MAY 2012 MARKETING RESEARCH- SOLUTIONS

SECTION A

Question one

(a)Product research

This is research on the product itself, whether existing or new .It also involves customer perceptions and reactions to products. It involves R & D, screening of new ideas, product testing, test marketing, product life cycle research, and NPD process. Product research helps organisations in portfolio panning and management.

(b)Distribution research

This is another important element of the marketing mix. Research on distribution helps the organisation to select appropriate marketing channels to distribute its product. Its helps the organisation to make decisions whether to distribute directly to the customer, through agents or recognised distributors or through wholesale/retailers

(c)Communication research

Communication research has the following aims, to inform consumers, to remind, to change attitude and support increase in sales. It involves research on the communication mix as follows; advertising research, sales promotion research, Public relations research, and direct marketing research.

(d)Difference between Marketing and market research

Marketing research is concerned with finding out about markets both existing and potential. Information may be required on market size, Market trends, Sales forecasts, customer information, competitor information, segmentation study, Market characteristics. While market research is one aspect of marketing research which focus on researching specific markets. It is concerned with quantifying information to provide forecasts of sales and assess potential sales. Market research is based on the use of mathematical and statistical techniques to reduce uncertainty.

Question two

(a)Structuring and writing market research reports

  1. Respect the client’s importance-do not waste the client’s time with irrelevant, badly structured overlong information. Provide the right level of detail, consider the level of seniority in the company and the pressures of time.
  2. Consider the client’s needs – what level of detail they require, the client need to make a marketing decision.
  3. Demonstrate how your information will help the client – relate the research findings to the original objectives
  4. Explain the detail that underpins your information – provide the research findings, analysis and conclusion. Why should the client believe your information.
  5. Remind the client of the key points - summarise
  6. Suggest what the client should do next – provide recommendations and action required. The client makes the final decision.

Report format

  1. Title page – Research title, client details and the date of presentation
  2. Table of contents – The major headings and sub headings
  3. Executive summary – A short summary of the research findings and its recommendations
  4. Introduction/problem definition – summarise the objectives of the research
  5. Situation analysis and problem definition – Outline of the background to the problem and review of marketing and business objectives.
  6. Research methodology and limitation – similar to the proposal and covers areas such as research methods, data collection mechanism, topic/discussion guide or questionnaire, the definition of the population of interest, the sampling approach and the method of data analysis.
  7. Research findings and analysis – the results of the research, table of qualitative research results, diagrams, charts, graphs, data analysis.
  8. Conclusion and Recommendations – The outcome of the research, the answers to the client’s question, fulfilled objectives and recommendations.
  9. References – Supporting appendices e.g. questionnaires, original discussion document, detailed tables and figures, list of secondary sources

(b)Oral Reports

Oral reports should follow Wilson audience thinking sequence which suggests the following structure;

  1. Introduction
  2. Explanation of research methodology
  3. Key findings
  4. Conclusion/recommendations
  5. Questions

The presentation should be kept as short as possible to ensure maximum attention. Additional considerations include the following;

  1. The room – consider temperature, lighting and seating
  2. The audience – who is the audience, their level of knowledge, why they are there(are they present by compulsory or voluntary )
  3. The presentation tools – What kind, laptop and projector, overhead projector, or flip chart, are they working properly?
  4. The presentation itself – should be a mini version of the written report. Should take the format; introduction, explanation of research methodology, Key findings, Conclusion/ recommendations, Questions.
  5. Questions – Allow time for questions but prepare possible questions and proposed answers.
  6. Personal Appearance – Make sure you look tidy, clean and comfortable, make eye contact, smile at any opportunity, and be calm.

(c)Design oftables for communicating data and results.

  1. Tables should be easy to understand
  2. Table should have a clear title
  3. All columns and rows should be clearly labelled
  4. Where appropriate, there should be subtotals and the right hand total column for comparison.
  5. A total figure is often advisable at the bottom of each column.
  6. Numbers should be right aligned.
  7. Tables should be packed with too much data.

Question Three

(a)Ethical Issues involved in using the customer’s information

The ethical issues will be based on the following

Goodwill – on the part of respondents volunteering information to Market Point and NB

Trust – on the part of the respondents trusting market point to provide accurate information and Market point trusting the client to be open and provide sufficient background and supporting information.

Professionalism – On the part of both the agency and the client should be maintained at all times in order to maintain credibility.

Confidentiality – Investigating sensitive information about markets and competitive environments demands confidentiality agreements on the part of the agency.

  1. It is important that the data be collected using procedures that are morally appropriate
  2. Data can be judged unethical if it was gathered in a way that harms the respondents or invades their privacy.
  3. Where a company processes data, it must be done fairly and lawfully.
  4. Data must be obtained for only specific and lawful purposes and not be further processed in a manner incompatible with that purpose.
  5. Personal data must be adequate, relevant and not excessive in relation to the purposes for which it is processed.
  6. Personal data must be accurate and where necessary up to date.
  7. Personal data shall be processed in accordance with the data subject’s rights which include the right to access.
  8. Data must be kept secure against accidental loss, destruction or damage.

