Group 4
Roll No. 16 – Dhiraj Chaubey
Demand Roll No. 17 – Divya Girishkumar
Forecasting & Roll No. 18 – Gaurav Bandekar
Market Roll No. 19 – Himanshu Jitendranath
Roll No. 20 – Kartik Shanbhag
Research
DEMAND FORECASTING – WHAT?
DEMAND FORECASTING
Outside requirements of Estimation in the present for a
Product or Service future occurring event.
PROCESS
Select Collect Analyze data
Purpose of Establish
Forecasting Historic & Make
Forecast Time Period
Technique Data Forecast
DEMAND FORECASTING – WHY?
1. Fulfilling objectives of Business.
2. Preparing the Budget.
Objectives of
3. Taking management decision. Demand
Forecasting
4. Evaluating Performance.
5. Helping Government.
DEMAND FORECASTING
TECHNIQUES ?
QUANTITATIVE QUALITATIVE
METHOD METHOD
TREND ECONOMETRI
PROJECTION C THE DELPHI
METHOD SMOOTHENIN TECHNIQUE
G
MARKET
BAROMETRIC RESEARCH
FORECASTING
DEMAND FORECASTING – TYPES?
PASSIVE
SHORT TERM EXTERNAL
DEMAND
PROJECTIONS MACRO
FORECASTING
FORECASTING
LONG TERM
PROJECTIONS
ACTIVE DEMAND INTERNAL BUSINESS
FORECASTING FORECASTING
DEMAND FORECASTING – SCOPE?
It should be decided considering the time
and cost involved in relation to the benefit
Depends upon the operated area of of the information acquired through the
the firm, present as well as what is study of demand.
proposed in the future.
Forecasting can be done at local Cost of forecasting and benefit
and International levels. flows from such forecasting. It
should be done in a balanced
manner.
EXAMPLES
A leading car maker, refers to the last 12 months of actual sales of its cars at model,
engine type, and color level; and based on the expected growth, forecasts the short-term
demand for the next 12 month for purchase, production and inventory planning
purposes.
A leading food manufacturing company refers to the last 24 months of actual
sales of its highly seasonal products like soups and mashed potatoes. An analysis is carried
out at the flavor and packaging size level. Then based on the market potential, demand is
forecasted for the next 12 to 24 months for sourcing of key ingredients like tomatoes,
potatoes, etc. and for capacity planning and evaluating the need for external co-packing.
Marketing Research − What ?
DEFINITION: “Marketing research is the careful and objective study of
product design, markets, and such transfer activities as physical distribution
and warehousing, advertising and sales management.”
— Clark and Clark
Market Research – PROCESS
MARKETING RESEARCH ─ WHY ?
1. Provide Basis For Proper Planning
2. Reduce Marketing Costs
3. Find Out New Markets for The Product
4. Determine Proper Price Policy
5. Know The Market Competition
MARKETING RESEARCH ─ TYPES
1. Exploratory Market Research
2. Descriptive Market Research
3. Causal Market Research
4. Predictive Market Research
PRIMARY & SECONDARY MARKET RESEARCH
Primary Market Research
It is a kind of market research which is done by the business or company itself with the objective of gathering
information that can be used to improve the products, services, and functions. Primary market research is also known as
field research since it is research done from scratch, without using any information that is already made available
through other sources. One can gather primary data or information through qualitative research methods as well as
quantitative research methods. Primary market research is the most common type of a market research method and is
also the most valuable type. It is a method that only answers specific questions and not irrelevant issues.
Secondary Market Research
It is a research technique that does not aim to gather information from scratch but relies on already available information
from multiple sources. This research focuses on data or information that was collected by other people and is available
for either free or paid use for others. Secondary market research takes into account many different sources for collection
of information including government data, office data, newspapers, magazines, the internet, etc. One of the benefits of
doing secondary market research is that it is mostly free and takes a lot less time.
PRIMARY MARKET RESEARCH
The following are some Primary market research techniques that are most commonly used:
Focus groups- This method involves getting a group of people in a room or a place and asking them insightful
questions regarding the product, its development, their preferences, and feedback, etc. These types of focus groups can be
run or conducted at any location feasible for the company or business.
Surveys and questionnaires- The term ‘surveys’ is a broad term that covers a lot of things such as survey
questionnaires, survey forms, survey interviews and customer satisfaction cards, etc.
Observation- There are two major observation techniques or research methods used in primary market research, and
they are observation through interaction and communication with the subject and observation through no interaction and
communication with the subject.
Trials and experimentation- This method of primary research involves scientific tests where hypotheses and
variables, etc. are used. This is a quantitative type of market research which may either be controlled out in the field or
within controlled environments.
SECONDARY MARKET RESEARCH
Secondary market research is mainly based on collecting information from different sources and then coming to a
conclusion. The following are the two main types of Sources of Secondary market research data:
Internal sources- Internal sources are those kinds of secondary market research sources that already exist and are
collected in the business’s database or file system. Internal sources include information that has already been collected
by the company and proves useful for future projects, etc. For most businesses, internal sources may prove enough to
develop new products and services, and this may not require them to look outside ex. Balance sheets, Profit & loss
statement, Inventory records, Sales figures.
External sources- In case the internal sources don’t fetch enough or sufficient information, external sources can
be use. External sources are those sources that present data that is collected by other businesses or people. These are
collected from outside the business’s environment and include multiple sources. External sources can be wide and varied
and hence one must follow a controlled approach to assessing them ex. Government sources, Universities and colleges,
Internet, Competitor data.
How to do marketing research
1. Define your buyer persona
Before you dive into how customers in your industry make buying decisions, you must first understand who they are. This is the
beginning of your primary Some key characteristics you should be keen on including in your buyer persona are:
Age
Gender
Location
Job title(s)
Family size
Income
Major challenges
2. Identify a portion of that persona to engage
Now that you know who your buyer personas are, you'll need to find a representative sample of your target customers to understand their
actual characteristics, challenges, and buying habits.
In-person via a focus group
Administering an online survey
Individual phone interviews
3. Engage your market research participants
Market research firms have panels of people they can pull from when they want to conduct a study. The trouble is, most individual
marketers don't have that luxury — and that's not necessarily a bad thing. In fact, the time you'll spend recruiting exclusively for your
study will often lead to better participants.
Pull a list of customers who made a recent purchase
Pull a list of customers who were in an active evaluation, but didn't make a purchase
Call for participants on social media.
Leverage your own network.
Choose an incentive.
4. Prepare your research questions
The best way to make sure you get the most out of your conversations is to be prepared. You should always create a discussion
guide — whether it's for a focus group, online survey, or a phone interview — to make sure you cover all of the top-of-mind
questions and use your time wisely.
5. List your primary competitors
Understanding your competitors begins your secondary market research. But keep in mind competition isn't always as simple
as Company X versus Company Y.
To identify competitors whose products or services overlap with yours, determine which industry or industries you're pursuing.
Start high-level, using terms like education, construction, media & entertainment, food service, healthcare, retail, financial
services, telecommunications, and agriculture.
6. Identifying Content Competitors
Search engines are your best friends in this area of secondary market research. To find the online publications with which you
compete, take the overarching industry term you identified in the section above, and come up with a handful of more specific
industry terms your company identifies with.
Compare your search results against your buyer persona.
USES of market research
Identify opportunities to serve various groups of customers.
Examine the size of the market – how many people have the unmet need.
Determine the best methods to meet the unmet needs of the target market.
Investigate the competition.
Clarify your unique value proposition.
Conclude if the product is effectively meeting the needs of the customers.
Conclude if your advertising and promotion strategies are effective or not.
Thank You
