RMIT Classification: Trusted

Research Design
Part 1

MKTG1418 Marketing Intelligence

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Agenda

• Five sub-steps of Research Design

• Secondary Research

• Qualitative Research

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Recap: Marketing research process

Monitoring & Description of
Clarification
Evaluation the
opportunity 1. Problem
Management Definition
Decision and setting
Making research
Clarification & objectives
Revision

6. Report
preparation 2. Research
and Design
presentation

5. Data
preparation,
3. Sampling
analysis and
interpretation
4. Data
Collection

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Marketing research process

MR step Task
Step 1: Problem definition/ Identify what specific data/information is needed; what
Setting research objectives information you will need to gather to help management
with decision-making
Step 2: Research design Decide how to collect and analyze your data, including
the types of data, methods for collecting and analyzing
data, and communication techniques
Step 3: Sampling plan Decide the unit of analysis and sampling methods
Step 4: Data collection Implement the data collection plan
Step 5: Data analysis Transform the data into information that would be
helpful for decision-making using various relevant
techniques
Step 6: Research findings Report/Present the information in verbal and visual
report and presentation languages, in written and spoken formats

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Research Design

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Step 2: Research design

• Research design: A master plan that specifies the

methods and procedures for collecting and analyzing data

• In Step 1, you have set the research objectives and

detailed research questions, which means you have
decided what information/data you will need to collect.

• In Step 2, we focus on how to collect and analyze the data

(the analysis part will be covered later)

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Five sub-steps/ decisions of the
Research Design step
• 2.1. What is the nature of the research problem: exploratory,
descriptive, and/or causal research
• 2.2. What sources of data are used: primary or secondary
• 2.3. What is the nature/type of data to be collected:
qualitative or/and quantitative
• 2.4. What data collection methods used: focus group, in-depth
interview, survey, observation, and/or experiment
• 2.5. What communication techniques used for those data
collection methods: online, face-to-face, via phone

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Characteristics of the three basic
research natures
Exploratory Descriptive Causal

Objective To discover ideas and To describe market To determine cause and

insights characteristics or functions effect relationships
Characteristics • Flexible • Marked by the prior • Manipulation of one or
• Versatile formulation of more independent varia
• Often conducted at specific hypotheses bles
the beginning of • Pre-planned • Control of mediating
the research plan and structured design variables
Data collection • Expert survey • Secondary data • Experiments
Methods • Pilot survey • Surveys
• Case study • Panels
• Secondary data • Observational and other
data

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2.1. What is the nature of the
research problem
• You will need to Research
determine of your design
research is
exploratory or Exploratory Conclusive
descriptive or causal design design

Descriptive
research

Causal
research

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Level of uncertainty
Exploratory Descriptive Causal

Examples of What is the customers’ Who are the different How customers will
research perception of target customer change their
problems “premium”? segments of Cong purchasing behavior if
(Son Tinh positions Caphe? Describe them we change the product
themselves as in more details. packaging
“premium”)
Degree of Variables not clearly Partially defined Clearly defined
problem defined • Geographic
definition • Demographic Two clearly defined
Unclear what • Psychographic groups of variables:
variables that the • Behavioral • Purchasing
”premium” concept behavior (DV)
would be built up from The research will need • Product packaging
 the research will to focus more on (IV)
need to find out psychographic
variables

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Exploratory research

• Conducted to clarify ambiguous situations or discover ideas

that may be potential business opportunities
• Initial research conducted to clarify and define the nature of
the problem
• Does not provide conclusive evidence
• Subsequent research is expected

• Particularly useful in new product development

• Exploratory research and problem solving
• Symptoms – observable cues that serve as a signal of a
problem because they are caused by that problem

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Descriptive research

• Describes characteristics of objects, people, groups,

organizations, or environments
• Addresses who, what, when, where, and how questions.
• Considerable understanding of the nature of the problem
exists.
• Does not provide direct evidence of causality.

• Diagnostic analysis
• Seeks to diagnose reasons for market outcomes and
focuses specifically on the beliefs and feelings consumers
have about and toward competing products.

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Examples – descriptive research

• The average Weight Watchers’ Diet Company customer

• is a female about 40 years old
• has a household income of about $50,000
• has at least some college education
• is trying to juggle children and a job

• The men’s fragrance market

• is one-third the size of women’s fragrance market
• is growing at a faster pace than women’s market
• women purchase 80% of men’s fragrances

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Causal research

Research conducted to identify cause and effect

relationships (inferences) between independent variables
and dependent variables
Evidence of causality:
• Temporal sequence––the appropriate causal order or
sequence of events.
• Concomitant variation––two phenomena vary together
• Non-spurious association––recognize the presence or
absence of alternative plausible explanations

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Causal research – Experiments

• Experiment––a carefully controlled study in which the

researcher manipulates a proposed cause and
observes any corresponding change in the proposed
effect
• Experimental variable––represents the proposed cause
and is controlled by the researcher by manipulating it
• Manipulation––the researcher alters the level of the
variable in specific increment
• Test-market––an experiment that is conducted within
actual market conditions
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Which research design is most
appropriate for this scenario?

Operation Smile wishes to identify the demographic

characteristics of individuals who donate more than
$500 each year.

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Which research design is most
appropriate for this scenario?

Pantene shampoo wants to

establish the functional relationship
between their advertising
campaigns and sales.

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Which research design is most
appropriate for this scenario?

Unilever would like to investigate

consumer reactions to the idea of a
new laundry detergent that
prevents shrinkage in hot water.

