CH16Mindmap

Tap any card to reveal its definition

πŸ” Market Research
Market Research
The process of systematically gathering, recording and analysing facts about a market to identify and satisfy customer needs profitably in an informed and effective manner.
+
Benefits of Market Research
Collect data on target market and competitors; adapt product before launching; improve the marketing mix (4 P's); help predict sales and conduct break-even analysis.
+
🌍 Field Research (Primary)
Field Research
Gathering first-hand information directly from the marketplace β€” also called primary research.
βœ“ Most up to date, relevant and specific to your business.
βœ— Costly, time-consuming and can be biased.
+
Surveys
Interviews/questionnaires of a sample of the target market to get feedback on habits and preferences. Can be qualitative (opinions) or quantitative (statistics).
+
Observation
Watching consumers behave while shopping or using a product β€” unbiased as consumers are unaware they are being observed.
+
Focus Group
Ask potential customers questions and let them discuss their likes and dislikes about a product in a group setting.
+
Customer Feedback
Comments given to sales people or via feedback machines (e.g. in airports) β€” cheap and ongoing source of primary data.
+
πŸ–₯️ Desk Research (Secondary)
Desk Research
Using information and data that has already been gathered β€” also called secondary research.
βœ“ Quick, easy and often free.
βœ— May be out of date, not specific, and also available to competitors.
+
Internet
Websites, forums and social media trends provide free data on consumer behaviour, competitors and market trends.
+
Reports
Trade associations and interest groups publish research and annual reports β€” e.g. Bord Bia consumer insight reports.
+
CSO
The Central Statistics Office census gives information on market sizes, gender, age, income levels and household spending patterns β€” free and reliable.
+
πŸ“Š Market Segmentation
Market Segmentation ⚠️
Dividing the market into clearly identifiable segments that share common characteristics β€” allows a firm to identify who their target market is.
⚠️ Must include "common" for full marks.
+
4 Methods
Demographic
Groups based on age, gender, family size, income or occupation.
e.g. Freddo bars aimed at young children; Proctor & Gamble targeting different age groups.
+
Geographic
Based on location β€” county, region or country.
e.g. Spin South West for Munster listeners; warmer clothing ranges for colder climates.
+
Behavioural
Based on reaction to events, time of year or situations.
e.g. Christmas edition coffees; Easter product lines from confectionery brands.
+
Psychological
Based on social class, lifestyle and personality type.
e.g. Mars Protein Bars targeting fitness-focused consumers.
+
4 Benefits of Segmentation
Increase Sales
Tailoring products to suit different groups increases customer satisfaction and drives higher sales.
+
Focused Advertising
Targeting specific segments reduces advertising waste and costs by only reaching the relevant audience.
+
Adjust Pricing Strategy
Premium pricing can be applied to segments with higher disposable incomes, maximising revenue across different groups.
+
Build Loyalty
Products adjusted to suit different age groups retain loyal customers as they age β€” e.g. Kellogg's ranges for children then teenagers.
+
🎯 Niche Market
Niche Market
A small subset of a larger market for a specialised product or service with only a few suppliers.
e.g. EPIK Media (behind-the-scenes film content); All-Weather Wellies Ltd (festival wellies).
+
5 Implications of a Niche Market
Less Competition
Unlike mass markets where competition is stiff, niche businesses face little or no direct competition in their specialised segment.
+
Higher Cost Base
Specialisation requires expensive raw materials, highly skilled staff and job/batch production β€” a higher price must be charged to cover costs.
+
Lower Sales Volumes
Volume won't be as high as in mass markets β€” lower potential profits and limited growth opportunities.
+
Focused Marketing
Specific, efficient marketing to a defined consumer group β€” reduces wasteful advertising spend and reaches the right audience.
+
Get a Foothold
Operating in a niche allows a business to establish its brand and build a loyal customer base before considering expansion into broader markets.
+
πŸ“‹ Marketing Plan + Concept
Marketing Plan
A strategy to identify customers' needs and bring together the resources needed to satisfy those needs in a way that the business earns a profit.
+
Analyse Market
Use data to divide the market into segments and identify the most profitable target group.
+
Research Target Market
Choose the target segment and gather data on consumer habits and characteristics to inform marketing decisions.
+
Choose Marketing Mix
Decide on price, product, place and promotion (4 P's) based on the needs of the chosen target market.
+
Marketing Concept
The idea that a firm should look at the needs of its customers first and make all marketing decisions based on those needs to better satisfy their requirements.
+

