Notesale: Turn your study into money

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Chapter 1: Introduction and early phases of marketing research
Definition of marketing research
 The function that links the consumer, the customer, and public to the marketer through
INFORMATION, which
o Used to identify and define market opportunities and problems
o Generate, refine, and evaluate marketing performance
o Monitor marketing performance
o Improve understanding of marketing as a process
 Marketing research is the systematic and objective identification, collection, analysis, and
dissemination and use of information For the purpose of improving decision making related to
the identification and solution of problems and opportunities in marketing
 Specifies the information necessary to address these issues
 Manages and implements the data collection process
 Analyzes the results
 Communicates the findings and their implications
 Helps managers use this information to make decisions
A classification of marketing research
Problem-Identification Research
•

Research undertaken to help identify problems which are not necessarily apparent on the
surface and yet exist or are likely to arise in the future
...


Problem-Solving Research
•

Research undertaken to help solve specific marketing problems
...


The marketing research process and ethical issues involved within every stage
a
...
Using surveys as a guide for selling or fundraising

Mr
...
Personal agendas of the researcher or client
c
...
Step 2: Development of an approach to the problem
a
...
Soliciting proposals to gain research expertise without pay
c
...
Step 3: Research design formulation
a
...
Using secondary data that are not applicable or have been gathered through
questionable means
c
...
Soliciting unfair concessions from the researcher
e
...
Disrespecting privacy of respondents
g
...
Disguising observation of respondents
i
...


Using measurement scales of questionable reliability & validity

k
...


Using inappropriate sampling procedures and sample size

d
...
Increasing discomfort level of respondents
b
...
Step 5: Data preparation and analysis
a
...
Using statistical techniques when the underlying assumptions are violated
c
...
Step 6: Report preparation and presentation
a
...
Biased reporting
c
...
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Mr
...

The decision to conduct marketing research
 This decision Should be guided by a number of consideration including:
o The costs versus the benefits
o The resources available to conduct the research
...
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 Marketing research should be undertaken When the expected value of information it
generates exceeds the costs of conducting the marketing research project
...

 The foundation of defining a research problem is the communication that develops between
marketing decision-makers and marketing researchers
...

 This communication usually comes in the form of a research brief
...

 The problem audit is a comprehensive examination of a marketing problem with the purpose
of understanding its origin and nature
...
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The process of defining the problem and developing an approach

Environmental context of the problem:
a
...
Tasks involved are involving Discussions with decision makers, Interviews with industry
experts, Secondary data analysis, and Qualitative research
Management decision problem and marketing research problem
 The management decision problem asks what the DM need to do, whereas the marketing
research problem asks what information is needed and how it can be obtained
...
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 The management decision problem is action oriented
...
Objective/theoretical framework
a
...
A theory is based on principles, which have either been proven or
accepted as true
...
Moreover, a theory serves as a framework that
can be used by the researcher in interpretation of the data collected
b
...
An analytical model is a verbal, graphical, or mathematical representation based on
some theoretical foundations
...
Once formed, the model describes the relationship
among the variables of interest in the present situation
...
e
...

c
...
A research question is basically formulated to find an answer to a specific issue
...
Hypotheses
a
...

b
...


Research design
 A research design is a framework or blueprint for conducting the marketing research
project
...


Mr
...
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Exploratory Research
•

Uses

Descriptive Research

Formulate a problem or define a

•

To describe the characteristics of

problem more precisely
Identify alternative courses of

salespeople, organizations, or market

action

•

relevant groups, such as consumers,

areas

•

Develop hypotheses

•

•

Isolate key variables and

in a specified population exhibiting a

relationships for further

certain behavior
•

examination
•

Gain insights for developing an
approach to the problem

•

To estimate the percentage of units

To determine the perceptions of
product characteristics

•

Establish priorities for further

To determine the degree to which
marketing variables are associated

research

To make specific predictions

•

Survey of experts

•

Secondary data analyzed in a

•

Pilot surveys

quantitative, as opposed to a

•

Methods

•

Secondary data analyzed in a

qualitative, manner

qualitative way

Surveys

Qualitative research

•

Panels

•

•

•

Observational and other data

Cross-Sectional Designs
•

Involve the collection of information from any given sample of population elements only once

