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Chapter 1
Marketing Research: A Pervasive Activity
Many people have a mistaken impression about marketing research. They believe it is simply asking consumers
what they think or feel about a certain brand or an advertisement. Although marketing research does make use of
consumer surveys, it involves much more than that. Consider the following examples.1
EXAMPLE After watching countless hours of videotapes of consumers entering various retail outlets such as
department stores, grocery stores, and banks, marketing researchers have advised against investing in elaborate
store displays for the first 30 feet from the entrance, the so-called "decompression zone" in which shoppers are
merely getting oriented to the store layout and are not inclined to pick up merchandise for purchase. Similarly,
the researchers noted that most consumers are likely to veer right as they proceed into the store, not because most
are right-handed, but because we drive on the right—British and Australian consumers veer left.2
EXAMPLE Gillette develops new products (for example, Mach III razors) by watching consumers shave—not by
standing in their bathrooms, but by watching video from microcameras that have been attached to razors that the
consumers were using to shave. This closeup view shows clearly what the blades do to the whiskers and
surrounding skin, enabling Gillette to create more effective shaving instruments, to make superior product claims,
and to charge premium prices.3
EXAMPLE When Wrigley found sales and market share for their Juicy Fruit gum declining, the company asked
teens who were frequent gum-chewers to find pictures that reminded them of the gum and to write a short story
about them. Marketing researchers studied each montage and noted a common theme of "sweet tasting."
Advertising was created with the tagline "Gotta Have Sweet," which proved memorable, and sales rose 5 percent
after the campaign.4
EXAMPLE Many organizations are supplementing customer satisfaction surveys by deploying "secret shoppers" to
conduct discreet tests of the moments-of-truth between customers and service providers. The secret shopper
engages in a normal purchase transaction and reports back to the firm his or her experience answering questions
such as: Was the merchandise easy to find and of high quality? Were the service people helpful? Could you get
through to a knowledgeable person when calling the company's 800 customer service center number? Did the
Web site function properly or were there dysfunctional links?5
EXAMPLE In an attempt to speed up refueling and engender loyalty to its stations, Mobil Oil Company testmarketed an electronic key-chain wand called a Speedpass in St. Louis. Customers simply wave the device to
activate the pump. The device automatically charges the gasoline purchase to the purchaser's designated credit
card when refueling is complete, without the customer ever having to go inside the station or show the credit
card. The Speedpass can be used only at Mobil stations.6
EXAMPLE Researchers are intrigued with the potential of online chat rooms as a focus group forum. They cite large
savings in travel expenses, because the participants can log in from all over the world. They also say that new
products or advertisements can be shown online just as easily as in person, and they point out that the timeconsuming and expensive step of transcribing focus group tapes is unnecessary, because the online focus group is
already conducted in text, which may simply be downloaded and saved. Critics of online focus groups say that
important cues and reactions like nonverbal body language are lost in the online environment, but supporters
respond that they encourage online focus group participants to use emoticons, such as the smiley faces [:)], and
note that soon, video capabilities will allow all participants to see each other, simulating more closely a traditional
focus group.7
EXAMPLE Dorothy Lane Market, in Dayton, Ohio, recently initiated a frequent-shopper program. Customers sign
up for the discount program by providing some personal information, such as name and address, in exchange for
a card, which the company uses to track buying habits. Price discounts go only to club members, and the
company's direct-mail promotions are customized to reflect the individual's shopping habits. Not only are the
store's customers happy that they don't have to clip coupons to save, Dorothy Lane is more profitable. Moreover,
the card has helped to cut inventory and speed distribution. Because the card quickly reveals which products are
selling and how fast, the stores are more likely to get just what they need, when they need it, from their suppliers. 8
These examples simply scratch the surface regarding the scope of marketing research activities. This book will
provide a better perspective on what marketing research is and how it can be used. For the moment, note that it
involves more than asking individual consumers about their likes and dislikes. Although consumer surveys are an
important marketing research tool, other methods are also used. The choice depends on the problem to be solved.
The fundamental point is that marketing research is a pervasive activity that can take many forms because its
basic purpose is to help managers make better decisions in any of their areas of responsibility.
Role of Marketing Research
Anyone planning a career in business should understand what marketing research can do. Every day, marketing
managers are called upon to make decisions, sometimes minor, sometimes far-reaching, each of which will be
better-informed and likely to produce better results with the intelligent use of marketing research. Effective
decision making depends on quality input, and marketing research plays an essential role in translating data into
useful information. Any business seeking an edge in attracting and retaining customers in competitive market
environments turns to marketing. And in turn, marketing can create strategies to work toward these goals of
attraction and retention, if the business understands its customers. This understanding comes through marketing
research, both periodic projects directed toward specific problems at hand, and continuing, ongoing measurement
of the marketplace.
Beyond marketing researchers and marketers, the success of one's career in many related fields would be
enhanced by a working knowledge of marketing research. For example, much of management consulting is
fundamentally marketing research. Entrepreneurs enhance their likelihood of staying in business by
understanding their new and growing customer base. Financial analysts need to understand the perceptions of
their consumer and business customers in order to sell their products. Those Internet service providers who invest
the time to understand what their customers value will be around long after their less knowledgeable upstarts
crash. People beyond traditional business boundaries also benefit from research. For example, land planners use
marketing research to understand better the desires of their constituents—anything from shopping mall site
location to where a new neighborhood park might be built. Politicians use marketing research to plan campaign
strategies. As much as citizens protest negative ad campaigns, such ads continue because they are memorable and
advertising agencies measure success in part through short-term memory measures. Clergy and congregations
use marketing research to determine when to hold services, what genre of worship music to play, and how to
serve the different segments in the congregation.
You may recall from your introductory course in marketing that the principal task of marketing is to create
value for customers, where customer value is the difference between customer perceptions of the benefits they
receive from purchasing and using products and services, and their perceptions of the costs they incur in
exchange for them. Customers who are willing and able to make exchanges will do so when (1) the benefits of
exchanges exceed the costs of exchanges, and (2) the products or services offer superior value compared to
alternatives. In their attempts to create customer value, marketing managers generally focus their efforts on the
elements of the marketing mix, or the four Ps—the product or service, its price, its placement or the channels in
which it is distributed, and its promotion or communications mix.
The marketing manager's essential task is to develop a marketing strategy that involves combining the
marketing mix elements in such a way that they complement each other and positively influence customers' value
perceptions and behaviors. This task would be much simpler if all the elements that affect customers' perceptions
of value were under the manager's control and if customer reaction to any contemplated change could be
predicted with certainty. Usually, however, a number of factors affecting the success of the marketing effort,
including economic, political and legal, social, natural, technological, and competitive environments, are beyond
the marketing manager's control, and the behavior of individual customers is largely unpredictable.
