Session 5 (17.08.10)

Focus group discussion

 

• is the process of obtaining possible ideas or solution
• to a mktg. problem
• from a group of respondents
• by discussing it.

• Each participant in a group of five to nine or more is encouraged to express views in each topic and to elaborate on or react to the views of the other participants.
• Advantage of focus-group discussion is that it offers participants more stimulation than an interview.

Types of Focus-Groups

 

There are three types of focus groups:

1. Exploratory focus groups
2. Clinical focus groups
3. experiencing focus groups

Exploratory Focus Group

 

• Commonly used at the exploratory phase of the mkt. research process to aid in defining the problem precisely.
• It can also be used as pilot testing
• Exploratory groups can be used to generate hypotheses for testing or concepts for future research.

Clinical Focus Groups

 

• Involves qualitative research in its most scientific form
• The research is conducted as a scientific endeavor.
• Clinical groups require a moderator with expertise in psychology and sociology.
• Findings are difficult to validate and hence are less popular.

Experiencing Focus Groups

 

• Allows the researcher to experience the emotional framework in which the product is being used.

Applications of Focus Groups

 

Focus groups can be used to address substantive issues such as:

 

• Understanding consumers’ perceptions, preferences and behavior concerning a product category.
• Obtaining impressions of new product concepts.
• Generating new ideas about older products
• Developing creative concepts and copy material for advertisements
• Securing price impressions
• Obtaining preliminary consumer reaction to specific mktg. programs

 Methodological applications of focus groups include:

• Defining a problem more precisely
• Generating alternative courses of action
• Developing an approach to a problem
• Obtaining information helpful in structuring consumer questionnaires
• Generating hypotheses that can be tested quantitatively
• Interpreting previously obtained quantitative results.

Depth Interviews

• Depth interviews are another method of obtaining qualitative data.
• It is an unstructured, direct, personal interview in which a single respondent is probed by a highly skilled interviewer to uncover underlying motivations, beliefs, attitudes, and feelings on a topic.

Techniques of depth interviews

1. Laddering
2. Hidden issue questioning
3. Symbolic analysis.

Laddering

• In laddering, line of questioning proceeds from product characteristics to user characteristics.
• This allows the researcher to tap into the consumers’ network of meanings.
• It provides a way to probe into consumers’ deep underlying psychological and emotional reasons that affect their purchasing decisions.

Hidden issue questioning
A type of depth interview that attempts to locate personal sore spots related to deeply felt personal concerns.


Symbolic Analysis
A technique for conducting depth interviews in which the symbolic meaning of objects is analyzed by comparing them with opposites.


Applications of depth interviews

• Depth interviews can be effectively employed in special problem situations, such as those requiring:
• Detailed probing of respondent
• Discussion of confidential, sensitive, or embarrassing topics (personal finances etc)
• Situations where strong social norms exists and the respondents may be easily swayed by group response.
• Detailed understanding of complicated behavior
• Interviews with professional people
• Interviews with competitors, who are unlikely to reveal the information in a group setting
• Situations where the product consumption experience is sensory in nature, affecting mood states and emotions.

Projective techniques

• They attempt to disguise the purpose of the research.
• It is an unstructured, indirect form of questioning that encourages respondents to project their underlying motivations, beliefs, attitudes, or feeling regarding the issues of concern.
• In projective techniques, respondents are asked to interpret the behavior of others rather than describe their own behavior.
• It is assumed that while interpreting the behavior of others, respondents indirectly project their own motivations, beliefs, attitudes, or feelings into the situation.

Projective techniques are classified as:

• Association techniques
• Completion techniques
• Sentence completion
• Story completion
• Construction techniques
• Picture response
• Cartoon tests
• Expressive techniques
• Role playing
• Third person technique

Assignment 5

Q1. What is a Focus group? Explain various types of focus groups.
Q2. State advantages and disadvantages of focus groups (reference: Malhotra, Dash:page no. 1545)
Q3. What do you mean by depth interview? What are its types? Explain.
Q4. Explain the advantages and disadvantages of depth interviews.
Q5. Explain projective techniques in detail with its classification.
Q6. List and explain the advantages and disadvantages of projective techniques.

