Marketing and market research
Domain overview
Marketing and market research examines how a business identifies customer needs, chooses a target market and uses the marketing mix to compete. Exam questions often require application to a small Namibian firm, so link research evidence to a justified mix rather than listing the four Ps.
Core rules and concepts
- Marketing is broader than selling: it begins with customer needs and ends with satisfaction and repeat purchase.
- Segmentation divides a market by demographics, geography, income, lifestyle or behaviour. Targeting selects segments; positioning creates a distinct image in customers' minds.
- The marketing mix is product, price, place and promotion; services add people, process and physical evidence.
- Market research may be primary (surveys, interviews, observation, trials) or secondary (reports, statistics, competitor material). Samples must be representative; biased questions and small samples weaken conclusions.
- Pricing options include cost-plus, penetration, skimming, competitive and promotional pricing. The choice must fit objectives, costs and perceived value.
Worked example
A Windhoek entrepreneur plans a mobile phone repair service aimed at students. Secondary data shows many students own phones but few repair shops near campus. A short primary survey of 60 students finds price sensitivity and demand for same-day repair. The entrepreneur chooses a low introductory price, a campus kiosk, a WhatsApp booking channel and a guarantee. This is a coherent mix: place matches the target segment, promotion uses a channel students already use, and the guarantee supports positioning on reliability.
Traps that cost marks
Do not say market research is only secondary data, or that a larger sample is always representative. Sales are not the same as marketing. Promotion is not only advertising. For a service, omitting people, process or physical evidence loses application marks. Always connect each mix decision to the chosen segment and evidence.