Redefining Marketing

Research
The American Marketing Association (AMA)
redefined Marketing Research as:

The function that links the consumer, the

customer, and public to the marketer
through INFORMATION

Redefining Marketing
Research
Used to identify and
define market
opportunities and
problems

Information

Generate, refine, and

evaluate marketing
performance
Monitor marketing
performance
Improve understanding
of marketing as a
process

Definition of Marketing
Research
Marketing research is the systematic and objective
identification
collection
analysis
dissemination
and use of information

For the purpose of improving decision making related to the

identification and
solution of problems and opportunities in marketing.

Market Research
Specifies the information necessary to
address these issues
Manages and implements the data
collection process
Analyzes the results
Communicates the findings and their
implications
Helps managers use this information to
make decisions

Classification of Marketing
Research
Problem-Identification Research
Research undertaken to help identify problems which are
not necessarily apparent on the surface and yet exist or
are likely to arise in the future. Examples: market
potential, market share, image, market characteristics,
sales analysis, forecasting, and trends research.
Problem-Solving Research
Research undertaken to help solve specific marketing
problems. Examples: segmentation, product, pricing,
promotion, and distribution research.

A Classification of Marketing
Research
Marketing Research

Problem
Identification Research
Market Potential Research
Market Share Research
Market Characteristics
Research
Sales Analysis Research
Forecasting Research
Business Trends Research

Problem-Solving
Research

Segmentation
Research
Product Research
Pricing Research
Promotion Research
Distribution Research

Problem-Solving
Research
SEGMENTATION RESEARCH

Determine the basis of

segmentation
Establish market potential and

PRODUCT RESEARCH

responsiveness for various

segments
Select target markets

Test concept
Determine optimal product
design

Package tests
Create lifestyle profiles:
demography, media, and
Product modification
product image characteristics
Brand positioning and
repositioning
Test marketing
Control score tests

Problem-Solving
Research
PROMOTIONAL RESEARCH
Table 1.1 cont.
0.00% APR

Optimal promotional budget

Sales promotion relationship
Optimal promotional mix
Copy decisions
Media decisions
Creative advertising testing

PRICING RESEARCH

Evaluation of advertising
effectiveness

Pricing policies

Claim substantiation
Importance of price in brand selection
Product line pricing
Price elasticity of demand
Initiating and responding to price changes

$ALE

Problem-Solving
Research
Table 1.1 cont.
DISTRIBUTION RESEARCH

Determine
Types of distribution
Attitudes of channel members
Intensity of wholesale coverage
Channel margins
Location of retail and wholesale
outlets

Marketing Research
Process
Step 1 :

Problem Definition

Step 2 :

Development of an Approach to the Problem

Step 3 : Research Design Formulation

Step 4 : Fieldwork or Data Collection
Step 5 : Data Preparation and Analysis
Step 6 : Report Preparation and Presentation

Marketing Research
Process
Step
1: Defining the Problem
Step 2: Developing an Approach to the Problem
Step 3: Formulating a Research Design
Step 4: Doing Field Work or Collecting Data
Step 5: Preparing and Analyzing Data
Step 6: Preparing and Presenting the Report

The Role of Marketing

Research

Controllable
Marketing
Variables
Product
Pricing
Promotion
Distribution

Consumers
Employees
Shareholders
Suppliers

Marketing
Research

Marketing
Assessing
Providing
Decision
InformationInformation
Making
Needs

Marketing Managers
Market Segmentation
Target Market Selection
Marketing Programs
Performance & Control

Uncontrollable
Environmenta
l
Factors
Economy
Technology
Laws &
Regulations
Social &
Cultural
Factors
Political Factors

Opportunity scan

Solve Problem

Client
Needs

Option generation
Refine options
Decision

Fin
d

Seek

Pla
n

Act

Achieve Goal

Market Advise
Research Evaluate
Clarify
How We
Assist
Plan
Decisions Analysis Interpret Recommend
Research Execution
Facilitate
Help

Marketing Research Suppliers & Services

Fig. 1.5

INTERNAL

RESEARCH
SUPPLIERS

FULL SERVICE
Syndicate
Services
Standardized
Services

Internet
Services
Customiz
ed
Services

EXTERNAL

LIMITED SERVICE
Branded
Products
and Services

Field
Services
Coding and
Data Entry
Services

Analytical
Services

Data
Analysis
Services

Top 50 U.S. Marketing Research Firms

Table 1.2
U.S. Rank Organization
revenue
2004 2003
1
1
VNU Inc.

