Advertising and Marketing Research Semester-VI- TYBMM
By: M H Lakdawala
[email protected]
Advertising and Marketing Research Semester-VI- TYBMM
RESEARCH FUNDAMENTALS MEANING OF RESEARCH Research in common parlance refers to a search for knowledge. One can also define research as a scientific and systematic search for pertinent information on a specific topic. In fact, research is an art of scientific investigation. The Advanced Learner’s Dictionary of Current English lays down the meaning of research as a careful investigation or inquiry especially through search for new facts in any branch of knowledge. Redman and Mory define research as a “systematized effort to gain new knowledge.” Some people consider research as a movement from the known to the unknown. It is actually a voyage of discovery. We all possess the vital instinct of inquisitiveness for, when the unknown confronts us, we wonder and our inquisitiveness makes us probe and attain full and fuller understanding of the unknown. This inquisitiveness is the mother of all knowledge and the method, which man employs for obtaining the knowledge of whatever the unknown, can be termed as research.
OBJECTIVE OF RESEARCH The purpose of research is to discover answers through the application of scientific procedures. The main aim of research is to find out the truth which is hidden and which has not been discovered as yet. Though each research study has its own specific purpose, we may think of research objectives as falling into number of broad grouping: • To gain familiarity with a phenomenon or to achieve new insights into it (studies with this object in view are termed as exploratory or formulative research studies. • To portray accurately the characteristics of a particular individual, situation or a group (studies with this object in view are known as descriptive research studies); • To determine the frequency with which something occurs or with which it is associated with something else (studies with this object in view are known as diagnostic research studies). • To test a hypothesis of a casual relationship between variables (such studies are known as hypothesis-testing research studies).
Research in Marketing: Marketing Research is the systematic and objective search for and analysis of information relevant to the identification and solution of any problem in the field of marketing. AMA-American Marketing Association) redefines MR: “Marketing Research is the function which links the consumer, customer and public to the marketer through information-information used to identify and define marketing opportunities and problems; generate, refine and evaluate marketing actions; monitor marketing performance and improve understanding of marketing as a process”.
Uses of MR undertaken by companies: *To measure market potentials, characteristics of the market and market share. *To obtain information to make short range and long range forecasts.
*To evaluate new-product opportunities and acceptance, and to test existing products relative to competitors product. *To help companies make better advertising decisions. Other applications of MR *Product optimization or product design studies. *Tracking studies to measure brand acceptance or usage. *Basic marketing strategy studies *Advertising campaign testing. Advertising pre-testing or copy testing. Why do we need MR? *We don’t know enough about the consumer/potential customers. *MR is to get to know them-their buying behavior, their attitudes, their tastes, their habits etc. *Budget for advertising/ product development is tremendous. *Branding effort is long-term.
ADVANTAGES OF MR
R M
For decision makers, faced with the decisions and doubts described above, what should be the benefits of having research conducted? The most universal and usually most vital is this: reduction of uncertainty. If research findings contribute any relevant knowledge of what exists, that the decision maker was ignorant of, or if it provides new clues to what is likely in the future, they should enable a more accurate conclusive decision to be reached. Uncertainty can not be wholly eliminated with relevant research, but it may be markedly reduced. Research also may be of benefit in ways ordinarily thought of as uncertainty reduction:
(1) Problems may come to light that otherwise would be not be known until they became very serious or even insoluble (2) Objectives may come under re-evaluation when evidence indicates that (a) they may be too high to be feasible under expected conditions or (b) they should be higher due to overlooked opportunity (3) Better alternatives may be revealed or their conception stimulated (4) Marketing research may be useful as evidence in legal matters. We would call attention to other benefits, such as the psychological one of making the decision-maker feel more confident and willing to be decisive. Prejudice against new ideas may be overcome by evidence from the market place. Sociologically, research can keep the executives attuned to changing consumer needs and wants and to the impacts of consumerism. Less laudable are political motives for marketing research, like the executives who wants it to confirm some preconceived ideas and overcome rivals in the organization (but would suppress if they fail to confirm).
LIMITATIONS TO MR Some of the limitations faced by the researchers in MR are: 1. The lack of scientific training in the methodology of research is a great impediment for researchers in our country. There is paucity of competent researchers. Many researchers take a leap in the dark without knowing research methods. Most of the work, which goes in the name of research, is not methodologically sound. Research to many researchers and even to their guides, is mostly a scissors and paste job without any sight shed on the collated materials. The consequence is obvious, viz, the research results, quite often, do not reflect the reality or realities. Before undertaking research projects, researchers should be well equipped with all the methodological aspects. As such, efforts should be made to provide short-duration intensive courses for meeting this requirement. 2. There is insufficient interaction between the university research departments on one side and business establishments, government departments and research institutions on the other side. A great deal of primary data of non-confidential nature remain untouched/untreated by the researchers for want of proper contacts. Efforts should be made to develop satisfactory liaison among all concerned for better and realistic researchers. There is need for developing some mechanisms of a university – industry interaction programme so that academics can get ideas from practitioners on what needs to be researched and practitioners can apply the research done by the academics. 3. Most of the business units in our country do not have the confidence that the material supplied by them researchers will not be misused and as such they are often reluctant in supplying the needed information to researchers. The concept of secrecy seems to be sacrosanct to business organizations in the country so much so that it proves an impermeable barrier to researchers. Thus, there is the need for generating the confidence that the information/data obtained from a business unit will not be misused. 4. Research studies overlapping one another are undertaken quite often for want of adequate information. This results in duplication and fritters away resources. This problem can be solved by proper compilation and revision, at regular intervals, of a list of subjects on which and the places where the research problems in various disciplines of applied science which are of immediate concern to the industries. 5. There does not exist a code of conduct for researchers and inter-university and inter-departmental rivalries are also quite common. Hence, there is need for developing a code of conduct for researchers which, if adhered sincerely, can win over this problem. 6. Many researchers in our country also face the difficulty of adequate and timely secretarial assistance, including computerial assistance. This causes unnecessary delays in the completion of research studies. All possible efforts be made in this direction so that efficient secretarial assistance is made available to researchers and that too well in time. University Grants Commission must play a dynamic role in solving this difficulty. 7. Library management and functioning is not satisfactory at many places and much of the time and energy of researchers are spent in tracing out the books, journals, reports, etc., rather than in tracing out relevant material from them.
8. There is also the problem that many of our libraries are not able to get copies of old and new Acts/Rules, reports and other government publications in time. This problem is felt more in libraries, which are away in places from Delhi and/or the state capitals. Thus, efforts should be made for regular and speedy supply of all governmental publications to reach our libraries.
Research in Advertising: The foundation of any successful advertising campaign is the understanding of motivations, perceptions and attitudes behind consumers’ choice.
Research is an important tool and is used most often in the following ways. 1) 2) 3) 4) 5) 6) 7)
To help identify consumers. To help look for new ideas in products or services. To help improve current offerings. To help pinpoint causes of certain problems. To monitor activities. To help in communication development. To study promotional tools.
Objectives of advertising research We can distinguish four possible objectives for advertising research. These are, in time-order: 1. To help define advertising strategy and to provide understanding of the market and the target consumer. 2. To provide a basis for developing and modifying campaign ideas through looking at consumer reactions. 3. To provide a basis for final decisions about whether or not a campaign is fit to run. 4. To help us decide what our advertising has achieved once it has been exposed. This should be seen as a cyclical process, since the output of research done to meet the fourth objective feeds naturally back into the first objective for the development of a subsequent campaign. Advertising research primarily relates to three critical decisions that have to be made to develop an advertising program. 1. Setting objectives. 2. Selecting the message and 3. Choosing appropriate media vehicles.
Advertising research is a part of MR AMR also includes: Product research Pricing research Sales research and Distribution research
Research process: 1. 2. 3. 4. 5. 6. 7. 8. 9.
Define Research Problem/objective Determine Expected value of perfect information Research technique and Determine Data Collection method Determine the measurement techniques Research Design/ Sampling Data Processing and Analysis Determine Time And cost Define the ethics of research Prepare the research report
Step1: Define Research Problem/objective State the research questions and research objectives a. PROBLEM DISCOVERY It involves a search for causation among symptoms, problems, and decisions. A symptom is a condition that indicates the existence of a problem, and we, must be careful not to confuse this with a problem. Symptoms occupy an essential place in the problem-solving process, for the underlying problem. A problem exists whenever one faces a question whose answer – or a need whose fulfilment – involves doubt and uncertainty. If there is no answer or solution, there is no problem (although the consequences might be terrible); and if there is only a single possible answer or solution, there is no problem. A decision is a determination or resolution of a question. In the terms of a business executive, a decision is the determination of a course of action to be taken. Many routines or repetitive decisions to which marketing research is applied often invoke a complex of problems, and considerable work is entailed in the choice of the best available course of action. Business problems are not found by surprise or accidental circumstances. The persons who find problems are sensitized to be on the alert and are prepared to find them. Always there is evidence that the searching mind penetrates with insight. Our abilities can go beyond intuition or a sixth sense. Fortunately, there are means available to sharpen our capacities in problem discovery. First, an understanding of the different types of difficulties or symptoms which may call for decisions is useful. Second, provision of a marketing information system may often signify the existence of the problem to a decision maker. b. PROBLEM DEFINITION
The first step in any marketing research project is to define the problem. In defining the problem, the researcher should take into account the purpose of the study, the relevant background information, what information is needed, and how it will be used in decision making. Problem definition involves discussion with the decision-makers, interviews with industry experts, analysis of secondary data, and, perhaps, some qualitative research, such as focus groups. Once the problem has been precisely defined, the research can be designed and conducted properly. c. RESEARCH OBJECTIVES The research objective is a statement, in as precise terminology as possible, of what information is needed. The research objective should be framed so that obtaining the information will ensure that the research purpose is satisfied. D. HYPOTHESES DEVELOPMENT Development of an approach to the problem includes formulating an objective or theoretical framework, analytical models, research questions, hypotheses, and identifying characteristics or factors that can influence the research design. This process is guided by discussions with management and industry experts, case studies and simulations, analysis of secondary data, qualitative research, and pragmatic considerations.
Hypothesis Definition: Tentative theory or supposition provisionally adopted to explain certain facts and guide the investigation of others. Hypothesis is tentative and declarative statement formulated to be tested describing relationship between concepts. A good hypothesis is set during exploratory research and tested during conclusive research. Types of Hypothesis: 1. Null Hypothesis (H0): The hypothesis you will continue to believe unless your data convince you otherwise. You usually don’t like the null hypothesis, and you would prefer not to believe it, but as the Rolling Stones said, “You can’t always get what you want.” 2. Alternative Hypothesis (HA or H1): The opposite of the null hypothesis, usually that which you are trying to “prove” with your data. We construct the hypotheses such that logically, either H0 is true or HA is true. Between them, they cover all possible outcomes.
Step2: Determine Expected value of perfect information Greater the information available the better the management is poised to take a decision. However care should be taken to note that the sourcing of the information should not cost the Management greater than the value of the information generated.
The Value of Information • • • • • • • •
Information can be useful, but what determines its real value to the organization? In general, the value of information is determined by: The ability and willingness to act on the information. The accuracy of the information. The level of indecisiveness that would exist without the information. The amount of variation in the possible results. The level of risk aversion. The reaction of competitors to any decision improved by the information. The cost of the information in terms of time and money.
Characteristics of Valuable Information Relevance Quality Timeliness Completeness Basic Questions How much will the study cost? Is the time frame acceptable? Is outside help needed? Will this research design attain the stated research objectives? When should the research be scheduled to begin?
Step3: Research Technique and Determine Data Collection method Basic Types of Research Approaches or Research Technique There are two broad categories of research: qualitative research and quantitative research. Difference between Qualitative &Quantitative research The number of people you speak to determines whether the research is considered qualitative or quantitative. In a qualitative research study, such as a focus group, you are gathering information from a small number of people (typically under 100). On the other hand, in a quantitative study, such as a telephone survey, you are gaining input from a large number of people (normally at least 200). Qualitative research is used when it is important to understand why someone does something, such as respond favorably to an advertisement. Quantitative research is used when you are seeking to learn how many people in a population are likely to respond a certain way, such as vote. A. Qualitative Research - uses words, rather than numbers, to explain research findings. B. Quantitative Research - uses numbers in a form of mathematical analysis to explain research findings. Some examples of when qualitative research is helpful include: Testing response to advertising messages and concepts Analyzing response to products and features Exploring what issues should be tested during quantitative research Quantitative research is the method to use when: Measuring market size Analyzing demand of a new product Determining how many people exhibit a particular attitude or behavior Measuring the size of particular market segments Quantitative research is the method to use when: Measuring market size Analyzing demand of a new product Determining how many people exhibit a particular attitude or behavior Measuring the size of particular market segments
Qualitative methods have at least four distinguishing characteristics: 1. Small numbers of respondents. The idea is to devote a considerable amount of time on each interview to get to the heart of a matter. 2. Unstructured question formats. That is, the questions are not completely predetermined and the interviewer is free to probe for all details and underlying feelings. 3. Indirect measurement of respondents' feelings and beliefs. Respondents provide descriptive information about their thought and feelings. These are not easily projected to the population.
4. Direct observation. The interviewer not only records answers but observes how questions affect interviewees. Hesitant answers, agitation, smiling, sweating, calmness, boredom etc. are all observable and all tell us something about the individuals’ state of mind.
Data collection technique or research Technique: Data play an important role in research. Facts, information or premises systematically collected and formally presented for the purpose of drawing inferences may be called data. Sources of Data - Primary and Secondary There are two main sources of data - primary and secondary. Primary research is conducted from scratch. It is original and collected to solve the problem in hand. Secondary research, also known as desk research, already exists since it has been collected for other purposes.
A. Method of collecting primary data 1. Types of Surveys: A. Face-to-face Interviews. Face-to face interviews are conducted between a market researcher and a respondent. Data is collected on a survey. Some surveys are very rigid or 'structured' and use closed questions. Data is easily compared. Other face-to-face interviews are more 'in depth,' and depend upon more open forms of questioning. The research will probe and develop points of interest. Advantages of face-to-face interviews They allow more 'depth' Physical prompts such as products and pictures can be used Body language can emphasize responses Respondents can be 'observed' at the same time Disadvantages of face-to-face interviews Interviews can be expensive It can take a long period of time to arrange and conduct. Some respondents will give biased responses when face-to-face with a researcher B. Mall-Intercept - Interview consumers in shopping malls or other high-traffic locations (usually done in public areas or interviewees may be taken to some nearby private area). Also used to screen people for inclusion in focus groups. (this method is relatively simple, yet effective & efficient) C. Executive Interview - Interviews conducted with business people about products or services. (Very expensive and time consuming.) D. From-Home Telephone Interview - Interviewers use their home phones to interview respondents, who are usually consumers & industrial users of products. Advantages of telephone interviews Can be geographically spread Can be set up and conducted relatively cheaply Random samples can be selected Cheaper than face-to-face interviews Disadvantages of telephone interviews
Respondents can simply hang up Interviews tend to be a lot shorter Visual aids cannot be used Researchers cannot behavior or body language
Central Location Telephone Interview - Interviewers make calls from a company facility to reach and interview respondents. This allows the supervisor to unobtrusively monitor the interviewing while it is taking place, and can also facilitate the use of computer assisted interviewing capabilities [see next]. Computer Assisted Telephone Interview (CATI) - Central location telephone interviewing in which the interviewer enters answers directly into the computer.This allows the interviewer to input responses directly into the data set which avoids the cost and processing errors associated with manual coding and entering of data into the computer sometime after the interviews generated the raw input data on paper. E. Direct Computer Interview - Consumers are intercepted in a mall and interviewed by a computer that asks questions and accepts responses from the consumer's (participant's/ subject's) own hand. F. Self-Administered Questionnaire - A questionnaire filled out by the respondent with no interviewer present. Used in mall-intercepts, classrooms and mail surveys. G. Mail Surveys - Questionnaires are mailed to a sample of consumers or industrial users, along with instructions, postage paid return envelopes, and cover letters. Respondents complete and return the questionnaires by mail. The most serious problem with mail surveys is that the response rates are often very low (e.g., often less than 10%). a) Ad Hoc (one shot) Mail Surveys - Questionnaires are sent to selected names and addresses with no prior (no pretest) or posttest contact. b) Mail Panel - Participants are precontacted and screened, then periodically sent questionnaires for completion to produce data for a series of studies.
H. The Internet The Internet can be used in a number of ways to collect primary data. Visitors to sites can be asked to complete electronic questionnaires. However responses will increase if an incentive is offered such as a free newsletter, or free membership. Other important data is collected when visitors sign up for membership. Advantages of the Internet • Relatively inexpensive • Uses graphics and visual aids • Random samples can be selected • Visitors tend to be loyal to particular sites and are willing to give up time to complete the forms Disadvantages of the Internet • Only surveys current, not potential customers. • Needs knowledge of software to set up questionnaires and methods of processing data • May deter visitors from your website. 2. OBSERVATION
I. The Nature of Observation Research A. Observation Research - Observing consumers without communicating with them.
It is the systematic process of recording the behavioural patterns (or events) of people, objects, and occurrences without questioning or communicating with them. Conditions for Using "Observations" in Research: (all three must be present) 1. The desired information must be inferable from observation of subjects' behavior; 2. The behavior of interest must be frequent, repetitive, or predictable; and 3. The behavior of interest must be of relatively short duration.
Approaches to Observation Research: 1. Natural versus Contrived Observations - Natural refers to counting naturally occurring events. Contrived refers to setting up an experiment, where most or all of the participants are at least aware of the specifics of the observations (such as when, where, and which products or services are involved in the exercise) that are being conducted. 2. Disguised versus Undisguised (Open) Observations - Disguised refers to the process of monitoring people, objects, or occurrences that do not even know they are being watched, much less why. Undisguised refers to OPEN OBSERVATIONS which is the process of monitoring people who know they are being watched (whether contrived or not). 3. Structured versus Unstructured Observations - Structured refers to a study in which the observer fills out a questionnaire-like form, or counts the number of times an activity occurs. Unstructured refers to a study in which the observer simply makes notes on the behavior being observed. (It is usually used when the researcher doesn't know much about the behavior or subject of interest; used in this way, it is a preliminary study to be followed later by a structured study or observation.) 4. Human versus Machine Observer - The use of machines, such as cameras and traffic counting devices, are less expensive, more accurate, and can be deployed faster than humans. Thus, they are used when the situation allows and when the machines are available. 5. Direct or Indirect Observations - Most marketing observations directly observe current behaviors. However, past behavior can be indirectly observed by reviewing some record or evidence of past behaviors or lack thereof (such as how much of a product was "unused" over some period of time).
Types of observation research
I. Human Observations - refers to people (rather than machines) watching other people. Types include: A. Mystery Shoppers - people that are employed by a firm to pose as consumers and shop at competitors' stores to compare prices, displays, service performances, cleanliness, and the like. B. One-Way Mirror Observations - The practice of watching unseen from behind a one-way mirror. Often used for product testing and with focus groups. C. Shopper Patterns - refers to drawings that record the footsteps of a shopper through a store. They show the flow of a representative sample of shoppers through a store. [Also used to study the effect of music on shopper behavior. For instance, we know that slow music makes them stay longer and buy more.] D. Content Analysis - A technique used to study written material, usually advertising copy, by breaking it into meaningful units, using carefully applied rules. Content Analysis attempts to determine what is being communicated to a target audience by objectively and systematically describing the communication's content. E. Humanistic Inquiry - A method of inquiry in which the researcher is immersed in [becomes a part of] the system or group under study, rather than using the scientific method of standing apart from the system being studied. F. Audits - are examinations and verifications of the sales of subject products. There are two general categories: Retail audits measure sales to final consumers, and wholesale audits determine the amount of product movement from warehouses to retailers. Retail distribution audits are similar to store audits however these audits do not measure inventory sales: instead they are observational studies at the retail level. Field agents enter stores unannounced and without permission. They observe and record the brands present, price, shelf facings and other relevant data for selected product categories. Audits provide relatively precise information on the movement of many different types of goods. Since most products are not sold directly to the end user, but to retailers, wholesalers and distributors, the manufacturer does not have information on sales at the retail level. Even though information on factory shipments are available, warehouse stocks might be accumulating because of limited retail sales. Moreover, audits give information on how competing products are faring in the marketplace.
