exam review

benefits versus costs

• long term costs and long-term benefits. the benefits do out weight the costs

routine decision

• routine: making the iPhone bigger with each release

• non-routine: making a new phone and deciding what to put on it

exploratory

• exploratory = don’t know/beginning to explore

descriptive

• descriptive = survey, large sample

• when completed, you decide whether or not to move onto causal

• causal can be either test market or experiment

steps in research:

1. exploritory

2. descriptive

3. causal

study:

• process

• exploratory research

implicit assumptions is when my questions don’t specify consequences.

• do you like the new coke better? but not telling them that yes would mean the old one would disappear.

lecture: intro to research

• marketing research (definition): specifies information; designs the method for collectng information; manages the data collection process; analyzes and communicates the results

• when to use/not use research:

  • time constraints: is there time?

  • data avilability: lack adequate info?

  • routine vs. non-routine decision

  • benefits versus costs

lecture: research design

• types of research designs: exploratory, descriptive, causal

• exploratory: focus groups with current and previous customers; “why are sales declining”; to narrow down options, we needed to research several new concepts for consumer reaction

• descriptive: online questionaire; “what is the major problem”; needed to research attitude/execution to most popular new concepts

• causal: experiment/test market; “will my sales be higher if i improve customer service”; needed to field test most popular concept

lecture: research process

• research process:

  1. the research problem/opportunity

  2. creating the research design

  3. choosing the basic mnethod

  4. selecting the sampling procedure

  5. collecting the data

  6. analyze the data

  7. prepare the research report/presentation

• step 1: the research problem/opportunity: identify a clear cut statement of the marketing research “problem”; look at past research; may need to conduct exploritory research

  • what information is needed to make the decision?

  • does the information exist?

  • why is the information needed?

  • how will the info be used?

  • should research be conducted?

• step 2: research design: master plan to answer the research objectives

  • exploritory

  • descriptive

  • causal

  • what type of research design best addresses the research problem?

• step 3: choosing a basic method: chosing a method for each type of research

  • exploratory: focus groups, projective techniques, depth interviews

  • descriptive: surveys

  • causal: experiments, test markets

  • what methodology best addresses the research questions?

• step 4: sampling: who is to be sampled?; how large a sample?; how to choose?

• step 5: data collection: when the researcher collects the data; research design determines the method; consistent

  • how will the data be gathered?

  • who will gather the data?

  • how much supervision is necessary?

  • how to ensure quality?

  • focus groups: creative research

  • questionnaire: market facts

  • test market": through restaurant managers who agreed to test it

• step 6: analysis:

  • editing: checking the data for errors or omissions

  • coding: to format the data for analysis

  • analysis: logically summarizing the data; statistical analysis; determined by research design

  • what are the rules for codeing/editing?

  • what analysis techniques to use (why)?

  • focus groups: summary of themes

  • questionnaire: percentages, crosstabs

  • test market: changes in sales $ of salad bar

• step 7: research report/presentation: interpret information; draw conclusions

  • sections: background, definition of problem, methodology, research results, conclusions

  • who will read the report?

  • how will the report be structured

lecture: qualitative and quantitative

• qualitative: unstructured exploritory research methodology; to provide insight and understanding; to understand a universe; usually uses small samples

  • the answer is usually in the form of a word

  • i want to understand the criteria that people use to choose a restaurant: answers convenience and price

  • real life example: wal-mart was coming into Canada and they would be compition for shoppers drug mart; focus group: what are peoples perceptions of wal-mart?

• quantitative: a research methodology that seeks to quantify data; applies statistical analysis; used to generalize to the population

  • the answer is usually in the form of a number

  • i want to know what percentage of the population ist price as the key criteria: answer, 50% of the population list price as #1

  • real life example: online survey; have you eaten McDonald’s in the last month?

lecture: research problem and proposal

• the research proposal: a written statement of the research design

  • why research is needed?

  • what are the main objectives of the research?

  • what methods will be used to find the answers?

  • who will the research be preformed with?

• title: imaginative, cleverl, about the project, not obvious

• background information: small introduction; industry, competitor, company; what events have led up to the need for this research project?

• statement of the marketing problem: what is the main research question?; brief; to the point; 1-3 sentences

• research objectives: elaborate on marketing problem; detailed questions that will help you answer the main research questions

• methodology: what methodology used for each objective?, why?, more than one methodology

• methodology review:

  • secondary; exploratory, data that is already out there that you use in the same format as it appears, like census data or mediamark

  • qualitative: exploratory, small samples, answers in words, focus groups, depth interviews, collecting some data about competitiors (like products they sell and price)

  • quantitative: descriptive, large sample, representative statistical results, surveys

• for each methodolgy:

  • with whom?

  • why?

  • how many?

