IJRHS 2013 Vol01 Issue 05 04
IJRHS 2013 Vol01 Issue 05 04
IJRHS 2013 Vol01 Issue 05 04
According to Richard D. Crisp, MR is "The systematic, objective and exhaustive search for and
study of the facts relevant to any problem in the field of marketing."
According to Philip Kotler, "Marketing research is systematic problem analysis, model building
and fact-finding for the purpose of improved decision-king and control in the marketing of goods
and services."
3. Features of Marketing Research
Systematic and continuous activity/process: MR is a continuous process. This is natural as new
marketing problems are bound to come from time-to-time in the course of marketing of goods
and services. One type of research is not adequate to resolve all marketing problems. Similarly,
new research projects will have to be undertaken to solve new marketing problems and
challenges.
18 Online International, Refereed (Reviewed) & Indexed Monthly Journal www.raijmr.com
RET Academy for International Journals of Multidisciplinary Research (RAIJMR)
Dr. Nilesh B. Gajjar [Subject: Commerce & Management] International Vol. 1, Issue:5, July 2013
Journal of Research in Humanities and Social Sciences (IJRHS) ISSN:2320-771X
Wide and comprehensive in scope : Marketing research is wide in scope as it deals with
all aspects of marketing of goods and services. Introduction of new products,
identification of potential markets, selection of appropriate selling techniques, study of
market competition and consumer preferences, introduction of suitable advertising
strategy and sales promotion measures, are some areas covered by MR.
Emphasizes on accurate data collection and critical analysis : In marketing research,
suitable data should be collected objectively and accurately. The data collected must be
reliable. It should be analyzed in a systematic manner. This will provide comprehensive
picture of the situation and possible solutions.
Offers benefits to the company and consumers : Marketing research is useful to the
sponsoring company. It raises the turnover and profit of the company. It also raises the
competitive capacity and creates goodwill in the market. It enables a company to
introduce consumer-oriented marketing policies. Consumers also get agreeable goods and
more satisfaction due to marketing research activities.
Commercial equivalent of military intelligence : MR is a type of commercial
intelligence activity. It facilitates planned activities in the field of marketing. It is similar
to military intelligence where systematic study of the situation is made before taking any
military action. Marketing research acts as the intelligence tool of management.
Tool for managerial decisions : MR acts as a tool in the hands of management for
identifying and analyzing marketing problems and finding out solutions to them. It is an
aid to decision-making. It suggests possible solutions for the consideration and selection
by managers. Marketing research, is an aid to judgment and never a substitute for it.
An applied research : MR is applied knowledge. It is concerned with specific marketing
problem and suggests alternative solutions and possible outcome of each alternative.
Reduces the gap between the producers and consumers : MR is an essential
supplement of competitive marketing. It is useful for understanding the needs and
expectations of consumers. It reduces the gap between producers and consumers and
adjusts the marketing activities to suit the needs of consumers.
Marketing research has limitations : Marketing research is not an exact science. It only
suggests possible solutions to marketing manager for consideration and selection.
Use of different methods : MR can be conducted by using different methods. Data can
be collected through survey or by other methods. The researcher has to decide the method
which is suitable for the conduct of research project. This selection is important as the
quality of research work depends on the method used for the research purpose.
problems and select one major problem which is suitable for detailed investigation. For this,
preliminary investigation is necessary. A sales manager may suggest a problem of declining
sales. The researcher has to find out the possible reasons and which one is the most important
and also suitable for detailed study. Marketing problems are not researchable and hence such
preliminary exploration is necessary and useful.
4.3 Determining research objectives
The researcher has to formulate hypothesis to fit the problem under investigation. It is a tentative
explanation of a problem under study. For example, the sales are declining. According to the
researcher, this may be due to poor quality and high price or due to limited interest taken by
middlemen or that the product has become outdated. If the first reason is accepted, the same will
be investigated in full. If the first cause is rejected, he will move to the second for detailed study
through data collection.
4.4 Determining the data required and their sources
In this stage, the researcher has to decide the type of data required for his study purpose. The
hypothesis guides the data collection process. The researcher can use primary and/or secondary
data for his research project. The sources of primary and secondary data are different. Similarly,
for the collection of primary data, any one method such as mail survey or telephone survey, or
personal interview or observation or experimentation method can be used. The researcher has to
decide the method which is convenient for data collection and collect the required data
accordingly.
distribution, suitable pricing policy for the products and provision of discounts and
concessions to dealers. It facilitates sales promotion.
Guidance to marketing executives : Marketing research offers information and
guidance to marketing executives while framing marketing policies. Continuous research
enables a company to face adverse marketing situation boldly. It acts as an insurance
against possible changes in market environment.
Selection and training of sales force : Marketing research is useful for the selection and
training of staff in the sales Organisation. It suggests the incentives which should be
offered for motivation of employees concerned with marketing.
Facilitates business expansion : Marketing research enables a business unit to grow and
expand its activities. It creates goodwill in the market and also enables a business unit to
earn high profits through consumer-oriented marketing policies and programmes.
Facilitates appraisal of marketing policies : Research activities enable marketing
executives to have an appraisal of the present marketing policies in the fight of research
findings. Suitable adjustments in the policies are also possible as per the suggestions
made.
Suggests marketing opportunities : Marketing research suggests new marketing
opportunities and the manner in which they can be exploited fully. It identifies existing
and emerging market opportunities.
Facilitates inventory study : Marketing research is useful for the evaluation of
company's inventory policies and also for the introduction of more efficient ways of
managing inventories including finished goods and raw materials.