Tap card to flip Β· βœ“ removes from deck Β· βœ— goes to bottom

Tap to reveal
2025 Q8(B) Describe the reasons why a business conducts market research. (15) β–Ό
Describe the reasons for conducting market research. (15 marks β€” 3 Γ— 5 (3+2) Name, Explain)
✏️ Three Reasons
Identify demand: Market research allows a business to establish whether there is sufficient demand for a product or service before investing resources in launching it β€” reducing the risk of a costly failure.
Identify competitors: Market research helps a business identify who their competitors are and understand their pricing, promotion and product strategies β€” enabling the firm to develop a stronger USP and competitive advantage.
Improve the marketing mix: Data gathered allows a business to make better-informed decisions about price, product, place and promotion β€” improving sales performance, customer satisfaction and profitability.
πŸ“Œ MS: 3 Γ— 5m (3+2) β€” Name (3m) + Explain (2m). Note the reversed weighting β€” name/state the reason earns 3m, explanation earns 2m. Other valid reasons: adapt product before launch; predict break-even sales level; gather data on target market characteristics.
2025 Q8(A)(ii) Illustrate methods of market segmentation for Proctor and Gamble. (14) β–Ό
Illustrate the different methods of market segmentation used by businesses such as Proctor and Gamble. (14 marks β€” 2 Γ— 7 (2+3+2) Method, Explain, Reference)
✏️ Two Methods β€” Illustrate = Method + Explain + Reference to P&G
Demographic Segmentation: Divides the market based on age, gender, family size, income or occupation. This is one of the most common methods as everyone has an age and gender. e.g. Proctor & Gamble uses demographic segmentation across its product portfolio β€” Pampers targets parents of infants while Head & Shoulders targets adults β€” different products for different demographic groups.
Psychological Segmentation: Divides the market based on social class, lifestyle and personality type. e.g. Proctor & Gamble targets health-conscious and environmentally aware consumers with products like Ariel Eco, using lifestyle-based segmentation to align with that consumer's values and purchasing attitudes.
πŸ“Œ MS: 2 Γ— 7m (2+3+2) β€” Method named (2m) + Explanation (3m) + Reference/example to P&G or similar business (2m). Any two of the four segmentation methods are acceptable. The business reference is a dedicated mark β€” always name P&G or a comparable company with a specific product.
2023 Q8(A) Illustrate niche market + two implications β€” EPIK Media. (15) β–Ό
(i) Illustrate your understanding of the term niche market. (7 marks β€” 3+2+2)
(ii) Outline two implications for a business of operating in a niche market. (8 marks β€” 2 Γ— 4 (2+2))
✏️ Part (i) β€” Illustrate niche market
Niche market: A small segment of a larger market for a specialised product or service with only a few suppliers. e.g. bridal shoes, first communion dresses, specialist wheelchair transport. EPIK Media operates in a niche market β€” producing behind-the-scenes film content is a highly specialised service within the wider media industry served by very few businesses.
✏️ Part (ii) β€” Two Implications
Less competition: Unlike in mass markets where competition is stiff, niche businesses like EPIK Media face little or no direct competition as they deal with a specialised product for a small market segment.
Higher cost base: Specialisation involves expensive raw materials, highly skilled staff and specialist production methods. For EPIK Media this means high production costs per project, requiring them to charge premium prices to clients.
πŸ“Œ MS: (i) 7m (3+2+2) β€” definition + example + EPIK reference. (ii) 2 Γ— 4m (2+2). Illustrate = definition + example. The business (EPIK Media) must be referenced β€” it carries its own mark. Other valid implications: lower sales volumes, focused marketing, foothold to expand.
2021 Q8(C) Define market segmentation + illustrate two methods. (20) β–Ό
(i) Define the term market segmentation. (6 marks β€” 3+3)
(ii) Illustrate two different ways a market can be segmented. (14 marks β€” 2 Γ— 7 (2+3+2))
✏️ Part (i) β€” Definition ⚠️
Market segmentation involves dividing up the market into clearly identifiable sections which share common characteristics, allowing a firm to identify who their target market is.
⚠️ Must include the word "common" β€” omitting it costs marks.
✏️ Part (ii) β€” Two Methods (Illustrate = explain + example)
Demographic segmentation: Divides the market based on age, gender, family size, income or occupation. e.g. Proctor & Gamble develops different product ranges targeted at different age groups and genders β€” Pampers for infants, Head & Shoulders for adults.
Geographic segmentation: Divides the market based on location β€” county, region or country. e.g. Spin South West targets Munster-based listeners with region-specific content, while Midlands 103 targets a different geographic audience.
πŸ“Œ MS: (i) 6m (3+3). (ii) 2 Γ— 7m (2+3+2). The word "common" is specifically flagged in the workpack β€” include it every time. For the methods: name the method (2m) + explain it (3m) + give a specific example (2m).
2013 Q7(A) / ABQ format Outline market research techniques for All-Weather Wellies Ltd. (20) β–Ό
Outline the market research techniques available to 'All-Weather Wellies Ltd' for developing its product range. (20 marks β€” 2 techniques Γ— 10 marks (2+3+3+2))
✏️ ABQ Format: State β†’ Explain (keywords) β†’ Direct Quote β†’ Apply to business
Desk Research: Using information and data that has already been gathered β€” it is secondary research. It is relatively cheap, keeping All-Weather Wellies' costs down. Sources of desk research include the CSO (which would provide data on the age and income profiles of festival-goers), trade reports and competitor websites. The daily sales records of All-Weather Wellies would also indicate which products are selling well and what accessories customers might want.
Field Research: Gathering first-hand information directly from the marketplace β€” it is primary research. Although expensive and time-consuming, it provides specific, up-to-date data on the target market. All-Weather Wellies could use surveys or focus groups with existing customers at festivals to find out what accessories they would like added to the product range. Observation of customers in-store or at events would also provide unbiased data on purchasing behaviour.
πŸ“Œ Common error flagged in workpack: Students list types (surveys, CSO) without first naming and defining Desk and Field research. Structure must be: Heading β†’ define it β†’ evaluate (+ and βˆ’) β†’ give specific examples β†’ apply to All-Weather Wellies.

