Limitations of Marketing Research Essay

Explain the limitations of trade look into used to contribute to the victimization of Nivea. No matter how small or large a grocery look project whitethorn be, every type of re lookup per processed poorly will non give relevant results. In fact, all research, no matter how well controlled, carries the potential to be wrong. there ar many reasons why research may non give good results but a common line of work is deciding whether the research is actually measuring what it claims to be measuring.There atomic number 18 3 types of limitations of grocery store research. These are Cost rough-and-readyness, reliability and rigor of data collected. bona fideness is chiefly concerned with do sure the method of data gathering leads to agreeable results. For recitation Nivea adopt to make sure that in their market research that they were asking the aforesaid(prenominal) questions asked of all(prenominal) person, was the sample big enough and reflective of the the grea t unwashed who will use/buy the return would the same results be obtained from a different set of people.Reliability estimates the degree to which a produce is legal communitys in wrinkle line to validity which involves the degree of accuracy. In research, Nivea will fatality to use measurement tools that are both reliable and valid. They will want to create questions that offer invariable responses when asked multiple times as this shows reliability. Validity asks whether the research measured what it intended to. Validity implies reliability a valid measure must be reliable. barely reliability does not necessarily imply validity a reliable measure need not be valid. Validity is usually considered more(prenominal) historic than reliability, because if an instrument does not accurately measure what it is conjectural to, there is no reason to use it make up if it measures reliably. Nivea ask to consider when carrying let out their market research for a product is does the product measure what it claims to measure and is it accurate, this reduces the chances of the business make the wrong decision.If they so extend to make the wrong decision this will mint one of its selling objectives which is to retain customers and gain refreshful ones, if the validity of their data is not correct wherefore they will not reach this merchandising objectives as customers opinions of the company will differ. Costs are similarly an important consideration in market research, Nivea need to consider whether or not the product theyre promoting is cost effective. Their market research has to weigh up the cost of undertaking the research against the potential benefits that may result.You could spend a lot of time and stew in trying to solve a problem through market research, only to find that the resolving power may not be worth implementing. Also, marketing is one of the few areas of a budget that lot be reigned in without hurting Nivea too oftentimes as the y are a very prosperous business however, one of their marketing objects is to continue producing successful skin products and boost gross revenue yearly. To do this they gain a few cost-effective ways that a company faeces market its products.Search railway locomotive Optimization- Niveas customers are no longer delay for direct unhorse pieces to arrive before fiatthey are finding products when they want them through lucre searches. In fact, almost 90% of new visitors to a web site originate from major search engines. And clearly, a top ranking on Google underside translate into hundreds or thousands of visitors and ordersa month. As web pages proliferate, increasingly more aggressive search engine optimization strategies are needed to remain panoptic to Niveas customers. Permission-based Email Marketing.Permission is the difference among legitimate e-mail marketing and spam, turning email marketing into a highly cost effective marketing strategy. The idea is simple and time tried Nivea deliver highly relevant, timely, and personalized email messages to their customers and prospects at a fraction of the cost of direct mail to avoid any cost limitations. 3. Public Relations- watchword releases, white papers, case studies, awards, and sponsorships of educational events are mediocre a few of the relatively inexpensive ways Nivea keep their brand name in crusade of other competitors.Although these methods fork up succeeded so far for them in the near future they will have to garble their methods as well as their approach to the types of market research they decide to carry out, otherwise poor market research will increase the chances of Nivea making a wrong decision. D2) Make and justify ternion recommendations for improving the validity (the extent to which a audition measures what it claims to measure) of the marketing research used to contribute to the development of your chosen systems marketing plans.In this assignment I will be expla ining how Nivea uses marketing research for its marketing planning by applying a Marketing Planning Process Model, a fancy up compend on Nivea giving at least(prenominal) 3 work outs for each box) and their brisk objectives (stating what their business objectives are/ major power be) Marketing planning is concerned with establishing objectives and goals, allocating resources to piece these and setting out a clear plan of action. It alike involves setting out ways of evaluating executing against marketing crisscrosss.Typically, the marketing planning swear out involves a PESTLE audit, a SWOT analysis, setting SMART objectives, determining strategy and tactics, implementing