Professional Documents
Culture Documents
STRATEGY - MIR - DEC 11 - Unlvrs
STRATEGY - MIR - DEC 11 - Unlvrs
MARKETING
INFORMATION AND
RESEARCH
2011 December
Task 1 - 2521
Task 2 - 1050
Task 3 - 1641
APPENDIX 01
Company Background
Type of business
Fast moving consumer goods (FMCG) company with local manufacturing facilities, reporting to
the regional business groups for innovation and business results.
Operations
Mainly personal care, home care and food.
FOOD
BRANDS
HOME
CARE
BRANDS
PERSONAL
CARE
BRANDS
At Unilevers the customer profile carries out a consumer Insight which is a research tool that
enhances the company’s customer information by matching their customer database to the
demographics, niche and lifestyle characteristics of households on the National Consumer
Database. The information obtained from the analysis enables the company to determine who
the best customers are so that company can then target the prospects more effectively and
successfully.
Nestles and Hemas being the main competitors of Unilevers are also currently playing a major
role in the Sri Lankan fast moving consumer goods market (FMCG).
UNILEVER
NESTLES
HEMAS CIM Membership No - 13863377
OTHER
Marketing Information and Research
RESEARCH
PROJECT “MARKDOWN”
Submitted To : Mr.L.Diazs
Marketing Manager
Prepared By : Ms.V.Perera
Research Executive
Date : 25/11/2011
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Marketing Information and Research
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Marketing Information and Research
1. Company Background
Unilever Sri Lanka was incorporated in 1938 with brands such as Sunlight, Lux and
Pears Rose.
Company mission is to add vitality to life. It meets everyday needs for nutrition; hygiene
and personal care with brands that help people look good, feel good and get more out of
life. The deep roots in local cultures and markets around the world give the company its
strong relationship with consumers and the foundation for its future growth. Unilever Sri
Lanka will bring the wealth of knowledge and international expertises to the service of
local consumers.
Unilever Sri Lanka provides employment to 1100 people directly and many thousands
more indirectly through its dedicated suppliers, distributors and service
providers. Currently operations are done in Home Care, Personal Care and Food
categories.
Food brands account for 20% of Unilever’s business in Sri Lanka. From creamy spreads
Astra, Flora and Marmite to refreshing teas such as Laojee, Lipton and Ceylonta,
Unilever Sri Lanka’s food brands will satisfy even the most discerning palates.With a 70
year manufacturing presence in Sri Lanka, Unilever locally manufactures 95% of all the
products it markets and remains committed to doing so into the foreseeable future for its
valuable customers and potential customers.
The growing demand for more vitality in life provides the company with a huge
opportunity for growth. The way Unilever work and the products they develop are
shaped by consumer trends, along with the need to provide better products for the value
consumers pay. In this case consumers are conscious about the pricing strategies used by
the company compared to other key competitors in the market place. If Unilever
provides a premium feeling to customers and potential customers from its products, the
likelihood of paying more for these products they purchase will grow higher. There fore
the attitudes and perceptions will be important to increase sales and market share for
future developments and sustainability of the company.
In order to examine the consumer perceptions and attitudes towards the reputation of
Unilever food & beverage category with regard to the existing product values a
research is being carried out.
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Marketing Objective
2. Research Objectives
2.1 Understanding the “ value for money’’ concept for Unilever products of existing and
potential customers.
• Analysis of the customer growth in respect of the food & beverage customer base for the
past 15 years.
• Evaluate the current market position of the products according to the premium feeling that
customers would get. ( Attractive and proper packaging, visual appeal).
• Evaluate the key reasons for repeat purchases.
• Effectiveness of offers, promotions and loyalty schemes as additional benefits to
customers.
2.2 Determining the pricing strategy used by Unilever with respect to the competitors.
• Evaluate to what extent the present pricing strategy of the company for food & beverage
category has been effective.
• Evaluate the price range of key competitors.
• Evaluate the current customer base and demand for the products.
• Analysis of competitor features.
2.3 Examining the willingness to obtain a better, satisfied and an efficient service at a
premium price.
• Evaluate the customer loyalty towards the brand regardless of the price they decide to
spend.
