Marketing

Research

P.O.M Q3, L5
 Define marketing research and its
importance to a business
enterprise;
OBJECTIVES: Enumerate the steps in marketing
research; and Appreciate the
importance of marketing
research.
 Pre-assessment:
Directions: Write True if the statement is correct and False if otherwise. Write your
answer in your activity notebook.
Direction: Accomplish this on your notebook.
 Marketing Research

Marketing research is a function under a business organization’s Marketing

Information System (MIS). MIS is primarily responsible for the gathering,
analysis, and timely distribution of information for the use of marketing decision
makers.
 Definition

Market research is the process of determining the viability of a new

service or product through research conducted directly with potential
customers. Market research allows a company to discover the target market
and get opinions and other feedback from consumers about their interest in
the product or service.
 The Purpose and Importance of Marketing Research

Companies have complete information about their products from

production to distribution. However, it is a challenge for the companies to know
what happens to the product after it was purchased. Who uses the product, how
it is used, how much or how little of it used, and the general attitudes of the
consumer toward the product are not known explicitly. Thus, for new products
or new markets, the company may not be completely certain whether the product
will be accepted by the market. The value of the product to the consumer is
difficult to measure because perceptions of the value are subjective.
Although marketing research can be costly, it is indispensable. The following
are some of the
issues that can be addressed by marketing research:
 Steps in the Marketing Research Process

Marketing research can and should be used for various

reasons. Marketing research can be used to identify
marketing opportunities and problems, generate and
evaluate potential marketing actions or plans, monitor
marketing performance and improve marketing as a process.
Here are the 11 steps to conducting marketing research, but
note that not all marketing research follows these steps.
 1. Establishing the need for marketing research

This could seem basic but is in fact fundamental to conducting

marketing research. Research takes time and money. Marketing
research is not needed when information is readily available (this
could be through secondary data), when there is not enough time to
conduct a proper research study and answers are needed immediately,
when you can afford the What Is It research or when the costs
outweigh the value. It could also simply be that the answer is
obvious.
 2. Defining the problem

According to the authors, this is by far the most

important step. If the problem is incorrectly defined,
all is wasted effort. Marketing research should only
be conducted to answer a problem. There are also
needs to be alternatives. If there are no alternatives,
no decision is necessary.
 3. Establishing research objectives

Objectives tell a researcher exactly what he or

she should be looking for and what he or she
must do to obtain the information necessary to
allow the manager to choose between the
decision and the alternatives.
 4. Determining research design

o Exploratory research: informal search to learn

more about the research problem, learn terms
and definitions or identify opportunities
o Descriptive research: most basic; used to describe
the marketing phenomena
o Causal research: uncover factors that cause on
event
5. Identifying information types and sources

o Primary: information collected specifically for the problem at

hand
o Secondary: information already collected
 6. Determining methods of accessing data

This can be done through observing consumers,

surveys, online etc.
 7. Designing data collection forms

Designing the form in which data will be collected. It

can be a questionnaire or an observation
form.
 8. Determining sample plan and size

Sample plan: describes how each sample element is to

be drawn from the total population
Sample size: how many elements of the population
should be used to make up the sample
 9. Collecting data

Non-sampling errors in data are likely to occur and researchers need

to know the sources of
these errors to implement controls to minimize them.
 10. Analyzing data

Data analysis involves entering data into computer files, inspecting

data for errors, and running tabulations and various statistical tests.
 11. Preparing and presenting the final report

It is important that it is not overstated as it is the report that

properly communicates the results to the client.
 Making Marketing Research-based Decisions

Marketing research reports include a lot of

information that can aid organizations in making
effective marketing decisions, rather than resorting to
unsupported “gut feel” decisions. Some examples of
reports and the marketing decisions they can support
are:
Making Marketing Research-based Decisions
Making Marketing Research-based Decisions
Making Marketing Research-based Decisions