strategy and tactics and evaluating force of marketing activity. A Marketing planning process model involves a PESTLE and SWOT As part of the marketing planning process, Nivea has to analyse its international milieu. One useful way of analysing the outside(a) environment is by grouping external force s into six areas employ a PESTLE analysis. PESTLE stands for political, economic, genial, technological, legal and environmental influences.Political factors that tinge a business are usually beyond the control of the organisation. However, the business needs to anticipate changes and identify the action it needs to ram to either make the most of an opportunity or mitigate a threat. For example, a political factor that Nivea need to consider is that during a recession, any banks or financial services providers would have to consider the belike g everyplacenment scrutiny of any of their business decisions. scotch factors can restore the performance of a business.These yoke to he national or international economy. A economic factor that can affect Nivea are the periods of prosperity that they go through. This can go past in three ways for example when high handicraft and income drives demand within the organisation. It can also happen in the form of recession when demand fa lls, leaders to lower income and employment within their organisation. Furthermore, in the form of recovery, when demand, income and employment gradually rise within the business. amicable factors relate to the values and beliefs of society.This includes the populations demographics (for example, size, gender, ethnicity, income, education, occupation). These social factors provide useful information for Nivea as it allows them to target their services at broad segments of the population, such as newspapers and magazines. Technological developments can affect businesses in a range of ways. For example, the development of e-commerce benefited business such Amazon. co. uk. payable to the rise in e-commerce Nivea had to produce a e-commerce website which eventually took business away from traditional shops..Legal developments affect businesses in a range of ways. For example, if there was a change to the Data Protection Act it would affect Nivea and all other businesses that hold cu stomer data. For example If a change in the act occurred accordingly Nivea may not be able to expressly agree to the use of personal data for announce or marketing purposes any more. Environmental factors can relate to the social, political and legal aspects affecting a business. For example, if Nivea decide to package their cream products in useful packaging.This may prove to be popular with consumers if there is a growing level of concern over waste. Similarly, the government may puzzle pressure on businesses to increase the amount of recycling. SWOT analysis A useful approach to examining the relationship between a business and its marketing environment is by conducting a SWOT analysis. SWOT stands for Strengths Weaknesses Opportunities and Threats. Strengths and weaknesses are internal to the business and can include issues such as the buildings, look of the supply, IT systems and so on.The external element looks at the opportunities and threats designate in the enviro nment in which the organisation operates. Carrying out a SWOT analysis requires research into an organisations current and future position. The idea is to react an organisations strengths and weaknesses with the external forces (opportunities and threats). SWOT analysis draws together all the evidence from the various uninflected techniques used. It is a way of producing a summary, which then provides the ground for developing marketing objectives or aims and ultimately strategies or plans.Strengths refer to the internal features of Nivea, which provide a militant advantage. An example could be a highly competent IT system which they use to design their products. The company also has a sound financial base, so it had the resources to put together a strong marketing campaign. Also, Nivea has staff with relevant skills researchers with the scientific skills to develop products that men want and marketing staff with the skills to help promote these products effectively. Weaknesses are internal aspects of the organisation, which may not stand proportion with competition or are not acting effectively.An example might be major concerns and questions that Nivea have when launching a product For example Was the product range still relevant for the target earreach? Did it have the right sales and distribution outlets? Was its market research up-to-date? Opportunities focus on events and developments external to an organisation. This might include new territories for a product or service. Opportunities that Nivea will want to undertake is to indeterminate a new segment of a market. Also, NIVEA FOR manpower had seen an increase in the sales of male skincare products and it wants a greater share of this market, Nivea might might consider this.Furthermore, the company wants to take advantage of changing social attitudes such as men seemly more open, or certainly less resistant, to nervus facialis skincare products. Threats are developments external to the org anisations, which could damage boilersuit performance. These threats can originate from governmental policy, such as an increase in corporation tax or new laws. Threats to Nivea are consumers who are becoming more knowledgeable and price conscious. They often expect sales promotions such as discounts and offers. Also, the risk of competitors entering the market.