Figure 1.1 summarizes the task of marketing management. Customers are the target because they are the
focus of the firm's activities. Their satisfaction is achieved through simultaneous adjustments in the elements of
the marketing mix, but the results of these adjustments are uncertain because the marketing task takes place
within an uncontrollable environment (see Figure 1.2). Consequently, as director of the firm's marketing activities,
the marketing manager has an urgent, continuous need for information—and marketing research is responsible
for providing it. Marketing research is the firm's formal communication link with the customer and environment.
It is the means by which the firm generates, transmits, and interprets information from the customer and
environment about or relating to the success of the firm's marketing plans.
The American Marketing Association's (AMA) definition of marketing research emphasizes its informationlinkage role (ama.org):
Marketing research is the function which 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 our understanding of marketing as a
process.
Note that this definition indicates that marketing research provides information to the marketer for use in at least
four areas: (1) the generation of ideas for marketing action, including the identification of marketing problems and
opportunities; (2) the evaluation of marketing actions; (3) the comparison of performance versus objectives; and
(4) the development of general understanding of marketing phenomena and processes. Further, marketing
research is involved with all phases of the information-management process, including: (1) the specification of
what information is needed; (2) the collection and analysis of the information; and (3) the interpretation of that
information with respect to the objectives that motivated the study in the first place.
A periodic survey (Table 1.1) conducted by the American Marketing Association details how many
organizations use marketing research.9 Much research, for example, is done to measure consumer wants and
needs. Other research assesses the impact of previous adjustments in the marketing mix or gauges the potential
impact of new changes. Some research deals directly with the environment, such as studies of legal constraints on
advertising and promotion and studies of social values, business policy, and business trends.
Another way of looking at the function of marketing research is to consider how management uses it. Some
marketing research is used for planning, some for problem solving, and some for control. When used for
planning, it deals largely with determining which marketing opportunities are viable and which are not
promising for the firm. Also, when workable opportunities are uncovered, marketing research provides estimates
of their size and scope, so that marketing management can better assess the resources needed to develop them.
Problem-solving marketing research focuses on the short- or long-term decisions that the firm must make with
respect to the elements of the marketing mix. Control-oriented marketing research helps management to isolate
trouble spots and to keep abreast of current operations. The kinds of questions marketing research can address
with regard to planning, problem solving, and control decisions are listed in Table 1.2.
It is important to highlight the key role of marketing research in the decision-making process. Marketing
research is an essential element of marketing. Consider the following:
"Market research is crucial to a corporation's marketing process." So says Herb Baum, President and CEO of Hasbro
Inc. toy manufacturer. "I don't think anybody ought to be making marketing decisions without some form of
research, because you can waste a lot of time and money. What it really does is it helps you understand your . . .
customers."10
In addition, the communication link that marketing research serves between the firm and its customers and its
environment is becoming increasingly critical and difficult as the world moves to a highly competitive global
economy. Firms operating in the international arena often use marketing research to get a perspective on what it
is like to do business in specific countries. Some of the questions that marketing research has been used to
investigate in this capacity are listed in Table 1.3. Globalization of marketing research naturally follows the
globalization of large, multinational clients, and just as products are adapted and tailored for local cultures and
tastes, it is also important to recognize that for research too, what works in one environment does not necessarily
work in another (see Research Realities 1.1). Marketing researchers point to international business as one of three
key influences on changes in how they conduct their business—the other two factors being the Internet and oneto-one marketing:
The Internet, globalization, and one-to-one marketing are expected to be the primary influences on marketing
research, says a survey of marketing research professionals. Interactive research and virtual reality are expected to
flourish over the Internet and future broadband electronic communications technologies. The globalization of
business will drive more cross-cultural research, to recognize increasing diversity and changing demographic bases.
And as companies build relationships with their customers as unique individuals, they will need marketing and
marketing research like never before—just who is this customer and what does he or she want? "Marketing research
in the 21st century may be barely recognizable by a 20th century researcher" and the marketing research industry
will be under more pressure to attract top talent.11
We say more about the Internet later in this chapter and throughout the book, and we examine some one-to-one
direct marketing and database marketing issues in the next chapter. See Table 1.4 for a summary of current
marketplace phenomena that are impacting marketing research and increasing its applicability and importance.
Who Does Marketing Research?
Marketing research, as a significant business activity, owes its existence to the shift from a production-oriented to
a consumption-oriented economy that occurred in this country at the end of World War II. However, some
marketing research was conducted before the war, and the origins of formal marketing research predate the war
by a good number of years:
More by accident than foresight, N. W. Ayer & Son applied marketing research to marketing and advertising
problems. In 1879, in attempting to fit a proposed advertising schedule to the needs of the Nichols-Shepard
Company, manufacturers of agricultural machinery, the agency wired state officials and publishers throughout the
country requesting information on expected grain production. As a result, the agency was able to construct a crude
but formal market survey by states and counties. This attempt to construct a market survey is probably the first real
instance of marketing research in the United States. 12
There were even formal marketing research departments and marketing research firms before World War II. 13
However, marketing research really began to grow when firms found they could no longer sell all they could
produce but rather had to gauge market needs and produce accordingly. Marketing research was called upon to
estimate these needs. As consumer discretion became more important, there was a concurrent shift in the
orientation of many firms. Marketing began to assume a more dominant role and production a less important one.
The marketing concept emerged and along with it, a reorganization of the marketing effort. Many marketing
research departments were born in these reorganizations. The growth of these departments was stimulated by a
number of factors, including past successes, increased management sophistication, and the data revolution
created by the invention of the computer. The success of firms with marketing research departments caused still
other firms to establish departments.
Currently, the firm that does not have a formal marketing research department, or at least a person assigned
specifically to the marketing research activity, is the exception rather than the rule (see Figure 1.3). Marketing
research departments are prevalent among industrial and consumer manufacturing companies, but they also exist
in other types of companies. Publishers and broadcasters, for example, do a good deal of research to generate
statistics on market coverage to measure the size of the audience reached by the message and to provide a
demographic profile of this audience. These data are then used to sell advertising space or time.
Financial service companies also use marketing research. Much of the research done by these departments
involves forecasting, measurement of market potentials, determination of market characteristics, market share
analyses, sales analyses, location analyses, and product mix studies.
Many advertising agencies have formal research departments. Much of the research conducted by these
agencies involves such things as studying the effectiveness of alternative ad copy and optimizing the frequency of
exposures of customers to ads. Many agencies also do marketing research for their clients, for example, measuring
the market potential of the brand they are advertising, or the client firm's market share.
The enterprises included in the "all others" category shown in Figure 1.3, described earlier, include public
utilities, transportation companies, and trade associations, among others. Public utilities and transportation
companies provide their customers with statistics on area growth and market potential. Trade associations collect
and disseminate operating data gathered from their members.