• Awareness on product quality, premium features on products better than its competitor
offerings.
• Evaluate the economic determinants such as cost, income, availability of the product.
• Key areas to be improved by the company.
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3. Research Methodology
The research process would initiate through the collection of various types of internal and external
secondary data regarding both Unilever and Unilever’s competitors, which will be analysed and
evaluated. Such data is readily available for easy access and also bears low cost. Gathering
secondary data is also less time consuming which will help to quickly provide the background for
the primary research.
“Secondary data is the Information that has previously been gathered for some purpose other
than the current research project. The data is available either free or at a cost and can be
delivered electronically by computer or in printed hard copy format”
“Secondary data is the Information that already exists somewhere, having been collected for
another purpose”
• Internal Sources
Unilever Press Releases To analyse the image given to the public by Unilever
• External Sources
Competitor Press Releases Analyze the image given to the public by competitors.
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As per the customers’ requirement it is essential that the attitude of Unilever’s management about
pricing strategies and methods used for products should be in the fair side for the food & beverage
category as it is under FMCG.
It may require in-depth understanding regarding customers’ perceptions and attitudes, feelings,
beliefs and etc which imply behavioral patterns. Therefore a qualitative research approach is
adopted under these circumstances.
Alan Wilson (2006, p105) defines qualitative research in the following manner : -
This research is conducted due to following reasons according to Alan Wilson (2006, p134)
For qualitative research the following methods will be used to collect data with regard to customer
perceptions on making pricing changes in the food & beverage category.
Focus groups
This is used because this is an exploratory form of research and also it is cheaper and faster than
depth interviews. This method will help to highlight the differences between different customer
groups and helps to identify a variety of attitudes.
In-Depth Interviews
Certain top customers who fall within the quota sample may be difficult to gather to one place to
conduct a focus group for reasons such as occupation, lifestyle etc. Therefore depth interviews
will be hosted.
Also depth interviews will provide strong benefits such as lengthy explanation of actual
perceptions on competitor and Unilever respondents will be less intimidated by social influence
unlike in focus groups and body language could be interpreted.
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However depth interviews will also be more time consuming and relatively a large amount of
depth interviews need to be hosted in order gather useful qualitative information which meet
research objectives.
Projective Techniques
These methods mainly involve in uprooting feelings, perceptions of respondents who may have
difficulty of expressing their exact response. Projective techniques will be used both during focus
groups and in-depth interviews.
• Word Association
Example: What immediately come to your mind when you hear the word ‘Hot or Cold
Beverages’?
Images of different FMCG brands will be shown to selected number of respondents. Respondents
will be selected from Unilever customer database. Through this method customers ‘attitudes and
opinions regarding different pricing activities of Unilever as well as other competitors will be
identified.
Limitations
Lack of actual physical evidence, small sample answers cannot be generalized, require special
skill in analysis etc.
This will help the research to identify customers’ attitudes and perceptions through customer
behaviour. The following methods will be used to observe the customer behaviour.
Online Observations
A remote observation will be carried out to capture information with regard to the research
objectives of Unilever’s research. Approximately 50 customers will be tracked via online. A
separate person will be in charge of this method. Some information which cannot be obtained
through other methods such as customer interest, attitudes and perceptions on Unilever’s current
pricing strategies can be identified through this.
Mystery Shopping
Mystery shopping will be used externally or internally by Unilever to measure the quality of
products in the market or compliance to regulation, or to gather specific information such as
product prices, quality, promotions, ideas, service levels etc. . Mystery shoppers perform specific
tasks such as purchasing a product, asking questions, registering complaints or behaving in a
certain way, and then provide detailed reports or feedback about their experience.
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4. Sampling
Practically a population will be too large to conduct a research. And it will take a long
time and also it is costly. Therefore it is important to do sampling with the relevant target
group.
In the process of identifying the customer attitudes towards Unilever’s pricing changes as the
sampling method non probable sampling will be used. This is used because of its low cost, speed
and also to target the important key customers of Unilever. To sample the customers in Unilever
the researcher will use quota sampling which is a method in non probability sampling.