II. People Watching an Activity Audits: - are examinations and verifications of the sales of subject products. Audits involve the physical inspection of inventories, sales receipts, shelf facings, prices, and other aspects of the marketing mix to determine sales, market share, relative price, distribution, or other relevant information.
III. Machine Observation Types: A. Traffic Counters - Machines used to measure vehicular flow over a particular stretch of roadway. B. Physiological Measurement - refers to measuring the level of involuntary change in a person's activation based upon the stimuli of interest.
Activation - refers a person's feeling of arousal, inner tension, or alertness. Activation is stimulated via a subcortical unit, called the reticular activation system (RAS), which is located in the human brainstem. 3. EXPERIMENTATION
Experiment -- refers to a research project constructed such that the researcher (experimenter) changes one element (an explanatory or independent variable) to observe the effect of that change on another element (the dependent variable). An experiment measures the change in the dependent variable created by a specific, controlled change in another variable(s) which is called the independent variable(s). This is done by controlling or holding constant the other independent variables while manipulating the independent variable(s) of interest, and measuring the change created in the dependent variable. Thus, the researcher is an active participant in the research process instead of a passive collector of data as with the survey or observation methods of research.
Experimental Settings - are three types: 1. Laboratory Experiments - Tests done in a sterile environment in which the researcher can control almost all possible causal factors. However, while the laboratory allows the researcher to control the variables involved, the lab may not accurately represent the real marketplace. Thus, the research results my not hold up when transferred to (generalized to) the actual marketplace. Thus, lab results are said to have good internal validity, but often lack external validity. This suggests that lab results are more likely to be statistically correct than results from field experiments, but less likely to be generalizable to the population of interest which is always located outside of the laboratory. 2. Field Experiments - Tests conducted outside the laboratory in an actual market environment. A test market is a good example. This solves the problem of realism of the test environment, but factors other than the independent variable(s) of interest may influence the observed changes in the dependent variable of interest because the researcher cannot control all other independent variables that may affect the dependent variable. For instance, the researcher cannot control nor even precisely measure the effects of competitive actions, the weather, the economy, societal trends, the political climate, nor other elements of the uncontrollable environment. Thus, field experiments often lack internal validity, while having better external validity. This suggests that the results have a better chance of being statistically wrong, but they are more likely generalizable to other similar market situations, if they are statistically correct. 3. Continuous research: Certain types of data are gathered on a regular basis as opposed to the ad hoc survey. Moreover, researchers will use standardized methods in order that the data collected at one point in time is comparable with that collected at other times. In this way, a picture of market trends can be built up. This type of longitudinal research is often funded on a syndicated basis. Syndicated research usually involves an independent research company collecting data and supplying it simultaneously to a number of clients.
Diary panels Diary panels involve samples of households that have agreed to provide specific information regularly over an extended period of time. For this reason they are often referred to as continuous panels. Respondents are asked to keep a specially designed dairy. a. Media panels are primarily used for establishing advertising rates for radio, television and printed media. Purchase panel data can be used to forecast sales levels or market shares of new products, for identifying trends and establishing demographic profiles of specific user groups, for evaluating test markets, for testing different advertising campaigns and for estimating brand switching and repeat purchase rates. Although the discussion has focused on consumer panels it should be noted that panels can, and have been, successfully established using farmers. b. Consumer Purchase Panels or Omnibus Panels Of these types of panels, the consumer purchase panel is the most often used and has the widest range of applications. Such panels have been established by many different organizations, including the government, various universities, newspapers, manufacturers, and marketing research firms. The typical consumer purchase panel furnishes information at regular intervals on continuing purchases of the products covered. The type of product, brand, weight or quantity of unit, number of units, kind of package or container, price per unit, whether a special promotion was in effect, store name, and date and day of week are reported for each product bought. Advantages of consumer Panels Can Provide Information On: Aggregate Sales Activity Brand Shares Shifts in Buyer Characteristics Shifts in Retail Outlets Limitations of Consumer Panels Possibility of Selection Bias Mortality Effect Testing Effects
4. Focus group discussions (F.G.Ds): The standard focus group interview involves 8 and 12 individuals and lasts about 2 hours. Normally each group is designed to reflect the characteristics of a particular market segment. The respondents are selected according to the relevant sampling plan and meet at a central location that generally has facility for taping and/ or filming the interviews. In Europe, focus tend to consist of 6 to 8 respondents, vary in length from 1.5 to 4 hours and are often conducted in the home of the recruiter. Otherwise the interviewers are similar. The discussion itself is “led” by a moderator. The moderator attempts to progress through three stages during the interviewer: (1) establish rapport with the group, structure the rules of group interaction, and set objectives; (2) provoke intense discussion in the relevant areas; and (3) summarize the group’s responses to determine the extent of agreement. The general either the moderator or a second person prepares a summary of each session after analyzing the session’s transcript. Focus Group Interviews can be applied to: 1. Basic- need studies for product idea creation, 2. New product idea or concept exploration, 3. Product positioning studies,
4. 5. 6. 7.
Advertising and communications research, Background studies on consumer’s frames or reference, Establishment of consumer vocabulary as a preliminary step in questionnaire development and, Determination of attitudes and behavior.
Advantages 1. Each individual is able to expand and refine their opinions in the interaction with the other members. This process provides more detailed and accurate information than could be derived from each separately. 2. A group interview situation is generally more exciting and offers more stimulation to the participants than the standard depth interviews. 3. The security of being in a crowd encourages some members to speak out when they otherwise would not. 4. As the questions raised by the moderator are addressed to the entire group rather than an individual the answer contains a degree of spontaneity that is not produced by other techniques. 5. Focus groups can be used successfully with children over five. They are also very useful with adults in developing countries where literacy rates are low and survey research is difficult. 88 6. A final major advantage of focus groups is that executives often observe the interview (from behind mirrors) or watch films of the interview.
Disadvantages 1. Since focus group interviews last 1.5 to 3 hours and take place at a central location, securing cooperation from a random sample is difficult. 2. Those who attend group interviews and actively participate in them are likely to be different in many respects from those who do not. 3. There are chances that participants may go along with the popular opinion instead of expressing their own which may be contrary to the popular opinions. 4. The presence of a one-way mirror and /or an observer(s) has been found to distort participant’s responses. 5. The moderator can introduce serious biases in the interview by shifting topics too rapidly verbally or nonverbally encouraging certain answers, failing to cover specific areas, and so forth. 6. Focus groups are expensive on a per respondent basis. Minigroups Minigroups consist of a moderator and 4 and 5 respondents rather than the 8 to 12 used in most focus groups. They are used when the issue being investigated requires more extensive probing than is possible in a larger group. Minigroups do not allow the collection of a confidential or highly sensitive data as might be possible in an individual depth interview. However, they do allow the researcher to obtain substantially depth of response on the topics that are covered. Further the intimacy of the small group often allows discussion of quite sensitive issues. The advantages and disadvantages of minigroups are similar to those of standard focus groups, but on a smaller scale. In principle, these interviews are the same as the previous ones, excepting that they are conducted in groups rather than for individuals. This method is therefore less expensive and less time consuming than the depth interviews. This method is advantageous because it gives excellent leads to consumer attitudes that no other method can give. Another advantage of this method is that each respondent receives stimulation for responding from his group members and so the interviewer need not prompt the interviewee to answer.
The disadvantage here is that one or two members could dominate in the group and others might not get a chance to answer. This would again make it an individual effort.
5. Depth interviews – Depth interviews are frequently used by marketing researchers when direct questioning is impractical, more costly, or less accurate. These techniques generally referred to as Qualitative research. Depth Interviews - (unstructured one-on-one interviews intended to discover deep seated motivations) -One-on-one interviews that probe and elicit detailed answers to questions, often using clinical nondirective techniques to uncover hidden motivations. Thus, psychologists and people with Doctorates in Marketing (which is a combination of applied psychology and applied economics) are often called upon to conduct Depth Interviews, as well as Nominal Grouping Sessions. Individual depth interviews typically require 30-45minutes. The interviewer does not have a specific set of pre-specified questions that must be asked according to the order imposed by a questionnaire. Instead, there is freedom to create questions, to probe those responses that appear relevant, and generally to try to develop the best set of data in any way practical. However the interviewer must follow one rule; one must not consciously try to affect the content of the answers given by the respondents. The respondent. The respondent must feel free to reply to the various questions, probes, and other, subtler, ways of encouraging responses in the manner deemed most appropriate. Subject of interest is discussed in detail. There is no fixed pattern for eliciting information from the respondents. Generally conducted by highly trained interviewers. They must be thorough in probing the respondents. The interviewee is asked about the subject of his choice, coffee, for example, and an attempt is made to explore the respondents’ attitudes in depth by probing extensively into any other areas which may come up. Interviewers have a general series of topics that they will introduce – perhaps such topics as coffee, or sleep, and will introduce them from time to time if the respondent does not bring them up. Tone of the interview is permissive and the respondent is allowed to talk as much as he likes. The interviewer must not influence the answers of the respondent. The interpretation of the answers is very subjective and knowledge of human behavior is required to analyze the information received. Individual depth interviews uses three questioning techniques namely: 1. Laddering involves having respondents identify attributes that distinguish brands by asking questions. Each distinguishing attribute is then probed to determine why it is important or meaningful. These reasons are then probed to determine why it is important, and so forth. The purpose is to uncover the “ network of meanings” associated with the product, brand, or concept. 2. Hidden-issue questioning focuses on individual respondents feelings about sensitive issues. Analysis on focus on common underlying themes across respondents. These themes can then be used to guide advertising development 3. Symbolic questioning requires respondents to describe the opposites of the product/ activity of interest or a specific attribute of the product/ activity. Individual depth interviews have been found to generate more and higher quality ideas on a per respondent basis than either focus or minigroups. They are particularly appropriate when: 1. Detailed probing of an individual’s behavior, attitude or needs is required;
2. The subject matter under discussion is likely to be of a highly confidential nature (e. g. personal investment) 3. The subject matter is of an emotionally charged or embarrassing nature; 4. Certain strong, socially acceptable norms exist (e.g. baby feeding) and the need to conform in a group discussion may influence responses; 5. Where highly detailed understanding of complicated behavior or decision- making pattern (e.g. planning the family holiday) are required; or The interviews are with professional people or with people on the subject of their jobs 9 e.g. finance directors)
6. Projective Techniques Projective Techniques are based on the theory that the description of vague objects requires interpretation and this interpretation can only be based on the individual’s own background, attitudes, and values. The more vague or ambiguous the object to be described the move one must reveal of oneself in order to complete the description. The following general categories of projective techniques are described: association, completion, construction and expression.
1. Association Techniques Association techniques require the subject to respond to the presentation of a stimulus with the first things that come to mind. a. Word association: The word association technique requires the respondent to give the first word or thought that comes to mind after researcher presents a word or phrase. In free association only the first word or thought is required. One of the oldest and simplest projection techniques. Respondents are presented with a number of different words, one at a time. After each word, they are asked to give the first word that comes to mind. The assumption here is that through free words, the respondents will indicate their inner feelings about the subject. Responses are timed so that those responses that respondents “reason out” are identified and taken into account in the analysis. The time limit is usually 5 seconds. The usual way of constructing such a test is to choose many stimulating and “neutral” words. The words are read out to the respondent one at a time, and the interviewer essentially records the “first word” association by the respondent. Respondents should not be asked to write their responses because then the interviewer will not know if the responses were spontaneous or whether the respondent took time to think out the responses. An example of such a test is: who would eat a lot of oatmeal? The first response is “athletes”. This means that the respondent feels that the product is more suited for sportspersons. More words on the same topic will reveal more about the respondent’s attitude about the product. While analyzing the results of word-association tests, responses are arranged along such lines as “favorable - unfavorable” and “pleasant – unpleasant”. b. Successive word association: In successive word association, the respondent is asked to give a series of words or thoughts that occur after hearing a given word. The respondent is generally read a number of relatively neutral terms to establish the technique. Then the words of interest to the researcher are presented, each separated by several neutral terms. The order of presentation of the key words is randomized to prevent any position or order bias from affecting the results. The most common
approach to analyzing the resulting data is to analyze the frequency with a particular word or category or word is given in response to the word of interest to the researcher. Word association techniques are used in testing potential brand names and occasionally for measuring attitudes about particular products, product attributes, brands, packages or advertisements.
2. Completion Techniques This technique requires the respondent to complete an incomplete stimulus. Two types of completion are of interest to marketing researchers- sentence completion and story completion. a. Sentence completion, as the name implies, involves requiring the respondent to complete a sentence. In most sentence completion tests the respondents are asked to complete the sentence with a phrase. Generally they are told to use the first thought that comes to their mind or “anything that makes sense”. Because the individual is not required directly to associate himself or herself with the answer conscious or subconscious defenses are more likely to be relaxed and allow a more revealing answer. The respondent is given a number of incomplete sentences and asked to complete them. The rule here too, is that respondent must fill in the first thought that comes to mind. Responses are timed. Here the interviewer gets more information than the word association technique. However, it is difficult to disguise the motive of the study from the respondent, who is usually able to diagnose the investigator’s purpose of study. For example, “a man who reads Sportstar is ------------------------------------------.” The sentences can be worded in either first or third person. No evidence suggests that one of these approaches could be better than the other.
b. Story completion is an expanded version of sentence completion. As the name suggests part of a story is told and the respondent is asked to complete it. Respondents are given a half-completed story. This is enough to draw their attention to a particular issue, but the ending is left vague, so that responses can be varied. This technique is very versatile and has numerous applications to marketing problems. The findings about products/ services give companies inputs to determine advertising and promotional themes and product characteristics.
3. Construction Techniques This technique requires the respondent to produce or construct something generally a story, dialogue, or description. They are similar to completion techniques except that less initial structure is provided. a. Third- person techniques allow the respondent to project attitudes onto some vague third person. This third person is generally “an average woman”, “your neighbors”, “the guys where you work”, “most doctors” or the like. Thus instead of asking the respondent why he or she did something or what he or she thinks about something the researcher asks what friends, neighbors or the average person thinks about the issue. b. Picture response, another useful construction technique, involves using pictures to elicit stories. These pictures are usually relatively vague, so that the respondent must use his or her imagination to describe what is occurring.
These are similar to story completion method, except that here pictures are used as the stimuli. The two main methods used here are i. Thematic Apperception Tests (TAT) ii. Cartoon method
i. TAT Clinical psychologists have long used this method. Here the respondent is shown many ambiguous pictures and he is asked to spin stories about them. The interviewer may ask questions to help the respondent to think. For example “what is happening here?” makes the answer focused towards an action. Or “which one is the aggressor?” makes the respondent think about the picture as one of aggression. The reason that respondents must be asked such prompting questions is that the pictures are very abstract and general and as such are open to very broad and irreverent interpretations. So some amount of focus is needed to channel the respondent’s thinking. Each subject in the pictures is a medium through which the respondent projects his feelings, ideas, emotions and attitudes. The respondent attributes these feelings to the characters because he sees in the picture something related to himself. Responses differ widely and analysis depends upon the ambiguity of the picture, the extent to which the respondent is able to guess the conclusions and the vagueness of the support questions asked by the interviewer.
ii. Cartoon Tests They are a version or modification of the TAT, but they are simpler to administer and analyze. Cartoon Characters are shown in a specific situation pertinent to a problem. One or more “balloons” indicating the conversation of the characters is left open. The respondent has to then fill these balloons and then analyzed. Instead of having the bubble show replies or comments, it can be drawn to indicate the unspoken thoughts of one or more of the characters. This device allows the respondent to avoid any restraints that might be felt against having even a carton character speak as opposed to think certain thoughts. c. Fantasy scenario requires the respondent to make up a fantasy about the product or brand. d. Personification asks the respondent to create a personally for the products or brands. With the pictures and words technique, the subjects are given a number of words and pictures and are asked to choose those they associate with a brand or product and to explain their choice. This allows the researcher to discover the more emotional responses to brands and imagery. The product or brand becomes a person (or vice versa) • Helps bring brands to life • Feeling, thought, character etc (like brand values) • Or respondents can project themselves into the roles of user and non-users • Making up eulogies or obituaries can help
4. Expressive Techniques a. Role-playing is the only expressive technique utilized to any extent by marketing researchers. In role playing the consumer is asked to assume the role or behavior of an object or another person, such as a sales representative for a particular department store. The role-playing customer can then be asked to try to sell a given product to a number of different “consumers” who raise varying objections. The means by which the role player attempts to overcome these objections can reveal a great deal about his or her attitudes. Another
version of the technique involves studying the role-player’s attitudes on what type of people ”should” shop at the store in question. b. Third-person technique: The respondent is presented with a verbal or visual situation and the respondent is asked to relate the beliefs and attitudes of a third person rather than directly expressing personal beliefs and attitudes. This third person may be a friend, neighbor, colleague, or a “typical” person
Advantages of Projective Techniques 1. They may elicit responses that subjects would be unwilling or unable to give if they knew the purpose of the study. 2. Helpful when the issues to be addressed are personal, sensitive, or subject to strong social norms. 3. Helpful when underlying motivations, beliefs, and attitudes are operating at a subconscious level. 4. Disadvantages of Projective Techniques 5. Suffer from many of the disadvantages of unstructured direct techniques, but to a greater extent. 6. Require highly trained interviewers. 7. Skilled interpreters are also required to analyze the responses. 8. There is a serious risk of interpretation bias. 9. They tend to be expensive. 10. May require respondents to engage in unusual behavior. 11. Guidelines for Using Projective Techniques 12. Projective techniques should be used because the required information cannot be accurately obtained by direct methods. 13. Projective techniques should be used for exploratory research to gain initial insights and understanding. 14. Given their complexity, projective techniques should not be used naively.
Disadvantages of Projective Techniques 1. 2. 3. 4. 5. 6.
Suffer from many of the disadvantages of unstructured direct techniques, but to a greater extent. Require highly trained interviewers. Skilled interpreters are also required to analyze the responses. There is a serious risk of interpretation bias. They tend to be expensive. May require respondents to engage in unusual behavior.
Guidelines for Using Projective Techniques 1. Projective techniques should be used because the required information cannot be accurately obtained by direct methods. 2. Projective techniques should be used for exploratory research to gain initial insights and understanding. 3. Given their complexity, projective techniques should not be used naively.
B. Method of collecting secondary data
Secondary data were collected for some purpose other than helping to solve the current problem. Where as primary data are collected expressly to help solve, the problem at hand. Secondary data is data which has been collected by individuals or agencies for purposes other than those of our particular research study. For example, if a government department has conducted a survey of, say, family food expenditures, then a food manufacturer might use this data in the organisation's evaluations of the total potential market for a new product. No marketing research study should be undertaken without a prior search of secondary sources (also termed desk research). There are several grounds for making such a bold statement. Secondary data may be available which is entirely appropriate and wholly adequate to draw conclusions and answer the question or solve the problem. Sometimes primary data collection simply is not necessary. It is far cheaper to collect secondary data than to obtain primary data. For the same level of research budget a thorough examination of secondary sources can yield a great deal more information than can be had through a primary data collection exercise.
