The Research Process

2. The Research Process Outlets–the Place Decision 2

3. Chapter Objectives • Define ____________ _____________. • Explain how businesses use market research. • Identify the steps used in the ____________ process. • Explain how businesses make the place decision as part of the marketing ____. • Discuss direct and indirect channels of ______________. 3

4. Research and the Marketing Concept Market research is a way for companies to get to know their customers. market research: Large companies use surveys and focus groups as part of their market research. 4

5. Steps in the Research Process The five steps in the research process are: secondary research: • Identify the problem. primary research: • Conduct secondary research. • Select and design primary research. • Observation method observation method: continued 5

6. Steps in the Research Process • Collect data. • Census • Sample • Data mining Census: Sample: • Report and analyze. • Qualitative-research data • Quantitative-research data 6

7. Name the five steps in the research process. What is the difference between secondary and primary research? What are the three types of primary research methods? 1. 2. 3. 7

8. Place Decision Place decisions involve how you get your product into the hands of your customer. Reaching each type of customer (business customer or ultimate customer) requires a different channel of distribution. 8

9. Channels of Distribution Direct Channels: direct channel: • Direct marketing • Telephone sales • Print • Television • E-mail and the Internet direct marketing: 9

10. Multiple Channels: • Involves more than one type of distribution channel to reach customers Channels of Distribution Indirect Channels: indirect channel: • Agents • Wholesalers • Retailers 10

11. Direct Channel Consumer Manufacturer Indirect Channel Consumer Manufacturer Wholesaler Retailer Web Site Multiple Channels Wholesaler Consumer Manufacturer Retailer Channels of Distribution 11

12. Weaving a Ticketweb Venues both large and small offer electronic ticketing, or use services such as Ticketmaster or Ticketweb to offer tickets. When you order online, you pay a convenience fee—but you Operating an e-tail business on an electronic channel—the Web—can be costly, due to design, delivery, returns, and operating expenses. Though Many larger dot-com companies crashed in the 1990’s, small stores like Harris Cyclery of West Newton, Massachusetts, actually increase sales using a basic Web site. Today, a third of Harris’s bicycle business rides in on the Web to get hard-to-find parts and personal service. Describe an e-business’s home page to your class after viewing one through marketingseries.glencoe.com. never have to wait in line. You can choose to have paper tickets shipped to you for a price. But more often than not, people decide to use the “Will Call” option that allows people to pick up tickets at the time of the event. For more information on sports and entertainment marketing, go to marketingseries.glencoe.com. 12

13. What does the place decision involve? List several different distribution methods. What are three basic types of intermediaries in an indirect channel of distribution? 1. 2. 3. 13

14. Checking Concepts 1. Define market research. Explain how businesses use market research. 2. List the steps used in the market-research process. 3. Explain the three primary research methods and when each should be used. 4. continued 14

15. Checking Concepts 5. Describe how primary research data are collected, reported, and analyzed. Identify how businesses make the place decision as part of the marketing mix. 6. continued 15

16. Checking Concepts 7. Explain the appropriate channels of distribution for a product. Explain why a city government would conduct market research before bringing in a minor league baseball team. 8. 16