CHAPTER IV

RESEARCH

METHODOLOGY
4.1 Introduction

Research Methodology is the tool with the help of which the research work
is completed systematically by the researcher. Thus research methodology adopted
for this research work includes various steps or processes such as selection of
problem, review of literature, research design, selection of an appropriate sample
size, study area, development of questionnaire, data collection, statistical tools used
for data analysis and interpretation.

4.2 Research Design

Descriptive Research studies are ideal for studying complete characteristic features
of phenomenon under study (Montero and León, 2007). Hence, it depicts accurately
and portrays the participants of research as the frame from where the information
is gathered and not manipulated. The study undertaken is descriptive and analytical
as the researcher observed and studied the current trends prevalent in the market to
generate online traffic, it further represents a critical understanding of the extent of
use of the online models to increase the visibility of the marketers website and the
strategies thus employed by them to enhance their brand image.

4.3 Nature of Research

Quantitative Research design is adopted for undertaking this research as it was

considered to be appropriate. Quantitative research is objective oriented and
follows systematic methodology that mainly involves numerical data analysis by
using statistical tools and methods(Thomas, 2003; Creswell, 2003). It aims at
quantifying or determining the relationship between the independent variable and
the dependent variables. It utilizes predetermined and well structured questionnaire
for assessing the performance data, observational data and census data. Hence the
outcome of using the predetermined and close ended questions is quantifiable
numerical information which offers precision in measurement.

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4.4 Time Dimension

The research study collected responses from various respondents which consists of
the target population at one time period only, in this case it was the online marketers
at a single time frame, the data collected was analysed and is cross-sectional in
nature.

4.5 Population and Sampling

The Online Market is booming in India, with the immense growth of internet users
companies are now entering into online market primarily to tap new customers and
to overcome the barriers of geographical boundaries. There is a paradigm shift
from offline to online. Hence it is necessary to understand the changing trend as
the marketing practices that were applied in the traditional market are no longer
applicable in the online market. The marketers have to be abreast with the new
marketing techniques and evolve themselves to sustain in the market.

Population

In order to choose a sample, a sampling frame is needed, in the beginning, it was

thought to choose a general scenario across all the industry segments.

Since the scope of the study was confined to the corporate sector in India, all the
companies registered under the Indian Companies Act, 1956, constitute the
population of the Study.

As the primary objective was to understand the online marketing practices

conducted by the marketers, the list of Mahratta Chamber of Commerce, Industries
& Agriculture (MCCIA) was considered appropriate as it’s a reputed trade
association serving and helping businesses in the state of Maharashtra since 1934.
It is also an ISO certified organization and its database is widely used by
academician and industry for both research and information purpose.

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As the objective of the study was to measure the online marketing practices
employed by the marketers, only those potential companies which had online
deliverability of the product and information and web presence of conducting the
business through the brick and click mode was selected. However, after obtaining
the views of experts both from industry and academics, it was concluded to focus
on the three major sectors – Manufacturing, Services and Construction. A Total
597 companies across these sectors were registered with the MCCIA.

Therefore the Population (N) = 597

4.6 Sampling Design

Sampling design has played a major role in conducting the current research study.
Sampling design is the size and number of population which is considered for
collecting the data for the research study. It is a procedure for selecting items from
the population or universe.

The sample respondents for this research study was selected through Purposive and
Convenience sampling method. Guilford, J.P.(1984) writes a purposive sampling
is one which is arbitrarily selected where there is a good evidence that it is very
much representative of the total population or it is known that it will produce well
matched response.

Some of the important steps followed in sampling design for the current study are
discussed as below.

4.6.1 Sampling Method

Convenience and Simple Random Sampling alongwith Purposive Sampling and

Snowball Method was adopted to select the sample from the population. The
companies which were registered with the MCCIA and having a web presence were
selected randomly from the sampling list. The names of the companies were coded
to avoid any bias.

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4.6.2 Sample Size

Sample size plays a very vital role as studying the entire population is very tedious
and time consuming specially in those cases when inferences can be drawn from
the sample size. There are various approaches and methods for determining the
sample size. A minimum sample size is required to estimate the sample that reflects
the underlying population.

