CHAPTER

TWO
The Consumer Research Process

In short
1. To Understand the Importance of
Consumer Research for Firms and Their
Brands, as Well as Consumers.
2. To Understand the Steps in the
Consumer Research Process.
3. To Understand the Importance of
Establishing Specific Research
Objectives as the First Step in the
Design of a Consumer Research Project.
2

Learning Objectives
(continued)
4. To Understand the Purposes and Types of
Secondary Consumer Research That Is Available for
Making Decisions or Planning Future Consumer
Research.
5. To Understand Specific Features and Applications of
Different Research Methods to Be Carried Out in
Consumer Research Studies.
6. To Understand Where Data Analysis and Reporting
of Findings Fit in the Research Process.
7. To Understand How Each Element of the Consumer
Research Process Adds to the Overall Outcome of
the Research Study.
3

Why Do Marketers Regularly Test Print Ads Like

This One Before They Are Placed in the Media?

To Test the Impact of the Message Before

Spending Large Amounts of Money

Consumer research
Consumer research has developed from
the more general field of market research.
It is a field of study that has been influenced
by researchers and practitioners in several
other fields, including psychology, sociology,
and anthropology.
Consumer research is important for
marketers as the competitive landscape in
almost every industry becomes even more
challenging and with growth in global and
cross-cultural markets.

The Importance of the

Consumer Research Process
Marketers must understand
customers to design effective:
marketing strategies
products
promotional messages

The Consumer Research

Process

The Consumer Research Process

Secondary research
Primary research
Qualitative
Quantitative

Developing Research Objectives

Defining purposes and objectives
helps ensure an appropriate research
design.
A written statement of objectives
helps to define the type and level of
information needed.

10

 Assume you are planning to open a

new restaurant near your campus.
What might be three objectives of a
research plan for your new business?
How could you gather these data?

11

 What might be three objectives of a

research plan for your new business?

To determine the target market, to

set pricing strategies, and to design
effective marketing messages

How could you gather these data?

Through research might include focus
groups, surveys, and observation studies
of local students and their traffic
patterns.

Secondary Data

Data that has been collected for reasons other than the specific
research project at hand.
Includes internal and external data
13

Types of Secondary Data

Internal Data
Data generated inhouse
May include analysis
of customer files
Useful for calculating
customer lifetime
value

External Data
Data collected by an
outside organization
Includes federal
government,
periodicals,
newspapers, books,
search engines
Commercial data is
also available from
market research firms
14

Examples for secondary data

sources,

Neilsen Media Research

http://www.censusindia.gov.in/

Personal Privacy
Many people do not like the fact that
their personal data are used for
marketing.
How can marketers justify their need
for data?
How can they acquire data and
maintain customer privacy?

18

 How can marketers justify their need for data?

In many instances, marketers are gathering this data to truly
provide better products and services. In addition, they want
to know their customers better so they can better predict
their needs. For example, if a company knows a customers
policy is about to expire, they can contact the customer to
determine if they want to renew their policy.

How can they acquire data and maintain customer

privacy?
A couple of things must happen here. First of all, companies
should be careful when sharing information. If the
information is sold, it should always be in aggregate and
never expose a customers personal information. Second of
all, they must be clear with the customer when and how
information will be shared. Finally, companies must
carefully screen their employees who work with personal
information to prevent such problems as identity theft.