Perceptual mapping with product differentiation

Perceptual Mapping with Product Differentiation & Repositioning
Chapter 9- Market Research (limited)
When is marketing research most likely to be used?
 Defined as:
 “the planning, collecting, and analyzing data relevant to marketing decisions by using
the scientific method.”
 Diagnostic (explaining data), predictive (address “what if?” questions) , and descriptive
(gathering and presenting factual info) roles
 Keep isolated marketing managers in touch with markets.
 What’s hot? What’s not?
 IoT (Internet of Things- everyday devices connecting wirelessly to a network to improve their
functionality); ownership!
 DSS: Interactive, flexible, discovery-oriented & accessible
 Create customer profiles via database marketing/analytics/
 Cognitive analytics; AI

Types of data collected (primary/secondary) and their pros/cons. Types of marketing research
(experiment, net/ethnography, in depth interview, focus group): pro and cons
Primary Data
If primary data, have to collect data yourself
 Questioning: survey (Scales)
 Set of questions to collect information directly from subjects (open or
closed ended, scaled=1-10)
 Self administer or in person (at events, malls)
 Problem: low response rates :10% is good
 Problem (from low response): representative
 Online surveys
 Advantages: Relatively easy to administer
 Can be developed in less time (compared to other
data-collection methods)
 Cost-effective, but cost depends on survey mode
 Can be administered remotely via online, mobile devices, mail,
email, kiosk, or telephone.
(zoomerang.com.surveymonkey.com)
How to gather data: novel methods
 Depth interviews
 Observing “you can observe a lot, just be looking”
 Advantage: natural inquiry (kids), and gather information without influencing
customers.
 Disadvantages: In-depth interviews are quite time consuming, as interviews must be
transcribed, organized, analyzed and reported.
 If the interviewer is not highly skilled and experienced, the entire process can
be undermined.
 The process can be relatively costly compared to other methods (however,
telephone in-depth interviews vs. in-person can significantly reduce the costs).
 Participants must carefully chosen to avoid bias, and this can result in a longer
vetting process.
 Participants typically expect an incentive to participate, and this must be
carefully selected to avoid bias.
 “Mystery shoppers” (what are examples??)
 Scanner data: collect buying information (unlimited use)
 Netnography/ethnography: human behavior in its natural context; involves observing
behavior and physical setting
Disadvantages: time-consuming
– requires sustained effort and engagement
– personal safety of the researcher in peril
Advantages: first hand data
– unavoidable subjectivity
– covert research – issues related to social identities, which leads to prejudice
– data which cannot be generalised

 Online/focus groups/

Advantages: they are useful to obtain detailed information about personal and group feelings,
perceptions and opinions
o
they can save time and money compared to individual interviews
o
they can provide a broader range of information
o