The sample size for this research study was determined by using the formula given
by Taro Yamane (1970:886-87)

N
As n = 1 + 𝑁 (𝑒)2

Where, N is total population and ‘e’ is ‘acceptable sampling error’ or confidence

level and n is sample size

597
n = 1 + 597 (0.05)2

n = 265

For this research study the population (N) is 597 and confidence level is 5 % i.e.
95% error(e) is .05, then the sample size (n) calculated as per the above formula
constitutes to 265.

The questionnaire was sent to the senior marketing representatives through email,
personal visits and through telephone. The researcher faced a lot of difficulties in
collecting the primary data, as there was lack of mailing addresses, few companies
mentioned in the list were either closed or relocated to some other address which
was not updated in the list. A few companies though having a web presence did
not depend on the web for procuring their sales. Hence were not fit to be
interviewed.

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Convincing the marketers was the greatest challenge. In the first phase of data
collection only 123 completely filled questionnaire copies were received. After a
round of reminders through email and personal visits another 52 companies
responded. Considering the limitations it was decided to adopt snowball sampling
method whereby the respondents forwarded the reference of other companies in
their circuit, which was not mentioned in the MCCIA list which also became a part
of the sampling frame. Finally, the responses from 223 companies was obtained
which were valid for the inclusion as sample for the study which is 39% of the total
population.

Thus the sample size for the research study constitutes of 223 companies
conducting their business through the online mode considering the time, human
resource and finance constraints.

Sample Size (n) = 223

The following are the number of companies selected sectorwise.

Business type Population Sample Size for Study

Manufacturing 138 66
Construction 99 17
Services 360 140
Total 597 223

4.7 Sources of Data Collection

The data for this study was collected from two main sources, the primary and
secondary sources. The primary sources consisted of collecting the information
through observation method, interview method and questionnaire method.
Whereas, secondary data has been collected through published and un-published
sources such as reference books, published Ph.D thesis, Reports, Journals and
newspapers.

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 • Primary Method

Primary data is collected directly from the respondents. On the basis of primary
data, the hypothesis and objectives are tested and verified. Therefore, considering
the objectives and hypothesis of the current study and in order to get the first hand
and authentic data the researcher has adopted the following primary data methods.
As the universe was large and wide spread, data collection was a tedious task and
the researcher faced many problems to collect the primary data. However efforts
were taken to have a judicious mix of methods to collect the data, these methods
are discussed as below:

1. Observation Method:

The researcher has used Observation Method for collecting the data and studying
the the change in trends minutely. Simple and Systematic Observation Method was
used to understand the changing online practices and consumer engagement
programs adopted by the marketers on the social media platforms like facebook,
twitter, google plus and the prevalent trends were studied from time to time.
Discussions were held with various industry experts to ascertain their views of the
changing trends and the paradigm shift of the companies conducting business from
offline to online was thoroughly studied.

2. Interview Method:

Interview method was used to collect the information from the selective classes of
companies listed in the MCCIA list. A survey in the form of personal interviews
of senior marketing executives, Vice President, Directors of the selected companies
was conducted from January 2017 to May 2018. Apart from personal interviews,
a Structured questionnaire in Google form was sent to these managerial heads
through email. Some of the respondents were also contacted through telephone,
considering the limitation of time, cost and distance.

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At the initial stage of research that is during the process of preparing proposal,
formal discussion and telephonic discussions were carried out with the officials.

Thus the research work was started by taking formal appointment, detailed
discussions on various practices and models adopted by the marketers were carried
out. The basic intention behind such interaction was to frame research design for
the current study in a better way.

The information provided has helped the researcher to a great extent in getting
information for conducting the research work smoothly and efficiently.

3. Questionnaire Method

Filling in the questionnaire is one of the most important stage in the process of
collecting primary data. The questionnaire was drafted keeping in consideration
the objectives and hypothesis of the study. A structured and non-disguised
questionnaire was designed to collect the primary data. Since the same questions
were presented to all the respondents in a given sequence it was a non-disguised
questionnaire.

