Market Research and Analysis

Market Research Process – Session 02

 Definition:
Exploratory research is a research approach used
to investigate a problem that is not clearly defined.
It helps in understanding key issues, refining
research questions, and generating insights for
further study.
Exploratory Key Objectives:
• The goal is “to explore”.
Research • Become familiar with the basic facts, setting, and
concerns.
• Formulate and focus questions for future
research.
• Generate new ideas, proposals, or hypotheses.
• Determine the feasibility of conducting research.
• Develop techniques for measuring and locating
future data.
Real-World Examples of Exploratory Research

1. Coca-Cola’s New Beverage Launch:

Before launching Coke Zero, Coca-Cola conducted
exploratory research to understand consumer
preferences for a sugar-free soda that still tasted like
regular Coke. The insights guided their product
development and marketing strategy.
2. Nike's Sustainable Footwear Initiative:
Nike explored consumer attitudes toward sustainable
products before launching its eco-friendly "Move to Zero"
campaign. Their exploratory research identified that Gen Z
and Millennials were the most likely to adopt sustainable
sneakers.
Main Characteristics of Exploratory Research
• Used When Information is Limited → Helps understand a new or
unclear topic.
• Flexible and Open-Ended → Research focus starts broad and
becomes narrower.
• Qualitative Methods → Uses interviews, focus groups, case
studies, and discussions.
• Often Used in Early Research Stages → Helps build a foundation
for further studies.
 Definition:
Descriptive research is used to systematically describe a
situation, problem, or population. It provides detailed insights
without explaining causes or relationships.
Key Objectives:
• To describe a phenomenon → Understand and outline the
Descriptive characteristics of a subject.
• To classify types or categories → Organize information into
Research meaningful groups.
• To report on background or context → Provide relevant
details that help explain the situation.
• To describe characteristics of certain groups → Identify
traits such as age, income, or preferences of a specific
audience.
• To determine the proportion of people who behave in a
certain way → Measure how many people take a particular
action, such as shopping habits.
• To make specific predictions → Use past data to estimate
future trends, like sales forecasts.
Real-World Examples of Descriptive Research

1. Netflix's Viewer Demographics:

Netflix conducts descriptive research to analyze the age,
gender, and viewing habits of its users. This helps in
recommending shows and creating targeted content.
2. Shopping Behavior Analysis by Walmart:
Walmart uses scanner data at checkout to track what
products are bought most frequently, helping them adjust
stock levels and store layouts.
Main Characteristics of Descriptive Research
• Describes Characteristics → Understands traits, behaviors, or
preferences of a group.
• Uses Both Quantitative & Qualitative Data → Collects numbers
(sales, ratings) and insights (customer opinions).
• Provides Systematic Analysis → Helps in understanding different
aspects of a situation.
• Generates Ideas for Further Research → Identifies areas needing
deeper investigation.
• Helps in Simple Decision-Making → Supports practical business
decisions based on data.
 Definition:
Causal/ This type of research aims “to explain”
relationships between variables. It helps
Explanatory determine whether one factor influences another.
Objectives:
Research 1.Test a theory’s predictions or principles →
Check if a theory applies to real-life situations.
2.Establish possible causal relationships →
Identify if one factor causes another.
3.Use experiments and surveys to analyze
effects → Conduct research to find patterns.
Real-World Examples of Causal/Explanatory
Research