Submission date for the above assignment is 18th Aug 2010.

Session 4 (12.08.10)

Research Design

Research design is a framework or detailed blueprint used to guide a research study toward its objective.

It details the procedures necessary for obtaining the information needed to structure or solve mktg. research problems.

A good research design will ensure that the mktg. research project is conducted effectively and efficiently.

A research design involves the following components, or tasks:

Research Design can be classified as given in below chart:

Differences between Exploratory and Conclusive Research

Exploratory Research

Objective of exploratory research is to explore or search through a problem or situation to provide insights and understanding.


Exploratory research can be used in the following situations:

• Exploratory research is meaningful in any situation where the researcher does not have enough understanding to proceed with the research project.
• This type of research rarely involves structured questionnaires, large samples and probability sampling plans.
• Researchers are alert to new ideas and insights as they proceed.
• Once a new idea or insight is discovered, they may redirect their exploration in that direction.
• That new direction is perceived until its possibilities are exhausted or another direction is found.
• Hence, the focus of the investigation may shift constantly as new insights are discovered.

Exploratory research can be conducted with the help of:

1. Survey of experts
2. Pilot surveys
3. Secondary data analyzed in qualitative way
4. Qualitative research

Descriptive Research

Objective of descriptive research is to describe something—usually mkt. characteristics or functions.

Different reasons for conducting a descriptive research can be any of the following:

• Descriptive research assumes that researcher has much prior knowledge about the problem situation.
• A major difference between exploratory and descriptive research is that descriptive research is characterized by the prior formulation of specific hypotheses.
• Hence the information needed is clearly defined.
• Descriptive research is preplanned and structured.
• It is based on large representative samples
• Formal research design specifies the methods for selecting the information sources and for data collection.
• Descriptive design requires clear specification of the who, what, when, where, why, and way (6 Ws) of the research

Cross-sectional designs

• It is the most frequently used descriptive design in mktg. research.
• It involves the collection of information from any given sample of population elements only once.

Cross-sectional designs can be classified as:

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Longitudinal Designs

• In longitudinal designs, a fixed sample (or samples) of population elements is measured repeatedly on the same variables.
• It differs from cross-sectional design in that the sample or samples remain the same over time.
• The same people are studied over time and the same variables are measured.
• Sometimes, the term panel is used interchangeably with the term longitudinal design.
• A panel consists of a sample of respondents , generally households that have agreed to provide information at specified intervals over an extended period
• Syndicated firms maintain panels and panel members are compensated for their participation with gifts, coupons, information or cash.

Relative advantages and disadvantages of Longitudinal and cross-sectional designs

 
 
 
 
 
 
 
 
 
 
Causal Research

• Causal research is used to obtain evidence of cause-and-effect (causal) relationships.
• Causal research is appropriate for the following purposes:
• To understand which variables are the cause (independent variables) and which variables are the effect (dependent variables) of a phenomenon.
• To determine the nature of relationship between the causal variables and the effect to be predicted.
• Descriptive research can determine the degree of association between variables, but it is not examining the causal relationships.
• Such an examination requires a causal design, in which the causal or independent variables are manipulated in a relatively controlled environment (experimentation).
• The main method of causal research is experimentation.

Comparison of Basic Research Design

Session 3 (10.08.10)

Data Sources


• There are two types of data
–  Primary Data
– Secondary Data

• Research designer has a wide variety of methods for data collection. He may use it singly or in combination.

• Secondary Data are already available, as they were collected for some purpose other than solving the present problem.

• Primary Data are collected especially to address a specific research objective.

• A variety of methods, ranging from qualitative research to surveys to experiments, may be employed.

Primary Data


• Primary Data are originated by a researcher for the specific purpose of addressing for the problem at hand.
• Collection of primary data involves all the steps of the marketing research process.
• Obtaining primary data can be expensive and time consuming.

Secondary Data


• Secondary data is the information that has already been collected for some other purpose (other than the problem at hand). These data can be located quickly and inexpensively.

 Comparison of Primary and Secondary Data

 Advantages of secondary data

1. 
   
   Secondary data are easily accessible.
2. 
   
   Relatively inexpensive
3. 
   
   Quickly obtained
4. 
   
   Secondary data helps you:
1. 
   
   Identify the problem
2. 
   
   Better define the problem
3. 
   
   Develop an approach to the problem
4. 
   
   Formulate an appropriate research design
5. 
   
   Answer certain research questions and test some hypothesis
6. 
   
   Interpret primary data more insightfully.

Disadvantages of secondary data

1. Collected for purposes other than the problem at hand, their usefulness to the current problem may be limited in several important ways, including relevance and accuracy.
2. The objectives, nature and methods used to collect the secondary data may not be appropriate to the present situation.
3. Secondary data may be lacking in accuracy
4. They may not be completely current or dependable.

Uses of Secondary Data

1. May actually provide enough information to resolve the problem being investigated
2. Can be a valuable source of new ideas that can be explored later through primary research.
3. Secondary data is prerequisite to collecting primary data. It helps to define the problem and formulate hypotheses about its solution.
4. Provides better understanding of the problem.
5. Secondary data is of use in the collection of primary data. Examining the methodology and techniques employed by other investigators in similar studies may be useful in planning the present one.
6. Helps to define the population, select the sample in primary information collection, and define the parameters of primary research.
7. Also serve as reference base against which to compare the validity and accuracy of primary data.

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Limitations of secondary data

1. It is collected for some other purpose, hence may not be relevant for the problem on hand.
2. No control over data collection
3. May not be very accurate
4. May not be reported in the required form
5. May be outdated
6. May not meet data requirements
7. A no. of assumptions have to be made.

Assignment of Research Design

1. Differentiate between Exploratory and conclusive research with the help of examples.
2. ‘The Exploratory Research Design is inconclusive where as the Descriptive Research Design is conclusive’—explain.
3. Distinguish: Cross-sectional design and longitudinal design.
4. List and explain the situations in which exploratory research can be used.
5. What are the methods used in exploratory research.
6. List and explain the reasons for conducting descriptive research.
7. Explain Causal research design. Compare the research designs in terms of Objective, Characteristics and Methods.

Assignment 3

1. Identify and define different sources of Data. Also explain the differences between them. 
2. Explain in detail the sources of data.
3. Compare different sources of data.
4. What are the advantages, disadvantages, uses and benefits of secondary data?
5. What are the limitations of secondary data?
6. What are the different sources of primary data? Explain them in detail with examples.

 

INDIA TOPS NIELSEN CONSUMER CONFIDENCE INDEX YET AGAIN

Increasing food prices continues to be the biggest concern in the second quarter of 2010

25 July 2010, Mumbai, India

Registering a two point increase, at 129 points Consumer Confidence Index was the highest in India in the latest Nielsen Global Consumer Confidence Survey. Indonesia and Vietnam (both 119 index points) followed India in consumer confidence levels.

             However, all is not rosy and a full global economic recovery is slower than anticipated. The global consumer confidence cautiously edged up one index point to 93 in the second quarter as confidence increases in booming Asian markets were offset by European consumers’ growing concerns of an escalating debt crisis, which battered confidence levels in Spain, Italy and France.

             Nielsen’s Global Consumer Confidence Index tracks consumer confidence, major concerns and spending intentions among approximately 27,000 Internet users in 48 countries. The latest round of the survey was conducted between May 10 and May 26, 2010.

            “The positive attitude of Indians comes on the back of a robust GDP growth (9%) in April – June quarter of 2010 after growing by 8.6 per cent in the preceding quarter according to estimates by Centre for Monitoring Indian Economy (CMIE). For the fiscal 2009-10 India's economy grew by 7.4 percent which is an upward revision from earlier estimates of 7.2 percent due to higher-than-anticipated growth in agriculture, mining and manufacturing sectors. In the opening month of 2010-11, growth came from the three sectors, mining, manufacturing and electricity. As per the use-based classification, growth numbers were also found to be remarkable; especially, the capital goods sector, which achieved a growth of 72.8 percent indicating a rise in investment sentiments in the economy,” said Piyush Mathur, President, India, The Nielsen Company.