  • be as specific as possible

• schedule: the schedule of when different phaes of the research will take place

• budget: what is the toal breakdown of costs for the research?

lecture: exploratory research

• direct: you directly ask the respondent what you want to know

• indirect: use it when you think they’ll answer truthfully

  • you indirectly ask the respondent a question

  • respondent doesnt know what question is really about

• types of exporatory research: secondary, experience surveys, case studies, focus groups, depth interviews

• when to use exploratory: clarify a problem/issue, screen alternatives, to discover ideas

• secondary research: useful data gathered for some other purpose

  • advantages: time, cost, convenience

  • disadvantages: unavailable, fit/relevance (wrong units, wrong class definitions, out of date)

  • accuracy: source, original purpose, quality (when and how; consistent with other info)

• primary research: data gathered specifically for the purpose at hand

• experience surveys: interviews with knowledgeable people

• case studies: write up an exemplary case

• focus groups: a semi-structured, free-flowing interview with a small number of people; key is interaction. the response of one person may be the stimulus for another

  • group composition: target/competitor market; 6-10 people; homogeneous people

  • environmental conditions: commercial or hotel; board room vs. living room; video cameras; voice recorders; one way mirror

  • online focus group:

    • advantages: easier to organize, cost less, faster to set up, easier to bring together people, more anonymous—better insights

    • disadvantages: rapport, body language, good dynamics may differ: limits discussion, skills of moderator

• focus group moderator: quick learner, friendly leader, knowledgeable but not all-knowing, excellent memory, good listener, a facilitator — not a performer, flexible, empathic, a “big picture” thinker, a good writer, prepared (discussion guide), objectivity

• depth interviews: an unstructured direct personal interview in which a single respondent is probed by a highly skilled interviewer to uncover underlying motivations, beliefs, attitudes, and feelings

  • one on one

  • 30 minutes to an hour

  • applications: detailed probing, confidentiality, social norms, professional people, competitors, no influence of others

• projective techniques: an unstructured and indirect form of questioning that encourages respondents to project their underlying motivations, beliefs, attitudes, and feelings regarding the issues of concern

  • advantages: real response

  • disadvantage: harder to interpret

  • need someone trained

  • costly

• types of projective techniques: asociation techniques, completion techniques, and construction techniques

  • association: stimulus/response, analysis, frequency, content, time

  • completion: respondents asked to complete an incomplete stimulus; cartoon test, sentence completion, story completion

  • construction: build for meaning, image/collage building, consumer drawing

lecture: descriptive research — error slides

• cross sectional study: measured once, snapshot

• longitudinal study: measuring sample repeatedly; true panel, omnibus panel

• random sampling error: the difference between a census and a sample. the only way to reduce it is to increase the sample size. because youre only talking to a sample, by chance, some people will be excluded

• systematic error: every other error besides random sampling error. error in the research proccess; bad sample, bad questions, respondent lies on answers, administrative error, etc.

• response bias: when people dont answer truthfully

  • deliberate falsification: lie

  • unconscious misrepresentation: want to tell you the right answer but get it wrong

  • reduce by: put categories as answers to sensitive info, put sensetive info at the end of questionnnaire (once they trust you)

• non-response bias: when participants in a sample that respond to a questionnaire are different from those that dont respond, thereby biasing the data

  • reduce: creating a sampling plan to ensure that all people in the sample participate (incentives, flexible hours, call-backs, etc.)

• acquescence bias: respondents choose a response to please the interviewer

  • reduce: more anonymous methods of interviewing (internet, mail, etc.), adjust the answer based on historical data

• extremity bias: when respondent has a monotonous scaling task and just chooses all the same answers down one side of the middle

  • reduce: use an even number of points on your scale, break up the series of scales with other questions

• interviewer bias: when the interviewer influences the respondents answer. this could also include body language and cheating

  • reduce: interviwer training, interviewer selection, spot checks on interviewer in action

• auspices bias: when knowledge of the organization conducting the curvey biases how the respondents answer

  • reduce: use and onjective middleman (research provider) to conduct the surveys

• other errors:

  • use simple words

  • avoid ambiguous questions

  • avoid double barreled questions

  • avoid leading questions

  • be as specific as possible

  • avoid implicit assumptions

lecture: descriptive research — organization of questionnaire

• developing a questionnaire: the collection method will determine the look and structure of your questions and the instructions you must include

  1. determine objectives

  2. determine the data collection method

  3. determine the question/response format for each question

  4. decide on wording

  5. establish flow order, layout, and appearance and instructions

  6. look over the whole questionnaire to evaluate it

  7. pretest

lecture: descriptive research — structure methods

• types of surveys: structured, unstructured, disguised, undisguised

• structured: close ended questions, use when know the universe of answers

• unstructured: open ended questions, use when exploring/dont know all answers

• disguised: respondent doesnt know what research is about, use when you think they will not answer truthfully

• undisguised: respondent knows what research is about, use when they will answer truthfully

• structured undisguised: fixed alternative questions/not exploring, will answer truthfully

• unstructured undisguised: open ended/exploring, think they will answer truthfully

• unstructured disguised: open-ended/exploring, think they will not or cannot answer truthfully, projective methods ( word association, collage)

• structured disguised: indirect questioning

• methods for administrating a questionnaire: personal (face-to-face), telephone, mail, online (or internet)

• personal interview: face-to-face, can also be self administerd, virtual or in person

  • why?: sensory, long interviews, complex quesrtions/complicated tasks

  • why not?: expensive, interviewer influence

  • no anonymity

• telephone interviews:a survey that gathers information through telephone contact with individuals

  • why?: speed, cost, impersonal, can probe

  • why not?: lack of sensory, length

• mail questonnaire: a self administered questionnnaire sent to respondents through the mail

  • why?: hit a wider population, geographical flexibility, low cost, respondent convenience, can send sensory stuff with it, anonymity

  • why not?: low response rate, time, complicated, length

  • improving response rates: cover letter, money/gifts/prizes/donations help, advance notification, personally signed

• online survey

  • why? speed (2-way transmission), data ready, cinvenience, cost, geograohic flexibility

  • why not?: privacy, security, sensory, target population not online, unrestricted sample

lecture: measurement