Assessment Task 2 – Short Question and Answer

Part A – Short questions

1. Write at least 4 different uses of market research?

• Monitoring: For example, Ad tracking, Brand awareness, viewing figures, usage, customer
satisfaction
• To find things out: For example, The size of the market, current usage pattern, and market
opportunities.
• Testing ideas and products: For example, Ad testing, pack testing, concept testing, product
testing, and pricing research
• Creating Ideas and products: To help create new products, ideas, campaigns.

2. Discuss Pros and cons of Qualitative and Quantitative research?

Qualitative and quantitative are widely used research methods that act as powerful sources of
insight for marketers.
Qualitative research explores what people think, feel and do. generally draws from sources
such as one-on-one interviews, focus groups and discussion forums.
Quantitative research gives a measure of how many people think, feel or behave in a certain
way. Quantitative research can call on surveys or analytics to quantify consumer behaviors,
perceptions, attitudes and interests.

Qualitative Research Pros:

• It provides depth and detail: Analyzing thoughts, feelings and behaviors to explore the
‘why’.
• It encourages discussion: When people expand on why they feel or act a certain way, it
can introduce new topic areas not previously considered.
• It allows for more flexibility: Questioning can adapt in real-time to the quality and
nature of information being gathered.

Qualitative Research Cons:

• Small sample sizes: This method is more in-depth and therefore more time consuming
and resource intensive, meaning fewer people are surveyed.
• More difficult to generalize: With a smaller survey sample it’s difficult to generalize the
results.
• Relies on skilled researchers: The quality of the responses is largely dependent on the
skill of the researchers carrying out interviews or conducting focus groups.
• Lack of anonymity: There are some topics that respondents are more willing or
comfortable responding to via anonymous quant surveys than in one-or-one interviews
or discussion groups.
 Quantitative Research Pros:
• Larger sample: A broader study can be made, involving more subjects and enabling
more generalization of results.
• Objectivity and accuracy: Few variables are involved as data relates to close-ended
information.
• Faster and easier: Data collection can be automated via digital or mobile surveys,
allowing thousands of interviews to take place at the same time across multiple
countries.
• More cost effective: The cost of someone participating in a quant survey is typically far
less than in a qual interview.

Quantitative Research Cons:

• Less detail: Results are based on numerical responses and therefore most will not offer
much insight into thoughts and behaviors, whereby lacking context. It’s possible to
include open-end answers but these rely on respondents understanding the nature of
the question being asked, and being willing to spend time completing them.
• Artificiality: Research can be carried out in an unnatural environment so that control
can be applied, meaning results might differ to ‘real world’ findings.
• Limiting: Pre-set answers might mask how people really behave or think, urging them to
select an answer that may not reflect their true feelings.

3. Identify advantages and disadvantages of two data gathering methods

Both approaches have strengths and weaknesses, which is why combining the two methods
often referred to as mixed methods research can greatly improve the quality and accuracy of your
findings, adding both breadth and depth.
The Advantages of Combining Data:
• Provides strengths that offset the weaknesses of both quantitative and qualitative
research. For instance, quantitative research is weak in understanding the context or setting in
which people behave, something that qualitative research makes up for. On the other hand,
qualitative research is seen as deficient because of the potential for biased interpretations made
by the researcher and the difficulty in generalizing findings to a large group. Quantitative
research does not have these weaknesses. Thus, by using both types of research, the strengths
of each approach can make up for the weaknesses of the other.
• Provides a more complete and comprehensive understanding of the research problem than
either quantitative or qualitative approaches alone.
• Provides an approach for developing better, more context specific instruments. For instance,
by using qualitative research it is possible to gather information about a certain topic or
construct in order to develop an instrument with greater construct validity, i.e., that measures
the construct that it intends to measure.
• Helps to explain findings or how causal processes work.
 The disadvantages of Combining Data:
• The research design can be very complex.
• Takes much more time and resources to plan and implement this type of research.
• It may be difficult to plan and implement one method by drawing on the findings of another.
• It may be unclear how to resolve discrepancies that arise in the interpretation of the findings.

4. Explain 2 sampling Technique?

Probability sampling methods Probability sampling means that every member of the
population has a chance of being selected. It is mainly used in quantitative research. If you want to
produce results that are representative of the whole population, you need to use a probability
sampling technique. There are four main types of probability sample.

