Brainscape's Knowledge GenomeTM

Browse over 1 million classes created by top students, professors, publishers, and experts.


See full index

Business - Marketing > Market Research > Flashcards

Market Research Flashcards

1
Q

What is market research?

A

Market research is the process of gathering, analysing and interpreting information about a market.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

What is the role of market research?

A

The role of marketing research is to try and find out answers to these questions:
- Would customers be willing to buy my product?
- What price would they be willing to pay?
- What price would they be most likely to buy my product?
- What feature of my product do customers most like or dislike?
- What type of customer would buy my product?
- What type of promotion would be effective with these types of customers?
- How strong is the competition and who are the main competing businesses?

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

What can market research find out?

A

Market research can find out:
- Quantitative data - gives us some form of numerical data
- Qualitative data - gives us non-numerical answers in the form of judgements or opinions

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

What are the market research methods?

A
  • Primary research - the collection and collation of original data via direct contact with potential or existing customers
  • Secondary research - uses information already been collected by others
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

What are the primary research methods?

A
  • Questionnaire
  • Online surveys
  • Focus groups
  • Interviews
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

What is a questionnaire?

A

A questionnaire is a set of questions to be answered as a means of collecting data for market research.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
7
Q

What are the advantages of a questionnaire?

A
  • Detailed qualitative information can be gathered about the product or service
  • Customers’ opinions about the product or service can be obtained.
  • They can be carried out online
  • To encourage people to fill in the questionnaire, vouchers can be offered or participants entered into a prize draw
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
8
Q

What are the disadvantages of a questionnaire?

A
  • If questions are not well thought out, the answers to them will not be very accurate
  • Carrying out questionnaires can take a lot of time and money
  • Collating and analysing the results is also time-consuming.
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
9
Q

What are online surveys?

A

Online surveys require the target sample to answer a series of questions over the internet.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
10
Q

What are the advantages of online surveys?

A
  • Fast, with quicker response times than other forms of survey
  • Cheaper than interviews or postal questionnaires
  • Easy to complete for the participant
  • Data collected can be quickly presented and analysed using IT tools.
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
11
Q

What are the disadvantages of online surveys?

A
  • Absence of interviewer to explain open-ended questions or to ask follow-up questions to gain more detailed information
  • Cannot reach potential respondents who do not have access to the internet
  • Scope for fraud - some people will just answer an online survey to gain any incentives being offered and not give honest answers
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
12
Q

What are focus groups?

A

Focus groups are where groups of people agree to provide information through a group discussion with a researcher present.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
13
Q

What are the advantages of focus groups?

A
  • They provide detailed information about consumers’ tastes and preferences.
  • Interaction between members of the group can help the business understand the reasons for people’s opinions.
  • Quicker and cheaper than individual interviews.
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
14
Q

What are the disadvantages of focus groups?

A
  • They can be time-consuming and expensive if conducted by a specialist market research agency.
  • Discussion could be biased if some people on the panel are influenced by the opinions of others.
  • Can be dominated by just a few people so the researcher will need to be experienced to deal with this.
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
15
Q

What are interviews?

A

Interviews involve asking individuals a series of questions over the internet.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
16
Q

What are the advantages of interviews?

A
  • The interviewer is able to explain any questions that the interviewee does not understand.
  • Detailed information can be gathered about what the interviewees like and dislike about the product.
17
Q

What is a product-orientated business?

A

Businesses produce the product first and then try to find a market for it. This is riskier and less common today.

17
Q

What are the disadvantages of interviews?

A
  • The interviewer could lead the interviewee into answering in a certain way, resulting in inaccurate results due to interviewer bias
  • Interviews are very time-consuming to carry out and therefore they are often an expensive way of gathering information.
18
Q

What is a market-orientated business?

A

Businesses carry out market research to find out what customer wants before a product is developed and produced - requires businesses to have a marketing budget

19
Q

What is a marketing budget?

A

A marketing budget is a financial plan for the marketing of a product or product range for some specified period of time.

20
Q

What is sampling?

A

A sample is the group of people who are selected to respond to a market research exercise such as a questionnaire.

21
Q

What is a random sample?

A

A random sample is when people are selected at random as a source of information for market research.

22
Q

What is a quota sample?

A

A quota sample is when people are selected on the basis of certain characteristics (such as age gender or income) as a source of information for market research.

23
Q

What is the need for sampling?

A

When deciding whom to ask to fill in a questionnaire or survey or whom to interview, a sample has to be selected. This is because it would be too expensive and time-consuming to try to include all the relevant populations in the research.

24
Q

What are the advantages of secondary research?

A
  • Cheaper way of gathering information than primary research as data collection has already been done by others.
  • It can be used to help assess the total size of a market by finding out the size of the population and its age structure.
  • Newspapers may carry vital economic forecasts if you are trying to assess when a recession is coming to an end and your sales are likely to increase again.
  • It is usually quicker to obtain secondary data than to undertake primary research.
25
Q

What are the disadvantages of secondary research?

A
  • Data may be outdated as it may have been collected several years ago
  • Data is available to all businesses including your competitors
  • Data may not be completely relevant as it was not collected with the needs of one business in mind
26
Q

What are the main internal sources of secondary data?

A
  • Sales department records, pricing data, customer records, sales reports
  • Opinions of distribution and public relations personnel
  • Finance department
  • Customer service department
27
Q

What are the main external sources of secondary data?

A
  • Government statistics
  • Newspapers
  • Trade association
  • Market research agencies
  • Online sources
28
Q

What are government statistics?

A

Government statistics are a detailed source of general information about such things as the population and its age structure.

29
Q

What are newspapers?

A

Newspapers may have useful articles, for example, information about the general state of the economy and whether customers are expected to increase or decrease their spending in the near future.

30
Q

What is a trade association?

A

If there is a trade association for the industry, it often provides information for the businesses in that industry.

31
Q

What are the factors influencing the accuracy of market research data?

A
  • How carefully the sample was drawn up
  • The way in which the questions in the questionnaire were phrased to ensure honest responses
  • The sample selected
  • The size of the sample
  • The wording of the questions
  • Who carried out the research
  • Bias
  • Age of the information
32
Q

What are some ways to present data from market research?

A
  • A table or tally chart - usually used to record the data in its original form
  • A chart - shows the total figures for each piece of data or the proportion of each piece of data in terms of the total number
  • A graph - used to show the relationship between the two sets of data.

Business - Marketing (7 decks)

Brainscape helps you reach your goals faster, through stronger study habits.
© 2024 Bold Learning Solutions. Terms and Conditions