The time involved in searching secondary sources is much less than that needed to complete primary data collection. Secondary sources of information can yield more accurate data than that obtained through primary research. This is not always true but where a government or international agency has undertaken a large scale survey, or even a census, this is likely to yield far more accurate results than custom designed and executed surveys when these are based on relatively small sample sizes. It should not be forgotten that secondary data can play a substantial role in the exploratory phase of the research when the task at hand is to define the research problem and to generate hypotheses. The assembly and analysis of secondary data almost invariably improves the researcher's understanding of the marketing problem, the various lines of inquiry that could or should be followed and the alternative courses of action which might be pursued. Secondary sources help define the population. Secondary data can be extremely useful both in defining the population and in structuring the sample to be taken. For instance, government statistics on a country's agriculture will help decide how to stratify a sample and, once sample estimates have been calculated, these can be used to project those estimates to the population. Sources of information Secondary sources of information may be divided into two categories: internal sources and external sources. Internal sources of secondary information Sales data: All organizations collect information in the course of their everyday operations. Orders are received and delivered, costs are recorded, sales personnel submit visit reports, invoices are sent out, and returned goods are recorded and so on. Much of this information is of potential use in marketing research but a surprising amount of it is actually used. Organizations frequently overlook this valuable resource by not beginning their search of secondary sources with an internal audit of sales invoices, orders, inquiries about products not stocked, returns from customers and sales force customer calling sheets. For example, consider how much information can be obtained from sales orders and invoices: • • • • • •
Sales by territory Sales by customer type Prices and discounts Average size of order by customer, customer type, geographical area Average sales by sales person and Sales by pack size and pack type, etc.
This type of data is useful for identifying an organization’s most profitable product and customers. It can also serve to track trends within the enterprise's existing customer group. Financial data: An organization has a great deal of data within its files on the cost of producing, storing, transporting and marketing each of its products and product lines. Such data has many uses in marketing research including allowing measurement of the efficiency of marketing operations. It can also be used to estimate the costs attached to new products under consideration, of particular utilisation (in production, storage and transportation) at which an organization’s unit costs begin to fall. Transport data: Companies that keep good records relating to their transport operations are well placed to establish which are the most profitable routes, and loads, as well as the most cost effective routing patterns. Good data on transport operations enables the enterprise to perform trade-off analysis and thereby establish whether it makes economic sense to own or hire vehicles, or the point at which a balance of the two gives the best financial outcome.
Storage data: The rate of stockturn, stock handling costs, assessing the efficiency of certain marketing operations and the efficiency of the marketing system as a whole. More sophisticated accounting systems assign costs to the cubic space occupied by individual products and the time period over which the product occupies the space. These systems can be further refined so that the profitability per unit, and rate of sale, are added. In this way, the direct product profitability can be calculated. External sources of secondary information The marketing researcher who seriously seeks after useful secondary data is more often surprised by its abundance than by its scarcity. Too often, the researcher has secretly (sometimes subconsciously) concluded from the outset that his/her topic of study is so unique or specialised that a research of secondary sources is futile. Consequently, only a specified search is made with no real expectation of sources. Cursory researches become a self-fulfilling prophecy. Large numbers of organizations provide marketing information, including national and local government agencies, quasi-government agencies, trade associations, universities, research institutes, financial institutions, specialist suppliers of secondary marketing data and professional marketing research enterprises. Dillon et al further advice that searches of printed sources of secondary data begin with referral texts such as directories, indexes, handbooks and guides. These sorts of publications rarely provide the data in which the researcher is interested but serve in helping him/her locate potentially useful data sources. The main sources of external secondary sources are (1) government (federal, state and local) (2) trade associations (3) commercial services (4) national and international institutions. Government statistics These may include all or some of the following: · Population censuses · Social surveys, family expenditure surveys · Import/export statistics · Production statistics · Agricultural statistics. Trade associations Trade associations differ widely in the extent of their data collection and information dissemination activities. However, it is worth checking with them to determine what they do publish. At the very least one would normally expect that they would produce a trade directory and, perhaps, a yearbook. Commercial services Published market research reports and other publications are available from a wide range of organisations which charge for their information. Typically, marketing people are interested in media statistics and consumer information which has been obtained from large scale consumer or farmer panels. The commercial organization funds the collection of the data, which is wide ranging in its content, and hopes to make its money from selling this data to interested parties. National and international Bank economic reviews, university research reports, journals and articles institutions are all useful sources to contact. International agencies such as World Bank, IMF, IFAD, UNDP, ITC, FAO and ILO produce a plethora of secondary data which can prove extremely useful to the marketing researcher. .
Step four: Select the Measurement Technique: There are four basic measurement techniques used in marketing research:
A) Questionnaires Design B) Attitude scales,
A) Questionnaires
Questionnaire construction Questionnaires are frequently used in quantitative marketing research. They are a valuable method of collecting a wide range of information from a large number of respondents. Good questionnaire construction is critical to the success of a survey. Inappropriate questions, incorrect ordering of questions, incorrect scaling, or bad questionnaire format can make the survey valueless. A useful method for checking a questionnaire for problems is to pretest it. This usually involves giving it to a small sample of respondents, then interviewing the respondents to get their impressions and to confirm that the questions accurately captured their opinions.
STRUCTURED Vs UNSTRUCTURED DATA COLLECTION The data collection through questionnaires can be done through four ways as follows; 1. Structured disguised 2. Structured - nondisguised 3. Non-structured - disguised 4. Non structured - nondisguised Note : non disguised data collection is also called as direct method & disguised is also called as indirect method . Structured data collection A structured data collection is a formal list of questions framed so as to get the facts. The interviewer asks the questions strictly in accordance with pre- arranged order. For e.g. this method can be used when the information is based on the expenditures of the consumer on different types of clothing like. Cotton woolen or
synthetic, etc. This structured questionnaire can be of two types, disguised and non- disguised, based on whether the object or the purpose of the survey is revealed to the respondent. The main advantage of this method is that, the information can be collected in a systematic and orderly manner. However when it comes to personal questions, this method seems to be less effective. Structured disguised: - in this case the researcher does not disclose the object of the interview, because he feels that by revealing that the very purpose of the interview will get defeated. Structured - nondisguised: - in this case the everything is pre- arranged and the researcher reveals the objective of the survey to the respondent. This is the most widely followed approach in market research. This is because it is generally felt that the respondent should be taken into confidence, so that he can realize the relevance and give desired information. Non-structured data collection It is a kind of data collection method where the data to be collected is not pre- arranged or not listed in a proper structured format. Therefore the entire responsibility is left on the researcher to ask the respondent, in the way he feels fit. The researcher only has certain main points on which he develops the questions to be asked. Such a method is devoid of rigidity and the researcher has sufficient amount of freedom to collect the data in the order he wants. Normally this kind of method is used in exploratory research This kind of data collection is most suitable when it comes to personal or motivational factors. Again here there are two main types of non-structured methods of data collection. (1) Non structured disguised: - again here the objective of interview is not described to the respondent (2) Non structured - non-disguised: - like in case of structured non- disguised, the respondent is taken into confidence by revealing the purpose of the survey. CONCLUSION: The researcher should use the already viable data only when he finds them reliable, suitable and adequate. But he should not blindly discard the use of such data if they are readily available from authentic sources and are also suitable and adequate for in that case it will not be economical to spend time and energy in field surveys for collecting information. At times there may be wealth of usable information in the already available data which must be used by an intelligent researcher but with due precaution.
Guidelines for Devising a Good Questionnaire The wording must be kept simple : no technical or specialized words. Use short sentences. Writing style should be conversational, yet concise and accurate. 2. The meaning should be clear. Avoid ambiguous words and equivocal sentence structures. Avoid double negatives. Even single negatives should be reworded as positives. 3. Avoid biasing the responses. A biased question or questionnaire encourages respondents to answer one way rather than another. Avoid “loaded” questions. 4. Ask one question at a time. Avoid complex questions. If more than one question is hidden in a survey question, the researcher will not know which one the respondent is answering. 5. Avoid personal or intimate questions. Most people will not answer them. 6. Consider the respondent’s frame of reference. What is their background, and how will this effect their interpretation of the questions? Do respondents have enough information or expertise to answer the question? 1.
Ask yourself if each question is really necessary. Unneeded questions are an expense to the researcher and an unwelcome imposition on the respondents. To answer this question, you must consider the objective(s) of the research. 8. Ask yourself what type of data analysis techniques are available for various kinds of questions. Will the question provide you with the statistical analysis that you want? 9. What type of content will responses to the question yield? Will the question responses provide facts, beliefs, feelings, descriptions of past behavior, or standards of action? 10. What type of scale, index, or typology should be used? 11. How should the questions be presented on the page (or computer screen)? How much white space? How many colours? Do you use pictures, charts, or other graphics? It should be colourful enough to gain and maintain respondent interest, but not so graphic as to distract from the of the questions. 12. Should questions be open-ended or should respondents’ answers be limited to a fixed set of responses? 13. What order should the questions be in? Is there a “natural” grouping to the questions? Will previous questions bias later questions? 14. Should the questions be numbered? Generally this is a good idea. 15. Are possible responses mutually exclusive? The respondent should not find themselves in more than one category, for example in both the “married” category and the “not living with spouse” category. Categories should not overlap. 16. Is the list of possible question responses inclusive? The respondent should not find themselves with no category that fits their situation. 17. Is the questionnaire going to be administered by research staff, or will it be self-administered by the respondents. Self administered questionnaires must give clear, detailed instructions. 7.
Principles of Developing Questions 1. 2. 3. 4. 5. 6. 7.
Be clear and precise. Response choices should not overlap. Use natural and familiar language. Do not use words or phrases that show bias. Avoid double-barreled questions. State explicit alternatives. Questions should meet criteria of validity and reliability.
Types of Questions 1. Contingency questions - A question that is answered only if the respondent gives a particular response to a previous question. This avoids asking questions of people that do not apply to them (for example, asking men if they have ever been pregnant). 2. Matrix questions - Identical response categories are assigned to multiple questions. The questions are placed one under the other, forming a matrix with response categories along the top and a list of questions down the side. This is an efficient use of page space and respondents’ time. 3. Scaled questions - Responses are graded on a continuum (example : rate the appearance of the product on a scale from 1 to 10, with 10 being the most preferred appearance). Examples of types of scales include the Likert scale, semantic differential scale, and rank-order scale 4. Closed ended questions - Respondents’ answers are limited to a fixed set of responses. Most scales are closed ended. Other types of closed ended questions include: * Dichotomous questions - The respondent answers with a “yes” or a “no”. * Multiple choice - The respondent has several option from which to choose. 5. Open ended questions - No options or predefined categories are suggested. The respondent supplies their own answer without being constrained by a fixed set of possible responses. Examples of types of open ended questions include: 6. Completely unstructured - For example, “What is your opinion of questionnaires?”
Qu
Question Sequence 1. 2. 3. 4. 5. 6. 7.
Questions should flow logically from one to the next. The researcher must ensure that the answer to a question is not influenced by previous questions. Questions should flow from the more general to the more specific. Questions should flow from the least sensitive to the most sensitive. Questions should flow from factual and behavioural questions to attitudinal and opinion questions. Questions should flow from unaided to aided questions According to the three stage theory (also called the sandwich theory), initial questions should be screening and rapport questions. Then in the second stage you ask all the product specific questions. In the last stage you ask demographic questions.
B Measurement Scales Definition of attitude: Attitude has been defined by Gene F. Summers as a predisposition to respond to an idea or an object. In marketing, this refers to the consumer’s predisposition about the product or service. If it is favorable, then the consumer is likely to purchase the product or service. Attitudes about products or services are composed of three elements: Beliefs such as the product’s strength or the economy of the product or service Emotional feelings such as likes or dislikes Readiness to respond to the product or service, i.e. to buy it. These three elements combine together to form an image of the product or service in the mind of the consumer. When the car manufacturer, the movie producer or the insurance company refers to the company’s image, they are referring to some general averages of many individuals’ attitudes towards the company. Attitude measurement is commonly referred to as scaling. Measurement Scales Scaling is the measurement of a variable in such a way that it can be expressed on a continuum. Rating your preference for a product from 1 to 10 is an example of a scale. Attributes can be measured on nominal, ordinal, interval, and ratio scales:
Nominal Data A set of data is said to be nominal if the values / observations belonging to it can be assigned a code in the form of a number where the numbers are simply labels. You can count but not order or measure nominal data. For example, in a data set males could be coded as 0, females as 1; marital status of an individual could be coded as Y if married, N if single.
Ordinal Scales They are the simplest attitude measuring scales use din marketing research. They serve to rank respondents according to some characteristics such as favorabiliy to a certain brand, or to rank items such as brands in order of consumer preference. They do not measure the degree of favorability of the different rankings. All the scale tells is that the individual or item has more, less, or the same amount of the characteristic being measured as some other time. They are the most widely used type of scales in marketing research. A set of data is said to be ordinal if the values / observations belonging to it can be ranked (put in order) or have a rating scale attached. You can count and order, but not measure, ordinal data. The categories for an ordinal set of data have a natural order, for example, suppose a group of people were asked to taste varieties of biscuit and classify each biscuit on a rating scale of 1 to 5, representing strongly dislike, dislike, neutral, like, strongly like. A rating of 5 indicates more enjoyment than a rating of 4, for example, so such data are ordinal. However, the distinction between neighboring points on the scale is not necessarily always the same. For instance, the difference in enjoyment expressed by giving a rating of 2 rather than 1 might be much less than the difference in enjoyment expressed by giving a rating of 4 rather than 3.
Interval Scales They separate individuals or items by rank order but measure the distance between rank positions in equal units.
Such a scale permits the researcher to say that the position 4 is above position 3 on the scale, and also the distance from position 5 to 4 is same as from 4 to 3. Such a scale however does not permit conclusions that position 6 is twice as strong as position 3 because no zero position has been established. An interval scale is a scale of measurement where the distance between any two adjacent units of measurement (or 'intervals') is the same but the zero point is arbitrary. Scores on an interval scale can be added and subtracted but cannot be meaningfully multiplied or divided. For example, the time interval between the starts of years 1981 and 1982 is the same as that between 1983 and 1984, namely 365 days. The zero point, year 1 AD, is arbitrary; time did not begin then. Other examples of interval scales include the heights of tides, and the measurement of longitude.
Ratio Scales If one measures the distance between two points as four feet and between two other points as two feet, it is possible say that one distance is twice that of the other because each distance is measured from an absolute zero. A scale that permits such measurements is called ratio scale. While ratio scales are common in physical science, the measurement of attitudes is still so crude that they are of little significance in marketing research. Types of scale used for Measuring Attitudes: 1. Ranking - Rank order preference
2. Rating - Estimates magnitude of a characteristic Rating asks the respondent to estimate the magnitude of a characteristic, or quality, that an object possesses. The respondent’s position on a scale(s) is where he or she would rate an object.
3. Sorting - Arrange or classify concepts Sorting might present the respondent with several concepts typed on cards and require that the respondent arrange the cards into a number of piles or otherwise classify the concepts. 4. Choice - Selection of preferred alternative Choice between two or more alternatives is another type of attitude measurement - it is assumed that the chosen object is preferred over the other.
Attitude Measurement Many of the questions in a marketing research survey are designed to measure attitudes. Attitudes are a person's general evaluation of something. Customer attitude is an important factor for the following reasons: 1. Attitude helps to explain how ready one is to do something. 2. Attitudes do not change much over time. 3. Attitudes produce consistency in behavior. 4. Attitudes can be related to preferences.
Attitudes can be measured using the following Techniques: 1. Simple Attitude Scaling In its most basic form, attitude scaling requires that an individual agree with a statement or respond to a single question. This type of self-rating scale merely classifies respondents into one of two categories; Simplified Scaling Example THE PRESIDENT SHOULD RUN FOR RE-ELECTION _______ AGREE ______ DISAGREE
2. Category Scales A category scale is a more sensitive measure than a scale having only two response categories - it provides more information. Questions working are an extremely important factor in the usefulness of these scales.
Example of Ca
How important were the followin Ooty (check one for each item)
3. Method of Summated Ratings: The Likert Scale An extremely popular means for measuring attitudes. Respondents indicate their own attitudes by checking how strongly they agree or disagree with statements. Response alternatives: “strongly agree”, “agree”, “uncertain”, “disagree”, and “strongly disagree”.
VERY IMPORTANT
Example: Likert Scale for Measuring Attitudes Toward Tennis It is more fun to watch a tough, competitive 20/20 cricket match than to watch a test match. ___Strongly Agree ___Agree ___Not Sure ___Disagree ___Strongly Disagree
CLIMATE ___________ COST OF TRAVEL ___________ Advantages FAMILY ORIENTED ___________ Disadvantages EDUCATIONAL/ HISTORICAL ASPECTS _________ FAMILIARITY WITH
To analyze a Likert Scale, each response category is assigned a numerical value. These examples could be assigned values such as Strongly Agree=1, through Strongly Disagree=5 or the scoring could be reversed., or a –2 through +2 system could be used. They can be analyzed on an item-by-item basis, or they can be summed to form a single score for each individual.
1. It is relatively easy to construct and administer. 2. Instructions that accompany the scale are easily understood; hence it can be used for mail surveys and interviews with children. 1. It takes a longer time to complete as compared to Semantic Differential Scales, etc. 2. Care needs to be taken when using Likert Scales in cross cultural research, as there may be cultural variations in willingness to express disagreement. 4. Semantic Differential
It is a special type of graphic scale, which is increasingly being used, in marketing research. It establishes a connection between the brand and company image studies and also permits the development of descriptive profiles that facilitates comparison of competitive items. The unique characteristics of semantic differential is the use of bipolar scales to rate any product, company or concept of interest. Respondents are given a group of these scales and asked to check on each one point that indicates their opinion of the subject in question. Each scales consist of two opposing adjectives such as good/bad, clean/dirty, most popular/ least popular, etc. which are separated by a continuum divided into seven segments. Respondents are asked to check the segment that represents the degree of the characteristics involved that most closely coincided with their opinion of the product or item being rated. It is best when used for image descriptive purposes and is not recommended for overall attitude measurement. The advantage of using semantic differential is its simplicity, while producing results comparable with those of the more complex scaling methods The method is easy and fast to administer, but it is also sensitive to small differences in attitude, highly versatile, reliable and generally valid.
For e.g.: 1. Perception of national brands and private brands: High quality
3
2
1
0
1
2
3
Low quality
Lower price
3
2
1
0
1
2
3
High price
Higher value
3
2
1
0
1
2
3
Low value
Attractive Packaging
3
2
1
0
1
2
3
Unattractive Packaging
5. Numerical Scales Numerical scales have numbers as response options, rather than “semantic space’ or verbal descriptions, to identify categories (response positions). 6. Stapel Scales Modern versions of the Stapel scale place a single adjective as a substitute for the semantic differential when it is difficult to create pairs of bipolar adjectives. The advantage and disadvantages of a Stapel scale, as well as the results, are very similar to those for a semantic differential. However, the Stapel scale tends to be easier to conduct and administer. A Stapel Scale for Measuring a Store’s Image Department Store Name +3 +2 +1 Wide Selection -1 -2 -3 Select a plus number for words that you think describe the store accurately. The more accurately you think the work describes the store, the larger the plus number you should choose. Select a minus number for words you think do not describe the store accurately. The less accurately you think the word describes the store, the large the minus number you should choose, therefore, you can select any number from +3 for words that you think are very accurate all the way to -3 for words that you think are very inaccurate.
Stapel Scale The Stapel scale is a unipolar rating scale wit h ten categories numbered from -5 to +5, without a neutral point (zero). This scale is usually presented vertically. SEARS +5 +4 +3 +2 +1 HIGH QUALITY -1 -2 -3 -4 X -5
+5 +4 +3 +2X +1 POOR SERVICE -1 -2 -3 -4 -5
The data obtained by using a Stapel scale can be analyzed in the same way as semantic differential data.
