Institute: University School of Business

Department: AIT-MBA
Subject: Marketing Research and Analytics
Faculty Name : Nancy Jyani
(Assistant Professor)
Email: nancy.e14746@cumail.in

Unit 1:Market Research and its Process

LECTURE 1:Type of Analytics and Process of
Research

DISCOVER . LEARN . EMPOWER

Introduction to Analytics in Marketing Research
Analytics
It plays a crucial role in marketing research by providing insights that guide
decision-making. It involves the use of statistical and mathematical
techniques to analyze data and uncover patterns, trends, and relationships.
Analytics helps marketers understand consumer behavior, optimize
marketing strategies, and improve overall business performance.
Descriptive Analytics
Descriptive analytics focuses on summarizing and describing past data. It
aims to answer questions like "What happened?" and "What are the current
trends?" Descriptive analytics techniques include data visualization, data
aggregation, and basic statistical measures such as mean, median, and
mode. By analyzing historical data, marketers can gain a better
understanding of customer preferences, purchase patterns, and market
trends.
Diagnostic Analytics
Diagnostic analytics goes beyond descriptive analysis to uncover the
reasons behind observed trends or phenomena. It aims to answer questions
like "Why did it happen?" and "What are the key drivers?" Diagnostic
analytics techniques include regression analysis, correlation analysis, and
hypothesis testing. By identifying the underlying causes of consumer
behavior, marketers can gain valuable insights into the factors influencing
their target audience's decision-making process.
Predictive Analytics
Predictive analytics uses historical data to make predictions and forecast
future outcomes. It aims to answer questions like "What is likely to happen?"
and "What will be the impact of certain actions?" Predictive analytics
techniques include data modeling, time series analysis, and machine
learning algorithms. By leveraging historical data patterns and trends,
marketers can make informed predictions about customer behavior, market
demand, and campaign performance.
Prescriptive Analytics
Prescriptive analytics takes analytics a step further by recommending actions
or strategies to optimize outcomes. It aims to answer questions like "What
should we do?" and "What is the best course of action?" Prescriptive
analytics techniques incorporate advanced algorithms, optimization models,
and simulation tools. By analyzing various scenarios and their potential
outcomes, marketers can make data-driven decisions and develop effective
strategies to achieve their marketing objectives.
Real-time Analytics
Real-time analytics focuses on analyzing data as it is generated, providing
immediate insights for timely decision-making. It leverages technologies such
as data streaming, sensor data analysis, and real-time dashboards. Real-
time analytics enables marketers to monitor consumer behavior, campaign
performance, and market trends in real-time, allowing for agile and proactive
decision-making.
Integrated Analytics
Integrated analytics combines multiple types of analytics mentioned earlier,
such as descriptive, diagnostic, predictive, and prescriptive analytics. By
integrating various analytical approaches, marketers can gain a
comprehensive understanding of their customers, market dynamics, and the
effectiveness of their marketing strategies. Integrated analytics enables
marketers to make well-informed decisions, optimize resource allocation, and
drive marketing success
Introduction to Frequency Distribution
Frequency Distribution Frequency distribution is a statistical technique used to
organize and summarize data. It represents the count or frequency of each
value or range of values in a dataset. The primary purpose of a frequency
distribution is to provide an overview of the distribution and pattern of the data.
A frequency distribution consists of two main components:
Variable: The variable of interest, which can be categorical or numerical.
Frequency: The number of occurrences of each value or range of values in the
dataset.
By creating a frequency distribution, researchers can gain insights into the central
tendency, variability, and shape of the data, enabling them to make informed
decisions and draw meaningful conclusions.
Creating a Frequency Distribution Creating a frequency
distribution involves several steps:
Identify the range of values: Determine the minimum and maximum values in the dataset. This helps
define the range or interval within which the values will be grouped.
Determine the number of intervals or classes: Decide on the number of intervals or classes to divide
the data. The number of classes should be sufficient to capture the variation in the data while
maintaining clarity and interpretability.
Calculate the interval width: Divide the range of values by the number of intervals to determine the
width of each interval. This ensures that each interval is of equal width.
