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The Marketing Research Process: An Overview: Welcome To Powerpoint Slides For
The Marketing Research Process: An Overview: Welcome To Powerpoint Slides For
for
Chapter 2
The Marketing
Research Process:
An Overview
Marketing Research
Text and Cases
by
Rajendra Nargundkar
Slide 1
A marketing research project starts with an information
need. It ends with an actionable report or presentation or
both. In between are various steps to ensure that the
marketing research project achieves what it set out to do.
A diagrammatic representation of the Marketing
Research Process is shown in the figure below
1. Information
Need Felt
4. Plan and do
Secondary Research
2. Define the
Research
Objective
5. Plan and do
Primary Research
3. Design the
Research
Methodology
6. Tabulation
and Analysis
7. Report Writing
and Presentation
8.
Marketing Action
Slide 2
Information Need
Slide 2contd...
The risk involved in taking a marketing decision with
inadequate information, should be weighed against the
cost of getting the information, and, taking a betterinformed decision. Success depends on many factors,
and information is only one of them.
A third marketing manager heads a popular music
channel on T.V. He wants to know which of his video
disc jockeys is the most popular, and which show is the
most watched. He could commission a study by an
independent marketing research agency to do just that.
Of course, any need for information must be examined
in terms of the cost of obtaining the required
information. Also, the cost of not having this
information should be estimated.
Slide 3
Slide 4
Research Designs: Exploratory, Descriptive and Causal
A research design provides the framework to be used as a
guide in collecting and analysing data. But it is not necessary
that a particular research design is always the best. Experience
with different research designs will generally provide the
researcher with the capability to match a research problem with
an appropriate design.
For example, in a study for a new English daily newspaper
launched in Bangalore in the eighties, it was found that the
sales were much below expectations. A survey was proposed.
But as a complement to the survey, the author's team at a
research agency proposed a Content Analysis of all the major
dailies in Bangalore.
This method analysed the coverage of various categories of
news such as politics, sports, regional, national, city-based
news etc. by the client's newspaper and the competitors.
This gave vital insights to the publishers of the paper, and over
a period, it became successful. This is just an example to show
that sometimes unusual research designs do pay off.
Broadly speaking, we can classify research designs into the
following three kinds .Exploratory Research
.Descriptive Research
.Causal Research
Slide 5
Exploratory Research
Slide 6
Descriptive Research
Slide 6contd...
One other advantage of panels is that if a quick check
on something is needed, sample selection time can be
saved by approaching panel members. In these days of
the internet it may be possible to get a quick response
to a short survey of panel members in a matter of a
couple of days.
There is of course a disadvantage to panel data. Panels
suffer from a selection bias. Some people are more
likely to agree to be on a panel than others, because it
needs a commitment in terms of time and effort to
regularly record and report data. This selection bias
may make panels non-representative of the target
population.
In some data mining applications, the analysis may
resemble longitudinal studies, because data from the
same customers or retailers over a period of time may
be analysed for patterns of behaviour etc.
Slide 7
Cross-sectional design
Slide 8
Slide 9
Designing The Research Methodology
Slide 10
Slide 11
Survey
Internet surveys are quite new, but may have the same
disadvantages that telephonic surveys have. It is
difficult to ensure that all target respondents have an
opportunity for selection in the sample.
For example, every potential respondent for the survey
may not be using the e-mail, or even a computer.
Therefore, the e-mail survey does not represent a true
sample of the target population for many products or
services. To that extent, the results may be wrong,
compared to the errors in a door-to-door personal
interview done with scientific probability sampling.
Slide 11 contd...
Slide 12
Observation
Slide 13
Experimentation
Slide 14
Qualitative Techniques
Slide 15
Slide 16
Specialised Techniques
Slide 16contd...
There are now commonly used technologies which
record who is watching a given channel and show at
any given time, for upto a week. These are called
Peoplemeters, and are available in India for about
Rs. 40,000/- a piece. Indian Market Research
companies such as IMRB and ORG-MARG/A.C.
Nielsen have already started using them, and their
use is likely to grow. The branded names for the
peoplemeters in India are TAM and INTAM.
The new meters have changed the advertising
patterns of many T.V. channels and individual
shows after they were introduced in India.
Slide 17
Slide 18
In general, two precautions should be taken to ensure a
good sample (good means representative).
.Use a probabilistic sampling technique which is not
biased.