7. Thurstone Scale It is one of the Multi Item Scales developed by L.L. Thurstone’s method of Equal Appearing Intervals on the concept that, even though people could not assign quantitative measures to their own attitudes, they could tell
the difference between the attitude represented by two different statements and could identify items that were approximately halfway between the two. The procedure is as follows 1. Collect a large number of statements (perhaps as may as several hundred) related to the attitude in question 2. Have a number of judges (perhaps 20 or more) sort the statements independently into 11 piles that vary from the most favorable statement to neutral statements to most unfavorable statements. 3. Study the frequency distribution of ratings for each statement and eliminate those statements that the different judges have given widely scattered ratings – that are in a number of different piles 4. Determine the scale value of each of the remaining statements – that is, the number of the pile in pile in which the median of the distribution falls 5. Select one of the two statements from each of the 11 piles for the final scale. Those statements with the narrowest range of rating are preferred as the most reliable. Advantages It is important to note that there are 11 attitude positions because in a scale with odd number of parameters, it is easier to identify a neutral position. Disadvantages 1. Thurstone scales are not widely used for Marketing Research because the are time consuming during preparation 2. The ratings may be influenced by the Judges’ personal attitude 3. Different individuals can obtain exactly the same score from agreeing with quite different items. 4. It does not obtain information about the intensity of agreement with the ratings
Comparison of Thurstone and Likert Scale It is obvious that these two scales have a lot in common. They have been widely used in the past. Due to the ordinal nature of the Likert scales, many individuals feel they it may be more reliable that the Thurstone Scale.
8. The Constant Sum Scale The constant sum scale requires the respondent to divide a constant sum, generally 10 or 100, among two or more objects or attributes on order to reflect the respondent’s relative preference for each object, the importance of the attribute, or the degree to which an object contains each attribute. The constant sum scale can be used in two cases: 1. For two objects at a time (paired comparison) or 2. More than two objects at a time (quadric comparison) A constant sum measure of the importance of the same attributes could be obtained from the following procedure: Divide 100 points among the characteristics listed so that the division will reflect how important each characteristic is to your selection of a new automobile. Price Economy Dependability ____ Safety Comfort Style Total
____ ____ ____ ____ ____ 100
All three of the following groups’ average responses to the constant sum scale would be consistent with the rank order results just described:
Price Economy Dependability Safety Comfort Style
Group A 35 30 20 10 3 2 100
Group B 20 18 17 16 15 14 100
Group C 65 9 8 7 6 5 100
With rank order scale the researcher has no way of knowing if price is of importance (GROUP C); part of a general, strong concern for overall cost (GROUP A); or not much important than the other attributes (GROUP B). Constant Sum Scale provides such evidence. Figure 9.8 Constant Sum Scaling F i u g r e 9 .8 C o n st a n t u S m S c l a i n g
Ins tructions Below are eight attributes of bathing soaps. Please allocate 100points among the attributes so that your allocation reflects the relative importance you attach to each attribute. The more points an attribute receives, the more important the attribute is. If an attribute is not at all important, assign it zero points. If an attribute is twice as important as some other attribute, it should receive tw ic e as many points. Form AVERAGE RESPONSES OF THREE SEGMENTS Attribute Segment I Segment II 1. Mildness 8 2 2. Lather 2 4 3. Shrinkage 3 9 4. Price 53 17 5. Fragrance 9 0 6. Packaging 7 5 7. Moisturizing 5 3 8. Cleaning Pow er 13 60 Sum 100 100
Segment III 4 17 7 9 19 9 20 15 100
9. Graphic Rating Scales A graphic rating scale presents respondents with a graphic continuum.
10. Monadic Rating Scale A Monadic Rating Scale asks about a single concept Now that you’ve had your automobile for about 1 year, please tell us how satisfied you are with its engine power and pickup. Completely Satisfied
Very Satisfied
Fairly Well Satisfied
Somewhat Dissatisfied
Very Dissatisfied
S
12. A Comparative Rating Scale A Comparative Rating Scale asks respondents to rate a concept by comparing it with a benchmark
Please indicate how the amount of authority in your present position compares with the amount of authority that would be ideal for this position. TOO MUCH
ABOUT RIGHT
TOO LITTLE
13. An Unbalanced Scale An Unbalanced Scale has more responses distributed at one end of the scale How satisfied are you with the bookstore in the Student Union? Satisfied
Neither Satisfied Nor Dissatisfied
Quite Satisfied
Very Dissatisfied
F ig u re 10 .4 Ba d l d n ce n Un b a ln ce d S ca le s
Figure 10.4 Balanced and Unbalanced Scales Balanced Scale
Unbalanced Scale
Surfing the Internet is
Surfing the Internet is
____ Extremely Good
____ Extremely Good
____ Very Good
____ Very Good
____ Good
____ Good
____ Bad
____ Somewhat Good
____ Very Bad
____ Bad
____ Extremely Bad
____ Very Bad
Validity and Reliability A research has validity when the same result can be achieved independent of what research method is used. The researcher has an objective to achieve a high level of validity to assure that the information gathered and measured actually is what was intended to be measured. This is also known as internal validity. The ability to generalize the results and to be able to apply the results on a whole population is called external validity. Reliability is a requirement for validity. If the reliability is low, one cannot know that one measures what one intended to measure. High levels of reliability provide a fair and trustworthy portrait of reality. This is achieved when the same answers and results are obtained from several independent sources. Furthermore, how the research is conducted and the level of accuracy and precision while treating the information influences the level of reliability. Would the same result be achieved if the research was conducted again with the same problem? One way to achieve objectivity and reliability is by using structured questionnaires with given and pre determined answer alternatives.
Types of Validity: • • • •
Construct validity addresses the question of what construct or characteristic the scale is, in fact, measuring. Construct validity includes convergent, discriminant, and nomological validity. Convergent validity is the extent to which the scale correlates positively with other measures of the same construct. Discriminant validity is the extent to which a measure does not correlate with other constructs from which it is supposed to differ. Nomological validity is the extent to which the scale correlates in theoretically predicted ways with measures of different but related constructs.
Step: Five: Research Design/ Sampling
Meaning of Research Design: After deciding the basic aspects of research project (i.e. formulating research problem, objectives of research, data requirement, sample design, etc) and before the commencement of work of research project, the researcher has to prepare research design. It is a major step in the research process /procedure. The research work will be conducted (i.e. data collection, etc) as per the research design prepared. Research design means to prepare detailed plan and procedures for the conduct of the research project. It is like preparing a master plan/blue print for the conduct of formal investigation. It is the basic plan that guides researcher in the execution of the research project undertaken. It is like road map which enables the researcher to conduct various activities for the completion of research project. In short, research design is a systematic planning, organising and executing a research project within specified time limit and resource allocation. Research design tells the type of data to be collected, the sources of data and the procedures to be followed in data collection. Research design provides suitable framework that guides the collection and analysis of data. Definitions of Research Design: 1. According to David J Luck and Ronald S Rubin, “A research design is the determination and statement of the general research approach or strategy adopted for the particular project. It is the heart of planning. If the design adheres to the research objective, it will ensure that the client’s needs will be served. 2. According to Kerlinger, “Research in the plan, structure and strategy of investigation conceived so as to obtain answers to research questions and to control variance. 3. According to Green and Tull, “ A research design is the specification of methods and procedures for acquiring the information needed. It is the over-all operational pattern or framework of the project that stipulates what information is to be collected from which source by what procedures. Step in planning the Research design 1. Determining work involved in the project. 2. Estimating costs involved 3. Preparing time schedule 4. Verifying results Importance/utility of research design Research design is important as it prepares proper framework within which the research work/activity will be actually carried out. Research design acts as a blue print for the conduct of the whole. Types of Research design: On the basis of information to be collected, research designs can be classified into the following three categories: a) Exploratory research b) Descriptive research c) Casual research
a. Exploratory research: Exploratory research is conducted when the researcher does not know how and why certain phenomenon occurs. Here, the hypothetical solutions or actions are explored and evaluated by the decision-maker. The purpose of the exploratory research is to know the unknown. Exploratory research is undertaken to get the answer to the following question. What alternative courses of action might solve the problem and thereby reach the final objective? Exploratory research is conducted in order to find out causes/reasons behind a specific marketing, media, and advertising problem. It is the starting point in all types of research projects. The purpose of Exploratory research is to define the Media/marketing/advertising problem precisely,collect required information/data relating to the problem and identify alternative courses of action in order to deal with the Media/marketing/ advertising problem. The objective of exploratory research is to generate/discover new ideas.
b. Descriptive research: Descriptive research is undertaken when the researcher desires to know the characteristics of certain groups such as age, sex, occupation, income or education. The objective of descriptive research is to answer the “who, what, when, where and how” of the subject understudy/investigation. Descriptive researches are normally factual and simple. However, such studies can be complex, demanding scientific skill on the part of researcher. Descriptive studies are well structured. It tends to be rigid and its approach cannot be changed often and again. In Descriptive research, the researcher has to give adequate thought to framing research questions and deciding the data to be collected and the procedures to be used for this purpose. Data collected may prove to be inadequate if the researcher is not careful in the initial stages of data collection. Descriptive research is designed to describe the present situation or the features of a group or users of a product. In marketing, such research is undertaken to know the characteristics of certain groups or users of a product such as age, sex education, income etc. Such research studies are based on secondary data or survey research. Uses of Descriptive research: 1. Useful to collect demographic information of consumers/users of a product or issue 2. Used/applied directly for marketing decision making. 3. Useful for finding out views and attitudes of customers or target group. 4. Can be used to make predictions about future marketing or social trends. 5. Discovers the relationship between certain variables. Descriptive research can be divided into the following two categories: a) Cross-sectional b) Longitudinal
Cross-sectional research: It is a study involving a sample of elements from the population of interest at a single point of time. It is a study concerned with a sample of elements from a given population. Such sample may deal with households, dealers, retail stores and other entities. Information/data on a number of characteristics are collected from the sample elements. Such data are analyzed for drawing conclusions. Cross-sectional research studies include field studies and surveys. Longitudinal studies: Longitudinal studies are based on panel methods and panel data. A panel is a sample is a sample of respondents who are interviewed not only once but thereafter from time to time. Here data to be collected relate to same variable but the measurements are taken repeatedly. e.g. TRP c. Casual Research/Design Casual Research design is the third type of research design. As the name indicates, casual design investigates the cause and effect relationship between two or more variables. This design measures the extent of relationship between the variables. Casual Research designs attempt to specify the nature of functional relationship between two or more variables. Casual Research is useful to show the impact of one variable on the other. for example price and market demand relationship or relationship between market competition and sales performance. Date for Casual Research can be collected through field survey with the help of a questionnaire or by conducting laboratory experiments/controlled experiments. Casual Research design is based on reasoning. The designs for Casual Research can be divided into three categories :a) Historical, (b) Survey and (c) Experimental.
Sampling Designs And Sampling Procedures The Sampling Process Step 1. Define the population 2. Specify sampling frame 3. Specify sampling unit 4. Specify sampling method 5. Determine sample size 6. Specify sampling plan 7. Select the sample
Description The population is defined in terms of a) element, b) units, c) extent and d) time. The means of representing the elements of the population – for example telephone book, map, or city directory – are described. The unit for sampling – for example, city block, company, or household – is selected. The sampling unit may contain one or several population elements. The method by which sampling units are to be selected is described. The number of elements of the population to be sampled is chosen. The operational procedures for selection of the sampling units are selected. The office and fieldwork necessary for the selection of the sample are carried out.
Step 1: Define the population It is the aggregate of all elements defined prior to selection of sample. A population must be defined in terms of • elements, • sampling units, • extent and • Time. Eliminating any one of these specifications leaves an incomplete definition of the population that is to be sampled. Step 2: Specify the Sampling frame If a probability sample is to be taken, a sampling frame is required. A sampling frame is a means of representing the elements of the population. A sampling frame may be a telephone book, city directory, an employee roster, a listing of all students attending a university, or a list of possible phone numbers. Maps also serve frequently as sampling frames. A sample of areas within a city may be taken and another sample of household then be taken within each area. City blocks are sometimes sampled and all households on each sample block are included. A sampling of street intersections may be taken and interviewers given instructions as to how to take “Random walks”. From the intersection and select the households to be interviewed. A perfect sampling frame is one in which every element of the population is represented once but only once. One does not need a sampling frame to take a non-probability sample. Step 3: Specify the sampling Unit The sampling unit is the basic unit containing the elements of the population to be sampled. It may be the element itself or a unit in which the element is contained. For example, if one wanted a sample of males over 13 years of age, it might be possible to sample them directly. In this case, the sampling unit would be identical with the element. However, it might be easier to select households as the sampling unit and interview all
males over 13 years of age in each household. Here the sampling unit and the population element are not the same. Step 4: Specify the Sampling Methods It indicates how the sample units are selected. One of the most important decisions in this regard is to determine which of the two –probability and non-probability sample –is to be chosen. Probability samples are also known as random samples and non-probability samples as non-random samples. There are various types of sample designs, which can be covered under two broad groups – random or probability samples and non-random, or non-probability samples. Step 5: Determination of the Sample size Traditional sampling theory generally ignores the concept of the cost versus the value of the information to be provided by various sized samples. The problem of determination of sample size is dealt later on in depth. Step 6: Specify the Sampling Plan The sampling plan involves the specification of how each of the decisions made thus far is to be implemented. It may have been decided that the household will be the element and the block the sampling unit. How is a household defined operationally? How is the interviewer to be instructed to distinguish between families and households in instances where two families and some distant relatives of one of them are sharing the same apartment? How is the interviewer to be instructed to take a systematic sample of households on the block? What should the interviewer do when a housing unit selected is vacant? What is the callback procedure for households at which no one is at home? What age respondent speaking for the household is acceptable? Step 7: Select the Sample The final step in the sampling process is the actual selection of the sample elements. This requires a substantial amount of office and fieldwork particularly if personal interview are involved. Characteristics of a good Sample Design A good sample design requires the judicious balancing of four broad criteria –goal orientation, measurability, practicality and economy. 1. Goal orientation: This suggests that a sample design “should be oriented to the research objectives, tailored to the survey design, and fitted to the survey conditions”. If this is done, it should influence the choice of the population, the measurement as also the procedure of choosing a sample. 2. Measurability: A sample design should enable the computation of valid estimates of its sampling variability. Normally, this variability is expressed in the form of standard errors in surveys. However, this is possible only in the case of probability sampling. In non-probability samples, such a quota sample, it is not possible to know the degree of precision of the survey results. 3. Practicality: This implies that the sample design can be followed properly in the survey, as envisaged earlier. It is necessary that complete, correct, practical, and clear instructions should be given to the interviewer so that no mistakes are made in the selection of sampling units and the final selection in the field is not different from the original sample design. Practicality also refers to simplicity of the design, i.e. it should be capable of being understood and followed in actual operation of the field work. 4. Economy: Finally, economy implies that the objectives of the survey should be achieved with minimum cost and effort. Survey objectives are generally spelt out in terms of precision, i.e. the inverse of the variance of survey estimates. For a given degree of precision, the sample design should give the minimum cost. Alternatively, for a given per unit cost, the sample design should achieve maximum precision (minimum variance). It may be pointed out that these four criteria come into conflict with each other in most of the cases, and the researcher should carefully balance the conflicting criteria so that he is able to select a really good sample design.
Advantages of Sampling 1. Sampling is cheaper than a census survey. It is obviously more economical, for instance, to cover a sample of households than all households in a territory although the cost per unit of study may be higher in a sample survey than in a census. 2. Since magnitude of operations involved in a sample survey is small, both the execution of the fieldwork and the analysis of the results can be carried out speedily. 3. Sampling results in greater economy of effort as relatively small staffs is required to carry out the survey and to tabulate and process the survey data. 4. A sample survey enables the researcher to collect more detailed information than would otherwise be possible in a census survey. Also, information of a more specialised type can be collected, which would not be possible in a census survey on account of availability of a small number of specialists. 5. Since the scale of operations involved in a sample survey is small, the quality of interviewing, supervision and other related activities can be better than the quality in a census survey. Limitations of Sampling 1. When the information is needed on every unit in the population such as individuals, dwelling units or business establishments, a sample survey cannot be of much help for it fails to provide information on individual count. 2. Sampling gives rise to certain errors. If these errors are too large, the results of the sample survey will be of extremely limited use. 3. While in a census survey it may be easy to check the omissions of certain units in view of complete coverage, this is not so in the case of sample survey. Sampling Techniques Sampling techniques may be broadly classified as non-probability and probability sampling techniques. Non-probability sampling techniques: 1. It relies on the personal judgment of the researcher rather than t he chance to select sample elements. 2. The researcher can arbitrarily or consciously decide which element to include in the sample. 3. Non-probability may yield good estimates of the population characteristic. However they do not allow for objective evaluation of the precision of the sample results. 4. Since there is no way of determining the probability of selecting any particular element for inclusion in the sample, the estimates obtained are not statistically projectable to the population. Probability sampling techniques: 1. Sampling units are selected by chance. 2. It is possible to pre-specify every potential sample of a given size that could be drawn from the population, as well as the probability of selecting each sample. 3. Every potential sample need not have the same probability of selection, but it is possible to specify the probability of selecting any particular sample of a given size. 4. This requires not only a precise definition of the target population, but also a general specification of the sampling frame. Because sample elements are selected by chance. 5. It is possible to determine the precision of the sample estimated of the characteristics of interest. Confidence intervals, which contain the true population value with a given level of certainty, can be calculated. This permits the researcher to make inferences of projections about the target population from which the sample was drawn. Probability sampling techniques are classified based on : − Element versus cluster sampling − Equal unit probability versus unequal probabilities − Unstratified versus stratified selection − Random versus systematic selection
− Single-stage versus multistage techniques Diagrammatic representation of the sampling techniques.
Sampling techniques
Non probability sampling techniques Convenience
Judgmental
Simple
Systematic Sampling
Random Non-probability techniques: Convenience Sampling Sampling
Probability sampling techniques
Quota
Stratified Sampling
Cluster Sampling
Multistage Sampling
Definition A non-probability sampling technique that attempts to obtain a sample of convenient elements. The selection of sampling units is left primarily to the interviewer. Explanation 1. It is a form of Non-Probability sampling. 2. It is mainly used for Dipstick studies. This type of sampling is normally used to get basic information to take elementary decisions. 3. Convenience samples are often used in exploratory situations when there is a need to get only an approximation of the actual value quickly and inexpensively. 4. Commonly used Convenience samples are associates and “the man on the street”. Such samples are often used in the pre-test phase of the study, such as pre-testing of a questionnaire. Examples: • Use of students, church groups, and members of social organizations, • Mall-intercept interviews without qualifying the respondents, • Department stores using charge account lists • Tear out questionnaire included in a magazines, and • People on the street interviews Advantages • Convenience sampling is the least expensive and least time consuming of all sampling techniques. • The sampling units are accessible, easy to measure and co-operative. • This technique is used in exploratory research for generating ideas, insight or hypothesis. Disadvantages • Convenience samples contain unknown amounts of both variables and systematic selection errors.
•
These errors can be very large when compared to the variable error in a simple random sampling of the same size. Convenience samples are not representatives of any definable population. So they are not recommended for descriptive or casual research. Judgmental sampling Definition A form of convenience sampling in which the population elements are purposively selected based on the judgment of the researcher. Explanation A judgment sample is one in which there is an attempt to draw a representative sample of the population using judgmental selection procedures. Judgment samples are common in industrial market research. Example A sample of addresses taken by the municipal agency to which questionnaires on bicycle riding habits were sent. A judgment sample was taken after researchers looked at traffic maps of the city, considered the tax assessment on houses and apartment buildings (per unit), and kept location of schools and parks in mind. Advantages • •
Judgmental sampling is low cost, convenient and quick. Judgmental sampling is subjective and its value depends entirely on the researchers judgment, expertise and creativity. • It is useful if broad population inferences are not required. Disadvantage •
It does not allow direct generalization to a specific population, usually because the population is not defined explicitly.
