The Final Research Report: Part III Team ASK: Andy Adamson, Courtnee Davis, Keisha Moss, Andrew Rounds & Shelby Unruh SC 3953: Research Methods for Strategic Communications 1 Memo To: Coca-Cola Company From: Andrew Adamson, Psychesha Moss, Courtnee Davis, Shelby Unruh and Andrew Rounds CC: Kenneth Kim Date: November 21, 2011 Re: Agency Proposal for Conducting Quantitative Research This memo comes to present you with the Research Agency’s proposal for conducting primary research. In the following up to our secondary research findings, we are pleased to present you with our plan for planning and developing a quantitative research program that will supplement our efforts to better understand the college student market’s attitude toward Coca-Cola Classic. Background Coca-Cola Classic has continually focused its advertising and marketing campaigns on portraying a “classic” product that is ultimately delicious and refreshing. We first conducted secondary research in order to gain a better understanding of our current target market and its needs regarding soft drinks, specifically Coca-Cola Classic. By utilizing databases such as MRIPlus and Hoovers, secondary research allowed us to be able to direct our efforts to collecting information concerning the product and campaign perceptions of numerous soft drink brands including CocaCola Classic and its competitors as well as take a closer look at the product needs and desires of our target consumers. MRIPlus.com provided the data that the current target market of Coca-Cola Classic consumers within the last 6 months are adults between the ages of 18-49. The total included 133,917,000 people and 66,781,000 men ages 18-49. The target market included Caucasians who were married that lived in the southern region of the United States. Other demographics to describe the current market would be that the household income included families earning $75,000-$149,000 annually who graduated from college. We then used the data collected during our secondary research to develop a plan for primary research. Our qualitative research approach in the form of a focus group led us to better understand our target consumers, specifically their perceptions of soft drinks. The focus group led us to a collection of findings with respect to attitudes toward Coca-Cola Classic, soft drink product positions, effectiveness of advertisements of Coca-Cola Classic and competitors as well as the purchasing and consumption habits of our participants. After the completion of qualitative 2 research, we have made adjustments regarding our focus toward the research problem, reflecting the data gathered during the course of our research. Qualitative Research Problem To better understand the target consumers, adults between the ages of 18 and 24, we the research team, must conduct primary research that will help us to better understand problem symptoms in the market and ideally lead us to develop a solution for them. Coca-Cola is a leader in a competitive soft drink market featuring a variety of options such as Pepsi, Dr. Pepper and Sprite. According to the data, Pepsi is Coca-Cola’s main competitor, and in most target markets Coca-Cola exceeds Pepsi in sales and consumers. However, Coca-Cola experiences a lower sales index than typical for the product within the Midwest region. In order to understand why Coca Cola has an index of 85 and Pepsi has an index of 120 in that particular region and due to a lack of existing prior information, we must understand the core problems experienced by Coca-Cola Classic in this area, be it in communication or perception, ideally resulting in insight toward solving our problem. Our quantitative research will use the information we have previously gathered and further evaluate Coca Cola product and campaign perception, the needs, wants, habits and attitudes of the selected target market toward the topic of soft drinks, as well as product and campaign perceptions of Pepsi and other prominent competitors. Research Method The quantitative research that will be used for this portion of our investigation is a questionnaire, a widely used research method. A questionnaire allows us to reach a larger group of the target market efficiently and gather the appropriate information to further analyze the results. In the initial stages of recruiting, each research team member will be responsible for distributing ten questionnaires each to members of our target audience, college students ages 18-24, totaling 50 questionnaires. The questionnaire will detail a spectrum of questions regarding several aspects of our research including attitudes, preferences, perceptions and similar items. It is important to execute the questionnaires because the information gathered from our target market can help our research team to develop a clear understanding of why the problems within our