Ellis Company Case Summary

Contents

Problem Statement 1

Case Facts 1

Proposals under Consideration 3

National Research Associates 3

Sampling and Methodology 3

Research Approach 3

Tests conducted 3

Possible Types of Errors 3

Time and Cost Estimation 4

Progressive Research Group 4

Sampling and Methodology 4

Research Approach 4

Tests conducted 5

Possible Types of Errors 5

Time and Cost Estimation 5

Research by H J Clifford Research 5

Research by Consumer panel 5

Concerns 6

Conclusion 6

Recommendations 8

Problem Statement

To formulate the marketing and advertising strategy for Rill, a product of the Ellis Company, for the coming year because of decline in the unit sales in the past 5 years.

Case Facts

Rill, a powdered cleanser was launched by Ellis Co. in 1923.

The personification test

2. The Thematic Apperception Test

3. Word association tests

4. Apparent size tests

5. Color preference and association tests

6. The semantic differential test

Possible Types of Errors

• Sampling error: As the study will include only the interviews of homemakers.

• Selection error: The sample which has been considered is not a representative sample.

• Response error: Long duration of depth interview might lead to errors in their responses.

• Interference error: For the additional tests proposed there high chances of faulty interference.

• Measurement error: In the size and colour preference test, the interviewer has to take care of clearly defining the respective weights.

Time and Cost Estimation

The research can be completed in 12 weeks after finalization of the research design. The cost is estimated at $52000, 50 percent payable upon initiation of the study and 50 percent upon completion.

Progressive Research Group

Sampling and Methodology

• Sample consists of a total of 750 homemakers of “tight” nature in terms of region, socioeconomic group, urban-rural, and the like.

•

• Qualification of interviewers: - o Mostly prefer women with average experience of four

in the area of marketing research, it being a primarily an advertising firm, a consumer panel for this particular study may not be advisable.

Concerns

Population Specific and Sampling Frame Errors

All the research companies are making this mistake of only considering households as consumers of this ‘Rill’, when they should also be considering hospitals, hotels and other such entities. Also these research companies can focus on getting relevant information from retailers and distributors as well and get a better understanding on rural and urban markets this way.

Procedure to handle non respondents

None of the research companies throw light on how they would be handling non respondents. What if the households refuse to answer the questionnaire?

Conclusion

Scope of Research

The research scope is to the point and in-line with the requirements put forth by Ellis Company. The scope of progressive group clearly presents the answers to the marketing problems asked by Ellis Company. Whereas although in-depth, the National Research Associates don’t give answers to questions on multi-purpose usage requirement and retail pricing, which are one of the key questions to be answered.

Time and