Marketing research burns 8th edition pdf

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GLOBAL EDITION

For these Global Editions, the editorial team at Pearson has collaborated with educators across the world to address a wide range of subjects and requirements, equipping students with the best possible learning tools. This Global Edition preserves the cutting-edge approach and pedagogy of the original, but also features alterations, customization, and adaptation from the North American version.

GLOBAL EDITION

M arketing Research

Marketing Research EIGHTH EDITION

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1. Features to make reading more interesting

FEATURE DESCRIPTION BENEFIT

Opening vignettes Each chapter begins with a short description of a marketing research company’s features or an organization’s services such how firms deal with survey data quality.

Previews the material in the textbook by showing you how it is used in marketing research

Current insights from indus- try professionals

“War stories” and recommendations from seasoned practitioners of marketing research

Illustrates how the technique or theory should be applied or gives some hints on ways to use it effectively

Global Applications Examples of global marketing research in action Fosters awareness that over one-half of marketing research is per- formed in international markets

Ethical Considerations Situations that show how ethical marketing researchers behave using the actual code of marketing research standards adopted by the Marketing Research Association

Reveals that marketing researchers are aware of ethical dilemmas and seek to act honorably

Practical Applications “Nuts and bolts” examples of how marketing research is performed and features new techniques such as neuromarketing

Gives a “learning by seeing” perspective on real-world marketing research practice

Digital Marketing Research Applications

Information is provided on how technology is impacting marketing research both as a source of information and the creation of new products designed to cultivate the information

You will see how new innovations create opportunities for mar- keting research firms to add new services designed to provide information created by the new information sources

2. Features to help you study for exams

FEATURE DESCRIPTION BENEFIT

Chapter objectives Bulleted items listing the major topics and issues addressed in the chapter

Alerts you to the major topics that you should recall after reading the chapter

Marginal notes One-sentence summaries of key concepts Reminds you of the central point of the material in that section

Chapter summaries Summaries of the key points in the chapter Reminds you of the chapter highlights

Key terms Important terms defined within the chapter and listed at the end of the chapter.

Helps you assess your knowledge of the chapter material and review key topics

Review questions Assessment questions to challenge your understanding of the theories and topics covered within the chapter

Assists you in learning whether you know what you need to know about the major topics presented in the chapter

Companion website The student resources on this website include chapter outlines, case study hints, online tests, and PowerPoint slides

Offers online pre- and post-tests, PowerPoint files, case study hints, and SPSS tutorials and datasets

3. Elements that help you apply the knowledge you’ve gained

FEATURE DESCRIPTION BENEFIT

End-of-chapter cases Case studies that ask you to apply the material you’ve learned in the chapter

Helps you learn how to use the material that sometimes must be customized for a particular marketing research case

Synthesize Your Learning Exercises that ask you to apply and integrate material from across three to four chapters

related across chapters

Integrated Case A case study running throughout the book which you study through end-of-chapter exercises across most of the steps in the marketing research process

Integration of IBM SPSS Statistics Version 23

The most widely adopted statistical analysis program in the world, with annotated screenshots and output, plus step-by-step “how to do it” instructions

Teaches you the statistical analysis program that is the standard of the marketing research industry.

Online SPSS datasets SPSS data sets for cases in the textbook, including the integrated case at www.pearsonglobaleditions.com/Burns worrying about set-up or clean-up

SPSS student assistant Stand-alone modules with animation and annotated screen shots to show you how to use many SPSS features at www.pearsonglobaleditions.com/Burns

Handy reference for many SPSS functions and features, including statistical analyses

A BRIEF GUIDE TO GETTING THE MOST FROM THIS BOOK

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E I G H T H E D I T I O N G L O B A L E D I T I O N

MARKETING RESEARCH

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Alvin C. Burns Louisiana State University

Ann Veeck Western Michigan University

Ronald F. Bush University of West Florida

MARKETING RESEARCH

E I G H T H E D I T I O N G L O B A L E D I T I O N

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The rights of Alvin C. Burns, Ann Veeck, and Ronald F. Bush to be identified as the authors of this work have been asserted by them in accordance with the Copyright, Designs and Patents Act 1988.

Authorized adaptation from the United States edition, entitled Marketing Research, 8th Edition, ISBN 978-0-13-416740-4 by Alvin C. Burns, Ann Veeck, and Ronald F. Bush, published by Pearson Education © 2017.

All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic, mechanical, photocopying, recording or otherwise, without either the prior written permission of the publisher or a license permitting restricted copying in the United Kingdom issued by the Copyright Licensing Agency Ltd, Saffron House, 6–10 Kirby Street, London EC1N 8TS.

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ISBN 10: 1-29-215326-1 ISBN 13: 978-1-292-15326-1

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Only we know how much our spouses, Jeanne, Greg, and Libbo, have sacrificed during the times we have devoted to this book. We are fortunate in that, for all of us, our spouses are our best friends and smiling supporters.