The entire spectrum of marketing research activity also includes specialized marketing research and
consulting firms, government agencies, and universities. Most specialized research firms are small, but a few are
quite large. Research Realities 1.2, for example, shows the revenues of the largest U.S. marketing research firms
and the proportion of their revenues generated outside the United States. Some firms provide syndicated
research; they collect certain information on a regular basis, which they then sell to interested clients. The
syndicated services include such operations as ACNielsen, which provides product movement data for grocery
stores and drugstores, and the NPD Group, which operates a consumer panel. The syndicated services are
distinguished by the fact that their research is not custom designed, except in the limited sense that the firm will
perform special analyses for the client from the data it regularly collects. Other research firms, though, specialize
in custom-designed research. Some of these provide only a field service; they collect data and return the datacollection instruments directly to the research sponsor. Some are limited-service firms that not only collect the
data but also analyze them for the client. And some are full-service research suppliers that help the client in the
design of the research as well as in collecting and analyzing data.
Government agencies provide much marketing information in the form of published statistics. In fact, the
federal government is the largest producer of marketing facts through its various censuses and other
publications.14
Much university-sponsored research of interest to marketers is produced by the marketing faculty or centers
on business research found in business schools. Faculty research is often reported in marketing journals, whereas
research centers often publish monographs (such as "white papers") on topics of interest.
Organization of Marketing Research
The organizational form of marketing research depends largely on the size and organizational structure of the
individual company. In small firms, where one person often handles all the organization's research needs, there
are few organizational questions other than determining to whom the research director will report. Most often,
this will be the sales or marketing manager, although some marketing research managers report directly to the
president or the executive vice president. Larger research units can take a variety of organizational forms, often
one of these:
1.
Organization by areas of application, for example, by product line, brand, market segment, and geographic
area.
2.
Organization by marketing function performed, for example, field sales analysis, advertising research, or
product planning. An important new variant of this type of organization is the development in marketing
research firms, advertising agencies, and manufacturers of centers, or groups of people, whose
responsibilities focus on the Internet—both e-commerce and electronic forms of research, as described in
Research Realities 1.3.
3.
Organization by research technique or approach, for example, sales models, mathematical and/or statistical
analysis, field interviewing, or questionnaire design.
Many firms with very large marketing research departments combine two or more of these organizational
structures.
The organizational structure of the firm itself—particularly whether it is centralized or decentralized—also
affects the organization of the marketing research function. With decentralized companies, the fundamental
question is whether each division or operating unit should have its own marketing research department, whether
a single department in central headquarters should serve all operating divisions, or whether there should be
research departments at both levels. The primary advantages of a corporate-level location are greater
coordination and control of corporate research activity, economy, increased capability from an information system
perspective, and greater usefulness to corporate management in planning. The primary advantage of a division or
group-level location is that it allows research personnel to acquire valuable knowledge about divisional markets,
products, practices, and problems. Even though shifting between the corporate and divisional structures occurs
quite frequently, the recent trend is toward a mixed arrangement in an attempt to secure the advantages of each.
For example, Kodak has a combination centralized/decentralized marketing research function. The people in
the divisions work directly with managers of those business units. The centralized group is responsible for staying
abreast of industry trends and changing technology, because changes here could affect numerous business units.
Researchers assigned to corporate marketing research are also responsible for competitive analysis to ensure the
most objective view. Finally, the centralized group serves as a quality control center for the research activity.
Division-initiated projects are passed before this group for possible changes in method. One benefit of this review
is that it provides better ways to approach specific tasks.
The Japanese are more likely to view research as a "line" function performed by all involved in the decision
process rather than as a "staff" function performed by professional marketing researchers. Those involved in the
decision team may play a role in gathering and interpreting information. For example, in developing its "Pro
Mavica" professional still-video system, which, unlike conventional 35mm still cameras, records digital images on
a two-inch-square floppy disk, Sony did extensive marketing research. This research involved a mail survey,
personal and telephone interviews, and on-site tests to elicit user response to the product during its development.
A unique aspect was that the Pro Mavica task force included both engineers and sales/marketing representatives
from Sony's medical systems and broadcast units. In addition to working with their marketing peers, Sony's
engineers gained insights from talking with prospects; they then incorporated user comments into product
modifications.15
The most appropriate summary comment about the organization of the marketing research function is that
this organization may be expected to be dynamic and ever-changing. It will depend on the relative importance of
the marketing research function within the firm, on the scale and complexity of the research activities to be
conducted, and on the firm's philosophy as to how marketing research should interface with the firm's decision
making. The data indicate that large firms, for example, are likely to spend a larger proportion of the marketing
budget on research than are small firms. As the firm's size and market position change, the emphasis and
organization of the marketing research function must also change so that it is continually tailored to suit the firm's
information needs.
One important change that has been occurring in marketing research in recent years is the transition from a
specific-problem perspective to a total marketing intelligence perspective. This perspective is usually called a
marketing information system (MIS) or decision support system (DSS).16 The emphasis in such systems is on
diagnosing the information needs of each of the marketing decision makers so that these people have the kinds of
information they need, when they need it, to make the kinds of decisions they must make. We shall have more to
say on marketing intelligence systems in the next chapter.
Employment Opportunities in Marketing Research
It is important to acknowledge once more that consultants, entrepreneurs, Internet marketers, and many more
types of business people will frequently find themselves conducting and using marketing research to enhance
their business efforts. Thus, it is important that the reader whose heart is set on one of these career paths think
creatively about how to incorporate marketing research into his or her corporate responsibilities. In addition, it is
important to be a knowledgeable and discerning consumer of marketing research. That is, whether one conducts
the research or commissions it, it is important to be able to evaluate the quality of the research and its implications
or caveats. It is true that CEOs may not be analyzing spreadsheets on a daily basis, but they do not forget that
marketing research helps them understand their customers. Marketing research is the premier means to
competitive advantages.
Having made the point that marketing research opportunities abound, in this section, we describe the
traditional kinds of job opportunities that have marketing research as its central focus. Even with this narrower
focus, it is difficult to generalize about the kinds of tasks a marketing researcher might perform. The
responsibilities will depend upon the type, size, organizational structure, and philosophy of the firm with which
the individual is employed. They will also depend upon whether the person works for a research supplier or for a
consumer of research information.
The responsibilities of a marketing researcher could range from the simple tabulation of questionnaire
responses to the management of a large research department. Research Realities 1.4 lists some common job titles
and the functions typically performed by occupants of these positions. These job descriptions make clear that
there are opportunities in marketing research for people with a variety of skills. One could find a career as a
technical specialist, a statistician, or a research generalist managing others, such as a research director. The skills
required to perform each job satisfactorily will, of course, vary. 17
The typical entry-level position in consumer goods companies (for example, Kraft, General Motors, Procter &
Gamble) is analyst, usually for a specific brand. While learning the characteristics and details of the industry, the
analyst will receive on-the-job training from a research manager. The usual progression of responsibilities is to
senior analyst, research supervisor, and research manager for a specific brand, after which time the researcher's
responsibilities broaden to include a group of brands.
The typical entry-level position among research suppliers (such as ACNielsen, Information Resources, Market
Facts, and NPD) is that of research trainee, a position which offers exposure to the types of studies in which the
supplier specializes and procedures that are followed in completing them. Trainees may spend some time actually
conducting interviews, coding completed data collection forms, or possibly even assisting with the analysis. The
idea behind these simple tasks is to expose trainees to the processes that are followed in the firm so that when
they become account representatives, they will be sufficiently familiar with the firm's capabilities to be able to
develop intelligent responses, perhaps in the form of formal quotations, to client needs for research information.
