Exploring Marketing Research William G. Zikmund

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ExploringMarketing ResearchWilliam G. Zikmund

• Chapter 7
• Secondary Data
• Research in a Digital Age

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Secondary Data

• Data gathered and recorded by someone else prior
  to and for a purpose other than the current
  project
• Is often
• Historical
• Already assembled
• Needs no access to subjects

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Advantages of Secondary Data

• Inexpensive
• Obtained Rapidly
• Information is not Otherwise Accessible

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Government data is often free
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Disadvantages of Secondary Data

• Uncertain Accuracy
• Data Not Consistent with Needs
• Inappropriate Units of Measurement
• Time Period Inappropriate (Dated)

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Secondary Data may be Dated

• The Economic Census profiles the U.S. economy
  every 5 years, from the national to the local
  level.

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Evaluating Secondary Data
Does the data help to answer questions set out
in the problem definition?
Applicability to project objectives
Does the data apply to the time period of
interest?
Does the data apply to the population of
interest?
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Evaluating Secondary Data (continued)
Do the other terms and variable classifications
presented apply?
Applicability to project objectives
Are the units of measurement comparable?
If possible, go to the original source of
the data?
Accuracy of the data
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Is the cost of data acquisition worth it?
Accuracy of the data
Is there a possibility of bias?
Can the accuracy of data collection be
verified?
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Objectives for Secondary Data Studies

• Fact Finding
• Model Building
• Data Based Marketing

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Common Research Objectives for Secondary Data
Studies
Fact Finding - Identifying consumption
patterns - Tracking trends
Model building - Estimating market
potential - Forecasting sales - Selecting
trade areas and sites
Data Base Marketing - Development of Prospect
Lists - Enhancement of Customer Lists
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Fact Finding

• Identify Consumer Behavior
• Trend Analysis
• Environmental Scanning

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Model Building

• Market Potential
• Forecasting Sales
• Analysis of Trade Areas

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Data Based Marketing

• Practice of maintaining a customer data base
• Names
• Addresses
• Past purchases
• Responses to past efforts
• Data from numerous sources

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Internal Data

• Internal and Proprietary data is more descriptive

• Accounting information
• Sales information
• Backorders
• Customer complaints

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Data Mining
Dig through volumes of data to discover Patterns
about an organization's customers And products.
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External Data

• Government
• Newspapers
• Journals
• Trade Associations
• Libraries
• Internet
• Vendors
• Government Sources
• Books and Periodicals

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Popular Addresses
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Traditional Distribution
Indirect Channel Using Intermediary
Information Producer (Federal Government)
Library (Storage of government documents and
books)
Company User
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Traditional Distribution
Direct Channel
Information Producer (Federal Government)
Company User
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Direct, Computerized Distribution Using
Intermediary
Information producers (Just-in-time inventory
partner) computerized database
Company user
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Modern Distribution of Secondary Data
Information producer A (Federal
government- census data)
Information producer B (Grocery
store-retail scanner data)
Information producer C (Audience research
company- television viewing data)
Vendor/external distributor (Computerized
database integrating all three data sources for
any geographic area)
Information producer A (Federal
government- census data)
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External Data

• Created, recorded, or generated by an entity
  other than the researchers organization
• Government
• Trade associations
• Newspapers and journals

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External Data

• Libraries
• The Internet
• Vendors
• Producers
• Books and Periodicals

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External Data

• Government sources
• Media sources
• Commercial sources

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Government Sources
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Commercial Sources

• Market share data companies like A.C. Nielsen
  provide information about sales volume and brand
  share over time
• Demographic and census updatesmany organizations
  supply census updates, in easy-to-use or custom
  formats

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Commercial Sources

• Attitude and public opinion researchsyndicated
  services report the findings of opinion polls
• Consumption and purchase behavior data
• Advertising researchreadership and audience data

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Single Source Data

• Diverse types of data offered from a single
  source
• - e.g., television viewing and scanner purchase
  data
• - e.g., Prizim and ClusterPlus

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Global Secondary Data

• Typical limitations
• Additional pitfalls
• Unavailable
• Questionable accuracy
• Lack of standardized terminology