Secondary research
Secondary research, also known as desk research is the analysis of already available material. This is quicker and cheaper then primary research. The problem is that information already available is already partly out of date and it may not be exactly what is required.
Secondary research is something such as Government publications, trade journals, directories, newspapers, the Internet and market research organisations.
As well as being primary of secondary, market research can be classed as either qualitative or quantitative research. Quantitative research is essentially numerical, providing data for example on how many people buy a product, and how often they buy it. Qualitative data relates to consumer attitudes such as their goals, aspiration and interests. Quantitative research is easy to analyse, often by computer where as qualitative research is much harder as it leaves open ended questions.
The research I will use
When conducting market research for Cadbury’s Flyte both primary and secondary methods of research will be used. For the primary research a questionnaire consisting of both qualitative and quantitative questions will be conducted. A questionnaire has been used so the answers needed can be found out. If all secondary research were to be used, enough relative information specifically about Cadbury’s flyte would not be available. The questionnaire was chosen to be conducted on the street as this was felt to be most effective. The questionnaire could have also been posted to people, but would be more costly and could not guarantee a reply. Also when asking someone face to face quires about questions or answers can be dealt with.
The secondary researches, which will be used, are the Internet, and textbooks. These two sources have been chosen because they are easily available. Other sources that could have been used are Government publications and information from market research organisations.
The aims and objectives of my research
From conducting market research I hope to find out 4 the following four aspects about my product:
- Price –a reasonable price must be set. The price must not be too high or to low. If the price is to high people will not buy it and if the price is to low people will think it is of poor quality therefore refrain form buying. Competitor based around that of the competitors. Psychological pricing may be taking place by other companies, which will be discovered through market research. For example a product would cost £1.99 instead of £2.00. Discrimination pricing may not apply to the product but does take place. This is where people are charged different prices according to their age or the time of day. For example at the cinema.
- Place- from the market research the place where most people purchase chocolate shall be discovered therefore will know where to sell the product.
- Product – market research will tell what aspect of the product people like, therefore will know what to emphasise when advertising. For example people may like the fact that Cadbury’s Flyte in low fat, therefore this fact will be pointed out. Research about the product will say what needs changing, which may be the actual product or the packaging.
-
Promotion – by knowing what would encourage people to buy Cadbury’s Flyte the promotion can be advertised to boost sales. Also buy knowing the most popular newspapers or magazines the decision of knowing where to advertise can be made. The age of the customers will also influence where the product is mostly promoted.prices will be found out, therefore the price will be
Sampling
Samples are often taken from a population (i.e. the people or business being investigated) to give a reasonable assessment of some value about that population. Accuracy depends upon the choice of sample type, how well it represents the population, and its size. Sampling can be random, and can be taken from a defined group known as a sampling frame.
The different methods of sampling are:
- Systematic – taking, say, every tenth item from a list like a telephone directory – a process that gives a measure of randomness.
- Stratified – selecting specific people of businesses to make sure that all market segments are represented in the right proportion – a very precise method.
- Quota – similar to stratified sampling, but interviewees are not specified; the interviewer may be told ten women and ten men, but will make the choice of people themselves.
- Multi-stage – dividing the country into regions, randomly selecting few, then subdividing these into even smaller areas for analysis – this technique saves time and cost.
Quota sampling will be used when conducting the questionnaire. This is because an equal amount of men ad women are being asked. Also an equal sample from each age group will be taken, this may not be exact, because someone’s age may be hard to guess with out actually asking them to fill in the questionnaire. This type of sampling has been chosen because a fair sample will be collected and the results will not all be from one sex or age group.
A systematic method could have been used if sampling a greater number of people, but a quota sample would give a fair sample for the small number of people asked.
Primary research
For the primary research a questionnaire will be conducted asking 25 men and 25 women ranging from children to the elderly. The questions asked will be mainly closed questions. Closed questions are when the answer is very clear, such as yes or no, which is easy to compare and analyse. Open ended questions- asking for opinions and comments—will be limited, as they are difficult to record. They are, however, a useful source of qualitative data.
The questions will be based on the following topics:
- Details of interviewee – this is age and gender. Age shall be divided in to categories, to ensure questions that are to personal are not asked. There can also not be any over lapping in age categories.
- How much chocolate they eat and what brand – to see who the main customers are and if they prefer the competition.
- What they think about Cadbury’s Flyte – questions such as if they have tried it, if they liked it, and did they purchase it because it is low in fat. To see what was good about the product and if anything needs changing.
- Where they purchase chocolate and how much they would pay for it – price will be divided in to categories and there will be a list of possible places to buy chocolate to order in 1-4 of most often to least often. To know where to sell the chocolate and how much to charge.
- What would encourage them to purchase Cadbury’s Flyte - a list of special offers to see which one proves most popular, which will help with promotion.
Secondary research
Secondary research from a textbook is based on:
- What magazines people buy
- Wealth by ethnic group
- Household expenditure
- Population by ethnic group
- Participation in physical activity
- UK consumer spending
- GB household size
- Readership of daily newspapers
Secondary research from the Internet is based on:
- Competitors prices
- Competitors advertising strategies