• Quota Sampling
This method is mainly used because of its speed and cost as Wilson (2006, p186) stated. Also in
this method the researcher should not interview named individual which will be a great advantage
when carrying out the research. Basically Unilever’s customers in the local market (Sri Lanka)
will be taken into sample.
The sample will basically include households in upper middle class, middle class and lower
middle class and categorized according to their selection of brands when purchasing goods from
the consumer market.
Sampling Method
Unilever 2 2 4
Competitors 2 2 4
4 4 8
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10 In-Depth Interviews
FMCG Industry Female Male Total
Unilever 3 2 5
Competitors 3 2 5
6 4 10
5. Research Instrument
Discussion Guide
Discussion guide will start with the introduction which will include the objectives of the meeting,
explanation of the topics and the introduction of the participants. After that for about one hour the
related topics will be discussed with participants. After that their attitudes and perceptions on
Unilever product “Lipton’s pricing methodology will be identified at this stage. After the
discussion session the phase will be summarized and the focus group will be closed.
6. Data Analysis
The data collected from the above research instruments such as focus groups, in-depth interviews,
projective techniques will most likely hold the form of audio/ video tapes, transcripts etc.
Therefore several techniques will be used to analyze and understand what exactly customers’ and
potential customers’ perceptions of value in relation to Unilever product offerings, pricings etc are
regarding company activities.
• Spider Diagrams
The research issue is placed at the centre of a sheet of paper and the key themes that emerge
and relevant quotes and comments from the transcripts responses are placed around it.
• Tabulation
Name of respondent :
Occupation :
Time :
Attitude towards Unilever Attitude towards competitor
products current pricing products current pricing
• Annotation
Categorize respondents’ feedback using colored highlighters in order to organize the gathered
information in a meaningful manner.
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Marketing Information and Research
Post computerization of original transcripts use the ‘cut & paste’ function in order to maintain
accuracy.
Example: “I am a frequent user of Unilever brands because I find it............”
• Computerized Analysis
Some software applications can count the number of times a particular word or phrase appears
and recognize patterns and related concepts.
7. Reporting Structure
• Important, key views and ideas of customers about Unilever as a shining, well reputed
brand in Sri Lanka.
• A Power Point presentation will be made to a client panel with detailed explanation in
word.
• Major findings will be presented in form of mind maps, spider diagrams which give key
answers to what exact customer attitudes and views are on the subject matter.
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Marketing Information and Research
8. Time Frame
The time period required to complete the research would be identified by the actual date on which
Project “MARKDOWN” will be commenced.
WEEKS
ACTIVITY
1 2 3 4 5 6 7 8 9
1. Briefing the researchers about
the research
5. Observational research
6. Data analysis
7. Reporting
GANTT chart showing timetable for the progress of research project “MARKDOWN”
• This schedule is prepared based on the assumption that there will be no factors which
would negatively affect the process.
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Marketing Information and Research
9. Budget
Reporting 330,000.00
Miscellaneous 260,000.00
Total 1,620,000.00
• Total expense of the project will be Rs. 1,814,000.00 including VAT (12%)
• Invoice will be forwarded to the Marketing Manager of Unilever Food & Beverages.
• Out of the total cost 60% will be the commission and the balance 40% will be
charged after submitting the final report.
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Marketing Information and Research
References
• Wilson, A. (2006, p54) Marketing Research an Integrated Approach. 2nd Edition. Prentice
Hall.
• Alan Wilson (2006, p105) Marketing Research an Integrated Approach. 2nd Edition.
Prentice Hall.
• Kotler, P (2008, p96) Principles of Marketing. 12th Edition. Prentice Hall.
Bibliography
Electronic Source
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Marketing Information and Research
The overall objective of the study is to make an effective change in the pricing structure
introduced for the new tea brand by Unilever Sri Lanka Food & Beverage category in the
perspective of the Target Audience.
MODERATOR
• INTRODUCE SELF
• INTRODUCE ……….
• EXPLAIN PURPOSE
• STATE CONFIDENTIALITY
A. Ice Breaker
Get a brief introduction of the respondent in order to gain some background knowledge
and in order to get the respondents to relax and open-up.
