Marketing Research..HELP!?

[daryl1199]

Why use it?
- acquire information (ex. demographics, psychographics, geographics, lifestyle & behavioural attributes) about a group of people
- determine if people will want a product/service
- feasibility
- planning
- strategy

Challenges
- valid data (measures what it is suppose to measure)
- reliable data (honesty of respondents answers)
- finding representative sample groups
- time & money gathering primary data

Methods
- interviews
- focus groups
- surveys
- observation

Buying preferences & power of consumers
- gather info from other companies within the industry
- determine your target market (high social class likely prefers the Audi R8 over the Pontiac Firefly, likewise, families=minivan, not sportscar for primary travel)
- Consumer buying power depends on the substitute products already existing and availability of alternatives