1. Marketing Research: Overview
Jeremy Kees, Ph.D.

3. What is Marketing Research?
….. the process of collecting and using information for marketing decision-making
Marketing Research is conducted by:
Companies large and small
Independent Marketing Research Firms

4. What is Marketing Research?
Marketing Research helps us:
Assess Market Potential (Target Market Selection)
Explore what Product/Service Offerings Customers Want
Develop New Products
Develop Effective Promotional Strategies
Determine price points
Measure Existing Customer Satisfaction
Monitor the External Environment

5. Stages in the Research Process (Researchers Perspective)
Formulate Problem
Stages
in the
Research
Process
(Researchers
Perspective)
Determine Research Design
Design Data Collection
Method and Forms
Design Sample and Collect Data
Analyze and Interpret the Data
Prepare the Research Report

6. Popular Research Designs
Exploratory Research
“Discovery”
Descriptive Research
“Relationships”
Causal Research
Experiments

7. Overview of Research Design
Uses
Types
Formulate problems more precisely
Develop Hypotheses
Establish priorities for research
Eliminate impractical ideas
Clarify concepts
Literature search
Experience survey
Analysis of select cases
Interviews
Ethnographies
Focus groups
Etc.
Exploratory
Research
Describe segment characteristics
Estimate proportion of people who behave in a certain way
Make specific predictions
Descriptive
Research
Longitudinal study
Panels
Sample Survey
Provide evidence regarding causal relationships
Rule out all other explanations
Causal
Research
Laboratory experiment
Field experiment

8. Relationship Among Research Designs
Descriptive Research
Exploratory Research
Causal Research 8

9. Qualitative versus Quantitative Research
Data
Quantitative = numeric data
Qualitative = non-numeric data
Caveat – all qualitative data can be coded and all quantitative data is based on judgment
Common Assumption:
Qualitative Data = preliminary
Quantitative Data = confirmatory

10. Qualitative vs. Quantitative Research
Qualitative Research
To gain a qualitative understanding of the underlying reasons and motivations
Small number of non-representative cases
Unstructured
Non-statistical
Develop an initial understanding
Objective
Sample
Data Collection
Data Analysis
Outcome
Quantitative Research
To quantify the data and generalize the results from the sample to the population of interest
Large number of representative cases
Structured
Statistical
Recommend a final course of action 10

11. Focus Groups
Focus groups: small group discussions led by a trained moderator
Objectives:
Generate ideas
Understand consumer vocabulary
Reveal consumer needs, motives, perceptions, and attitudes on products and services
Understand findings from quantitative studies 11

12. Focus Groups Advantages: Generation of fresh ideas Client interaction
Versatility
Ability to tap special respondents
Disadvantages:
Representative of the population?
Subjective interpretation
High cost-per-participant 12

13. Focus Group Characteristics
Group Size
Group Composition Homogeneous respondents, prescreened
Physical Setting Relaxed, informal atmosphere
Time Duration hours
Recording Audiocassettes and/or Video
Moderator Observational, interpersonal, and communication skills of the moderator 13

14. Other Popular Qualitative Techniques
In-Depth interview
Uses a set of probing questions posed one-on-one to a subject by a trained interviewer so as to gain an idea of what the subject thinks about something or why he or she behaves a certain way
Ethnographies
developing understandings of the everyday activities of people in local settings
Observation
Insight into actual, not reported, behaviors
Mystery Shopping 14

15. Descriptive Research Describe what is going on or exists
Estimate how groups of consumers might behave
Examine relationships between two or more variables
Predict

16. Descriptive Research
Two Basic Types
Longitudinal
Cross-Sectional

17. Causal Research
Helps us determine if one or more IVs (treatment, predictors) causes or affects one or more DVs (outcome variables)
Most demanding design—strongest conclusion
Requires the highest degree of understanding of the problem

18. Types of Experiments Laboratory Experiment
Research investigation in which
investigator creates a situation
with exact conditions, so as to
control some, and manipulate other,
variables
Experiment
Scientific investigation in which
an investigator manipulates
and controls one or more
independent variables and
observes the dependent
variable for variation
concomitant to the
manipulation of the
independent variables
Field Experiment
Research study in a realistic situation
in which one or more independent
variables are manipulated by the
experimenter under as carefully
controlled conditions as the situation
will permit 18 18

19. Definitions and Concepts
Independent variables (IV) are variables or alternatives that are manipulated and whose effects are measured and compared, e.g., price levels.
Test units are individuals, organizations, or other entities whose response to the independent variables or treatments is being examined, e.g., consumers or stores.
Dependent variables (DV) are the variables which measure the effect of the independent variables on the test units, e.g., sales, profits, and market shares.
Extraneous variables are all variables other than the independent variables that affect the response of the test units, e.g., store size, store location, and competitive effort.
Covariates

20. Validity
Internal validity refers to whether the manipulation of the independent variables or treatments actually caused the observed effects on the dependent variables. Control of extraneous variables is a necessary condition for establishing internal validity.
External validity refers to whether the cause- and-effect relationships found in the experiment can be generalized. To what populations, settings, times, independent variables and dependent variables can the results be projected?

21. Causal Research (Experimental Design)
Internal Validity

22. Causal Research (Experimental Design)
External Validity

23. Design Data Collection and Forms
Secondary Data
Exploratory Research
Informal and flexible
Script
Descriptive / Causal Research
Rigid and Structured
Survey

24. Design Sample and Collect Data
Why is sampling important??
Basic Sampling Methods
Probability
Non-Probability

25. Analyze and Interpret Data
Exploratory Research
Identify themes and patterns
Open for more subjective researcher interpretation
Descriptive / Causal Research
Statistical Analysis
Regression, ANOVA, Multidimensional Scaling, Cluster Analysis, etc.
More “conclusive”

26. Prepare Research Report
Key Issues
Try to be objective as possible and honest with your client
Take note of the technical sophistication of your client
Be careful when reporting results versus making inferences / recommendations

27. Critical Issue
The MOST important issue to consider throughout the research process is making sure that the research is actionable.
Avoid “nice to know” research projects!!!