Headquarters

Website

($, in millions) ($, in millions)

New York

www.vnu.com

$1,794.4

$3,429.2

47.7%

IMS Health Inc.

Fairfield, Conn.

www.imshealth.com

571.0

$1,569.0

63.6

3
4

4
5

Westat Inc.
TNS U.S.

Rockville, Md.
New York

www.westat.com
www.tns-global.com

397.8
396.0

397.8
1,732.7

77.2

Information Resources Inc.

Chicago

www.infores.com

379.6

572.8

33.6

The Kantar Group

Fairfield, Conn.

www.kantargroup.com

365.7*

1,136.3*

67.8*

Arbitron Inc.

New York

www.arbitron.com

284.7

296.6

4.0

NOP World US

New York

www.nopworld.com

213

408.5

47.9

Ipsos

New York

www.Ipsos-na.com

193.9

752.8

74.2

10

10

Synovate

Chicago

www.synovate.com

193.5

499.3

61.3

11

Harris Interactive Inc.

Rochester, N.Y.

www.harrisinteractive.com

154.8

208.9

25.9

13

Harris Interactive Inc.

Rochester, N.Y.

www.harrisinteractive.com

116.7

155.4

24.9

20

Wirthin Worldwide

McLean, Va.

www.harrisinteractive.com

38.1

53.5

28.8

12

11

Maritz Research

Fenton, Mo.

www.maritzresearch.com

136.6

185.8

26.2

13

12

J.D. Power and Associates

Westlake Village, Calif.

www.jdpower.com

133.5

167.6

20.4

14

14

The NPD Group Inc.

Port Washington, N.Y.

www.npd.com

110.5

139.2

20.6

15

16

GfK Group USA

Nuremberg, Germany

www.gfk.com

93.0

834.6

88.9

16

15

Opinion Research Corp.

Princeton, N.J.

www.opinionresearch.com

91.5

147.5

38.3

Top 50 U.S. Marketing Research Firms

Table 1.2

U.S. Rank Organization

millions)
2004
2003 revenue
17
18
19
20
21
22
23
23
25
26
27
28
29
30
31
32

17
18
21
22
30
24
25
34
23
36
28
32
29
33

Lieberman Research Worldwide

Abt Associates Inc.
Market Strategies Inc.
Burke Inc.
comScore Networks Inc.
MORPACE International Inc.
Knowledge Networks Inc.
OTX Research
ICR/Int'l Communications Research
Directions Research Inc.
National Research Corp.
Marketing Research Services Inc.
Lieberman Research Group
Peryam & Knoll Research Corp.
National Analysts Inc.
Public Opinion Strategies LLC

Headquarters
Los Angeles
Cambridge, Mass.
Livonia, Mich.
Cincinnati
Reston, Va.
Farmington Hills, Mich.
Menlo Park, Calif.
Los Angeles
Media, Pa.
Cincinnati
Lincoln, Neb.
Cincinnati
Great Neck, N.Y.
Chicago
Philadelphia
Alexandria, VA

(Cont)

Website
www.lrwonline.com
www.abtassociates.com
www.marketstrategies.com
www.burke.com
www.comscore.com
www.morpace.com
www.knowledgenetworks.com
www.otxresearch.com
www.icrsurvey.com
www.directionsrsch.com
www.nationalresearch.com
www.mrsi.com
www.liebermanresearch.com
www.pk-research.com
www.nationalanalysts.com
www.pos.org

($, in millions)
67.2
41.5
37.9
37.1
34.9
31.1
29.8
29.8
29.0
27.3
26.7
25.4
25.1
22.5
22.3
21.2

