Market Research
Market Research
Market Research
Objective: To provide insights and understanding To test specific hypotheses and examine
relationships
Characteristics: Information needed is defined only loosely. Information needed is clearly defined.
Research process is flexible and unstructured. Research process is formal and structured.
Sample is small and nonrepresentative. Sample is large and representative.
Analysis of primary data is qualitative. Data analysis is quantitative.
Outcome: Generally followed by further exploratory or Findings used as input into decision making
conclusive research
•
Why do online retail consumers perceive and interact with different types of
digital advertising (e.g., banner ads, video ads, sponsored content)?
•
Is there a significant difference in click-through rates between static and animated
banner ads on online retail websites?
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How are recent technological advancements affecting consumers' shopping
experiences on online retail platforms.
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Why do marketing strategies differ among leading online retail competitors?
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Does offering free shipping significantly improve customer satisfaction and loyalty
in online retail?
A Comparison of Basic Research Designs
Table 3.2 A Comparison of Basic Research Designs
Blank Exploratory Descriptive Causal
Objective: Discovery of ideas and insights Describe market characteristics Determine cause-and-effect
or functions relationships
Characteristics: Flexible, versatile Marked by the prior formulation Manipulation of one or
of specific hypotheses more independent
variables
Often the front end of total Preplanned and structured Measure the effect on
research design design dependent variable(s)
Control of other mediating
variables
Methods: Expert surveys Secondary data: quantitative Experiments
Pilot surveys analysis
Case studies Surveys
Secondary data: qualitative Panels
analysis Observation and other data
Qualitative research
Longitudinal Design
Involves repeated observations or measurements of the same subjects over a period of time.
A tech company wants to evaluate the impact of a new employee wellness program on job satisfaction.
Method: Surveys are distributed to the same group of employees at the start of the program, after 6 months,
and after 1 year.
Advantages: Disadvantages:
Time-consuming Captures changes over time
Can imply causality Risk of dropouts
Cross-Sectional vs. Longitudinal
Cross- Sample
Sectional Surveyed
Design at T1
Time → T1 T2
Relative Advantages and Disadvantages of
Longitudinal and Cross-Sectional Designs
Detecting change − +
Accuracy − +
Representative sampling + −
Response bias + −
Note: A + indicates a relative advantage over the other design, whereas a − indicates a
relative disadvantage.
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
3 approaches to research - Inductive Approach:
Raju observes people doubling their money and assumes the same will happen to him. Ends
up in hilarious troubles.
Explanation: Starts with specific observations (people doubling money) and moves toward a
general theory ("I can double my money too").
•
General Rule – Specific Conclusion
Abductive Approach:
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Finding 'Rancho' Post Graduation
•
After college, Rancho disappears. Farhan and Raju speculate wildly: Did he
become a monk? Is he a secret agent?
•
Explanation: In the absence of complete information, they create plausible
scenarios to explain the sudden disappearance of their friend Rancho.
•
Incomplete observation – Best Prediction
Potential Sources of Error in Research
Designs
Figure 3.2 Potential
Sources of Error in
Research Designs
Researcher's Bias - Surrogate Information Error
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Utilizing data from a substitute or related source instead of the target source.
•
Case - Imagine a research study aiming to understand the preferences of
smartphone users for a new line of accessories. The study collects data through
online surveys targeting smartphone users in India:
•
Example: Using data from tablet users instead of smartphone users.
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Impact: Incorrect insights as tablet users might have different accessory needs.
Measurement Error
•
Errors arising from the measurement
process, often due to unclear or vague
measurement instruments.
•
Example: Using vague survey questions
like, "Do you like cool accessories?"
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Impact: Ambiguous data as "cool" is
subjective.
Population Frame Error
•
Definition: Incorrectly defining the population of interest, leading to generalized or
diluted insights.
•
Example: Defining the population as "all tech users" instead of "smartphone
users."
•
Impact: Dilution of specific insights relevant to smartphone users.
Sampling Frame Error
•
Definition: Utilizing an outdated or incorrect list of population members from
which the sample is drawn.
•
Example: Using an outdated list of smartphone users.
•
Impact: Misses out on new smartphone users, affecting representativeness.
Data Analysis Error
•
Definition: Errors occurring during the analysis phase, such as incorrect
interpretations or statistical procedures.
•
Example: Incorrectly interpreting statistical significance.
•
Impact: Drawing conclusions that aren't supported by the data.
Interviewer Errors
•
Respondent Selection Error:
•
Definition: Incorrectly selecting respondents who don't represent the target
population.
•
Example: Choosing only young adults in a survey meant to represent all adults.
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Impact: Biased results, not reflective of the entire population.
Questioning Error:
•
Definition: Misleading or unclear questioning leading to inaccurate responses.
•
Example: Asking leading questions like "Don't you think Product X is amazing?"
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Impact: Biased or irrelevant data, misleading conclusions.
Recording Error:
•
Definition: Incorrectly recording responses or altering responses.
•
Example: Mishearing or miswriting a respondent's answer.
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Impact: Inaccurate data, misleading analysis.
Cheating Error:
•
Definition: Falsifying data or not following proper interviewing procedures.
•
Example: Making up responses to complete a survey quickly.
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Impact: Completely invalid data, unreliable conclusions.
Respondent errors
•
Unwillingness Error:
• Definition: When respondents are unwilling to provide accurate responses due
to sensitivity, privacy concerns or disinterest.
• Example: A respondent refusing to answer personal income questions in a
survey.
• Impact: Missing or inaccurate data, which can lead to biased or incomplete
findings.
Inability Error:
•
Definition: When respondents are unable to provide accurate responses due to
lack of knowledge or understanding.
•
Example: Asking children about their opinions on macroeconomic policies.
•
Impact: Misleading or irrelevant data, which can lead to incorrect conclusions.
Introduction to Exploratory Research
•
It's the initial research, which
forms the context for future
research.
•
It helps in defining the problem
more precisely.
•
It's often used when researchers
have a vague or little
understanding of the subject.
Types of Exploratory Research
Secondary Research - Involves the use of existing data to understand the problem.
Example: Studying market trends using reports published by market research firms.
Expert Surveys - Involves asking experts in the subject for their opinions on the problem.
Example: Interviewing industry veterans to understand why a new product failed.
Focus Groups - A form of qualitative research consisting of interviews with a group of people.
Example: Hosting a virtual focus group to understand consumer preferences for eco-friendly products.
Projective Techniques - Unstructured and indirect form of questioning that encourages participants to
project their underlying motivations.
Example: Asking customers to tell a story or complete a sentence to elicit true opinions about a brand.
Context, repo, and ice breaking – 10:19….Tum 100 Percent Zinda Ho Anand
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