Marketing Research:

Methodological Foundations, 9e
By
Churchill and Iacobucci

2005 Thomson/South-Western

Chapter 1

Marketing Research:

Its Everywhere!

Figure 1: The Task of Marketing Management

target

market

Figure 2: The Environments That Affect Marketing

Economic
Environment
Competitive
Environment

Marketing
Strategy
Technological
Environment

Political
and Legal
Environment
Customer
Value and
Behavior
Social
Environment

Natural
Environment
4

Definition of Marketing Research

Marketing research is the function

which 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.

Figure 3: Where the Marketing Research Dollars are Concentrated

Source: Inside Research, Where the Money Is, American Demographics (www.demographics.com).

Research Activities of 435 Companies

Percent
Doing

A. Business Economic and Corporate Research

1. Industry/market characteristics and trends
2. Acquisition/diversification studies
3. Market share analyses
4. Internal employee studies (morale, communication, etc.)

92%
50
85
72

B. Pricing
1. Cost analysis
2. Price analysis
3. Price elasticity
4. Demand analysis:
a) market potential
b) sales potential
c) sales forecasts
5. Competitive pricing analyses

57
55
56
78
75
71
71

C. Product
1. Concept development and testing
2. Brand name generation and testing
3. Test market
4. Product testing of existing products
5. Packaging design studies
6. Competitive product studies

78
55
55
63
48
54

Research Activities of 435 Companies (continued)

Percent
Doing

D. Distribution
1. Plant/warehouse location studies
2. Channel performance studies
3. Channel coverage studies
4. Expert and international studies
E. Promotion
1. Motivation research
2. Media research
3. Copy research
4. Advertising effectiveness testing
a) prior to marketplace airing
b) during marketplace airing
5. Competitive advertising studies
6. Public image studies
7. Sales force compensation studies
8. Sales force quota studies
9. Sales force territory structure
10. Studies of premiums, coupons, deals, etc.
F. Buying Behavior
1. Brand preference
2. Brand attitudes
3. Product satisfaction
4. Purchase behavior
5. Purchase intentions
6. Brand awareness
7. Segmentation studies

25%
39
31
32
56
70
68
67
66
43
65
34
28
32
47

78
76
87
80
79
80
84
8

Could Marketing Research Be Used to Investigate the Following? If Yes, How?

Yes/No

*What is our products per unit profit margin?

*Can the Internet be used as an efficient distribution channel for our
products?

*Which brand name projects the image we want for our product?
*How many suppliers should we purchase from?
*What kinds of firms use our services?
*What is the lifetime value of our target customer segments?
*What is the most effective trade promotion program?
*What is our reputation with government regulatory agencies?
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How Might Each of These Institutions Use Marketing Research?

*An outdoor advertising firm

*A local bank
*A dairy farm
*The Los Angeles Lakers
*A nature conservation group
*A manufacturer of large-screen TVs, operating in Mexico City
*The Food and Drug Administration

10

Marketing Research, E-Commerce, and the Internet

Electronic Marketing Research:

Research ON the Internet: These studies use the Internet or other high tech means to study
any consumer or market behavior. The Internet becomes another modality for communicating
with customers, like paper-pencil surveys, phone interviews, etc.

Research ABOUT the Internet: These studies focus on e-commerce or consumer and
market behavior on the Internet as an end in itself. They often also use the Internet as a
means of collecting data, e.g., through email contacts, Web-based surveys, or
surreptitious observation and measurement of Web page visitations.
Electronic Marketing Research Companies:
Full Service, Established Firms: extending their menu of services to include the Internet (e.g.,
A.C. Nielsen, The NPD Group, Information Resources Inc.)
Internet Specialists: Newer marketing research firms concentrating on the Internet (e.g.,
Media Metrix, I-tracks, eMarketer, Jupiter Communications)

11

Figure 4: Reports of Last Year, and Projection of Next Years,

Use of Traditional and Online Marketing Research Projects

Source: Thomas Miller (2001) Studies of Information, Research, and Consulting Services, www.uwisc.edu/nielsencenter.

12

Figure 5: Whos Conducting Marketing Research?

13

Figure 5, continued

14

Figure 5, continued

15

Figure 5, continued

Source: Marketing Fact Book, Marketing News (July 7, 2003).

16

RESEARCH REALITIES 2: TOP 20 GLOBAL RESEARCH ORGANIZATIONS

Source: Honomichl Top 50 Annual Business Report on the Marketing Research Industry, Marketing News (June 9, 2003),
Chicago: American Marketing Association.

17

Marketing Research Job Titles and Responsibilities

Directors and Managers:

Research Director/Vice President of Marketing Research: This is the senior position in
research. The Director is responsible for the entire research program of the company.
Accepts assignments from superiors or from clients, or may, on own initiative, develop and
propose research undertakings to company executives. Employs personnel and exercises
general supervision of the research department. Presents research findings to clients or to
company executives.
Assistant Director of Research: This position usually represents a defined second in
command, a senior staff member having responsibilities above those of other staff members.

Analytically Skilled Methodologists:

Statistician/Data Processing Specialist: Duties are usually those of an expert consultant on the
theory and application of statistical techniques to specific research problems. Usually
responsible for experimental design and data processing.
Qualitative Specialist: Some firms have a person specifically assigned to oversee interview
techniques and focus groups.

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Marketing Research Job Titles and Responsibilities (continued)

Analysts:
Senior Analyst: Usually found in larger research departments. Participates with superior in
initial planning of research projects and direct execution of projects assigned. Operates with
minimum supervision. Prepares, or works with analysts in preparing, questionnaires. Selects
research techniques, makes analyses, and writes final report. Budgetary control over projects
and primary responsibility for meeting time schedules rest with the Senior Analyst.
Analyst: The Analyst usually handles the bulk of the work required for the execution of
research projects. Often works under a Senior Analyst. The Analyst assists in questionnaire
preparation, pre-tests them, and makes preliminary analyses of results. Most of the library
research or work with company data is handled by the Analyst.
Junior Analyst: Working under rather close supervision, Junior Analysts handle routine
assignments. Editing and coding of questionnaires, statistical calculations above the
clerical level, simpler forms of library research are among their duties. A large portion of
the Junior Analysts time is spent on tasks assigned by superiors.

19

Marketing Research Job Titles and Responsibilities (Continued)

Data Collection:
Field Work Director: Usually only larger departments have a Field Work Director who
hires, trains, and supervises field interviewers.
Full-time Interviewer: The Interviewer conducts personal interviews and works under
direct supervision of the Field Work Director. Few companies employ full-time
interviewers.

Support Staff:
Tabulating & Clerical Help: The routine, day-to-day work of the department is performed
by these individuals.
Librarian: The Librarian builds and maintains a library of reference sources
adequate to the needs of the research department.
Clerical Supervisor: In larger departments, the central handling and processing of
statistical data are the responsibility of one or more Clerical Supervisors. Duties include
work scheduling, and responsibility for accuracy.

20

Necessary Skills for an Entry or Junior Level Marketing Research Position

Technical Skills
* Computer Literacy
* Sample Design
* Statistical Analysis
* Numerical Skills

Managerial Skills
* Oral Presentation

* Written Communications
* People Relations
* Project Coordination

21