Download Managing market information to gain customer insights

Managing
market
information to
gain customer
insights
 Customer
insights:
fresh understandings of customers and the
marketplace derived from marketing information that
become the basis for creating customer value and
relationship.
 Marketing
information system:
people and procedures for assessing
information needs, developing the needed
information, and helping decision makers to use the
information to generate and validate actionable
customer and market insight.

Developing Marketing information:
Internal Database:
electronic collections of consumer and
market information obtained from data sources
within the company network.
Marketing Intelligence:
the systematic collection and analysis
of publicly available information about
consumers, competition, and developments in
the marketing environment.
 Marketing
Research:
the systematic design, collection,
analysis, and reporting of data relevant to a
specific marketing situation facing an
organization.

Defining the problem and research Objectives:
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Marketing managers and researchers must work closely together to define
the problem and agree on research objectives.
A marketing research project might have one of three types of objectives.
 Exploratory research:
marketing research to gather preliminary information that will help define
problems and suggest hypotheses. (case studies, expert interviews and
literature search)

Descriptive research:
marketing research to better describe marketing problems, situation or
markets, such as the market potential for a product or the demographics and
attitudes of consumers. (market potential, market share, pricing research,
distribution research)

Causal research:
marketing research to test hypotheses about cause-andeffect relationship.
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Defining the research plan:
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once the research problems and objectives have been defined,
researchers must determine the exact information needed, develop
a plan to gather it and present the plan to management.
This plan tells about the sources of existing data, determine the
specific research approaches, contact methods, sampling plan, and
instruments that will use to gather new data.
The research plan should be presented in a written proposal.
To meet the information needs we can get secondary data, primary
data, or both.
 Secondary data:
information that already exists some where, having been collected
for another purpose.

Primary data:
information collected for the specific purpose at hand.

Gathering Secondary Data:
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Company’s internal database can provide secondary data.
Companies can buy secondary data reports from outside
suppliers like AC Nielsen.
They can get data by commercial data base
(computerized collection of information available from
online commercial sources or via the internet) like dialog,
proQuest.
the search engines can also be used to gather data.
Primary Data Collection:
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the researchers must carefully gather the primary data.
They need to make sure that it will be relevant, accurate,
current and unbiased.
To design a plan for primary data collection we consider
following steps.
Research Approaches:
following research approaches are used to
collect primary data.
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Observational Research:
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gathering primary data by observing relevant people,
actions and situations.
Observational research can obtain information that
people are unwilling or unable to provide.
Observation can be a difficult tool to interpret as we can
not observe some ones feelings and attitudes.
Many companies now use Ethnographic research (a form
of observational research that involves sending trained
observers to watch and interact with consumers in their ‘
natural habitat’.
Survey Research:
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It is the most widely used method.
This approach is used to gathering primary data by
asking people questions about their knowledge,
attitudes, preferences, and buying behavior.
Experimental Research:
gathering primary data by selecting matched groups of
subjects, giving them different treatments, controlling
related factors, and checking for differences in group
responses.

Contact Methods:
Information can be collected through following
mediums
 Mail:
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mail questionnaires can be a cost effective way of
gathering large amount of information.
This interview is not flexible
The mail survey take longer to complete and the
response rate is often very low.
Researchers have little control over the sample, as
they are not fully confident that who will be
responding to this email.
It can not be a good tool to gather information in
some countries because of the low literacy rate.
 Telephone
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Is the best method to gather information quickly.
This interview is flexible.
Interviewers can explain difficult questions, and
depending on the response they can even skip
some questions.
Response rate of telephonic interview is high
then mail.
The cost in this case is high and some times a
respondent may not feel comfortable to discuss
personal questions.
 Personal

Interview:
Interviews:
Personal interviews are of two types,

Individual interview
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Individual interview:
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Individual interviewing involves talking with people
in their homes or offices, on the street, or in
shopping malls.
Such interview is flexible.
trained interviewers can guide interviews, explain
difficult questions, and explore issues such as
situation required.
This is a costly method of gathering data.
Focus Group interviews:
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Six to 10 people are invited to meet with a trained
moderator to talk about a product.
It is a source of easily available educated interview
in a low cost.
The moderator encourage free and easy discussion,
 Online
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Marketing Research:
Collecting primary data online through internet
surveys, online focus groups, web-based
experiments, or tracking consumers’ online
behavior.
 Sampling
Plan:
 Sample:
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a segment of the population
selected for marketing research to represent
the population as a whole.
While determining sample we firstly
determine that who is to be surveyed?
Secondly we decide that how many people
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Probability sample:
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Simple random sample: (every member have a equal
chance to be a sample)
Stratified random sample: (population is divided into
exclusive groups such as age group, and random
samples are drawn from each group)
Cluster sample: (a whole group is used as a sample in
cluster sampling)
Non probability Sample:
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Convenience sample: (the researcher select the easiest
population member)
Judgment sample: (the researcher uses his or her
judgment to select population member)
Quota Sample: (the researcher finds and interviews a
prescribed number of people in each of several
categories)
 Research
Instrument:
in collecting primary data marketing researchers
have a choice of two main research instruments.
 Questionnaires:
 The most common instrument of research.
 There are different ways to ask questions in a
questionnaire.
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Close-ended-questions: it includes all the possible
answers.
Open-ended-questions: allow respondents to answer
and can help to explore.
Mechanical Instruments:
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The use of mechanical devices to know about the
people response.
 Implementing
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here the marketing research plan now put into
action.
This involves collecting, processing and
analyzing the information.
Here researchers must take a great care that all
the plan has implemented carefully.
 Interpreting
findings:

the research plan:
and reporting the
The market researcher after implementation
researcher must now interpret the findings, draw
conclusions, and report them to management.