Marketing Research

Dr.Amit Sharma
 Definition of Marketing Research

Marketing + Research

Marketing Research is made up of two

words, one is Marketing and the other is
research. Therefore, before giving the
definition of Marketing Research , we will
try to discuss both the terms separately.
Meaning of Marketing

Different scholars have defined the term marketing in

different ways, none of these definitions can be said to be
universal, in general marketing includes all those activities
which help in reaching the goods and services from the
producer to the consumer. Huh. In the new concept of
marketing, the meaning of the word marketing is taken
more and more broadly. According to the modern
ideology, marketing includes “all those activities which
search for the need and desire of the consumer. Convert
them into goods and services, provide after-sales services
even after delivering the goods and services to the
consumer and the main goal of these activities should be
the satisfaction of the consumer
Meaning of Research
The term ‘Research’ consists of two words
‘’ Re + Search’’ ‘Re’ means again and again and
‘Search’ means to find out something,
Collection of
Observe data
Person Phenomena Conclusions
Again and again Analysis of data

The research is a process of which a person

observes the phenomena again and again and
collects the data and on the basis of data he draws
some conclusions
Some people consider research as a movement, a
movement from the known to the unknown.
Marketing Research
Marketing Research is the function that 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 understanding of marketing as a process.
Marketing research refers to conducting, recording and
analyzing the necessary information, data about various
problems related to marketing of goods/products and services
and finding ways to solve the problems.
Definition of Marketing Research

“Marketing Research may be defined as the

application of scientific methods to the solution
of marketing problems”

--Dr.Amit sharma(RIMS)
Characteristics
Marketing research is concerned with all the
phases related to marketing of goods and services.
It is a staff function. Individuals involved in
research work in a professional organization often
work in a staff or advisory role.
It is a formalized process of supplying
information to be used in marketing decisions.
Marketing research links the organization with its
marketing environment.
It is a planned, systematic and purposeful effort.
In this, facts related to marketing problem are
collected.
Conti…………

Such data and facts provide important information

for the solution of marketing problems, which helps
the manager in decision and control.
It is an important tool of management in which
marketing provides accurate and sufficient
information to the executive for decision making.
Its scope of work is extensive, in which all things
related to marketing are studied.
Marketing research is used in 'specific marketing
situations', which often involve marketing
decisions, such as whether to introduce a new
product, remove a distribution channel, or make
promotional appeals.
Conti…………

It can be used as an 'early warning mechanism'

(early warning mechanism) in relation to
forecasting problems and opportunities. Serves as
an early warning mechanism
Marketing research is a specialized work that
connects consumers, customers and the public with
the marketer through information.
The goal of marketing research is to aid in
marketing decisions. The scope of marketing
research activities is determined by the nature of
the decisions.
Objectives of marketing research
 Identify the consumer response to the company's product.
 Know the consumers' needs and expectations.
 Seck maximum information about the consumer, ie, the know
consumers' income range, their location, buying behavior, etc.
 Know the nature and extent of competition and also the strength
and weaknesses of the competitors.
 Check the reaction of the dealers to the company policies.
 Evaluate the reputation of the company in the market.
 Identify and solve the marketing problems of the company.
 Search for new marketing opportunities.
 Find out alternative uses of the existing products.
 Estimate the cost of marketing of goods and service.
Functions of marketing research

 Description
 Evaluation
 Explanation
 Prediction
 Aid in decision making
.
1 Description: Marketing research gives full description
about the consumers. It describes their age, sex,education,
income, etc. It also gives a description about the competitors
and the market situation. This description is used to take
marketing decisions and solve marketing problems.

