Session 3. Research Designs
MKTG 3010 MARKETING RESEARCH
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Harley Goes Whole Hog (p 67-68)
What was the management decision problem?
What was the marketing research problem?
How did they arrive at the problems?
What are the components of the broad statement?
What theory was used in developing the approach?
Give an example of the research question and the
hypotheses related to it.
What information is identified to be needed?
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Grade Descriptors
Grade Overall Course
3
A
Outstanding performance on all learning outcomes.
A-
Generally outstanding performance on all (or almost all) learning
outcomes.
B
Substantial performance on all learning outcomes, OR high performance
on some learning outcomes which compensates for less satisfactory
performance on others, resulting in overall substantial performance.
C
Satisfactory performance on the majority of learning outcomes, possibly
with a few weaknesses.
D
Barely satisfactory performance on a number of learning outcomes
F
Unsatisfactory performance on a number of learning outcomes, OR failure
to meet specified assessment requirements.
Marketing Research Process
Step 1: Defining the Problem
Step 2: Developing an Approach to the Problem
Step 3: Formulating a Research Design
Step 4: Doing Field Work or Collecting Data
Step 5: Preparing and Analyzing Data
Step 6: Preparing and Presenting the Report
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The Process of Defining the Problem and
Developing an Approach
Tasks Involved
Discussion
with
Decision Maker(s)
Interviews
with
Experts
Secondary
Data
Analysis
Qualitative
Research
Environmental Context of the Problem
Step I: Problem Definition
Management Decision Problem
Marketing Research Problem
Step II: Approach to the Problem
Objective/
Theoretical
Foundations
Analytical
Model: Verbal,
Graphical,
Mathematical
Research
Questions
Hypotheses
Step III: Research Design
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Specification
of
Information
Needed
Step 3: Research Design
– Determine the ways to collect data
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Definition
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A research design is a framework or blueprint for
conducting the marketing research project.
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It details the procedures necessary for obtaining the
information needed to structure or solve marketing
research problems.
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Basic Research Designs
Exploratory
• Flexible
• Versatile
• Often the front end of total research design
Descriptive
• Preplanned and structured design
• Marked by the prior formulation of specific
hypotheses
Causal
• Manipulation of one or more independent
variables
• Control of other mediating variables
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A Comparison of Basic Research Designs
Exploratory
Descriptive
Causal
Objective:
Discovery of ideas
and insights
Describe market
characteristics or
functions
Determine cause
and effect
relationships
Characteristics:
Flexible, versatile
Methods:
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Marked by the prior
Manipulation of
formulation of specific independent
hypotheses
variables, effect
on dependent
Often the front end Preplanned and
variables
of total research
structured design
design
Control
mediating
Expert surveys
Secondary data:
variables
Pilot surveys
quantitative analysis
Focus group
Surveys
Experiments
Secondary data:
Panels
qualitative analysis Observation and other
qualitative research data
Uses of exploratory research
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In the 1st and 2nd stages of the marketing
research process:
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Used when the research question is still fluid or
undetermined.
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Formulate a problem or define a problem more
precisely
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Gain insights for developing an approach to the
problem
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Help delineate the dependent and independent
variables
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Develop hypotheses
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Methods of Exploratory Research
Literature search;
Secondary data analysis
Qualitative Research
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Experience survey, Expert survey
Focus group.
Depth interviews
Projective techniques
Ethnographic methods (last week)
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the detailed observation of consumers during their ordinary daily
lives using direct observations, interviews, and video and audio
recording.
Case studies
Exploratory Research:
1. Secondary Data
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Primary Data vs. Secondary data
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Primary data are originated by a researcher for
the specific purpose of addressing the problem
at hand. The collection of primary data involves
all six steps of the marketing research process.
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Secondary data are data which have already
been collected for purposes other than the
problem at hand.
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How to use data to make a hit TV show?
https://www.ted.com/talks/sebastian_wernicke_how_to_use
_data_to_make_a_hit_tv_show#t-251588
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Questions –
1.
2.
3.
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What type of data did Roy Price use to make
the decision?
What type of data did Ted Sarandos use to
make the decision?
What can we learn from the cases? (good or
bad of using data?)
Reminder 
Secondary data must be considered first before
any decision to undertake primary data
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Be critical with secondary data
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Why, what, when, how, dependable?
Homework -- An Unusually Crowded
Summer Box Office, in Charts
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Read the article in attachment and answer the following
question:
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Provide a description of Figure 1?
What’s the difference between Figure 1 and Figure 2?
Why we create Figure 2?
What is “endogeneity”? What is the “endogeneity” problem in this
context?
What are the explanations for the crowded summer box office?
Which one is more plausible? Why?
Shall we release the new movie in summer?
