B341 - Marketing Management

Team Project #1 - Marketing Strategy: Researching Unmet Needs in the Target Market (50 points)

Typed report

Written Report Format:

1.                  Overall Marketing Strategy – in executive summary  form

Target market
Product Concept and positioning statement
Pricing
Distribution
Promotion

2.                  SWOT Analysis

Show why your team’s idea makes sense given the external environment and your company strengths and weaknesses.
Format
Lists

• Strengths
• Weakness
• Opportunities
• Threats

Analysis

1. Identify your main area of competitive advantage by matching a key opportunity or two with a key strength or two. Or if you don't have any strengths that match well with key opportunities tell which weakness you will devote your resources towards so you can change it into a strength.

2. Identify the most "threatening" threats.  Tell what is threatening about them.  Discuss the threats likelihood that is will cause serious "damage" to the organization.

3. Discuss what strengths could be used to lessen the threats from step #4 above, and what it would take to do it.

4. Discuss what weakness that must be eliminated so as not to leave the organization vulnerable.  Tell what is would take to eliminate those weaknesses.

 3.      Market Segmentation and Target Market Selection

Segmenting the Market – Include a table like the example table that tells how you will segment your market and the segmenting variable characteristics of each segment.

Competitor Analysis – Include a table like example table that displays the major competitors strengths, weaknesses, and likely response to new competitors.  Also include a description of the competitors in a paragraph format--similar to the example.

Target Selection – Include a third table like the example with same rows of info for your segments from table one.  Be sure the "satisfied with the competition" and "unmet needs" rows are consistent with the segment you choose a primary target.  After the table you should choose a primary and secondary target and provide your rationale.  You should tell what type of targeting strategy you will use--you may need to look that up.  Also you need to include a positioning statement that focuses on ONE main benefit or attribute. 

4.                  Qualitative Research Report

Research Objectives and Hypotheses
Discussion Guide
Detailed Summary of Findings 

5.                  Quantitative Research Report

Research Objectives and Hypotheses
Methodology (how you chose your sample and how you administered the survey)
Summary of Key Findings
Supporting documentation (Tables and charts--must have one table on scalar questions similar to the example in the appendix)
Questionnaire 

The following is a step by step process for developing a basic marketing strategy:

Step 1  Market Segmentation

1.                  Identify variables for segmenting the market;  define and describe market segments

Based on your focus groups and on the general intuitive thinking of the team, develop at least three  possible segments within your potential customer base;  develop descriptive names for your     segments. Outline the differences between your segments in chart format; use page 170-178 and Figure 7.5) to help you come up with segmentation ideas.  Use behavioristic, geographic, demographic, and  psychographic segmentation to describe each group.  

Example: SEGMENTING THE MARKET

               Market: hikers & backpackers                     

NOTE:  THIS CHART IS FOR ILLUSTRATIVE PURPOSES ONLY.  YOU MUST COME UP WITH THE SEGMENTING DIMENSIONS THAT WORK BEST FOR YOUR MARKET.  SOME OF THESE DIMENSIONS MAY BE POOR SEGMENTATION TOOLS FOR YOUR MARKET!!!

2.         Analyze the competition                                                                                           

• Who are your main competitors?

• What segments do they seem to be targeting?

• What are their strengths and weaknesses?

• What segments are most likely to be unsatisfied with the competition's product offering?

• Follow the format in exhibit II to summarize your competitive analysis.

Step 2:            Qualitative Research - Focus Group Discussion

1. Determine your objective(s) for this focus group and prepare a hypothesis statement.

2. Prepare a focus group discussion guide designed to identify possible unmet needs within the chosen  product-market.  Remember, open-ended questions!  Select one or two members of the group to act as moderators. Others in the group should observe ...many ideas come as one listens to the flow of the respondents.

3. Prepare a simple focus group candidate screener to be used in recruiting participants.
   This should weed out non-target members

4. Select a time and place for the focus group. Recruit six to ten participants for each group planned.  It is best to aim for ten to allow for no-shows.

5. Conduct a focus group.  I suggest that you record it on audio or video tape.  You may use library conference rooms or conference rooms in the Smith Building, or any place free of distractions. 

6. Analyze the results and summarize findings in writing as indicated on the written report outline.  Your goal is to develop some hypotheses about specific target markets’ unmet needs which can then be quantified through survey research.

Step 3:            Quantitative Research - Verify unmet needs, measure interest in your product concept, and confirm your target market

1.         Define your research objectives

1. Confirm target's unmet needs.

2. Measure interest in your product concept (s)

3. Measure interest in product feature options

4. Gather data for promotional, distribution and pricing decisions

 2.         Questionnaire Development

1. Brainstorm for relevant questions and appropriate categories

2. Consult resources for proven questionnaire design techniques (see below)

3. Each group member should pre-test the questionnaire; shoot for ten minutes maximum duration

4. Revise any problem areas

3.            Sample Selection

Random telephone surveys are the preferred method.  If your target audience is extremely narrow, one-on-one personal interviews may be allowed to speed up data gathering.  Minimum sample size: 50  Larger is better – up to 200.

4.                  Collect the data.  Group members should share equally in data gathering, and must faithfully adhere to the written questionnaire.  

5.                  Tabulate and Analyze the data and look for significant findings.

- for open-ended questions, group responses into common categories. 

- for scalar questions, calculate means and top-box scores (see the example on Internship     Performance Assessment Appendix B)  

6.                  Report your research Findings.  Comment on statistical significance.  What results appear to be statistically significant given your sample size.