Quota Sampling Definition A non probability sampling techniques that is a two stage restricted judgmental sampling. The first stage consists of developing control categories or quotas of population elements. In the second stag, sample elements are selected based on convenience or judgment. Explanation • It is a form of Non-Probability sampling. • In Quota Sampling, the samples are selected in such a way that the interest parameters represented in the sample are in the same proportion as they are in the universe/ population. • Quota Sampling is widely used in consumer panels. • The following aspects must be kept in mind while choosing the control variables: − The variables must be available and should be recent. − They should be easy for the interviewer to classify. − They should be closely related to the variable being measured in the study. − The number of variable must be kept to a reasonable number so as to avoid confusion while analyzing the data The cost of sample per unit is directly proportional to the number of control variables. In order to have a check mechanism about the quality of samples taken so as to reduce the selection errors, Quota Samples are “validated” after they are taken.
The process of validation involves a comparison of the sample and the population with respect to characteristics not used as control variables. For e.g. in a quota sample taken from a consumer panel for which income, education, and age group are used as control variables. If the comparison of this panel and the population might be made with respect to such characteristics as average number of children, occupation of the chief wage earner and home ownership. Then if the panel differed significantly from the population with respect to any of these characteristics, it would be an indication of the potential bias in the selection procedures. It should be noted that the similarity does not necessarily mean the absence of bias. Example If one wants to select a Quota sample of persons for a test of flavored tea and wants to control (control variables are the parameters based on which he would like to classify the universe) it by ethnic background, income bracket, age group and geographical area. Then the sample taken would have the same proportion of people in each ethnic background, income bracket, age group and geographical area as the population. Disadvantages • Scope for high variances • Scope for sizable selection errors. • Selection errors arise from the way interviewers select the persons/ variables to fill the quota. Incorrect information of the proportions of the population in each of the control variables, biases in the relationship of the control variables to the variables being measured, and from other sources. Other types of non random samples: 4. Snowball Sampling A variety of procedures. Initial respondents are selected by probability methods. Additional respondents are obtained from information provided by the initial respondents. 5. Purposive sample Subjects selected on the basis of specific characteristics or qualities. Users of a particular technology. Such as Young mothers with small children, doctors, members of a fan club, target market members. Probability Techniques: Probability sampling techniques vary in terms of sampling efficiency. Sampling efficiency is a concept that reflects a trade-offs between sampling cost and precision. Precision refers to the level of uncertainty about the characteristic being measured. The greater the precision, the greater the cost and most studies require tradeoff. Simple Random Sampling Definition A probability sampling technique in which each element in the population has a known and equal probability of selection is known as simple random sampling (SRS). Every element is selected independently of every other element and the sample is drawn by a random procedure from a sampling frame. Explanation In random sampling, each element in the population has a known and equal probability of selection. Furthermore, each possible sample of a given size (n) has a known and equal probability of being the sample actually selected. This implies that every other element is selected independently of every other element. The sample is drawn by a random procedure from a sampling frame. This method is equivalent to a lottery system in which names are placed in a container, the container is shaken, and the names of the winners are then drawn out in an unbiased manner.
To draw a simple random sample, the researcher first compiles a sampling frame in which each element is assigned a unique identification number. Then random numbers are generated to determine which element to include in the sample. The random numbers may be generated with a computer routine or a table. Advantages • It is easy to understand • The sample result may be projected to the target population. Disadvantages • It is often difficult to construct a sampling frame that will permit a simple random sample to be drawn. • SRS can result in samples that are very large or spread over large geographic areas, thus increasing the time and cost of data collection. • SRS often results in lower precision with larger standard errors than other probability sampling techniques. • SRS may or may not result in a representative sample. Although samples drawn will represent the population well on average, a given simple random sample may grossly misrepresent the target population. This more likely if the size of the sample is small. Systematic sampling Definition A probability sampling technique in which the sample is chosen by selecting a random starting point and then picking every ith element in succession from the sampling frame. Explanation In systematic sampling, the sample is chosen by selecting a random starting point and then picking every ith element in succession from the sampling frame. The sampling interval, i, is determined by dividing the population size N by the sample size n and rounding to the nearest integer. Example Suppose there are 100,000 elements in the population and a sample of 1000 desired. In this case the sampling interval, i, is 100. A random number between 1 to 100 is selected. If say number 23 is selected, the sample will then consists of elements 23, 123, 223, 323, 423, 523, and so on. Systematic sampling is similar to SRS in that each population element has a known and equal probability of selection. However, it is different from SRS in that only the permissible samples of size n that can be drawn have a known and equal probability of selection. The remaining samples of size n have a zero probability of being selected. For systematic sampling, the researcher assumes that the population elements are ordered in some respect. In some cases the ordering (alphabetic listing in a telephone book) is unrelated to the characteristic of interest. In other instances, the ordering is directly related to the characteristic under investigation. (Credit card customers may be listed in order of outstanding balances. If the population elements are arranged in a manner unrelated to the characteristic of interest, systematic sampling will yield result quite similar to SRS. On the other hand, when the ordering of the element is related to the characteristic of interest, systematic sampling increases the representatives of the sample. Advantages • Systematic sampling is less costly and easier that SRS, because random selection is done only once. • The random numbers do not have to be matched with individual element as in SRS. Since some lists contains millions of elements, considerable time can be saved. This in turn again reduces the cost.
• •
If the information related to the characteristic of interest is available for the population, systematic sampling can be used to obtain a more representative and reliable sample than SRS. Systematic sampling can even be used without knowledge of the composition (elements) of the sampling frame.
Stratified Random Sampling Definition A probability sampling technique that uses a two-step process to partition the population into subpopulations, or strata is known as stratified random sampling. Elements are selected from each stratum by a random procedure. Explanation Stratified Random Sampling emerges from the word Stratum. A Stratum in a population is a segment of that population having one or more characteristics. E.g. people in the age strata of 35-40, people in the income strata to Rs. 20000 p.m. etc Stratified Sampling involves treating each stratum as a separate subpopulation for sampling purposes, and from each stratum sampling units would be drawn randomly. The reasons for conducting Stratified Random Sampling are: • To reduce sampling error by ensuring representation from the population. • The required sample size for the same level of sampling error will usually be smaller. As compared to other methods of sampling, in Stratified Random Sampling representativeness to a certain degree is forced. The greater degree to which there is similarity within stratum, smaller is the sample size required to provide information about that stratum. Thus the more homogeneous each stratum is with respect to the variable of interest the smaller is the sample required. Example If the head of the household age strata (18-34, 35-49, 50+) are of interest in a study on household spending habits on household furnishings, then each of these groups would be taken separately for sampling purposes. That is, the total population could be divided into age groups and a separate sample is drawn from each group. Cluster Sampling Definition The target population is divided into mutually exclusive and collectively exhaustive subpopulation called clusters. Then a random sample of clusters is selected based on probability sampling techniques such as simple random sampling. For each selected clusters, either all the elements are included in the sample or a sample of elements is drawn probabilistically. Explanation • If all the elements in each selected cluster are included in the sample, the procedure is called one stage cluster sampling. • If a sample of elements is drawn probabilistically from each selected cluster, the procedure is called twostage cluster sampling. • The key distinction between cluster sampling and stratified sampling is that in cluster sampling only a sample of subpopulations (clusters) is chosen, whereas in stratified sampling all the subpopulations are selected. • The objective of the cluster sampling is to increase the sampling efficiency by decreasing costs.
Example If the study requires studying the households in the city then in cluster sampling the whole city is divided into Blocks and to take each household on each block selected. Thus to get a representative whole of the universe. Advantages • Low population heterogeneity / high population homogeneity • Low expected cost of errors. • The main advantage of cluster sampling is the low cost per sampling unit as compared to other sampling methods. Disadvantage • High potential of sampling error as compared to other methods. • For eg: The lower cost per unit and higher sampling error potential of a cluster sample is illustrated by considering a sample of 100 households to be selected for personal interviews from a particular city. In this method the city would be divided in blocks and 10 households from 10 selected blocks would be selected and interviewed. Thus the cost of personal interview per unit will be low because of the close proximity of the units in the cluster. This sample may not be the exact representation of the entire city. Thus there is a possibility of sampling error.
Single Stage V/s Multistage Sampling Explanation The number of stages involved in the sampling method is partially a function of the number of sampling frame available. If a perfect frame were always available complete with all the associated information one might want for purposes of clustering and / or stratifying, there would be far fewer multiple samples taken than there are now. In practice, it is not uncommon to have a first stage area sample of, say, census tracts, followed by a second stage sample of blocks, and completed with a systematic sample of households within each block. These stages would not be necessary if a complete listing of households were available. Example AC Nielsen’s Multistage Sampling Procedure to select its People Meter Panel The first stage involves the selection of counties using a stratified random sample based on population. Next within the selected counties there is a random selection of blocks or enumeration districts. These blocks then go through a process called prelisting. A trained field representative visits the selected blocks and creates a list of all the individual hosing units. This list is then returned to the home office where it is checked for internal consistency and external agreement with other data. Finally, individual household units are randomly selected from each block.
Strengths and weakness of basic sampling techniques Techniques Strengths
Weaknesses
Non probability sampling Convenience sampling
Least expensive, least time Selection bias; sample not consuming, most convenient representative; not recommended for descriptive or casual research.
Judgmental sampling
Low cost, convenient, not Does not allow time consuming generalization subjective
Quota sampling
Sample can be controlled for Selection bias, no assurance certain characteristics of representativeness.
Snowball sampling
Can estimate characteristics
rare Time consuming
Probability Sampling Simple (SRS)
Random
Sampling Easily understood Result projectable
Difficult to construct sampling frame; expensive lower precison; no assurance of representativeness
Systematic Sampling
Can increase representaCan decrease tiveness. Easier to implement representativeness than SRS sampling frame not necessary
Stratified sampling
Includes all important Difficult to select relevant subpopulations; precision stratification variables; not feasible to stratify on many variable; expensive
Cluster sampling
Easy to effective
implement,
cost Imprecise; difficult to compute and interpret results
Choosing Non probability versus Probability Sampling The choice between non probability and probability samples should be based on considerations such as the nature of the research, relative magnitude of non sampling versus sampling errors, variability in the population, as well as statistical and operational considerations. For example, Conditions favoring the use of Non probability
Probability
Factors
Sampling
Sampling
Nature of research
Exploratory
Conclusive
Relative magnitude of Non sampling errors are Sampling errors are larger. sampling and non-sampling larger errors Variability in the population Homogenous (low) Heterogeneous (high) Statistical consideration
Unfavorable
Favorable
Operational consideration
Favorable
Unfavorable
In exploratory research the findings are treated as preliminary and the use of probability sampling may not be warranted. On the other hand, in conclusive research in which the researcher wishes to use the results to estimate overall market shares or the size of the total market, probability sampling is favored. Probability samples allow statistical projection of the results to a target population. For some research problems, highly estimates of population characteristic are required. In these situations, the elimination of selection bias and the ability to calculate sampling error make probability sampling desirable. However probability sampling will not always result in more accurate results. If nonsampling errors are likely to be an important factor, then non-probability sampling may be preferable, as the use of judgment may allow greater control over the sampling process. Another consideration is the homogeneity of the population with respect to the variables of interest. A more heterogeneous population would favor probability sampling, because it would be important to secure a representative sample. Probability sampling is preferable from a statistical viewpoint, as it is the basis of most common statistical techniques. However, probability sampling is sophisticated and requires statistically trained researcher. It generally costs more and takes longer than does nonprobability sampling. In many marketing research projects, it is difficult to justify the additional time and expense. Therefore, in practice, the objectives of the study dictate which sampling method will be used.
Area sampling A type of cluster sampling usually applied to a population in a specific spatial area with well-defined political or natural boundaries but without a detailed sample frame; population is divided into homogeneous clusters from which a single-stage or multistage sample is drawn
Area sampling is basically multistage sampling in which maps, rather than lists or registers, serve as the sampling frame. This is the main method of sampling in developing countries where adequate population lists are rare. The area to be covered is divided into a number of smaller sub-areas from which a sample is selected at random within these areas; either a complete enumeration is taken or a further sub-sample. Area sampling involves collecting data from small areas in order to say something about larger areas. There are two types-fixed and variable. In fixed area samples, the size and the shape of the sample areas remain constant. These are usually circles demarcated by a cord of a specified length (radius), or squares delineated by cords with knots at corner points, or small frames. The sizes of the sample areas changes with the grain and the density of the phenomenon under investigation. For example, studies of grasslands (fine-grained and dense vegetation) can be conducted using sample areas as small as one meter square. Studies of forests (coarse-grained and sparse) need larger areas as some individual trees may encompass one meter themselves. Advantages • May reduce costs if first stage results in enough data to stratify or cluster the population Disadvantages • Increased costs if discriminately used
Methods of determining sample size There are six methods of determining sample size in market research. They are 1. Unaided Judgement: When no specific method is used to determine sample size, it is called Unaided Judgement. Such approach when used to arrive at sample size gives no explicit considerations to either the likely precision of the sample results or the cost of obtaining them (characteristics in which client should have interest). It is an approach to be avoided. 2. All –You –Can –Afford: In this method, a budget for the project is set by some (generally unspecified) process and, after the estimated fixed costs of designing the project, preparing a questionnaire (if required), analyzing the data, and preparing the report are deducted, the remainder of the budget is allocated to sampling. Dividing this remaining amount by the estimated cost per sampling unit gives the sample size. This method concentrates on the cost of the information and is not concerned about its value. Although cost always has to be considered in any systematic approach to sample size determination, one also needs to give consideration to how much the information to be provided by the sample will be worth. This approach produces sample sizes that are larger than required as well as sizes that are smaller than optimal. 3. Required Size Per Cell: This method of determining sample size can be used on simple random, stratified random, purposive and quota samples. For example, in a study of attitudes with respect to fast food establishments in a local marketing area it was decided that information was desired for two occupational groups and for each of the four age groups. This resulted in 2 x 4 = 8 sample cells. A sample size of 30 was needed per cell for the types of statistical analyses that were to be conducted. The overall sample size was therefore 8 x 30 = 240. 4. Use of Traditional Statistical Model: The formula for traditional statistical model depends upon the type of sample to be taken and it always incorporates three common variables • an estimate of the variance in the population from which the sample is to be drawn, • the error from sampling that the researcher will allow, and • the desired level of confidence that the actual sampling error will be within the allowable limits. The statistical models for simple random sampling include estimation of means and estimation of proportion.
5. Use of Bayesian Statistical Model: The Bayesian model involves finding the difference between the expected value of the information to be provided by the sample size. This difference is known as expected net gain from sampling (ENGS). The sample size with the largest positive ENGS is chosen. The Bayesian model is not as widely used as the traditional statistical models for determining sample size, even though it incorporates the cost of sampling and the traditional models do not. The reasons for the relative infrequent use of Bayesian model are related to greater complexity and perceived difficulty of making the estimates required for Bayesian model as compared to the traditional models.
Step: Six: Data Processing and Analysis DATA PROCESSING Data processing’s total task in carrying out the analytical program is to convert crude fragments of observation and responses into orderly statistics for interpretation. There are three preparation stages necessary in either manual or computer processing: editing, classifying and coding. An additional stage with computers is card punching. DATA ANALYSIS After the data have been collected, the researcher turns to the task of analyzing them. The analysis of data requires a number of closely related operations such as establishment of categories, the application of these categories to raw data through coding, tabulation and then drawing statistical inferences. The unwieldy data should necessarily be condensed into as few manageable groups and tables for further analysis. Thus, researcher should classify the raw data into some purposeful and usable categories. Coding operation is usually done at this stage through which the categories of data are transformed into symbols that may be tabulated and counted. Editing is the procedure that improves the quality of the data for coding. With coding the stage is ready for tabulation. Tabulation is a part of the technical procedure wherein the classified data are put in the form of tables. The mechanical devices can be made use of at this juncture. Computers tabulate a
great deal of data, especially in large inquiries. Computers not only save time but also make it possible to study large number of variables affecting a problem simultaneously. Analysis work after tabulation is generally based on the computation of various percentages, coefficients etc., by applying various well-defined statistical formulae. In the process of analysis, relationships or differences supporting or conflicting with original or new hypothesis should be subjected to tests of significance to determine with what validity data can be said indicate any conclusions. For instance, if there are two samples of weekly wages, each sample being drawn from factories in different parts of the same city, giving two different values, then our problem may be whether the two mean values are significantly different or the difference is just a matter of chance. Through the use of statistical tests we can establish whether such a difference is a real one or is the result of random fluctuations. If the difference happens to be real, the inference will be that the two samples come from different universes and if the difference is due to chance, the conclusion would be that the two samples belong to the same universe. Similarly, the technique of analysis of variance can help us in analyzing whether three or more varieties of seeds grown on certain fields yield significantly different results or not. In brief, the researcher can analyze the collected data with the help of various statistical measures.
Step: Seven: Determine Time and cost Overall Evaluation 1. How much will the study cost? 2. Is the time frame acceptable? 3. Is outside help needed? 4. Will this research design attain the stated research objectives? 5. When should the research be scheduled to begin?
Step: Eight: Define the ethics of research Ethics: Moral principles or values generally governing the conduct of an individual or group. Not a one-way relationship. Abuse of respondents 1. Most common problem: lengthy interviews 2. Refusal rate now averages 60 percent. 3. Selling unnecessary research 4. Violating client confidentiality Client Ethics 1. Requesting when a supplier has been predetermined 2. Obtaining free advice and methodology via bid requests 3. Making false promises 4. Unauthorized request for proposals
Step: Nine: Prepare the research report
RESEARCH REPORT Finally, the researcher has to prepare the report of what has been done by him. Writing of report must done with great care keeping in view the following: (1) The layout of the report should be as follows: i. The preliminary pages. ii. the main text and iii. the end matter In its preliminary pages the report should carry title and date followed by acknowledgments and foreword. Then there should be a table of contents followed by a list of tables and list of graphs and charts, if any, given in the report.
The main text of the report should have the following parts: Title: Be specific. Tell what, when, where, etc. In one main title and a subtitle, give a clear idea of what the paper investigated. Acknowledgment: Include only if special help was received from an individual or group. Abstract: Summarizes the report including the hypotheses, procedures, and major findings. Introduction: Sections may be combined in short reports. Statement of the Problem: This is a general introduction to the topic. Purpose: What is the goal to be gained from a better understanding of this question? Statement of the Hypothesis: In one statement (not a question) declare the question which is investigated and the expected results. (For a null hypothesis, no difference is predicted.) Assumptions: Explain everything that is assumed in order for the investigation to be undertaken. Limitations: Explain the limitations that may invalidate the study or make it less than accurate. Review of Related Literature: Gives the reader the necessary background to understand the study by citing the investigations and findings of previous researchers and documents the researcher's knowledge and preparation to investigate the problem. Description of the Research Design and Procedures Used: Completely explain step-by-step what was done. Sources of Data: Give complete information about who, what, when, where, and how the data was collected. Sampling Procedures: Explain how the data was limited to the amount which was gathered. If all of the available data were not utilized, how was a representative sample achieved? Methods and Instruments of Data Gathering: Explain the procedures for obtaining the data collected. Include the forms or manner by which it was recorded. Analysis of Data: Describe the patterns observed in the data. Use tables and figures to help clarify the material when possible.
Summary and Conclusions: This section condenses the previous sections, succinctly presents the results concerning the hypotheses, and suggests what else can be done. Major Findings: The final results from the analysis are presented, the hypothesis stated, and the decision about the rejection or the failure to reject the hypothesis is given. Conclusions: Comments about the implication of the findings are presented. Recommendations for Further Investigation: From the knowledge and experienced gained in undertaking this particular study, how might the study have been improved or what other possible hypotheses might be investigated? End Notes: These are like footnotes but are located at the back rather than the bottom of each page. These would include all of the references for all works cited in the Review of Related Literature or any other sections of the report as well as the references for quotations, either direct or indirect, taken from other sources, or any footnote comments that might have been included. These are listed in numeric order as presented in the text. Bibliography or Literature Cited: These are the bibliographic reference for each of the works cited in the End Notes. Appendix: Any tables, figures, forms, or other materials that are not totally central to the analysis but that need to be included are placed in the Appendix.
