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MARKET RESEARCHINFORMATION COMMUNICATION MANAGEMENT INFORMATION COMMUNICATION MANAGEMENT11What is market research ? How well do you know your target audience ?

How do you effectively conduct your business, if you dont know about your target audience ?

Market research !!INFORMATION COMMUNICATION MANAGEMENT22

INFORMATION COMMUNICATION MANAGEMENT33

INFORMATION COMMUNICATION MANAGEMENT44Market research is the process of gathering, recording, analysing and interpreting data about customers and competitors within a firms target market.Identify opportunities and treats Measure consumer behaviour Benchmark effectiveness

Market research INFORMATION COMMUNICATION MANAGEMENT55Help the organization to achieve objectivesWhat customer wants How much they willing to spendEliminate intuition and emotion decision making processReduces business risks

GOALINFORMATION COMMUNICATION MANAGEMENT66The process of gathering, analysing and interpreting information about a market, about a product or service to be offered for sale in that market, and about the past, present and potential customers for the product or service; research into the characteristics, spending habits, location and needs of your business's target market, the industry as a whole, and the particular competitors you face.

(Source: http://www.entrepreneur.com/encyclopedia/market-research)

Definition INFORMATION COMMUNICATION MANAGEMENT77Accurate and thorough information is the foundation of all successful business ventures because it provides a wealth of information about prospective and existing customers, the competition, and the industry in general. It allows business owners to determine the feasibility of a business before committing substantial resources to the venture.

Importance of Market ResearchINFORMATION COMMUNICATION MANAGEMENT88Market research provides relevant data to help solve marketing challenges that a business will most likely face--an integral part of the business planning process. Market research is important for every business, and should not be just a one-off activity. Successful businesses conduct research on a continual basis to keep up with market trends and to maintain a competitive edge. Regardless of whether youre starting or expanding your business, market research is vital to understanding your target market and increasing sales.

INFORMATION COMMUNICATION MANAGEMENT99Business owners conduct research for many reasons

Identify potential customersWho is going to use your product/service? Are they very rich or middle class or low income people? Are your customers general public or business? Where do they live? What is their level of education? and so on.INFORMATION COMMUNICATION MANAGEMENT1010Understanding your existing customersWhy do customers choose your product/ service over competitors? What do they value? Is it service, product quality or the prestige associated with consuming your product/service? Who influences their buying decision? What magazines do they read? What websites do they visit? What do they enjoy doing?Set realistic targetsFrom the information you collect youll be able to set realistic targets for areas such as growth, sales and the introduction of new products/services.INFORMATION COMMUNICATION MANAGEMENT1111Develop effective strategiesFrom your research youll be able to make informed marketing decisions about how to price your product/service, how to distribute your product/service, which media channels to use (eg: newspaper, radio or direct marketing) or whether to develop a new product/service. It will also help you make an informed decision about starting, building, consolidating, diversifying or reducing business activity.INFORMATION COMMUNICATION MANAGEMENT1212Examine and solve business problemsIf youve identified a business problem, research will help you work out what is happening. For example, if your sales have fallen you might discover that brand awareness has also fallen, or that a new competitor has entered the market or a substitute product has become available.INFORMATION COMMUNICATION MANAGEMENT1313Prepare for business expansionResearch will help you identify areas for expansion and test the markets readiness for a new product/service. For example you could be looking to open a new retail store and you need to find the right location or you could plan to make changes to your distribution channels (eg: from home parties to retail) and need to determine how that will affect your customer base.INFORMATION COMMUNICATION MANAGEMENT1414Identify business opportunities.Your research could identify new business opportunities. You may find an un-serviced or under-serviced market. You could identify changing market trends such as population shifts, increasing levels of education or leisure time which bring new opportunities.INFORMATION COMMUNICATION MANAGEMENT1515Types of Market Research By SourceBy MethodologyBy Objectives- Primary- Secondary- Qualitative- Quantitative- Exploratory- Descriptive- Causal (or experimental)Primary researchPrimary research is original research conducted by you (or someone you hire) to collect data specifically for your current objective. You might conduct a survey, run an interview or a focus group, observe behavior, or do an experiment. You are going to be the person who obtains this raw data directly and it will be collected specifically for your current research needINFORMATION COMMUNICATION MANAGEMENT1616Primary Research techniques gather data through