Count the frequency: Count the number of data points falling within each interval. This involves
examining each value in the dataset and determining its placement within the appropriate
interval.
Represent the frequency distribution: Present the frequency distribution using a table or a visual
representation such as a histogram or bar chart. The table should include the intervals, the
frequency or count for each interval, and, if applicable, cumulative frequency and relative
frequency.
Associated Statistics with Frequency Distribution
Associated Statistics with Frequency Distribution Frequency distribution
provides insights into various statistical measures, including:
Measures of central tendency:
Mean: The average value of the dataset.
Median: The middle value that separates the higher half from the lower half of the dataset.
Mode: The value(s) that appear most frequently in the dataset.
Measures of variability:
Range: The difference between the maximum and minimum values in the dataset.
Standard Deviation: A measure of the dispersion or spread of the values around the mean.
Variance: The average squared deviation from the mean.
These statistics help researchers summarize and describe the dataset,
providing a more comprehensive understanding of its characteristics.
Hypothesis Testing
Hypothesis testing is a statistical method used to make inferences about a population based on
sample data. It involves formulating a hypothesis, collecting and analyzing data, and drawing
conclusions about the population parameter.
The hypothesis testing process typically includes the following steps:
Formulate the null hypothesis (H0) and alternative hypothesis (Ha).
Collect sample data.
Select an appropriate statistical test based on the nature of the data and research question.
Set the significance level (α) to determine the threshold for rejecting the null hypothesis.
Calculate the test statistic and compare it with the critical value or p-value.
Make a decision: Reject or fail to reject the null hypothesis.
Draw conclusions and interpret the results in the context of the research question.
Hypothesis testing helps researchers make evidence-based decisions, validate assumptions,
and determine the statistical significance of their findings.
Using Excel for Statistical Analysis
Excel is a widely used tool for statistical analysis due to its accessibility and versatility. It offers various
functions and features that facilitate data management, calculation of descriptive statistics, and
conducting basic statistical tests.
Key features of Excel for statistical analysis include:
Data entry and organization: Excel provides a structured format for entering and organizing data,
making it easier to perform calculations and create charts.
Descriptive statistics: Excel offers functions such as AVERAGE, MEDIAN, MODE, STDEV, VAR, and
COUNT to calculate measures of central tendency, variability, and frequency.
Data visualization: Excel provides a range of chart types, including histograms, scatter plots, and box
plots, to visually represent data distributions and relationships.
Basic statistical tests: Excel supports common statistical tests such as t-tests, ANOVA, and correlation
analysis through built-in functions and the Data Analysis Toolpak.
While Excel is suitable for basic statistical analysis, more advanced statistical techniques may require
specialized software like SPSS.
Using SPSS for Statistical Analysis
SPSS (Statistical Package for the Social Sciences) is a comprehensive software package specifically
designed for statistical analysis. It provides a wide range of tools and features for data management,
exploratory data analysis, hypothesis testing, and advanced statistical modeling.
Key features of SPSS for statistical analysis include:
Data management: SPSS allows for data cleaning, recoding variables, and handling missing values.
Descriptive statistics: SPSS provides various functions for calculating measures of central tendency,
variability, and distributional characteristics.
Hypothesis testing: SPSS supports a wide range of statistical tests, including t-tests, ANOVA, chi-square
tests, regression analysis, and factor analysis.
Data visualization: SPSS offers powerful charting options, allowing users to create meaningful visual
representations of their data.
Advanced analytics: SPSS includes advanced statistical techniques such as multivariate analysis, cluster
analysis, and structural equation modeling.
SPSS is widely used in academia and industry for complex statistical analysis and is a valuable tool for
researchers and analysts in various fields.
Conclusion
understanding frequency distribution and associated statistics, hypothesis
testing, and utilizing tools like Excel and SPSS for statistical analysis are
essential skills for conducting meaningful research. These techniques allow
researchers to summarize, analyze, and draw valid conclusions from data,
enabling evidence-based decision-making and contributing to the
advancement of knowledge in the field of management.