Principles of marketing/PMKT102/Researching customer needs and preferences/Quiz 1

Marketing research quiz

Indicate whether the following statements are true or false:

• In addition to market trends, marketing research typically covers the following areas: Sales, Products, Advertising and Profit; Corporate Growth and Development.
  • True
    • Incorrect. Promotion accompanies advertising. This includes pricing decisions, coupons, special offers and incentives to drive sales (i.e., 2-for-1; buy 2, get 1 free; win a chance for a free trip for two, to New Orleans - including airfare, accommodations and meals - simply for providing us with your email address.)
  • False
    • Correct. Research on advertising and promotion is very important, as it can identify ways to enable customers to more quickly purchase a product or service, than would otherwise be the case quickly along the purchase cycle (i.e., a $20 off coupon, if you spend $100), advertised to price conscious seniors / retirees.
• Analytics software is indispensable in determining success of a marketing campaign.
  • True
    • Correct. Whether analytics are derived from Microsoft Excel, Google Analytics or software-as-a-service, market research that helps analyze sales transactions, market research, and demographic data associated with a customer database is vital.
  • False
    • Incorrect. Analytics information (i.e., historical, real-time) combines critical customer data (i.e., purchase decisions, website performance, entry and exit points, sales conversion information)with Web browsing data to gain a better understanding of the individual customers marketing channel preferences and other marketing decisions. The insights gleaned from analytics can be used to increase sales volume, frequency of purchasing, website optimization and more.
• A marketing research study that is repeated and gets the same results, is considered to be 'reliable'.
  • True
    • Correct. If a research study were repeated with the same conditions and population, and generates the same results (or nearly the same), the research 'reliable'
  • False
    • Incorrect. Often, reliability and validity can be confused. A research study is valid, if it actually tested what it was designed to test. However, the data may not be reliable.