Provides marketing information : MR provides information on various aspects of
marketing. It suggests relative strengths and weaknesses of the company. On the basis of
such information, marketing executives find it easy to frame policies for the future
period. MR provides information, guidance and alternative solutions to marketing
problems.
Suggests distribution channels : Marketing research can be used to study the
effectiveness of existing channels of distribution and the need of making suitable changes
in the distribution system.
Creates progressive outlook : Marketing research generates a progressive and dynamic
outlook throughout the business Organisation. It promotes systematic thinking and a
sense of professionalization within the company. It also creates enthusiasm among
executives concerned with marketing. This brings success and stability to the whole
business unit.
Social significance : Marketing research is of paramount importance from the social
angle. It acts as a means by which the ultimate consumer literally becomes king of the
market place.
6. Limitations of Marketing Research
Offers suggestions and not decisions : Marketing research is not a substitute for
decision-making process. Ready-made decisions on marketing problems are not provided
by the researcher. Marketing research does not solve any marketing problems directly. It
only aids management in decision-making and problem solving process.
Fails to predict accurately : In marketing research, efforts are made to predict the
possible future situation. For this, certain research studies are undertaken. However, the
23 Online International, Refereed (Reviewed) & Indexed Monthly Journal www.raijmr.com
RET Academy for International Journals of Multidisciplinary Research (RAIJMR)
Dr. Nilesh B. Gajjar [Subject: Commerce & Management] International Vol. 1, Issue:5, July 2013
Journal of Research in Humanities and Social Sciences (IJRHS) ISSN:2320-771X
predictions arrived at may not be perfect. Future is always uncertain and exact prediction
about the future is just not possible through marketing research.
Cannot study all marketing problems : Marketing research cannot study all marketing
problems particularly where it is difficult to collect relevant data. Similarly, research
study is not possible where value judgments are involved. Thus, all marketing problems
are not researchable and all research problems are not answerable. MR is not a 'panacea'.
Resistance to research by marketing executives : Researchers study marketing
problems and offer guidance to marketing executives in their decision-making process.
However, some executives are reluctant to use the solutions suggested by the researchers.
They feel that such use will act as a threat to their personal status. Marketing executives
also feel that researchers give solutions which are academic in character and lack
practical utility.
Time-consuming activity : MR is a time-consuming activity. The research work takes
longer period for completion and the findings when available may prove to be outdated.
Even data collected very soon become old due to fast changing market environment.
Costly/expensive activity : MR activity is costly as research work requires the services
of experts. Advanced training in economics, computer technology, sociology, etc. is also
necessary on the part of research staff. Even giving responsibility of research work to an
advertising agency or to a management consultant is costly.
Dearth of qualified staff : For scientific MR, professional marketing researchers with
proper qualifications, experience and maturity are required. Research work is likely to be
incomplete /unreliable in the absence of such expert staff.
Complexity of the subject : MR fails to give complete and correct guidance to the
management on marketing issues. This is because MR is not an exact science. It is
concerned with the study of human behavior which is always difficult to predict. As a
result, the conclusions drawn and recommendations made are not cent per cent correct.
Uncertainty of conclusions : Consumer is the focal point in marketing research.
However, consumer's buying motives are difficult to judge precisely and accurately. This
brings some sort of uncertainty in the conclusions drawn from the MR.
Limitations of data used : MR process solely depends on the data collected and used for
analyzing the marketing problem, for drawing conclusions and making recommendations.
However, the whole process will come in danger if data collected are inadequate and
unreliable.
Limited practical utility : MR is mainly an academic exercise. Researchers take more
interest in research work rather than in supplying information and guidance to marketing
managers in decision-making process. Many research reports are rather bulky and
unintelligible. This brings down the practical utility of marketing research.
Planning and execution of marketing plan : A business unit can plan and execute all
activities right from manufacturing to marketing with reasonable accuracy and
confidence due to the guidelines available through marketing research.
Quick and correct decision-making : MR facilitates quick and correct decision-making
by marketing managers. It enables management to take quick and correct marketing
decisions.
Effective solutions on marketing problems : MR provides effective solutions to
marketing problems. MR is the radiology and pathology of marketing operations of
business. It diagnoses the business ailments and suggests measures to remove them.
Marketing researcher acts like business doctor and prescribes treatment for business
elements.
Huge spending on MR : Large companies spend crores (1 Crore = 10 million) of rupees
on marketing research activities. New techniques and methods are used in the conduct of
research activities in an accurate manner. This suggests the growing importance of MR.
References
1. Berghoff, Hartmut., Philip, Scranton., and Uwe, Spiekermann, eds.,(2012). The Rise of
Marketing and Market Research (New York: Palgrave Macmillan,), ISBN 978-0-230-
34106-7
2. Bradley, (2007).Nigel Marketing Research. Tools and Techniques. Oxford University Press,
Oxford, ISBN 0-19-928196-3 ISBN 978-0-19-928196-1
3. Kotler, Philip and Armstrong, (2007). Gary Principles of Marketing Pearson, Prentice Hall,
New Jersey, 2007 ISBN 978-0-13-239002-6, ISBN 0-13-239002-7
4. Marder, Eric (1997). The Laws of Choice-Predicting Customer Behavior (The Free Press
division of Simon and Schuster, 1997. ISBN 0-684-83545-2
5. Young, Charles E. (2005). The Advertising Handbook, Ideas in Flight, Seattle, WA, April
2005. ISBN 0-9765574-0-1