Step 4:            SWOT Analysis Marketingteacher.com

Taking the idea your team has settled on to research do a SWOT Analysis which demonstrates why the idea has merit given your company strengths and weaknesses, and the opportunities and threats that exist in the marketplace.  
Lists

• Strengths (internal to your company and the people who run your company).  Strengths could include skills, expertise, valuable physical assets, valuable human assets, valuable organizational assets (e.g. cash, patents, systems, proprietary technology), valuable intangible assets (e.g. brand name, reputation, loyal customers), competitive capabilities, or achievements (low cost provider, market share leader)
• Weakness (internal to your company and the people who run your company).  Weakness are usually deficiencies in those items mentioned above.
• Opportunities (external to company but relevant to company--would this exist if your company didn't.  Should be one of the forces of the marketing environment) Examples of Opportunities
• Threats (external to company but relevant to company--would this exist if your company didn't.  Should be one of the forces of the marketing environment)

Analysis

• Discuss which key strengths or core competencies should be matched with which key opportunities to determine your competitive advantage
• Discuss either how the weakness is irrelevant to your competitive advantage or how you can allocate resources to convert weaknesses to strengths
• Discuss either how the threat is irrelevant to your competitive advantage or how you can allocate resources to convert threats to opportunities
• Discuss any match ups of weaknesses and threats that could potentially have significant detrimental effects

Step 5: Part IV - Overall Marketing Strategy

Based on the findings of you research, describe your marketing strategy:

1. Target market

2. Product Concept and positioning statement

3. Pricing

4. Distribution

5. Promotion

B341 Research Project - Appendix A

Checklist for effective questionnaire construction

1. Review the objective of the study and the agree on telephone or personal interviews.                                                                            

2. List all the information you need to know to make target, product distribution and promotional decisions.                                                          

3. Prioritize the information - must have, should have, would be nice to have.

4. Sequence the topics in an unbiased arrangement, so response to one won't affect response to another

a. Screen out non-target respondents

b. Ask open-ended questions first, then close-ended                                    

5. Determine the appropriate type of question to ask to satisfy each topic or to provide the information needed.  Use at least two scalar questions (on a scale of 1 to 7, for example), and at least two classifying questions (demographics, product usage, etc) .  

6. Review each question as if conducting an interview.                            

7. Time the length of the interview

8. Create visual aids if needed     

9. Pretest   

10. Write interviewer instructions

Common Errors in Questionnaire Construction

1.  Loaded or leading words or questions   

2. Misplaced questions (order bias)                                                               

3. Mutually non-exclusive response categories

4. Vague questions, confusing or unfamiliar words

5. Excessive interviewer latitude

6. Excessive respondent latitude ( too many open-ended?)

7. Forcing respondents to answer when they may not know or not want to respond.

8. Limited response categories

9. Long questions/ long questionnaires

EXAMPLE OF SCALAR QUESTIONS

Academic and Professional Skills Assessment

Note to supervisors:  the information garnered from this survey will be used to evaluate the preparedness of the BYU-Idaho student worker in a variety of skill and knowledge categories.  Your thoughtful evaluation and comments can assist us in improving our curriculum.

Please rate your student worker in the following areas, based on the expectations you would have for a student in their present year of college.   If a given skill area was not applicable to the work the student was involved in, please so indicate, and do not complete a rating for that question. 

1.       Technological Literacy: the student worker is able to use technology  (telecommunications, computer and web-based applications) to improve productivity, communication, and customer service. 

Not               Significantly     Below             Slightly          Meets             Slightly      Above          Significantly
Applicable     Below             Expectations   Below           Expectations    Above      Expectations Above
                     Expectations                          Expectations                         Expectations                 Expectations

check here   1------------- 2 ------------- 3 -------------- 4 ------------- 5 ------------- 6 -------------7 

             circle the number that best describes student worker performance vs. expectations

            Explanatory Comments: __________________________________________________________________

2.      Global Literacy: the student worker understands international trade and financial systems adequately and works well with co-workers and customers of different cultural backgrounds

Not               Significantly     Below             Slightly          Meets             Slightly      Above          Significantly
Applicable     Below             Expectations   Below           Expectations    Above      Expectations Above
                     Expectations                          Expectations                         Expectations                 Expectations

check here   1------------- 2 ------------- 3 -------------- 4 ------------- 5 ------------- 6 -------------7 

             circle the number that best describes student worker performance vs. expectations

            Explanatory Comments: __________________________________________________________________

3.       Quantitative Analysis: the student worker is able to manipulate and analyze financial, marketing or production data, and draw conclusions from the data.

Not               Significantly     Below             Slightly          Meets             Slightly      Above          Significantly
Applicable     Below             Expectations   Below           Expectations    Above      Expectations Above
                     Expectations                          Expectations                         Expectations                 Expectations

check here   1------------- 2 ------------- 3 -------------- 4 ------------- 5 ------------- 6 -------------7 

             circle the number that best describes student worker performance vs. expectations

            Explanatory Comments: __________________________________________________________________

4.       Problem Solving:  the student worker is able to identify problems and opportunities in the business, shows conceptual ability to propose appropriate alternative solutions/plans and recommends an optimal solution.

Not               Significantly     Below             Slightly          Meets             Slightly      Above          Significantly
Applicable     Below             Expectations   Below           Expectations    Above      Expectations Above
                     Expectations                          Expectations                         Expectations                 Expectations

check here   1------------- 2 ------------- 3 -------------- 4 ------------- 5 ------------- 6 -------------7 

             circle the number that best describes student worker performance vs. expectations

            Explanatory Comments: __________________________________________________________________

B341 Research project – Reporting Scalar Data - Example

·         A benchmark survey was conducted with 72 supervisors of Business Management interns at the close of summer 2001.