CH 03

ChapterIII
ResearchDesign
ChapterOutline
1)Overview
2)ResearchDesign:Definition
3)ResearchDesign:Classification
4)ExploratoryResearch
5)DescriptiveResearch
i.CrossSectionalDesign
ii.LongitudinalDesign
iii.AdvantagesandDisadvantagesof Longitudinal
andCrossSectionalDesigns
6)CausalResearch
7)RelationshipsAmongExploratory,Descriptive,and
CausalResearch
ChapterOutline(cont.)
8)PotentialSourcesofError
i.RandomSamplingError
ii.NonsamplingError
a.NonresponseError
b.ResponseError
9)BudgetingandScheduling
10)MarketingResearchProposal
11)InternationalMarketingResearch
ChapterOutline(cont.)
12)EthicsinMarketingResearch
13)InternetandComputerApplications
15)FocusonBurke
14)Summary
15)KeytermsandConcepts
16)Acronyms
definition
_
_
_
Frameworkorblueprint
Detailstheprocdurediscussedinprvstep
nutsandboltsofimplementingthat
approach.
Fig.3.1
AClassificationofMarketing
ResearchDesigns
ResearchDesign
Conclusive
ResearchDesign
Exploratory
ResearchDesign
Descriptive
Research
CrossSectional
Design
SingleCross
SectionalDesign
Casual
Research
Longitudinal
Design
MultipleCross
SectionalDesign
Tasks
_
_
_
_
_
Describetheexploratoryphaseofresearch.
Defineinfoneeded
Specifymeasurementandscalingprocedure
Constructquestionaries
Samplingprocessandsize.
Table3.1
Objective:
DifferencebetweenExploratoryand
ConclusiveResearch
Exploratory
To provide insights and

understanding.
Conclusive
To test specific hypotheses

and examine relationships.
Character- Information needed is

istics:
defined only loosely.
Research process is flexible
and unstructured. Sample
is small and nonrepresentative. Analysis of
primary data is qualitative.
Information needed is clearly

defined. Research process is
formal and structured. Sample
is large and representative.
Data analysis is quantitative.
Findings
/Results:
Conclusive.
Tentative.
Outcome: Generally followed by

further exploratory or
conclusive research.
Findings used as input into

decision making.
Table3.2
AComparisonofBasicResearchDesigns
Exploratory
Objective:
Discovery of
ideas and
insights
Causal
Describe market
characteristics or
functions
Determine cause
and effect
relationships
Marked by the prior

formulation of
specific
hypotheses
Manipulation of
one or more
independent
variables
Often the front

end of total
research design
Preplanned and
structured design
Control of other
mediating
variables
Expert surveys
Pilot surveys
Secondary data
Qualitative
research
Secondary data
Surveys
Panels
Observation and
other data
Experiments
Characteristics: Flexible,
versatile
Methods:
Descriptive
Table3.3
ConsumptionofSoftDrinksby
VariousAgeCohorts
Age
1950
1960
1969
1979
8-19
20-29
30-39
40-49
50+
52.9
45.2
33.9
23.2
18.1
62.6
60.7
46.6
40.8
28.8
C1
73.2
76.0
67.7
58.6
50.0
C2
81.0
75.8
71.4
67.8
51.9
C3
C1: cohort born prior to 1900

C2: cohort born 1901-10
C8
C7
C6
C5
C4

Table3.4
RelativeAdvantagesandDisadvantagesof
LongitudinalandCrossSectionalDesigns
Evaluation
Criteria
Cross-Sectional Longitudinal
Design
Design
Detecting Change
Large amount of data collection
Accuracy
Representative Sampling
Response bias
+
+
+
+
+
-
Note: A + indicates a relative advantage over the

other design, whereas a - indicates a relative
disadvantage.
Table3.5
CrossSectionalDataMay
NotShowChange
Brand Purchased
Brand A
Brand B
Brand C
Total
Time Period
Period 1
Survey
Period 2
Survey
200
300
500
1000
200
300
500
1000
Table3.6
Brand
Purchased
in Period 1
Brand A
Brand B
Brand C
Total
LongitudinalDataMay
ShowSubstantialChange
Brand Purchased in Period 2
Brand A
Brand B
Brand C
100
25
75
200
50
100
150
300
50
175
275
500
Total
200
300
500
1000
RIP3.1
NASCAR Tries to Shed Redneck Image
The National Association of Stock Car Auto Racing

(NASCAR) in the past has appealed to Southerners
with lower incomes that work in laborer-type jobs.
NASCAR, in an attempt to increase its audience,
chose to make-over its stereotyped image and used
exploratory and descriptive research to generate
ideas for reaching a more affluent market.
NASCAR conducted exploratory

research to identify ways to penetrate
the non-race market, reach younger
fans, and build its brand image
across the nation.
Extensive focus groups revealed that:

(1) NASCAR had a rural sports image,
(2) that this image was not necessarily
negative, and
(3) companies that supported sports were
viewed positively.
RIP3.1Contd.
Survey research showed that:

