Marketing Research

Lecture 3 – Chapter 3
Course Lecturers: Prof. Noha El-Bassiouny & Dr. Hadeer Hammad
Winter Semester 2024
Chapter 3:
Research Design
Learning Objectives

1. Definition of research design

2. Classification of research design
3. Comparison of the types of research design
4. Differences between cross-sectional and longitudinal research designs
5. Potential sources of errors
The Marketing Research Process

Problem Definition Research Design Data Preparation

Formulation & Analysis

Development of a Fieldwork or Report Preparation

Research Approach Data Collection & Presentation
Definition of Research Design

Research Design is a framework or blueprint for

conducting the marketing research project. It
specifies the details of the procedures necessary for
obtaining the information needed to structure
and/or solve marketing research problems.
Research design lays the foundation for conducting
the project.
A good research design will ensure that the
marketing research project is conducted efficiently
and effectively.
 Components of Research Design

2. Specify the measurement 4. Specify the sampling

and scaling procedures process and sample size

1. Design exploratory, descriptive 3. Construct and pretest a 5. Develop a plan for

and/or causal phases of questionnaire or an appropriate data analysis
the research form of data collection
 Classification of Research Design

Figure 3.1
A Classification of Marketing
Research Design
Classification of Research Design
Exploratory vs. Conclusive Research

Exploratory Research Conclusive Research

One type of research design, which has Research designed to assist the decision
as its primary objective the provision of maker in determining, evaluating, and
insights into and comprehension of the selecting the best course of action to
problem situation confronting the take in a given situation.
researcher.
 Classification of Research Design
Exploratory vs. Conclusive Research

Differences Exploratory Research Conclusive Research

Objective To provide insights and understanding To test specific hypotheses and examine
relationships
Characteristics -Information needed is loosely defined -Information needed is clearly defined.
2 -Research process is formal and
-Research process is flexible and
unstructured. structured.
-Sample is small and non-representative. -Sample is large and representative.
-Data analysis is qualitative -Data analysis is quantitative.

3 Findings/Results Tentative Conclusive

Outcome Generally followed by further conclusive Findings used as inputs into decision
research. making.
Classification of Research Design
Types of Conclusive Research

Descriptive Research Causal Research

A type of conclusive research that has as A type of conclusive research where the
its major objective the description of major objective is to obtain evidence
something-usually market characteristics regarding cause-and-effect (causal)
or functions. relationships.
Classification of Research Design
A Comparison of Basic Research Designs

Differences Exploratory Research Descriptive Research Causal Research

Objective Discover ideas and insights Describe market characteristics Determine cause-and-effect
or functions relationships

Characteristics -Flexible -Marked by prior formulation -Manipulation of one or

-Versatile of specific hypotheses more independent variables
-Often the front end of total -Preplanned and structured -Control of other variables
research design design

Methods Secondary data Surveys Experiments

Qualitative research Panels
Observational data
Classification of Research Design
Exploratory Research

Uses/Purposes:
-Understanding new phenomena.
-Formulate a problem or define a problem more precisely.
-To explore issues that are difficult to quantify.
-Gain insights for developing an approach to the problem.
-Develop hypotheses for further investigation or quantification.
-Determine key variables and relationships for further examination.
-Identify alternative courses of action.
Classification of Research Design
Exploratory Research
Example: Supermarket Patronage
-A review of academic and trade literature to identify the relevant choice criteria
consumers consider when shopping, demographic and psychographic factors that
influence consumer patronage of supermarkets.

-Interviews with retailing experts to determine trends, such as emergence of new

types of outlets and shifts in consumer patronage patterns (e.g., shopping on the
Internet).

-Focus groups to determine the factors that consumers consider important in

selecting supermarkets.
Classification of Research Design
Descriptive Research
Uses/Purposes:
-To describe the characteristics of relevant groups, such as consumers, salespeople, or
market areas.
-To estimate the percentage of units in a specified population exhibiting a certain behavior.
-To make specific predictions.
-To determine the perceptions of the firm and its product or service characteristics.
-To study the frequency of events and patterns of consumer behavior.
-To compare findings overtime that allows changes in the phenomena to be measured.
Classification of Research Design
Descriptive Research
Example: Supermarket Patronage
- To determine the relative importance of criteria consumers use to decide on store
selection.
-To determine consumers’ perceptions/evaluations of the store compared to other
stores.
-To determine the market share of Metro & its competitors for specific product
categories.
-To describe consumption habits and patterns of loyal consumers.
- To describe the demographic and psychographic profile of consumers.
Classification of Research Design
Casual Research
Uses/Purposes:

-To understand which variables are the cause (independent variables) and which variables
are the effect (dependent variables) of a phenomenon.