Chapter 2
1. PRODUCT RESEARCH The purpose of product research is to develop a product line which meets the needs of consumers in general. Product research facilitates the process of making products more attractive, useful and agreeable to consumers. Meaning of Product Research: Product research is one major area of MR. It is concerned with different aspects of a product which include name, features, uses, package used, brand name given, price, consumer support and so on. The term product research covers all aspects relating to manufacturing and marketing of a product. Product planning and development, product innovation and modification, product pricing, product life cycle studies branding, labelling, packaging, etc. are the different areas aspects) of product research Packaging and branding are treated as two components of product research. This is because they are closely connected with the product itself. Moreover, sale depends on the product as well as on its packaging and branding. In product research, existing products of the company are made superior (in quality) and agreeable to consumers. In addition, new products with promising market demand are developed. This is called new product research. Product research is directly related to product-mix which is one component of basic marketing mix. There are four components of product mix. These are: 1. Product range 2. Brand, 3. Package and 4. Service after sale. Product research has two important aspects. These are: a. Technical aspect of a product, and b. Marketing aspect of a product. Technical research of a product is conducted in the laboratory in order to develop a product with latest design and features at the lowest possible cost. Products marketing research relates to the attitudes of consumers and their preferences towards the specific product. Product research is necessary at the product planning stage. This is because marketing will be easy and quick when the produce manufactured is as per the needs and expectations of consumers. For this, product opportunities must be studied and product must be adjusted accordingly. Marketing efforts will not be rewarded if the product to be sold is not as per the needs and expectations of consumers. This suggests that marketing research should start at the product promotion stage. The researcher should suggest the details of product (nature, features, packaging, etc.) which can be marketed effectively. This creates proper background for success in marketing efforts NEED OF PRODUCT RESEARCH: Product research acts as an insurance against risk of obsolescence of existing products of the company.
In addition, product research is needed in order to develop new products which will have good demand over a long period. In short, the following points suggest/justify the need of product research: (1) To assist in the setting up of objectives towards which the research and development department will have to work in order to develop and bring out a new product in the market. (2) To pinpoint the needs and wants of consumers which the proposed product is expected to satisfy. (3) To estimate the sales potential of the new product (4) To verify the benefits of the new product to the consumers. (5) To find out the possible impact of the new competitive products on the sales potential of the existing product of the company. (6) To test prototypes of the product. (7) To predict the possible success or failure of the product once it is introduced in the market. (8) To reduce the chances of product failure after its modification or after its entry in the new market and also to increase the possibilities of product success. (9) To introduce consumer friendly products as consumer preferences are dynamic. PR is needed on continuous basis for adjusting the products as per the needs/expectations of consumers. to introduce attractive package and brand name to the product for sales promotion. WHEN PRODUCT RESEARCH IS NECESSARY? (1) Introduction of new product/modifications in the existing product: Product research is necessary when company develops a new-product or desires to introduce an existing product with suitable modifications as per the requirements of consumers. Here, the objective is to raise the popularity of existing products and to reduce the new product failure rate through extensive research and testing of a new product before its introduction in the market. Product testing is a valuable tool in marketing research. Such testing is before launching a new product in the market. Such product testing includes technical testing and consumer testing. (2) Introduction of new product by competitor: Product research is necessary when a competitor introduces a new product or improved version of the existing one in the market. IMPORTANCE/ADVANTAGES OF PRODUCT RESEARCH: Product research is important as it offers the following advantages: 1. Product research helps to explain the features of the product. 2. It helps to simplify the product line. 3. It enables a manufacturer to develop new products with good market demand in the existing product line. 4. Product research brings best sales returns. 5. It widens market for the product and also creates goodwill for the product and its manufacturer. 6. It facilitates appropriate price fixation of the product. (7) Product research brings to the limelight the different uses of the product for effective publicity for sales promotion. 7. It facilitates modification and renovation of existing products so as to make them highly competitive and agreeable to consumers. 8. It enables a manufacturer to introduce attractive package and brand name to the product for sales promotion. METHODS OF CONDUCTING PRODUCT RESEARCH: There are three methods used for the conduct of product research as explained below: (1) Staggered Comparison Test:
In the staggered comparison test, the respondent is first given one product and is asked to give his opinion about the same. Later on, he is asked to try a second product and give his opinion on that product. This test is very natural in character as in actual life also a consumer uses one product and forms his opinion. Thereafter, he may shift to another product if he is not satisfied with the first one. However, he will certainly not like to use two identical products at one and the same time. Staggered comparison test is useful for knowing the views of respondents accurately. However, this method is rather costly. Secondly, consumers’ views may be bias as they may not be fully away from the influence of the product used previously. (2) Paired Comparison Test: In the paired comparison test, consumers are offered two products for giving their opinion. The products are outwardly identical but they differ in some way or ways which ordinary consumers cannot readily identify. This test is useful for judging the attitudes of consumers. Such test is also useful for brand reference studies, pre-testing of advertisements and multi-dimensional scaling. Paired comparison test can be used to compare an experimental product with an existing product or for evaluating several existing products with slight differences. Here, two different products are compared by the consumer. If more than two products are to be evaluated, the products are paired off for the purpose of study. Paired comparison method of product testing has certain limitations. Here, the respondent participating in a test may behave differently from the way he normally would. If these tests are repeated in order to verify results, it becomes visible that there is considerable instability among the respondents. However, this test is useful in identifying those individuals who have no real preference for any of the products actually tested (3) Non-directive Method (Test): In the non-directive method, information is collected from the respondents without giving them any idea before hand as regards the research work undertaken. For example, a housewife is given a pair of identically wrapped products and is asked to use them. She is given no reason to believe that the products are different. In addition, she is also not given any idea that she will be interviewed subsequently. In brief, an impression should be created in her mind that free samples are provided to her for use. In due course i.e. after about two week’s duration, the respondent (housewife) is called on again and asked whether she has used both the products. In case of actual use of the products, a brief interview is taken which will give adequate information about product differences. Direct questions may be asked to the respondent to collect adequate information, if she fails to give information in the conversation. This method is better than the previous two methods as it represents real market situation. The information supplied can be used effectively for drawing certain conclusions.
New Product research: Product definition is a critical starting point in the development of any new product. Yet for its importance, there are a number of common shortcomings to the process of product definition in many companies:
A company doesn't blindly respond to customer needs and opportunities. A business strategy which defines customers and markets to be served, competitors, and competitive strengths provides a framework from which to evaluate potential opportunities. The result of this evaluation of opportunities is expressed in a product plan. New Product Planning The new product plan helps resolve issues related the markets, the types of products and the opportunities that the company will invest in and the resources required to support product development. More specifically, the new product plan is used to: Define an overall strategy for products to guide selection of development projects; Define target markets, customers, competitive strengths, and a competition strategy (e.g., competing head-on or finding a market niche); Position planned products relative to competitive products and identify what will differentiate or distinguish these products from the competition; Rationalize these competing development projects and establish priorities for development projects; Provide a high-level schedule of various development projects; and Estimate development resources and balance project resource requirements with a budget in the overall business plan. Few companies have a formal new product planning process, let alone a rigorous process. While a new product plan is generally prepared on an annual basis, it should be reviewed and updated at least quarterly, if not monthly. Market conditions will change, new product opportunities will be identified, and new product technology will emerge all causing a potential impact to the product plan. Once a new product plan is established which defines the target market and customers, the next step is to plan how to capture these customer's needs for each development project. This includes determining how to identify target customers, which customers to contact in order to capture there needs, what mechanisms to use to collect their needs, and a schedule and estimate of resources to capture the voice of the customer (project plan for product definition phase). As opportunities are identified, appropriate techniques are used to capture the voice of the customer. The techniques used will depend on the nature of the customer relationship as illustrated below. There is no one monolithic voice of the customer. Customer voices are diverse. In consumer markets, there are a variety of different needs. Even within one buying unit, there are multiple customer voices (e.g., children versus parents). This applies to industrial and government markets as well. There are even multiple customer voices within a single organization: the voice of the procuring organization, the voice of the user, and the voice of the supporting or maintenance organization. These diverse voices must be considered, reconciled and balanced to develop a truly successful product. Traditionally, Marketing has had responsibility for defining customer needs and product requirements. This has tended to isolate Engineering and other development personnel from the customer and from gaining a first hand understanding of customer needs. As a result, customer's real needs can become somewhat abstract to other development personnel. Product development personnel need to be directly involved in understanding customer needs. This may involve visiting or meeting with customers, observing customers using or maintaining products, participating
in focus groups or rotating development personnel through marketing, sales, or customer support functions. This direct involvement provides a better understanding of customer needs, the customer environment, and product use; develops greater empathy on the part of product development personnel, minimizes hidden knowledge, overcomes technical arrogance, and provides a better perspective for development decisions. These practices have resulted in fundamental insights such as engineers of highly technical products recognizing the importance to customers of ease of use and durability rather than the latest technology. Where a company has a direct relationship with a very small number of customers, it is desirable to have a customer representative(s) on the product development team. Alternately, mechanisms such as focus groups should be used where there are a larger number of customers to insure on-going feedback over the development cycle. Current customers as well as potential customers should be considered and included. This customer involvement is useful for initially defining requirements, answering questions and providing input during development, and critiquing a design or prototype. During customer discussions, it is essential to identify the basic customer needs. Frequently, customers will try to express their needs in terms of HOW the need can be satisfied and not in terms of WHAT the need is. This limits consideration of development alternatives. Development and marketing personnel should ask WHY until they truly understand what the root need is. Breakdown general requirements into more specific requirements by probing what is needed. Challenge, question and clarify requirements until they make sense. Document situations and circumstances to illustrate a customer need. Address priorities related to each need. Not all customer needs are equally important. Use ranking and paired comparisons to aid to prioritizing customer needs. Fundamentally, the objective is to understand how satisfying a particular need influences the purchase decision. In addition to obtaining an understanding of customer needs, it is also important to obtain the customer's perspective on the competition relative to the proposed product. This may require follow-up contact once the concept for the product is determined or even a prototype is developed. The question to resolve is: How do competitive products rank against our current or proposed product or prototype?
Types of New product Research 1. New Markets/ Existing Products research: Every company has a product that can travel. It can travel to new geographical markets or to new industry segments that have not been tapped before. New markets wherever they are - new countries or new segments carry risk. New Markets/ Existing Products research help collect information on potential customers and markets wherever they are in the world. With this knowledge a company can build growth and value more quickly and more securely than by working from guesswork. 2. Existing Markets/Existing Products research: For many companies, the first place to look for more sales is amongst existing customers. Current customers have already made the ultimate gesture of approval and paid money to buy your products. A bit more persuasion and they may buy more. However, how many companies know their customer so well that they know if they have every available piece of business? Ask yourself the following questions: a. How much is each customer buying of the products (or services) I sell to them? b. What share do my competitors and I have of each customer's account? c. What does the customer think of me against the other suppliers it could or does use? d. What would make each customer buy more
Existing Markets/Existing Products research answer these questions. This can be achieved by relatively straightforward research. All that require is a customer list and a good briefing. An appropriate questionnaire is designed; interviews are carrying out and report on how to win more business. 3. New Markets/New Products research: The most dangerous territory of all is that of new markets and new products. Here market research is a must. 4. Existing Markets/New Products research: The assets of every company are its customers. Existing customers know and trust the company sufficiently well to do business. So much so, they may give serious consideration to buying a new product or service from the company. In the research researcher find the opportunities for new products or services with existing customers as part of its new markets programme. In this method researcher take a brief during which he would discuss the products company want to sell and learn about their current customer. Researcher would then design a programme of interviews that could include face to face and telephone contacts to determine how much business company could win and at what price.
Product specification: Organizing Customer Needs Once customer needs are gathered, they then have to be organized. The mass of interview notes, requirements documents, market research, and customer data needs to be distilled into a handful of statements that express key customer needs. Affinity diagramming is a useful tool to assist with this effort. Brief statements which capture key customer needs are transcribed onto cards. A data dictionary which describes these statements of need are prepared to avoid any mis-interpretation. These cards are organized into logical groupings or related needs. This will make it easier to identify any redundancy and serves as a basis for organizing the customer needs. In addition to "stated" or "spoken" customer needs, "unstated" or "unspoken" needs or opportunities should be identified. Needs that are assumed by customers and, therefore not verbalized, can be identified through preparation of a function tree. Excitement opportunities (new capabilities or unspoken needs that will cause customer excitement) are identified through the voice of the engineer, marketing, or customer support representative. These can also be identified by observing customers use or maintain products and recognizing opportunities for improvement. Comprehensive Specification These customers needs then have to be translated into a set of product requirements (more technical expressions of customer needs) that can be acted upon by Engineering. Quality function deployment (QFD) is an excellent methodology to support this objective while considering the competitive situation. QFD is a structured planning and decision-making methodology for capturing customer needs and translating those requirements into product requirements, part characteristics, process plans and quality/production plans through a series of matrices. These product requirements are often expressed in the form of a product specification, functional specification, or marketing requirements specification. The degree of formality in expressing these requirements will vary depending on the complexity of the product, the size of the development project, and the organization structure and its communication requirements. With a less complex item, the QFD product planning matrix is usually sufficient. With a more complex item, a larger development project, and critical interfaces between multiple teams responsible for individual subsystems, the need for a formal specification increases. In addition to performance requirements and technical characteristics, a comprehensive
specification would also address ease of use; ergonomics; styling and aesthetics; robustness, reliability and servicing; the product operating environment or conditions of use; life cycle costs; and packaging. Several issues can arise with a product specification that can delay time-to-market: an incomplete, ambiguous, or conflicting specification and/or development proceeding prior to completion of a specification. In these situations, development often proceeds with assumptions made about requirements that may or may not be valid. If the assumptions are not valid, the product may be off-target or there may be further product definition and redesign iterations. When specification ambiguity or conflicts are recognized before design proceeds, there are further product definition iterations that require additional time before development proceeds. This is the lesser of the two evils. It is more appropriate to take additional time than risk a product that misses the mark in meeting customer needs. However, to the degree that all team members are involved with capturing the voice of the customer and with translating those needs into technical characteristics or requirements with QFD, it is less likely that the resulting specifications will be incomplete, ambiguous, or conflicting. Team members will more readily recognize these situations and recognize the additional information that must be obtained or the issues that must be resolved much earlier. Further, if there is a well-defined development process with this team-based environment, it is less likely that development will proceed until specifications are completed. Once requirements for a product are defined, they must be managed and kept stable. When requirements are a moving target, the redesign iterations severely impact time-to-market. To minimize the impact on time-tomarket and more rigorously manage requirements or specifications, establish realistic requirements at the start and make needed trade-off's. Avoid a tendency to proceed with the design before requirements are completely defined. Document requirements to communicate and develop a consistent understanding. Avoid creeping elegance and carefully consider the need to change requirements after development has started. Evolutionary Development The classic approach to product development involves significant effort defining requirements up front followed by customer evaluation and feedback of prototypes to refine the requirements and design. An alternative approach of "evolutionary product development" has emerged, largely based on the results of some Japanese companies. This approach involves regular, on-going assessment of customer needs and customer feedback, shorter development cycles with a more limited set of new requirements or capabilities, and planned evolutionary upgrades or improvements based on customer feedback.
2. Branding Research: Manufacturers, traders and consumers support branding practice as it is useful to them in different ways. Large number of products is sold in the market by brand name as consumers develop affinity to such brands and refer to them when they visit retail shops. In order to secure these advantages, brand selected should be promising. An ideal brand needs certain qualities. For example, it should be brief, simple and easy to remember and pronounce. Similarly, it should be suggestive, decent, attractive and as per the current tests and fashions accepted by consumers. Research department suggests appropriate brand names to the products of the company. For this, surveys are conducted and information is collected through interviews, etc. Such studies offer suitable guidance to management for the introduction of appropriate brand name for the product.
The research team will provide necessary information on the basis of which the management will have to take final decision regarding brand name. This decision is critical as the results (good or bad) will be available only when the brand is actually introduced in the market. Branding Research can be done at every stage of Brand building process, the various researches related to Brands are: 1. Brand Character Research: The brand character research can be done using both qualitative and quantitative techniques. Qualitative research involves the understanding of: Personality of each option Fit with the name of each option Fit with the brand association of each option Fit on the pack Fit with the proposed role in advertising of each option Comparison among the character options Fit with specific brand extension options Quantitative research focuses on ascertaining the following information: Thoughts evoked by each options, and grouping of these thoughts as positive and negative Likeability of each option Specific likes and dislikes of each option Uniqueness of each option Comparison of each option with the symbols of the competition Rating of each option’s fit with the pack Preference amongst symbol options Preference amongst name options 2. Brand Logo Research: When a new logo is to be chosen it is always advisable to evaluate it among two independent sets of people one to evaluate the logo in isolation and the other to evaluate the logo on the pack. Evaluation of logo in isolation looks at its likeability, distinctiveness, comprehension of message conveyed, by logo options, preference among logo options, and preference of logo among key competition. Evaluation of logo on the pack also looks at the same alternatives along with the speed with which the respondent would identify the test logo pack among a clutter of other similar packs. This helps to evaluate how the logo would stand out in the shelf. 3. Brand Name Research: A Brand name research is important for any brand throughout its lifecycle. It involves personal interviews in which some basic concept statements may be exposed to respondents along with the name. then the respondent are asked to recall the name after having read the same. This indicates the names notice ability and ease of recall. Then spontaneous responses are ascertained to name in terms of: Latent Association What thoughts come to mind upon hearing this name? What negative and positive associations exist with new corporate name, product name or service name? What barriers have to be overcome with negative latent associations? How does sound symbolism or phonosemantics (the meaning of sounds) affect the evaluation of a name's latent association?
What does the name mean to you? How would you pronounce this name? What do you particularly like/dislike about this name? Which product the name suit? Or not suit? Which name you like the most and why? After the ascertaining the responses to these, a preference ranking is done of the names and the best among them is chosen. This methood also helps in ascertaining the names ability to communicate to the respondent, the barriers to comprehension, descriptiveness of the name etc. 4. Brand Association Research: For existing brands or existing competition of new brands, respondents mind would already have brand associations. In such cases, the evaluation should include the following questions: Ascertain the current state of affairs, without exposing the respondents to the new concepts Expose new concepts Ascertain the response to new concepts Compare the responses generated before and after exposure of new concepts to understand their effects. 5. Brand Loyalty Research: Brand Loyalty research explore the relationship among brand trust, brand affect, and brand performance outcomes (market share and relative price) with an emphasis on understanding the linking role played by brand loyalty. Brand Loyalty research generate both statistical and qualitative data — benchmarked, comparative and evaluative measures. These, combined with specific diagnostic data, provide the tools to effect improvements: Overall satisfaction Ratings of performance on specific aspects of the product/service Reasons for lack of satisfaction/poor ratings Salience and hierarchy of needs/preferences/expectations Gap Analysis/Strategic Priority Analysis Loyalty and propensity to recommend/re-purchase Drivers of satisfaction and loyalty Reputation/image of the brand Value for money Customer Segmentation and include, where feasible, lapsed and potential customers 6. Brand Health research: The health of a brand is measured by its brand equity. Brands with high equity can command and sustain price premiums and are more successful with line extensions and new category entries. Brand Health research allows companies to set competitive brand strategies and provides brand with a Brand Equity Index. The BEI can be analysed in relation to the brand’s market share and will help determine whether the brand’s share gain is at the expense of long-term brand equity or whether the brand has the potential to expand its market share. 7. Brand awareness research: Market awareness and perceptions of brand can rise and fall quickly in a changing market. The first step is to obtain a systematic understanding of the shape of market perception of brand through survey research. Typical Brand Awareness Research questions include: Which single company comes to mind first as a provider for IT solutions? Which other companies come to mind?
