Marketing research is important for all companies. A company must research the areas they hope to expand and know if they can be successful in that area before they ever decide to open up a new store. Marketing research will inform a company what will sell and what will not sell in an area and the main focus of a company should be researching the customers in the area and knowing competitive intelligence. If a company uses great marketing research it will give them the best chance to put together a great marketing plan and be successful.
Kudler Fine Foods is a company that has been around since 1998 and currently has three different stores in the San Diego area. They are currently thinking of expanding and great marketing research will give them the best opportunity to succeed. Kudler Fine Foods wants to grow and this paper will address the importance of marketing research, areas where additional marketing research is needed, and analyze the importance of competitive intelligence and analysis all in regards to the development of Kudler Fine Foods’ market strategy and tactics. Importance of Marketing Research
Marketing research is important for all companies if they hope to be triumphed in their business ventures and Kudler Fine Foods is no different. Marketing research is “procedures that develop and analyze new information about a market. Marketing research may involve use of questionnaires, interviews with customers, experiments, and many other approaches” (Perreault, Cannon, & McCarthy, 2009, p. 202). Kudler Fine Foods must perform quality marketing research if they hope to be or remain successful with their current stores and to be successful with the new store they are hoping to open in Carlsbad, Ca.
Great marketing research will allow Kudler Fine Foods to perform studies to learn what they should focus on with their current stores. They can learn what departments they should concentrate their efforts on by knowing which departments are most frequented and which ones are least frequented by their current clientele. Through their research they can find out what their customers want and should be able to increase sales in all departments. By using great marketing research Kudler Fine Foods can also find out the information needed to be successful with the new store location they are hoping to open in Carlsbad.
The research will inform Kudler Fine Foods what areas will be most important at the new location and where to focus their promoting efforts. They can also learn more about their future customers and learn what will make them shop at their store. Areas Needing Additional Marketing Research Kudler Fine Foods has done a good job researching the market of their current locations as well as their future locations. Currently their Del Mar location is not doing so well and when they open their Carlsbad location they are planning to close the Del Mar location.
They are hoping they can redirect their current customer base to either the new Carlsbad location or their La Jolla location. This can be a little bit risky because their current customers may not want to drive the further distance to shop at their stores. The new store in Carlsbad will not open for about five years and during that time Kudler Fine Foods should focus more marketing research on the current Del Mar location. By focusing marketing research on the Del Mar location they may be able to make their Del Mar store more profitable.
They should look at doing more customer research in the Del Mar area and see what their potential customers really want. If they use great research in that market they can learn what the people there want and focus their advertising to promote those products and services. With more attention on the Del Mar store hopefully Kudler Fine Foods can turn around their store and not have to close that location. Another area they should focus on is integrating a marketing information system (MIS).
Kudler Fine Foods is hoping to continue to grow and expand out to new regions and an MIS will help them with their marketing without having to go to the individual stores to find out the information. An MIS is “an organized way of continually gathering, accessing, and analyzing information that marketing managers need to make ongoing decisions” (Perreault et al. , 2009, p. 202). By implementing an MIS Kudler Fine Foods will be able to gather marketing information at the touch of a button and make better marketing decisions in a timelier manner.
Importance of Competitive Intelligence and Analysis Competitive intelligence is a great tool to use in marketing research. It is “A systematic and ethical program for gathering, analyzing, and managing external information that can affect your company’s plans, decisions, and operations” (“Definition competitive intelligence“, 2011, para. 2). A company can use competitive intelligence to learn more about their competition and figure out ways to better market to their company against their competition.
Kudler Fine Foods has done a great job with their competitive intelligence research, but there is still room for improvement. Kudler Fine Foods knows who their competition is in every area, but they should regard all stores in the area to be competition. Currently Kudler Fine Foods does not consider traditional supermarkets, such as Vons and Albertsons, and international food stores as direct competition. Kudler Fine Foods is a gourmet food store and none of the other stores are gourmet, but any store that can take away customers must be considered direct competition.
They must do some marketing research to figure out ways to get customers to choose their stores over the other stores. Kudler Fine Foods must also use analysis of all research to gain a better plan on how to market their stores. Implementing an MIS will help them in the analysis process of all marketing research. It will allow them to breakdown millions of pieces of data to understand how to best market themselves and if they use an MIS with a decision support system it will make analysis even easier.
A decision support system is a computer program that uses a search engine to help find information that is needed faster (Perreault et al. , 2009). By Kudler Fine Foods using an MIS with a decision support system they will have all marketing information they will need to prepare better marketing plans and make more informed decisions. Conclusion Marketing research is imperative to a company’s success and Kudler Fine Foods is a company that must use marketing research. Great marketing research will help Kudler Fine Foods be more successful with their current stores and any future stores.
They must focus more marketing research on their Del Mar store location and implement an MIS, which will help them know more about marketing at all their stores without having to visit the stores individually. Kudler Fine Foods should consider all food stores to be direct competition for their competitive intelligence and use an MIS with a decision support system to better help with the analysis of their research. Whether it is current stores or new stores, marketing research will be an important tool for Kudler Fine Foods to use if they want to be profitable.
Definition competitive intelligence. (2011). Retrieved from http://competitive-intelligence. mirum. net/business-intelligence/definition-competitive-intelligence. html Perreault, W. D. , Cannon, J. P. , ; McCarthy, E. J. (2009). Basic marketing: A marketing strategy planning approach (17th ed. ). Retrieved from https://ecampus. phoenix. edu/content/eBookLibrary2/content/TOC. aspx? assetdataid=44c0c995-16b9-4dc6-a785-3d407d198d3e;assetmetaid=599e31b5-65dd-409b-8c23-ca954ff0dd11