A.1 Introduction Since we are meeting for the first time I would like to get to know a little
about you….
Probe on the following :
• Name
• Age
• Occupation (studying / working)
B.1 Preferred Today, we are going to talk about the tea consumption pattern,
places 1. As soon as you hear the term ‘drinking tea’, what comes into mind?
• Places
• Types of tea
• Situations
• People
• Feelings
2. So, what are the places that you have tea often? What else?
3. What places do you really like to have a cup of tea at? Why?
4. What are the key reasons for choosing the places you frequent often?
5. How often do you drink tea from these places? Why?
6. What are the most frequent occasions when you have a cup of tea?
Probe; Daily / Hourly / After lunch / After work...
7. Does the type of tea consumed vary for each occasion or is it similar?
How does it vary?
8. What factors do you consider when deciding on a particular tea brand?
Probe; kids’ preference / proximity / price range / variety etc.
B.2 Ideal Tea 10. Imagine that you are given the chance to create your Ideal Tea
consumption consumption experience on……… how will it be? Can you complete the
experience sentences for me?
• What kind of Tea flavors……..?
• What kind of sounds / smells / feelings (hot or cold
atmosphere)………………………? (Sensorial experience)
• With whom are you?
• What kind of a service are you getting at this place?
Group Understanding customer attitudes and perceptions of value towards Tea varieties of
No. 2 Lipton, Mlesna and Zesta
At this point, we have already got an understanding of their current consumption hobbits
C. of tea and other beverages / preferences when having it from outside. Hence, we will now
look at customer perceptions and attitudes in relation to specific outlets and the varieties
available.
C.3 Perceived 7. What varieties of Tea can you associate with Lipton brand? Why?
current
theme 8. What sort of Tea varieties you will never associate with Lipton?
Why?
9. What kind/s of Tea is it famous for? Why?
10. In terms of Lipton Outlets, what kind of image, idea or feeling does it
give you to have a cup of tea? Why?
Group Current image and likelihood of potential customers towards the Lipton tea brand
No. 3
We would be getting an understanding of how the Lipton brand is currently perceived by
C.4 the consumer / what kind of image it has, BEFORE bringing up the topic of pricing
methods the company use for its customers. This will enable us to understand, later,
whether offering it in an affordable price will drastically impact the current Lipton Tea
brand image.
User imagery 2. What type of person would be the ideal patron of Lipton?
• Male of female?
• How old?
• What type of family background?
• Occupation
• Favorite food items
• Personality / qualities / interests?
• Friends /people associate/ mingle with
Analogies 3. If we relate Tea Brands to the following, what can you tell me?
• Animal
• Flower
• Celebrity / popular personality
C.5 Attitude 4. Do you feel the Current Pricing of Lipton is high / low? Why?
towards 5. Have you ever faced any problems in relation to the prices of
Lipton’s different varieties it currently have in offer? Why?
current
6. Other than what’s currently available, what type of price changes does
pricing
the company should make to offer better tea with a good taste to the Sri
Lankan market?
7. If Lipton wants to expand the variety of Tea offered, what types can
you suggest?
8. Other than normal flavored tea, what OTHER flavors of tea can be
associated with Lipton with a good price to its customers? Why?
9. What other types of Tea can Lipton offer with an affordable price to
delight the Sri Lankan customer? Why?
(Moderator to observe whether “ Price do really make a change for
the brand” comes up at all)
Importance 10. On a scale of Importance (with 0 being least important) and 10 being
scale very important, how important would price be to the Lipton brand?
Why do you feel so?
Attitude
C.6 towards Let’s move on to other tea brands which are currently playing a major role
competitor as competitors for Lipton….
tea brands
such as 13. What do you think about other tea products offered by Mlesna?
Mlesna and • What types of flavored tea are offered at Mlesna to the market?
Zesta • What do you like about each? Why?
• What do you dislike about each? Why?
• How can they be improved?
• How would you feel if Mlesna Stops offering their tea products
from tomorrow to the market?
• How will other regular Mlesna Customers feel? Why?
14. What do you think about other tea products offered by Zesta?
• What types of flavored tea are offered at Zesta to the market?
