Learning Outcomes

•  After this lecture you will be able to

–  Understand the difference between quantitative and qualitative
Consumer Research research
–  Understand the consumer research process
–  Design and do quantitative and qualitative research
–  Learn about different sources and methods of data collection
–  Present your findings in the form of reports

CONSUMER BEHAVIOUR 2
Consumer Research

Two broad approaches to research Quantitative Research

•  Quantitative research •  Approach
•  Qualitative research –  Positivistic: objective reality
•  Objective
–  Describe, explain and predict consumer behavior
•  Research methods
–  Experiments, survey techniques and observation
•  Findings
–  Objective: descriptive, explanatory, empirical
–  Can be generalized to larger populations
CONSUMER BEHAVIOUR 3 CONSUMER BEHAVIOUR 4
Consumer Research Consumer Research

1
 Qualitative Versus Quantitative Research-I
Qualitative Research Qualitative Research Quantitative Research

•  Approach Study •  Provide insights about • Describe target market

–  Interpretivist: subjective reality Purpose ideas • Results for strategic
•  Objective •  Exploratory research marketing decisions
–  To explore, define and understand consumer behaviour before quantitative study
•  Research methods
–  Depth interviews, focus groups, metaphor analysis, collage research and
projective techniques Types of •  Open-ended •  Close-ended
–  Employ small samples Questions •  Unstructured •  Attitude scales
–  Administered by highly trained interviewer-analysts Data •  Projective techniques •  Observation
•  Findings Collection •  Depth interviews •  Experimentation
–  Subjective and interpretive Methods •  Focus groups •  Questionnaires
(Source: Schiffman and Kanuk)
CONSUMER BEHAVIOUR 5 CONSUMER BEHAVIOUR: Consumer Research
Consumer Research

Qualitative Versus Quantitative Research-II

Qualitative Research Quantitative Research The Consumer
Sampling •  Small • Large Research
Methods •  Nonprobability samples • Probability samples Process
(Source: Schiffman and Kanuk)

Data Analysis •  Analyzed by researchers who •  Coded, tabulated, and

collected data entered into database
•  Look for “key words” •  Use of statistical
•  Subjective methods

(Source: Schiffman and Kanuk)

CONSUMER BEHAVIOUR 8
Consumer Research
CONSUMER BEHAVIOUR: Consumer Research

2
 Developing Research Objectives
•  Research objectives are related to the research problem
(questions)
•  Defining purposes and objectives helps in two ways
–  Selecting an appropriate research design
–  Defining the type and level of information needed
CONSUMER BEHAVIOUR
Consumer Research
Research objectives: An example
•  Research question
–  How do people spend their leisure time
•  Define leisure time
•  Research objectives
1.  To identify different leisure activities (reading books, watching
movies, participating in cultural activities)
2.  To explore if different categories of people (men and women;
working women and homemakers; young and middle aged males)
engage in different types of leisure activities.
9 CONSUMER BEHAVIOUR 10
Consumer Research

Secondary Data Types of Secondary Data

•  Data that have been collected for reasons other than the specific
research project at hand Internal Data External Data
•  Data generated in-house •  Data collected by an outside
•  Includes internal and external data •  May include analysis of customer files organization
•  Examples of secondary data •  Useful for calculating customer •  Includes federal government,
lifetime value periodicals, newspapers, books, search
–  Census data engines
–  Company documents •  Commercial data is also available from
market research firms

CONSUMER BEHAVIOUR 11 CONSUMER BEHAVIOUR 12

Consumer Research Consumer Research

3
Women have less leisure time than 15 years ago - as Women's leisure time at different ages | Hours per week
men take more for themselves
16-24 25-34 35-44 45-54 55-64 65 and over
•  Leisure time includes watching TV and hobbies as craft and 38.5 31.5 32.9 34.3 39.2 47.6
gardening, as well as more active pursuits such as going to bars
and restaurants, religious worship and playing sport.
http://www.telegraph.co.uk/news/2018/01/09/women-have-
less-leisure-time-15-years-ago-men-take/
Source: http://www.telegraph.co.uk/news/2018/01/09/women-have-less-leisure-time-15-years-ago-men-take/
[Accessed on January 19, 2018] Source: http://www.telegraph.co.uk/news/2018/01/09/women-have-less-leisure-time-15-years-ago-men-take/
[Accessed on January 19, 2018]

CONSUMER BEHAVIOUR 13 CONSUMER BEHAVIOUR 14

Consumer Research Consumer Research

Discussion Question
Discussion Questions
Personal Privacy
Assume you are planning to open a new pizza restaurant near Many people do not like the fact that their personal data are used
your campus. for marketing. (Aadhaar data controversy?)
•  What might be three objectives of the research plan for your •  How can marketer’s justify their need for data?
new business? •  How can they acquire data and maintain customer privacy?
•  How could you gather these data?