market exist and how to effectively eliminate or alleviate them. After collecting the questionnaires, we as a team will input the information from the questionnaires into the SPSS data program for further analysis. After utilizing the program and its benefits, we will apply the knowledge gained from our research and attempt to create a plan in a report format for the Coca-Cola Company to implement, ideally improving sales and overall attitudes toward the product. Research Sample & Recruiting Each member of our research team is responsible for distributing, administering and collecting 10 questionnaires each, with a final total of 50 questionnaires. The participants in our quantitative research will be recruited from several locations on campus including both males and females that fall between the ages of 18 to 24 years old. The participants can be classmates, friends, roommates, co-workers etc. Each participant must be a college student, but there is no specification of class. The 3 participants must have at some point purchased and/or consumed soft drinks or products pertaining to Coca-Cola Classic. Research Instruments For recruiting purposes we have created a participation informed consent form, containing the purpose and procedures of the quantitative research as well as their rights as participants. The information sheet lists contact information for the investigators if at any time participants have any questions or concerns. After each participant has read the informed consent form and agreed to the conditions stated, they will receive a copy of the questionnaire to complete. The questionnaire contains a series of 28 questions regarding several aspects of soft drinks in order to better understand our target market. First, we would like to approach the attitude of our participants toward Coca-Cola and its advertisements. Attitude has been defined as one’s predisposition to respond favorably or unfavorably to the particular product as well as an advertisement. Attitude toward Coca-Cola Classic product could be observed by asking the respondent to rate their feelings toward Coca-Cola Classic by means of bipolar adjective anchors. For this observation, we would like to use an interval level question, specifically a semantic differential type. This would allow us to gauge the attitudes toward our specific product. Next, we would use another interval level question, specifically utilizing a likert scale to indicate agreement or disagreement. This would allow us to understand the opinions of our participants in response to Coca-Cola’s advertisements. Third, we would like to closely explore the needs and wants of our participants in regards to soft drink attributes. Needs have been defined as the lack of something wanted or deemed necessary. Needs and wants in soft drinks could be observed by asking participants to rank their preference of qualities of soft drinks such as taste, price and brand name. For this observation, we would like to use an ordinal level question where participants can rank their preferences with a number scale. This would allow us to see what qualities our participants value when purchasing and consuming soft drinks. Finally, we would like to determine the degree in which our competitors’ presence compares to that of Coca-Cola Classic. Competition has been defined as a contest for some prize, honor or advantage. Competition could be observed by asking participants to allocate a sum between several soft drink options based on likelihood of consuming that beverage when presented with the choice. This will allow us to interpret the level of existence our competitors have established in comparison to Coca-Cola Classic. As a research team, we feel that this investigation with the successful application of research methods will lead us to a deeper comprehension of our participants’ beliefs and opinions. Project Timetable -Research proposal approved by the client November 21] -Research instruments receive final approval [Monday, [Wednesday, November 23] 4 -Participant recruiting, administration of questionnaires for completion [November 23- December 2] -Input collected data into SPSS, analysis of findings [December 3-December 7] -Create final report in addition to collected data [December 7-December 9] -Submit final report [December 12] Next Steps We look forward to meeting with you to review this proposal and address any concerns you might have about the design or the proposed budget. In the interim, please feel free to contact us should questions arise before that time. 5 Participant Information Sheet OKLAHOMA STATE UNIVERSITY PROJECT TITLE: College students’ perceptions of soft drinks INVESTIGATORS: Andy Adamson, Courtnee Davis, Keisha Moss, Andrew Rounds, Shelby Unruh, [Students, School of Media & Strategic Communications, Oklahoma State University] PURPOSE: The current