Marketing Management: Brief edition However, a second mailing to prompt or remind respondents tends to improve response rates. Mail surveys are less popular with the advent of technologies such as the Internet and telephones, especially call centers 2.5.3.2 Mystery Shopping Companies will set up my stery shopping campaigns on an organizations behalf. Often sed in banking, retailing, travel, cafes and restaurants, and many other customer focused organizations, mystery shoppers will enter, posing as real custome rs. They collect data on customer service and the customer experience. Findings are reported back to the commissioning organization. There are many issues surround ing the ethics of such an approach to research 2.5.3.3 Focus Groups Focus groups are made up from a number of selected respondents based together in the same room. Highly experienced researchers work with the focus group to gather i depth qualitative feedback Groups tend to be made up from 10 to 18 participants Discussion, opinion, and beliefs are encouraged, and the research will probe into specific areas that are of interest to the company commissioning the research Advantages offocus groups Commissioning marketers often observe the group from behind a one-way screen Visual aids and tangible products can be circulated and opinions taken All participants and the research interact Areas of specific interest can be covered in greater depth Disadvantages of focus groups Highly experienced researchers are needed. The are rare lex to organi Can be very expensive in comparison to other methods 2.5.3. 4 Projective techniques Projective techniques are borrowed from the field of psychology. They will generate highly subjective qualitative data. There are many examples of such approaches includ ing: Inkblot tests- look for images in a series of inkblots Cartoons-complete the 'bubbles on a cartoon series Sentence or story completion Word association depends on very quick(subconscious)responses to words Psychodrama-Imagine that you are a product and describe what it is like to be operated, warn, or used 2.5.3.5 Product tests Product tests are often completed as part of the 'test' marketing process. Products are
Marketing Management: Brief edition 16 However, a second mailing to prompt or remind respondents tends to improve response rates. Mail surveys are less popular with the advent of technologies such as the Internet and telephones, especially call centers. 2.5.3.2 Mystery Shopping Companies will set up mystery shopping campaigns on an organizations behalf. Often used in banking, retailing, travel, cafes and restaurants, and many other customer focused organizations, mystery shoppers will enter, posing as real custome rs. They collect data on customer service and the customer experience. Findings are reported back to the commissioning organization. There are many issues surrounding the ethics of such an approach to research. 2.5.3.3 Focus Groups Focus groups are made up from a number of selected respondents based together in the same room. Highly experienced researchers work with the focus group to gather in depth qualitative feedback. Groups tend to be made up from 10 to 18 participants. Discussion, opinion, and beliefs are encouraged, and the research will probe into specific areas that are of interest to the company commissioning the research. Advantages of focus groups Commissioning marketers often observe the group from behind a one-way screen Visual aids and tangible products can be circulated and opinions taken All participants and the research interact Areas of specific interest can be covered in greater depth Disadvantages of focus groups Highly experienced researchers are needed. The are rare. Complex to organize Can be very expensive in comparison to other methods 2.5.3.4 Projective techniques Projective techniques are borrowed from the field of psychology. They will generate highly subjective qualitative data. There are many examples of such approaches including: Inkblot tests - look for images in a series of inkblots Cartoons - complete the 'bubbles' on a cartoon series Sentence or story completion Word association - depends on very quick (subconscious) responses to words Psychodrama - Imagine that you are a product and describe what it is like to be operated, warn, or used. 2.5.3.5 Product tests Product tests are often completed as part of the 'test' marketing process. Products are
Marketing Management: Brief edition displayed in a mall of shopping center. Potential customers are asked to visit the store and their purchase behavior is observed. Observers will contemplate how the product is handled, how the packing is read, how much time the consumer spends with the product, and so or 2.5.3.6 Diaries Diaries are used by a number of specially recruited consumers. They are asked to complete a diary that lists and records their purchasing behavior of a period of time (weekS, months, or years ) It demands a substantial commitment on the part of the respondent. However, by collecting a series of diaries with a number of entries, the researcher has a reasonable picture of purchasing behavior 2.5.3. Omnibus studies An omnibus study is where an organization purchases a single or a few questions on a hybrid'interview(either face-to-face or by telephone). The organization will be one of many that simply want to a straightforward answer to a simple question. An omnibus survey could include questions from companies in sectors as diverse as heath care and tobacco. The research is far cheaper, and commits less time and effort than conducting your own research 2.5. 