Meaning: - Marketing research is a systematic approach to solve marketing problems. The American marketing association defines marketing research “The systematic gathering, recording, and analyzing of data about problems relating to marketing of goods and services.”
The nature of marketing research is briefly stated as follows
1. Systematic process: - Marketing Research is a systematic process to identify and to solve problems. The process of marketing research involves the following steps: 1. Identify the marketing problems. 2. Create the research design. 3. Collection of data through primary and secondary sources. 4. Processing of data. 5. Analysis of data. 6. Implementation of data. 7. Finally, review or follow up of action taken.
2. Scope: -Marketing Research attempts to solve problems in a wide range of areas. The problem relates to various areas of marketing such as:
· Product Research
· Promotion Research
· Pricing Research
· Place Research
3. Continuous in Nature: -Marketing research is continuous in nature. As long as the firm exists, there is a need for marketing research; to overcome certain marketing problems arise during existence of the firm.
4. Applied Research: -Marketing Research is conducted to solve specific problems of commercial importance. Since, marketing research is subject to commercial considerations, it is not a basic or fundamental research but an applied research which is used to solve specific problems.
5. Bridges Company-customer Gab: -Marketing Research bridges the gap between the producers and the consumers. The company comes to know more about its consumers-their likes and dislikes, tastes, preferences and buying patterns.
6. Company Objectives: -Due to marketing research, the company is a position to achieve its objectives. Marketing research enables a firm to solve marketing problems. The resolving of marketing problems enables the company to achieve its objectives in a profitable manner.
7. Marketing mix decisions: -Marketing Research provides necessary information to arrive at appropriate solutions to marketing problems. Effective marketing mix like packaging, pricing, promotion, distribution enables the firm to achieve marketing objectives.
8. Methods of Data collection: -Marketing research data can be conducted with the help of various methods such as;
· Survey/interview method
· Observation Method
· Experimentation method. (R&D, product trials).
9. Suffers from certain limitation: -Although marketing research is beneficial to the company and the customers, yet it suffers from certain limitations, such as; limitation of time, limitation of funds, limitation of data collection and data analysis techniques, problem of bias (partiality) on the part of the respondents and of the interviewers and so on. Etc.
