Page 135 - Foundations of Marketing

102 Part 2 | Marketing Research and Target Markets

In most cases, the first step researchers will take is to
assemble the data into a table format. Cross-tabulation may be
useful, especially in tabulating joint occurrences, for data that
will be used across categories of things or people studied. For
example, using the two variables of gender and purchase rates
of automobile tires, a cross-tabulation will show how men and
women differ in purchasing automobile tires.
After the data are tabulated, they must be analyzed.
Statistical interpretation focuses on what is typical and what
deviates from the average. It indicates how widely responses
vary and how they are distributed in relation to the variable
being measured. When marketers interpret statistics, they must
take into account estimates of expected error or deviation from
the true values of the population. The analysis of data may lead
researchers to accept or reject their hypothesis. Data require
careful interpretation and a firm may choose to enlist an expert
consultant or computer software to ensure accuracy. In a mar-
keting environment increasingly filled with data, errors are
possible and it is ever more important to interpret data cor-
rectly. Look at the advertisement for SAS, a leading producer
of business analytics software. This advertisement underscores
the importance of correct data analysis in this ad with an image
of chili peppers and the phrase “Analytics. Know what’s hot.”
Courtesy of SAS Institute the wrong conclusion, leading to a cascade of effects that
If a researcher improperly analyzes data, he or she could reach
might render a marketing strategy useless. Because so many
firms engage in high-tech analysis, a firm must take steps to
ensure that it has competitive tools at its disposal.
If the results of a study are valid, the decision maker should
Statistical Interpretation take action. If a question has been incorrectly or poorly worded,
SAS is a major producer of analytics software, which can assist however, the results may produce poor decisions. Consider the
a firm with data analysis and interpretation—an essential element
of drawing the correct conclusions on which to build a firm’s research conducted for a food marketer that asked respondents
marketing strategy. to rate a product on criteria such as “hearty flavor,” as well as
how important each criterion was to the respondent. Although
such results may have had utility for advertising purposes, they are less helpful in product
development because it is not possible to objectively determine a meaning for the subjective
phrase “hearty flavor.” Managers must understand the research results and relate them to a
context that permits effective decision making.

Reporting Research Findings

The final step in the marketing research process is to report the research findings. Before pre-
paring the report, the marketer must objectively analyze the findings to determine whether the
research is as complete as it can be and how well the data answer the research question and
support or negate the hypothesis. Most research will not have answered the research question
completely. Thus, the researcher must point out deficiencies and their causes in the report.
While writing, researchers must keep the report’s audience in mind and ensure that findings
are relevant to the firm. They should also determine before writing how much detail and sup-
porting data to include. Research is not useful unless it supports the organization’s overall
strategy and objectives.
If an outside research agency was contracted, it is important that it fully understand the
statistical interpretation client’s business. Those responsible for preparing the report must facilitate adjusting the find-
Analysis of what is typical and ings to the environment, as it can change over time. The report must be helpful to marketers
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what deviates from the average and managers on an ongoing basis.

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