CHAPTER 1

INTRODUCTION AND PROCESSESS IN MARKETING RESEARCH

B. Research as a Process

Learning Objectives:
1. Recognize that research is an integral component of marketing strategy
2. Define marketing research
3. Describe the development of marketing research as a profession
4. Explain how marketing research is incorporated into the marketing plan
5. Discuss the importance of conducting ethical research

Steps in the research process

 Too often, when a company conducts research it begins without proper planning. However,
the chances of finding the correct answer to a research question are greatly increased by
following a specific six-step process (see Table 2.2 above).
 The process starts with determining what the organization needs to know and where it can
find the information. In addition, researchers must determine who will participate in the
research and the number of participants that will be needed.
 Researchers must then decide what research approach is appropriate for the research
question and must choose the most suitable research method. They must then plan the
process of conducting the research. After the research is conducted, the final step will be to
analyze and report the findings and recommendations.

 Determine the research question

 The first step, designing the research question, is generally difficult and time consuming.
Because organizations are often in a hurry for answers, the temptation is to start the research
process before determining what they really need to know.
 As a result, they may either ask a poorly defined research question or even the wrong question
entirely. To be effective, a research study must be both well designed and narrowly focused.
If the research question is too broad, too much information will be obtained.
 In addition, the large amount of resulting data will be difficult to analyze and, therefore, of little
use to an organization. Even worse, if the wrong question is asked, the wrong information will
be obtained and all the research effort will be wasted.

 Sources of information

 Researchers need to put considerable thought into planning the sources from which
information can be obtained. The different sources for data are categorized as secondary
(data that already exist) and primary (data that the researcher collects). In addition, secondary
data can be categorized as internal (which the company already has) and external (which
must be gathered from other sources).

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  Sometimes, an organization may even have already collected enough data to answer their
question. In other cases, the answer to a research question might already be available as a
result of research conducted by other organizations.
 However, even if a research question is not answered, collecting secondary data can help
with the design of a primary research method.
 A researcher will collect primary data directly from participants to answer a specific research
question. Primary data are usually collected from a group of participants called a ‘sample’.
This sample consists of selected members from an entire group of individuals, which is called
a ‘population’. These selected members can be defined by demographic characteristics such
as age, gender, or occupation. They also might be defined by psychographic characteristics
such as lifestyle or opinions. In addition, they can be defined by their geographic location or
product usage levels. A description of the individuals in the sample is called the ‘participant
profile’.
 The method that will be used to choose the individuals that will be included in a sample will
differ depending on what type of research methodology will be used. Probability sampling is
used to randomly select the people in a sample. Nonprobability sampling is utilized when the
judgment of a researcher is used to make the selection.

 Choose the research approach

 The next step is to choose a research approach. The process of conducting primary research
starts with deciding whether the research question calls for descriptive, exploratory or causal
research.
 The choice will depend on whether or not a research question needs to be answered with
quantifiable facts. If a research question asks ‘How many?’ or ‘Which one?’, descriptive or
causal research will probably be used. If a research question asks the question ‘Why?’, then
exploratory research will probably be used.
 Understanding how an organization plans to use the information will also help in making an
appropriate decision.
 If an organization wishes to prove a fact about the demographic composition of its customers,
such as how many females as compared to males purchase a product, then a descriptive study
would be appropriate. If, on the other hand, an organization wishes to discover why sales are
falling, it will need to conduct exploratory research. Causal research will help determine the
effect of a proposed change.

 Planning the research method

 After choosing the research approach, researchers must design the research method. This
will include the details of how the research will be conducted, including when, where and by
whom. The available research methods will include surveys, focus groups, interviews,
projective techniques, observation, ethnography, and grounded theory. A research plan will
include the timeline for the research, the people needed and the budget.
 For example, this step may involve writing survey questions or the script to be used in a focus
group. The more detailed the planning, the more smoothly the research will proceed.
Therefore, everything, from how many copies of the survey form are needed to who will be
responsible for ensuring that the focus group participants arrive, should be considered.

 Conducting research and re porting findings and recommendations

 Finally, researchers will be ready to conduct the research. Once done, the final task is for
researchers to analyze the data and report the findings and conclusions. Analysis requires
repeatedly going over the collected responses to find common themes, patterns and
connections. Reporting may be in the form of a written report, a verbal presentation, or both.
 A written report presenting the results of a quantitative research study will usually have an
introduction followed by a description of the methodology. It will also have a section with
findings supported with statistics and charts. These findings will be the basis of the
recommendations given in the report. With quantitative research someone who has not
conducted the research can still write the report based on the findings.
 A report for a qualitative research study will follow the same outline. However, because there
are no statistics or charts different types of visuals will be used to help clients understand the
findings. Some tools that can be used include diagrams, quotes, photos and even videos. With
qualitative research, the person who conducted the research must be involved in the writing
of the report.
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Research Approaches
 One of the questions that an organization must decide before conducting research is which
research approach will be most appropriate. The approach chosen will depend on the research
question and the type of information a company is seeking.
 There are three general research approaches; descriptive, exploratory and causal. Each can
be considered as being similar to a different type of tool box. Each approach ‘box’ contains
certain tools or methods that are most useful with that approach. After deciding the research
approach, the company will choose the best method. For example, if a car needs repair a
person will open the automotive tool box and perhaps select a wrench. If a house needs repair,
a carpentry tool box will be opened and a hammer may be selected as the needed tool.
 Each tool box will have a choice of tools that will be needed for a specific type of job. However,
the first step is choosing the right tool box, not the specific tool (see Table 2.3).