•

In single cross-sectional designs, there is only one sample of respondents and information
is obtained from this sample only once
...
Often, information from different
samples is obtained at different times
...
A cohort is a group of respondents
who experience the same event within the same time interval
...
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Longitudinal Designs
•

A fixed sample (or samples) of population elements is measured repeatedly on the same
variables

•

A longitudinal design differs from a cross-sectional design in that the sample or samples
remain the same over time

Uses of Causal Research
•

To understand which variables are the cause (independent variables) and which variables
are the effect (dependent variables) of a phenomenon

•

To determine the nature of the relationship between the causal variables and the effect to be
predicted

•

METHOD: Experiments
Potential Sources of Error in Research Designs

Mr
...


•

Random sampling error is the variation between the true mean value for the population and
the true mean value for the original sample
...
Non-sampling errors
consist of non-response errors and response errors
...


•

Response error arises when respondents give inaccurate answers or their answers are
misrecorded or misanalyzed
...
The marketing research proposal contains the essence of the project and serves
as a contract between the researcher and management
...
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 Problem Definition/Objectives of the Research
 Approach to the Problem
 Research Design
 Fieldwork/Data Collection
 Data Analysis
 Reporting
 Cost and Time
 Appendices

Chapter 4 Exploratory Research Design: Secondary Data
Primary vs
...
The collection of primary data involves all six steps of the marketing
research process
 Secondary data are data which have already been collected for purposes other than the
problem at hand
...

A Comparison of Primary & Secondary Data

Uses of Secondary Data
 Identify the problem
 Better define the problem
 Develop an approach to the problem

Mr
...
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A Classification of Secondary Data

A Classification of Published Secondary Sources

Guides
 An excellent source of standard or recurring information
 Helpful in identifying other important sources of directories, trade associations, and trade
publications

Mr
...

 Numeric databases contain numerical and statistical information
...

 Directory databases provide information on individuals, organizations, and services
...


Mr
...

 Syndicated sources can be classified based on the unit of measurement
(households/consumers or institutions)
...

 Institutional data may be obtained from retailers, wholesalers, or industrial firms
...
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Purchase

Households

Recorded

Lack of

Forecasting sales,

Panels

provide specific

purchase

representativeness;

market share and

information

behavior can

response bias;

trends; establishing

regularly over an

be linked to the

maturation

consumer profiles,

extended period

demographic/

brand loyalty and

of time;

psychographic

switching; evaluating

respondent

characteristics

test markets,

asked to record

advertising, and

specific

distribution

behaviors as
they occur
Media

Electronic

Same as

Same as purchase

Establishing advertising

Panels

devices

purchase panel

panel

rates; selecting media

automatically

program or air time;

recording

establishing viewer

behavior,

profiles

supplemented by
a diary
Scanner

Household

Data reflect

Data may not be

Price tracking, modeling,

Volume

purchases are

actual

representative;

effectiveness of in-store

Tracking

recorded

purchases;

errors in

promotions

Data

through

timely data, less

recording

electronic

expensive

purchases;

scanners in

difficult to link

supermarkets

purchases to
elements of
marketing mix
other than price

Mr
...
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elements of
marketing mix
other than price

Scanner

Scanner panels

Data reflect

Data may not be

Promotional mix

Diary Panels

of households

actual

representative;

analyses, copy testing,

purchases;

quality of data

new product testing,

sample

limited

positioning

with Cable TV that subscribe to
cable TV

control; ability
to link panel
data to
household
characteristics
Single-Source Data
 Single-source data provide integrated information on household variables, including media
consumption and purchases, and marketing variables, such as product sales, price,
advertising, promotion, and in-store marketing effort
...

o Survey households periodically on what they read
...

o Track retail data, such as sales, advertising, and promotion
...
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A Classification of International Sources

Chapter 5: Exploratory Research Design: Qualitative Research
Qualitative vs
...
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Characteristics of Focus Groups

Key Qualifications of Focus Group Moderators
1) Kindness with firmness: The moderator must combine a disciplined detachment with
understanding empathy so as to generate the necessary interaction
...

