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Prepared and presented by:-
Prashant Sakariya
Introduction to Consumer
Research
 Consumer    Research is a form of applied
 sociology that concentrates on
 understanding the
 preferences, attitudes, and behaviors of
 consumers in a market based
 economy, and it aims to understand the
 effects and comparative success of
 marketing campaigns. The field of
 consumer marketing research as a
 statistical science was pioneered by
 Arthur Nielsen with founding of the
Introduction to Consumer
Research            (cont..)
 The   consumer research focuses more
  on the data collection and relationship
  building and strengthening between
  the contracted consumer and the
  company.
 For the action part, the company
  identifies the participants and fixes
  their problems.
Evolution of Consumer Research
 The early consumer researchers gave little thought
  to the impact of mood, emotion or situation on
  consumers decisions. They believed that marketing
  was applied economics, and that consumers were
  rational decision-makers who actively evaluated
  the goods and services available to them and
  selected those that gave highest utility at the
  lowest cost.
 In 1939, a Viennese psychoanalyst named Ernest
  Dichter began to use Freudian psychoanalyst
  techniques to uncover the hidden motivation of
  consumers which is commonly known as
  Motivational research that includes Qualitative and
  Quantitative research.
Consumer Research
Paradigms
    Usually customers hesitates to reveal
    their reasons or motivational factor which
    made them to purchase a product or
    service at that time the consumer
    researchers use the two different types
    of research methodology to study
    consumer behavior: quantitative
    research and qualitative research.
Quantitative Research
 It is descriptive in nature and this method is used to
  predict the consumer behavior. This method always
  consists of experiments, surveys techniques, and
  observations. The findings are empirical and if
  collected randomly this can be generalized to large
  populations and the data are quantitative, they lend
  to sophisticated statistical analysis.
 Designs used in Quantitative Research
     Observational research
     Experimentation
     Surveys
   Observational research
             Here in this method the people
    or customers are observed when they
    are purchasing the product or using the
    product

      Mechanical observation
            Uses a mechanical or electronic
    device to record customer behavior or
    responses to a particular marketing
    stimulus.
      Experimentation
         It is possible to test the relative sales appeal of
    many types of variables, such as package designs,
    prices promotional offers, or copy themes through
    experiments designed to identify cause and effect.

   Surveys

       There are various survey methods are there they
    are,
     personal interview survey

     telephone survey

     mail surveys

     online surveys
Qualitative research
   This includes depth interviews, focus groups, metaphor
    analysis, and projective techniques. Here sample sizes
    are necessarily small so we cannot generalized to
    larger population they are used to obtain new ideas for
    promotional campaigns.

   The important methods of data collection in this
    research design are depth interview, focus group,
    discussion guides, projective
    techniques and metaphor analysis. These techniques
    are regularly used the early stages of attitude research
    to pinpoint relevant product related beliefs and to
    develop an initial picture of consumer attitude.
   Depth interview:
                 This is a lengthy non structured interview
    between a respondent and highly trained
    interviewer, who minimizes his own participation in the
    discussion after establishing the general subject to be
    discussed

   Focus group:
               This consist of 8 to10 respondents who
    meet with a moderator analyst for a group discussion
    “focused” on a particular product or product category.

    Projective techniques:
                 This is designed to tap the underlying
    motives of individuals despite their unconscious
    rationalizations or efforts at conscious concealment.
   Metaphor analysis:
                   In the 1990, a stream of
    consumer research emerged suggesting
    the most communication is non verbal and
    that people do not think in words but in
    images.
Combining qualitative and
quantitative research
   Marketers often use a combination of quantitative
    and qualitative research to help make strategic
    marketing decisions. For Example, They use
    qualitative research findings to discover new ideas
    and to develop promotional strategy, and
    quantitative research findings to predict consumer
    reactions to various promotional inputs. The
    combined findings enable marketers to design
    more meaningful and effective marketing
    strategies.
Scope of Consumer Research
 Market     Research:
   Determining the size of current and potential
    markets;
   Assessing the purchase trends;
   Assessing the strengths and weakness of the
    competitors offerings;
   Demand/Sales Forecasting
 Product     Research:
 Assessing modifications needed in the product;
 Consumer acceptance/ rejection of the product;
 Comparative study of competitive products.
 Advertising     Research:
Testing of:
 Advertising message and appeal;
 Effectiveness and add. Copy;
 Media Related Research;
 Over all effectiveness of the Ad.

 Pricing     Research:
   Consumer’s price expectations and reaction to
    prices;
   Testing of alternative price strategies.
Positive Aspects Of Consumer
           Research
 Here  Both consumers and marketers can
  benefit from consumer research.
  Consumers generally have better
  consumption experiences, and marketers
  can learn to build stronger relationships by
  paying attention to consumer research:
1. Better Consumption Experiences
2. Potential For Building Customer
   Relationships
Negative Aspects Of Consumer
Research
 Consumer   research is a very complex
 process, with a number of potentially negative
 aspects. These include the following difficulties:

1.Tracking Consumer Behaviors In Different
   Countries.
•  Ex: Focus Group are not appropriate in all
   countries or U.S. marketers often put
   husbands and wives together in a focus
   group to explore attitudes toward products
   like furniture. However, this approach would
   not work in countries like Saudi Arabia where
   women are unlikely to speak freely and are
   highly unlikely to disagree with their
   husbands.
2.Potentially Higher Marketing Costs.
3.Invasion Of Consumer Privacy.
4.Deceptive Research Practices
• some unscrupulous researchers may engage
  in deceptive practices. One such practice is
  lying about the sponsor of the research
  by, saying it is being conducted by a non-profit
  organization when it is really being conducted
  by a for profit company.