Al Burns, Louisiana State University

Ann Veeck, Western Michigan University

Ron Bush, University of West Florida

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Preface 21

Chapter 1 Introduction to Marketing Research 32

Chapter 2 The Marketing Research Industry 48

Chapter 3 The Marketing Research Process and Defining the Problem and Research Objectives 66

Chapter 4 Research Design 90

Chapter 5 Secondary Data and Packaged Information 114

Chapter 6 Qualitative Research Techniques 142

Chapter 7 Evaluating Survey Data Collection Methods 170

Chapter 8 Understanding Measurement, Developing Questions, and Designing the Questionnaire 204

Chapter 9 Selecting the Sample 236

Chapter 10 Determining the Size of a Sample 262

Chapter 11 Dealing with Fieldwork and Data Quality Issues 288

Chapter 12 Using Descriptive Analysis, Performing Population Estimates, and Testing Hypotheses 314

Chapter 13 Implementing Basic Differences Tests 350

Chapter 14 Making Use of Associations Tests 376

Chapter 15 Understanding Regression Analysis Basics 406

Chapter 16 The Research Report 432

Endnotes 461 Name Index 477 Subject Index 481

Brief Contents

6

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Preface 21

Chapter 1 Introduction to Marketing Research 32 1- 1 Marketing Research Is Part of Marketing 34

The Philosophy of the Marketing Concept Guides Managers’ Decisions 36 The “Right” Marketing Strategy 36

1- 2 What Is Marketing Research? 37 Is It Market ing Research or Market Research? 37 The Function of Marketing Research 37

1- 3 What Are the Uses of Marketing Research? 38 Identifying Market Opportunities and Problems 38 Generating, Refining, and Evaluating Potential Marketing Actions 38

Selecting Target Markets 39 Product Research 39 Pricing Research 39 Promotion Research 39 Distribution Research 39

Monitoring Marketing Performance 40 Improving Marketing as a Process 40 Marketing Research Is Sometimes Wrong 41

1- 4 The Marketing Information System 41 Components of an MIS 42

Internal Reports System 42 Marketing Intelligence System 42 Marketing Decision Support System (DSS) 42 Marketing Research System 43

Summary 44 • Key Terms 45 • Review Questions/ Applications 45 Case 1. 1 Anderson Construction 46 Case 1. 2 Integrated Case: Auto Concepts 46

Chapter 2 The Marketing Research Industry 48 2- 1 Evolution of an Industry 50

Earliest Known Studies 50 Why Did the Industry Grow? 50 The 20th Century Led to a “Mature Industry” 51

2- 2 Who Conducts Marketing Research? 51 Client-Side Marketing Research 51 Supply-Side Marketing Research 53

2- 3 The Industry Structure 53 Firm Size by Revenue 53 Types of Firms and Their Specialties 54 Industry Performance 54

Contents

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8 CONTENTS

2- 4 Challenges to the Marketing Research Industry 56 New and Evolving Sources of Data and Methods 56 Effective Communication of Results 58 Need for Talented and Skilled Employees 58

2- 5 Industry Initiatives 58 Industry Performance Initiatives 58

Best Practices 58 Maintaining Public Credibility of Research 58 Monitoring Industry Trends 59 Improving Ethical Conduct 59 Certification of Qualified Research Professionals 60 Continuing Education 61

2- 6 A Career in Marketing Research 62 Where You’ve Been and Where You’re Headed! 63

Summary 63 • Key Terms 63 • Review Questions/ Applications 64 Case 2. 1 Heritage Research Associates 64

Chapter 3 The Marketing Research Process and Defining the Problem and Research Objectives 66 3- 1 The Marketing Research Process 67

The 11-Step Process 67 Caveats to a Step-by-Step Process 68

Why 11 Steps? 68 Not All Studies Use All 11 Steps 69 Steps Are Not Always Followed in Order 69

Introducing “Where We Are” 69 Step 1: Establish the Need for Marketing Research 69

The Information Is Already Available 70 The Timing Is Wrong to Conduct Marketing Research 70 Costs Outweigh the Value of Marketing Research 71

Step 2: Define the Problem 71 Step 3: Establish Research Objectives 71 Step 4: Determine Research Design 72 Step 5: Identify Information Types and Sources 72 Step 6: Determine Methods of Accessing Data 72 Step 7: Design Data Collection Forms 72 Step 8: Determine the Sample Plan and Size 73 Step 9: Collect Data 73 Step 10: Analyze Data 73 Step 11: Prepare and Present the Final Research Report 74

