Marketing Research

Aaker, Kumar, Day and Leone

Ninth Edition
Instructors Presentation Slides

Chapter Seven
Marketing Research on
The Internet

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Marketing Research 10th Edition

Current Trends in Web Usage

55% of American households have
access to internet at home (US Census
Bureau 2003 population survey)
68% of adults use the internet (Pew
Internet and American Life Project
2005)
32% of adult Internet users purchased
products or services online in 2005
(Census report)
Online advertising revenue is $12 billion
in 2005
33.2 million people between 50-64 years
of age online in 2005 (eMarketer)
Senior-specific sites for Pfizer Inc.,
Fidelity Investments and Charles
Schwab Corp.
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E-Commerce Spending Summary, 1998 - 2006

Retail E-Commerce
(in USD Bn.)

E-Commerce as %
of Total Retail Sales

1998

5.0

0.2

1999

15.0

0.5

2000

28.0

1.0

2001

35.3

1.1

2002

46.8

1.5

2003

60.0

1.8

2004

76.3

2.2

2005

87.4

2.4

2006

106.6

2.7

SOURCE: Compiled from Annual Retail Trade Surveys, U.S. Census Bureau

Marketing Research 10th Edition

Internet Uses & Usage

Typical Uses of the Internet

Uses for Online Services

Rural Internet Users
(%)

Urban & Suburban

Internet Users (%)

Buy or make a reservation for

travel

51

65

Online banking

34

43

Online classifieds

30

37

Read a blog

21

28

Download screensavers

28

22

Download computer games

25

20

Class for credit

15

11

Fantasy sports

Activity

SOURCE: Pew Internet & American Life Project.

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Marketing Research 10th Edition

Online Advertisements
Top Companies by Sponsored Link
Impressions as on August, 2008
Impressions
(in millions)

Company
True

2,924.8

Amazon.com

1,787.1

Zencon Technologies LLC

1,664.1

Internet Made Simple

1,258.9

InterActiveCorp

920.3

SOURCE: Nielsen Online, 2008. Advertising Placements by Industry and Top

Sponsored Links, August 2008, September 15, 2008,
http://www.clickz.com/showPage.html?page=3630843

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Marketing Research 10th Edition

Primary Research on the Internet

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Marketing Research 10th Edition

Email Surveys
Advantages

Greater speed of delivery of questionnaires

Higher speed of delivering responses and feedback
Cost-savings benefits over regular mail surveys
No intermediaries
Asynchronous communication

Disadvantages
Low security
No guarantee for anonymity

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Marketing Research 10th Edition

Comparison of Information Sources

Internet
(www, Usenet)

Professional
Databases
(e.g., Lexis/Nexis)

Commercial Online Services

(e.g, CompuServe)

Speeda

Low to high

High

Low to high

Information
Structure

Structure not very

good

Very well structured

Well structured

Information scope

Very broad

Depends on the
database, mostly
narrow

Medium to broad

Overall information
quality

Low to high

High to very high

Medium to high

Search tools

Limited, not complete

Extensive, accurate

Mostly accurate

User support

Limited

Very good

Good

Cost

Low

High to very high

Medium

Depending on modem, server and database structure

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Marketing Research 10th Edition

Secondary Research on the Internet

Custom Search Service
Agents
Free Information Providers

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Marketing Research 10th Edition

10

The Seven Deadly Sins of Online Searching

Pride

Assuming one does not need to read the manual or other material for the
search process

Haste

Rushing into a search before thinking through your search goals

Avarice

Trying to perform an extensive search when only a few good pieces of

information are necessary

Apathy

Not thinking creatively about what sources would best cover the subject

Sloth
Narrow
mindedness
Ignorance

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Using the same old sources for every search

Trying only one formulation of the search
Not knowing the on-line systems tricks and tools

10

Marketing Research 10th Edition

11

The Internet & Marketing Research

Developments
Intranets
Speed

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Marketing Research 10th Edition

12

Where The Users Are

Country

Number of
hosts
in December
2007

% Growth
in
a Year

Number of Hosts
per
1000 Inhabitants

United States

274,101,000

18.9

915.5

Japan

36,803,719

19.3

Germany

20,659,105

United
Kingdom

Number of
hosts
in December
2007

% Growth
in
a Year

Number of Hosts
per
1000 Inhabitants

Taiwan

5,121,607

15.9

222.3

260.9

Sweden

3,886,313

20.1

428.0

57.8

250.6

Finland

3,728,551

17.0

706.6

20,000,000

N.A

331.2

Russia

3,647,609

52.2

25.6

Italy

16.730,591

20.8

282.9

Belgium

3,618.495

14.8

343.3

France

14.356,747

38.9

234.0

Switzerland

3,308,684

28.7

443.6

China

13,113,985

N.A

10.0

Denmark

3,256,134

16.0

597.8

Canada

11,000,000

N.A

340.9

Argentina

3,128,975

70.3

80.3

Australia

10,707,139

24.6

539.3

South Korea

3,000,000

N.A

63.1

Netherlands

10,540,083

16.9

644.4

Norway

2,725,031

15.0

582.2

Brazil

10,151,592

36.8

44.9

Austria

2,589,316

11.1

312.7

Mexico

10,071,370

50.4

74.0

Turkey

2,425,789

53.4

33.2

Spain

9,000,000

N.A

202.0

Czech
Republic

2,093,497

39.3

204.2

Poland

7,134,976

42.7

187.1

Romania

2,014,220

72.3

93.2

India

7,000,000

N.A

6.3

Hungary

1,689,456

43.6

168.6

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Country

SOURCE: http://www.gandalf.it/data/data1.htm

Marketing Research 10th Edition