3) Involvement: The moderator must encourage and stimulate intense personal involvement
...

5) Encouragement: The moderator must encourage unresponsive members to participate
...

7) Sensitivity: The moderator must be sensitive enough to guide the group discussion at an
intellectual as well as emotional level
...
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Procedure for Planning and Conducting Focus Groups

Variations in Focus Groups
 Two-way focus group
...
For example, a focus group of physicians viewed a focus group of arthritis patients
discussing the treatment they desired
...
A focus group conducted by two moderators: One moderator is
responsible for the smooth flow of the session, and the other ensures that specific issues are
discussed
...
There are two moderators, but they deliberately take opposite
positions on the issues to be discussed
...
The moderator asks selected participants to play the role of
moderator temporarily to improve group dynamics
...
Client personnel are identified and made part of the discussion
group
...
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 Mini groups
...

 Tele-session groups
...

 Online Focus groups
...

Advantages of Focus Groups

Disadvantages of Focus Groups

1
...
Misuse

2
...
Misjudge

3
...
Moderation

4
...
Messy

5
...
Misrepresentation

6
...


Specialization

8
...


Structure

10
...
This technique allows the researcher to tap into the consumer's network of
meanings
...

 Symbolic analysis attempts to analyze the symbolic meaning of objects by comparing them
with their opposites
...

Definition of Projective Techniques
 An unstructured, indirect form of questioning that encourages respondents to project their
underlying motivations, beliefs, attitudes or feelings regarding the issues of concern
...


Mr
...

Word Association
 In word association, respondents are presented with a list of words, one at a time and
asked to respond to each with the first word that comes to mind
...
Responses are analyzed by calculating:
o the frequency with which any word is given as a response;
o the amount of time that elapses before a response is given; and
o the number of respondents who do not respond at all to a test word within a
reasonable period of time
...
Generally, they are asked to use the first word or phrase that comes to
mind
...
They are required to give the conclusion in their
own words
...
The respondent's interpretation of the pictures gives
indications of that individual's personality
...

The respondents are asked to indicate what one cartoon character might say in response to
the comments of another character
...


Mr
...

 Role playing

Respondents are asked to play the role or assume the behavior of someone

else
...
This third person may be a friend,
neighbor, colleague, or a “typical” person
...

 Require highly trained interviewers
...

 Helpful when the issues to be

 Skilled interpreters are also required to

addressed are personal, sensitive, or

analyze the responses
...


subject to strong social norms
...


 They tend to be expensive
...


Guidelines for Using Projective Techniques
 Projective techniques should be used because the required information cannot be accurately
obtained by direct methods
...

 Given their complexity, projective techniques should not be used naively
...
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Comparison of Focus Groups, Depth Interviews, and Projective Techniques

Online Focus Groups
Advantages
 Geographical constraints are removed and

 Only people that have access to the

time constraints are lessened
...


 Unique opportunity to re-contact group

 Verifying that a respondent is a member

participants at a later date
...


 Can recruit people not interested in

 There is lack of general control over the

traditional focus groups: doctors, lawyers,

respondent's environment
...

 Moderators can carry on side conversations
with individual respondents
...
Products cannot be touched (e
...
,
clothing) or smelled (e
...
, perfumes)
...


Mr
...

 The diversity of questions that can be asked in a survey depends upon the degree of
interaction the respondent has with the interviewer and the questionnaire, as well as the
ability to actually see the questions
...

 Sample control is the ability of the survey mode to reach the units specified in the sample
effectively and efficiently
...

 The ability to control the interviewers and supervisors involved in data collection
...
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 The ability to collect large amounts of data
...

 Perceived anonymity refers to the respondents' perceptions that their identities will not be
discerned by the interviewer or the researcher
...

 The extent of the interviewer's role determines the potential for bias
...

 The total cost of administering the survey and collecting the data
...
g
...

 unstructured observation, the observer monitors all aspects of the phenomenon that seem
relevant to the problem at hand, e
...
, observing children playing with new toys
...