What qualities does the market leader possess that the other companies do not? What factors drove your decision to select your primary vendor? To what degree are you aware of the company’s capabilities in the area of IT solutions? What three words best describe the company’s position in the industry? What is your perception of the company’s products? Experience? Technology? Service? Sales processes?
Based on understanding of the company’s direction how do it perceive its position over the next 12–24 months? In the fast moving technology industry in which companies are launched, merged, acquired, and morphed into new business, Brand Awareness research is critical to establishing and maintaining the desired market awareness and perceptions of your company.
3. Pricing Research Pricing research involves first a pricing strategy assessment supported by strong pricing research capabilities. Sound pricing market research requires a broad strategic perspective together with a focus on your pricing decision options. Pricing research finds optimum price-product-feature configurations in the context of market positioning opportunities. Pricing studies, we employ both qualitative research and quantitative research tools. Pricing research usually concentrates on customers' sensitivity to pricing. This price sensitivity is driven by the nature of the market, the target within that market, the differentiation level of product or service, and the value of brand. Pricing is one of the more technical areas of market research. There are two main approaches: 1. the Gabor-Granger technique and 2. Conjoint Analysis. Many companies sell branded pricing research packages that are just a variation on one of these techniques, however selecting the right technique ultimately depends on what the problem is we are trying to solve. Market context and positioning are also extremely important in setting prices. In technology markets, prices are typically falling over time. Historically the price of PCs has been dropping at about 2% per month. In business markets "value-in-use" or "total cost" may be more important than absolute price. 1. Gabor-Granger pricing research: is named after the economists who invented it in the 1960s. Customers are asked to complete a survey where they are asked to say if they would buy a product at a particular price. The price is changed and respondents again say if they would buy or not. From the results we can work out what the optimum price is for each individual. By taking a sample of customers we can work out what levels of demand would be expected at each price point across the market as a whole (the demand curve in the following graph). Using this estimate of demand, the price elasticity (or expected revenue) can be calculated and so the optimum price-point in the market established. A weakness of Gabor Granger is that customers may understate the price they will pay (there are also circumstances in which they will overstate the price).
Consequently the phrasing of the "would you buy" question is extremely important as are other contextual questions to place the customer in the buying frame of mind. Typically, Gabor Granger is only used when considering one product in isolation, whereas in real life they would face a choice about which product to buy. A more sophisticated variation is called Van Westendorp pricing which uses rates each price on a scale from too cheap to too expensive. The resultant price "space" helps to determine the options - and so pricing tactics available.
2. Conjoint analysis: The main alternative technique is based on and is more sophisticated and more reliable than other research techniques. Conjoint is excellent at looking at understanding how choices are made and consequently the importance of price. For some, conjoint analysis is the only way of carrying out pricing research. However, conjoint analysis is a more technical form of research and requires higher levels of design skills. If pricing is to be conducted it is often advantageous to include it as part of a broad conjoint study into product and service features Conjoint Analysis Like concept tests, conjoint analysis presents concepts to respondents. However, instead of exposing each respondent to a single concept, in conjoint analysis each respondent is exposed to many concepts. For each treatment, respondents are asked to make hypothetical trade-offs between configured products. In conjoint analysis, respondents are forced to make trade-offs between products and product features, much as buyers are forced to do when actually shopping. Each respondent answers a series of trade-off questions; in each question the combination of features shown together changes. In this way, a large number of product features can be evaluated. Each respondent provides enough information through his or her trade-offs that the utility of each product characteristic (including price) can be estimated for each respondent. This individual-level estimation allows for the identification of individual differences that can lead to a market segmentation scheme and can be used to help predict acceptance of products by different individuals in a heterogeneous market. These utilities also allow prediction of preference for any product that can be defined using the product characteristics in the study. These preferences can be modeled in a market simulator. A market simulator allows “what-if” analysis for any configuration of products in any competitive environment. A demand curve can be produced from these simulations. Two common drawbacks exist with conjoint analysis. Nearly all conjoint techniques assume a main-effects only design. This precludes the measurement or incorporation of interaction terms into the market model without substantial pre-specification. In most research, this assumption is not likely to be a problem. In pricing research, however, it is a concern—especially when the design involves price in addition to brand or model since different brands might have different price sensitivities.
Also, conjoint analysis is oriented toward share rather than volume. Conjoint analysis requires the respondent to state a preference among a set of configured products, but it does not ask whether the respondent would like a configured product well enough to buy it. Put another way, conjoint analysis will fail to measure market growth as products become more attractive, and market decline as products become less attractive. In practice, neither of these drawbacks is limiting. One other concern is sometimes raised about conjoint analysis. While conjoint provides a level of realism in that consumers are asked to make trade-offs between product alternatives, the respondent task of providing a rating is still not as realistic as choosing a product, like consumers actually do when shopping.
4. Packaging Research MEANING OF PACKAGING RESEARCH: Packaging research is one aspect of product research. It deals with the needs and expectations of consumers about the package (size, shape,colour combination, durability, material used, etc.) used. Packaging research is useful for making product packages secured, attractive and agreeable to consumers. Packaging research plays a positive role in modem marketing. It acts as a sales promotion technique. It makes the product attractive and agreeable to consumers. Packaging needs constant changes as per the expectations of consumers and also as per the current trends in packaging designs. For achieving these objectives, packaging research is useful. Moreover, the advantages of packaging (as noted above) indicate the importance and need of packaging and packaging research. For large-scale marketing, attractive packaging is a must. It should be used for established as well as for new products. In addition, renovations should be made in the packages after some interval. For this package research is useful. Manufacturers, in India, now take active interest in package research. As a result, we observe new packages of varied sizes, shapes and colour combinations in the market for all types of products particularly consumer items such as soaps, cosmetics and oils. Packaging research has special significance in export marketing as packaging of export items needs to be safe, secured, and also attractive to foreign buyers. Packaging needs to be as per the standard packaging norms used in different countries. In addition, packaging of export items needs to be as per the legal provisions made in different countries. Moreover, packaging rules and procedures are very strict in European countries. WHY PACKAGING RESEARCH UNDERTAKEN? Packaging research is undertaken in order to find out reasonably correct and reliable answers to the following packaging problems/issues: (1) Whether the existing package used for the specific product is attractive and agreeable to consumers and is also as per the current trends in the field of packaging. (2) Whether certain modifications/alterations are necessary in the existing packages (used by the company) so as to make them attractive and as per the tastes and requirements of consumers. (3) Whether the existing packages are eco-friendly (in regard to material used and colour-combination) and to introduce suitable modifications in them so as to make them eco-friendly. (e.g., avoiding the use of thin plastic bag or replacement of plastic containers through the use of thick paper, wood, etc.) (4) Whether the packaging material used is safe, durable and gives full protection to the product against moisture, light, high temperature and shock and whether any other material which is more economical and safe can be used/introduced. (5) Whether the existing package gives clearly visible identity to the product and its brand. (6) Whether the cost of packaging is high and how to bring down the packaging cost and thereby to make the product competitive as well as attractive in the market. (7)Whether the existing package facilitates proper disposal or reuse of the packaging material after the use of the product. (8) Whether there is scope for improvement in the packaging so as to make it attractive, eco-friendly and easily/quickly saleable. Package graphics and copy are critical marketing variables in many product categories, particularly for non advertised or under advertised brands in self-serve shopping environments. The package on a retail shelf is the last opportunity to influence consumers before they decide to buy. It’s the
final sales pitch at the “moment of truth,” when the brand-choice decision is made. The better the package design and copy, the greater the likelihood that consumers will choose that brand. Any new package design, or significant change in an existing package, should always be subjected to the scrutiny of objective consumer feedback. Following are the packaging research methods: 1. Package Screen 2. Package Check 3. Package Test 4. Custom/Ad Hoc Packaging Research 1. Package Screen Early-Stage Package Designs the package design process typically begins with the creation of a large number of “rough” or early-stage designs. Ten to twenty package designs, or more, are common at this beginning stage. The research objective is to identify the package designs that resonate with consumers, so that creative efforts can be focused on further development of the better designs. Package Screen is an Internet-based system to accomplish this winnowing task. How Does Package Screen Work? A representative sample of 200 to 300 target audience consumers are recruited from a panel. These participants are invited to come to a location and view the early-stage package designs. Each respondent sees all of the package designs one at a time (front panel only) on his/her computer monitor, in randomized order. Then, each person views the package designs a second time and answers four questions about each design. The answers to these four questions are fed into a mathematical model to calculate an overall score for each design. The highest-rated designs are recommended for further development. 2. Package Check Diagnostic Feedback The next step in the design process is to learn more about the better designs so that further improvements can be made. Package Check is, designed to provide this diagnostic feedback. How Does Package Check Work? A representative sample of target-audience consumers are recruited to as a panel and view each package design. The respondents see only one package design (i.e., a monadic test) and then answer a series of questions about their reactions, including a series of open-ended questions. The report includes answers to standard questions, compared to the organizations action standards, as well as verbatim responses to open-ended questions. The verbatim detail is valuable to creative teams as they strive to improve the graphic design, as well as the copy, on the package. A typical PackageCheck study is based on 75 completed interviews 3. Package Test Finished Or Near-Finished Package Designs As packages near the end of the design process, a more complete evaluation is required, with comprehensive measurements to assess all of the important elements of package design. Package Test is comprehensive, testing system to evaluate finished (or near-finished) package designs. A
representative sample is recruited from one of our worldwide Internet the panels, and qualified respondents are invited to evaluate the package design. Respondents first see the package’s front panel, and later view the other panels. The research design is monadic. The report includes answers to standard questions, as well as the coded responses to all open-ended questions, along with our analysis and interpretation. A mathematical model, based on a number of key variables, calculates an overall score for the package design and compares it to action standards. A typical Package Test project is based on 150 completes. 4. Custom/Ad Hoc Packaging Research Package Communication What is the package communicating? What is the package failing to communicate? Depth interviews are typically used to explore package communication issues. Usually, the test package is shown at different time exposures (1/500 of a second, 1/200 of a second, etc.) using a tachistoscope. At each exposure level, package recognition and communication are examined. Then the respondents are asked to examine and to read the package in detail, with no time limits. The consumer’s reactions to every detail of package graphics and copy are explored in the interview. The purpose of this research is to learn how to improve brand recognition and package communication. 5. Shelf Impact Does the average consumer notice the package on the shelf? To evaluate shelf impact, we typically build representative displays of the test package in a competitive environment. These displays are photographed from angles representative of the consumer’s perspective. The test package is rotated within the display. The best photographs (with correct rotations) are shown to a representative sample of consumers, at various time exposures (1/200 of a second, 1/100 of a second, and so on) with a tachistoscope. The respondents are questioned about what they see and what they understand, as the length-of-time exposure increases. This methodology helps determine the visibility (or attention value) of a test package, relative to competitive packages. 6. Simulated Display The ultimate test of a package is whether it stimulates trial of a product. To measure a package’s trial potential, a representative display of a product category (with all major competitive brands) is assembled. Matched samples of consumers are instructed to “shop” the display. Their brand decisions, and the reason for those decisions, are explored in post-shopping interviews. Simulated display allows us to measure a package’s trial potential and helps us learn how to improve its trial potential.
Chapter 3 There are four stages where copy testing can take place: 1. Beginning of creation process 2. End of creation process 3. End of the production stage 4. After the campaign has been launched
Chapter 3 Copy Research It starts with the beginning of creation process. Account team wants assurance that the ad does what it is supposed to do. The client wants to see how well a particular ad scores against the average commercial of its type. Copy research is a good idea most of the time--it can yield important data that management can use to determine the suitability of an ad concept and basic idea. Purposes of Copy Research 1. Idea Generation. An agency is often called on to invent new, meaningful, ways of presenting a brand to a target audience. 2. Concept Testing seeks feedback designed to screen the quality of new ideas or concepts. 3. Audience Definition. Once a target segment have been identified, advertising planning can proceed with a developing a message that will be meaningful to the consumers. 4. Audience Profiling. Creative need to know as much as they can about the people to whom their ads will speak. Evaluative Criteria in Copy Research • “Getting It.” – Do consumers understand the ad? • Knowledge – Tests of recall and recognition • Attitude change
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– Determine where a brand stands Feelings and emotions Physiological changes – Changes in eye movements or respiration Behavioral intent – Do people say they will buy the product Actual Behavior – Did people buy the product?
Copy Research Methods 1. Concept Testing Concept testing Concept testing is used to generate communication designed to alter consumer attitudes toward existing products. These methods involve the evaluation by consumers of product concepts having certain rational benefits, such as "a detergent that removes stains but is gentle on fabrics," or non-rational benefits, such as "a shampoo that lets you be yourself." Such methods are commonly referred to as concept testing and have been performed using field surveys, personal interviews and focus groups, in combination with various quantitative methods, to generate and evaluate product concepts. The concept generation portions of concept testing have been predominantly qualitative. Advertising professionals have generally created concepts and communications of these concepts for evaluation by consumers, on the basis of consumer surveys and other market research, or on the basis of their own experience as to which concepts they believe represent product ideas that are worthwhile in the consumer market. The quantitative portions of concept testing procedures have generally been placed in three categories: (1) concept evaluations: where concepts representing product ideas are presented to consumers in verbal or visual form and then quantitatively evaluated by consumers by indicating degrees of purchase intent, likelihood of trial, etc., (2) Positioning: which is concept evaluation wherein concepts positioned in the same functional product class are evaluated together, and (3) product/concept tests: where consumers first evaluate a concept, then the corresponding product, and the results are compared. Types of Concept Testing: a. Card concept test– Creative strategies are presented to respondents in the form of headline, followed by body copy placed on a white card for review. Each concept is placed n the separate card. b. Poster test: This is similar to card test but expands illustrations and copy and places them on a large poster instead of a white card.
c. Layout test: Layout test involves showing a rough copy of a print ad or artwork for a TV ad. Layout tests are more finished than a poster tests in that they use the total copy and illustration as they will appear in the finished ad. Additionally, whereas a card or poster test measures the appeal of the basic concept, the purpose of the layout test may e to measure more subtle effects such as communication, understanding and confusion. 2. Name testing Starting with the right name (and logo) is the cornerstone of brand building. A good name to identify a company or distinguish its products from others must be unique and original, yet capable of carrying a favorable message to motivate the customer to have dealings with that company. Creating such a name is an art as well as a science with rules and guidelines rooted in sociology, psychology, semantics, and the law. Simply put, a good brand name gives a good first impression and evokes positive associations with the brand. 3. Slogan testing: • Good slogans can • Be an integral part of brand’s image • Act as shorthand identification for the brand • Provide information about the brand’s benefits The purpose of the slogan testing is to find out whether the slogan achieves the following: 1. Aid memory recall: It should be easy and pleasant to remember. 2. To describe the use of a product. 3. To suggest the product’s special advantage or unique benefit.
Chapter 4 Copy testing Copy testing start at the end of creation process and before the production start. Copy testing is a general class of tests that evaluate and diagnose the communication power of an advertisement – either broadcast (television, radio), print (newspapers, magazines), or more recently, the Internet. When Used Copy tests are an integral part of the creative development process, and (of necessity) always follow the development of one or more advertising alternatives. These alternatives attempt to embody an advertising strategy that has been identified through previous phases of research. Copy Testing definition: Research that measures responses to marketing communication copy in a test environment to evaluate the copy's effectiveness in fulfilling the intended objectives. Copy testing is a method used by advertisers to see whether or not an ad will work once it is produced. The premise is that exposure to an ad should affect the way a consumer perceives a product or service. By conducting copy testing, advertising campaigns can be revised and sometimes corrected. It is believed that by using copy testing an advertising agency will be able to lower the chances that their advertising campaign will be unsuccessful. Copy tests are usually conducted (1) After a strategic/positioning study indicated an opportunity for the brand that, in turn, feed copy development; (2) After qualitative research (focus groups, in-depths) has been used in the creative development process; or (3) After tracking research has indicated that the current campaign is no longer building awareness or image. Practically speaking, copy tests can be conducted at any time there is new advertising that needs to be evaluated. Copy testing questions • • • • •
What message are we really communicating? Is anyone offended by our advertising? Is our advertising clear and easy to understand? Does our advertising project the right image? Are we saying the right things?
Stimuli The single biggest category of copy testing is for TV, where the stimuli are usually 30- or 60- second spots. In diagnostic tests, the state-of-finish can be (a)"animatic Rough " (hand-drawn, still animation with voiceovers) Succession of drawings/cartoons
Rendered artwork Still frames Simulated movement: Panning/zooming of frame/rapid sequence
(b)"photomatic rough" (with still, stock photos) Succession of photographs Real people/scenery Still frames Simulated movements: Panning/zooming of frame/rapid sequence (c)"steal-o-matic or Live-Action Rough " (live sound and motion, but stock footage) Live motion Stand-in/nonunion talent Nonunion crew Limited props/minimal opticals Location settings (d) or "rough cuts" (agency footage before editing or cleanup). For final on-air testing, only finished (readyto-air) executions are used. Similar, but fewer, alternatives are used in radio or print. Live motion/animation Highly paid union talent Full union crew Exotic props/studio sets/special effects Commercials can be tested in animatic form Copy Test Designs There are two basic copy testing approaches for TV – – off-air, and on-air. (a) Off-air: Off-air tests focus on whether the copy effectively communicated its intended strategy, and provides more diagnostic information on specific copy elements than on-air tests. Off-air approaches are "forced exposure" tests (usually in a mall or theater environment), in which respondents view a clutter reel of competitive ads, with the test ad in the middle. Because a lower state-of-finish is acceptable, off-air stimuli are less costly, and these tests are more often used at an earlier stage of the copy development process. (b) On-air tests: On-air tests are executed on an unused cable TV channel among people who have been recruited to view a fictitious ½-hour pilot TV show. Respondents see ads for other categories, but see only one test ad. On-air tests excel at evaluating copy performance in a real-world setting, and whether the advertisement "broke through" (i.e., was recalled). Similar off-air approaches are used for radio testing (no "on-air" versions exist). Print testing usually involves placement of the test ad in a mocked-up version of a national magazine, or can also involve eye-tracking to determine which elements were seen while reading the ad. Systems for copy testing Many companies have specialized systems for copy testing. The advantage of using specialized companies is their normative databases, often spanning years of tests in many categories. Measures typically include: • Recall of ad ('day after recall' or DAR)
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Main point communication Proven recall (correct playback of copy elements) Total copy and situational/visual playback Purchase intent, or a pre-post persuasion score Brand likes, dislikes Imagery/personality ratings Attribute/brand performance ratings Classification and demographics
Because of the high cost associated with the production of an ad or commercial, advertisers are increasingly spending more monies testing a rendering of the final as at early stages. Slides of the artwork posted on a screen or animatic and photomatic roughs may be used to test at this stage. The test is of little value if it does not provide relevant, accurate information. Rough tests must indicate how the finished commercial would perform. Some studies have demonstrated that these testing methods are reliable and the results typically correlate well with the finished ad. Most of the tests conducted at the rough stage involve lab settings, although some on- air field tests are also available. Popular tests include comprehension and reaction tests and consumer juries. Again, the Internet allows field settings to be employed.