research study attempts to explore how college students perceive specific brands of soft drinks, attitudes regarding soft drinks and particular brands, their consumption habits, and purchasing behavior. PROCEDURE: The questionnaire will involve exposure to informational questions about soft drinks. Each participant is asked to complete the questionnaire according to his or her feelings or beliefs regarding the questions asked. The questions will relate to soft drink preferences, attitudes, as well as purchasing and consumption habits. The questionnaire is designed to take approximately 15 minutes to complete in full. RISKS OF PARTICIPATION: There are no risks associated with this research study, including stress, psychological, social, physical or legal risk which are greater, considering probability and magnitude, than those ordinarily encountered in daily life. If, however, you begin to experience discomfort or stress in this research study, you may end your participation at any time. BENEFITS OF PARTICIPATION: You may benefit by learning about advertising research from a participants perspective, as well as learning about issues that influence audience perceptions of advertising messages. CONFIDENTIALITY: All information about you will be kept confidential and will not be released. Questionnaires and record forms will have identification numbers, rather than names, on them. Research records will be stored securely and only researchers and individuals responsible for research oversight will have access to the records. This information will be saved as along as it is scientifically useful; typically, such 6 information is kept for five years after publication of the results. Results from this study may be presented at professional meetings or in publications. You will not be identified individually; we will be looking at the group as a whole. It is possible that the consent process and data collection will be observed by research oversight staff responsible for safeguarding the rights and wellbeing of people who participate in research. COMPENSATION: No incentive by principal investigator will be offered to respondents for completion for questionnaire. CONTACTS: If you have questions about the study or the procedures, you may contact the researchers, Andy Adamson, andrew.adamson@mail.okstate.edu; Courtnee Davis, courtnee.davis@mail.okstate.edu; Keisha Moss, keisha.moss@mail.okstate.edu, Andrew Rounds, andrew.rounds@okstate.edu, or Shelby Unruh, shelby.unruh@mail.okstate.edu. If you have questions about your rights as a research volunteer, you may contact Dr. Shelia Kennison, IRB Chair, 219 Cordell North, Stillwater, OK 74078, 405-744-3377 or irb@okstate.edu PARTICIPANT RIGHTS: Your participation in this research is voluntary. There is no penalty for refusal to participate, and that you are free to withdraw your consent and participation in this project at any time, without penalty. 7 Q1. Think about the soft drink product, Coca-Cola Classic. Please react to it on each of the scales below. For each question, please check the box that best reflects your thoughts and feelings. Coca-Cola Classic is… (Q1A) UNAPPEALING 1 2 3 4 5 6 7 APPEALING 1 2 3 4 5 6 7 SATISFYING 1 2 3 4 5 6 7 SWEET 1 2 3 4 5 6 7 SMOOTH 1 2 3 4 5 6 7 TASTY 1 2 3 4 5 6 7 HEALTHY 1 2 3 4 5 6 7 CLASSIC 1 2 3 4 5 6 7 STIMULATING 1 2 3 4 5 6 7 CURRENT 1 2 3 4 5 6 7 INVITING (Q1B) UNSATISFYING (Q1C) BITTER (Q1D) ROUGH (Q1E) BLAND (Q1F) UNHEALTHY (Q1G) TRENDY (Q1H) DEPRESSING (Q1I) OUTDATED (Q1J) UNINVITING 8 Q2. Please give us your feelings toward Coca-Cola Classic on the scale (0-100) below. Ratings between 50 and 100 degrees mean that you feel favorable and warm toward the product. Ratings between 0 and 50 degrees mean that you don’t feel particularly favorable toward the product. Scale: 0 (unfavorable)-------------------------50-------------------------100 (favorable) Write the number of degrees here: _____________________ Q3. Please indicate how many soft drinks you consume in a typical week. Write the number of soft drinks here: __________________ Q4. Please indicate how many soft drinks you consume on a daily basis. Write the number of soft drinks here:___________________ Q5. Please give your feelings about the political ad you read on each of the scales below. For instance, “1” indicates “not at all” and “7” indicates “very much”. Please circle your answer. (Q5A). How convincing are Coca-Cola’s advertisements? NOT AT ALL 1 2 3 4 5 6 7 VERY MUCH 6 7 VERY MUCH 6 7 VERY MUCH (Q5B). How appealing are Coca-Cola’s advertisements? NOT AT ALL 1 2 3 4 5 (Q5C.) How interesting are Coca-Cola’s advertisements? NOT AT ALL 1 2 3 4 5 (Q5D.) How favorable are you toward Coca-Cola’s advertisements? 