(b)Benefits of developing a database of customers

  1. Data is available for all users to share
  2. Avoidance of data duplication in files kept by different users
  3. There is flexibility in the way in which shared data can be queried , analysed and formatted
  4. There is consistence in the organisation’s use of data
  5. There is better profiling of prospects and customers
  6. There is better segmentation, Targeting and positioning
  7. There is better chance of securing sales

Question four

Research Proposal

Prepared by:M Gondwe

Prepared for:CCB

Date:5 may 2012

1.0 Background

CCB wishes to start provide loans for Small Medium Enterprises [SME] in the country. Its main competitor started providing such loans five years ago

2.0 Objectives

This research will undertake to address the following;

2.1 To assess the viability of providing loans for SME’s

2.3To assess the profitability of such a project

3.0 Methodology

Secondary research will be conducted first to give a general overview and later primary research will provide more specific understanding of the CCB’s customers

3.1 Secondary Research

Secondary research is also referred to as desk research and can be conducted in an office or library without going into the actual field. This research will use a number of sources including; Market reports, CCB reports, trade and industry journals, Trade associations, Chamber of commerce, Financial statements e.t.c. These should be selected based on relevance to the research objectives, how recently it collected, Validity of the methods used was and the cost of procurement.

This research will help an understanding of the trends in the market, Key players, and potential gaps in the market, Market size and growth. It is also help on sampling process and primary research.

3.2 Primary Research

Primary research is essential to help CCB understand the target consumer better in the attitude and preferences and how they may behave in the future.

Primary research can be carried out using qualitative methods and quantitative method

3.3 Qualitative research

This can be conducted using either face to face interviews or group discussions, facilitated by trained moderator. The following can be recommended;

Group discussion will provide a conducive environment where idea will be explored

Respondents will additionally benefit from other respondents knowledge will therefore engage in a balanced discussion

Group discussion are easier to administer covering large number of people but at the same time minimising costs

3.4Sample

The following sample details can be recommended;

10 groups of 5 respondents can be used

These should be held in the major cities of Malawi including BT, LL and Mzuzu.

Groups can be split in different adges e.g.18 – 35,

3.5 Quantitative research

Face to face interview can be recommended as this will allow the interviewer to explain the different products and services. On-line self completion can also be used for the working class who likely to have access to internet.

4.0 Sample

Quota sampling can be used. This kind of sampling has proved to be accurate in this kind of research. Sample size can be determined by the level of confidence required from the results.

Questionnaire Content

The questionnaire will focus on the appeal of different products, pricing, and promotion e.t.c

6.0 Reporting

Detailed report and analysis in word

Debrief of results to key research personnel and debrief document in Power point

Transcripts and Videos of the discussion groups

Quantitative surveying data and its statistical analysis

7.0 Time Scales

week / Activity
1 / commissioning & breifing
2 / Desk research
3 / Discussion guide
6-May / Field work[qualitative research]
7 / Interim briefing
8 / Questionnare design
9 / Qualitative field work
10/11/12/13 / Analysing & intepreting information
14 / Report & Debriefing

8.0 Costs

Desk researchMK100, 000

Qualitative researchMK300, 000

Qualitative researchMK200, 000

Question five

Designing a questionnaire

Part A

Personal Details

We need information about your:

Title: Mr./ Mrs/Ms/Dr/Prof./Other

First Name......

Last Name......

Job Title......

Company/Organisation......

Address......

Tel......

Home...... Office...... Cell......

Fax...... Email......

Your Responsibility...... Key areas......

Please indicate if you are male/female

Part B

  1. Are you a member of the institute of bankser[IOB]
  1. What kind of products /services do you use at IOB. Please specify
  2. How would you rate the following products and services

(a)Student services

(b)IOB Examinations

(c)Lecturers performance

(d)Relationship with IOB staff

(Excellent. Very Good. Good. Not Good. Poor. Non of the above)

  1. Explain what you think IOB should do to improve its products and services
  2. How do you rate the IOB against its main competitors

Much better, Better, worse, much worse.

  1. Have any of IOBs products d services assisted you in any way. Please specify.
  1. Have had an opportunity to talk to IOB’s management or staff about CCB’s products/services

We thank you for your assistance in completing this form. Please return the completed form to the above address.

Question Six

Integrated Marketing information systems [MKIS]

Question Seven

(a)Stages that should take in carrying IMR successfully (10 MARKS)

The IMR Process

Stage 1.Monitoring international markets(

This stage involves passive information gathering in which National Bank has identified a particular market on which the information needs to be collected.

If the information collected indicates potential for new market, the manager will then proceed to the next stage of investigation.

Stage 2.Investigation

The most important aspect of the investigation stage is the accurate assessment of market opportunity. It involves identifying the following

Existing demand- This concerns current purchases of a particular product. It is this demand that originally attracted the company’s management to the market during the monitoring phase

Latest demand – This is the demand which exist in the market but is currently untapped because of a defect in the marketing mix used by existing suppliers.

Incipient demand – This is the demand that depends on the trends. It is used most often by manufacturers of goods that require wealth levels in an economy to be above a certain minimum before volume of the demand becomes sufficiently great to become profitable.

Stage 3.Research

By this stage of the IMR process the new marketing idea has to look sufficiently promising to be worthy committing a budget. It will involve the following

  1. Planning
  2. Desk research
  3. Market access analysis
  4. Market structure
  5. Competitor analysis
  6. Market practice analysis
  7. Comparing patterns of demand/consumptions in different markets
  8. Identifying clusters of markets with similar characteristics
  9. Identifying strategically equivalent segments

(b)Outline specific objectives of IMR [5 marks]

  1. To identify attractive new markets
  2. To enhance profitability by pinpointing opportunities and threats
  3. To facilitate awareness of the general market trends
  4. To monitor changes in customer needs and preferences
  5. To have knowledge of competitor plans and strategies
  6. To monitor political, legal, economic, social and technological trends

(c)Potential Challenges in carrying out IMR [5marks]

  1. Cultural challenges
  2. Political challenges
  3. Economic challenges

Question 8

Critically assess the merits and demerits of the following research methods

(a)Face to face interviews[5 marks]

(b)Street interviews[5 marks]

(c)Telephone interviews[5 marks]

(d)Web based surveys[5 marks]

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