MARK205 Marketing Research & Consumer

Insights
Autumn Semester, 2023
Week 3
AGENDA:
• Assignment 1 Discussion & Week 2 Quick Recap
• Qualitative Research (Chapter 6)
 Assignment 1: Research Proposal
 See (uploaded on Moodle) the following attached materials you will
need in order to accomplish this task:

1. Assignment Instructions
2. Case Study: AI in Marketing: Benefits and Challenges
3. Marking Guide
4. Group Peer Evaluation Form
REVISIT: Three Types of Research
Designs
Types of
Research Designs

Exploratory Descriptive Causal

- partially defined - sharply defined
- ambiguous problems problems problems

collecting information research that describes attempt to uncover what

in an unstructured and the phenomena of factor or factors cause
informal manner. interest. some event.
Type Examples
Imagine a company that wants to enter a new market but knows very little
about it. They conduct exploratory research via open-ended interviews
Explorator with potential customers and industry experts to gain a preliminary
y understanding of market trends, customer preferences, and potential
challenges. This research aims to generate insights and hypotheses for
further investigation.
A local grocery store wants to understand the shopping habits of its
customers. They collect data on what products customers buy, how often
Descriptive they visit the store, and their average spending. This descriptive research
summarises and describes the current shopping behavior of their
customers without attempting to explain why these behaviors occur.
A pharmaceutical company develops a new painkiller and wants to
determine if it is more effective than the leading competitor's product.
They conduct a controlled experiment where one group of participants
Causal takes the new painkiller, while another group takes the competitor's
product. Pain relief scores are measured for both groups. In this causal
research, the company aims to establish a cause-and-effect relationship
between the new painkiller and its effectiveness in reducing pain.
REVISIT: Primary Versus Secondary
Data
• Primary data: information that is developed or gathered by the
researcher specifically for the research project at hand.
• Secondary data: information that has previously been gathered by
someone other than the researcher and/or for some other purpose than
the research project at hand.
Element Primary Data Secondary Data
Collection pur-
For the problem at hand For other problems
pose
Collection
Very involved Rapid and easy
process
Collection cost High Relatively low

Collection time Long Short

 Chapter 5:
Qualitative Research
“Not everything that can be
counted counts, and not
everything that counts can be
counted.” ~Albert Einstein
 Learning Objectives
In this chapter you will learn:

• The differences between quantitative and qualitative research techniques

• The pros and cons of using observation as a means of gathering data

• What focus groups are and how they are conducted and analyzed

• What enthnographic research is and its strengths and weaknesses

• To learn how marketing research online communities (MROCs) are used

• Other qualitative methods used by marketing researchers, including in-depth

interviews, protocol analysis, projective techniques, and neuromarketing
The Marketing Research Process: “WHERE WE
ARE”
Step 1: Establish the need for
Step 7: Design data collection forms
marketing research

Step 2: Define the Problem Step 8: Determine the sample plan

and size

Step 3: Establish research objectives Step 9: Collect data

Step 4: Determine the research design Step 10: Analyze data

Step 5: Identify information types and Step 11: Prepare and present the final
sources research report

Step 6: Determine methods of

accessing data
Categories of Research
• Quantitative research: research involving
the use of structured questions in which
response options have been predetermined
and a large number of respondents involved.

• Qualitative research: research involving

collecting, analyzing, and interpreting data by
observing what people do and say.

• Mixed method research: combination of

both quantitative and qualitative research
methods in order to gain the advantages of
both
Qualitative Insights Complement Big Data

https://www.summarize.tech/youtu.be/pk35J2u8KqY?si=BC33KC9Yn38hhA2
P
Qualitative Research
• Research methodology that addresses
research objectives through techniques that
allow the researcher to elaborate
interpretations of phenomena of interest "thick data" -
without depending on numerical precious,
measurement unquantifiable
– focus is on in-depth understanding and insights from actual
people - to make the
insight, rather than on more generalizable
right business
findings associated with quantitative research
decisions and thrive
– Relies more on the skill of the researcher to
in the unknown.
extract meaning that is actionable from
unstructured responses such as text, a
recorded interview, stories from consumers,
web logs, video recordings and transcripts.
 Types of Qualitative Research

Qualitative
Research
Techniques

Marketing
Observation Focus Ethnograph Research
Groups y Online Others
Communities
Observation Techniques
 Observation methods: techniques in Heinz used at-home research
which the researcher relies on his or her for its steam-fresh vegetable
bags. A Heinz spokeswoman
powers of observation rather than
says: ‘It was important to see
communicating with a person in order to how people used the product in
obtain information their home situation when it
– No questioning or communicating with wasn’t precisely prepared in a
people [company] kitchen and observe
– The researcher witnesses and records the sensory aspect of how they
information as events occur, or compiles found the product’.
evidence from records of past events.