77.7
41.5
39.5
43.4
34.9
34.5
29.8
29.8
29.4
27.3
29.7
25.4
25.5
22.7
22.3
21.2

$, in
13.5

4.1
14.5

9.9

1.4

10.1

1.6
0.1

Top 50 U.S. Marketing Research Firms

(Cont)
Table 1.2

U.S. Rank Organization

2004
2003 revenue
millions)
33
27
Walker Information Inc.
34
39
The PreTesting Co. Inc.
35
19
C&R Research Services Inc.
36
35
Flake-Wilkerson Market Insights
37
37
Data Development Worldwide
38
41
Schulman, Ronca & Bucuvalas Inc.
39
45
Cheskin
40
38
RDA Group Inc.
41
47
Marketing Analysts Inc.
42
46
Market Probe Inc.
43
44
Savitz Research Cos.
44
42
The Marketing Workshop Inc.
45
48
Ronin Corp.
46
49
MarketVision Research Inc.
47

RTI-DFD Inc.
48

Q Research Solutions Inc.

49
50
Data Recognition Corp.
50

Phoenix Marketing International

Headquarters
Indianapolis
Tenafly, N.J.
Chicago
Little Rock, Ark.
New York
New York
Redwood Shores, Calif.
Bloomfield Hills, Mich.
Charleston, S.C.
Milwaukee
Dallas
Norcross, Ga.
Princeton, N.J.
Cincinnati
Stanfordd, Conn.
Old Bridge, N.J.
Maple Grove, Minn.
Rhinebeck, N.Y.

Website
www.walkerinfo.com
www.pretesting.com
www.crresearch.com
www.mktinsights.com
www.datadw.com
www.srbi.com
www.cheskin.com
www.rdagroup.com
www.marketinganalysts.com
www.marketprobe.com
www.savitzresearch.com
www.mwshop.com
www.ronin.com
www.marketvisionresearch.com
www.rti-dfd.com
www.qresearchsolutions.com
www.datarecognitioncorp.com
www.phoenixmi.com

Total
All other (138 CASRO companies not included in the Top 50)3
Total (188 companies)

($, in millions)

$, in

20.4
19.8
19.7
18.8
18.3
17.2
16.5
15.4
15.2
14.1
14.0
13.9
13.5
11.8
11.5
11.2
10.8
10.6

23.8
20.4
19.7
18.8
20.7
17.2
19.0
17.0
15.6
24.6
14.0
13.9
13.9
11.8
11.5
11.2
10.8
10.6

14.3
2.9

11.6

13.2
9.4
2.6
42.7

2.9

$6,291.0
656.6
$6,947.6

$13,307.7
$737.7
$14,045.4

52.7%
11.0%
50.5%

*Estimated by Top 50 1U.S. and worldwide revenue may include nonresearch activities for some companies that are significantly higher. See
individual company profiles for details. 2Rate of growth from year to year has been adjusted so as not to includer

Selected Marketing Research

Career Descriptions
Fig. 1.6

Vice President of Marketing Research: The senior position

in marketing research. The vice president (VP) is responsible
for the entire marketing research operation of the company
and serves on the top management team. This person sets
the objectives and goals of the marketing research
department.
Research Director: Also a senior position. The research
director has the general responsibility for the development
and execution of all the marketing research projects.
Assistant Director of Research: Serves as an administrative
assistant to the director and supervises some of the other
marketing research staff members.
(Senior) Project Manager: Has overall responsibility for
design, implementation, and management of research
projects.
Statistician/Data Processing Specialist: Serves as an
expert on theory and application of statistical techniques.