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Consumer research

  • 1. Prepared and presented by:- Prashant Sakariya
  • 2. Introduction to Consumer Research  Consumer Research is a form of applied sociology that concentrates on understanding the preferences, attitudes, and behaviors of consumers in a market based economy, and it aims to understand the effects and comparative success of marketing campaigns. The field of consumer marketing research as a statistical science was pioneered by Arthur Nielsen with founding of the
  • 3. Introduction to Consumer Research (cont..)  The consumer research focuses more on the data collection and relationship building and strengthening between the contracted consumer and the company.  For the action part, the company identifies the participants and fixes their problems.
  • 4. Evolution of Consumer Research  The early consumer researchers gave little thought to the impact of mood, emotion or situation on consumers decisions. They believed that marketing was applied economics, and that consumers were rational decision-makers who actively evaluated the goods and services available to them and selected those that gave highest utility at the lowest cost.  In 1939, a Viennese psychoanalyst named Ernest Dichter began to use Freudian psychoanalyst techniques to uncover the hidden motivation of consumers which is commonly known as Motivational research that includes Qualitative and Quantitative research.
  • 5. Consumer Research Paradigms  Usually customers hesitates to reveal their reasons or motivational factor which made them to purchase a product or service at that time the consumer researchers use the two different types of research methodology to study consumer behavior: quantitative research and qualitative research.
  • 6. Quantitative Research  It is descriptive in nature and this method is used to predict the consumer behavior. This method always consists of experiments, surveys techniques, and observations. The findings are empirical and if collected randomly this can be generalized to large populations and the data are quantitative, they lend to sophisticated statistical analysis.  Designs used in Quantitative Research  Observational research  Experimentation  Surveys
  • 7. Observational research Here in this method the people or customers are observed when they are purchasing the product or using the product Mechanical observation Uses a mechanical or electronic device to record customer behavior or responses to a particular marketing stimulus.
  • 8. Experimentation It is possible to test the relative sales appeal of many types of variables, such as package designs, prices promotional offers, or copy themes through experiments designed to identify cause and effect.  Surveys There are various survey methods are there they are,  personal interview survey  telephone survey  mail surveys  online surveys
  • 9. Qualitative research  This includes depth interviews, focus groups, metaphor analysis, and projective techniques. Here sample sizes are necessarily small so we cannot generalized to larger population they are used to obtain new ideas for promotional campaigns.  The important methods of data collection in this research design are depth interview, focus group, discussion guides, projective techniques and metaphor analysis. These techniques are regularly used the early stages of attitude research to pinpoint relevant product related beliefs and to develop an initial picture of consumer attitude.
  • 10. Depth interview: This is a lengthy non structured interview between a respondent and highly trained interviewer, who minimizes his own participation in the discussion after establishing the general subject to be discussed  Focus group: This consist of 8 to10 respondents who meet with a moderator analyst for a group discussion “focused” on a particular product or product category.  Projective techniques: This is designed to tap the underlying motives of individuals despite their unconscious rationalizations or efforts at conscious concealment.
  • 11. Metaphor analysis: In the 1990, a stream of consumer research emerged suggesting the most communication is non verbal and that people do not think in words but in images.
  • 12. Combining qualitative and quantitative research  Marketers often use a combination of quantitative and qualitative research to help make strategic marketing decisions. For Example, They use qualitative research findings to discover new ideas and to develop promotional strategy, and quantitative research findings to predict consumer reactions to various promotional inputs. The combined findings enable marketers to design more meaningful and effective marketing strategies.
  • 13. Scope of Consumer Research  Market Research:  Determining the size of current and potential markets;  Assessing the purchase trends;  Assessing the strengths and weakness of the competitors offerings;  Demand/Sales Forecasting  Product Research:  Assessing modifications needed in the product;  Consumer acceptance/ rejection of the product;  Comparative study of competitive products.
  • 14.  Advertising Research: Testing of:  Advertising message and appeal;  Effectiveness and add. Copy;  Media Related Research;  Over all effectiveness of the Ad.  Pricing Research:  Consumer’s price expectations and reaction to prices;  Testing of alternative price strategies.
  • 15. Positive Aspects Of Consumer Research  Here Both consumers and marketers can benefit from consumer research. Consumers generally have better consumption experiences, and marketers can learn to build stronger relationships by paying attention to consumer research: 1. Better Consumption Experiences 2. Potential For Building Customer Relationships
  • 16. Negative Aspects Of Consumer Research  Consumer research is a very complex process, with a number of potentially negative aspects. These include the following difficulties: 1.Tracking Consumer Behaviors In Different Countries. • Ex: Focus Group are not appropriate in all countries or U.S. marketers often put husbands and wives together in a focus group to explore attitudes toward products like furniture. However, this approach would not work in countries like Saudi Arabia where women are unlikely to speak freely and are highly unlikely to disagree with their husbands.
  • 17. 2.Potentially Higher Marketing Costs. 3.Invasion Of Consumer Privacy. 4.Deceptive Research Practices • some unscrupulous researchers may engage in deceptive practices. One such practice is lying about the sponsor of the research by, saying it is being conducted by a non-profit organization when it is really being conducted by a for profit company.