Research Realities 1.5 presents recent job listings, in both marketing research supplier and buyer firms, which
gives some representation of the variety of employment possibilities.
In particular, there is a need for technically skilled marketing researchers—high-level data analysts and
methodologists. Their skills are crucial to the excellence of a marketing research firm, and these talented people
are in short supply. Usually these researchers have training from several of the following areas: probability and
statistics, multivariate statistics and modeling, psychology, psychometric measurement, marketing research,
sociology, consumer buying behavior, microeconomics, marketing management, and business communications.
They stay current in methodologies by subscribing to academic journals, such as the Journal of Marketing Research,
the Journal of Consumer Psychology, and the Journal of the American Statistical Association, and by attending
professional development conferences such as the American Marketing Association's Advanced Research Techniques
Forum and those sponsored by the Advertising Research Foundation. Without these talented professionals, a great
deal of analytical software (for example, a statistical package) would be implemented by people with no
understanding of models or consumers, which could yield erroneous results, which would be immediately
detrimental to the research buyer, and ultimately would impact the marketing research supplier. "If we
[marketing researchers] are to continue to grow as a business and a profession, we should recognize [these highly
skilled methodologists] and nurture [their] growth" (p. 25). 18
A successful marketing researcher needs human relations, communication, conceptual, and analytical skills.
Marketing researchers must be able to interact effectively with others, because they rarely work in isolation. They
should be able to communicate well both orally and in writing. If researchers cannot communicate the results and
discuss what the results mean, it makes little difference what they know or how good the research is. They need to
understand business in general and marketing processes in particular. When dealing with brand, advertising,
sales, or other managers, they must understand the issues with which these managers contend and the types of
mental models they use to make sense of the situations. Marketing researchers also should have some basic
numerical and statistical skills, or at least they should be capable of developing those skills. They must be
comfortable with numbers and the techniques of marketing research. Their growth as professionals and their
advancement within their organization will depend on their use of these skills and their acquisition of other
technical, management, and financial skills.
An increasingly common career path for those working in divisional structures is to switch from the research
department to product or brand management. One advantage these people possess is that after working
intimately with marketing intelligence, they often know as much or more about customers, the industry, and the
competitors as anyone in the company with the same amount of experience. Researchers desiring this switch need
more substantive knowledge about marketing phenomena and greater business acumen in general than those
planning on staying in marketing research, although all researchers need a good foundation of business and
marketing knowledge if they are going to succeed.
It is important to recognize that marketing research is a profession and that marketing researchers are
professionals. Qualities of professionalism that have been applied to professions as varied as doctors, lawyers,
accountants, and aeronautical engineers characterize marketing researchers as well. Marketing researchers report
that they generally feel that they can do much of their work fairly autonomously, they enjoy a good variety in
their work responsibilities, and generally proceed without too much bureaucracy or rules, all of which contribute
to their employment satisfaction and esprit de corps among marketing researchers.19
Successful marketing researchers tend to be proactive rather than reactive—they identify and lead the
direction in which the individual studies and overall programs go rather than simply respond to explicit requests
for information. Successful marketing researchers realize that marketing research is conducted for only one
reason—to help make better marketing decisions.
Summary
This chapter presented an overview of the nature of marketing research, its usefulness in marketing decision making, the
extent to which it is currently being used and by what types of companies, and the organization of the research function. By
definition, marketing research is the function that links the consumer, customer, and public to the marketer through
information, which is used to identify and define marketing opportunities and problems; to generate, refine, and evaluate
marketing actions; to monitor marketing performance; and to improve understanding of marketing as a process.
Marketing research is indeed a pervasive activity. Marketing research departments exist in most large firms and among
most types of companies. Marketing research has been employed in every domain of marketing management.
No one form of organization dominates the marketing research function. Rather, the research activity is typically
organized to reflect the specific firm's unique needs. Two factors that bear heavily on this organization are the firm's size and
the degree of centralization of its operations.
Job opportunities in marketing research are good and are getting better. There is a great deal of variety in the positions
available and in the skills needed for them. Most positions require analytical, communication, and human relations skills.
Marketing researchers must be comfortable working with numbers and statistical techniques and must be familiar with a
great variety of marketing research methods and techniques.
Questions
1.
2.
3.
4.
5.
6.
7.
8.
What is marketing management's task? What is marketing research's task? What is the relation between the two tasks?
How is marketing research defined? What are the key elements of this definition?
Who does marketing research? What are the primary kinds of research done by each enterprise?
How would you explain the fact that production research began in the 1860s but that marketing research did not develop
formally until the 1910s and did not experience real growth until after World War II?
What factors influence the internal organization of the marketing research department and its reporting location within
the company?
In a large research department, who would be responsible for specifying the objective of a research project? For deciding
on specific procedures to be followed? For designing the questionnaire? For analyzing the results? For reporting the
results to top management?
What are the necessary skills for employment in a junior or entry-level marketing research position? Do the skills change
as one changes job levels? If so, what new skills are necessary at these higher levels?
How might your responsibilities vary if you conducted marketing research at the
following:
•
•
•
•
a marketing research firm
an ad agency
a large consumer packaged goods manufacturer
an Internet startup company
Applications and Problems
1.
2.
3.
Discuss whether or not marketing research would be valuable for the organizations that follow. If you believe that
marketing research would be valuable, describe in detail how it would be used to aid in decision making.
a. A bank
b. A multinational oil company
c. A retail shoe store with only one outlet
d. A Mercedes dealership in Lafayette, Louisiana
e. A candidate for the U.S. Congress, representing a district in Chicago
f. The Los Angeles Lakers
g. A distributor of large-screen televisions, operating in Mexico City
h. The English Department at your university
i. A wheat farmer in Nebraska with 850 acres
What do the two following research situations have in common?
Situation I: The SprayIt Company marketed a successful insect repellent. The product was effective and a leader in the
market. The product was available in blue aerosol cans with red caps. The instructions were clearly specified on the
container in addition to a warning to keep the product away from children. Most of the company's range of products
were also produced by competitors in similar containers. The chief executive officer (CEO) was worried because of
declining sales and shrinking profit margins. Another issue that perturbed him was that companies such as his were
being severely criticized by government and consumer groups for their use of aerosol cans. The CEO contacted the
company's advertising agency and asked it to do the necessary research to find out what was happening.
Situation II: This past April, the directors of a nearby university were considering expanding the business school because
of increasing enrollment during the past 10 years. Their plans included constructing a new wing, hiring five new faculty
members, and increasing the number of scholarships from 100 to 120. The funding for this ambitious project was to be
provided by private sources, internally generated funds, and the state and federal governments. A previous research
study completed five years earlier, using a sophisticated forecasting method, indicated that student enrollment would
have peaked last year. Another study, conducted three years ago, indicated that universities could expect gradual
declining enrollments during the next 10 years. The directors were concerned about the results of the later study and the
talk it stimulated about budget cuts by the state and federal governments. A decision to conduct a third and final study
was made to determine likely student enrollment.