Disguise may be accomplished by using one-way mirrors, hidden cameras, or inconspicuous
mechanical devices
...

 undisguised observation, the respondents are aware that they are under observation
...
For
example, one could observe the behavior of respondents eating fast food in Burger King
...


Mr
...

 The observer does not attempt to manipulate the phenomenon being observed but merely
records what takes place
...

Mechanical Observation
 Do not require respondents' direct participation
...




On-site cameras (still, motion picture, or video)



Optical scanners in supermarkets

 Do require respondent involvement
...
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Audit
 The researcher collects data by examining physical records or performing inventory analysis
...

 The data are based upon counts, usually of physical objects
...

 The unit of analysis may be words, characters (individuals or objects), themes (propositions),
space and time measures (length or duration of the message), or topics (subject of the
message)
...

Trace Analysis
 Data collection is based on physical traces, or evidence, of past behavior
...

o The number of different fingerprints on a page was used to gauge the readership of
various advertisements in a magazine
...

o The age and condition of cars in a parking lot were used to assess the affluence of
customers
...


Mr
...

A Comparative Evaluation of Observation Methods

Advantages of Observation

Disadvantages of Observation

 They permit measurement of actual

 The reasons for the observed behavior may not

behavior rather than reports of

be determined since little is known about the

intended or preferred behavior
...


potential bias caused by the

 Selective perception (bias in the researcher's

interviewer and the interviewing

perception) can bias the data
...

 Certain types of data can be collected

and expensive, and it is difficult to observe

only by observation
...

 In some cases, the use of observational
methods may be unethical, as in observing
people without their knowledge or consent
...

 It is best to view observation as a complement to survey methods, rather than as being in
competition with them
...
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Evaluation of Survey Methods for International Marketing Research

Ethnographic research
 Anthropologists, ethnographers, and other social scientists may engage in something
called ethnography
...


Mr
...

 One-to-one correspondence between the numbers and the characteristics being
measured
...

 Rules must not change over objects or time
...

Scale characteristics and levels of measurement
 Description: the unique labels or descriptors that are used to designate each value of scale

...

 Order: the relative size or positions of descriptors, order is denoted by descriptors such as
great than, less than, and equal to
 Distance: the characteristics of distance mean that absolute differences between the scale
descriptors are known and may be expressed in units
...

o When used for identification, there is a strict one-to-one correspondence between the
numbers and the objects
...

o The only permissible operation on the numbers in a nominal scale is counting
...
g
...


Mr
...

o Can determine whether an object has more or less of a characteristic than some other
object, but not how much more or less
...

o In addition to the counting operation allowable for nominal scale data, ordinal scales
permit the use of statistics based on centiles, e
...
, percentile, quartile, median
...

o It permits comparison of the differences between objects
...
Both the zero point and the units of
measurement are arbitrary
...

o It is meaningful to take ratios of scale values
...

 Ratio Scale
o Possesses all the properties of the nominal, ordinal, and interval scales
...

o It is meaningful to compute ratios of scale values
...

o All statistical techniques can be applied to ratio data
...
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Scale

Basic
Characteristics

Common
Examples

Marketing
Examples

Nominal

Numbers identify &
classify objects

Brand nos
...
indicate the
relative positions of
objects but not the
magnitude of
differences between
them

Social
Security nos
...


Range,
mean,
standard
deviation

Age, sales,
income, costs

Geometric
mean,
harmonic
mean

Productmoment
correlation,
t tests,
regression
Coefficient
of variation

Mr
...
Comparative scale
data must be interpreted in relative terms and have only ordinal or rank order properties
...
The resulting data are generally assumed to be interval or ratio scaled
...

 Same known reference points for all

 Inability to generalize beyond the stimulus

respondents
...


 Easily understood and can be applied
...