-To determine the nature of the relationship between the causal variables and the effect to
be predicted.
Classification of Research Design
Causal Research
Example: Supermarket Patronage

-To determine whether the presence and friendliness/helpfulness of sales people

(causal variable) would affect the sales of food products.
 Classification of Research Design
Descriptive Research

Figure 3.1
A Classification of Marketing
Research Design
Classification of Research Design
Descriptive Research
Cross-Sectional Designs

Cross-sectional Design is a type of research design involving the collection

of information from any given sample of population elements only once.

Single Cross-sectional Design Multiple Cross-sectional Design

A cross-sectional design in which A cross-sectional design in which
one sample of respondents is drawn two or more samples of
from the target population and respondents are drawn from the
information is obtained from this target population and information
sample once. is obtained from each sample only
once.
Classification of Research Design
Descriptive Research
Longitudinal Designs

Longitudinal Design is a type of research design involving a fixed sample of population

elements that is measured repeatedly. The sample remains the same over time, thus
providing a series of pictures that, when viewed together, portray a vivid illustration of
the situation and the changes that are taking place over time.
 Classification of Research Design
Descriptive Research
Cross-sectional vs. Longitudinal Research Design

Cross-Sectional Design Sample surveyed at T1

Longitudinal Design Sample surveyed at T1 SAME Sample surveyed at T2

T1 T2 Time
 Classification of Research Design
Descriptive Research
Cross-sectional vs. Longitudinal Research Design

Multiple
Cross-Sectional Design Sample surveyed at T1 DIFFERENT Sample surveyed at T2

Longitudinal Design Sample surveyed at T1 SAME Sample surveyed at T2

T1 T2 Time
Classification of Research Design
Descriptive Research
Cross-sectional vs. Longitudinal Research Design

Cross-sectional study:
A cross-sectional study of high school stress would show
which grade level currently had the highest stress levels.

Longitudinal study:
A longitudinal study would follow a single group of
students to see how their stress levels rose or fell over time.
 Relationships among Exploratory, Descriptive & Causal Research
Alternative Research Designs

(a) Conclusive Research

Exploratory Research
(Descriptive/Causal)

(b) Conclusive Research

(Descriptive/Causal)

(c) Conclusive Research

Exploratory Research
(Descriptive/Causal)
 Potential Sources of Error

Figure 3.2
Potential Sources of Error
in Research Design
Potential Sources of Error
Total Error: Random Sampling Error vs. Non-Sampling Error

Total Error
The variation between the true mean value
in the population of the variable of interest
and the observed mean value obtained in
the marketing research project.

Random Sampling Error Non-Sampling Error

The error due to the particular sample Non-sampling errors are errors that can be
selected being an imperfect representation attributed to sources other than sampling.
of the population of interest.
Potential Sources of Error
Non-Sampling Error: Response Error vs. Non-Response Error

Non-Sampling Error
Non-sampling errors are errors that can be
attributed to sources other than sampling.

Non-Response Error Response Error

A type of non-sampling error that occurs A type of non-sampling error arising from
when some of the respondents included in respondents who do respond, but give
the sample do not respond. inaccurate answers or their answers are
misrecorded or misanalyzed.
Potential Sources of Error
Response Error: Researcher Errors

Researcher Error
These are response errors made by the
researcher.

Surrogate Information Error Measurement Error

The variation between the information The variation between the information
needed for the marketing research sought and the information generated by
problem and the information sought by the the measurement process employed by the
researcher. researcher.

Population Definition Error Data Analysis Error

The variation between the actual The errors that occur while raw data from
population relevant to the problem at and the questionnaires are transformed into
the population as defined by the research findings.
researcher.
Potential Sources of Error
Response Error: Interviewer Errors

Interviewer Error
These are response errors made by the
interviewer.

