First Direct Essay

Q1. What is market research? Market research is a systematic inquiring that provides information to guide managerial decisions, more specifically, it is a process of planning, acquiring, analyzing and disseminating relevant data, information and insights to decision makers in ways that mobilize the organization to take appropriate actions, that in turn maximize business performance. In simple research is any organized inquiry carried out to provide information for solving problems. Good research should be purposeful with a clearly defined focus and plausible goals. With defensible, ethical and repeatable procedures and with evidence of objectivity. The reporting of procedures their strengths and weakness should be complete and honest. Thus, Market Research is a process used by a business to find out about its customers and its markets. Q2. Why was it necessary for first direct to understand its market in order to relaunch itself? For any business it is important to understand the market that it targets. It is essential to know about their customers which enable the organization to render better products and services to their customers. It is also important for the organization to concentrate and understand about its competitors. Any organization which lacks in the information about its customers and competitors in the market will fail to match itself in a position in related with the market scenario. According to FIRST DIRECT, it was necessary to understand its market has its customer’s perception had dipped drastically which led the company to be no-longer top-performing bank. Q3. What were the key findings from the market research? How was First Direct able to find this out? What types of market research did it use? After the market research, First Direct understood that certain % of customers had different opinions. The major finding of the research was that, they were two key customer segments with different ideas. The two key customers are existing customers (Highly loyal) and new customers (comparatively less loyal towards the bank). Other findings:- * First Direct should be highly transparent and fair towards their customers. * Organization should not hold any hidden charges (towards the customers). * First Direct should render innovative services. First Direct used various primary research methods. It also focused on secondary market research, Qualitative market research and Quantitative market research to gather the required information. Q4. What has the relaunched involved? What do you see as being the main strength and possible weaknesses of the relaunch? Relaunch involved introducing of new products and it also discontinued some of its existing services. Importantly, First Direct revitalized its brand through brand positioning (placing the product within the overall market) and product development (process of developing a product) and it is also considered in making required changes in marketing mix. It offered 24/7/365 accessibility to its customers and also used various channels to access its services. Banking process was even enabled through phone gadgets. It offered a new â€Å"1st A/C† that combines current a/c and the option of linking savings a/c. It enabled the customers to receive higher rate of interest (savings a/c) and it also introduced various new products in relate with savings a/c. Various promotional methods were taken up by First Direct to reach its customers for rendering the information. Presently, First Direct is now recapturing its distinctive reputation in the banking sector.