 Tend to reduce halo or carryover effects
from one judgment to another
...

o The data obtained are ordinal in nature
...

o With n brands, [n(n - 1) /2] paired comparisons are required
o Under the assumption of transitivity, it is possible to convert paired comparison data to
a rank order
...

o It is possible that the respondent may dislike the brand ranked 1 in an absolute sense
...

o Only (n - 1) scaling decisions need be made in rank order scaling
...
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 Constant Sum Scaling
o Respondents allocate a constant sum of units, such as 100 points to attributes of a
product to reflect their importance
...

o If an attribute is twice as important as some other attribute, it receives twice as many
points
...
Hence, the name of the scale
...
This is a rank order procedure where respondents are asked to sort a
given number of items or statements and classify them into a predetermined number
of sets (usually 11) according to some criterion such as preference, attitude, or
behavioral intent
...

 Noncomparative techniques consist of continuous and itemized rating scales
...
The form of the continuous scale may
vary considerably
...

 The categories are ordered in terms of scale position, and the respondents are required to
select the specified category that best describes the object being rated
...
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 The commonly used itemized rating scales are the Likert, semantic differential, and Stapel
scales
...

 The analysis can be conducted on an item-by-item basis (profile analysis), or a total
(summated) score can be calculated
...

Semantic Differential Scale
 The semantic differential is a seven-point rating scale with end points associated with
bipolar labels that have semantic meaning
...

 This controls the tendency of some respondents, particularly those with very positive or very
negative attitudes, to mark the right- or left-hand sides without reading the labels
...

Stapel Scale
 The Stapel scale is a unipolar rating scale with ten categories numbered from -5 to +5,
without a neutral point (zero)
...

 The data obtained by using a Stapel scale can be analyzed in the same way as semantic
differential data
...
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Basic Noncomparativ Scales

Summary of Itemized Scale Decisions
1) Number of categories
a
...
unbalanced
a
...
of categories
a
...
non-forced
a
...
An argument can be made for labeling all or many scale categories
...
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6) Physical form
a
...

 It must translate the information needed into a set of specific questions that the respondents
can and will answer
...

 A questionnaire should minimize response error
...
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 If there is no satisfactory use for the data resulting from a question, that question should be
eliminated
...

 Such a question is called a double-barreled question, because two or more questions are
combined into one
...

 A “don't know” option appears to reduce uninformed responses without reducing the
response rate
...

 Preface the question with a statement that the behavior of interest is common
...

 Hide the question in a group of other questions which respondents are willing to
answer
...

 Provide response categories rather than asking for specific figures
...


Mr
...

 Structured questions specify the set of response alternatives and the response format
...

 In multiple-choice questions, the researcher provides a choice of answers and
respondents are asked to select one or more of the alternatives given
...

 Scales
Choosing Question Wording
 Define the issue in terms of who, what, when, where, why, and way
 Use Unambiguous Words
 Avoid Leading or Biasing Questions
 Avoid Implicit Alternatives
 Avoid Implicit Assumptions
 Avoid Generalizations and Estimates
 Dual Statements: Positive and Negative
Determining the Order of Questions
 Opening Questions
o The opening questions should be interesting, simple, and non-threatening
...


Mr
...

Form and Layout
 Divide a questionnaire into several parts
...

 The questionnaires should preferably be precoded
...

Reproduction of the Questionnaire
 The questionnaire should be reproduced on good-quality paper and have a professional
appearance
...

 Each question should be reproduced on a single page (or double-page spread)
...

 Grids are useful when there are a number of related questions which use the same set of
response categories
...

 Directions or instructions for individual questions should be placed as close to the questions
as possible
...


Mr
...

 All aspects of the questionnaire should be tested, including question content, wording,
sequence, form and layout, question difficulty, and instructions
...

 Pretests are best done by personal interviews, even if the actual survey is to be conducted
by mail, telephone, or electronic means, because interviewers can observe respondents'
reactions and attitudes
...

 A variety of interviewers should be used for pretests
...

 Protocol analysis and debriefing are two commonly used procedures in pretesting
...

Observational Forms
Department Store Project
 Who: Purchasers, browsers, males, females, parents with children, or children alone
...

 When: Day, hour, date of observation
...

 Why: Effect of price, brand name, package size, promotion, or family members on purchase
...


Mr
...
It is known as a
complete enumeration, which means a complete count
...