 Descriptive research

 A company will perform descriptive research when it needs to obtain specific details on its
consumers and their purchasing behavior. Descriptive research is used when statistical data
are needed on a fact. The tool used to conduct descriptive research is almost always surveys.
 The advantage of a survey is that, if the number of people surveyed (the sample) is large
enough, it can be said that a fact has been proved and is true of the entire group. Descriptive
survey data can give answers such as ‘37 per cent of our customers are over the age of 55’ or
‘52 per cent of our customers purchase four times a year’. If the number of people asked to
complete the survey is large enough compared to the total population under study, the answer
can even be said to have been proven.
 Conducting descriptive research can be expensive and time-consuming. However, it is
necessary if a company wants to prove a guess or hypothesis about consumers or their
behavior. For example, a descriptive study can be designed to prove that ‘10 per cent of all
current consumers will purchase the more expensive new product model’. This guess or
hypothesis can be proved within a certain level of confidence that the answer obtained from
the descriptive survey sample is true of the entire population. However, descriptive research
can also be used to obtain details without relying on statistical proof. Descriptive research is
sometimes used to address issues that are just beginning to be explored, such as the
integration of the attitudes of consumers across the European Union (Lemmens et al., 2007).
In the case of this study a survey was used without any attempt to prove a hypothesis.

 Exploratory research

 Companies should use exploratory research when a research question deals with finding
information on consumer attitudes, opinions and beliefs. Such exploratory research can be
useful even when there is no specific problem to investigate. For example, a company might use
exploratory research to look for marketing opportunities by researching trends or changes in
consumer behavior. The research methods available to conduct exploratory studies include
focus groups, interviews, projective techniques, observation, ethnography and grounded theory.
 All of these methods use a qualitative research approach. Exploratory research is designed to
let participants provide their own answers. The research question, rather than asking for facts,
focuses on a consumer’s needs, desires, preferences and values. Because so many different
answers will result, statistically provable answers cannot be generated, but exploratory
qualitative studies, if designed with considerable thought as to what information is wanted and
how it is to be obtained, can provide invaluable information to a company. Such a study may be
large and complex or it can be conducted on a small scale.

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  When using exploratory research tools, the emphasis is not on the size of a sample. Instead it is
on choosing the correct participants and the analysis of the information they provide. For
example, if asked why they purchase a company’s product, even if each individual has a unique
answer, common themes will almost always appear. A researcher will analyze the responses
and then group them by these common themes. One advantage of qualitative research is that it
can also be approached in low-cost ways that are available to smaller businesses. The
importance of research to small businesses is addressed in the box below.

 Causal research

 If a company wants to study the effect a change in its product will have on consumer purchasing
or the possible success of a new promotional campaign, it should use causal research.
 Causal research is conducted to discover whether the change a company is planning to make
will have a positive or negative effect on consumers.
 Research questions that require causal research have a cause and effect – for example, such
questions as ‘Will a new promotion campaign using a celebrity increase purchases of books
among young people’? or ‘Will customers at the cinema purchase more refreshments if we have
a new menu’? These issues can also be explored using qualitative techniques. Even the effect
of intangible factors, such as smell and sound, on sales can be researched (Spangenberg et al.,
2005).

Research Methods
 Once the general approach is understood, the next step will involve choosing a research method
and then planning the research.
 Marketing research methods can be divided into two different types – quantitative and qualitative.
For a small study, research methods of only one type might be used. However, for some large-
scale studies both types of research may be needed.
 Quantitative research uses mathematical analysis to provide proof of a fact or a hypothesis
(guess or assumption). When properly implemented, quantitative research can answer questions
such as ‘How many consumers prefer our new product?’ or ‘Which of these three packaging
designs is most attractive to consumers?’
 The standard tool used when conducting quantitative research is the survey. Survey questions
give participants a selected number of responses such as yes/no or frequently/sometimes/
never.