9 NOT AT ALL 1 2 3 4 5 6 7 VERY MUCH 7 VERY MUCH (Q5E). How much do you like Coca-Cola’s advertisements? NOT AT ALL 1 2 3 4 5 6 Q6. Please rank the following soft drink attributes in terms of your opinion of importance when purchasing and consuming soft drinks. (1=Least important to 6=Most important) TASTE BRAND PRICE CONVENIENCE AVAILABILITY NUTRITIONAL __________ __________ __________ __________ __________ __________ Q7. The following soft drinks are popular products in the beverage industry. Allocate 1000 between the drinks based on your likelihood of consuming these soft drinks in the beverage market. (Make sure your results total 1000). Coca-Cola Classic Diet Coke Dr. Pepper Diet Dr. Pepper Pepsi Diet Pepsi Sprite Mountain Dew ___________ __________ ___________ __________ __________ __________ __________ __________ Q8. Please fill in the following basic information about yourself. 8A. How old are you? Write in the number: _____________________ 8B. What is your gender. Please circle. (1) Female (2) Male 8C. Which best describes your political affiliation? Please circle. (1) Democratic (2) Republican (3) Independent or other 10 8D. What is your ethnic background? Please check. White, not Hispanic ________ Hispanic, of any race ________ Black, not Hispanic _________ Asian or Pacific Islander _________ American Indian, Eskimo, or Aleut _________ Other _________ 8E. Which class do you consider your family to be among the following five categories? Working Class __________ Lower Middle Class _________ Middle Class _________ Upper Middle Class __________ Upper Class _________ 8F. Which classification in school do you belong to? Freshman _________ Sophomore _________ Junior _________ Senior _________ Graduate Student _________ 8G. What is your academic major? ______________________________________________________________ -THANK YOU- 11 The Final Report Our research agency conducted an online survey consisting of 10 questions in ratio, interval, ordinal, nominal and open-ended question formats that we used as a part of our quantitative research process. We used quantitative measures to further discover insight about Coca-Cola’s target market of 18-24 year old college co-eds following our focus group. The focus group pointed out several themes such as Coca-Cola can evoke a feeling of happiness among consumers, as well as the importance of taste and the individuality that goes with choosing a soft drink brand. With these findings in mind, we focused our survey on uncovering more in-depth information about the themes and the way the target market utilizes them. Fifty-one participants answered the survey. Of the participants, 37 were women and 14 were men. Among the seven options given, Coca-Cola was perceived as more appealing to the participants of the survey five out of seven times; with only Dr. Pepper and Sprite both chosen as more appealing than Coca-Cola. Taste was found to be the most important factor in the decision making process, while nutrition was the least important. We also found that Dr. Pepper was the number one choice for personal choice consumption among participants, with Coca-Cola coming in close second. Pepsi and Diet Pepsi were the least favorites among the seven choices. Also, 20 to 50 percent of participants considered Coca-Cola’s advertising campaigns to be convincing, appealing or interesting. We experienced a few limitations during the course of our quantitative research. Our original survey could not be distributed due to the SPSS not functioning correctly. We were forced to adapt the survey and put it into an online 12 format. We had to decrease our questions to a total of ten as the program limited the number of possible questions. We could not gather all of the desired information from the original survey, but made necessary changes to the online format and distributed the survey accordingly. With the primary data collected from our quantitative research we suggest to the Coca-Cola marketing team to emphasize Coca-Cola as a unique, personal choice for a soft drink, to focus on Dr. Pepper more as a competitor than Pepsi, as well continue with the happiness-style campaign, and emphasize Coca-Cola as the tasty beverage the target consumers can relate to and want to cure their thirst. We also discovered that nutrition was not that big an issue as we previously thought after our focus group. It is more of indirect problem- consumers of drinks such as Sprite (clear, non caffeinated drinks) and Diet Pepsi (low calorie drinks) typically consume those types of beverages for different reasons than an avid consumer of Coca-Cola, Dr. Pepper, and Pepsi. College students are a unique market, just like any other market, and throughout the course of our research, we have gained a better understanding on how they decide to choose brands of soft drinks and their consumption and buying habits, which should help the Coca-Cola marketing team focus its campaign strategies successfully toward attracting the target market. 13