Selected Marketing Research

Career
Descriptions
Fig. 1.6 cont.
Vice President of Marketing
Research

Research Director
Also part of senior
management

Part of companys top

management team

Heads the
development and
execution of all
research projects

Directs companys entire

market research operation
Sets the goals & objectives of
the marketing research
department

Assistant Director of
Research

Administrative assistant to
director
Supervises research staff
members
Senior Project
Manager
Responsible for design, implementation,
& research projects

Selected Marketing Research

Career
Fig. 1.6 cont. Descriptions
Senior Analyst
Participates in the development of projects
Carries out execution of assigned projects
Coordinates the efforts of analyst, junior analyst, & other personnel in
the development of research design and data collection
Prepares final report

Analyst
Handles details in execution of
project
Designs & pretests questionnaires
Conducts preliminary analysis of
data

Junior Analyst
Secondary data analysis
Edits and codes questionnaires
Conducts preliminary analysis of
data

Statistician/Data
Processing
Serves as expert on theory and
application on statistical
techniques
Oversees experimental design,
data processing, and analysis

Fieldwork Director
Handles selection, training,
supervision, and evaluation of
interviewers and field workers

Marketing Research Suppliers & Services

Internal suppliers
External suppliers
Full-service suppliers

Syndicated services
Standardized services
Customized services
Internet services

Limited-service suppliers

Field services
Coding and data entry services
Analytical services
Data analysis services
Branded marketing research products

Criteria for Selecting a Research

Supplier
What is the reputation of the supplier?
Do they complete projects on schedule?
Are they known for maintaining ethical
standards?
Are they flexible?
Are their research projects of high quality?
What kind and how much experience does the
supplier have? Has the firm had experience
with projects similar to this one?
Do the supplier's personnel have both
technical and non-technical expertise?
Can they communicate well with the client?
Competitive bids should be compared on the

Careers in Marketing
Research
Career opportunities are available with
marketing research firms (e.g., AC Nielsen,
Burke)
Careers in business and non-business firms and
agencies with in-house marketing research
departments (e.g., Procter & Gamble, CocaCola, the Federal Trade Commission, United
States Census Bureau)
Advertising agencies (e.g., BBDO International,
Ogilvy & Mather, J. Walter Thompson)
Positions: VP of marketing research, research
director/assistant director, project manager,
field work director, statistician/data processing
specialist, senior/junior analyst, and supervisor.

A Sample of Marketing Research

Jobs

Preparation for a Career in Marketing

Research
Take all the marketing courses you can.
Take courses in statistics and quantitative
methods.
Acquire Internet and computer skills. Knowledge
of programming languages is an added asset.
Take courses in psychology and consumer
behavior.
Acquire effective written and verbal
communication skills.
Think creatively. Creativity and common sense
command a premium in marketing research.

Management Information
Systems Vs. Decision Support
Systems
Fig. 1.7
DSS

MIS

Structured Problems

Unstructured Problems

Use of Reports

Use of Models

Rigid Structure

User Friendly Interaction

Information Displaying

Adaptability

Restricted
Can Improve Decision Making
by Clarifying Data

Can Improve Decision

Making by Using What
if
Analysis

The Department Store Project

The following information was solicited:
1.

Familiarity with the ten department stores.

2. Frequency with which household members shopped at

each of the ten stores.
3. Relative importance attached to each of the eight factors
of the choice criteria.
4. Evaluation of the ten stores on each of the eight factors of
the choice criteria.
5. Preference ratings for each store.
6. Rankings of the ten stores (from most preferred to least
preferred).
7. Degree of agreement with 21 lifestyle statements.
8. Standard demographic characteristics (age, education,
etc.)
9. Name, address, and telephone number.

Marketing Research Associations

Online
Domestic

AAPOR : American Association for Public Opinion

Research
(www.aapor.org)
AMA
: American Marketing Association
(www.ama.org)
ARF

: The Advertising Research Foundation

(www.amic.com/arf)

CASRO : The Council of American Survey Research

Organizations (www.casro.org)
MRA
: Marketing Research Association (www.mranet.org)
QRCA

: Qualitative Research Consultants Association

(www.qrca.org)

RIC

: Research Industry Coalition

Marketing Research Associations

Online
International
ESOMAR:
Marketing

European Society for Opinion and

Research (www.esomar.nl)

MRS:
The Market Research Society (UK)
(www.marketresearch.org.uk)
MRSA: The Market Research Society of
Australia (www.mrsa.com.au)
PMRS: The Professional Marketing Research
Society (Canada) (www.pmrs-aprm.com)