Marketing Research Techniques Quiz - Lec 3

Marketing Research Lecture 3: Marketing Research Design

• Upcoming Deadlines:
  • Next week: Group project proposals due
  • In two weeks: Online class (pilot surveys)
  • In three weeks: Midterm

Online Pilot Surveys

• Purpose: Test potential survey questions for the actual survey.
• Duration: 5 minutes or less.
• Submission: Shareable link to be pasted into the chat box.
• Platforms: Google Forms, Microsoft Forms, Qualtrics, SurveyMonkey.
• Follow-up: Results will be summarized/tabulated and included in the final group project report appendix.
• Important Note: Pilot surveys are meant to be "rough" unlike the final, more rigorous survey.

Marketing Research Design

• Definition: A plan specifying methods and procedures for collecting and analyzing information to reach research objectives.
• Types:
  • Exploratory: Gaining background information, developing hypotheses (early in the process).
  • Descriptive: Measuring the state of a variable of interest (e.g., characteristics of customers).
  • Causal: Testing hypotheses about relationships between variables; determining if one variable causes a change in another (often using experiments).
• Exploratory research is often performed early in the marketing process to gain insights or address research questions where little is known.

Exploratory Research Methods

• Secondary Data Analysis: Examining and interpreting existing data from various sources (like the internet).
• Focus Groups: Small group discussions guided by a moderator to uncover unstructured and spontaneous opinions.
• Experience Surveys: Gathering input from knowledgeable individuals about the research topic.
• Case Analyses: Reviewing available information about past situations similar to the current problem.

Descriptive Research

• Purpose: Answering questions about who, what, where, when, and how.
• Types of studies:
  • Cross-sectional: Measurement on a sample at a single point in time.
  • Longitudinal: Repeated measurement on the same sample over multiple points in time.
    • Omnibus: Different questions asked at each measurement.
    • Continuous: Same questions asked at each measurement to track changes over time (e.g., Brand Tracking).

Brand Tracking Example

• Shows how continuous panel data can reveal shifts in brand preferences over time.

Panel Attrition

• Definition: Subjects leaving a panel study.
• Implications: Reduced sample size, potential loss of statistical accuracy (needs to be addressed via replacements, etc.), and reduced representativeness.
• Attrition rate: Approximately 17% for longitudinal studies.

Questions and Answers on Descriptive Studies

• Omnibus vs. Continuous panels: Omnibus panels are reliable for different research purposes over time, while for early observations in continuous panels, losing follow-up observations decreases reliability.
• Omnibus panels Advantages: Fast collection using existing data. Easier recruitment since member information is already on file. Higher response rates with existing agreement.

Causal Research

• Purpose: To test hypotheses of the form "if x, then y" to determine if a change in one variable causes a change in another.
• Tool of choice: Experiments.

Causal Experiments

• Independent Variable (IV): Variable that is manipulated to observe its effect on the dependent variable.
• Dependent variable (DV): Variable that is measured to assess the impact of the independent variable.
• Extraneous variables: May impact DV but not linked to IV; must be controlled to ensure accurate results. \
• Experimental Design:
  • Before-after with control group: Subjects are randomly divided into treatment and control groups. Observing differences in the dependent variable between groups before and after intervention.

Experimental Effect Calculation

• Formula: (T2 - T1) - (C2 - C1)
• Where:
  • T1 = treatment group before, T2= treatment group after
  • C1= control group before, C2=control group after

Internal Validity

• Definition: Whether the independent variable is truly the cause of the observed changes in the dependent variable in the experiment.
• Threats to validity:
  • Systematic differences between groups.
  • Unmeasured variables.
  • Confounding effects.
• Improving validity: Random assignment, control groups, etc., alleviating concerns about possible unobserved variables.

External Validity

• Definition: Extent to which the findings of an experiment can be generalized to the broader population and other contexts.
• Factors: Population, time, and situations.

Construct Validity

• Definition: Does the dependent variable accurately measure the real-world concept it's supposed to measure.
• Example: Do blind taste tests accurately predict purchasing behavior?

Test Marketing

• Definition: Field setting marketing study typically conducted in a real marketplace.
• Purpose: Assessing sales potential of a new product or service, testing variations in the marketing mix.

Types of Test Markets

• Standard: Tests new products or services using existing distribution channels.
• Controlled: Uses an outside research firm to distribute the product through specified retailers to isolate the test market.
• Electronic: Consumers in a panel bring identification cards.
• Simulated: Computer programs to mimic a real market environment.
• Criteria for Selection:
  • Representativeness
  • Isolation
  • Control of distribution/promotion

Additional Notes

• Some vacation packages may change dates or be unavailable due to unforeseen circumstances.
• Weather data (average temp. and precipitation) can be useful in market research to understand how factors can influence consumer behavior concerning their choice of vacation packages.