CONSUMER BEHAVIOUR 15 CONSUMER BEHAVIOUR 16

Consumer Research Consumer Research

4
 Designing Primary Research Data collection methods:
Observational research
•  Research design is a blueprint of how data will be collected and
analysed •  Watch people buying and using products
•  Primary research is conducted to answer the specific research •  Provides in-depth understanding of the relationship between
question people and products
•  Quantitative research designs •  Helps researchers gain a better understanding of what the
–  Questionnaire surveys that use observations, scaled items; experiments product symbolizes
•  Qualitative research designs
–  Depth interviews, focus groups, projective techniques, and metaphor
analysis
CONSUMER BEHAVIOUR 17 CONSUMER BEHAVIOUR 18
Consumer Research Consumer Research

Data collection methods: Data collection methods:

Mechanical observational research Experimentation
•  Uses mechanical or electronic devices to record consumer •  Can be used to test the relative sales appeal of many types of
behavior or response variables
•  Consumers’ increased use of highly convenient technologies •  An experiment is usually controlled with only some variables
will create more records for marketers manipulated at a time while the others are constant
•  Product audits which monitor sales are heavily used by •  Can be conducted in laboratories or in the field
companies

CONSUMER BEHAVIOUR 19 CONSUMER BEHAVIOUR 20

Consumer Research Consumer Research

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 Data collection methods:
Discussion Question Surveys
Experimentation is critical for direct marketers •  Personal interviews
•  What might direct marketers test in experiments? •  Mail questionnaires
•  How can they use the results? •  Telephonic interviews
•  Online surveys

CONSUMER BEHAVIOUR 21 CONSUMER BEHAVIOUR 22

Consumer Research Consumer Research

Comparative advantages of different survey methods

Validity and reliability
PERSONAL
MAIL TELEPHONE ONLINE
INTERVIEW
Cost Low Moderate High Low •  Validity of a study depends on the appropriateness of the data
Speed Slow Immediate Slow Fast collected for the study
Response rate Low Moderate High Self-selection
•  Reliability refers to the extent to which the same questions,
Geographic
flexibility
Excellent Good Difficult Excellent asked of a similar sample, produce the same findings
Interviewer bias N/A Moderate Problematic N/A
Interviewer
N/A Easy Difficult N/A
supervision
Quality of
Limited Limited Excellent Excellent
response

(Source: Schiffman and Kanuk)

CONSUMER BEHAVIOUR 23 CONSUMER BEHAVIOUR 24
Consumer Research Consumer Research

6
 Attitude scales Qualitative methods of data collection:
•  Likert scales (7 points; strongly disagree to strongly agree) Depth interview
–  Easy for researchers to prepare and interpret
–  Simple for consumers to answer
•  Usually 30 minutes to 1 hour
•  Semantic differential scales
–  Relatively easy to construct and administer •  Nonstructured
•  Behavior intention scales •  Interpreted by trained researcher
–  Easy to construct and administer •  Listen to words as well as “body language”
•  Rank-order scales
–  Easy to construct, administer and analyse

CONSUMER BEHAVIOUR 25 CONSUMER BEHAVIOUR 26

Consumer Research Consumer Research

Qualitative methods of data collection: Discussion guide for focus group

Focus group
1. Why did you decide to use your current cellular company?
2. How long have you used your current cellular company?
•  8-10 participants 3. Have you ever switched services? When? What caused the change?
4. What do you think of the overall quality of your current service?
•  Lasts about 2 hours 5. What are the important criteria in selecting a cellular service?
•  Invariably taped or videotaped to assist analysis Examples of Probe questions:
a. Tell me more about that . . .
b. Share your thinking on this . . .
c. Does anyone see it differently . . .

CONSUMER BEHAVIOUR
CONSUMER BEHAVIOUR 27 Consumer Research
Consumer Research

7
 Qualitative methods of data collection: Qualitative methods of data collection:
Projective Techniques Metaphor Analysis
•  Research procedures designed to identify consumers’ •  Based on belief that metaphors are the most basic method of
subconscious feelings and motivations thought and communication
•  Consist of a variety of disguised “tests” •  Zaltman Metaphor Elicitation Technique (ZMET) combines
–  Association tests collage research and metaphor analysis to bring to the surface
–  Completion tests the mental models and the major themes or constructs that drive
–  Stories consumer thinking and behavior.
–  Drawings
–  …
CONSUMER BEHAVIOUR 29 CONSUMER BEHAVIOUR 30
Consumer Research Consumer Research

Customer Satisfaction Measurement Sampling and Data Collection

•  Customer Satisfaction Surveys •  Samples are a subset of the population used to estimate
characteristics of the entire population.
•  Gap Analysis of Expectations versus Experience
•  A sampling plan addresses:
•  Mystery Shoppers –  Whom to survey
•  Customer Complaint Analysis –  How many to survey
•  Analysis of Customer Defections –  How to select them
•  Researcher must choose probability or nonprobabililty sample.

CONSUMER BEHAVIOUR 31 CONSUMER BEHAVIOUR 32

Consumer Research Consumer Research

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 Probability Sampling Designs Data Analysis and Reporting Findings
Simple random Every member of the population has a known and equal
sample chance of being selected. •  Open-ended questions are coded and quantified.
Systematic random A member of the population is selected at random and •  All responses are tabulated and analyzed.
sample then every “nth” person is selected.
Stratified random The population is divided into mutually exclusive groups •  Final report includes executive summary, body, tables, and
sample (such as age groups), and random samples are drawn graphs.
from each group.
Cluster (area) sample The population is divided into mutually exclusive groups
(such as blocks), and the researcher draws a sample of
the groups to interview.
(Source: Schiffman and Kanuk)

CONSUMER BEHAVIOUR 33 CONSUMER BEHAVIOUR 34

Consumer Research Consumer Research

CONSUMER BEHAVIOUR 35
Consumer Research