• II - Secondary Method

Apart from the primary data, the researcher made use of the secondary data also for
the current study. An exhaustive literature review was conducted from different
sources like journals, reference books, research papers, conference proceedings,
newspapers, company websites and social networking sites. Various articles
published in reputed journals, shodhganga sites, inflibnet, NDL, Wikibooks and
Google Scholar were also reviewed and analysed in order to have a better
understanding of the research problem.

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 ❖ Visit to Libraries:

Libraries are the most enriched source of information. The Researcher referred
various books and journals on the current topic by visiting various libraries like:

➢ Jaykar Library, Savitribai Phule Pune University.

➢ Department of Commerce and Research Centre, Savitribai Phule Pune
University.
➢ Library of Abeda Inamdar Senior College. Azam campus, Pune
➢ Library of Poona College. Pune
➢ Library of Allana Institute of Management Sciences, Azam Campus, Pune

4.8 Research Instrument : Outline, Format, Questions and Scale

Items

This sections pertains to the design of the research instruments that are used for
collection of data and pre-testing of the data prior to the survey conducted.

The research instrument adopted for this research study is Questionnaire. A

questionnaire is a set of questions which are asked to the target respondents in order
to obtain information pertaining to the given topic. The questionnaire constructed
for this research study was based on the objectives and hypothesis formulated as
per the selected topic. The questions focused on the online marketing techniques
adopted by the marketers in generating online traffic, selection of consumer
engagement programs, online marketing budget, social media practices and barriers
hindering online marketing.

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4.8.1 Outline and Format

A Structured questionnaire was constructed and administered after discussion with

the guide and other subject experts in the field. In the initial phase a formal list of
questions was drafted and pre-tested with two persons from the industry and five
from the academic circle. The opinion and views of various subject experts and
academicians was considered to identify any lacuna’s in it. Suggestions were also
sought regarding the issues to be included, the wording, length and even the
sequence. Questions containing ambiguity and comprehension problems were
deleted considering that the interview would be conducted through google form and
through telephone. The necessary changes were incorporated and a refined list of
questionnaire was framed which was then finally administered to the respondents.

The study employed close ended questions developed in Likert’s five point scale to
elicit information from the selected respondents. The questionnaire was then tested
using the Cronbach Alpha test to check the validity & reliability.

The questions pre-specified all the possible answers and the respondents were
asked to select from the given alternatives.

4.8.2 Cronbach Alpha Test for testing Reliability and Validity of the
Questionnaire

Scale: ALL VARIABLES

Case Processing Summary

N %

Valid 223 100.0

Cases Excludeda 0 .0

Total 223 100.0

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 Listwise deletion based on all variables in the
procedure.

Reliability Statistics

Cronbach's Cronbach's N of Items

Alpha Alpha Based
on
Standardized
Items

.949 .945 51

Inference:

According to the standard rule, the reliability percentage must be above 0.6. The
value given in the above analysis is 0.949 which is good and the inference and
conclusion drawn from this questionnaire and data is reliable to understand and
forecast. This test is run on all the questions based on Likert scale.

4.8.3 Questions Layout

The questionnaire begins with the title of the topic to give a brief about the
information to be collected from the online marketers conducting their business
through the online mode.

The questionnaire was divided primarily into two broad sections and a total of 27
close ended questions were constructed.

• Section – I comprises of brief information about the company, its address,

year of commencement, number of years of conducting online business and
the business type.

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 • Section – II consists of survey questions pertaining to the reasons for going
online, marketing research undertaken, the reason for undertaking
marketing research, Marketing Budget, Branding Strategies adopted,
Reach & Growth techniques developed to attract new customers, Lead
Conversion strategies, Customer Retention techniques and Consumer
Engagement programs adopted, Social Media Marketing Practices,
Barriers faced by the marketers in conducting online marketing, Growth
parameters after adoption of online marketing and opinion regarding future
growth of online market.

The questionnaire ends with acknowledging the respondents and thanking them for
participating in the survey.