• Simple random sampling In a simple random sample, every member of the population has an
equal chance of being selected. Your sampling frame should include the whole population.
• Systematic sampling Systematic sampling is similar to simple random sampling, but it is usually
slightly easier to conduct. Every member of the population is listed with a number, but instead
of randomly generating numbers, individuals are chosen at regular intervals. If you use this
technique, it is important to make sure that there is no hidden pattern in the list that might
skew the sample.
• Stratified sampling Stratified sampling involves dividing the population into subpopulations that
may differ in important ways. It allows you draw more precise conclusions by ensuring that
every subgroup is properly represented in the sample. To use this sampling method, you divide
the population into subgroups (called strata) based on the relevant characteristic (e.g. gender,
age range, income bracket, job role). Based on the overall proportions of the population, you
calculate how many people should be sampled from each subgroup. Then you use random
or systematic sampling to select a sample from each subgroup.
• Cluster sampling Cluster sampling also involves dividing the population into subgroups, but each
subgroup should have similar characteristics to the whole sample. Instead of sampling
individuals from each subgroup, you randomly select entire subgroups. If it is practically
possible, you might include every individual from each sampled cluster. If the clusters
themselves are large, you can also sample individuals from within each cluster using one of the
techniques above. This method is good for dealing with large and dispersed populations, but
there is more risk of error in the sample, as there could be substantial differences between
clusters. It’s difficult to guarantee that the sampled clusters are really representative of the
whole population.

Non-probability sampling methods In a non-probability sample, individuals are selected based

on non-random criteria, and not every individual has a chance of being included. This type of sample is
easier and cheaper to access, but it has a higher risk of sampling bias, and you can’t use it to make valid
statistical inferences about the whole population. Non-probability sampling techniques are often
appropriate for exploratory and qualitative research. In these types of research, the aim is not to test
a hypothesis about a broad population, but to develop an initial understanding of a small or under-
researched population
• Convenience sampling A convenience sample simply includes the individuals who happen to be
most accessible to the researcher. This is an easy and inexpensive way to gather initial data, but
 there is no way to tell if the sample is representative of the population, so it can’t produce
generalizable results.
• Voluntary response sampling Similar to a convenience sample, a voluntary response sample is
mainly based on ease of access. Instead of the researcher choosing participants and directly
contacting them, people volunteer themselves. Voluntary response samples are always at least
somewhat biased, as some people will inherently be more likely to volunteer than others.
• Purposive sampling This type of sampling involves the researcher using their judgement to select a
sample that is most useful to the purposes of the research. It is often used in qualitative research,
where the researcher wants to gain detailed knowledge about a specific phenomenon rather than
make statistical inferences. An effective purposive sample must have clear criteria and rationale for
inclusion.
• Snowball sampling If the population is hard to access, snowball sampling can be used to recruit
participants via other participants. The number of people you have access to “snowballs” as you get
in contact with more people.

5. Distinguish between Primary and secondary Data? Give example of each

Primary data is data originated for the first time by the researcher through direct efforts and
experience, specifically for the purpose of addressing his research problem. Also known as the first
hand or raw data. Primary data collection is quite expensive, as the research is conducted by the
organisation or agency itself, which requires resources like investment and manpower. The data
collection is under direct control and supervision of the investigator. The data can be collected
through various methods like surveys, observations, physical testing, mailed questionnaires,
questionnaire filled and sent by enumerators, personal interviews, telephonic interviews, focus
groups, case studies, etc.
For example, Data collected in that phase of your research or interview.

Secondary data implies second-hand information which is already collected and recorded by
any person other than the user for a purpose, not relating to the current research problem. It is the
readily available form of data collected from various sources like censuses, government publications,
internal records of the organisation, reports, books, journal articles, websites and so on. Secondary
data offer several advantages as it is easily available, saves time and cost of the researcher. But
there are some disadvantages associated with this, as the data is gathered for the purposes other
than the problem in mind, so the usefulness of the data may be limited in a number of ways like
relevance and accuracy.
For example, Data gleaned both from published papers and unpublished research notes.

6. What are Different Types of research needs that can be undertaken?

Observation
Observation involves collecting information without asking questions. This method is more
subjective, as it requires the researcher, or observer, to add their judgment to the data. But in
some circumstances, the risk of bias is minimal.
In general, observation can determine the dynamics of a situation, which generally cannot be
measured through other data collection techniques. Observation also can be combined with
additional information, such as video.
 Questionnaires and surveys
Questionnaires and surveys can be used to ask questions that have closed-ended
answers. Data gathered from questionnaires and surveys can be analyzed in many different ways.
You can assign numerical values to the data to speed up the analysis. This can be useful if you’re
collecting a large amount of data from a large population.
To be meaningful, surveys and questionnaires need to be carefully planned. Unlike an
interview, where a researcher can react to the direction of a respondent’s answers, a poorly
designed questionnaire will lead the study nowhere quickly. While surveys are often less
expensive than interviews, they won’t be valuable if they aren’t handled correctly. Surveys can
be conducted as interviews, but in most cases, it makes sense to conduct surveys using forms.

