also have been tested using a slightly different method. For example, the effect of televi-
sion advertising on the purchase of Dr. Pepper might have been studied by inspecting pur-
chases in two or more cities that are in the same general area of the country (such as the
Southwest) but in which different levels of television advertising had been used.
The second approach is the historical. In this approach, reliance is placed on past experiences in
soiutions to marketing problems. Historical marketing facts are relevant
only to the degree that they can be projected into the future. Fortunately, in many areas of
marketing, this can be done with a good deal of confidence. Certain types of changes, such
as populations and income distribution, come about rather slowly. The day-to-day effect of
these changes on marketiJlg is almost imperceptible. Projections of future population, gross
national product, and consumer purchasing power are practically foolproof. Historical analy-
ses of such factors as consumer behavior, competitive selling tactics , and distributors' buy-
ing practices tend also to be fairly reliable indicators of future behavior by these same
marketing components . Often, it is possible to trace the experience of organizations si mi-
lar to yours and assess how they dealt with similar problems. There are literally hundreds
of case studies on companies such as Microsoft that are useful to many business functions.
Learning from the mistakes of others makes good business sense.
The third approach that can be used in designing a marketing research plan is the sur-
vey approach. In the survey approach, marketing infonnation is collected either from observation or by quest:.onnaire or interview. In contrast to the experimental and historical
in which the data are more or less directly related to the problem, the survey approach nec-
essarily involves far more subjectivity and intuition on the part of the researcher.ยทยท.;yalch-
ing a customer make a purchase of a new TV reveals someth ing about his motives:
asking him why he is buying it is much better. Drawing conclusions from either observa-
tions of behavior or from the opinions offered by a respondent create important insig;1ts.
The survey method is flexible. It can be adapted to almost any type of research design. F o r
thi s reason, and because of the difficulties in creating marketing experiments and in col-
lecting pertinent historical data, the survey approach is the most often used in marketing
research.
Determining the Types of Data Needed
Three types of data are used : fac ts, opin-
ions, and motivational information. The types of data required are partly identified by the
nature of the problem to be solved. For instance, if the problem relates to production and
inventory scheduling, the facts that are needed relate to market and sales potential. On the other hand, if the problem revolves around the choice between two new products, the opinions of potential customers are important considerations. Finally, if a problem involves the choice of an appropriate selling appeal, buyers ' motivations are probably be most important. Facts are quantitative or
infonnation that can be verified. Opinions are ideas
relating to a problem that are expressed by people involved in the solution. Motivat;ons are
basic reasons, recognized or unrecognized, that explain action. They are extremely diffi-
cult to discover.
Locating the Sources of Data
There are two general sources of data, secondary
sources and primary sources.
Secondary source information has been previou sly published and can be either inter-
nal or external. Company recurds and previously prepared marketing research reports are
typical of internal
source material. External secondary sources are widely avail-
able and can be found outside the organization. Excellent bibliographies of secondary data
sources are available, especially online. There are eight primary sources of secondary mar-
ket information:
PROCEDURES AND TECHNIQUES IN MARKETING RESEARCH
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1. Public libraries.
2. Universities-library facilities and bureaus of business and economic research.
3. Government agencies--especially departments of commerce, agriculture, and labor.
4. Professional and trade associations.
5. Commercial publishers--especially trade publications.
6. Research and nonprofit organizations.
7. Conferences and personal contact.
8. Computer-provided search systems.
There are tremendous advantages in using data from secondary sources. In the first
place, the expense of gathering information from secondary sources is a fraction of the cost
of collecting primary data. The time required to collect data is also less. Frequently, the
information required to solve a management problem must be
quickly. Thanks to
computer technology, it is now possible to gather, merge, and reformulate many second-
ary sources of data. This capability has made secondary data even more attractive.
The inherent limitations of using secondary sources data are twofold. First, the infor-
mation is frequently dated. Second, seldom are secondary data collected for precisely the
same reasons that the information is sought to solve
current marketing problem. In spite
of these limitations, the advantages of secondary research are so great that it is a common
procedure not to proceed with the collection of primary data until after a thorough search
of secondary information source has been completed.
Primary information is obtained directly from its source. It involves data that are not available in published form or in company records. It is gathered specifically to answer
your research question. The sources of primary information, however, cannot be as eas-
ily identified as can the sources of secondary market data. Having identified the information
required to help management solve a problem, it is usually possibie to identify the person
or persons possessing the information desired. In some cases, the infor:nation can be obtained
from one of several sources. In other situations , the information can be obtained only by
contacting specific sources. For example, a manufacturer of vitamins for children discovered
that it was necessary to obtain information from the users (children), purchasers (parents ),
sellers (for the most part, druggis ts), and purchase influencers (pediatricians). Similarly,
a manufacturer of feed for dairy cattle found it desirable to seek market information from
farmers, feed dealers , and dairy specialists. Obviously, it is expensive to collect market-
ing information from multiple sources, and often it is ratner time-consuming. These two
disadvantages are offset by the fact that the informati on so obtained is tailored to the spe-
cific problem at hand. Ultimately, the question as to which source of market information
to use depends on the value of the information in relationship to the time and cost required
to gather it.4
Choosing the Method of Collecting Data
There are various methods of collect-
ing data, both secondary and primary. Secondary sources of information, listed earlier, can
be gathered through a number of means. A company may establish a data-gathering/stor-
age system as part of their computer system. Sales, expenses, inventory, returns, and cu s-
tomer complaints are then gathered automatically. Or a company can subscribe to one or
more public research companies that gather relevant information. Finally, a company can
obtain information on a problem-by-problem basis .
There are three common methods used to collect primary information: observation,
questionnaire, and self-report. Observational data collection may be the oldest method.
Since the beginning of commerce, merchants have been watching their customers and
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