Respondent Selection Error Questioning Error

This occurs when interviewers select The errors made in asking questions of the
respondents other than those specified by respondents or in not probing when more
the sampling design or in a manner information is needed.
inconsistent with the sampling design.

Recording Error Cheating Error

The errors made in hearing, interpreting The errors that occur when the interviewer
and recording the answers given by fabricates answers to a part or all of the
respondents. interview.
Potential Sources of Error
Response Error: Interviewer Errors

Respondent Error
These are response errors made by the
respondent.

Inability Error Unwillingness Error

This error results from the respondent’s This error arises from the respondent’s
inability to provide accurate answers. unwillingness to provide accurate information.
Respondents may provide inaccurate answers Respondents may intentionally misreport their
because of unfamiliarity, fatigue, boredom, answers because of a desire to provide socially
faulty recall, question format, and question acceptable answers, avoid embarrassment, or
content. please the interviewer.
Selecting the Research Design
Mini-Cases Discussion
Ariika is a Startup company based in Cairo, Egypt. The company sells high-quality bean bags,
floating mats, and other home accessories. The company aims to increase its sales by the
end of the year. The CEO suggested that using price discounts and promotions would affect
the sales positively. Yet, the research department thought that the company should test this
hypothesis before launching the discounts and promotions in all of its stores. The company
decided to test the impact of promotions on sales by launching promotions and discounts in
its main store while the others will not conduct promotions. Based on the research findings,
the company will take a decision about applying the discounts.

1. What is the appropriate research design that Ariika should adopt?

2. What is the research method used by Ariika in the above case?
Defining the Problem & Developing an Approach
Mini-Cases Discussion

1. What is the appropriate research design that Ariika should adopt?

Design: Casual Research

2. What is the research method used by Ariika in the above case?

Research Method: Experiment

Selecting the Research Design
Mini-Cases Discussion
P&G, being a major player in the personal-care-product market, wanted to study consumers’
personal hygiene routines and habits in order to identify new opportunities for targeting
low-income class consumers with an existing product of shampoo. Low-income consumers
represent a huge potential market segment for companies. Yet, they hold different buying
habits than middle and high income class consumers. P&G decided to employ a research
company to help in solving the problem.

1. What is the relevant MDP and MRP in the above case?

2. Please develop relevant MRP components to the stated MRP.
3. For any MRP component, Develop two suitable RQs and relevant hypotheses for each RQ.
4. What is the appropriate research design that should be adopted in the above case?
5. What are the possible research methods that could be employed with the selected
research design?
Defining the Problem & Developing an Approach
Case Discussion
1. What is the MDP and MRP in the above case?

MDP: Should we sell the shampoo to low-income consumers?

or Should we target the low-income consumer segment?

MRP: To understand the personal hygiene habits and routines of low-income

consumers in relation to using shampoo products.
Defining the Problem & Developing an Approach
Case Discussion
2. Please develop relevant MRP components to the stated MRP.

MRP Components:
1. What are the criteria consumers focus on when buying shampoos?
2. What are the consumption patterns of shampoo products among consumers?
3. What are the possible usage occasions for potential consumers?
4. What is the demographic and psychographic profile of potential consumers?
5.Who are the major competitors in the market? what are their relative strengths and
weaknesses?
6.What are the possible promotional tools that would encourage potential consumers
to buy the product?
7. What price would consumers be willing to pay for the product?
Defining the Problem & Developing an Approach
Case Discussion
3. Develop two suitable RQs and formulate research hypotheses for each.
Research Questions (RQs) and Research Hypotheses for MRP component 2:

MRP component 2: What are the criteria consumers focus on when buying shampoos?
RQ1: What product-related criteria do consumers consider on buying shampoos?
H1: Package size has a positive impact on consumer’ buying intentions
H2: Shampoo scent can increase consumers’ buying intentions.

RQ2: What personal-related criteria can impact the purchase of shampoos?

H1: Brand familiarity can positively impact consumers’ buying intentions.
H2: Negative reviews might hinder consumers’ buying intentions.
Defining the Problem & Developing an Approach
Case Discussion

4. What is the appropriate research design that should be adopted in the above case?

Research Design: Exploratory followed by Descriptive.

Defining the Problem & Developing an Approach
Case Discussion

5. What are the possible research methods that could be employed with the selected
research design?

Research Methods: In-depth interviews, Surveys, Panel

Thank You