ABQ version: State the type β†’ Explain with keywords β†’ Direct quote from passage β†’ Apply to business. Missing the quote loses 2 marks per technique.
The following topics are identified as 2026 must-knows for Chapter 16: Market Analysis based on past paper frequency and the 2026 trend master sheet.
ABQ: Market research techniques β€” desk and field Hot
Listed as a 2026 must-know. The ABQ version appeared in 2018 ABQ(B) and 2011 ABQ(C). The long question version appeared in 2013 Q7(A). Common error: naming types (surveys, CSO) without first naming and defining Desk and Field research as the two headings. Always: define the technique β†’ evaluate β†’ give examples β†’ link to the named business with a direct quote in ABQ format. Past papers: 2018 ABQ(B), 2013 Q7(A), 2011 ABQ(C), 2007 ABQ(A).
Market segmentation β€” definition, methods, benefits Hot
Has appeared in almost every exam cycle. 2025 Q8(A)(ii) used Proctor and Gamble (2 Γ— 7m β€” method, explain, reference). 2021 Q8(C) asked for definition + two methods (20m). The word "common" in the definition is specifically flagged as a mark-losing error. Know all 4 methods with one strong Irish example each. Past papers: 2025 Q8(A), 2021 Q8(C), 2018 Q7(B), 2015 Q7(C), 2013 Q7(B), 2009 Q7(B).
Niche market β€” definition + implications Hot
Listed as a 2026 must-know. Appeared in 2023 Q8(A) (EPIK Media, 15m), 2017 Q7(A) (20m), 2020 Q6(A). Know the definition (small subset, few suppliers), at least one Irish example, and all 5 implications. The Illustrate command requires definition + example + business reference β€” all three are marked. Past papers: 2023 Q8(A), 2017 Q7(A), 2020 Q6(A), 2007 Q7(C).
Reasons for conducting market research Watch
Appeared in 2025 Q8(B) (15m β€” 3 Γ— 5m, name 3m + explain 2m), 2022 Q7(C) (outline importance, 15m), 2020 Q5(B) (20m), 2010 Q7(A) (15m). Note: in 2025 the mark split was reversed β€” Name earns 3m, Explain earns 2m. Past papers: 2025 Q8(B), 2022 Q7(C), 2020 Q5(B), 2010 Q7(A).
Market Research
Always name Desk and Field first
The most common error in market research questions is listing types (surveys, CSO, focus groups) without first naming and defining the two main categories β€” Desk Research and Field Research. Always: heading β†’ define β†’ evaluate β†’ examples β†’ link to the named business.
"Desk Research β€” using information already gathered (secondary research). βœ“ Quick and cheap. βœ— May be out of date. Sources for All-Weather Wellies: CSO data on festival-goers, competitor websites."
Segmentation ⚠️
Include the word "common"
The market segmentation definition must include the word "common" β€” segments share common characteristics. This is specifically flagged in past marking schemes as a mark-losing error. Also, Illustrate = definition + example. Always give a named Irish example for each segmentation method.
"Market segmentation involves dividing the market into clearly identifiable segments that share common characteristics..."
Niche Market
Illustrate = definition + example + business
Illustrate questions on niche markets earn marks for: the definition (small subset, few suppliers), a general example (e.g. bridal shoes), and a specific reference to the named business in the question (e.g. EPIK Media). All three parts are marked separately β€” never skip the business reference.
"A niche market is a small subset of a larger market with few suppliers β€” e.g. bridal shoes. EPIK Media operates in a niche market producing behind-the-scenes film content for a very small, specialised client base."
ABQ β€” Market Research
State β†’ Explain β†’ Direct Quote
In ABQ questions on market research, each technique earns marks for: naming it (state), explaining it with keywords (explain), and including a direct word-for-word quote from the passage. The quote links your answer to the text β€” missing it loses 2 marks per technique.
"Field Research β€” first-hand information from the marketplace (primary) β€” 'surveys could be carried out on site at concerts by field researchers employed by All-Weather Wellies Ltd.'"