After six years of utilization of multivariate techniques, we discover that these techniques have brought us along to conceive studies of a more complex structure as well as more clear in their basic assumptions. In this paper, we attempt to analyse the mechanism of that enrichment which appears to be located on different levels both logical and chronological.
This paper begins with a discussion of the aspects of The Economist's editorial and circulation which led to the commissioning of this research, together with a general background describing the publication and the information that was available from previous research. The discussion covers the difficulties inherent in defining target market segments and in advertising to reach minority populations. It also discusses the need to consider different 'types' of readers as discrete populations. The paper goes on to examine in detail the specific questions which the research was designed to answer, and gives a brief summary of the sampling techniques and problems. The most important findings are discussed, and the focus is, in particular, on the use of multivariate analysis techniques to define potential markets for The Economist.
I am happy to say that today we have entered the age of reason, enlightenment and science, where research and television programmes are concerned. Much of the credit must go to Dr. Haldane and the ITA, for instigating research into 'the state of public opinion concerning programmes', and also to the Television Contractors themselves who have co-operated, and to the "new wave" of Research Managers, who between them have broken the old taboo which said that "Market Researchers must not poke their noses into the programming side of television". I welcome the new era, and the research, but I do have some reservations. In the introduction to his paper, Dr. Haldane states that his concern is with the point of view of the user rather than the practitioner, and therefore, because this emphasis is more concerned with application rather than techniques. My remarks will be largely confined to applications.
With the expanding popularity of "brand-image" and market segmentation studies, the use of statistical data processing methods has increased. In particular, one can note an increase in the application of multivariate analysis techniques to quantitative investigations of the relationships between consumer typologies, attitudes and purchasing behaviour. In this paper, we discuss various problems associated with the use of "packaged" computer programs designed to effect the required multivariate analyses. Although these programs can and often do provide adequate results, it should be remembered that each set of survey data has unique properties. In some cases, these properties can jeopardise the validity of the whole analysis. The techniques we discuss are: a) Principal component based analyses. b) "Cluster-analysis" type techniques. The paper falls into two sections.
Segmented marketing is likely to replace traditional mass marketing techniques in many product fields in the future. This development will involve market researchers more frequently in what are usually described as market segmentation studies. Yet the literature available is of only limited value to the researcher embarking upon such a study because it deals largely with the development of multivariant analysis techniques of increasing power and elegance. The authors feel that insufficient attention has been paid to the problems of deciding what data should be collected to make this type of research valid and relevant to the marketing problem, or choosing which analysis technique is most appropriate, and equally important in practice, how to communicate the unusually sophisticated findings to those who have to integrate them with other information and take marketing action. They illustrate some of the difficulties and solutions which have been found in practice by reference to studies which they have carried out in various product fields. They describe the steps they carry out in the course of a "consumer attitude factor" study, and some of the analytic and graphic techniques that have been helpful in making the results comprehensible. These studies are used to show how market segmentation research helped in the improvement of the marketing and advertising strategy of some existing products, and how "holes in the market" were located so that guidance could be given in the formulation, testing and promotion of new products and brands.