29% of fans had income over
$50,000
27% worked as professionals or
managers
73% had a positive rural sports
image of NASCAR
71% of fans purchased products of
companies that support the sport
NASCAR, of course, sought to increase these

percentages and developed marketing plans
that would build on the image of NASCAR as a
rural sport by emphasizing that most of America
is suburbs and small towns.
NASCAR moved to
reach all of America,
not just the traditional
Southern market.
Fig.3.2
PotentialSourcesofErrorin
ResearchDesigns
TotalError
Nonsampling
Error
RandomSampling
Error
Response
Error
Researcher
Error
SurrogateInformationError
MeasurementError
PopulationDefinitionError
SamplingFrameError
DataAnalysisError
Interviewer
Errors
RespondentSelectionError
QuestioningError
RecordingError
CheatingError
Nonresponse
Error
Respondent
Error
InabilityError
UnwillingnessError
Citicorp Banks on Exploratory, Descriptive, and

Causal Research
Marketing Research at Citicorp is typical in that it is
used to measure consumer awareness of products,
monitor their satisfaction and attitudes associated
with the product, track product usage and
diagnose problems as they occur. To accomplish
these tasks Citicorp makes extensive use of
exploratory, descriptive, and causal research.
Often it is advantageous to offer special financial
packages to specific groups of customers. In this
case, a financial package is being designed for
senior citizens.
RIP3.2
The following seven step process was taken by

marketing research to help in the design.
RIP3.2Contd.
1) A taskforce was created to better define the market

parameters to include all the needs of the many
Citicorp branches. A final decision was made to
include Americans 55 years of age or older, retired and
in the upper half of the financial strata of that market.
2) Exploratory research in the form of secondary data

analysis of the mature or older market was then
performed and a study of competitive products was
conducted. Exploratory qualitative research involving
focus groups was also carried out in order to determine
the needs and desires of the market and the level of
satisfaction with the current products.
In the case of senior
citizens, a great deal
of diversity was found
in the market. This
was determined to be
due to such factors as
affluence, relative age,
and the absence or
presence of a spouse.
RIP3.2Contd.
3) The next stage of research was brainstorming. This

involved the formation of many different financial
packages aimed for the target market. In this case, a
total of 10 ideas were generated.
4) The feasibility of the 10 ideas generated in step 3 was

then tested. The ideas were tested on the basis of
whether they were possible in relation to the business.
The following list of questions was used as a series of
hurdles that the ideas had to pass to continue on to the
next step.
Can the idea be explained in a manner that the target
market will easily understand it?
Does the idea fit into the overall strategy of
Citicorp?
RIP3.2Contd.
Is there an available description of a specific target

market for the proposed product?
Does the research conducted so far indicate a
potential match for target market needs and is the
idea perceived to have appeal to this market?
Is there a feasible outline of the tactics
and strategies for implementing the program?
Have the financial impact and cost of the program
been thoroughly evaluated and determined to be in
line with company practices?
In this study, only one idea generated from the
brainstorming session made it past all the listed
hurdles and on to step 5.
5) A creative work-plan was then generated. This plan

was to emphasize the competitive advantage of the
proposed product as well as better delineate the
specific features of the product.
6) The previous exploratory research was now

followed up with descriptive research in the form of
mall intercept surveys of people in the target market
range. The survey showed that the list of special
features was too long and it was decided to drop the
features more commonly offered by competitors.
RIP3.2Contd.
7) Finally, the product was test

marketed in six of the Citicorp
branches within the target market.
Test marketing is a form of causal
research.
Given successful test
marketing results, the product is
introduced nationally.
RIP3.3
The Greenfield of Online Research
Greenfield Online Research Center, Inc.

(http://www.greenfieldonline.com), based in
Westport, Connecticut, is a subsidiary of the
Greenfield Consulting Group. The Online
Research Center conducts focus groups,
surveys, and polls over the Internet. The
company has built up a panel of close to
200,000 Internet users, from which it draws
survey samples. The samples may be used
for descriptive research designs like single
or multiple cross sectional designs, as well
as longitudinal designs. Causal designs can
also be implemented. Respondents may also
be chosen from the registered Internet users.
RIP3.3Contd.
Internet users wishing to take part in surveys and

other projects begin by registering online at the
companys Web site. The registration consists of a
sign-up survey that asks for e-mail address, type of
computer used, personal interests and information
about the respondents household. Once an Internet
user is registered, Greenfield Online matches the
user with research studies that are well-suited to his
or her interests.
Incentives to take part in focus groups or special
surveys are offered by the companies whose
products or services are being researched. This
incentive is cash or valuable prizes. Incentives are
also offered to Internet users to encourage them to
register with Greenfields Internet panel.
New
registrants automatically qualify for prizes that are
awarded in monthly drawings.

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ChapterIII

To provide insights and

To test specific hypotheses

Character- Information needed is

Information needed is clearly

Outcome: Generally followed by

Findings used as input into

Marked by the prior

Often the front

C1: cohort born prior to 1900

C5: cohort born 1931-40

Note: A + indicates a relative advantage over the

NASCAR Tries to Shed Redneck Image

The National Association of Stock Car Auto Racing

NASCAR conducted exploratory

Extensive focus groups revealed that:

Survey research showed that:

NASCAR, of course, sought to increase these

Citicorp Banks on Exploratory, Descriptive, and

The following seven step process was taken by

1) A taskforce was created to better define the market

2) Exploratory research in the form of secondary data

3) The next stage of research was brainstorming. This

4) The feasibility of the 10 ideas generated in step 3 was

Is there an available description of a specific target

5) A creative work-plan was then generated. This plan

6) The previous exploratory research was now

7) Finally, the product was test

The Greenfield of Online Research

Greenfield Online Research Center, Inc.

Internet users wishing to take part in surveys and

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