1. An Introduction to Marketing Research
Chapter 1
An Introduction to
Marketing Research

3. What is online research?
Online research: the use of computer networks, including the Internet, to assist in any phase of the marketing research process including development of the problem, research design, data gathering, analysis, and report writing and distribution

4. The Marketing Research Process: 11 Steps
Step One: Establishing the Need for Marketing Research
Step Two: Defining the Problem
Step Three: Establishing Research Objectives
Step Four: Determining Research Design
Step Five: Identifying Information Types and Sources
Step Six: Determining Methods of Accessing Data

5. The Marketing Research Process: 11 Steps cont…
Step Seven: Designing Data Collection Forms
Step Eight: Determining Sample Plan and Size
Step Nine: Collecting Data
Step Ten: Analyzing Data
Step Eleven: Preparing and Presenting the Final Research Report

6. The Marketing Research Process
Step One: Establish the Need for Marketing Research
Marketing Research is not needed when the:
required information is already available
decisions need to be made now
organization can’t afford the research
costs outweigh the value of the research

7. The Marketing Research Process Step Two: Define the Problem
The most important step in the marketing research process is defining the problem.

8. The Marketing Research Process
Step Three: Establish Research Objectives
What information is needed in order to solve the problem?

9. The Marketing Research Process Step Four: Determine Research Design
Exploratory Research: collecting information in an unstructured and informal manner
Descriptive Research: refers to a set of methods and procedures describing marketing variables
Causal Research (experiments and other approaches): allows isolation of causes and effects

10. The Marketing Research Process
Step Five: Identify Information Types and Sources
Secondary Data: information that has been collected for some purpose other than the research at hand
Primary Data: information that has been gathered specifically for the research objectives at hand

11. The Marketing Research Process
Step Six: Determine Methods of Accessing Data
Secondary Data: accessing data through sources such as the Internet and library
Primary Data: collecting data from participants through methods such as telephone, mail, online, and face-to-face (quantitative), and observation studies and focus groups (qualitative)

12. The Marketing Research Process
Step Seven: Design Data Collection Forms
The design of the data collection form that is used to ask or observe and record information in marketing research projects is critical to the success of the project.
It is easy to write a set of questions but very difficult to construct a questionnaire.
General types of “instruments” (forms)
Questionnaires
Observation Study forms (protocols)

13. The Marketing Research Process
Step Eight: Determine Sample Plan and Size
Sample plan: refers to the process used to select units from the population to be included in the sample
Sample size: refers to determining how many elements (units) of the population should be included in the sample

14. The Marketing Research Process Step Nine: Collect Data
Sound data collection is very important because, regardless of the data analysis methods used, data analysis cannot “fix” bad data. 12
Nonsampling errors may occur during data collection. These are related to poor design and/or execution of the data gathering.
Sampling errors may occur based purely on chance

15. The Marketing Research Process
Step Ten: Analyze Data
Data analysis: involves entering data into computer files, inspecting data for errors (data cleaning), running tabulations (frequencies), and conducting various statistical tests

16. The Marketing Research Process
Step Eleven: Prepare and Present the Final Research Report
Findings are presented, often by research objective, in a clear and concise way.
The need for a good report cannot be overstated. It is the report, and/or its presentation, that properly communicates the results to the client.

17. Scope of Marketing Research
Sales Analysis
Product Management
Advertising Research
Corporate Research
Syndicated Research

18. Growing Importance of Research in India
Monopolistic Business
Demand was more than Supply
Business was local; hence close to customers

19. Challenges faced in India
Country’s vast size
Diversity in the population
Infrastructure problem
Literacy Issues
Attitudinal problems

20. Marketing Research: A Brief History
Pre-Marketing Research Era: colonization to the Industrial Revolution
Early Development Era: Industrial Revolution to 1920
Questionnaire Era:
Quantitative Era: 1940 to 1960
Organizational Acceptance Era: 1960 to 1980
PC Technology Era: 1980 to 1990
Globalization-Online Era: since 1990

21. Research Suppliers

22. Research Design A Statement of Objectives
Data inputs required on the basis of which the research problem has to be solved
Method of Analysis
Simply a BluePrint!

23. Types of Research Designs
Refer to Book 1, page 24
We must have one strong evidence to say that there exist a strong association between an action (causal variable) and ultimate outcome (effect variable)
Action (causal variable) must precede outcome (effect variable)
There must be no other possible factor (causal factor) which could have resulted in the observed outcome

24. Exploratory Research Design
Provides info to enable a more precise problem definition or hypothesis formulation
Establishing research priorities
Gives researched a feel of the problem
Good start
Methods Used
Survey of literature
Survey of experienced individuals
Analysis of selected case situations

25. Descriptive Research Designs
Most commonly used
Combination of qualitative and quantitative
More formal as compared to Exploratory
Types
Panel Discussion
Focus Groups
Cross Sectional Designs

26. Quasi Experimental Designs
R = Random
X = Experimental Treatment
O = Observation

27. After-Only Without Control Group
X O
Also called one-shot case study
Test unit not selected at random
Single group is exposed to treatment and then measurement is taken
Eg: Effect of training on sales force
No meaningful
No prior observation available for comparison
The level of ‘O’ could be result of other factors in addition of the effect of ‘X’

28. Before-After without Control Group
O1 X O2
Eg: Before training how did the sales perform in comparison to after training
Limitation as does not consider:
Selection Bias: not randomly selected
History: Economic conditions may have improved
Maturation: Salesforce may have gained more experience
Testing: The pre-test measurement might have affected the performance
Instrumentation: Prices may have changed during that period
Mortality: Some test units may have left during the period of training

29. The Static Group Comparison Design
Use of two groups
Group 1 exposed to treatment and Group 2 is not
Group 1 (experimental Group): X1 O1
Group 2 (Control Group): X2 O2
Note X2 is regular routine or program
Experiment result is obtained by O1 – O2
Limitation: Groups not sleeted on random and some test units may have left during the period of trainin

30. Time Series Design Refer to fig in Book 1 page 34
Extension of one group pre-test and post-test design
Periodic measurement are taken for the same unit
Ex: Advertising campaign’s effect on Market Share
Refer the Dig.

