Every marketing decision must be informed by market research and reliable, objective data. Some organizations, especially smaller ones, may not consider market research worth the investment. Some might also find that leadership may believe that it knows best—and has a good sense of what customers want using this as their basis for marketing decisions.

Read this article about the dangers of neglecting market research:

Skipping a step: The dangers of neglecting market research

Then, discuss the following with your classmates:

What is an example of marketing research?

Why should organizations use marketing research?

Choose a product from the food industry (e.g., breakfast cereal, snacks, and frozen dinners). How might the product benefit from marketing research?

Responses to Other Students: Respond to at least 2 of your fellow classmates with at least a 100-200 word reply about his or her Primary Task Response regarding items you found to be compelling and enlightening. To help you with your discussion, please consider the following questions:

What did you learn from your classmate’s posting? What additional questions do you have after reading the posting?

What clarification do you need regarding the posting?

What differences or similarities do you see between your posting and other classmates’ postings?

First Student: Bradley

Marketing Research

Example of Marketing Research

A connection exists between marketing research and product development; therefore, marketing research is vital to achieving business success. It serves as an essential opportunity to help a business take advantage of opportunities that will help it operate and remain competitive in the market (Ackermann, 2019). One example of primary market research is primary market research. Further, primary market research combines qualitative data and quantitative data. In light of this, a food industry business might conduct online surveys to determine target market opinion about the product. Online surveys are a preferred research method b most business entities since they are cost-effective (Ackermann, 2019). Lastly market, research allows a company to ascertain whether a particular product is suitable for a specific audience or region

Importance of Market Research

All business entities, including large and small-scale businesses, must conduct market research. Proper market research allows a company to identify business opportunities (Ackermann, 2019). For instance, through market research, a company can discover other products favored by customers, which might help implement product bundles and add-ons. Moreover, market research serves as the opportunity for a business to identify new markets for its products or services (Fisher & Kordupleski, 2019). Specifically, understanding demographic compositions and geographic location enable a company to tailor-make products that correspond to a target population’s needs.

A Product That Might Benefit From Market Research

The product that might benefit from market research is the Kentucky Fried Chicken (KFC). The fast-food chain network conducts market research to determine current market trends in the food industry (Fisher & Kordupleski, 2019). In other words, the company benefits by being aware of what competitors are providing in the market. The food chain monitors competitors’ activities via loyalty card programs by acquiring data about consumers’ buying habits. Moreover, the company benefits from market research by gaining more insight into consumer preferences (Fisher & Kordupleski, 2019). Finally, the food chain restaurant benefits from the market research vi recognizing threats and reducing investment risks.

References

Ackermann, C. (2019, July 10). Skipping a step: The dangers of neglecting market research. Knoxville. Fisher, N. I., & Kordupleski, R. E. (2019). Good and bad market research: A critical review of Net Promoter Score. Applied Stochastic Models in Business and Industry, 35(1), 138-151.

Second Student: Crystal Bracewell

What is an example of marketing research?

Market research allows a marketer to collect data for analysis, typically focused on the company’s intended marketplace and its target consumer groups. Market research is made up of Primary and Secondary research. Questionnaires, which are considered primary research, are a great example of market research. (Indeed Editorial Team, 2021) Perhaps the company has an idea for a new addition to their product line. They could send a questionnaire to their existing customers who are typically females around the ages of 23-40 with disposable income, and kids. As loyal customers, they would have signed up with their email which gives the company the ability to send out questionnaires via email. This method allows the company to learn more about why customers love their current products, what features they might be lacking, where do they find the value in current products, would they be interested in purchasing the new product idea, and even where they typically shop. These questions could assist the company in finding new ways to upgrade the current product line, understanding if their current target group has a need for the new product idea, and understanding the best places to sell their product lines.

Why should organizations use marketing research?

When baking a cake, if the baker skipped ahead to putting unmeasured ingredients in the oven without preheating the oven to the proper temperature, it’s unlikely the cake would bake properly. While this is certainly a simplified analogy, the same is true in marketing. To launch a new company or product without putting in the time and effort of market research beforehand would likely result in unfavorable results. There are so many factors that must align for a product to launch successfully. The marketing campaign needs a clear direction that speaks to a specific target market, it should be able to differentiate itself from other competing products on the market, and of course, there is also the timing of the product launch. (Ackermann, 2019) Getting any of these factors wrong can quickly spell disaster. Take Blockbuster for example, before their demise they finally attempted to launch a mail-in subscription base move rental service. Unfortunately, their timing was off, they were late to the party. (CNET, 2004) Netflix was already dominating this space, and just a few years later streaming made physical movie rentals almost obsolete.

Choose a product from the food industry (e.g., breakfast cereal, snacks, and frozen dinners). How might the product benefit from marketing research?

Coffee Creamers can benefit from market research greatly. If a coffee creamer company were to conduct market research in order to better understand their customer’s favorite flavors and flavor combinations, they could open so many possibilities. Using data like flavor suggestions in order to launch limited-time-only flavors could boost sales seasonally, and if one becomes a fan favorite, then it would become a permanently limited-time flavor during its designated season. There would also be an opportunity to learn why customers didn’t love a new flavor, perhaps it came across too sweet, too nutty, or too overpowering. If that were the case, it’s possible with some recipe tweaks it would fair better. This research could also reveal where their target customer groups shop most frequently, and whether they buy in-store or online more frequently. The company could also identify the best pricing for its products by conducting research into the prices of its competitors.

References

Ackermann, C. (2019, July 10). Skipping a step: The dangers of neglecting market research. Retrieved from Knox News: CNET. (2004, August 11). Blockbuster enters online DVD rental business. Retrieved from CNET: Indeed Editorial Team. (2021, February 22). Market Research: 5 Examples and Explanations. Retrieved from Indeed: