Marketing Reserach

1. Define Research and its characteristics. Also explain any seven types of research.

ANS: Definition of Research: It is an art of scientific investigation. It is also a systematic design

collection analysis and reporting of the findings and solutions for the existing problems of a
company.

Research Characteristics:

Research has following characteristics:

1.originates with a question or problem
2. Requires the clear articulation of a goal
3. Often divides the main problem into sub- problems
4. Guided by specific problem, question, or hypothesis
5. Accepts certain critical assumptions
6. Follows a specific plan or procedure
7.requires systematic collection and interpretation of data
8. Cyclical in nature; meaning that the answers we get from research often leads to more questions,

which leads to more research for answers and this process continues.

Types of Research:
1.Theoretical/Fundamental/Pure research
2.Applied or decisional research
3.Conceptual research
4.Historical research
5.Action research
6.Library research
7.Ex-post-facto research
8.Exploratory research
9.Descriptive research
10.Causal research
1.Theoretical/ Fundamental/Pure/ Basic research: It is the source of new theories, principles
and ideas. It is used to increase understandingof certain phenomena/ behaviour but does not seek
to solve any existing problem. Theoretical/Fundamental/Pure research helps to broaden the
horizons of knowledge and it may not be applied to seek a solution to practical problems.
2.Applied/decisional research: The decisional i.e., applied research involves a practical problem,
its analysis and then seeking a practicaland feasible solution for the same. This research is related
to a real life situation where the concern is to seek an immediate solution to the problems. For
example, a study conducted on how information systems can be used to improve the ability of
physicians to diagnose diseases more accurately.
3.Conceptual research: It is related to some abstract idea or theory (for thinkers& philosophers).
There may be a conceptual research, where the focus is upon pure theoretical principles for seeking
a practical solution to the problems. E.g. spiritualism.
4.Historical research: As the name suggests, it is the study of past events to interpret records and
data to project future trends. The premise of the research is based upon interpretations, inferences
and conclusions of the past events in order to analyse and understand the present, and anticipate

the future course of action. For example, types of historical or interpretive research studies
include: biographical, histories of institutions and organisations, investigation of sources and
influences, editing and translating historical documents, studying the history of ideas, or compiling
bibliographies.
5.Action research: Directly, this involves an action-oriented research to solve practical business
problems. For example, test-Marketing a product.
6.Library research: This involves the review of past reports, data and notes in order to collect,
analyse and interpret the secondary data.
7.Ex-Post-Facto research: It is an empirical enquiry for situations that have already occurred. For
example, understanding reasons for product defects, like Tata Nano car catching fire. This type of
research explains the relationship between the independent constructs. It is empirical in
nature and thus, the variables cannot be manipulated.
8.Exploratory research: It is undertaken with the aim of clarifying ambiguous problems. It is used
to solve general problems usually known but not sufficiently understood. Its purpose is to get more
information, not to uncover specific courses of action (subsequent research). For example,
9.Descriptive research: Descriptive research seeks to depict what already exists in a group or
population. For example, it can be used to seek answer to question like who are the main
consumers of organic food. Another example of this type of research would be an opinion poll
to determine which party, people plan to vote for in the next election.Descriptive studies do not
seek to measure the effect of a variable; they seek to describe only.
10.Causal research: Most people interpret scientific experimentation and research as studies to
establish cause and affect relationships. Experiments on causal relationships investigate the effect
of one or more variables on one or more outcome variables. This type of research also determines if
one variable causes another variable to occur or change. An example of this type of research would
be altering the amount of treatment and measuring the effect on study participants. Another
example would be to measure the effect of promotion on the total sales of a company.

2. Explain the various types of Consumer and Business to Business (B2B) market
research.
Types of Consumer market research
a) Market survey - Surveys are useful for getting a great deal of specific
information. Surveys can contain open-ended questions (e.g., In which city and
state were you born? ____________) or closed-ended, where the respondent is
asked to select answers from a brief list (e.g., __Male ___ Female. Open
ended questions have the advantage that the respondent is not limited to the
options listed, and that the respondent is not being influenced by seeing a list of
responses. Surveys come in several different forms. Mail surveys are relatively
inexpensive, but response rates are typically quite lowtypically from 5-20%.
Phone-surveys get somewhat higher response rates, but not many questions can
be asked because many answer options have to be repeated and few people are
willing to stay on the phone for more than five minutes.
b) Focus groups- Focus groups are useful when the marketer wants to launch a new
product or modify an existing one. A focus group usually involves having some 812 people come together in a room to discuss their consumption preferences and
experiences. The group is usually led by a moderator, who will start out talking
broadly about topics related broadly to the product without mentioning the
product itself. For example, a focus group aimed at sugar-free cookies might first
address consumers snacking preferences, only gradually moving toward the
specific product of sugar-free cookies.

c) Personal interviews -involve in-depth questioning of an individual about

his or her interest in or experiences with a product. The benefit here is
that we can get really into depth (when the respondent says something
interesting, we can ask him or her to elaborate), but this method of
research is costly and can be extremely vulnerable to interviewer bias.
d) Projective techniques -are used when a consumer may feel embarrassed to
admit to certain opinions, feelings, or preferences. For example, many older
executives may not be comfortable admitting to being intimidated by
computers. It has been found that in such cases, people will tend to respond
more openly about someone else.
e) Observation of consumers is often a powerful tool. Looking at how consumers
select products may yield insights into how they make decisions and what they
look for. For example, some American manufacturers were concerned about low
sales of their products in Japan. Observing Japanese consumers, it was found
that many of these Japanese consumers scrutinized packages looking for a name
of a major manufacturerthe product specific-brands that are common in the
U.S. (e.g., Tide) were not impressive to the Japanese, who wanted a name of a
major firm like Mitsubishi or Proctor & Gamble. Observation may help us
determine how much time consumers spend comparing prices, or whether
nutritional labels are being consulted.

3. Discuss the various Techniques of Sales Analysis and forecasting in estimating

the current market demand.
4. Discuss the Various techniques of Probability sampling techniques in detail with
examples.

ANS.:Definition of probability sampling:

In this sampling method, every unit has known (equal or not equal) chances for selection as a
sampling unit in thetargeted population. Random, or probability sampling, gives each member
of the target population a known probability of selection. This probability is called sampling
ratio, and it is equal to the number of the items in the sample divided by the number of the
population.

Techniques of probability sampling :

Probability sampling techniques can be categorised as follows:

1.Simple random
2.Systematic random
3.Stratified random
4.Random clusters

5.Stratified clusters

1.Simple random sampling: In this, there is equal possibility to select each element of the
population. Similarly, there is equal possibility of selection of each combination of the
elements.

2.Systematic random sampling: Systematic sampling is a more advanced than random

sampling. In this method, the first unit is selected at random from the sampling frame. Other
units are then selected at a regular interval depending on the population size and sample size.
Mathematically, if the population size is N, and the desired sample size is n, then sampling
interval will be:
k=N/n.
Now, randomly select a number j between 1 and k, sample element jand then every kthelement

thereafter, j+k, j+2k, etc.

For example: N=64, n=8, k=64/8=8. Random j=3.

3.Stratified sampling: This method divides the data into a number of strata and within each
stratum, random sampling is done. This can only be done when the distribution of population
with respect to a particular factor is known to the interviewer.

Example: Characteristics like income, age, sex, region etc. can be used to stratify a population.
4.Cluster sampling: The process of sampling of complete groups or units is called cluster
sampling. In this method, population is divided into groups called cluster, usually geographic
or organisational. Clusters are chosen at random. Thereafter, either all units in the chosen
clusters are studied or a simple random sample from each cluster is chosen.
For example: one survey is conducted by a researcher to know the academic performance of
high school students in India.o Firstly researcher divides the entire population of India into
differentcities (clusters).

5. Explain the process of sampling and classification of non-probability sampling

techniques.
Sampling is the process of selecting a suitable sample, or a representative
part of a population for the purpose of determining characteristics of the
whole population. The main aim of sampling is to draw inferences about
populations from samples, rather than a complete enumeration (a census)
of the population
process of sampling
Define the targeted population: Population is defined as (i) elements,
(ii) sampling units, (iii) extent and (iv) time
Example: If a company wants to monitor the sales of its recently
launched product, the population will be:
(i) Element company's product

(ii) Sampling unit retail outlet, supermarket

(iii) Extent Jaipur
(iv) Time September 10th to Oct l0th 2006
Identify the frame of sampling: Sampling frame could be yellow
pages, telephone directory, various colonies in a municipal area list
mentioning the details of all colonies.
Example: If you want to know about a car owner in Jaipur city, then the
transport office (RTO) can provide the name, address and type of
vehicle possessed.
Specify sampling unit and techniques: It is defined as the element
about which information is required and then selecting probability or
non-probability methods.
Example: retailers in a locality, husband or wife or children in a family.
Determine the sample size: This means deciding how many elements
of the target population are to be chosen. The sample size depends on
the type of the study. The sample size is small in exploratory study and
this is large in size in descriptive study.
Select the sample and execute the process: This is the final step in
the sampling process.

Classification of non-probability sampling

Convenience sampling
Here, subjects are selected because of easy access to them and there is no reason of
selection attached to the purposes of research.You can choose any group for sampling
purpose. It can be school going students, people on the roadway, friends or colleagues in
your office or tourists at picnic spot. But specifically, it should include those persons who
are actually interested in taking part. This is a method when you generally need a few
customers to help in product development on the condition that it will be further tested with
a better revised sample.
Judgement sampling
Judgement sampling is more commonly known as purposive sampling. In this type of
sampling, subjects are chosen to be part of the sample with a specific purpose in mind.
With judgmental sampling, the researcher believes that some subjects are more
appropriate for the research compared to other individuals. This is the reason why they are
purposively chosen as subjects.
Quota sampling
This is a part of stratified sampling in which selection within strata is non random
done. Selection is normally left to the wish of the interviewer.
Quota sampling involves the following steps:
Step 1: Identify important attributes like age, sex and class level, and divide the
population on the basis of these characteristics into segments.
Step 2: Each segment is then assigned a quota and those many sample units are
selected from each segment.
Example: Surveying MBA students about their campus food services.Segments may be
first year and second year MBA students. Quota assigned may be 40% first year students
and 60% second year students to be selected as respondents for the survey.
Snow ball sampling
It comes under the special category of judgmental sampling. This method is most suitable

for small size of population where each respondent is asked to give reference for one or
more other population members.
6. Discuss the features of online marketing research and its types.
Online marketing research is the process by which companies use the Internet to gather
data to evaluate how well a product or service is selling to consumers.
Types
Online survey
It is one of the latest research styles. Internet is the key factor that helps in conducting
online surveys. They help in providing the information as well ascrucial facts and figures. In
this competitive world, every business firm searches for cheaper options to reach their
target customers. For this, online survey is the best suitable option for them as the
marketing research overheads are very less. By using online research survey, firms can
reach the correct type of people and collect the desired information from them.
Focus groups
Focus groups occur in real-time and are directed by a moderator. Clients view on-line as
sessions take place and can also send messages to the moderator. Webcams make
viewing sessions more interesting for all involved.
Bulletin boards
Boards are set up, typically for a period of 3-5 days. Participants need to logon 2-3 times a
day at their ease to answer questions posted by the moderator. Participants are urged to
make comments, check others answers, etc. Nurturing interaction is vital to the success of
this approach.
Blogging
A confidential, project-specific blog community is set-up. Each participant has their own
blog, where they can write, upload photos, videos, etc. They are allotted topics to blog on.
Participants are urged to comment on each others blog postings. In blogging, there is
more interaction between participants.
Mobile research
Questions are sent via text message to participants cell phones. Answers are short.
Participants do not interact with one another. The reach and response rate is high in this
medium
Online Panels/ Communities
A large number of people are asked to become a member of panel /community.
Participants are urged to interact with one another. Sub-groups of community members are
enrolled for several studies during the run of the communitys life.
DIY market research
In do it yourself marketing research, research is done using special online research
software, or online survey tool. These survey software products allow users to connect and
perform one-on-one online interviews, create online questionnaires, distribute them to an
email list or internet access panels, and analyse the data in real time without outsourcing to
a specialised research agency.
Features of online marketing research: Following are the features of online marketing
research:

Low costs: The overheads of online marketing research are comparatively lower than
other traditional marketing research.
Computer aided research: In this type of research, the process of collecting information
from respondents is very easy and simple. As when respondents enter their own data in
the system, automatically it will be stored electronically. In this way, researchers can
analyse/manipulate the data very quickly.
Flexibility: In online marketing research, any kind of survey can be programmed even if
it is very complex in nature.
Time saving: With online surveys, rapid deployment of the data obtained from online
surveys is possible that cannot be achieved by traditional surveys. Typically this happens
at two levels one no manual punching of data is required and secondly you can analyze
the data on the part sample also / almost akin to a running analysis while the data is still
being collected. Often this throws up new hypothesis which at time may lead to
modification of research instruments also - thus one does not have to wait till the end of the
fieldwork to get a sense of the data
More convenient: Respondents can give their answers as per their schedule, at their
own place and convenience. Thus, they are not under any kind of pressure. But there is an
issue of authenticity. In real life one may be college student but online one may state that
he/she is working, etc.
Limited sampling and respondent availability: Certain part of the population has less
accessibility to internet. Thus, it becomes harder to draw probability samples based on
email addresses or website visitations from this part of the population.