Terms

• Market research – the process of collecting, recording and analysing data about the customers, competitors and market for a product
• Unique selling point – the special feature of a product that sets it apart from competitors’ products
• Market-orientated – products are developed based on consumer demand as identified by market research
• Product-orientated – the firm decides what to produce and then tries to find buyers for the product
• Primary research – collection of first-hand data for the specific needs of the firm
• Secondary research – collection of data from second-hand sources
• Quantitative – numerical data which can be presented in

  tables, graphs or charts; can be further analysed using

  statistical techniques
• Qualitative – aims to find out consumers’ opinions about

  products and the factors that influence their buying decisions
• Focus Groups – group of consumers are invited to discuss topics such as new products, packaging, brand names, advertisements etc.
• Observation – behavior of consumers is secretly observed and recorded
• Test market – a limited quantity of the product is produced and sold in a carefully selected area of the market
• Consumer surveys – surveys can collect both qualitative and quantitative data often with the aid of a questionnaire

  • online surveys
  • interviews
• Sample – a representative sample of the market selected to take part in the market research