2 Evaluation: Marketing research helps to evaluate the

company's performance. It helps to evaluate the company's
production and marketing policies. It finds out the customer
reaction to the quality of the product, price, packaging,
advertising, sales, promotions' techniques, etc. If the
consumer reactions are bad, then the company must change its
policies. It also compares the company's policies with the
competitors' policies.
3.Explanation: Marketing research gives explanations
(answers) for all the marketing problems. For example, it
answers in detail, why are the sales falling, why are the
retailers giving negative reaction, etc. It gives all the causes
or reasons for the problem. It also tells how to solve the
problem.

4.Prediction: Marketing research also gives predictions.

Predictions mean to forecast or guess about the future. It
gives a prediction about the future sales, future market
opportunities, future risks, future marketing environment,
future consumer behavior, etc. All the prediction may not be
correct. However, these predictions help the company to
make future plans and policies. It helps to take advantage of
future opportunities. It also helps to avoid future risks.
5. Aid in decision making: Marketing research
helps the marketing manager to take decisions. It
provides all the concerned data, which is necessary
to take decisions. Decision making means to select a
course of action from two or more alternatives.
Decision making requires up-to-date and correct
data. MR helps the marketing manager to take
decisions. It provides all the data, which is necessary
to take decisions. It also provides aterative course of
action. It gives the merits and demerits of cach
course of action. It also helps the marketing manager
to choose the best course of action
Scope of Marketing Research
 Product Research
 Consumer Research:
 Packaging Research:
 Pricing Research
 Advertising Research
 Sales Research
 Distribution Research
 Policy Research
 International Marketing Research
 Motivation Research:
 Market Research:
 Media Research:
1. Product Research: Product means the goods and services
which are sold to the consumers. It includes consumer products
and industrial products. Product research studies the individual
product. It studies the making and marketing of the product. It
studies the colour, size, shape, quality, packaging, brand name
and price of the product. It also deals with product modification,
product innovation, product life cycle, etc. The product is
modified (changed) as per the needs and wants of the consumers.
Therefore, the product will not fail in the market.

2.Consumer Research: Consumer is the person who purchases

the goods and services. The consumer is the king in the market.
Consumer research studies consumer behaviour. It studies the
consumers needs, wants, likes, dislikes, attitude, age, sex,
income, location; buying motives, etc. This data is used to take
decisions about the product, its price, place and promotion
3. Packaging Research: Packaging research is a part of
product research. It studies the package of the product. It
improves the quality of the package. It makes the package
more attractive. It makes the package more convenient for
the consumers. It reduces the cost of packaging. It selects a
suitable method for packaging. It also selects suitable
packaging material

4. Pricing Research Pricing Research studies the pricing

of the product. It selects a suitable method of pricing It
fixes the price for the product. It compares the companies
price with the competitor's price. It also fixes the discount
and commission which are given to middlemen. It studies
the market price trends. It also studies the future price.
trends
5. Advertising Research
Advertising research studies the advertising of the product. It fixes the
advertising objectives. It also fixes the advertising budget. It decides
about the advertising message, layout, copy, slogan, headline, etc. It
selects a suitable media for advertising. It also evaluates the
effectiveness of advertising and other sales promotion techniques.

6. Sales Research Sales research studies the selling activities of the

company. It studies the sales outlets, sales territories, sales forecasting,
sales trends, sales methods, effectiveness of the sales force, etc.

7. Distribution Research Distribution research studies the channels of

distribution. It selects a suitable channel for the product. It fixes the
channel objectives. It identifies the channel functions like storage,
grading etc. It evaluates the competitor's channel
8. Policy Research: Policy research studies the company's policies.
It evaluates the effectiveness of the marketing policies, sales
policies, distribution policies, pricing policies, inventory policies,
etc. Necessary changes, if any, are made in these policies.
9. International Marketing Research International marketing
research studies the foreign market. It collects data about
consumers from foreign countries. It collects data about the
economic and political situation of different countries. It also
collects data about the foreign competitors. This data is very useful
for the exporters.
10. Motivation Research: Motivation research studies consumers'
buying motives. It studies those factors that motivate consumers to
buy a product. It mainly finds out, why the consumers buy the
product? It also finds out the causes of consumer behaviour in the
market.
11. Market Research: Market research studies the
markets, market competition, market trends, etc. It also
does sales forecasting. It estimates the demand for new
products. It fixes the sales territories and sales quotas.