31. Multiple Time Series Design
Experimental Group: O1 O2 O3 X O4 O5 O6
Control Group: O1’ O2’ O3’ O4’ O5’ O6’

32. Experimental Designs After-only with One Control Group
Before-After with One Control Group
Four Group Design

33. Data Collection

34. Primary Versus Secondary Data
Primary data: information that is developed or gathered by the researcher specifically for the research project at hand
Secondary data: information that has previously been gathered by someone other than the researcher and/or for some other purpose than the research project at hand

35. Classification of Secondary Data
Internal secondary data: data that have been collected within the firm
Internal databases: databases (collection of data and information describing items of interest) consisting of information gathered by a company typically during the normal course of business transactions

36. Classification of Secondary Data…cont.
External secondary data: data obtained from outside the firm
Types:
Published
Syndicated Services Data
External Databases

37. Advantages of Secondary Data
Obtained quickly (compared to primary data gathering)
Inexpensive (compared to primary data gathering)
Usually available
Enhances existing primary data

38. Disadvantages of Secondary Data
Mismatch of the units of measurement
Need daily data yet only monthly available, need incomes of $75,000 and over only available $50,000 and over
Differing class definitions used – Need users “in between” heavy, medium or light users
Timeliness (how current is the secondary data)
Lack of information needed to assess the credibility of the reported data (next slide)

39. Evaluating Secondary Data
What was the purpose of the study?
Who collected the information and when was this done?
What information was collected (questions, scales, etc.)?
How was the information obtained (sampling frame, method of sample draw, communication method, resulting sample, etc.)?
How consistent is the information with other published information?

40. Basic Method of Data Collection
Structured & Direct
Questionnaire / Interviews
Unstructured & Direct
Sentence Completion/ Picture Interpretation/ Word Association/ Focus groups
Structured & Indirect
Observations & Media
Unstructured & Indirect

41. Sources of Error in Data Collection
Investigator
Personal Bias
Misinterpretation
Respondent
Ambiguity
Not true feedback provided

42. Sampling Population: Entire Universe
Sampling Unit: List of those elements that can be considered as ‘Available’ for selection at some stage
Sampling Frame: List of sampling units
Sample: Actual selection for research
Element: An individual item in the sample

43. Sampling Process Define Population Specify sampling frame
Choose appropriate sampling design
Non-probability Method
Probability Method
Determine sample size
Select actual members of sample

44. Probability Sampling Simple Random sampling Systematic sampling
Stratified sampling
Cluster Sampling

45. Non-probability Sampling Method
Convenience:
100 stores in one location
50 students in a class
One state in a country
Judgment: Researcher draws a sample that he thinks is the representation of the population
Quota Sampling: Like Stratified sampling but the difference is that the selection of sample in the quota is not random (but judgment of researcher) the way it is with Stratified sampling

46. Questionnaire Design Questionnaire Format Disguise
Structure: Open ended/ Close Ended
Disguise
Mostly non-disguised questionnaires are used. At times disguised questionnaires are designed in ‘motivation research’ to handle sensitive issues like attitude, aids patience, abortion cases etc.
Method of Administration:
Personal Interview
Telephone

47. Steps involved in Design
Preliminary Decisions
What info can be obtained from secondary data
Who is the Target Respondent
Type of Questionnaire &Method of Administration
Question Content
Is the question really essential?
Can respondent understand the question?
Can respondent answer the question?
Will respondent answer the question?
Question Phrasing
Are there any ambiguities in question framing?
Is there an implied answer/ alternative to the question
Are there any assumptions to be made to answer the question?
Will the respondent approach the question with the same frame of reference as that of the designer?

48. Steps involved in Design
Form of response to each question
Open ended/ Close ended?
Sequence of questions
Simple and open ended
Logical sequence
Design Branching question with care
Lay-out of questionnaire
Pre-test Questionnaire

49. Constructing a Questionnaire
Refer Book 2, page 44

50. Avoid Too long questionnaire Too long questions
Using vocab unfamiliar to respondent
Ambiguous words
Combined questions

51. Qualitative Research Exploratory or diagnostic in nature
Small number of people; usually non-probabilistic method of sampling
Impressionistic rather than Definitive
Used to generate hypothesis for further research
Better insights into consumers
Trained professionals required to carry research

52. Methods of Qualitative Research
In-depth Interviews
Focus Group Discussions
Projective Techniques
Word Association Test
Sentence Completion Test
Fantasy Situation
Cartoon Completion
Picture Interpretation
Observations

53. Data Procession Editing of data Field Editing Central Editing
To be done as soon as the data is collected by field officer
Standardization is the objective
Care should be taken that data is not manipulated
Central Editing
To be done when all forms are collected and before they are sent to the HQ
Editor may correct obvious mistakes (like entry in wrong field etc.)
All incorrect and incomplete entries to be deleted
Respondent/ field office may be contacted for clarification

54. Coding of Data
Generally close ended questionnaires are coded at the beginning; at the time of questionnaire design
What is your monthly income?
Less than 5,000
5,001 – 10,000
10,001 – 20,000
20,001 – 40,000
More than 40,001

55. Coding of Data
Book no. 3, page 19

56. Classification of Data
FINO Report

57. Report Writing
FINO Report

58. Thank You