Market Research Proposal and Positioning Map free essay sample

Arguments to choose this type of survey: * Quick way to get results * Cheap * Easy to analyze * Various options of visual aids (e. g. diagrams, charts) can be done automatically * Best way for high response rate, especially if possibility to win free gift is offered to the respondents who will fill out the questionnaire (e. g. offer them to win X1 Fitness or other sports accessory) Also personal interviews with key decision makers would be very helpful. Arguments to choose this type of survey: Respondents who can offer special insight It will cost a lot less than traditional face-to-face interviews, because a lot less staff will be needed to carry out surveys, when interviewing only few people * There is no need to motivate respondents, because they are interested in generating more sales Research Design Research has to be carried out by sending out online questionnaire (as well as paper version) and interviewing face-to-face key decision makers in the market (managers of leading sport accessory and electronics stores). First method of research would help to identify how the product is perceived by customers, second would help to get some advertisements ideas. Research will be focused on quantitative information, since it is much easier to analyze (especially if there are many respondents). Also there would be some qualitative information involved, mainly to find out about product perception. This project focuses on field research. First of all, paper questionnaires should be sent out to professional athletes, fitness centres and sport equipment/electronics store’s customers to be filled out. At the top of the questionnaire there should be a picture and description of the product. There should be possibility to win a prize mentioned at the top as well, for high response rate. Secondly, links to online questionnaire should be posted to various websites (sport/health/technical related blogs, sport supplies e-shops, electronic devices e-shops, sport/health/technical related groups on Facebook, etc). Problem Statement The research is done to find out about new product perception among current and potential customers, and create advertising strategy adapted to the main target group. Questionnaire Types of questions: 1. Personal information (e. g. How old are you? ; What is your monthly income? ) 2. Sport habits (e. g. How often do you work out? ; Do you use personal trainer services? If no, why? ; 3. Product perception (e. g. Please rate the following features of X1 Fitness on how important they are to you; What do you like most about our new product? open question; What do you like least? open question; Which of the following benefits is more useful to you? ; How interested you were in buying X1 Fitness if it was available to you? ; Other than the product itself, which of the following would most influence you when deciding to buy a new product like this? ; Where do you prefer to buy electronic devices? ; How do you get information about different electronic devices? First group of questions need to be asked to identify target group. It would be easiest to do by identifying age and income. Second group of questions needs to be asked to analyze different exercising habits by different people. Third group of questions is the most important one and has most questions. To create effective advertising strategy it’s vital to understand features and benefits of the product that are appealing for the consumer (both of these are open questions to find out real opinion, not a suggested one), as well as buying influencing factors. Two last questions will give some ideas about distribution and advertising channels. Interviewing face-to-face key decision makers It should be structured and personal interviews with key decision makers in the industry (managers of leading sport accessory and electronics stores). Opportunity to gather data outside customer perspective and get valuable ideas for the advertising is not to be missed. Respondents who work in the industry have special insight. Most probably they will share opinions to generate more profit for both sides. Types of questions to be asked: 1. Product potential (do you sell similar products? what products sell best? ; what does the customers think about different products who have the same feature? ) 2. Advertising suggestions (what advertising/promotion campaigns do you currently run for sport accessories? ; what is the customer response to these campaigns? ; please list few very successful advertising campaigns for sport accessory products – open que stion; advertising suggestion of the X1 Fitness product) Analysis of the results Results have to gathered and analyzed in 2 different groups: fitness centers customers and respondents who filled out online questionnaire and professional athletes. Depending on resources for advertising, 2 different campaigns could be created to target two different groups of potential customers: one for professional athletes and one for sport enthusiasts. If advertising expenses have to be minimal, only one advertising strategy could be created, focused on main target group (similar income rate, age group and sport habits). Either way strategy has to be focused on the most important features and benefits as well as customer likes/dislikes about the product. Face-to-face interviews most probably offer different kind of perspective. It will help to create appealing advertising campaign that really works. Cafe Verona To make useful positioning map a lot of information about the company and competitors is needed. In the project description not too much information is provided and there is very little information on the Internet (websites crucial for attracting tourists, e. g. http://www. goteborg. com, http://www. tripadvisor. com, does not have any information about Cafe Verona). It does not have a website of it’s own nor Facebook page and it doesn’t help to advertise the business. It is more useful to use star diagram instead of typical two axes positioning map. This way more attributes influencing customer decision will be considered, instead only few. To get clear understanding about customer preferences and reasons behind it, market research has to be done, about how important each of these attributes are for the customer. Factors for the market positioning map: Pricing is an important measure for the customer, especially in this economic climate. Expensive and prestigious cafe attract completely different kind of target group than budget cafe. Catering businesses that have similar pricing are the closest competitors. Wide or limited choice of products offered is also very important factor for the customer. If there are only few options on the menu there are less chances customer will find what he likes. Service is one of the key factors when evaluating cafe/restaurant. Friendly and professional staff can make the experience better or worse. It also means a lot for the first impression and gives suggestion about the level of the eatery. Environment makes an impact for the overall impression about the eatery. Good environment is pleasant, relaxing and welcoming, not too noisy or crowded. Serving size is also important factor, especially looking at the reviews of different eateries. Customers are not willing to pay high price for small portions of food, unless it’s fancy famous restaurant serving exceptional quality food. Quality is the overall impression about the eatery. Customers decide about the quality by evaluating how professional the staff is, how comfortable environment is, interior of the eatery, etc. Star positioning map: Criteria for identifying competitors could be eateries (cafes and restaurants) that: * Offer similar products and/or service strategy * Have same target groups * Have similar pricing * Are located in same area Cafes/restaurants that are similar can be compared easier. There have to be not too many attributes by which cafes/restaurants are being compared. If there are a lot, only very small group will be considered as competitors, but there might be much more on the market. Key attributes mentioned above will select similar type of cafe/restaurant which appeals for the same target group.