What do the two following research situations have in common?
Situation I: The sales manager of CanAl, an aluminum can manufacturing company, was wondering whether the
company's new cans, which would be on the market in two months, should be priced higher than the traditional
4.
5.
products. He confidently commented to the vice president of marketing, "Nobody in the market is selling aluminum cans
with screw-on tops; we can get a small portion of the market and yet make substantial profits." The product manager
disagreed with this strategy. In fact, she was opposed to marketing these new cans. The cans might present problems in
preserving the contents. She thought, "Aluminum cans are recycled, so nobody is going to keep them as containers."
There was little she could do formally because these cans were the president's own idea. She strongly recommended to
the vice president that the cans should be priced in line with the other products. The vice president thought a marketing
research study would resolve this issue.
Situation II: A large toy manufacturer was in the process of developing a tool kit for children from 5 to 10 years old. The
tool kit included a small saw, screwdriver, hammer, chisel, and drill. This tool kit was different from the competitors', as
it included an instruction manual, "101 Things to Do." The product manager was concerned about the safety of the kit
and recommended the inclusion of a separate booklet for parents. The sales manager recommended that the tool kit be
made available in a small case, as this would increase its marketability. The advertising manager recommended a special
promotional campaign be launched to distinguish this tool kit from that of the competitors. The vice president thought
that all the recommendations were worthwhile but the costs would increase drastically. She consulted the marketing
research manager, who further recommended that a study be conducted.
Evaluate the research in the following example:
The HiFlyer Airline company was interested in altering the interior layout of its aircraft to suit the tastes and needs
of an increasing segment of its market—business people. Management was considering reducing the number of seats and
installing small tables to enable business people to work during long flights. Prior to the renovation, management
decided to do some research to ensure that these changes would suit the needs of the passengers. To keep expenses to a
minimum, the following strategy was employed:
The questionnaires were completed by passengers during a flight. Because they were easy to administer and collect,
the questionnaires were distributed only on the short flights (those less than one hour). The study was conducted during
the second and third weeks of December, because that was when flights were full. To increase the response rate, each
flight attendant was responsible for a certain number of questionnaires. The management thought this was a good time
to acquire as much information as possible, so the questionnaire included issues apart from the new seating
arrangement. As a result, the questionnaire took 20 minutes to complete. After the study, management decided that the
study would not be repeated, because the information was insightful enough.
Specify some useful sources of marketing research information for the following situation:
Dissatisfied with the availability of ingredients for his favorite dishes, Albert Lai would like to open his own retail
ethnic grocery store. Based on the difficulty of finding many specialty ingredients, Albert realizes the need for a local
wholesale distributor specializing in hard-to-find ethnic foodstuffs. He envisions carrying items commonly used in Asian
and Middle-Eastern recipes.
With the help of a local accountant, Albert prepared a financial proposal that revealed the need for $150,000 in startup capital for Lai's Asian Foods. The proposal was presented to a local bank for review by its commercial loan
committee, and Albert subsequently received the following letter from the bank:
Dear Mr. Lai:
We have received and considered your request for start-up financing for your proposed business. While the basic
idea is sound, we find that your sales projections are based solely on your own experience and do not include any
hard documentation concerning the market potential for the products you propose to carry. Until such information is
made available for our consideration, we have no choice but to reject your loan application.
6.
Albert does not wish to give up on his business idea because he truly believes that there is a market for these ethnic
food products. Given his extremely limited financial resources, where and how might he obtain the needed information?
(Hint: First determine what types of information might be useful.)
Suppose that you have decided to pursue a career in the field of marketing research. In general, what types of courses
should you take in order to help achieve your goal? Why? What types of part-time jobs, internships, and volunteer work
would look good on your resume? Why?
Thorndike Sports Equipment Video Case
1.
If you were interviewing for a position as a research analyst with Thorndike Sports Equipment, what company research
would you do to prepare for the meeting with Thorndike's president?
Would Joyce Hernandez's position be described as marketing research? Explain.
Imagine that Luke, the president of Thorndike Sports, is boasting to you that the company is customer-driven because of
the existence of an 800 telephone number. How would you respond to this statement?
What changes to the customer service department are necessary to make it an integral part of the research department?
2.
3.
4.
Endnotes
1Do
not worry if some of the terms and data collection methods mentioned in the examples are unfamiliar, as they are described later in the
book. The intent in the examples is simply to provide some flavor of the types of problems that marketing research is used to address and
some of the approaches that are used.
2Kenneth
Labich, "Attention Shoppers: This Man Is Watching You," Fortune (July 19, 1999), pp. 131–134.
3"Innovation
Miniseries," Industry Week (July 19, 1999), p. 38.
4Jennifer
5Bob
Lach, "How Sweet It Is," American Demographics (March 2000), pp. s4–s21.
Donath, "It's Time for You to Be a 'Mystery Inquirer,'" Marketing News (January 17, 2000), p. 6.
6Del
Jones, "Mobil Speedpass Makes Gas a Point-at-Pump Purchase," USA Today (February 20, 1997), p. B1.
7James
Heckman, "Turning the Focus Online," Marketing News (February 28, 2000), pp. 15–16.
8Calmetta
Y. Coleman, "Finally, Supermarkets Find Ways to Increase Their Profit Margins," The Wall Street Journal (May 29, 1997), pp. A1, A6.
C. Kinnear and Ann R. Root, 1994 Survey of Marketing Research (Chicago: American Marketing Association, 1995). This survey is the
ninth in a series begun in 1947.
10Michelle Wirth Fellman, "Marketing Research Is 'Critical,'" Marketing Research 11 (Fall 1999), pp. 4–5.
11Doss Struse, "Marketing Research's Top 25 Influences," Marketing Research 11 (Spring 2000), pp. 5–9.
9Thomas
12From
Lawrence C. Lockley, “History and Development of Marketing Research,” in Robert Ferber, ed., Handbook of Marketing Research, pp. 1–4.
Copyright © 1974 by McGraw-Hill, 1974. Used with permission of McGraw-Hill Book Company.
13The
Curtis Publishing Company is generally conceded to have formed the first formal marketing research department with the
appointment of Charles Parlin as manager of the Commercial Research Division of the Advertising Department in 1911. The ACNielsen
Company, the largest marketing research firm in the world, began operation in 1934. For a detailed treatment of the development of
marketing research, see Robert Bartels, The Development of Marketing Thought (Homewood, IL: Irwin, 1962), pp. 106–124, or Jack J. Honomichl,
Marketing Research People: Their Behind-the-Scenes Stories (Chicago: Crain Books, 1984), especially pp. 95–184.
14Some government publications containing useful marketing information are reviewed in the appendix to Chapter 6.
