Marketing Research Process

1. Formulate Problems 6. Research Report

- Specify Research
Objectives

2. Research Design 5. Data Analysis

- Exploratory, - Interpretation
Descriptive, Causal

3. Data Collection Method 4. Sample Design

-Primary, secondary - Sampling frame,
-Questionnaire Design sample selection,
-Attitude Measurement sample size
 Perceptual Mapping: Overview

How do consumers evaluate products?

What is a perceptual map?
How to use perceptual maps?
How to construct perceptual maps?
 Product Evaluation

What is the main difference between these two

brands?

Newspaper: 1. SCMP 2. Ming Pao

Supermarket: 1. ParkNShop 2. Wellcome
Car: 1. Volvo 2. Honda
Transportation: 1. MTR 2. Taxi
 Product Evaluation
Only certain dimensions are keys in comparing
products.

Breakfast Snack: glazed donut, toast, muffin, etc.

1. Easy to Prepare 2. Sweetness
Pain reliever: Tylenol, Advil, Dartil, etc.
1. Gentleness 2. Effectiveness
Soft drink: Coke, Pepsi, 7up,Diet Coke, Diet 7-up.
1. Cola - noncola 2. Diet - nondiet
 What is a
Perceptual (Positioning) Map?
Represent consumer perceptions and preferences
spatially by means of a visual display.

Axes represent underlying dimensions that

respondents use to form perceptions and
preferences of brands.
 Ford Taurus
Pontiac Grand Am

Chevrolet Corsics Buick Century

Toyota Camry

Ford Tempo Honda Accord

Ford Thunderbird
 Perceptual Map: Soft drink

Sprite

7 Up

Coke Diet Coke

Pepsi Diet Pepsi
 Use of Perceptual Maps
New product testing: perception of a product
concept.
Test whether new product concept achieved
intended positioning.
Example: breakfast concept intended to compete
with donuts.
New product development: directions for R& D
efforts.
Needs information on ideal point, that is, what
feasible point on the map represents ideal
combination of attributes for different customer
groups.
Example: Pain reliever, childrens Tylenol.
New Product Testing: Breakfast

Easy to Prepare

Glazed Donut Corn Muffin

and Butter
Jelly Donut Coffee New
Cake Concept

Sweetness
Toast, tart

Butter Toast & Jelly

 Example: Pain Reliever

Competing brands: Tylenol, Extra Strength Tylenol,

Datril, Generic acetaminophen,
Bufferin, Advil
Three main segments:
1. Kids < 5 years old;
2. 20 40 years old;
3. 60 80 years old.

Ideal points: ideal combination for consumers.

Brand Choice: A consumer chooses the product closest to her
ideal point

Question: a. which brands should do best in sales?

b. any opportunities for new products?
 Pain Relievers
Gentleness
Age: <10
Use: fever
Age: >60
Use: arthritis

Tylenol

Dartil Extra-strength Tylenol

Age: 20 ~ 40
Use: Aches

Advil

Effectiveness
How to construct perceptual map?

Method one: attribute-based ratings.

Step 1: Identify list of attributes, and obtain ratings on
each attribute.
Step 2: Use factor analysis to identify key attributes and
calculate ratings on key attributes.
Use: industrial products, and consumer products with
explicit attributes like computers, cars and mobile
phone.

Method two: similarity-based ratings.

Step 1: measure similarity between pairs of brands.
Step 2: use Multi-dimensional Scaling (MDS) to identify
key attributes and computer ratings on key attributes.
Used for consumer products without explicit attributes
such as perfume, shampoo, beer,
 Perceptual Mapping: Summary

Consumers evaluate products based on key

attributes.
Perceptual map represents consumers quality
perception on a spatial map.
Perceptual maps can be productively used to
test new products and identify opportunity for
new products.
Perceptual maps are constructed with factor
analysis or multi-dimensional scaling.