Various methods of Copy testing 1. Free Association tests Free association utilizes the ‘projective hypothesis’ by encouraging the respondent to provide the first set of words or associations that comes to mind after their exposure to a stimulus - such as a product category, brand name or brand symbol Then follow up with probes and amplifications. Initial reactions tend to be pragmatic but later ones show paths to emotional ideas
Ask respondents to say what comes into their head when exposed to the copy Then follow up with probes and amplifications Initial reactions tend to be pragmatic but later ones show paths to emotional ideas
Verbal association tests help to obtain information about the attitude of a respondent to certain idea or concepts named by the words of the respondent's native language. A typical procedure is as follows: participants are asked to respond to a copy with the words that the stimulus evokes in their mind. 2. Direct questioning Direct questioning - elicits a full range of responses from which researchers can infer how well advertising messages convey key copy points. It is especially effective for testing alternative ads in the early stages of development. The heart and soul of copy research is the depth interview, a lengthy (one to two hours), one-on-one, personal interview, conducted directly by the copy researcher. Much of the power of the depth interview is dependent upon the insight, sensitivity, and skill of the researcher. The interviewing task cannot be delegated to traditional marketing research interviewers—who have no training in motivational techniques. 3. Direct Mail Tests
Marketers test any part of direct mail package. Not sure that envelope teaser is a good one? Try a split test: mail several hundred to one groups of names and another teaser to another group. Marketers test any part of direct mail package. One of the most commonly used direct mail test is split test: To test for e.g. an envelope teaser, mailers are send to several hundred to one groups of names and another teaser to another group. The one that gets the best response is the one will most likely use in "Roll out". Rolling out simply means mailing to the entire list instead of small, test groups of names. Remember, one can test any part of Direct Mail package: the sales letter, the brochure, the lift letter, etc., so. When testing any part of a direct mail package, one should only change one component at a time. Careful analysis of results, identification of factors that can improve response, such as emphasizing better or different product features and benefits, and fast correction and execution of new follow-up mailings often yields a better result in subsequent mailing efforts. 4. Statement-comparison tests: In Statement comparison, respondents are given different sentences and asked to give their opinion. 5. Qualitative interviews At the most basic level, interviews are conversations. Qualitative research interviews can be defined as "attempts to understand the world from the subjects' point of view, to unfold the meaning of peoples' experiences, to uncover their views on the specific subject. Unlike conversations in daily life, which are usually reciprocal exchanges, qualitative interviews involve an interviewer who is in charge of structuring and directing the questioning. In qualitative interviews, open-ended responses to questions provide the evaluator with quotations, which are the main source of raw data. It reveals the respondents' levels of emotion, the way in which they have organized the world, their thoughts about what is happening, their experiences, and their basic perceptions. Qualitative interviews also promote understanding and change, the emphasis is on intellectual understanding rather than on producing personal views. The task for the qualitative evaluator is to provide a framework within which people can respond in a way that represents accurately and thoroughly their point of view about the copy." 6. Focus Groups: Definition: limited to those situations where the assembled group is small enough to permit genuine discussion among all its members“. Interviewing more than one person at a time sometimes proves very useful; some young people need company to be emboldened to talk, and some topics are better discussed by a small group of people who know each other. Interviewer asks group members very specific questions about a topic after considerable research has already been completed. Focus group can be define as a "carefully planned discussion designed to obtain perceptions in a defined area of interest in a permissive, non-threatening environment"
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Use of focus groups
Focus groups can be used at any point in a research program. Stewart and Shamdasani have summarized the more common uses of focus groups to include: 1. obtaining general background information about a topic of interest; 2. generating research hypotheses that can be submitted to further research and testing using more quantitative approaches; 3. 4. 5. 6.
stimulating new ideas and creative concepts; diagnosing the potential for problems with a new program, service or product; generating impressions of products, programs, services, institutions, or other objects of interest; learning how respondents talk about the phenomenon of interest which may facilitate quantitative research tools; 7. interpreting previously obtained qualitative results The Moderator’s Role To develop a rapport with the group/ must inspire confidence To ensure people become relaxed and eager to talk To promote interaction To focus discussion on topic areas When a topic is no longer generating fresh ideas the flow of discussion should be changed 7. Motivational research Motivational research is a type of marketing research that attempts to explain why consumers behave as they do. Motivational research seeks to discover and comprehend what consumers do not fully understand about themselves. Implicitly, motivational research assumes the existence of underlying or unconscious motives that influence consumer behavior. Motivational research attempts to identify forces and influences that consumers may not be aware of (e.g., cultural factors, sociological forces). Motivational research is most valuable when powerful underlying motives are suspected of exerting influence upon consumer behavior. Products and services that relate, or might relate, to attraction of the opposite sex, to personal adornment, to status or self-esteem, to power, to death, to fears, or to social taboos are all likely candidates for motivational research. For example, why do women tend to increase their expenditures on clothing and personal adornment products as they approach the age of 50 to 55?. The reasons relate to the loss of youth’s beauty and the loss of fertility, and to related fears of losing their husbands' love. It is also a time of life when discretionary incomes are rising (the children are leaving the nest). Other motives are at work as well (women are complicated creatures), but a standard marketing research survey would never reveal these motives, because most women are not really aware of why their interest in expensive adornments increases at this particular point in their lives. The three major motivational research techniques are observation, focus groups, and depth interviews. a. Observation can be a fruitful method of deriving hypotheses about human motives. Anthropologists have pioneered the development of this technique. All of us are familiar with anthropologists living with the “natives” to understand their behavior. b. This same systematic observation can produce equally insightful results about consumer behavior. c. Observation can be accomplished in-person or sometimes through the convenience of video. Usually, personal observation is simply too expensive, and most consumers don’t want an anthropologist living in their household for a month or two.
8. Comprehension and reaction tests One key concern for the advertisers is whether the ad or commercial conveys the meaning intended. The second concern is the reaction of the ad generates. Obviously, the advertiser does not want an ad that evokes a negative reaction or offends someone. Comprehension and reaction tests are designed to assess the responses. Tests of comprehension and reaction employ no one standard procedure. Personal interviews, group interviews, and focus groups have all been used for this purpose, and sample sizes vary according to the needs of the client; they typically range from 50 to 200 respondents. 9. Consumer Juries: This method uses consumer’s representatives of the target market to evaluate the probable success of an ad. Consumer juries may be asked to rate a selection of layouts or copy versions presented in paste-ups on separate sheets.
Chapter 5
Pre-testing: Pre-testing: This is the test of the copy before it is given to the media. The purpose of pre-testing is as follows: • To spot errors in the copy • To make communication more effective • To design the ad better • To reduce wastage in advertising • To ensure that the money is spent prudently. Pre-testing is a type of research that involves gathering reactions to messages and materials prior to widespread use. Pre-testing is the stage of advertising research in which a complete ad is tested. It is important that the objectives of pre-testing research relate back to the agreed advertising strategy. Pre-tests may occur at a number of points, from as early on as idea generation to rough execution to testing the final version before implementing it. More than one type of pre-test may be used. A number of variables can be evaluated in pre-testing, including the ability of the ad to attract attention, comprehension by the reader/viewer, recall, persuasion, attitude toward the brand, credibility and irritation level. Pretests should be used as guides and not as absolute predictors of winners or losers. In pre-testing it is always best to use multiple measures to evaluate. In particular, the multiple measures recommended are: 1. Impact: The ability of the advertising to be noticed and remembered. 2. Communication: The ability of the advertising to impart a message, which is clearly and uniformly understood by the target market. 3. Relevancy: The ability of the advertising to persuade consumers that their needs will be met by the product. 4. Affinity Building: The ability of the advertising to generate consumer affinity (liking) for both the advertisement and the brand being advertised. 5. Call to Action: The ability of the advertising to motivate consumers to try or re-buy the brand being advertised. 6. Brand Building Ability: The ability of the advertising to create, change or reinforce certain key predetermined brand attributes ( features, benefits, feelings) as encompassed in the brand’s positioning objectives and strategy. 7. Involvement: The ability of the advertising to involve the consumers, or keep him/her interested. 8. Brand fit: The ability of the advertising to demonstrate brand fit, or keep him/her interested.
9. Creative Diagnostics: The pre-test should elicit a host of creative diagnostics to help answer the “whys?” that always emerge from behind the above measures. Print Pre-testing:
Print pre testing 1. Direct questioning 2. Focus group 3. Portfolio test 4. Paired comparison test 5. Order-of-merit test 6. Mock magazine test 7. Direct mail test. 1. Direct questioning: The heart and soul of print advertising research is the depth interview, a lengthy (one to two hours), one-on-one, personal interview, conducted directly by the researcher. Much of the power of the depth interview is dependent upon the insight, sensitivity, and skill of the researcher in the asking the right questions in the right time. The interviewing task cannot be delegated to traditional marketing research interviewers—who have no training in motivational techniques. 2. Focus group: A number of respondents (participants) convened by an interviewer to discuss questions or issues relating to the research topic. The interviewer’s role is to facilitate & moderate the discussion and ensure it covers the key questions & issues. Participants may raise important new issues/questions. 3: Portfolio test: They are the Laboratory methodology designed to expose a group of respondents to a portfolio consisting of both control and test ads. Respondents are then asked what information they recall from the ads. The assumption is that the ads that yield the highest recall are the most effective.. While Portfolio tests offer the opportunity to compare alternative ads directly, a number of weaknesses limit their applicability. Factors other than advertising creatively and/or presentation may affect recall. Interest in the product or product category, the fact that respondents know they are participating in a test, or interviewer instructions (among others) may account for more differences than the ads itself. Recall may not be the best. Some researchers argue that for certain types of products (those of low involvement) ability to recognize the ads when shown may be better measures than recall. One way to determine the validity of the portfolio method is to correlate its results with readership scores once the ads is placed in the field. Whether such validity tests are being conducted or not is not readily known. Although the portfolio method remains popular in the industry. 4. Paired comparison test: Paired-comparison designs (in which the consumer is asked to use two copies and determine which copy is better) appeal to our common sense. The Paired-Comparison is a wonderful design if presenting evidence to a jury, because of its "face value" or "face validity." It can be a very sensitive testing technique (i.e., it can measure very small differences) between two copy. Also, the paired-comparison test is often less expensive than other methods, because sample sizes can be smaller in some instances.
Paired-comparison testing, however, is limited in value for a serious, ongoing copy testing program. The paired-comparison test does not tell us when both copies are bad and does not lend itself to the use of normative data. It is heavily influenced by the "interaction effect" (i.e., any variations in the control copy will create corresponding variance in the test copy 's scores). 5. Order-of-merit test: Here the ranking of the advertisements are done by a group of people called the jurors. The point system is given to an average of 4-5 copies that they are given to rank. The order of merit is the one, which determine which the best advertisement by the jurors is and which has been rated as the worst. The points given by the jurors are then added together to determine which is the ad, which has got the maximum points. This is the one that is the chosen one. 6.Mock (“dummy”) magazine test: Readers are told the magazines publisher is interested in evolutions of editorial content and asked to read the magazines as they normally a would. In an improvement on the portfolio test, ads are placed in “dummy” magazines developed by an agency or research firm. The magazines combine regular editorial features of interest to the reader, as well as the test ads, and are distributed to a random sample of homes in predetermined geographic arrears. Then they are interviewgenerating capabilities of the ads are assessed. The advantage of this method is that it provides a more natural setting than the portfolio tests. Readership occurs in the participant’s own home, the test more closely approximates a natural reading situation, and the reader any go back to the magazines, as people typically do. Direct mail test: Direct mail is the most common form of direct marketing, advertising that conveys its messages straight to the consumer or another business rather than using an intervening medium such as television or print advertising. There's only one rule in direct mail: Test! Find out how to track the response to your mailing and determine if you have a winner or loser. Prospects from the mailing list randomly selected are sent different test ads and the orders against each lot are noted.
Broadcast Pre-testing: Television and radio advertising: 1. Trailer tests: A real life like shopping environment is created to measure consumer behavior. One group is given coupons to purchase selective brands, and the other group is not given the coupons. The redemption rate of the coupons may give an idea about the effectiveness of the test ads. Interviews conducted in a set location, (typically either a field research facility in an office or a shopping mall) for the purpose of interviewing people in that area. 2. Theatre test: A set of captive audience is sent a questionnaire. Later they are sent free ads to view the test ads in a theatre and then again are administered a questionnaire. It assesses product, brand and the ad theme. 3. Live telecast tests: Ads are put on air either by narrow casting or live telecasting. These ads are test ads, and not the regular ads. Later, viewers are interviewed to know their reactions. Here the inaccuracies of artificial testing environment are not encountered. 4. Clutter test: It is the method of pre-testing in which commercials are grouped with noncompetitive control commercials and shown to prospective customers to measure their effectiveness in gaining attention,
increasing brand awareness and comprehension, and causing attitude shifts. Commercials are shown with non competing control ads to determine attitude shifts and detect weaknesses.
Chapter: 6 Physiological testing: Physiological measures detect how consumers react to messages, based on physical Reponses. Eye-tracking systems have been developed to monitor eye movements across print ads. Another Physiological measures is a pyscho-galvanometer , which galvanic skin responses (GRS) .,GRS is a measure of minute changes in perspiration which suggests arousal related to some stimulus in this case , an advertisement . Voice response analysis is another high-research procedure. Inflections in the voice when discussing an ad indicated excitement and other physiological states . Other less frequently used physiological measures record brain wave activity , heart rate , blood pressure and muscle contraction . 1. Pupil metric testing Perceptoscope or Pupilometric Devices Record changes in pupil’s dilatation. Dilatation indicates reading and attention. Contraction shows his dislike to what is being read. It evaluates interesting appealing visual stimuli. It is developed by Eekhard Hess and James Polk. Left eye is photographed o record dilatation. Physiological Test Measures Physiological Test Measures 2. Eye-movement camera It is used in advertising research; this equipment tracks the movement of the eye over press advertisements, showing the path which the eye takes and indicating the sequence of interest that the features arouse. It measures the eye movement over the layout of test ads. The route taken by the eye is noted. The pauses are noted. The areas of interest and attention can be judged.
Pupil dilation – Instrument: pupilometer Dilation assoc iat ed with action Constric tion indicates disinterest
Subject
Stimulus Object
Male Female Nude Female
Nude Male
3. Galvanometric Response It means change in skin conductivity due to changes in moisture content (perspiration); measured by current flow as indicated on a galvanometer. This change may have a correlation with psychological stimuli Eye Movement Research (e.g. fear or other emotion) and arguably may Objective: provide a measure of a respondent’s reaction – To track eye movements to determine . . . What readers rea d on print ads Where attention is focused in TV commercials to an advertisement Method:
– Galvanic skin response (GSR), [aka Electodermal response (EDR)] Sensitive to affective stimulation May present a picture of attention May measure long-term recall Useful in measuring effectiveness 4. Voice pitch analysis A type of analysis that examines changes in the relative frequency of the human voice that accompany emotional arousal. Greater
– Eye movements are tracked using . . . Fiber optic s Digital data proc essing Advanced electronics
– Scan paths on
Print ads and material Billboards Commercials
Output:
– Relationships among what is . . . Seen Rec alle d Comprehende d
Nude Infant
the deviation from the person’s normal (baseline) voice, the greater the emotional intensity of the person’s reaction to a stimulus, such as a question. Used in packaged research, to predict brand preference, and to determine predisposition to buy a product. It is also now used to measure consumers’ emotional responses to advertising. How ever, the validity of Voice Pitch studies is questionable. 5. Brain Wave Research: Brain pattern analysis or Brain wave analysis equipment are non-invasive and resembles a pair of headphones. It takes brain wave measurement continuously from the surface of the head and converts them into an Engagement Index (EI) five times per second through a proprietary algorithm NASA. It helps in evaluating winners from also-rans, which ads do a better job of engaging the viewers.
Chapter 7 Challenges to pre testing Factors other than advertising creatively and/or presentation may affect recall during pre-testing. Interest in the product or product category, the fact that respondents know they are participating in a test, or interviewer instructions (among others) may account for more differences than the ads itself. Recall may not be the best. Some researchers argue that for certain types of products (those of low involvement) ability to recognize the ads when shown may be better measures than recall. Limitation of the juror: Jury selected may not be competent enough to evaluate the ad copy. Limited concepts: Even the quantity of concepts exposed to the respondents is limited. Here creativity is restricted. Halo effect: Halo effect is the greatest limitation of pretesting. When we consider a person good (or bad) in one category, we are likely to make a similar evaluation in other categories. Thus the 'Halo effect' is when a person's perception of another is influenced by their appearance. Most commonly attractive people are judged as having a more desirable personality than someone of average appearance. A common example of the halo effect is when a person is assumed to be smart because he or she is wearing spectacles. Another is that good-looking schoolchildren (or a good looking person versus a more plain looking person) are assumed to be more clever. The halo effect may or may not have anything to do with the physical appearance of the person. It is equally applicable to any attribute one holds as valuable. A person who is good at “X” is deemed to be good at “Y” even if the two items are not related. Of course, the halo effect does not actually confer accuracy, it simply addresses that the reasoning is flawed. In marketing, a halo effect is one where the perceived positive features of a particular item extend to a broader brand. It has been used to describe how the iPod has had positive effects on perceptions of Apple Computer are other products. Sometimes participants rate an ad good on all characteristics because they like a few and overlook specific weaknesses. This tendency, called the halo effect, distorts the ratings and defeats the ability to control for specific components. Of course, the reverse may also occur-rating an ad bad overall due to only a few bad attributes. Subjective reaction on the part of consumers noticed by researchers when attempting to analyze consumer attitudes and their relationship to the market structure, particularly in the area of advertising or brand evaluation. For example, in theory, an individual should be able to evaluate each feature of a given brand independently and should have no difficulty giving a high rating to one feature while giving another a low
rating. However, in practice, researchers have noticed that respondents have a tendency to give a high rating to all the brand's features if they like the brand, and a low rating to all the features if they do not like the brand. This is known as a halo effect. The halo effect makes it difficult to evaluate brands in terms of their strengths and weaknesses. However, if a brand name has a quality reputation in the marketplace, the halo effect may work to the brand's advantage, particularly when the company is introducing a new product into the line.
1Chapter 8 2Post-testing: 3Post-testing: This is the testing, which is done after the ad copy has come out in the media and the audience has seen the advertisement. 4Post-testing typically involves interviewing readers to determine how many remember seeing a particular ad, if they read it, and what they remember about it. 5 Post-testing measures the following factors: Has the advertisement campaign result in sales? Has it created memorability for the brand name? Has it created positive image and a favorable attitude towards the company and the brand? How much advertising is necessary on a continued basis, to sustain the same level of consumers’ interest in the brand? Are the consumers convinced that the brand is superior of competitors The purpose of post-testing is as below: 1• To find out the impact of an ad in terms of it being noticed, seen and read. 2• To find out its credibility. 3• To find out its comprehension 4• To measure its memorability. 5• To assess its effect on buyers. 6• To assess its fit with the promotion and marketing mix 7• To assess whether it has achieved its objectives. 8• To assess the relative effectiveness of different copies and media plans. 9• To improve future advertising efforts.
The post-testing methods. This actually gives us an idea about the actual performance of the ad in terms of exposure, perception, communication and sales effect. We can assess the credibility and comprehension of the ads. Few of the methods of this type of tests are: 1. Recall tests: In this type of tests the individuals are asked to answer about the ads entirely on the basis of their memory. It could be aided recall, where they are given few cues to help them recall and unaided recall, which of course is based on memory alone. 2. Recognition test: These are also known as readership tests, whereby it is seen whether they buy the product upon seeing the ads. Importantly, the individual has to qualify as the reader of that particular issue.
3. Triple association test: Here the respondent is given certain cues wherein he can relate to a certain brand. For example – “Thanda Matlab”, if the answer is coca cola, then it is correct. And if the respondent is able to connect the product with the company then it is a triple association. 4. Sales effect tests: They measure the various stages of buyer awareness, preference, buying intention and actual purchase in relation to actual advertising effort. 5. Sales results tests: The additional sales generated by the ads are recorded. It is difficult however to correlate an increase in sales to advertising alone. 6. Inquires test: These are couponed ads of consumer durables. They invite consumers to send back the coupon to seek a demo or more details. The number of enquires determine the effectiveness of the ads. 7. Attitude test: Attitudes show our predisposition towards objects, ideas, people and places. They indicate overall feelings. The change in attitude as a result of advertising is assessed. The assumption is that a favorable attitude towards a product will lead to a purchase. Most ads are designed either to reinforce or change the existing attitudes.