18William D. Neal, "The Marketing Research Methodologist: Demand Is Outstripping Our Supply of These Specialists," Marketing Research 10
(Spring 1998), pp. 21–25.
19Robert F. Lusch and Matthew O'Brien, "Fostering Professionalism," Marketing Research 9 (Spring 1997), pp. 25–31; Thomas E. Boyt, Robert F.
Lusch, and Drue K. Schuler, "Fostering Esprit de Corps in Marketing," Marketing Management 6 (Spring 1997), pp. 21–27.
FIGURE 1.1
The Task of Marketing Management
Source: Gilbert A. Churchill, Jr. and J. Paul Peter, Marketing: Creating Value for Customers, 2nd ed. (Burr Ridge, IL: Irwin/McGraw Hill, 1998), p. 22.
FIGURE 1.2
THE ENVIRONMENTS AFFECTING MARKETING
Source: Gilbert A. Churchill, Jr. and J. Paul Peter, Marketing: Creating Value for Customers, 2nd ed. (Burr Ridge, IL: Irwin/McGraw-Hill, 1998), p. 29.
FIGURE 1.3
Organization for Marketing Research
*Excludes marketing research and consulting firms.
Source: Thomas C. Kinnear and Ann R. Root, 1994 Survey of Marketing Research, p. 7. Reprinted with permission from American Marketing Association, Chicago,
IL 60606.
TABLE 1.1Research Activities of 587 Companies
A. Business/Economic and Corporate Research
% Engaged in Activity
A. Business/Economic and Corporate Research
1. Industry/market characteristics and trends
2. Acquisition/diversification studies
3. Market share analyses
4. Internal employee studies (morale, communications, and so on)
B. Pricing
1. Cost analysis
2. Profit analysis
3. Price elasticity
4. Demand analysis
a. market potential
b. sales potential
c. sales forecasts
5. Competitive pricing analyses
92%
50
85
72
57%
55
56
78
75
71
71
C. Product
1. Concept development and testing
2. Brand name generation and testing
3. Test market
4. Product testing of existing products
5. Packaging design studies
6. Competitive product studies
78%
55
55
63
48
54
D. Distribution
1. Plant/warehouse location studies
2. Channel performance studies
3. Channel coverage studies
4. Export and international studies
25%
39
31
32
E. Promotion
1. Motivation research
2. Media research
3. Copy research
4. Advertising effectiveness
a. prior to marketplace airing
b. during marketplace airing
5. Competitive advertising studies
6. Public image studies
7. Sales force compensation studies
8. Sales force quota studies
9. Sales force territory structure
10. Studies of premiums, coupons, deals, etc.
F. Buying Behavior
56%
70
68
67
66
43
65
34
28
32
47
1. Brand preference
2. Brand attitudes
3. Product satisfaction
4. Purchase behavior
5. Purchase intentions
6. Brand awareness
7. Segmentation studies
78%
76
87
80
79
80
84
Source: Thomas C. Kinnear and Ann R. Root, 1994 Survey of Marketing Research, 1995, p. 49. Reprinted with permission from American Marketing Association,
Chicago, IL 60606.
TABLE 1.2
Kinds of Questions Marketing Research Can Help Answer
A. Planning
1. Segmentation: What kinds of people buy our products? Where do they live? How much do they earn? How many of them are
there?
2. Demand estimation: Are the markets for our products increasing or decreasing? Are there promising markets that we have not yet
reached?
3. Environmental assessment: Are the channels of distribution for our products changing? What should our presence on the Internet
be?
B. Problem Solving
1. Product
a. In testing new products and product-line extensions, which product design is likely to be the most successful? What features do
consumers value most?
b. What kind of packaging should we use?
c. What are the forecasts for the product? How might we re-energize its life cycle?
2. Price
a. What price should we charge for our products?
b. How sensitive to price changes are our target segments?
c. Given the life-time value assessments of our segments, should we be discounting or charging a premium to our most-valued
customers?
d. As production costs decline, should we lower our prices or try to develop higher quality products?
e. Do consumers use price as a cue to value, or a cue to quality, in our industry?
3. Place
a. Where, and by whom, are our products being sold? Where, and by whom, should our products be sold?
b. What kinds of incentives should we offer the trade to push our products?
c. Are our relationships with our suppliers and distributors satisfactory and cooperative?
4. Promotion
a. How much should we spend on promotion? How should it be allocated to products and to geographic areas?
b. Which ad copy should we run in our markets? With what frequency and media expenditures?
c. What combination of media—newspapers, radio, television, magazines, Internet ad banners—should we use?
d. What is our consumer coupon redemption rate?
C. Control
1. What is our market share overall? In each geographic area? By each customer type?
2. Are customers satisfied with our products? How is our record for service? Are there many returns? Do levels of customer
satisfaction vary with market? With segment?
3. Are our employees satisfied? Do they feel well-trained and empowered to assist our customers?
4. How does the public perceive our company? What is our reputation with the trade?
TABLE 1.3
Marketing Research Questions about International Markets
What is the nature of competition in the international market? Who are the major direct and indirect competitors? What are their
characteristics?
What are our firm's competitive strengths and weaknesses in reference to such factors as product quality, product lines, warranties,
services, brands, packaging, distribution, sales force, customer service, advertising, prices, experience, technology, capital and
human resources, and market share?
What are the trade incentives and barriers in the country under consideration? What specific requirements (for example, import or
export licenses) must be met to conduct international trade?
Are we likely to encounter any prejudice against imports or exports among the country's customers? Its government?
What are different governments doing specifically to encourage or discourage international trade? How difficult are the
government regulations for our firm?
How well-developed are the international mass communication media? Are the print and electronics media abroad efficient
and effective?
Are there adequate transportation and storage or warehouse facilities in the foreign market? What is the state of the retailing
institutions?
See also Philip R. Cateora, International Marketing, 9th ed. (Burr Ridge, IL: Irwin, 1996); Johny K. Johansson, Global Marketing: Foreign Entry, Local Marketing, and
Global Management (Burr Ridge, IL: Irwin, 1997), pp. 272–304, for discussion of the insights to be gained from and the problems involved in researching foreign
markets.
TABLE 1.4
Factors Helping to Expand the Scope and Importance of Marketing Research
Management Recognizes the Importance of Marketing Research
1. There is a greater desire for knowledge-based decisions; managers are seeking to rely on empirically based knowledge for all
management decisions.
2. Marketing researchers and management are partnering more closely; increasingly, research professionals are bringing their
methodological expertise to dialog with business knowledge of management.
3. Marketing research is being designed more and more as an integral part of a knowledge center to address specific management
needs, which allows improvement of decision making and the analysis of "what-if" scenarios.
Continuity in the Need for Information
1. There is an ongoing use of data; marketing research is expanding beyond single-event projects, implemented more as an ongoing
process of knowledge acquisition.
2. Continuous evaluation and experimentation allow for adaptive experimentation and continuous improvement in decision making
in changing business environments; even the marketing research is being regularly reviewed.
