Exam 9: Decision Support Systems and Marketing Research

Compare and contrast primary and secondary data and discuss how each is collected.

Sav-More Supermarkets Observers of the supermarket industry see no letup in the use of checkout-counter-based target marketing.Sav-More supermarkets have installed an electronic marketing system in their stores.The system allows the stores to do more direct mail promotions by combining the current Sav-More's check cashing cards with the new Sav-More's Bonus Club frequent-shopper cards.The new system uses bar-code scanners and magnetic cards issued to shoppers to track all purchases.As with most customer databases,demographic information is gathered for subsequent offers to frequent-shopper club members,and psychographic information is tracked whenever customers use the magnetic strip cards to make purchases.Generally,marketing to these consumers achieves better results than free- standing insert (FSI)coupons. -Refer to Sav-More Supermarkets.The creation of a large computerized file of customers' demographic and psychographic characteristics through the new Sav-More system is called:

A _____ error arises if the sample drawn from a population differs from the target population.

Which of the following is an interviewing method in which the interviewer reads the questions from a computer screen and enters the respondent's data directly into the computer?

A marketing research company has hired Anu to evaluate the quality of service in a chain of local restaurants.Anu enters the restaurant posing as a customer.She pretends she has an allergy to gluten,a common component of baked goods.She asks if the menu can accommodate this special need and reports back to the research company about the level of service she received.Anu is working as a mystery shopper.

Callaway Golf Callaway Golf Co.has long been a leader in women's golf equipment,but it wanted to expand its lead in this growing sector of the market.While Callaway's technical people knew what could be done with design,they did not know exactly what women wanted in their clubs.Callaway management decided what it needed to do was to bring the technicians and women golfer together.Beginning about three years ago Callaway sent a team of researchers,designers,and golf pros out to visit with 40 women golfers of various abilities in locations from California to Florida.In selecting the golfers to study Callaway decided to focus on women that were just beginning to play and experienced,competitive golfers that wanted to own the latest equipment.Callaway management felt that these two extreme groups of golfers had been overlooked by golf club manufacturers.Further,Callaway felt that if they could learn enough about these two groups they would also learn enough to serve the rest of the women golfer market.Basically the research team observed the women playing golf and listened to their comments and concerns.The information gathered by this research team was built into every aspect of the design of a new golf club,including the feel of the club,the length of the club shaft and size of the club head,and the weight of the club.When prototypes of the new clubs were completed they were sent to the women golfers to get their feedback.That feedback was then used to refine the club design.This process went on until the women said the new clubs worked.The entire process from original prototype to final product took a little less than one year. -Refer to Callaway Golf.When Callaway researchers asked questions like "What bothers you the most about your irons?" what type of questions were they asking?

Which of the following is the BEST example of an effective question on a mail survey?

Describe survey research and explain how it differs from observation research.Name six popular forms of survey research.

The Johnsonville Sausage Company wants to know which areas of the country consume the most sausage.The company is not especially interested in an explanation for the popularity of sausage in different regions;it simply wants factual information about it.Johnsonville is interested in using marketing research in its _____ role.

Which of the following is a type of nonprobability sample?

Compare and contrast probability samples and nonprobability samples.List the types of samples for each.

The publisher of a Canadian business magazine wanted to make several major changes in the magazine's content and format.To determine what changes would be supported by its subscribers and what changes would not be welcomed,the publisher should engage in:

Conferences and professional courses led by rival executives are great places to gather competitive intelligence.

_____ is the creation of a large computerized file of customers' and potential customers' names,profiles,and purchase patterns.

Callaway Golf Callaway Golf Co.has long been a leader in women's golf equipment,but it wanted to expand its lead in this growing sector of the market.While Callaway's technical people knew what could be done with design,they did not know exactly what women wanted in their clubs.Callaway management decided what it needed to do was to bring the technicians and women golfer together.Beginning about three years ago Callaway sent a team of researchers,designers,and golf pros out to visit with 40 women golfers of various abilities in locations from California to Florida.In selecting the golfers to study Callaway decided to focus on women that were just beginning to play and experienced,competitive golfers that wanted to own the latest equipment.Callaway management felt that these two extreme groups of golfers had been overlooked by golf club manufacturers.Further,Callaway felt that if they could learn enough about these two groups they would also learn enough to serve the rest of the women golfer market.Basically the research team observed the women playing golf and listened to their comments and concerns.The information gathered by this research team was built into every aspect of the design of a new golf club,including the feel of the club,the length of the club shaft and size of the club head,and the weight of the club.When prototypes of the new clubs were completed they were sent to the women golfers to get their feedback.That feedback was then used to refine the club design.This process went on until the women said the new clubs worked.The entire process from original prototype to final product took a little less than one year. -Refer to Callaway Golf.When Callaway researchers asked questions like "Now that you have played with the new club,how likely would you say you would be to buy it?" they asked golfers to respond on the following scale: 1 = would definitely not buy it 2 = would probably not buy it 3 = might or might not buy it 4 = would probably buy it 5 = would definitely buy it What type of question is this?

A true marketing decision support systems (DSS)possesses all of the following characteristics EXCEPT:

Sav-More Supermarkets Observers of the supermarket industry see no letup in the use of checkout-counter-based target marketing.Sav-More supermarkets have installed an electronic marketing system in their stores.The system allows the stores to do more direct mail promotions by combining the current Sav-More's check cashing cards with the new Sav-More's Bonus Club frequent-shopper cards.The new system uses bar-code scanners and magnetic cards issued to shoppers to track all purchases.As with most customer databases,demographic information is gathered for subsequent offers to frequent-shopper club members,and psychographic information is tracked whenever customers use the magnetic strip cards to make purchases.Generally,marketing to these consumers achieves better results than free- standing insert (FSI)coupons. -Refer to Sav-More Supermarkets.Al Edisto,Sav-More's frozen food manager,noticed sales of orange juice have fallen,and he wanted to set up a marketing research project to determine possible reasons for the decline.He first studied the data from the database system discussed above.These data are called _____ data.

Which of the following is an interviewing method in which a mall interviewer intercepts and directs willing respondents to nearby computers where the respondent reads questions off a computer screen and directly keys his or her answers into a computer?

When the Boston Symphony Orchestra wanted to determine how to make classical music appeal to younger concertgoers,it hired AMN to conduct a survey.AMN is most likely an example of a:

A _____ is a form of personal interviewing that uses a group of seven to ten people who have been recruited because of certain desired consumer characteristics.