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2.2. Secondary vs. primary data
sources
Secondary Primary
Source of Somebody already collected The researchers will need to
data the data to be used collect empirical data
Example The government has a Cong Caphe asked RMIT
census every 5 years to students to research on their
collect data about the target customer segments.
population of Vietnam and
makes the data available for
companies to buy/use
Common To explore new markets or To get information about a
objectives new ideas for product, specific business situation
promotion, etc. at hand, for which there is no
useful or relevant secondary
research available yet

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2.2. Secondary vs. primary data
sources (cont.)
Secondary Primary
Common External: Government and The researchers will need to
sources of non-government institutions or collect data by themselves
data offices, market research using data collection methods
agencies, newspapers and appropriate for the research
magazines, etc. objectives
Internal: Company records
and documents such as sales
records, customer service
record
Cost Lower Higher
Time spent to Faster Slower
collect
information

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Notes on determining research data
sources
• In a research project, a mixture of primary and secondary
data sources may be needed for answering each research
objectives.
• Some research objectives may require using both types of
data sources;
• however, constraints and resources (e.g., time,
money) and the importance of the data and
information need to be accounted for.

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Example: Sephora entering Vietnam
market
Research objectives Sources of data
1. To understand the Secondary data: legal reports from
legal environment in Vietnam consulting companies such as Deloitte,
regarding foreign investment and KPMG, etc.
import-export of health & beauty Primary data: expert interviews with
products lawyers

Which data would you prioritize

collecting (to save time and money)?
2. To understand high-end Secondary data: market research
customers purchasing behaviors reports by Euromonitor? Are there other
in terms of health & beauty secondary sources?
products Primary data: survey the target
customers

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2.3. Qualitative vs. quantitative data

Qualitative Quantitative
Example To understand customer To measure customer
research perception of “Romantic Act” satisfaction with online banking
objective/ (Enchanteur) and “Manliness” services (HSBC)
case (for Romano brand of personal
care product)

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2.3. Qualitative vs. quantitative data

Qualitative data Quantitative data
Common To discover new ideas & perceptions To test hypotheses
purpose
Approach Observe and interpret Measure and test
Type of data Text, images, etc. Numeric
Involvement of Researchers are intimately involved. Researchers are uninvolved observers.
researcher Results are often more subjective. Results are often objective.
Sample size Small sample Large sample to produce generalized
results
Common data Focus group Survey
collection In-depth interview Experiment
methods Observation (smaller sample) Observation (larger sample)
Most often Exploratory research Descriptive & causal research
used in
Outcomes Non-conclusive Conclusive

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2.4. Data collection methods

We cover 5 major data collection methods in this course:

• Focus group: 1.5–2 hours discussion with 6–10 people on a
focused topic.
• In-depth interview: 1–1.5 hours interview with one person for in-
depth ideas
• Survey: large scale sample, given respondents a questionnaire to
answer
• Observation/(N)ethnography: human or mechanical/digital tool
to investigate the subjects of research without interacting with
anyone
• Experiment: explore if the change in one variable leads to changes
in another variable
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2.5. Communication techniques for
data collection
• Face-to-face
• Online
• Telephone

These three techniques can be applied for focus group, in-depth

interview, and survey.
• For observation, there is usually no need for communication
(focus more on the observation tools).
• For experiment, it depends on the specific research design (e.g.,
online, lab environment, field experiment).

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2.5. Communication techniques for
data collection
Face-to-Face Telephone Online
Time Take more time to May be shorter than Often requires less
travel to the F2F time
respondents
Money Costs of reaching Telecommunication Online costs are
out and travelling to costs lower
the respondent's
place
Availability of Might be more More convenient Abundance
respondents challenging – than F2F
requires prior
arrangements
Overcoming No Yes Yes
geographic distance

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Research design

Now we put all elements together…

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Jamlos case of new product
development
Research objectives Nature of Data Data type Data collection Comm.
problem source techniques
1. To understand Exploratory Primary Qualitative Focus Group or Online?
customer perception of Indepth Phone?
canvas bags Interview or survey? F2F?
2. To identify different Descriptive Primary Qualitative Focus Group or In- Online?
product-related factors depth Interview Phone?
that customers care or Survey F2F?
about in choosing a bag
product
3. To determine different Descriptive Primary Quantitative Survey? Online?
level of importance of Phone?
the product-related F2F?
factors/criteria in the
decision making of
customers

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Notes on research design

• A research objective could be achieved by performing

either qualitative or quantitative research or a mix of both.

• Different research objectives may require different data

collection methods.

• Due to constraints of budget and time, decisions should

be made on the most suitable data collection methods and
communication techniques.

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Activity: Primary and Secondary Data

Card Sorting Activity (15 min.)

"You are a market researcher working for a company that wants to launch a new product, and you
need data on consumer preferences."
 Distribute index cards or sticky notes to students.
 Provide a list of data sources (e.g., surveys, government reports, company websites, academic
articles, interviews, social media, etc.) and ask each student to write down one data source on their
card or sticky note.
 Have students come up one by one to place their card on the whiteboard under either "Primary Data"
or "Secondary Data," depending on whether they believe the source is primary or secondary.

Discussion (10 minutes):

 After all cards are placed on the whiteboard, discuss each data source as a class.
 Ask students to explain their choices and the reasoning behind them.
 Clarify any misconceptions and provide additional insights on when each type of data source might be
appropriate for research.

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—
Recap & Wrap-up

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Recap

• Five sub-steps of Research Design

• Secondary vs. primary data sources

• Qualitative vs. quantitative research

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Muddiest points

Go to
www.menti.com

And use the code on the screen

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—
Thank you!

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