Technology
1. Databases are being developed on customers and prospects, and the databases are being augmented with user-friendly decision
support systems.
2. Internet-based research can be used in creative research designs; at the least it can be fast and economical.
Globalization
Where appropriate, data are being collected from multiple countries for comparisons.
Adapted from Jerry Wind, "Start Your Engines: Gear Up for Challenges Ahead with Innovative Marketing Research Products and Services," Marketing Research 9
(Winter 1997), pp. 4–10.
RESEARCH REALITIES 1.1
International Steps and Missteps Caused by Environmental Differences
Misstep Dutch building company Fomabo formed a strategic alliance with two Malaysian companies to build prefabricated
housing in Malaysia. Following numerous bureaucratic delays in obtaining the proper licenses from regional authorities, the
first group of houses was finally built. However, sales proved discouraging and the reasons were soon uncovered. The walls
of the Fomabo houses were made of reinforced concrete, just like those in the Netherlands. Traditional Malaysian houses are
made of wood, a feature that permits Malaysians to hang pictures and other objects on their walls. Hammering nails into
concrete walls requires boring tools, an inconvenience that contributed to the general "feeling" of the new homes as less
comfortable than traditional housing.
Step Domino's Pizza tried to enter the Japanese market even though Japanese consumers tend not to eat a lot of tomato-based
foods, many have allergies to dairy products, and complex navigation is required to deliver pizza through the streets of
Tokyo. Domino's should have conducted marketing research before attempting to enter Japan, but, better late than never,
upon entering the marketing, they conducted some research and listened to their new customers. In reaction to the new
consumer information, Domino's introduced sushi pizza toppings and created a street address database for their delivery
scooters. What could have been another corporate export disaster tale was turned around to a highly successful overseas
venture—by using marketing research.
Misstep Coca-Cola had little success in marketing a product in Chile. When the company attempted to introduce a new
grape-flavored drink, it soon discovered that the Chileans were not interested. Apparently, the Chileans prefer wine as their
grape drink.
Step Increasingly, U.S.-based corporations are importing back to the U.S. the variations of cultural tastes and style they had
accommodated in their successful exports. For example, HΣagen-Dazs's caramel-milk ice cream, "dulce de leche," developed in
Argentina, is a best-seller in many markets in the States. Nike's Brazilian soccer "boot," or its Kenyan running "mitten" (a shoe
with a separate space for the big toe), and Levi's dark, stiff denim products favored in Japan have had successful sales in the
U.S. following their international distribution. Marketing research on customer diversity and immigration have also
supported the successful introduction of salsa, Thai food, and soccer-related products to U.S. market segments.
Misstep Chase and Sanborn met resistance when it tried to introduce its instant coffee in France. In the French home, the
consumption of coffee plays a more significant role than in the English home. The preparation of coffee is a ritual in the life of
the French consumer, and instant coffee is rejected because it is not "real" coffee.
Sources: David A Ricks, Blunders in International Business (Cambridge, MA: Blackwell, 1993), pp. 133–136; Tevfik Dalgic and Ruud Heijblom, "Educator Insights:
International Marketing Blunders Revisited—Some Lessons for Managers," Journal of International Marketing 4, no. 1 (1996), pp. 81–91; Vijay Mahajan and Jerry
Wind, "Rx for Marketing Research," Marketing Research 11, no. 3 (1999), pp. 7–13; David Leonhardt, "It Was a Hit in Buenos Aires—So Why Not Boise?" Business
Week (September 7, 1998), pp. 56–58.
RESEARCH REALITIES 1.2
The Top 20 U.S. Research Organizations
Source: Developed from the information in Jack Honomichl, "2000 Business Report on the Marketing Research Industry," Marketing News (August 14, 2000), p. H4.
This report also describes the services provided by these research organizations.
RESEARCH REALITIES 1.3
Marketing Research, E-Commerce, and the Internet
Electronic marketing research takes one of two forms:
1.
Research on the Internet: These studies use the Internet or other high-tech means to study any consumer or market
behavior. The Internet becomes another modality for communicating with customers, like paper-pencil surveys,
telephone interviews, and so on.
2.
Research about the Internet: These studies focus on e-commerce or consumer and market behavior on the Internet as an
end in itself. They often also use the Internet as a means of collecting data, for example, through e-mail contacts, Webbased surveys, or surreptitious observation and measurement of Web page visitations.
Electronic marketing research companies come in one of two forms:
1.
Full-service established marketing research firms are extending their menu of services to include the Internet as another
means of gathering information to enable their clients to answer questions about various consumer behavior. Most are
also turning their attention to the Internet as an end to be studied—another class of customer behaviors to be understood.
For example:
A. ACNielsen: best known for media and retail measurement, formed a subsidiary, eRatings.com, as a global service to
track audiences, advertising, and user activity on the Internet. Currently in five countries, with a three-year plan to
extend to thirty, this group measures traffic to Web sites, audience exposure and response to banner advertising, and
user demographics. ACNielsen also uses the medium in its e-Panel services, an electronic variant of its traditional
ongoing consumer panels, which are used to assess reaction to new product concepts and movie trailers (previews), for
example.
B. The NPD Group: traditionally strong in consumer diaries, conducts both research about the Internet (for example,
audience measurement, chats with Web site visitors, competitor site analysis, online purchase tracking, quick polls,
and so on) and research for which the Internet is the means for studying other consumer behaviors (for example,
online focus groups, mystery shoppers, and general surveys). SiteSelect is an NPD tool that randomly samples Web
users to invite them to participate in a survey. The ongoing NPD Online Panel will occasionally be contacted via e-mail
that an online NPD survey awaits them. NPD Online Focus Groups gather international participants in virtual rooms
for speedy qualitative consumer insights.
C. Information Resources Inc.: the powerhouse of consumer packaged goods data, combined with Media Metrix Inc.
(described below) in e-SCAN, to let clients (for example, manufacturers of consumer packaged goods) measure the
value of their online marketing investments. Clients can track known users of their brands to see which Web sites
interest them, and in turn follow the Web site visitation data with subsequent purchase data (on- or offline). Software
is installed on the PCs of IRI's panel members who already use a ScanKey to record all their take-home purchases. The
two sources of data are integrated to allow the Internet activities (sites visited, exposures to ads, surfing frequencies,
and patterns) to be correlated with purchase data (volume, purchase cycles, promotional effectiveness, brand loyalty).
2.
Internet specialists are newly formed or spun-off marketing research firms that concentrate their research efforts on the
Internet and e-commerce. These firms use the Internet both as a means (research "on" the Internet) and as an end (research
"about" the Internet) to studying customers and marketing. Examples follow:
A. Media Metrix Inc. is the pioneer and leader in the field of Internet and other digital media measurement services. A
panel of more than 50,000 individuals in homes and in the workplace is measured on which computer applications are
open and which are in use, which Web pages are viewed on their browsers, which ads drew clicks, and so on. Results
on frequencies of unique visitors can be reported per Internet or media industry, or per consumer usage segment.