             Nearly 7 in ten Indians (69%) think that the country is currently not under economic recession. Out of those who think that India is currently under economic recession, 64 percent think that the country will be out of recession in the next twelve months.

Optimistic Indians

Indians emerge the most optimistic globally on all parameters, whether it’s their job prospects, personal finances or attitude towards spending.

            More than nine out of ten Indians (92%) are optimistic about their job prospects in the next twelve months. 26 percent consider their job prospects “excellent” and 66 percent consider it “good”. This is the highest percentage for any country globally where job prospects are considered.

            Indians are also the most optimistic when it comes to their state of personal finances in the next twelve months. 14 percent Indians consider their state of personal finances in the coming year “excellent” and 71 percent consider it “good”. With 85 percent votes, Indians top the list of countries that are optimistic about their state of personal finances in the next twelve months.

           The high confidence levels and state of personal finances give Indians the confidence to spend. 59 percent Indians are optimistic that “now” is a good time to buy the things they want or need over the next twelve months.

           “A steady rise has been seen in the confidence levels of Indians in their job prospects, personal finances and their economy. The cloud of a looming recession has disappeared and Indians are ready to spend. Now the ball is in the court of the marketers and their efforts that will make them a part of this spending kitty,” continued Mathur.

What they do with spare cash?

            After meeting their essential living expenses, Indians love to put their spare cash into Savings. More than six out of ten Indians put their spare cash into savings. This is the most beloved use of spare cash for Indians, who haven’t conceded this spot to any other use for many rounds of this survey. At 63 percent, savings has become dearer to Indians by three percent compared to the last leg of the survey. India ranks seventh globally which puts spare cash into savings.

           After saving, Indians love to put their spare cash in Shares of stock/ mutual funds. Nearly half the Indian consumers (46%) invest in stock. The percentage of Indians investing in the stock market has gone up by three percent compared to the last round of the survey and is the third highest percentage for a country investing in the shares.

           After saving and investing, Indians love to spend their spare cash on Holidays/ vacations (38%), followed by New technology products (36% - 6th highest globally), New clothes (34%), Paying off debts / credit cards / loans (30%), Home improvements / decorating (29%), and Out of home entertainment (28%).

           So we see that Indians are back on a spending spree, with most activities registering a growth except for Home improvements/ decorating, which has gone down by 3 percent.

           Indians are a cautious clan when it comes to planning for their retirement. 23 percent Indians put their spare cash into Retirement funds. This is the fourth highest percentage globally, who put spare cash into retirement funds.

          “The growth in purchase activities is a clear sign that Indians are fast moving away from a recessionary mindset, a major boost to a developing economy like India,” said Mathur.

Major concerns

Increasing food prices is the biggest concern for Indians in the next six months. However, compared to the last leg of the survey, the concern has gone down by four percent to thirteen. India ranks first globally in its concern for rising food prices.

           Indian concern for increasing food prices is followed by their concern for Work/life balance (12%) and Terrorism (12%). Indian concern over terrorism is the second highest globally, behind Turkey.

           The Economy, Global warming, Children’s education and/or welfare (all 8%), Job security and Parents' welfare and happiness (both 7%), are some other concerns bothering Indians. India ranks first in its concern over Global warming.

            “Increasing food prices is a major concern that has been bothering Indians for some time now. The overall inflation averaged for the month of April 2010 stood at 9.6 percent as compared to the inflation of 1.3 percent seen in the same month of previous year. This rise in price index is on account of dearer food articles and fuel products. The concern over increasing food prices has become so big that it has replaced consumer concern over jobs and economy. Concrete steps needs to be taken to curb the increasing prices, if India has to retain its consumer confidence level,” continued Mathur.