• What do you like about each? Why?
• What do you dislike about each? Why?
• How can they be improved?
• How would you feel if Zesta Stops offering their tea products
from tomorrow to the market?
• How will other regular Zesta Customers feel? Why?
Group Reactions towards Lipton making Price reductions in flavored tea category
No. 4
At this point we will discuss about the pricing changes Lipton would do in the future for
D. the premium varieties they hope to offer to the market.
D.1 Spontaneous 1. What if Lipton offers chocolate flavored iced tea to the Sri Lankan
reactions / market?
feelings 2. What do you feel about Lipton offering different varieties of flavored
evoked tea for an affordable price?
4. How will the price of Lipton tea packages catered to the exclusive
market will differ from Mlesna’s and Zesta’s exclusive market
offerings?
5. Would you like it? Or dislike it? Why?
D.4 Reactions to (Moderator to show the visual and chart of price reductions with
the visual and introduction of new flavored tea variety by Lipton)
price 7. This is the visual and price reductions for the flavored tea category
reduction for Lipton, what did come to your mind at first after seeing this?
chart 8. What do you like about it? Why?
What do you dislike? Why?
D.5 Perceived 9. What occasions / times do you think you will go for Lipton brand
usage when purchasing tea after an observation on the above chart?
occasions • Weekend / lunch hour / after work etc.
• With friends / with family /at a meeting or alone etc
10. If you think about your probable usage of tea, what factor would you
consider the most from mentioned below? Why?
• Price / Quality / Taste /Brand / Time
D.6 Price willing 11. What is the reasonable price to pay for this? Why?
to pay 12. At what price would the Lipton Tea consumer feel its value for
money? Why?
13. Do you think that the Sri Lankan consumer is willing to pay more
for good tea? Why?
14. Compared to other tea brands in the market what difference
would Lipton make with regard to its price for tea in the current
market?
15. What type of pricing and payment methods would Lipton introduce
in future for its target market?
D.7 Match / 16. How well do you think this brand image goes for Lipton tea?
mismatch with
current image 17. Would it add any value / idea to the current image or detract from
of Lipton Tea it? Why?
D.8 flavored tea 18. If you were given the chances to design the flavored tea delight what
delight criteria’s would you be concern of?
What type Æ Lipton premium pyramid tea / Lipton black pearl
tea etc.
Quantity
Packaging
D.9 Ideal user 19. What type of a person would ideally go for flavored tea? Why?
imagery • Age
• Occupation
• Income
• Personality / qualities / interests
• Friends
D.10 Degree of 20. Finally, tell me, do you really think you will go for Lipton tea brand
persuasiveness next time you make a purchase regardless of the price? Why? Why
not?
Moderator Guidelines
The focus group moderator guide is the interviewing outline. It is used during the
discussion. The guide, as its name implies, guides the interview.
The focus group moderator nurtures disclosure in an open and spontaneous format. The
moderator’s goal is to generate a maximum number of different ideas and opinions from
as many different people in the time allotted.
The ideal amount of time to set aside for a focus group is anywhere from 45 to 90 minutes.
Some people even find themselves changing their thoughts and opinions during the group.
It takes more than one focus group on any one topic to produce valid results – usually
three or four. You’ll know you’ve conducted enough groups (with the same set of
questions) when you’re not hearing anything new anymore, i.e. you’ve reached a point of
saturation.
In an ideal focus group, all the participants are very comfortable with each other but none
of them know each other.
Throughout the whole research process it is imperative that the MRS Code of Conduct is
followed.
All group members will be advised that all areas of the research project adhere to both the
MRS Code of Conduct Guidelines and the Data Protection Act 1998.
Rule B7 – As the Unilever database was used to gain address details and contact numbers
for the participants, the list source would need to be revealed if this information was
requested at any stage – this would override the right to client anonymity.
Rules B11 & B12 – No follow up contact should be made with any group member unless
they have given their permission for this to happen. If any further contact does occur with
the respondent it must be in line with the original permission granted that is when contact
occurs, for what purpose and by whom.