4 Secondary research Secondary(or desk) research uses data that has been collected for other objectives than your own i.e. it already exists. There are a number of such sources available to the marketer, and the following list is by no means co ● Trade associations National and local press Industry magazines o National/ international governments Web sites Informal contacts Trade directories Published company accounts Business libraries Professional institutes and organizations Previously gathered marketing research ● Census data
Marketing Management: Brief edition 17 displayed in a mall of shopping center. Potential customers are asked to visit the store and their purchase behavior is observed. Observers will contemplate how the product is handled, how the packing is read, how much time the consumer spends with the product, and so on. 2.5.3.6 Diaries Diaries are used by a number of specially recruited consumers. They are asked to complete a diary that lists and records their purchasing behavior of a period of time (weeks, months, or years). It demands a substantial commitment on the part of the respondent. However, by collecting a series of diaries with a number of entries, the researcher has a reasonable picture of purchasing behavior. 2.5.3.7 Omnibus Studies An omnibus study is where an organization purchases a single or a few questions on a 'hybrid' interview (either face-to-face or by telephone). The organization will be one of many that simply want to a straightforward answer to a simple question. An omnibus survey could include questions from companies in sectors as diverse as heath care and tobacco. The research is far cheaper, and commits less time and effort than conducting your own research. 2.5.4 Secondary Research Secondary (or desk) research uses data that has been collected for other objectives than your own i.e. it already exists. There are a number of such sources available to the marketer, and the following list is by no means conclusive: ⚫ Trade associations ⚫ National and local press Industry magazines ⚫ National/ international governments ⚫ Web sites ⚫ Informal contacts ⚫ Trade directories ⚫ Published company accounts ⚫ Business libraries ⚫ Professional institutes and organizations ⚫ Omnibus surveys ⚫ Previously gathered marketing research ⚫ Census data
Marketing Management: Brief edition ● Public record We have given a general introduction to marketing research. Marketing research is a huge topic area and has many proc procedures, and terminologies that build upon the points above Marketing Research: Puerto vallarta Autos Puerta vallarta Puerto Vallarta Autos has been in business since 1967. It has always been a successful professional organization. Since the locality has an upon agriculture their traditional customer has been tl airing Mexican consumer, usually business or professional people Recently they have noticed that their local market has changed considerably. Puerto vallarta has become a center for tourism and recreation for Mex icans from Guadalajara and Mexico City, as well as North Americans and Europeans. There are many beach clubs, hotels, apartments, and holiday condos Doreteo Dominguez, the sales manager at Puerto Vallarta Autos, feels that the company may have a problem. They do not know who their customer is and hence cannot target advertising You are the Account Representative for Punta Mita Marketing Research Associates Advise Doreteo Dominguez on an appropriate method of marketing research, and describe any advantages and disad vantages of such a method
Marketing Management: Brief edition 18 ⚫ Public records We have given a general introduction to marketing research. Marketing research is a huge topic area and has many processes, procedures, and terminologies that build upon the points above. Marketing Research: Puerto Vallarta Autos Puerto Vallarta Autos has been in business since 1967. It has always been a successful, professional organization. Since the locality has an economy based mainly upon agriculture, their traditional customer has been the aspiring Mexican consumer, usually business or professional people. Recently they have noticed that their local market has changed considerably. Puerto Vallarta has become a center for tourism and recreation for Mexicans from Guadalajara and Mexico City, as well as North Americans and Europeans. There are many beach clubs, hotels, apartments, and holiday condos. Doreteo Dominguez, the sales manager at Puerto Vallarta Autos, feels that the company may have a problem. They do not know who their customer is and hence cannot target advertising. You are the Account Representative for Punta Mita Marketing Research Associates. Advise Doreteo Dominguez on an appropriate method of marketing research, and describe any advantages and disadvantages of such a method
