Marketing Research..HELP!?

[Sonny Vale Acres]

What do you believe are the main reasons that marketers use Market Research? STATE some of the challenges associated with Market Research. How can companies find out about the buying preferences and power of consumers? What are some methods of market research?

[Deneva B]

Marketers use market research to identify and determine a target demographic and understand that demographics likes and dislikes. Market research can be challenging when dealing with different cultures. Research can take years to perform properly. Many companies use focus groups and surveys to conduct research. For example it is really popular to get a survey at the bottom of your receipts now.

[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