Market Research in Brand Building Essay
Market research needs to go further than Just finding out what consumers are thinking today, It can also Identify what consumer might want In the true. In this way market research helps a business to make more informed choices when wanting to release or launch a new product. It also increases the likelihood that products will be well received by the specific target markets and consumers when they are launched. In the book by Kettle and Armstrong (2010) they define marketing research as the systematic design, collection, analysis, and reporting of data relevant to a specific marketing situation facing an organization.
Furthermore they state that marketing research gives marketers insight into customer motivations, purchase behavior, and satisfaction. This helps them to assess market potential and market share or to measure the effectiveness of pricing, product, distribution, and promotion activities. MARKETING RESEARCH DEFINED In marketing research there are many ways to collect data. And even more types of data that can be collected. After collection the data, marketers need to interpret this data, and only then, decisions can be made, regarding the respective products.
The Kellogg Company is the world’s leading producer of cereals. Kellogg Is a good example of a brand than
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This case study focuses on the importance of market research and the data gathered during the development and launch of Crunchy Nut Bites, helping Kellogg extend its share of the breakfast cereals market. Primary Research Primary Research is conducted in order to gather Primary data, according to Kettle and Armstrong (2010) Primary data is the data that is gathered or information collected for the specific purpose at hand. Primary research can also be referred to as field research, which Involves the collection of data that does not already exist, primary research is conducted to create original data.
Primary Research is often conducted in numerous forms, including questionnaires, consumer observation and I OFF using primary methods, namely Qualitative research and Quantitative research. Qualitative data aims to gather an in-depth understanding of consumer behavior and the reasons why consumers behave in such a manner. The qualitative method investigates the why and how of decision making not Just what, where and when. I Qualitative data is gathered through qualitative research collection methods, including interviews, focus groups, consumer observations and ethnographers.
This research establishes a conversation with consumers, and then consumer reaction is captured, for example, the data is used to help researchers to understand what consumers think of a new product, how it makes them feel, why they find it interesting or not, etc. Focus groups were used to provide Kellogg with qualitative data. These were used to show consumers the new food ideas in the form of a number of different real-food prototypes. The focus groups captured the attitudes and feelings of consumers towards the new foods.
This primary research helped Kellogg to find out how new product suggestions could be developed and still fit in with the Crunchy Nut brand. It helped Kellogg to establish what consumers were looking for in terms of potential new flavors. The results allowed Kellogg to discard some ideas. Other ideas were appealing for consumers but needed refining and further development. At the end of this stage, Kellogg had a number of new food ideas that all seemed to appeal to consumers. Quantitative Data aims to select the best idea from the information gathered from the qualitative data.
Quantitative data is gathered through quantitative research collection methods, including controlled laboratory experiments, field work, questionnaires and surveys, and this method involves a larger number of participants. These results or findings are commonly shown as statistics which allows or a mean score or percentages. It may involve the use of scales so that numbers get associated with a particular meaning. Kellogg put the ideas from the focus groups on boards, showing pictures of product ideas and descriptions of what the new product would be like.
These boards were then shown to a large group of consumers in a quantitative survey. They were asked to rate those ideas against a number of scales, so Kellogg could identify which product ideas, consumers liked best. The quantitative data created specific statistical information that indicated that a new Crunchy Nut Bites idea was perceived as the most appealing amongst all the ideas tested. It established what proportion of people liked the new product idea enough to buy it.
It also identified those product ideas that had the best or least sales potential. Secondary data, according to Kettle and Armstrong (2010) is information that already exists somewhere, having been collected for another purpose. So it basically is, research that has already been conducted and date already collected by other organizations. These can be data from books, Journals, the internet, etc. Market research agencies collect a range of data which they process and use to provide organizations like Kellogg with research.
The benefits of secondary research are that it is quicker and often less expensive than primary, although it may not always aimed to identify a set of new food ideas that would be suitable for developing a new Crunchy Nut product. Secondary research from Minted and Denominator was used to find out about innovation trends in the cereal market. CONCLUSION Market research with all its different forms of data and information is absolutely caresser for accurately establishing if a market is suitable for a specific product.
Market research needs to be used throughout the whole development process for a new, as Kellogg did with their Crunchy Nut range, from the initial idea to the planning of production. During the earlier stages of research, consumer responses helps a company explore lots of different ideas. The main ideas are shared with consumers to select the one which seem to have the highest appeal. Kellogg idea became real, because of the testing of several recipes and refining the prototypes.