Exploratory Research:
2. Qualitative Research
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Qualitative research is one type of
exploratory research
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It results in primary data
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Primary Data: Qualitative vs. Quantitative
Research
Objective
Qualitative Research
Quantitative Research
To gain a qualitative
understanding of the
underlying reasons and
motivations
To quantify the data and
generalize the results from
the sample to the
population of interest
Just like the difference between exploratory and descriptive research!
Sample
Small number of nonrepresentative cases
Large number of
representative cases
Data Collection
Unstructured
Structured
Data Analysis
Nonstatistical
Statistical
Outcome
Develop an initial
understanding
Recommend a final
course of action
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Classification of Qualitative Research
Procedure
Qualitative Research
Procedures
Direct
(Nondisguised)
Focus
Groups
Association
Techniques
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Indirect
(Disguised)
Projective
Techniques
Depth
Interviews
Completion
Techniques
Construction
Techniques
Expressive
Techniques
I. Focus Group
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Watch the video and answer the following
questions:
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What is Focus Group?
What is the advantage of using Focus Group?
What is the disadvantage of using Focus
Group?
Focus Group
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An interview conducted by a trained
moderator among a small group of
respondents in an unstructured and natural
manner.
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A Group Discussion
Generate insights into thoughts and feelings
Best for preliminary research
Focus Group
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Advantages:
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Richness of data
Versatility
Impact on managers
Disadvantages:
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Lack of generalizability
High cost per respondent ($3,000-$5,000 per focus
group)
Difficult to moderate
Potentially misleading data
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Conformity and Cultural Influence
II. Depth Interviews
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Like focus groups, depth interviews are an
unstructured and direct way of obtaining
information.
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Unlike focus groups, however, depth interviews
are conducted on a one-on-one basis.
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Major Difference between Focus Group and
Depth Interview
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Group Interaction
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On one side: One answer could trigger unexpected
reaction from others
The other side: Conformity
III. Projective Techniques: Word Association
What is the first word that comes to your
mind when you hear the following…
 Apple
_____________
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Samsung
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Nokia
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Motorola
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_____________
_____________
_____________
Projective Techniques: Sentence Completion
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People who use Master Card are
_________.
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A man who has an American Express is
_________.
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A Platinum Card is most liked by
_________.
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Projective Techniques: Construction
Techniques
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Ask subjects to draw cartoons and write about
the subject of interest
(or in a more sub
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TV Characters
Find out what types of characters the
audience like or dislike.
 How?
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The Girl With the Gun (WSJ, Sep 2, 2012)
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Back ground: Network executives regularly commission market research to find out what
types of characters viewers like or dislike.
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Client: The CW network, known for such soapy female-targeted shows as "Gossip Girl"
and "90210“. More than 60% of the network's viewers are women, mostly between the
ages 18 to 34.
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Researcher: Trendera, a market research and trend forecasting firm
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Research Question: what women in their 20s and 30s want.
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Research Method: Market researchers asked groups of 10 to 12 women gathered at local
coffee shops or a friend's house as well as in traditional focus groups in New York, Los
Angeles, Chicago, Atlanta, and Denver to make collages of magazine images they liked.
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Findings:
 They chose Jennifer Aniston paddle
boarding over actresses lying on the
beach in bikinis. They preferred beer to
wine or fruity pink cocktails and gravitated
to toned athletes in fitness magazines
over models in evening gowns.
 They also thought men had gotten
wimpier and associated the opposite sex
with the bumbling losers played by Jonah
Hill and Seth Rogen in recent romantic
comedies.
Implications:
 "It was obvious that these women feel like
they have to take charge and be the
hero," says Jane Buckingham, president
of Trendera.
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So, what did they create?
http://online.wsj.com/article/SB10001424052748703882304575465672667170524.html
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Projective Techniques: Expressive
Techniques
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Role Playing: Subject is asked to act out
someone else’s behavior in a specified setting.
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Examples:
A customer is trying to return an item and does not have a receipt. The customer
insists on a cash refund but store policy clearly states that all returns must be
accompanied by a receipt. The store manager is only permitted to allow store credit
in these circumstances. The customer is irate. What would you do if you were the
store manager in this situation?
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Projective Techniques: Expressive
Techniques
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Third-Person Technique: Subject is asked to
verbalize how a third person (such as a neighbor
or friend) would react to a specific question.
For example: sensitive questions
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Drug use
What Will the Neighbors Say?
A study was performed for a commercial airline to understand why some people do not
fly. When the respondents were asked, "Are you afraid to fly?" very few people said
yes. The major reasons given for not flying were cost, inconvenience, and delays caused
by bad weather. However, it was suspected that the answers were heavily influenced by
the need to give socially desirable responses. Therefore, a follow-up study was done. In
the second study, the respondents were asked, "Do you think your neighbor is afraid to
fly?" The answers indicated that most of the neighbors who traveled by some other
means of transportation were afraid to fly.