1.Coca-Cola's Advertising Impact

Coca-Cola conducted research to see if increased
advertising spending would directly lead to higher
sales. By analyzing sales before and after the campaign,
they determined that more advertising did improve
sales.
2.Google’s 4-Day Workweek Experiment
Google tested a 4-day workweek in some departments
to check if it would improve employee productivity and
satisfaction. Research confirmed that the shorter
workweek led to increased employee performance and
job happiness.
Main Characteristics of Causal Research
• Identifies Cause-and-Effect Relationships → Examines how one
factor directly influences another.
• Uses Experiments to Test Hypotheses → Involves controlled
studies to measure impact.
• Requires Time Sequence → The cause (independent variable)
must occur before the effect (dependent variable).
• Relies on Logical Explanation → Needs a theory or reasoning to
justify why one variable affects another.
Tasty Bites: A Restaurant Expanding into Healthy Food Options
 Tasty Bites - Comparison of Research Types
Type of
Objective Method Used Type of Data Results Impact
Research
Customers like The restaurant
Understand if
the idea but tests new
customers Focus groups,
Exploratory Qualitative worry about recipes and
want healthy interviews
taste, price, pricing before
meal options.
and availability. launching.
Analyze Customers The menu is
customer Surveys, sales want tasty, refined with
Qualitative &
Descriptive preferences data, customer affordable, and new options
Quantitative
and buying reviews filling healthy and combo
trends. meals. deals.
Discounts and The restaurant
Measure the A/B testing,
ads increase expands its
impact of social media
Causal Quantitative sales and marketing
promotions on campaign
repeat strategy for
sales. analysis
customers. healthy meals.
Activity - Case Study Matching Game
Case Study Snippets (Research Types)
❖A company interviews 10 social media influencers to understand
emerging skincare trends before launching a new product line. They
ask open-ended questions about consumer behavior, popular
ingredients, and market gaps.
❖A marketing team surveys 500 online shoppers to determine that
70% prefer purchasing via e-commerce rather than physical stores.
The study reports findings but does not analyze why consumers
make this choice.
❖A retail brand runs an experiment where they offer a 20% discount to
one group of customers and no discount to another group. They track
customer retention rates over six months to determine whether the
discount increases long-term loyalty.
Activity Instructions
• Discuss and decide which research type each snippet represents:
Exploratory, Descriptive, or Explanatory.
• Write down your answers along with a short justification for each
choice.
 Types of Research Based on Time

Cross-Sectional Research Longitudinal Research

Definition: Collects data at a single point in Definition: Collects data over an extended
time to analyze a phenomenon or group. period to observe changes and trends over
Example: A survey to understand consumer time.
preferences for smartphones conducted over Example: A study tracking the health and
a one-week period, capturing current fitness habits of a group of people over 5 years
preferences across different age groups. to observe long-term effects of exercise on
overall health.
 Types of Research Based on Data Type

Qualitative Research Quantitative Research

Definition: Focuses on understanding Definition: Focuses on collecting numerical
concepts, experiences, or phenomena data to quantify variables and analyze
through non-numerical data. patterns or relationships.
Data Type: Words, observations, images, or Data Type: Numbers, statistics, or
videos. measurements.
Example: Conducting in-depth interviews to Example: Conducting surveys with fixed
understand customer experiences with a new responses to gather data on consumer
product or using focus groups to explore preferences for different smartphone brands
opinions about a brand. or analyzing sales data to predict future
demand.
Types of Research Based on Data Collection

Primary Research Secondary Research

Definition: Involves collecting original data Definition: Involves analyzing existing data
directly from sources through methods like that has been previously collected by others,
surveys, interviews, or experiments. such as reports, studies, or databases.
Data Collection Methods: Surveys, Data Collection Methods: Reviewing
interviews, focus groups, observations. academic journals, market reports,
Example: A company conducts a survey to government publications.
gather feedback from customers about their Example: A company uses market research
new product. reports to understand industry trends without
conducting their own surveys.
Market Research Process
Marketing activities effects on brand awareness generation,
image and loyalty in the social networks of a public higher
education institution
• Problem Statement: What is the main problem or objective of this research?
• Research Type: Is this research exploratory, descriptive, or explanatory?
• Research Methods: What methods were used for data collection?
• Data Collection: What type of data (qualitative or quantitative) was used in
this research?
• Sampling Method: How was the sample selected, and what population was
targeted?
• Findings & Impact: What were the key findings, and how can they impact
marketing strategies for higher education institutions?