3- 2 Defining the Problem 74 1. Recognize the Problem 75

Failure to Meet an Objective 75 Identification of an Opportunity 75

2. Understand the Background of the Problem 76 Conduct a Situation Analysis 76 Clarify the Symptoms 77 Determine the Probable Causes of the Symptom 77 Determine Alternative Decisions 78

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CONTENTS 9

3. Determine What Decisions Need to Be Made 78 Specify Decision Alternatives 78 Weigh the Alternatives 78

4. Identify What Additional Information Is Needed 79 Inventory the Current Information State 79 Identify the Information Gaps 79

5. Formulate the Problem Statement 80 3- 3 Research Objectives 80

Using Hypotheses 81 Defining Constructs 81

What Is the Unit of Measurement? 82 What Is the Proper Frame of Reference? 83

3- 4 Action Standards 83 Impediments to Problem Definition 84

3- 5 The Marketing Research Proposal 85 Elements of the Proposal 85 Ethical Issues and the Research Proposal 86

Summary 86 • Key Terms 87 • Review Questions/ Applications 87 Case 3. 1 Golf Technologies, Inc. 88 Case 3. 2 Integrated Case: Auto Concepts 89

Chapter 4 Research Design 90 4- 1 Research Design 92

Why Is Knowledge of Research Design Important? 92 4- 2 Three Types of Research Designs 93

Research Design: A Caution 94 4- 3 Exploratory Research 94

Uses of Exploratory Research 95 Gain Background Information 95 Define Terms 95 Clarify Problems and Hypotheses 95 Establish Research Priorities 96

Methods of Conducting Exploratory Research 96 Secondary Data Analysis 96 Experience Surveys 96 Case Analysis 96 Focus Groups 98

4- 4 Descriptive Research 98 Classification of Descriptive Research Studies 99

4- 5 Causal Research 102 Experiments 102 Experimental Design 103

Before-After with Control Group 104 How Valid Are Experiments? 105 Types of Experiments 106

4- 6 Test Marketing 107 Types of Test Markets 107

Standard Test Market 107 Controlled Test Markets 107

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10 CONTENTS

Electronic Test Markets 108 Simulated Test Markets 109

Selecting Test-Market Cities 109 Pros and Cons of Test Marketing 109

Summary 110 • Key Terms 111 • Review Questions/ Applications 111 Case 4. 1 Memos from a Researcher 112

Chapter 5 Secondary Data and Packaged Information 114 5- 1 Big Data 116 5- 2 Primary Versus Secondary Data 116

Uses of Secondary Data 118 5- 3 Classification of Secondary Data 119

Internal Secondary Data 119 External Secondary Data 120

Published Sources 122 Official Statistics 123 Data Aggregators 124

5- 4 Advantages and Disadvantages of Secondary Data 124 Advantages of Secondary Data 124 Disadvantages of Secondary Data 124

Incompatible Reporting Units 124 Mismatched Measurement Units 124 Unusable Class Definitions 125 Outdated Data 125

5- 5 Evaluating Secondary Data 125 What Was the Purpose of the Study? 125 Who Collected the Information? 126 What Information Was Collected? 126 How Was the Information Obtained? 126 How Consistent Is the Information with Other Information? 128

5- 6 The American Community Survey 128 5- 7 What Is Packaged Information? 129

Syndicated Data 129 Packaged Services 131

5- 8 Advantages and Disadvantages of Packaged Information 132

Syndicated Data 132 Packaged Services 132

5- 9 Applications of Packaged Information 132 Measuring Consumer Attitudes and Opinions 133 Market Segmentation 133 Monitoring Media Usage and Promotion Effectiveness 133 Market Tracking Studies 134

5- 10 Social Media Data 134 Types of Information 134

Reviews 135 Tips 135 New Uses 135 Competitor News 135

Advantages and Disadvantages of Social Media Data 135 Tools to Monitor Social Media 136

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CONTENTS 11

5- 11 Internet of Things 136 Summary 138 • Key Terms 139 • Review Questions/ Applications 139 Case 5. 1 The Men’s Market for Athleisure 140

Chapter 6 Qualitative Research Techniques 142 6- 1 Quantitative, Qualitative, and Mixed Methods Research 143 6- 2 Observation Techniques 146

Types of Observation 146 Direct Versus Indirect 146 Covert Versus Overt 147 Structured Versus Unstructured 147 In Situ Versus Invented 147

Appropriate Conditions for the Use of Observation 147 Advantages of Observational Data 148 Limitations of Observational Data 148

6- 3 Focus Groups 149 How Focus Groups Work 150 Online Focus Groups 151 Advantages of Focus Groups 151 Disadvantages of Focus Groups 152 When Should Focus Groups Be Used? 152 When Should Focus Groups Not Be Used? 152 Some Objectives of Focus Groups 152 Operational Aspects of Traditional Focus Groups 153