 Types of observations:
a) Direct versus indirect
b) Overt versus covert
c) Structured versus unstructured
d) In situ versus invented
 Types of Observation Techniques (1 of 2)
• Direct observation: observing • Covert observation: subject is
behavior as it occurs, e.g., unaware that he or she is being
breakfast rituals observed, mystery shopping, as
an example.
• Indirect observation: observing
the effects or results of the • Overt observation: respondent
behavior rather than the behavior is aware of observation, Nielsen’s
itself People Meters to monitor media
– Archives: secondary sources, to which a consumer is exposed,
such as historical sales records, as an example.
that can be applied to the present
problem CHOOSE IT OR LOSE I
T: MEDIA CHOICE AB
– Physical traces: tangible OUNDS, BUT MANY A
evidence of some past event, MERICANS STAY WIT
e.g., ‘garbology’ – study of trash H WHAT THEY KNOW
Types of Observation Techniques (2 of 2)
• Structured – researcher • In situ observation : the
identifies beforehand which researcher observes the
behaviors are to be observed behavior exactly as it happens
and how the measurements are in its natural environment.
to be recorded. Often there is a Mystery shopping is done is
checklist, e.g., an auditor situ.
performing inventory analysis
• Invented observation: the
in a store.
researcher creates the situation
• Unstructured – The observer or a simulated environment to
monitors all aspects of the understand or improve a
phenomenon that seem relevant phenomena. E.g., a researcher
to the problem at hand, e.g., asking people to make a video
observing children playing with as they try the new toilet
new toys. cleaner.
 Can everything be observed?

E.g., mystery shoppers to come into a store and pretend to

be interested in a particular product or service; after
leaving the store, the ‘shopper’ evaluates the salesperson’s
performance.
Pros and Cons of Observation Data
Advantages Limitations:

• Insight into actual, not reported, • Small number of subjects

behaviors: certain types of data • Subjective interpretations: Selective
can be collected only by perception (bias in the researcher's
observation perception) can bias the data
• No chance for recall error • Inability to pry beneath the
• Better accuracy behavior observed

• Less cost: sometimes • Motivations, attitudes, and other

observational methods may be internal conditions are unobserved
cheaper and faster than survey • Often time-consuming and
methods expensive, and it is difficult to
observe certain forms of behaviour
Focus Groups
• An unstructured, free-flowing interview with a small group of people.
• The group meets at a central location with a moderator who encourages
discussion of a brand, advertisement or new product concept.
• Allows people to discuss their true feelings, anxieties and frustrations in
their own words.
• Traditional focus group: Select 6 to 12 persons and meet in a dedicated
room with one-way mirror for client viewing.
One-way
mirror
How a Focus Group Works
• Moderator: Group size 8 – 12
responsible for
creating the correct Group composi- Homogeneous; respon-
tion dents prescreened
atmosphere in the
group and guiding Relaxed, informal at-
Physical setting
mosphere
discussion
Time duration 1 – 3 hours
• Focus group report:
summarizes the Use of audio and
Recording
information provided video recording
by the focus group Observational, interper-
sonal, and communica-
participants relative to Moderator
tion skills of the moder-
the research questions ator
Newer Focus Groups
• Online focus group: the respondents and/or clients communicate
and/or observe by use of the Internet via virtual room or client room.
– Screening questionnaire is administered first
– Invited participants receive a time, URL, room name and password via email
– Generally has fewer participants than offline focus groups

Advantages: Disadvantages:
– No physical setup is necessary – Observation of participants’ body language
– Transcripts are captured on file in is not possible
real time – Participants cannot physically inspect
– Participants can be in widely products or taste food items
separated geographical areas – Participants can lose interest or become
– Participants are comfortable in their distracted
home or office environments – Only people that have access to the Internet
– The moderator can exchange can participate.
private messages with individual – Verifying that a respondent is a member of
participants a target group is difficult.
– There is lack of general control over the
respondent's environment.
Advantages of Disadvantages of
Focus Groups Focus Groups
• Can generate fresh ideas • Representativeness of participants
(unexpected discoveries)
• Dependence on the moderator
• Allow clients to observe their
participants • Interpretation sometimes difficult
• May be directed at The 5 Ms
understanding a wide variety of
1. Misuse
issues
• Allow fairly easy access to 2. Misjudge
special respondent groups 3. Moderation
• Group insights and ideas 4. Messy
• Fast, inexpensive and easy to 5. Misrepresentation
execute.
When Should Focus Some Objectives of
Groups Be Used? Focus Groups
• Focus groups should be used • To generate ideas
when the research objective is to
describe rather than predict. • To understand consumer
vocabulary – know the right
– How do consumers describe
words/phrases consumers use
a better package?
– How would they describe • To reveal consumers’ motives,
their satisfaction with our perceptions, and attitudes
service? about products or services
– How could they describe • To understand findings from
their ideas for an ad quantitative studies
campaign?
Operational Aspects of Traditional Focus
Groups
• How many focus groups should be conducted?
• How many people should be in a focus group?
• Who should be in the focus group?
• How should focus group participants be recruited and selected?
• Where should a focus group meet?
• When should the moderator become involved in the research project?
• How are focus group results reported and used?
• What other benefits do focus groups offer?
Marketing Research Online Communities
• Marketing research online communities (MROCs) are groups of
people that are brought together online to interact, provide ideas and
opinions, and complete tasks.