.Try and divide the population to be sampled into
segments or strata based on relevant parameters such
as users/non-users, or classes based on age, income,
etc. Then, ensure that each segment gets represented
adequately in the final sample. This also applies to
studies that are done in multiple cities. If a study is
done in twenty cities, and if analysis is required by city
(i.e. for each city separately), then the sample size for
each city must be adequate for such analysis.
Generally, formulas can be used to determine sample
sizes, but they suffer from some limitations. For a more
detailed discussion, please refer to the chapter titled
Sampling Methods Theory and Practice.
It is usually a blend of theory, practical limitations and
experience which generates the best sampling plan in any
given research situation.
Slide 19
Slide 20
Before doing field work, whoever is going out in the
field needs to have an idea of what is to be collected
and its format of recording. In the traditional format of
personal interviews (which is still the most popular
format in India), a questionnaire is used by the field
workers in most cases.
Sometimes, a checklist is used instead, if the situation
demands it. We will assume here that the
questionnaire has been developed. A detailed
discussion of how to develop a good questionnaire
appears in the chapter titled Questionnaire Design a
Customer-centric Approach.
The second question is when. In many studies
carried out nationally, it is not possible always to
simultaneously cover all centres, on the same days.
There could be logistical problems for supervisors, or
there may be difficulties in recruiting adequate field
workers etc. But it is desirable to have a well-planned
schedule so that all field work is completed in an
orderly fashion, and cross-checks can be established.
Slide 21
Briefing
Slide 22
Debriefing
Slide 23
Analysis Plan and Expected Outcome
Analysis is based on the answers given to questions. It
is important to have an analysis plan in mind even
before going to the field with a questionnaire.
Regrettably, this is not always given the attention it
deserves by the researcher. It is sometimes assumed that
it can be done later, or that all possible analyses can be
done anyway, so why bother to plan the analysis in
advance. But for many reasons, it is vital to do so.
A very powerful reason is that the sample size gets
reduced, if the analysis is done on parts of the sample.
For instance, in a sample of 200 respondents, there
could be 16 combinations of income (4 groups) and age
(4 age groups).
If analysis is performed for a
combination of age and income, we get a 16- celled
output matrix. Even assuming a uniform distribution of
the sample into these 16 cells, each cell only gets a
sample size of 100 / 16 or 12.5 persons. This may not
be good enough to draw conclusions about the given
Age-Income combination.
Slide 23 contd...
Slide 24
Slide 25
While doing cross-tabulation, it is also necessary that
the two questions (variables) that we are crosstabulating must be related to each other. For example,
in the above example, it is possible that the frequency
of soap purchase is a function of family size, rather
than the liking for its fragrance.
It is possible to compute cross tabulation data for any
two questions on a questionnaire but all of these may
not be meaningful.
Expected Outcome
One good way to think about expected outcome is to
prepare a blank table of output, particularly for any
cross tabulations we may be interested in.
This can be done after the questionnaire is designed,
but before the field work is done. This helps to
anticipate some of the problems in sampling and
corrective action can be taken easily to adjust sample
sizes on the field.
Slide 26
Budget and Cost Estimation
There are two or three basic parameters which provide an
estimate of how much a study is going to cost.
.Sample size
.How difficult to find the sampling units (respondents) are, and
their geographical dispersion.
.Who will do the field work
For example, if hired field workers are doing the field work, a
study costs much less per respondent, than if a research
executive conducts the interviews.
In some industrial
marketing research, a qualified research executive may in fact
do the field work himself. But in most consumer product or
service studies, it is hired temporary field workers who do it. In
such cases, sample size is multiplied by the estimated cost per
respondent to arrive at a total cost estimate.
This estimate is modified by the number of centres
(geographical dispersion) for the study, and the difficulty in
locating required respondents.
For example, locating a 2-wheeler owner for a given brand of 2wheeler (say, a Suzuki or Honda), is much easier than locating
an owner of a luxury car say, a Mercedes. Additional cities for
the survey may entail travel and communication cost for the
research executive and supervisory staff in addition to normal
cost of field work.
Slide 27
Presentation, Report and Marketing Action
Slide 27 contd...
.Analysis
-Simple Tabulation
-Cross Tabulation
-Any Special Analysis
.Findings
.Limitations
.Recommendations for Action
.Bibliography / List of References
Based on the report, the client
normally will take some marketing
actions. This is the expected outcome
of any marketing research study.