How Many People Should Be in a Focus Group? 153 Who Should Be in the Focus Group? 153 How Many Focus Groups Should Be Conducted? 154 How Should Focus Group Participants Be Recruited and Selected? 154 Where Should a Focus Group Meet? 154 When Should the Moderator Become Involved in the Research Project? 155 How Are Focus Group Results Reported and Used? 155 What Other Benefits Do Focus Groups Offer? 155

6- 4 Ethnographic Research 156 Mobile Ethnography 156 Netnography 157

6- 5 Marketing Research Online Communities 158 6- 6 Other Qualitative Research Techniques 159

In-Depth Interviews 159 Protocol Analysis 160 Projective Techniques 161

Word-Association Test 161 Sentence-Completion Test 161 Picture Test 162 Cartoon or Balloon Test 162 Role-Playing Activity 162

Neuromarketing 163 Neuroimaging 163

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12 CONTENTS

Eye Tracking 164 Facial Coding 164 The Controversy 164

Still More Qualitative Techniques 164 Summary 166 • Key Terms 167 • Review Questions/ Applications 167 Case 6. 1 The College Experience 168 Case 6. 2 Integrated Case: Auto Concepts 169

Chapter 7 Evaluating Survey Data Collection Methods 170 7- 1 Advantages of Surveys 172 7- 2 Modes of Data Collection 174

Data Collection and Impact of Technology 174 Person-Administered Surveys 175

Advantages of Person-Administered Surveys 175 Disadvantages of Person-Administered Surveys 176

Computer-Assisted Surveys 177 Advantages of Computer-Assisted Surveys 177 Disadvantages of Computer-Assisted Surveys 177

Self-Administered Surveys 178 Advantages of Self-Administered Surveys 178 Disadvantages of Self-Administered Surveys 178

Computer-Administered Surveys 179 Advantages of Computer-Administered Surveys 179 Disadvantage of Computer-Administered Surveys 180

Mixed-Mode Surveys 180 Advantage of Mixed-Mode Surveys 180 Disadvantages of Mixed-Mode Surveys 180

7- 3 Descriptions of Data Collection Methods 181 Person-Administered/Computer-Assisted Interviews 182

In-Home Surveys 182 Mall-Intercept Surveys 183 In-Office Surveys 184 Telephone Surveys 184

Computer-Administered Interviews 188 Fully Automated Survey 188 Online Surveys 189

Self-Administered Surveys 191 Group Self-Administered Survey 191 Drop-Off Survey 191 Mail Survey 192

7- 4 Working with a Panel Company 193 Advantages of Using a Panel Company 194 Disadvantages of Using a Panel Company 194 Top Panel Companies 195

7- 5 Choice of the Survey Method 196 How Fast Is the Data Collection? 197 How Much Does the Data Collection Cost? 197 How Good Is the Data Quality? 197 Other Considerations 198

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Summary 199 • Key Terms 200 • Review Questions/ Applications 200 Case 7. 1 Machu Picchu National Park Survey 201 Case 7. 2 Advantage Research, Inc. 202

Chapter 8 Understanding Measurement, Developing Questions, and Designing the Questionnaire 204 8- 1 Basic Measurement Concepts 205 8- 2 Types of Measures 206

Nominal Measures 206 Ordinal Measures 207 Scale Measures 207

8- 3 Interval Scales Commonly Used in Marketing Research 209 The Likert Scale 209 The Semantic Differential Scale 210 The Stapel Scale 212 Two Issues with Interval Scales Used in Marketing Research 213 The Scale Should Fit the Construct 214

8- 4 Reliability and Validity of Measurements 215 8- 5 Designing a Questionnaire 216

The Questionnaire Design Process 216 8- 6 Developing Questions 217

Four Dos of Question Wording 218 The Question Should Be Focused on a Single Issue or Topic 218 The Question Should Be Brief 218 The Question Should Be Grammatically Simple 218 The Question Should Be Crystal Clear 219

Four Do Not’s of Question Wording 219 Do Not “Lead” the Respondent to a Particular Answer 219 Do Not Use “Loaded” Wording or Phrasing 220 Do Not Use a “Double-Barreled” Question 220 Do Not Use Words That Overstate the Case 220

8- 7 Questionnaire Organization 222 The Introduction 223

Who is Doing the Survey? 223 What is the Survey About? 223 How did You Pick Me? 223 Motivate Me to Participate 223 Am I Qualified to Take Part? 224

Question Flow 224 8- 8 Computer-Assisted Questionnaire Design 227

Question Creation 227 Skip and Display Logic 228 Data Collection and Creation of Data Files 228 Ready-Made Respondents 228 Data Analysis, Graphs, and Downloading Data 228

8- 9 Finalize the Questionnaire 229 Coding the Questionnaire 229 Pretesting the Questionnaire 230

Summary 232 • Key Terms 232 • Review Questions/ Applications 233