1 E-marketing Research Part III: E-Marketing Strategy Chapter 6: E-Marketing Research Lecturer: Richard Boateng, PhD. Lecturer in Information Systems, University of Ghana Business School Executive Director, PearlRichards Foundation, Ghana Email: richard@pearlrichards.org
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Learning Objectives 6-2 After this session, you will be able to: Identify the three main sources of data that e- marketers use to address research problems. Discuss how and why e-marketers need to check the quality of research data gathered online. Explain why the internet is used as a contact method for primary research and describe the main internet-based approaches to primary research.
Primary Research Steps 6-15 Exhibit 6.10
Marketing Knowledge Management 6-5 What are common sources of data for marketing planning? 1. Internal Records 2. Secondary Data 3. Primary Data
Source 1: Internal Records 6-6 Accounting, finance, production, and marketing personnel collect and analyze data. Sales Data Sales information systems (sales force automation software) allow employees to input sales calls to prospects and current customers. Competitive and industry information can also be recorded as well as customer complaints or compliments. Customer Characteristics and Behavior Customer activity is perhaps the most important internal marketing data one can collect. E- marketers can record anything from the stickiness of particular web pages to geographic distribution. Analyzing customer patterns help greatly with marketing and advertising campaigns.
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Source 2: Secondary Data 6-8 Industry Reports - Can be collected more quickly and less expensively than primary data. Secondary data may not meet e-marketer s information needs. Data was gathered for a different purpose. Quality of secondary data may be unknown. Data may be old. Marketers continually gather business intelligence by scanning the macroenvironment.
Public and Private Data Sources 6-9 Publicly generated data Country Statistics ISSER, Ghana Statistical Service, Ghana Investment Promotion Council Marketing Association Privately generated data Marketing Research Companies Nielsen/NetRatings Commercial online databases
Product Databases 6-10 Product databases hold information about product features, prices, and inventory levels; customer databases hold information about customer characteristics. UPC Universal Product Code about every package you see has a UPC bar code printed on it. In fact, nearly every item that you purchase from a grocery store or department store has a UPC bar code on it somewhere. Brain, M. (2000, 01 April) How UPC Bar Codes Work, Electronics, How Stuff Works, Retrieved from http://electronics.howstuffworks.com/gadgets/high-tech-gadgets/upc.htm Strauss, J. and Frost, R. (2009) E-Marketing 5/E, Pearson Education, [20 June 2012] Inc.
Product Databases 6-11 UPCs originate with a company called the Uniform Code Council (UCC). A manufacturer applies to the UCC for permission to enter the UPC system. The manufacturer pays an annual fee for the privilege. In return, the UCC issues the manufacturer a six-digit manufacturer identification number and provides guidelines on how to use it. The UPC symbol has two parts: 1. The machine-readable bar code 2. The human-readable 12-digit UPC number The manufacturer identification number is the first six digits of the UPC number -- 639382 in the image above. The next five digits -- 00039 -- are the item number. UPC Coordinator in each firm has to manage the numbers and keep them unique for each item Brain, M. (2000, 01 April) How UPC Bar Codes Work, Electronics, How Stuff Works, Retrieved from http://electronics.howstuffworks.com/gadgets/high-tech-gadgets/upc.htm Strauss, J. and Frost, R. (2009) E-Marketing 5/E, Pearson Education, [20 June 2012] Inc.
Product Databases 6-12 The last digit of the UPC code is called a check digit. This digit lets the scanner determine if it scanned the number correctly or not. Here is how the check digit is calculated for the other 11 digits, using the code 63938200039 1. Add together the value of all of the digits in odd positions (digits 1, 3, 5, 7, 9 and 11). 6 + 9 + 8 + 0 + 0 + 9 = 32 2. Multiply that number by 3. 32 * 3 = 96 3. Add together the value of all of the digits in even positions (digits 2, 4, 6, 8 and 10). 3 + 3 + 2 + 0 + 3 = 11 4. Add this sum to the value in step 2. 96 + 11 = 107 5. Take the number in Step 4. To create the check digit, determine the number that, when added to the number in step 4, is a multiple of 10. 107 + 3 = 110 6. The check digit is therefore 3. Each time the scanner scans an item, it performs this calculation. If the check digit it calculates is different from the check digit it reads, the scanner knows that something went wrong and the item needs to be rescanned. Brain, M. (2000, 01 April) How UPC Bar Codes Work, Electronics, How Stuff Works, Retrieved from http://electronics.howstuffworks.com/gadgets/high-tech-gadgets/upc.htm Strauss, J. and Frost, R. (2009) E-Marketing 5/E, Pearson Education, [20 June 2012] Inc.
Product Databases 6-13 One thing you will notice if you start looking at UPC codes in detail is that the big manufacturers have manufacturer IDs with lots of zeros in them. Quaker Oats - 030000 You can see that Coke's manufacturer ID is 049000. However, if you look at can of Coke or most 2-liter bottles, you will find that the UPC code is much shorter -- only eight digits total. Here's the bar code from a 2-litre bottle of Sprite: 049 551 0 6 Here is the bar code from a 3-litre bottle of Diet Coke: 049000 01134 0 049 manufacturer ID first 3 digits 551 is the item number for this bottle of Sprite, shortened from 00551 0 fourth digit of manufacturer ID 6 check digit short bar codes are called zero-suppressed numbers Brain, M. (2000, 01 April) How UPC Bar Codes Work, Electronics, How Stuff Works, Retrieved from http://electronics.howstuffworks.com/gadgets/high-tech-gadgets/upc.htm Strauss, J. and Frost, R. (2009) E-Marketing 5/E, Pearson Education, [20 June 2012] Inc.