 Quantitative versus Qualitative Research

 While quantitative studies are useful for answering questions such as ‘How many?’ and ‘What?’,
they are not as useful when answering questions such as ‘Why?’ or ‘What if?’
 A qualitative study is designed to uncover consumer attitudes, beliefs and opinions rather than
facts. Because it is difficult to know consumer preferences before the study is conducted, a
quantitative survey form with predetermined answers can result in misleading results. Instead, a
wider variety of qualitative research tools, including interviews, focus groups, observation and
projective techniques, is available.
 These tools, when used by trained researchers, allow participants to fully express their opinions
and beliefs. Another unique aspect of qualitative research is that new techniques are continuing
to be developed by researchers (Shakar and Goulding, 2001).
 Qualitative research uses fewer participants who are not necessarily representative of all
consumers in the population. In fact sometimes they are chosen because they belong to a
distinct segment, such as older or ethnic consumers.
 The data that result from using a qualitative approach are not in the form of statistics but rather
in ideas and quotes expressed by participants and researchers’ notes.
 Interpretation of the data requires special skills, but correctly analyzed qualitative data can
provide a rich source of information for marketing ideas including new concepts for
segmentation. For example, one British study used qualitative methods to examine the UK
debate on the nature of childhood (O’Sullivan, 2005).

 Research Methodologies

 Once a research question has been decided upon and the research approach has been chosen,
the next step is to choose a research method (see Table 2.4). Methods can include the traditional
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 quantitative marketing survey used in descriptive research. There are more research tools
available for conducting qualitative exploratory research including focus groups, interviews,
projective techniques, observation, ethnography and grounded theory.

 Survey

 Surveys are written instruments that ask a series of predetermined questions.

These questions can be answered by checking one of several suggested
answers, or the questions might be open-ended and will allow participants to
answer in their own words.
 Surveys can be administered in several ways including in person, over the
phone, by mail or online.
 There are disadvantages to the survey method. A well written survey will take
time to develop as the questions must be carefully written so that there is no
ambiguity as to what they mean. To ensure this is true, a survey form must be
tested on sample participants before it is widely distributed. If a large number
of responses are received it will be necessary to use a computer database
program to record the answers.
 In addition, it is becoming more difficult to motivate participants to complete a
survey form.

 Focus group

 A focus group brings together a group of individuals, who are then encouraged
to share their opinions and concerns. By putting people together in a focus
group, they can be encouraged to respond to each other’s comments and go
beyond their initial response to a question.
 It is the focus group moderator’s responsibility to keep the discussion on track
and encourage responses.
 A formal focus group is usually conducted by an outside professional
moderator. Using researchers who work for the organization as moderators is
not considered a good idea, as they might introduce preconceived ideas into
the focus group process.
 Focus groups are a method that can be successfully used even by small
businesses and nonprofit organizations. Even if they cannot afford a focus
group that is planned and conducted by a professional researcher, an
organization will still obtain valuable information by asking a few of its
customers to participate in an informal focus group. The person moderating the
focus group does not need to be a professional marketing researcher, but does
need basic skills in listening and human relations.
 Often graduate students from a nearby university can be used for this purpose.
The role of the moderator is to be noncommittal and objective and to listen and
record what the participants say. What is critical is that the moderator guides
the conversation by encouraging the participants to keep their comments
focused on the subject, while not guiding the opinions expressed.

 Interviews

 Interviews can be one of three types – in-depth, intercept or expert. In-depth

interviews are used to obtain information on how a participant feels about an
issue. The advantage of this method is that the interviewer has time to explore
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 an individual’s first response to a question with additional, probing, follow-up
questions.

 Projective Techniques

 Projective techniques can be incorporated in both interviews and focus groups

to encourage communication or they can be used on their own. These are
techniques that obtain information in ways other than verbal response.
 The technique is borrowed from psychology and is gaining increased use in
consumer marketing. Some simple projective techniques include word
association, sentence completion, and cartoon tests. These are also tools that
creative people working in marketing should enjoy using.

 Observation

 Another research method that can be used by all types of organizations is

observation. This is an inexpensive qualitative method that can be easily
adopted by small businesses and community nonprofits. If a business wants
to know how its customer service desk is being used, it can station
researchers to watch and then note the behavior of customers as they seek
assistance.

 Ethnography

 Ethnographic research studies the daily lives of participants. The research

can be conducted where participants live, where they shop and where they
work. Ethnographic research does not rely on people’s responses and
instead studies what they actually do. Ethnography requires researchers
skilled in observing and interacting with people on a participant, rather than a
research, level. Often such researchers have a background in anthropology
which helps them to understand and adapt to various cultures.
 The ethnographic research study is designed to study actual product
purchase or use experience. To do so, researchers will use photos, videos,
journals or participant observation. For example, they may record the actions
of families as they prepare dinner. One insight that might be discovered is
that some children may want to be involved in food preparation. From this
insight might come a new promotional campaign showing children and adults
cooking together.

 Grounded theory

 Most research studies start with analyzing the cause of a problem. A

researcher will have a theory on why consumers are behaving in the way that
they do in regard to a purchase or the use of a product. There is no
hypothesis, rather a research methodology is designed to study this behavior.
Instead of a researcher first establishing a theory and an hypothesis and then
asking questions to determine if they are correct, a researcher will observe
this behavior to determine a theory.

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