The Sampling Design Process

Mr
...
The target population
should be defined in terms of elements, sampling units, extent, and time
...
g
...

 A sampling unit is an element, or a unit containing the element, that is available for
selection at some stage of the sampling process
...

 Time is the time period under consideration
...
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 Convenience sampling attempts to obtain a sample of convenient elements
...

 use of students, and members of social organizations
 mall intercept interviews without qualifying the respondents
 department stores using charge account lists
 “people on the street” interviews
 Judgmental sampling is a form of convenience sampling in which the population elements
are selected based on the judgment of the researcher
...

 The first stage consists of developing control categories, or quotas, of population
elements
...

 In snowball sampling, an initial group of respondents is selected, usually at random
...

 Subsequent respondents are selected based on the referrals
...


Mr
...

 This implies that every element is selected independently of every other element
...

 The sampling interval, i, is determined by dividing the population size N by the
sample size n and rounding to the nearest integer
...

 If the ordering of the elements produces a cyclical pattern, systematic sampling
may decrease the representativeness of the sample
...

 The strata should be mutually exclusive and collectively exhaustive in that every
population element should be assigned to one and only one stratum and no
population elements should be omitted
...

 A major objective of stratified sampling is to increase precision without increasing cost
...

 The stratification variables should also be closely related to the characteristic of
interest
...
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 Finally, the variables should decrease the cost of the stratification process by being
easy to measure and apply
...

 In disproportionate stratified sampling, the size of the sample from each stratum is
proportionate to the relative size of that stratum and to the standard deviation of the
distribution of the characteristic of interest among all the elements in that stratum
...

 Then a random sample of clusters is selected, based on a probability sampling
technique such as SRS
...

 Elements within a cluster should be as heterogeneous as possible, but clusters
themselves should be as homogeneous as possible
...

 In probability proportionate to size sampling, the clusters are sampled with probability
proportional to size
...


Mr
...
Probability Sampling

Mr
...

o Parts of the questionnaire may be incomplete
...

o The responses show little variance
...

o The questionnaire is received after the preestablished cutoff date
...

Editing
 Treatment of Unsatisfactory Results
o Returning to the Field – The questionnaires with unsatisfactory responses may be
returned to the field, where the interviewers recontact the respondents
...

o Discarding Unsatisfactory Respondents –
unsatisfactory responses are simply discarded
...
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In this approach, the respondents with

Page 52 of 56

Coding
 Coding means assigning a code, usually a number, to each possible response to each
question
...

 Coding Questions
o Fixed field codes, which mean that the number of records for each respondent is the
same and same data appear in same column(s) for respondents, are highly desirable
...
Coding of structured
questions is relatively simple, since the response options are predetermined
...

 Guidelines for coding unstructured questions:
o Category codes should be mutually exclusive and collectively exhaustive
...

o Category codes should be assigned for critical issues even if no one has mentioned
them
...

 Codebook
o A codebook contains coding instructions and the necessary information about
variables in the data set
...

o The first record contains the additional codes: project code, interviewer code, date and
time codes, and validation code
...


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o Computer packages like SPSS, SAS, EXCEL and MINITAB can be programmed to
identify out-of-range values for each variable and print out the respondent code,
variable code, variable name, record number, column number, and out-of-range value
...

 Treatment of Missing Responses
o Substitute a Neutral Value – A neutral value, typically the mean response to the
variable, is substituted for the missing responses
...

o In casewise deletion, cases, or respondents, with any missing responses are
discarded from the analysis
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o In pairwise deletion, instead of discarding all cases with any missing values, the
researcher uses only the cases or respondents with complete responses for each
calculation
...

 Weighting is most widely used to make the sample data more representative of a
target population on specific characteristics
...

 Variable Respecification
 Variable respecification involves the transformation of data to create new variables
or modify existing variables
...
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 Dummy variables are used for respecifying categorical variables
...

 Scale Transformation and Standardization
 Scale transformation involves a manipulation of scale values to ensure comparability
with other scales or otherwise make the data suitable for analysis
...


Mr
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A Classification of Multivariate Techniques

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