Source 3: Primary Data 6-14 Primary data are information gathered for the first time to solve a particular problem. Primary data collection through: Experiments Focus groups Observation Survey research
experiment Create situations and examine effects treatment Neuman, W.L. (2011) Basics of Social Research: Qualitative and Quantitative Approaches, 2/E, Pearson Education ISBN ISBN-10: 0205484379 ISBN-13: 9780205484379 control
Focus Groups 16 Focus groups is a type of interview where multiple participants are involved and responses can build on one another. A focus group is particularly useful in obtaining a variety of views or opinions about a topic or issue. Focus groups are used to obtain information of qualitative nature from a predetermined and limited number of people. A semi-structured group session, moderated by a group leader, held in an informal setting, with the purpose of collecting information on a selected topic. A carefully planed discussion designed to obtain perceptions on a defined area of interest in a permissive non-threatening environment. Sorensen, C. (2000)CICI 502 Survey of Research in Curriculum, Northern Illinois University, http://www.cedu.niu.edu/~sorensen/502/powerpoint/topicd/qlnotes.htm [accessed Feburary, 2012]
Observation Participant Observer - engages fully in the activities being studied but is known to the participants as a researcher. Example: a researcher gets permission from a teacher to sit in a class and make observations over a semester. Goal is to immerse researcher in the setting so he/she can see, hear, feel, experience, subject s daily life. Sorensen, C. (2000)CICI 502 Survey of Research in Curriculum, Northern Illinois University, http://www.cedu.niu.edu/~sorensen/502/powerpoint/topicd/qlnotes.htm [accessed Feburary, 2012]
Observation Unobtrusive or Non-participant Observer - researcher watches but does not participate in group activities. Example: researcher conducts a number of interviews with teachers in a school. Covert Observer - researcher disguises identity from other participants (ethical issues). Example: conducting the research in disguise Simulations - asking subjects to act out certain situations or roles. May be individual or group role playing. Sorensen, C. (2000)CICI 502 Survey of Research in Curriculum, Northern Illinois University, http://www.cedu.niu.edu/~sorensen/502/powerpoint/topicd/qlnotes.htm [accessed Feburary, 2012]
Survey Questionnaire to record answers from a sample Kerlinger (1973) defined survey research as a study on large and small populations by selecting samples chosen from the desired population and to discover relative incidence, distribution and interrelations. The ultimate goal of survey research is to learn about a large population by surveying a sample of the population; OUM (2010) Topic 9 Qualitative Research Methods, Course Hand out CMRM6103 Research Methodology/GMRM5103 Research Methods, AIT Open University of Malaysia, Ghana Neuman, W.L. (2011) Basics of Social Research: Qualitative and Quantitative Approaches, 2/E, Pearson Education ISBN ISBN-10: 0205484379 ISBN-13: 9780205484379
Survey Techniques 1. Mail and Self-Administered Questionnaire Cheap, slow, lowest response rate 2. Web Surveys Cheapest, fastest, moderate response rate 3. Telephone Interviews Moderate cost, fast, moderate response rate 4. Face-to-face Interviews Expensive, slow, highest response rate OUM (2010) Topic 9 Qualitative Research Methods, Course Hand out CMRM6103 Research Methodology/GMRM5103 Research Methods, AIT Open University of Malaysia, Ghana Neuman, W.L. (2011) Basics of Social Research: Qualitative and Quantitative Approaches, 2/E, Pearson Education
Online Research: Advantages & Disadvantages 6-21 Exhibit 6.15
Ethics of Online Research 6-22 Companies conducting research on the Web often give respondents a gift or fee for participating. Other ethical concerns include: Respondents are increasingly upset at getting unsolicited e- mail requests for survey participation. Harvesting of e-mail addresses from newsgroups without permission. Surveys for the sole purpose of building a database. Privacy of user data.
Digital Property 5-23 The law protects intangible or intellectual property through 3 basic mechanisms: Patent law is centered on inventions. Copyright addresses issues of expression. Trademark is concerned with words or images used in the market.
Copyright 5-24 Copyright is the primary means of protecting most expression on the Internet. Chief protections include: Doctrine of Fair Use Ability to copy protected material for education and news reporting.
Copyright, cont. 5-25 The No Electronic Theft (NET) Act was signed into law in 1997. Confers copyright protection for computer content and imposes sanctions for infringement. The 1998 Digital Millennium Copyright Act (DMCA) contains several provisions. Protects ISPs from acts of user infringement. Criminalizes the circumvention of software protections. Complies with international standards for copyrighted material.
Trademarks 5-26 Trademark law concerns the ownership of intellectual property that identifies goods or services. Trademark law as been applied to the internet naming system of domain names. Similarities in names may result in trademark infringement claims. A trademark violation, cybersquatting, involves the registration of domains that resemble or duplicate existing ones. www.myjoyonline.com / www.myjoyeonline.com /www.mijoyonline.com /www.minejoyonline.com www.myjoyonline.net / www.myjoyonline.biz
Licenses 5-19 Licenses are an increasingly popular method of intellectual property protection. Licenses allow the buyer to use the product but restrict duplication or distribution. Licenses may be two basic types: Shrinkwrap or break-the-seal licenses - terms and conditions of a contractual nature which can only be read and accepted by the consumer after opening the product. Clickwrap licenses where the user is required to click a button to accept the terms Legal trend favors enforcement of software licenses.
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