12. Media Research: Media research studies various

advertising media. The different advertising media are
television (TV), radio, newspapers, magazines, the
internet, etc. Media research studies the merits and
demerits of each media. It selects a suitable media for
advertising. It does media planning. It also studies
media cost. It helps in sales promotion and to avoid
wastage in advertising
 Advantage of Market Research
(1) Production of new goods possible- Marketing research comes to
know about needs and wants of the new customers and the
organization produces new products according to those wants and
needs and earns profit by satisfying the customers.

(2) Various uses of goods - By research, producers find out how the
goods produced by them are being used by the customers, if they come
to know about the new use of the goods, then they can find new uses
of their goods. Can increase the demand for his product by promoting
about the use.

(3) Useful information about customers - Through marketing

research, producers get to know about the customers, what their
customers buy, when they do it, why they do it, where they do it etc.
On the basis of this information, the producer can produce at the right
time and deliver it to the right place at the right time.
(4) Selection of Distribution Chain – Through marketing research,
the marketer gets to know about the customers and he also gets to
know what is the distribution policy of his competitors? On the basis
of this information, the marketer can easily select the right
distribution chain for himself.

(5) Improvement in the variety of goods- By marketing research,

the producer gets to know well what is lacking in the goods produced
by him, where there has been a decline in their quality, where
appropriate changes are possible and necessary. By making changes
accordingly, they can improve the quality of their goods.

(6) Knowledge of proper demand - The producer gets to know very

well from research how the demand for the goods produced by him
is. Elastic or inelastic, seasonal or persistent. After getting a good
knowledge of the type of demand, the producer can prepare a good
production program
(7) Exploration of new markets- Marketing research is done to find
out where the goods produced by the organization are sold. By sending
goods there, a market is made there. Thus, through marketing research,
the market of the commodity expands and new markets are discovered.

(8) Well-planned production- marketing research, since it is known

that how is the demand for the commodity, where is it, what is the type
of the commodity, what should it actually be, what is the scope for
improvement etc. On the basis of this, production can be made possible
by making correct predictions about the production and accordingly the
demand and supply of the commodity in the market can be reconciled.

(9) Risk reduction- If a producer produces goods or plans production

keeping in mind the changes in consumer interest, fashion etc. through
distribution research, then there is no risk in relation to the sale of the
goods. And don't worry about selling the goods. Thus marketing
research brings about reduction in risk of producers.
(10) Evaluation of the results of sales policy - Under the sales policy,
it is decided that how much is the goal of sales, how and where to sell
the item, what work has to be done for it etc. The sales manager can
evaluate the results of his sales strategy from marketing research. If
there is a need to make changes in the sales policy, then its information
is also received.

(11) Production and sales planning- Marketing research can predict

the demand of consumers, which helps in planning production and
sales.

(12) Increase in the standard of living - Marketing research leads to

increase in demand and increase in production, cost-reduction and
consumers get goods at cheap price, which increases the standard of
living of the consumers.
(13) Economy in Marketing Expenditure- Marketing research helps
in knowing the areas of sales, due to this marketing expenditure is
done only where it is necessary, unnecessary expenditure is not done
at all. Thus economy in marketing expenditure is done due to
marketing research.

(14) Information about the effectiveness of advertising- Various

advertising mediums are used to increase the sales of the goods.
Marketing research can get information about the effectiveness of
various advertising channels, it gives information about where
advertising expenditure is becoming unnecessary.

(15) Helpful in facing competition- In today's era, producers have to

face the competition of many competitors in the market. Information
can be obtained from marketing research regarding the manner in
which these competitors operate. Marketing research helps in facing
the competition successfully.