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Projective Techniques
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Advantages
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may elicit responses that subjects would be unwilling or
unable to give if they knew the purpose of the study
helpful when underlying motivations, beliefs and
attitudes are operating at a subconscious level
Disadvantages
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interpretation
Descriptive Research
1.Survey
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Classification of survey methods
Survey Methods
Telephone
Traditional
Telephone
ComputerAssisted
Telephone
Interviewing
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Personal
Mail
Electronic
In-Home
Mail Panel
E-Mail
Mall Intercept
Mail/Fax
Interview
Internet
ComputerAssisted
Personal
Interviewing
South Korean Soap Operas: Just Lowbrow
Fun? (WSJ, Jul 23, 2013)
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Researcher: Seoul National University
Research Method: Survey
Sample: 400 people aged between 20 – 60 in China in January
Approach: divided viewers’ tastes into categories according to the levels of
income and education.
Findings:
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1. the main audience for South Korean series tends to be less educated and have less
income than viewers that prefer programs from other countries.
2. The high-education-and-high-income group showed a preference for the subject
matter’s novelty, fast pace and suspense — often found in U.S. TV shows, the report
said.
3. “The Big Bang Theory” was the most popular feature for fans of American TV.
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Implication: What is it about South Korean TV soap operas that appeals to
foreign audiences? it’s because it’s lowbrow entertainment.
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The report also offers a caveat: highly-educated and high-income viewers
may conceal their fondness of lowbrow entertainment.
(http://blogs.wsj.com/korearealtime/2013/07/23/south-korean-soap-operas-just41
lowbrow-fun-2/)
Advantage of survey research
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Ease: Questionnaires are relatively easy to
administer.
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Reliability: Using fixed-response (multiple-choice)
questions reduces variability in the results that may
be caused by differences in interviewers and
enhances reliability of the responses.
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Simplicity: It also simplifies coding, analysis, and
interpretation of data.
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reliability: the measure produces similar results
under consistent conditions
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Disadvantage of survey research
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Respondents may be unable or unwilling to
provide the desired information.
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Structured data collection involving a
questionnaire with fixed-response choices may
result in loss of validity for certain types of data,
such as beliefs and feelings.
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Properly wording questions is not easy.
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validity: the degree to which the tool measures
what it claims to measure.
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Methods of improving response rate
Methods of Improving Response Rates
Prior
Notification
Incentives
Monetary
Prepaid
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Follow-up
Nonmonetary
Promised
Other
Facilitators (e.g.
personalization)
Descriptive Research
2.Observation
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Observational Research
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Observation involves recording the
behavioral patterns of people as well as
data on objects and events in a systematic
manner to obtain information about
phenomenon of interest.
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A Classification of Observation Methods
Observation Methods
Personal
Observation
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Mechanical
Observation
Audit
Content
Analysis
Trace
Analysis
Relative Advantages of Observation
Actual behavior vs. intended or preferred
behavior
 No reporting bias, and potential bias
caused by the interviewer
 Certain types of data can be collected only
by observation (example?)
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The hand-washing habits of Americans.
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The study, conducted every few years, was released by the American
Society for Microbiology and the American Cleaning Institute at a
microbiology conference in Boston.
Some subjects were asked about their washing habits in telephone
interviews; others were watched by undercover observers in public
restrooms.
The researchers, from Harris Interactive, stood in restrooms while
pretending to fix their hair or put on makeup, said Brian Sansoni, a
spokesman for the American Cleaning Institute, a trade group for producers
of cleaning products. “After they took care of business, the observer checked
whether or not they actually washed their hands,” Mr. Sansoni said.
Only about two-thirds of the men observed washed their hands after using
the restroom at Turner Field — the lowest rate for any of the locations cited
in the study.
20 percent of people using the restrooms at Pennsylvania Station and Grand
Central Terminal in New York did not wash their hands.
Women tended to be more responsible hand-washers than men — and
female Braves fans were no exception: 98 percent of women observed
at Turner Field exercised proper hygiene before exiting the restroom.
49Many, ‘Washroom’ Seems to Be Just a Name – NYT (2010))
(For
Relative Disadvantages of Observation
Little is known about the underlying
motives, beliefs, attitudes, and preferences.
 Time-consuming and expensive
 May be unethical
 It is best to view observation as a
complement to survey methods, rather
than as being in competition with them.
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Science of Shopping
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Cameras and Software that Track our
Shopping Behavior
(https://www.youtube.com/watch?v=NG4lFmSO7VQ)
(https://www.youtube.com/watch?v=Dm6kPvJQTPI)
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Questions –
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3.
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What research design is used in the video?
What questions can be answered based on
the collected data?
Any comment?