rights Reserved. MARKETING & TRAV E L H O S PI TALI TY Marketing Research According to the American Marketing Association (AMA), “the function which links the consumer, customer, and public to the marketer through information.” Copyright 2010 Delmar, a part of Cengage Learning. All Rights Reserved. MARKETING & TRAV E L H O S PI TALI TY Marketing Research (continued) The information is used to: 1. Identify and define marketing opportunities and problems. 2. Generate, refine, and evaluate marketing actions. 3. Monitor marketing performance. 4. Improve understanding of marketing as a process. Copyright 2010 Delmar, a part of Cengage Learning. All Rights Reserved. MARKETING & TRAV E L H O S PI TALI TY Reasons for Doing Marketing Research: The Five Cs 1. Customers: To determine how well customer needs are being met, investigate new target markets, and assess and test new services and facilities 2. Competition: To identify primary competitors and pinpoint their strengths and weaknesses Copyright 2010 Delmar, a part of Cengage Learning. All Rights Reserved. MARKETING & TRAV E L H O S PI TALI TY Reasons for Doing Marketing Research: The Five Cs (continued) 4. Confidence: To reduce the perceived risk in making marketing decisions 5. Credibility: To increase the believability of promotional messages among customers 6. Change: To keep updated with changes in travelers’ needs and expectations Copyright 2010 Delmar, a part of Cengage Learning. All Rights Reserved. MARKETING & TRAV E L H O S PI TALI TY Figure 6.3 Relationship of marketing research to the hospitality and travel marketing system. Copyright 2010 Delmar, a part of Cengage Learning. All Rights Reserved. MARKETING & TRAV E L H O S PI TALI TY Five Key Requirements of Marketing Research Information 1. 2. 3. 4. 5. Utility: Can we use it? Does it apply to us? Timeliness: Will it be available in time? Cost-effectiveness: Is it worth the money? Accuracy: Is it accurate? Reliability: Is it reliable? Copyright 2010 Delmar, a part of Cengage Learning. All Rights Reserved. MARKETING H O S PI TALI TY & TRAV E L Figure 6.5 Five requirements for good research information. Copyright 2010 Delmar, a part of Cengage Learning. All Rights Reserved. MARKETING & TRAV E L H O S PI TALI TY Marketing Research Process 1. Define the research problem 2. Develop an approach to the research 3. 4. 5. 6. problem Formulate the research design Conduct the data collection or fieldwork Prepare the data and analysis Prepare and present the research report Copyright 2010 Delmar, a part of Cengage Learning. All Rights Reserved. MARKETING H O S PI TALI TY & TRAV E L Figure 6.6 The marketing research process steps and procedures. Copyright 2010 Delmar, a part of Cengage Learning. All Rights Reserved. MARKETING & TRAV E L H O S PI TALI TY Secondary and Primary Research Secondary research: Published information available from other sources, either internal or external Primary research: Data collected for the first time, by a method other than secondary research, to answer specific questions Copyright 2010 Delmar, a part of Cengage Learning. All Rights Reserved. MARKETING H O S PI TALI TY & TRAV E L Figure 6.8 Sources of secondary research data. Copyright 2010 Delmar, a part of Cengage Learning. All Rights Reserved. MARKETING & TRAV E L H O S PI TALI TY Primary Research Methods 1. Experimental (e.g., test marketing) 2. Observational (human and mechanical) 3. Survey (telephone, personal interview, online, mail, in-house ) 4. Simulation 5. Focus groups Copyright 2010 Delmar, a part of Cengage Learning. All Rights Reserved. MARKETING & TRAV E L H O S PI TALI TY Figure 6.11 Primary research methods and techniques. Copyright 2010 Delmar, a part of Cengage Learning. All Rights Reserved.