Surveys by TelephoneFaxPostal mailE-mailWebsites

Test marketingIndustry special interest groupsClient advisory panel

Focus group by One to one interviewOr Group discussion

INFORMATION COMMUNICATION MANAGEMENT1717BenefitsDrawbacksDirectly relevant to the businessUp-to-date data obtainedCompetitors do not have access to the findingsTime consumingOften expensiveResults may be misleading if the sample size is too small, questions are unclear or there is interviewer biasPrimary research involves finding out new, first-hand information. This is called primary dataINFORMATION COMMUNICATION MANAGEMENT1818Secondary researchinvolves searching forexisting datathat was originallycollected by someone else. You might look in journals, libraries, or go to online sources like the US census. You will apply what you find to your personal research problem, but the data you are finding was not originally collected by you, nor was it obtained for the purpose you are using it for.

Secondary research involves gathering existing information. This is called secondary data.

Secondary ResearchINFORMATION COMMUNICATION MANAGEMENT1919Sources of secondary data include:Market research reportsTrade journalsGovernment statisticsSales and customer recordsBenefitsDrawbacksOften quick and easy to collectA wide range of secondary data is available, especially on the internetData may not be reliable or up-to-dateMay not be totally relevant May not be in a form that is easily interpreted and analysedINFORMATION COMMUNICATION MANAGEMENT2020

INFORMATION COMMUNICATION MANAGEMENT2121Quantitative ResearchQuantitative market research involves finding numerical dataQuantitative data is generally collected from large samples and is easy to analyseMethods of collecting quantitative data include written and online questionnairesQualitative research involves finding out opinions, attitudes and feelingsOften more useful than quantitative data but is more difficult to collect and analyseMethods of collecting qualitative data include focus groups & in-depth interviewsQualitative ResearchINFORMATION COMMUNICATION MANAGEMENT2222Exploratory researchInvestigation into a problem or situation which provides insights to the researcher. The research is meant to provide details where a small amount of information exists. It may use a variety of methods such as trial studies, interviews, group discussions, experiments, or other tactics for the purpose of gaining information.

INFORMATION COMMUNICATION MANAGEMENT2323Descriptive research is to identify the cause of something that is happening. For instance, this research could be used in order to find out what income level group is buying a particular companys service or product, whether a companys market share differs between geographical regions or to discover how many competitors a company has in their marketplace. However, if the research is to return useful results, whoever is conducting the research must comply with strict research requirements in order to obtain the most accurate figures/results possible.Descriptive Research INFORMATION COMMUNICATION MANAGEMENT2424Causal Research explores the effect of one thing on another and more specifically, the effect of one variable on another.The research is used to measure what impact a specific change will have on existing norms and allows market researchers to predict hypothetical scenarios upon which a company can base its business plan.For example, if a clothing company currently sells blue denim jeans, causal research can measure the impact of the company changing the product design to the colour white.Following the research, company bosses will be able to decide whether changing the colour of the jeans to white would be profitable.To summarise, causal research is a way of seeing how actions now will affect a business in the future.Causal Research INFORMATION COMMUNICATION MANAGEMENT2525INFORMATION COMMUNICATION MANAGEMENT26Market Research Process

26INFORMATION COMMUNICATION MANAGEMENT27Market Research ProcessDefine the problem and justify the need for market researchDefine research objectivesDevelop research planCollection and Analysis of dataInformation InterpretationPresent research findings for decision making and recommendation 27INFORMATION COMMUNICATION MANAGEMENT281. Define the problem and justify the need for market researchDene your Business ObjectivesBusiness objectives are a statement of what you want to achieve in your business and whenThink about the strategic business decisions you need to make in order to address the issues.Try to sum up your business objectives in one or two sentences for example in the next 12 months we want toBuild a reputation for only providing the best quality products/service in construction industry.Build a reputation for offering the best value for money service proposition in the market place28INFORMATION COMMUNICATION MANAGEMENT292. Define research objectivesBusiness objective 1- Build a reputation for only providing the best quality products/service in our industry.Research objectivesInvestigate suppliers in our industry, and understand their product quality offerings.Understand which products our customers and competitor customers perceive as the best quality.

