discussion board wk 3

Primary or Secondary

Ranking 

Market Research & Justification 

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 5.   Demographic breakdown of Scadona’s population by sex, age, gross income, education, disposable income, family size, and occupation   (Cost = $2,000)

I chose this one as first because I think this is one of the most important items to consider before breaking into a market. The product is targeted towards a specific group, and if the population does not contain an adequate number of people then the venture is pointless. This information is secondary becuase this was pulled from outside resources.

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 7.    Report of fifteen-year summary of economic trends in the area, shopping  centers, occupations, disposable income, clothing sales, and specialty shops       (Cost = $1,800)

Looking at trends in a specific area is very important when deciding to enter a market. This secondary source of information was able to be pulled without conducting specific research for this project, but is necessary in understanding if a new business could thrive in that market.

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10.     List of all current useable retail space openings in the area with rental rate per square foot, turnover rate for that spot and shopping center, population within one square mile with income ranges, housing values, occupations, ages and family sizes (Cost = $2,400)

Location is key in deciding where to put a new business, you want to be close enough to other businesses to drive competition, but not too close where you start cannibalizing a market. This secondary data research is considered as such because it is able to be gathered from outside specific reaserch.

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1.    A list of the gross sales figures of all existing women’s fitness spas in Scadona for the last two years (Cost = $400)

Understanding how profitiable like businesses can give you a taste to see if your business has the chance to be successful. This is secondary data because the information would be public record and is not specific to this exact project. 

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 2.   Map of the Scadona area showing major traffic routes, current shopping centers and types of stores, and locations of current fitness spas.      (Cost = $1,500)

This secondary research goes back to the available locations point that was made earlier. Location is very important, especially when it comes to fitness clubs. You want to be in close proximity to both residential and work areas. 

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 6.    Mail survey of 300 subscribers to women’s magazines, questioning their fitness awareness, need for complete fitness services, amount of money spent on fitness activities annually, frequency of patronage of fitness spas           (Cost = $5,000)

This piece of primary data can really get your customers invovled. You are asking women about their habits so that you can better customize an experience for a customer. This is primary because it is customized for this project with a specific objective.

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 4.   Telephone survey of 500 randomly selected households in the area designed to determine consumers' familiarity with your company name, interest in spas like this, and awareness of other spas and their advertising    (Cost = $5,000)

This is primary research because it is customized to this project. It is slightly more personal and allows you to get an understanding of brand awareness and penetration in a market. 

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 8.   Focus group report of twelve people concerning attitudes toward prices of fitness services, services expected of a spa, appropriate atmosphere, type of personnel, and seasonal changes       (Cost = $2,800)

These types of primary reaserch are important to really understand your target market and their needs. In focus groups you can ask specific questions and get real time answers. You can also tailor follow-ups to these participants. It also gives these potential customers a first glimpse at the product and get them excited and spread the news about the new business. 

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 3.   Color-coded map of the area showing home and commercial property values        (Cost = $1,000)

This is secondary data because it is easily accessed by the public. I think it is important because you can better gauge areas of prosperity. 

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 9.    List of all organizations, clubs, and restaurants that cater to the in-crowd and their manager's names (Cost = $800)

While I ranked this last, I do think there is value in this secondary reasearch. Word of mouth marketing is very important, especially with the strong prescense of social media. When the public is informed about a new service and can experience it to its fullest they will share their experiences with their friends which can drive more business. THis is secondary becuase it is not specific to this project and can be pulled from outside sources.