Marketing Research Explain the Difference Between Marketing

Marketing Research

Explain the difference between marketing research and a DSS.

Marketing research may provide data for use in a DSS as input, but the knowledge component is an aspect of the human expert participation in the gathering and analysis of data. Indeed, some computer modeling platforms (such as Bayesian Belief Networks) employs a combination of data, modeling software, and the judgment of experts to make decisions about, for instance, a product launch. Conventional market research employed if-then scenarios only with great expenditures of resources, whereas, with a decision support system, these scenarios can be changes expediently. However, as with any automated system the quality of the decision is only as good as the quality of the input, an attribute that is difficult to assess in a lock-step process using an over-simplified interface. As machine modeling reaches more disciplines, more examples of how (and how much) these systems can fail. This is what Black Swan analysis is all about. The question becomes: Which approach provides the most accurate and timely information about long-tail data -- market research (particularly qualitative market research) or DSS?

2. The task of marketing is to create exchanges. What role might marketing research play in the facilitation of the exchange process?

Effective marketing research can facilitate the process of increasing consumer awareness about products and services that are most likely to be of interest to them. Most advertisements on the Internet function in this way. By targeting certain customers to receive information on products and services that address their needs or lifestyle preferences, marketers can narrow the universe of choices and facilitate consumer purchase decisions.

3. Give an example of 1) the descriptive role of marketing research, 2) the diagnostic role, and 3) the predictive function of marketing research.

Marketing research that is descriptive provides data about an existing situation or state. For example, how consumers view a brand. An example of descriptive marketing research is a propensity score, which indicates how likely is a surveyed consumer to recommend a brand, use a brand, or buy a brand in the future. The diagnostic role of marketing research comes into play when, for example, a promotional campaign is not doing as well as planned and there is opportunity to make real-time changes -- but information about consumer perceptions and actions is needed. Marketing research that has a predictive function collects and synthesizes data for use in a model, for instance computer modeling for a product launch.

4. Marketing research has traditionally been associated with manufacturers of consumer goods. Today, we are experiencing an increasing number of organizations, both profit and nonprofit, using marketing research. Why do you think this trend exists? Give some examples.