7. What performance document should be analysed to identify market research needs.

Consumer segmentation
Companies using customer segmentation understand that customer needs are different and
that their marketing efforts are most efficient when they target marketing messages that are
relevant to specific, niche groups. CMG’s pragmatic and creative marketing consultants believe
building innovative customer segmentation is crucial.
With consumer segmentation as part of your marketing strategy, you can tailor your marketing
efforts to each specific audience. Market to niche audiences and save money by reaching the right
people with the right message.
What is consumer segmentation? Consumer segmentation is the practice of dividing a customer
base into groups of individuals that are similar in specific ways relevant to marketing, such as age,
gender, interests, and spending habits.

Direct competition analysis

A competitive analysis helps you learn the ins and outs of how your competition works. It also
helps you identify what they're doing right and opportunities where you can easily one-up them by
using a strategy they haven't taken advantage of. Every brand can benefit from regular competitor
analysis. By performing a competitor analysis, you'll be able to:
• Identify gaps in the market
• Develop new products and services
• Uncover market trends
• Market and sell more effectively

Analysis of complementary products and service

A complementary good or service is an item used in conjunction with another good or service.
Usually, the complementary good has little to no value when consumed alone, but when combined
with another good or service, it adds to the overall value of the offering. A product can be
considered a complement when it shares a beneficial relationship with another product offering.

8. Briefly describe 2 legislation or code of practice that affect business operations

Privacy Act 1988
Australia has national privacy legislation, overseen by the Office of the Australian Information
Commissioner (OAIC), that regulates how businesses can collect, access, and store personal
information and communication. There are specific requirements on the management of sensitive
information, such as medical records.
 Australian Competition and Consumer Commission (ACCC)
Competitive, informed and (when necessary) well-regulated markets lead to lower prices, better
quality products and services, and more choice. This increases the prosperity and welfare of all
Australians. Focus on taking action that most promotes the proper functioning of Australian
markets, protects competition, improves consumer welfare and stops conduct that is anti-
competitive or harmful to consumers. Maintaining and promoting competition. Protecting the
interests and safety of consumers and supporting fair trading in markets affecting consumers and
small business. Promoting the economically efficient operation of, use of, and investment in
infrastructure, and identifying market failure

Part B – Scenario (Quantify, identify and evaluate data)

Data 1
1. Create a pie chart which indicated total internet users in each state.

State or territory Total internet users (in thousands)

New South Wales 4,844
Victoria 3,909
Queensland 3,106
South Australia 1,103
Western Australia 1,678
Tasmania 325
Northern Territory 124
Australian Capital Territory 268

Total internet users in each state

New South Wales Victoria

Queensland South Australia
Western Australia Tasmania
Northern Territory Australian Capital Territory
Data 2

Proportion of internet users who purchased goods via the internet

Internet CDs, Computer
users who music, software,
purchased Clothes, DVDs, computer Food,
goods via cosmetics videos, hardware groceries
Age groups the or books or or internet Electrical or
(years) internet jewellery magazines access goods alcohol
15–17 518 61 49 23 19 2
18–24 1,641 64 50 31 27 11
25–34 2,786 59 54 38 33 23
35–44 2,393 51 54 39 30 26
45–54 2,050 40 46 35 25 18
55–64 1,410 33 43 33 23 18
65 or over 821 23 44 31 18 17

1. Create a column/bar chart based on the age group and different types of items
ordered on Internet
Proportion of internet users who purchased goods via the internet
3000

2000

1000

0
15–17 18–24 25–34 35–44 45–54 55–64 65 or over
Internet users who purchased goods via the internet
Clothes, cosmetics or jewellery
CDs, music, DVDs, videos, books or magazines
Computer software, computer hardware or internet access
Electrical goods
Food, groceries or alcohol
2. Analyse the following:
• Who are the most frequent / popular internet users Age group

Internet users who purchased goods via the internet

3000
2500 2,786
2000 2,393
2,050
1500
1,641
1000 1,410
500 821
518
0
15–17 18–24 25–34 35–44 45–54 55–64 65 or over

The most frequent and popular internet users age group is 25-34 years old. The second
is 35-44 years old. The least popular internet users age group is 15-17 years old.

• Which item is the most popular item to be bought via internet including all age groups

item to be bought via internet including all age groups

80
60
40
20
0
15–17 18–24 25–34 35–44 45–54 55–64 65 or over

Clothes, cosmetics or jewellery

CDs, music, DVDs, videos, books or magazines
Computer software, computer hardware or internet access
Electrical goods
Food, groceries or alcohol

Cloths, cosmetic or jewellery is the most popular items to be bought via internet
by all age group. The second popular items is CDs, music, DVDs, videos, books or
magazine.
• Which item is the least popular item to be bought via internet including all age groups
According from the chart above the least popular items to be bought via internet by all
age group is Food, groceries or alcohol