The content of this paper will discuss the importance of market research to AAA Travel Auto Club South. While discussing the importance of market research this document will start with a definition and than evaluate if market research is used by this organization and if so what the value of using it is and the various types of marketing research AAA Travel Auto Club South uses and it’s importance to their organization.
The process of market research is assembling information, analyzing its value, and interpreting market information about products or services to be presented for sale in a particular market (McDaniel & Gates, 2006). Market research is also about historical, current and future customers for the product or service being researched. Market research as stated by McDaniel and Gates, (2006) is a combination of characteristics, spending trends, position and the needs of the firm’s target market, the industry the firm is working in, and the firms competitors.
Precise and comprehensive information is the basis of all successful commerce activity because it provides a vast amount of information about possible customers, existing ones and the firm’s competition. Market research allows business proprietors to establish the viability of a business venture before committing sizeable resources.
At present, AAA Travel Auto Club South utilizes a variety of marketing resources and methods some internal and some external. Primary information is compiled internally through the marketing and data base analytics department. According to the Managing Director of Travel Agency Marketing Chip Morgan “the marketing research department is an energetic resource, the marketing department analyzes target au...
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...tomer and members would agree to be worth changing their loyalty or refer new business to AAA Travel. Additional information was gathered through on-line surveys using the travel department’s on-line focus group made up of 500 past passengers of the travel agency.
Market research provides information to help unravel marketing obstacles that businesses face in today’s business climate, an essential part of the business planning process. As shown in the example certain strategies such as segmentation or differentiation are almost unattainable without relevant market research.
Works Cited
De Sarlo, L, Riley, E. & Paderni, L.S. (2011 March). Branding Value of Paid Search
Forrester Research, Retrieved from http://www.forrester.com/Research/branding
McDaniel, C & Gates, R (2006). Marketing research (7th ed.) Hoboken, NJ: John Wiley
& Sons.
The company first needs to collect demographic and geographic information relevant to potential store location choices in order to segment its market. It is extremely important that the marketing team gather thorough information in order to ensure they are focusing efforts in areas where the company’s products will be best received. This will help them in achieving maximum sales.
Marketing research is the systematic design, collection, analysis, and reporting of data and its findings relevant to the specific marketing situation that a company faces (Kotler, 2012). By researching the motorcycle rider, Allstate is able to identify who they are and what they experience. In 2008, Allstate conducted a “Who’s Behind the Helmet” survey. They defined their qualifications as a motorcycle owner who is 18 years of age or older with an income of $50,000 or more. (Floyd, 2008). The 500 person sample size produced insightful and interesting details for Allstate. Jeff...
Terrell, E. (n.d.). Market Segmentation. (Business Reference Services, Library of Congress). Retrieved April 6, 2014, from http://www.loc.gov/rr/business/marketing/
Marketing research has become a very important part of small businesses and large corporations gaining information about their customers and how they feel about their products and services. According to Philip Kotler, "Marketing research is systematic problem analysis, model building and fact-finding for the purpose of improved decision-king and control in the marketing of goods and services (Kotler & Keller, 2012)”. The initial step in the marketing process is to identify the problem the company is having and then decide the way the marketing team would like to conduct the research. The marketing team will devise a plan on how to gather the information and set a budget for the research project. In the planning of how they will conduct the
In light of an evolving market, faced with new competitors, and after a careful analysis of their current customers, the Vanguard Group (hereinafter referred to as “Vanguard”) realizes it must rethink its entire marketing strategy. However, in order to protect and leverage their competitive advantage, which is their low management fees, and to optimize the loyalty that their customers continuously demonstrate toward their organization, they must now target the most profitable segment for them, and develop the best way to serve and delight these customers.
Dickson, P. R., & Ginter, J. L. (1987). Market segmentation, product differentiation, and marketing strategy. Journal of Marketing, 51(2(April 1987)), 1-10. Retrieved from http://www.jstor.org/stable/1251125
This research seeks to reveal the importance of marketing strategies in today’s complex and competitive business world. For this reason, this study will discuss various theories, issues and approaches of the marketing linking them with W.L. Gore & Associates and thereby propose the best options, ideas, strategies and techniques for the improvement of the company. To reach the points, this study will especially collect secondary and qualitative data and information.
1. Issues 2. American Airlines’ objectives 3. The airline industry 4. Market 5. Consumer needs 6. Brand image 7. Distribution system 8. Pricing 9. Marketing related strategies 10. Assumptions and risks
Southwest Airlines has effectively used a variety of promotional elements in its integrated marketing communications, making it one of America’s largest airlines with 3,300 flights a day to 72 domestic cities. Southwest Airlines has used all four possible elements of the promotion mix: advertising, public relations, personal selling, and sales promotion, but has focused primarily on advertising and public relations to add value to the product offered to customers. Its focus on advertising and public relations is directly related to its large size and it’s nationwide reach. Also, advertising and public relations are the most cost-efficient methods of promotion, and an airline as large as Southwest is forced to have promotional elements that benefit from economies of scale.
Segmenting and profiling a market is done in order to create a product that best suits the needs of the desired consumer. Market segmentation is useful as it separates the total market into different segments allowing a company to create a product specific to the consumer’s needs. Profiling the market then allows the marketer to define the certain characteristics of the target market helping the product to cater better specifically to their needs. Sources of information that could be used to segment and profile the market include industry sources, using qualitative and quantitative research, priori research, by making assumptions and using research to support them as well as existing research data.
Currently, businesses want to use the information effectively for competitive advantage to make better decisions that improve and optimize business processes, predict the market dynamics accurately, optimize forecasts to adequately maintain resources to name a few reasons.
Briefly it is a systematic design, collection, analysis, and reporting of data and findings relevant to a specific marketing situation facing the company, allows management to make the changes necessary for better results through adopting a proactive approach. Therefore, if a company wants to know what type of products or services would be profitable it should make a market research. Furthermore, a comprehensive research will enable the company to know about the product imperfections (if there are) and to know if it has been able to satisfy customers’ needs. It attempts to provide accurate information that reflects a true state of affairs. Due to market research the company can formulate a viable marketing plan and estimate the success of its existing plan. There are two main sources of marketing research information:
Data analysis is one of the most crucial aspects for any market research firm. Without data analysis, it is very difficult for the firm to understand the market or develop a strategic plan without proper marketing research. For complete market research, a company must understand the exact nature of business and the output that the firm might get. The firm must understand the effectiveness of the tools and the strategy that they are implementing so that the firm can make changes if needed (What is the importance of data analysis?.n.d.) From time to time. The basic reason being, as the business environment has become very dynamic, it highly essential to keep the track of the environment and should understand the behavior of business movements, that are possible only because of market research . As Bernard Loomis says, “The trouble with research is that it tells you what people where thinking about yesterday, not tomorrow. It’s like driving a car using a rearview mirror.” Hence it is very crucial to understand the need of people and capturing their mind set.
...cular market. Companies that conduct market research normally save a lot of money by understanding what type of product or service is needed, other than entering the market blindly without knowing what to expect.
On the other hand, weaknesses existed. The primary research was the most difficult and frustrating sector, for it was difficult to keep in touch with the potential competitors; hence, a chance to learn more and analyse deeper from the potential competitors was missed. To conclude, the result and analysis of primary and market research which was based on the questionnaire was not convincing enough, and it was the main sector which needed to improve in the future.