29INFORMATION COMMUNICATION MANAGEMENT30Research objectivesWhat are our customers expectations of good service?How do we perform against these service expectations?What is the price / quality trade off customers are willing to take to ensure they always receive the best products and services?Business objective 2 - Build a reputation for offering the best value for money service proposition in the market place.30INFORMATION COMMUNICATION MANAGEMENT313. Develop research planThink about what information is already available to you through other resources i.e. secondary research, trade press or feedback you have received from customer.What information is still missing?What is the best way to obtain this informationDo you need to start with a qualitative study?Do you need to do follow up quantitative research?31INFORMATION COMMUNICATION MANAGEMENT32Develop research plan..Identify data needs and data sourcePrimary data & Secondary dataQualitative data and Quantitative dataChoose appropriate research design method and data collection methodInterviewsDirect observationQuestionnaireExperiments INFORMATION COMMUNICATION MANAGEMENT33InterviewsAn interview is a conversation between two or more people where questions are asked by the interviewer to elicit facts or statements from the interviewee. Interviews are a standard part of qualitative research.Types of InterviewsInformal, conversational interview no predetermined questions are asked, in order to remain as open and adaptable as possible to the interviewees nature and priorities; during the interview the interviewer goes with the flow.INFORMATION COMMUNICATION MANAGEMENT34General interview guide approach the guide approach is intended to ensure that the same general areas of information are collected from each interviewee; this provides more focus than the conversational approach, but still allows a degree of freedom and adaptability in getting the information from the interviewee.Standardized, open-ended interview the same open-ended questions are asked to all interviewees; this approach facilitates faster interviews that can be more easily analyzed and compared.INFORMATION COMMUNICATION MANAGEMENT35Closed, fixed-response interview where all interviewees are asked the same questions and asked to choose answers from among the same set of alternatives. This format is useful for those not practiced in interviewing.Direct observationDirect observation, also known as observational study, is a method of collecting evaluative information in which the evaluator watches the subject in his or her usual environment without altering that environment.INFORMATION COMMUNICATION MANAGEMENT36QuestionnaireA questionnaire is a research instrument consisting of a series of questions and other prompts for the purpose of gathering information from respondents.Sample questionnaire : - https://www.surveymonkey.com/r/?sm=3sZbE046vAOZNz4RQANii5yNeQO8clc8GKA%2fJS5mVS0%3dExperimentsResearch method for testing different assumptions (hypotheses) by trial and error under conditions constructed and controlled by the researcher. INFORMATION COMMUNICATION MANAGEMENT37Design research formIdentify the sample What is sample ?A small part of anything or one of a number, intended to show the quality, style, or nature of the whole; specimen.What is Sampling ?Sampling is the process of selecting units (e.g., people, organizations) from a population of interest so that by studying the sample we may fairly generalize our results back to the population from which they were chosen.INFORMATION COMMUNICATION MANAGEMENT38Define your Target SampleStart thinking about who you need to talk to, are theyYour customers?Competitor customers? Potential customers?How old are they?Where do they live?What channels do they buy through?Where can you find them?INFORMATION COMMUNICATION MANAGEMENT39Determine Sample SizeTo determine the ideal sample size you need to consider the following:The margin of error you are willing to tolerateHow many ways you want to cut the data, i.e. which subgroups do you want to compareMale vs. females25 - 34, 35-44 By State etc The budget you have availableINFORMATION COMMUNICATION MANAGEMENT40Sample Size and Sampling ErrorGiven two exactly the same studies, same sampling methods, same population, the study with a larger sample size will have less sampling process error compared to the study with smaller sample size. Keep in mind that as the sample size increases, it approaches the size of the entire population, therefore, it also approaches all the characteristics of the population, thus, decreasing sampling process error.

INFORMATION COMMUNICATION MANAGEMENT414. Collection and Analysis of dataData Collection -

Data Analysis - 41INFORMATION COMMUNICATION MANAGEMENT42Most o the content gets rom many resource .INFORMATION COMMUNICATION MANAGEMENT43INFORMATION COMMUNICATION MANAGEMENT44INFORMATION COMMUNICATION MANAGEMENT45