B. i-tracks specializes in Web-based surveys. Computer-assisted interviews allow clients to formulate quantitative
surveys (such as rating scales) and qualitative surveys (such as open-ended questions), which can be speeded up and
tailored for the survey-taker by programming skip patterns (for example, if yes, go to question 3; if no, go to question
4). Images, audio, and video can be presented. Surveys can be addressed to customers or employees for in-house
assessments.
C. eMarketer provides statistics and demographic data about Internet users, their usage patterns, advertising, electronic
commerce and market size, growth, and geography. They offer well-designed reports on measured Internet activities
and provide online weekly newsletters for business professionals.
D. Jupiter Communications is a research, consulting, and publishing firm that focuses on consumer online behaviors and
interactive technologies for business-to-business and business-to-consumer clients. They offer several analytical
services, including using population measures and user demographics for both online and offline consumers to
enhance market-size forecasts.
RESEARCH REALITIES 1.4
Marketing Research Job Titles and Responsibilities
1.
Directors and Managers
A. Research Director/Vice-President of Marketing Research: This is the senior position in research. The director is
responsible for the entire research program in the company. Accepts assignments from superiors, from clients, or may,
on own initiative, develop and propose research undertakings to company executives. Employs personnel and
executes general supervision of research department. Presents research findings to clients or to company executives.
B. Assistant Director of Research: This position usually represents a defined "second in command," a senior staff
member having responsibilities above those of other staff members.
2.
Analytically Skilled Methodologists
A. Statistician/Data Processing Specialist: Duties are usually those of an expert consultant on theory and application of
statistical technique to specific research problems. Usually responsible for experimental design and data processing.
B. Qualitative Specialist: Some firms have a person specifically assigned to oversee interview techniques and focus
groups.
3.
Analysts
A. Senior Analyst: Usually found in larger research departments. Participates in planning research projects and directs
execution of projects assigned. Operates with minimum supervision. Prepares or works with analysts in preparing
questionnaires. Selects research techniques, makes analyses, and writes final report. Budgetary control over projects
and primary responsibility for meeting time schedules rests with the senior analyst.
B. Analyst: The analyst usually handles the bulk of the work required for execution of research projects. Often works
under senior analyst's supervision. The analyst assists in questionnaire preparation, pretests them, and makes
preliminary analyses of results. Most library research or work with company data is handled by the analyst.
C. Junior Analyst: Working under rather close supervision, junior analysts handle routine assignments, for example,
editing and coding of questionnaires, statistical calculations above the clerical level, and simpler forms of library
research. A large portion of the junior analyst's time is spent on tasks assigned by superiors.
4.
Data Collection
A. Field Work Director: Usually only larger departments have a field work director, who hires, trains, and supervises
field interviewers.
B. Full-Time Interviewer: The interviewer conducts personal interviews and works under direct supervision of the field
work director. Many companies outsource this function.
5.
Support Staff
A. Tabulating and Clerical Help: The routine, day-to-day work of the department is performed by these individuals.
B. Clerical Supervisor: In larger departments, the central handling and processing of statistical data are the
responsibilities of one or more clerical supervisors. Duties include work scheduling and responsibility for accuracy.
C. Librarian: The librarian builds and maintains a library of reference sources adequate to the needs of the research
department.
Source: Thomas C. Kinnear and Ann R. Root, 1994 Survey of Marketing Research, 1995, p. 93. Reprinted with permission from American Marketing Association,
Chicago, IL 60606.
RESEARCH REALITIES 1.5
A Sampling of Marketing Research Job Advertisements
1.
Blockbuster Inc.: Rapid store growth, the launching of new business units, and a passion to understand our consumers
has created several exciting opportunities in our worldwide headquarters.
A. Manager of E-Commerce Marketing Research: Put your marketing research skills to work in the exciting world of online
retailing. Be on the ground floor with the opportunity to design and manage the research function for blockbuster.com.
Candidates for this position must have strong research skills, a creative outlook, and insatiable desire to understand
the consumer.
B. Manager of Database Analysis: Use your database analytical skills in this newly created position to provide valuable
information about Blockbuster's different market tests and the home entertainment preferences of our consumers. Ideal
candidates should have a strong working knowledge of database design, maintenance, and analysis. 51 years
experience is desired.
C. Sr. Marketing Research Analyst: Your advertising sales or media research background is desired for this position. You
are responsible for quantitative, qualitative, and secondary marketing research to support new business opportunities
and advertising sales. 21 years marketing research experience is desired.
D. Marketing Research Analyst: Use your strong quantitative skills to complete important analyses of our different home
entertainment offerings. In this position you will be responsible for preparing/presenting written analytical
reports/summaries of findings. Knowledge of statistical software is desired.
2.
Washington Post: In search of an experienced Research Manager with excellent research, communication, and people
skills. The ideal candidate should have credentials in research analysis, project coordination and facilitation, and
presentation writing. Three to five years of management and quantitative and qualitative research experience is strongly
preferred. An understanding of statistical/analytical research tools is important to success in this position. The person in
this position will act as consultant, mentor, and facilitator for three presentation writers and will assume quantitative
and/or qualitative projects on his or her own. The Research Manager will assist the Research Department in
communicating research more fully and completely to advertising sales, agencies, advertisers, News, Circulation, and
other inside and outside audiences.
3.
The Gallup Organization: Do you have a career commitment to cutting-edge, data-based Fortune 500 consulting? The
Gallup Organization hires consultants to work with executives, implementing data-based management and client
systems. Our work includes employee selection and development; and attitude, customer, and brand research. Offices in
San Francisco; Toronto; Irvine, California; Miami; New York; and Detroit.
4.
NFO Research Inc.: Insight is what NFO Research Inc. delivers. An NFO Worldwide company, we are an exciting,
growing marketing information company and the world's leading provider of insight into the opinions, attitudes, and
needs of consumers.
A. Marketing Project Director: We'll rely on your expert communication ability and analytical problem-solving skills to
coordinate and monitor all phases of marketing projects with Account Executives and our Marketing Manager.
B. Research Analyst: Responsible for providing support to the Analytical Service Manager, you'll prepare data, assist with
report writing, develop charts and graphs, and so on.
C. Assistant Analyst: You'll provide support, including data preparation and charting, to a Research Analyst and the
Analytical Service Manager. We'll rely on you to develop charts and graphs based on guidelines, format reports and
presentations using templates, and maintain an analytical project schedule.
5.
ACNielsen
A. Positions in Systems: Senior Technical Analyst, Software Engineer and Senior Software Engineer, Project Manager and
Senior Project Manager, Software Quality Assurance Analyst, Senior Business Analyst.
B. Positions in Operations: Senior Software Engineer, Data Network Specialist, Manager of Contracts, Senior Statistical
Analyst.
C. Positions in Finance: Pricing Manager.
Excerpts taken from Marketing News (March 27, 2000), p. 22; (July 5, 1999), p. 16; (April 10, 2000), p. 23; acnielsen.com.