Rules B15,B18,B21 & B25 – When recruiting respondents the moderator must clearly
convey the following :
1. Group members right to withdraw from the session at any stage with no penalty
2. Confirmation that the sessions will be run in line with MRS Code of Conduct
3. Length of the sessions including start and end time
4. Any costs that may be incurred by participants
5. Details on the recording of the session
“ I would like the discussion to be informal, so there’s no need to wait for us to call on you to
respond. In fact, we encourage you to respond directly to the comments other respondents
make. If you don’t understand a question, please let me know. We are here to ask questions,
listen, and make sure everyone has a chance to share.
If we seem to be stuck on a topic, I may interrupt you and if you aren’t saying much, I may
call on you directly. If we do this, please don’t feel bad about it; it’s just our way of making
sure we obtain everyone’s perspective and opinion is included.
We do ask that we all keep each other’s identities, participation and remarks private. We hope
you’ll feel free to speak openly and honestly. Our topic is going to be interesting which will
help us to cover most of the objectives completely. We have separated the discussion into 4
groups which will support us to get a clear understanding on each objective which will be
discussed within.
As discussed, we will be tape recording the discussion, because we don’t want to miss any of
your comments.”
Active listening allows you to probe effectively and at appropriate points during the focus
group. Active listening involves not only hearing what someone is saying, but also noticing
body posture and facial gestures (i.e., any changes in nonverbal behaviour) that might
provide cues as to the appropriate or necessary ways to engage participants.
While showing participants that you are actively listening and interested in what they are
sharing, you will also want to remain as neutral or impartial as possible, even if you have a
strong opinion about something. Use phrases such as “Thank you. That is helpful.”
As a general rule, moderator needs to interrupt the interview respondent as little as possible.
If the moderator feels that he/she needs to follow-up with something respondents said by
using probes, make a mental note of it and ask them about it when they have finished their
thought.
The discussion guide provides a framework for the moderator to explore, probe, and ask
questions. Initiating each topic with a carefully crafted question will help participants share
their experiences but in a focused and meaningful manner.
“Is there anything we missed that you would like to talk about?”
“What is the most important point we discussed?”
The first question is a catchall; it captures things the moderator did not think about, but which
may be important to the respondents.
Often these two questions produce extra and surprising knowledge and insight. Often, they
open new topics and extend discussion.
After the two questions, recognize and appreciate respondents for their time and contributions.
Thank the respondents for their time and participation. And also let them know that the
information they have shared is valuable for the research.
Reference
Electronic Source
Marketing Research
Alan Wilson (2006, p4) defines marketing research in the following manner:
“Marketing Research is the collection, analysis and communication of information undertaken to assist in
marketing decision making.”
Unilever as a well reputed and an established company in the FMCG industry would find value of
marketing research in several angles such as information assists planning activities which helps to
understand the customers well and to identify new business opportunities.
Database Marketing
“Database marketing is the process of building, maintaining & using customer databases & other
data-bases (products, suppliers, resellers) for the purpose of contacting, transacting & building
relationships.”
Wilson, A. (2006) the course text book states, “The marketing database is a manual or
computerized source of data relevant to marketing decision-making about an organization’s
customers.”
The main purpose of a database is maintaining daily records and keeping track of the customers.
Maintaining a database is very important for the company in offering customer centric products
and services. A customer database is an undoubted extensive asset for part type and size of
business and sensible plays a decided role in its acknowledged mileage.
Date of first transaction What, when & where the customer has made purchases
This can also help to develop personalized services because Unilever can easily identify the
personal interest of each stakeholder. Also in order to build relationship with stakeholders the
database will be a strong tool for the company.
“In general companies can use their customer databases to identify best prospects by sorting
through a mass responses; match a specific offer with a specific customer sell, cross- sell and up-
sell; deepen customer loyalty by remembering customer preferences and offering relevant
incentives and information; reactivate customer purchasing through reminders or timely
promotions and avoid serious mistakes such as sending a customer two offers for the same
product but at different prices.”
• BACKGROUND
B12 “Researchers must always strive to design research which is cost-efficient and of
adequate quality, and then to carry this out to the specification agreed with the client”
Research is basic but it is very critical when it comes to decision making. Therefore the Marketing
Manager should ensure that the questions and results should be in a standard quality. Also it is
very important for the company to use cost-efficient research because the research will not give
direct revenue. Therefore the research should be conducted with maximum effectiveness and
minimum cost.