“66% of companies say they turn to brand communities for

product development.” https://www.entrepreneur.com/article/290404
Comparisons of Traditional Focus Groups,
Online Focus Groups, and MROCs
Ethnographic Research
• Ethnographic research is a term borrowed from anthropology to
describe a detailed, descriptive study of a group and its behavior,
characteristics, culture, and so on. Examples:
– Shopalongs are a types of research in which a researcher
accompanies a shopper (with permission) on a shopping trip and
observes and records the shopper’s activities.
– Mobile ethnography is a type of marketing research in which
respondents document their own experiences through their own
mobile phones (taking videos/photos and audio explanations).
– Netnography is the name for the ethnographic study of online
activities (social listening).
Netnography: Robert Kozinets
Other Qualitative Techniques
• In-depth interview (IDI) is a set of probing questions posed one-on-one
to a subject by a trained interviewer so as to gain an idea of what the
subject thinks about something or why he or she behaves a certain way.
Allows for probing (Why is it so?, That’s interesting, can you
elaborate?)
• Laddering attempts to discover how product attributes are associated
with consumer values.
• Protocol analysis involves placing a person in a decision-making
situation and asking him or her to verbalize everything he or she
considers when making a decision.
• Projective techniques involve indirect (disguised) situations in which
participants are placed in (projected into) simulated activities in the
hopes that they will divulge things about themselves that they might not
reveal under direct questioning.
– respondents are asked to interpret the behavior of others, e.g., flying
behaviour
Projective Techniques
• 5 common types: Word-association test, Sentence completion test,
Picture test, Cartoon or balloon test and Role-playing activity.
• When to use projective techniques? When the situation implies:
– invasion of privacy - e.g. personal expenditure
– disapproval by investigator - e.g. criminal behaviour
– sensitive issue - e.g. personal hygiene
– direct questioning is threatening - e.g. Why don’t you like flying?
– Evaluation is difficult for respondent - e.g. feelings about service in
McDonalds, or motivations to buy.

Top 10 Projective Techniques for Experiencing “Aha Momen

ts”
Example: Projective Techniques

Haire (1950) shopping list study

Example: Projective Techniques (cont’d)
 Projective techniques that can be used with focus
groups
Technique Description Application
Sort Me Up Respondents are given products (or cards Reveals competitive sets of products and
with product names) and asked to sort brands
them into groups and then to provide a Offers segmentation implications Shows
descriptive name for each group how consumers perceive products and
Brands
Sort Me For each attribute, respondents rank cards Identifies how the target brand performs on
Straight with brand names from most to least specific attributes with respect to competing
brands
Picture Respondents are given several pictures Reveals images and emotions that are
This, that represent a wide range of emotions associated with specific
Picture That and asked to select pictures that represent brand/category/situations
specific brand/category/situations
Color My Respondents are given several color Offers insight into positive and negative
World swatches (paint chips) and asked to select imagery and associations for specific
color(s) that represent specific brand/category/
brand/category/situations Situations
Dot, Dot, Respondents are given 10 dot-shaped Provides a relative ranking for each of the
Dot stickers or tokens and asked to allocate alternatives; follow-up probing reveals why
them across flavors, brands, certain alternatives are favored
advertisements, etc.
Neuromarketing
• Neuromarketing is the study of an individual’s involuntary responses
to marketing stimuli, including eye movement, heart rate, skin
conductance, breathing, and brain activity. Examples:
– Neuroimaging, or viewing brain activity, may aid marketing researchers
to better understand consumers’ unconscious emotions.
– Electroencephalography (EEG), or the measure of electrical activity in
brains, is also used to measures consumers’ responses to products and
advertising.
– Eye tracking is a technique for measuring eye positions and eye
movement.
– Facial coding is a system that is used to measure universal expressions of
emotions, such as happiness, sadness, fear, and surprise, by their
appearance on faces.
Example: Eye-Tracking Demo

http://www.youtube.com/watch?v=lo_a2cfBUGc
A Warning About Qualitative Research
• Cannot and does not seek to ‘prove’ causality

• Cannot and does not seek to be generalizable

• Cannot and does not seek to be ‘objective’

• Can sometimes be judged as less ‘scientific’

• BUT if you want deep insight, understanding, surprise, and giving

your informants’ ‘voice’, qualitative research is the ideal approach

There is no such thing as a worthless conversation, provided you

know what to listen for. And questions are the breath of life for a
conversation. -- James Nathan Miller, 1965
Next Week
CHAPTER 7: Survey Methods CHAPTER 8: Measures and
Questionnaire Design
 The advantages and
disadvantages of surveys  What the basic concepts of measurement are
 The various modes of survey  About the two types of measures used in
administration based on whether marketing research
or not an interviewer or a  Three interval scales that are commonly
computer is present used in marketing research
 Descriptions of nine different  Reliability and validity of measurements
methods of data collection  What is involved with the design of a
 How marketing researchers work questionnaire
with panel companies to collect  How to develop questions including dos and
data don’ts
 Various considerations to ponder  The recommended organization of questions
when selecting a specific method and sections of a questionnaire
of data collection  How computer-assisted questionnaire design
simplifies and expedites this process
 What coding and pretesting entail
Copyright

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