Marketing Management: Brief edition 3 MARKETING PLANNING 3.1 Segmentation This is the first of three lessons based upon SEGMENT- TARGET- POSITION. To get a product or service to the right person or company, a marketer would firstly segment the market, then target a single segment or series of segments, and finally position within the segment(s) Segmentation is essentially the identification of subsets of buyers within a market who share similar needs and who demonstrate similar buyer behavior. The world is made up from billions of buyers with their own sets of needs and behavior Segmentation aims to match groups of purchasers with the same set of needs and buyer behavior. Such a group is known as segment Segmentation is a form of critical evaluation rather than a prescribed process or system, and hence no two markets are defined and segmented in the same way However there are a number of underpinning criteria that assist us with segmentation Is the segment viable? Can we make a profit from it? Is the segment accessible? How easy is it for us to get into the segment? Is the segment measurable? Can we obtain realistic data to consider its potential? There are many ways that a segment can be considered. For example, the auto market could be segmented by: driver age, engine size, model type, cost, and so on. However the more general bases include By geography -such as where in the world was the product bought By psychographics- such as lifestyle or beliefs By socio-cultural factors-such as class By demography -such as age, sex, and so on A company will evaluate each segment based upon potential business success Opportunities will depend upon factors such as the potential growth of the segment the state of competitive rivalry within the segment how much profit the segment will deliver how big the segment is how the segment fits with the current direction of the compan ny and its vision
Marketing Management: Brief edition 19 3. MARKETING PLANNING 3.1 Segmentation This is the first of three lessons based upon SEGMENT - TARGET - POSITION. To get a product or service to the right person or company, a marketer would firstly segment the market, then target a single segment or series of segments, and finally position within the segment(s). . Segmentation is essentially the identification of subsets of buyers within a market who share similar needs and who demonstrate similar buyer behavior. The world is made up from billions of buyers with their own sets of needs and behavior. Segmentation aims to match groups of purchasers with the same set of needs and buyer behavior. Such a group is known as a 'segment'. Segmentation is a form of critical evaluation rather than a prescribed process or system, and hence no two markets are defined and segmented in the same way. However there are a number of underpinning criteria that assist us with segmentation: ⚫ Is the segment viable? Can we make a profit from it? ⚫ Is the segment accessible? How easy is it for us to get into the segment? ⚫ Is the segment measurable? Can we obtain realistic data to consider its potential? There are many ways that a segment can be considered. For example, the auto market could be segmented by: driver age, engine size, model type, cost, and so on. However the more general bases include: ⚫ By geography - such as where in the world was the product bought ⚫ By psychographics - such as lifestyle or beliefs ⚫ By socio-cultural factors - such as class ⚫ By demography - such as age, sex, and so on. A company will evaluate each segment based upon potential business success. Opportunities will depend upon factors such as: the potential growth of the segment the state of competitive rivalry within the segment how much profit the segment will deliver how big the segment is how the segment fits with the current direction of the company and its vision
Marketing Management: Brief edition Segmentation itter Boddingtons Boddington's Smoothflow John Smith's Boddingtons Bottled Budweiser Budweiser Mackeson Beers Alcho-pops Bacardi Hooch Stong Guiness Extra Cold Guiness Guiness Carling Carlsberg Skol agers Smoothfiot Youth Market 28-49 year olds Third Agers Segmentation Matrix Business Battlemap for the British Beer Market ource: Adapted from william A Cohen(1986) The Segmentation Matrix Business Battlemap is a useful segmentation tool. There are two bases for segmentation. Here we use beer brand versus age's groups. The various products are then plotted on the matrix. The result is a battlemap Segmentation Exercise: Music industry Segmentation-Exercise ? ? ? ??????? ????2 ??????? Youth Market 28-49 year olds Third Agers Segmentation Matrix Business Battlemap for the Recording Industry Source: Adapted from william A Cohen(1986) Construct a battlemap for the music industry. 'Age group' is one basis for egmentation; you need to select the other Plot the recordings onto the battlemap Nigel Kenned
Marketing Management: Brief edition 20 The Segmentation Matrix Business Battlemap is a useful segmentation tool. There are two bases for segmentation. Here we use beer brand versus age’s groups. The various products are then plotted on the matrix. The result is a 'battlemap'. Segmentation Exercise: Music industry Construct a battlemap for the music industry. 'Age group' is one basis for segmentation; you need to select the other. Plot the recordings onto the battlemap. Nigel Kennedy