Data protection
Date protection act of 1998 states that, “The purpose of data protection legislation is to ensure
that personal data is not processed without the knowledge and, except in certain cases, the
consent of the data subject, to ensure that personal data which is processed is accurate, and to
enforce a set of standards for the processing of such information.”
Source: Date protection act 1998
The Data Protection Act creates rights for those who have their data stored, and responsibilities
for those who store, process or the person who has their data processed has the right to,
• View the data an organisation holds on them, for a small fee, known as subject access fee
• Request that incorrect information to be corrected. If the company ignores the request, a
court can order the data to be corrected or destroyed, and in some cases compensation can
be awarded.
• Require that data is not used in any way that may potentially cause damage or distress.
• Require that their data is not used for direct marketing.
“Opt in”
Unilever cannot directly take the research information as contents for a customer database since
the respondent has not primarily “Opted In” to receiving such information.
• ANALYSIS
Building a customer database requires many skills. However, from a marketing perspective, there
are important skills and tasks which can be used establish a good and an effective database.
• Better Communication
All users and other participants must be honest with themselves and each other as to the needs,
uses and limitations of such a system.
• Creativity
If some need appears to be impossible to meet in a cost-effective manner, other options should be
found. If building an on-site database, creative need in thinking through the specific needs will be
essential.
• Attention to detail
What appear to be small decisions can lead to inefficiency and high cost if they are not thought
out carefully. No matter how advanced the technical aspect of company’s database, they will be
worthless if they result in a clever solution to the wrong problem.
Also the details of the database have to be accurate and up to date so that the company can make
use of them when ever they want easily without facing any disturbances.
• SUMMERY
In virtually the company acquiring new customers is one of the essentials for growth. But a
key to business success is finding how to acquire new customers at maximum profitability.
To gain new customers, company typically can choose to develop and place advertisements,
exhibit at tradeshows, do direct mailings and telemarketing. Each of these ways to
communicate with the marketplace can be useful in acquiring new customers.
How can customer database segmentation be done? Perhaps its most basic form is the "80/20"
principle: roughly 80% of your revenues come from 20% of your customers, so you should
pay more attention to that 20% segment.
Source: Kotler.P (2003) Marketing Insights from A to Z. 1st Edition. John Wiley & Sons, Inc,
Hoboken, New Jersey
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Marketing Information and Research
Siebel (2003) states, “CRM is an integrated approach to identify, acquire and retain customers.
By enabling organizations to manage and coordinate customer interactions across multiple
channels, departments, lines of business and geographies, CRM helps organizations maximize the
value of every customer interaction and drive superior corporate.”
Peter Drucker states that, the purpose of business is to attract and maintain customers. For
without customers, no business would survive.
Success of the company lies in the fact how well it connects with its customers. Maintaining good
relationship with the customers is the most important aspect of customer retention and overall
business growth. If statistics are to be believed, the business that is able to retain its customers is
the one that grows most.
Customer lifetime value has intuitive appeal as a marketing concept, because in it represents
exactly how much each customer is worth in monetary terms, and therefore exactly how much the
marketing department of Unilever should be willing to spend to acquire each customer. In reality, it
is difficult to make accurate calculations of customer lifetime value. The specific calculation
depends on the nature of the customer relationship.
• RECOMMENDATIONS
So, what are the other available and alternative methods Unilever could consider in creating such
a “capacious ocean of data?”
• Focus groups
Unilever could conduct informal interviews with a small group of individuals who have
utilized a certain promotion and been rewarded. Marketers would be able to understand how
promotions for specific brands in the food and beverage category need to be designed in a
manner which would optimize consumer interest.
Example: The profile and details of the customer the company should target more in
promoting the “Shop and Fly” offer can be identified by interviewing the weekly winners.
• Conducting a survey
A questionnaire could be conducted within a moderately large group of independent
individuals with a view of obtaining their opinions, attitudes, likes/dislikes on new products
and offers etc.
Reference
Bibliography
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