Objective
Chap. 3
Research Design Formulation
Marketing Research Process
1. Problem Definition
2. Development of an Approach to the Problem
3. Research Design Formulation
I. Research Design: Definition
II. Research Design: Classification
Exploratory / Descriptive / Causal
I. Research Design: Definition
“Do we know what information we need
to get?
If yes,
then let’s think about how we can get the
information.”
4. Data Collection
5. Data Analysis
A framework or blueprint for conducting the
marketing research project.
6. Report Preparation and Presentation
II. Research Design: Classification
Degree
1. Formal Classification
Research Design
Exploratory
Research Design
Conclusive
Research Design
Descriptive
Research
2. Type of research design and degree of
problem definition
Causal
Research
Types
Possible Situation
Ambiguous
problem
Exploratory
Research
“Our sales are declining
and we don’t know why.”
Aware of
problem
Descriptive
Research
“What kind of people are
buying our brand? Who
buys our competitor’s
brand?
Problem
clearly
defined
Causal
Research
“Will buyers purchase
more of our brand in a
new package?”
1
- [1] Exploratory Research
2
- [2] Descriptive Research
2
• Objective: Discovery of insights/guidelines
• Objective: To describe market characteristics
• When: Usually at the initial stages of the marketing
research process
• When: After exploratory research’s been done
or from the first stage of the research
• Method: Secondary data / Expert survey / Pilot survey
• Method: Secondary data / Panels / Survey
• Sample and Question: Small sample & Open-ended
questions
• Sample: Large representative sample
• Remarks: The results are not conclusive.
Findings could be confirmed or falsified by any
of conclusive research.
- [2] Descriptive Research:
2
Cross
- Sectional – Example
• Remarks: The results are conclusive.
Cross-Sectional & Longitudinal
- [2] Descriptive Research:
2
Longitudinal –
Example: cross-sectional data may not show change
Types of cross
- sectional research
SFO Panel : 1,000 people
If the marketing researcher asked those questions to
1,000 people in June, 1990 only once
⇒ Single cross-sectional research design
If he asked the same questions to 1,000 people in June
1990, 1994, and 1998, three times,
⇒ Multiple cross-sectional research design
- [2] Descriptive Research:
2
Longitudinal – Example
Jun. A
2002 B
C
B
300
C
500
Total
1,000
Sep. 2002 ‘what ketchup brand did you purchase?’
A
200
Evaluation
Criteria
Sep. 2002
B
50
100
150
300
A
200
B
300
C
500
Total
1,000
- [2] Descriptive Research: Comparison
2
- Cross- S
ectional vs Longitudinal
Î Brand switching matrix
A
100
50
50
200
Jun. 2002 ‘what ketchup brand did you purchase?’
C
50
150
300
500
200
300
500
1000
Cross-Sectional
Design
Detecting change
Large amount of data collection
Accuracy
Representative Sampling
Response bias
Longitudinal
Design
+
+
+
+
+
2
- [3] Causal Research: Example
2
- Use of Music in Advertising
- [3] Causal Research
2
• Objective: To determine cause-effect relationship
• When: - Usually after exploratory research(or sometimes
descriptive research)’s been done
- When research problem is clearly defined
• Method: Experiment
• Remarks: - The results are conclusive.
- Compared with descriptive research, it gives
relatively clearer suggestion about marketing
decision making.
- [3] Causal Research: Example
2
- Use of Music in Advertising
Results
ROOM 1
50
Ad.
50
Ad.
Comfortable
Uncomfortable
Music:
Asking: “How likely are you to purchase this brand?”
3
I
4
I
Neutral
5
I
Unlikely
6
I
Average:
ROOM 1
ROOM 2
50
Ad.
2
I
• Experiment:
- 100 students in business school
- An ad for a new product [a ball point pen]
- [3] Causal Research: Example
2
- Use of Music in Advertising
Split the students into two groups.
1
I
Extremely
• Hypothesis: The music in the Ad will affect
consumers’ purchase intention.
7
I
Extremely
Likely
ROOM 2
50
Ad.
6.5
3.4
Conclusion:
- Music in ad affects whether consumers want to purchase
the product.
- We conclude that there must be a relationship between
music in the ad and consumer’s purchase intention.
- Can you think of a situation when music may not be a factor?
- [4] Comparison
2
(1) Researcher’s Prior Knowledge
few
Exploratory
Descriptive
much
Causal
Descriptive
clear
Causal
(2) Statement of Problem
unclear
Exploratory
3