4.8.4 Questions Rating Scale

The questions framed were simple and precise in nature and in line with the
aim and objectives of the study. All the questions framed were easy to understand
and did not contain any technical jargon or words which would be difficult for the
respondents to understand, as few questions were mailed to them hence due care
was taken to keep the questionnaire as simple as possible.

A Structured Questionnaire with closes ended questions was framed as it is used to

generate higher response rate. Few of them were multiple choice questions and
others were in 5 point Likert Scale from Strongly Agree to Strongly Disagree. At
one instance, the Likert Scale used was Highly Preferred to Least Preferred.

Below is brief summary given of the scales used:

• Likert Scale (Interval Scale)

□ Strongly Agree □ Agree □ Neutral □ Disagree □ Strongly Disagree

□ Highly Preferred □ Slightly Preferred □ Moderate □ Slightly Not

Preferred □ Least Preferred

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Following is the categorisation used for coding the responses collected.

Likert scale is coded from 1 to 5

• 5 Point Likert Scale

1=Strongly Disagree, 2=Disagree, 3=Neutral, 4=Agree, 5=Strongly Agree

Table 4.1 Constructs and types of Scale Questions

Sr. Construct Total Scale

No. Questions
1. Reasons for going online 1 Likert Scale
2. Marketing Budget 2 Nominal
3. Branding 1 Nominal
4. Reach & Growth Strategies 1 Likert 5 point Scale
5. Lead Conversion 2 Likert 5 point
Scale/Nominal
6. Customer Engagement & Retention 2 Likert 5 point Scale
7. Social Media Strategies 6 Nominal
8. Barriers 1 Nominal
9. Growth parameters(Company 1 Likert 5 point scale
Performance)
10. Future growth parameters 1 Likert Scale

4.9 Pre-Testing of Questionnaire and Pilot Study

A Structured questionnaire with close ended questions was designed as a part of

the survey questionnaire to the set of respondents. Pre-Testing of questionnaire
aids to improve the questionnaire and also helps the respondents to fill it easily. A
pre-test or a pilot study is generally conducted to have a trial run before collecting
the final data so as to identify the potential level of accuracy and also to find out
any lacuna’s or gap as well as to ascertain the views of the potential problems of
the respondents in the study proposed.

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Complete care was taken while framing the questionnaire with regards to the
wording of the questions, proper sequence by grouping the similar questions into
sub sets so as to get a flow of context, options were provided to the questions so as
to ease the respondents to fill up the survey.

Before starting the actual fieldwork, the researcher conducted a pilot study to check
the feasibility and to improve the design of research. Pilot study was carried out
on the selective class of online marketers obtained from the list of Mahratta
Chamber of Commerce, Industries & Agriculture (MCCIA).

The researcher carried out the pilot study to check the correctness, relevance and
effectiveness of questionnaire, so as to make the necessary changes in the final draft
of the questionnaire.

For a pilot study the sample should be 10% of the sample projected for the larger
parent study (Connelly, 2008). A Sample of 50 respondents of companies was
selected randomly from the above mentioned list and due representation was given
to select the companies from the three major segment of industries, so as to have a
valid and authentic sample for carrying out the pilot study.

In the initial phase of the study, out of 50 only 45 filled questionnaire was obtained
through personal interviews which was carried out with the respondents by taking
a prior appointment. The initial scale includes various statements recorded during
the direct communication with the company respondents, which became helpful
later on to draft the final questionnaire.

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After the pilot study there were deletions and modifications in the question, all
questions were converted into close ended with Likert’s five point scale. Three
questions were deleted and the wordings of the questionnaire was made precise so
as to reduce the length of the question and to minimize repetition errors.
Corrections were then made on the feedback collected and the final questionnaire
was designed. Test re-test methods was adopted to test the reliability of
questionnaire. The results of the pilot study were matching in most of the cases
with the overall results found suitable in this study.

4.10 Reliability And Validity Analysis

Test-Retest method was used to assess the reliability and validity. It helps to
confirm the reliability by administering the same research instrument to the same
set of respondents at two different occasions. High Reliability indicates similar
results are obtained under consistent conditions. Internal Consistency Test is used
to test the reliability of measurement scale. The test compares two different
versions of the same research instrument and to ensure that there is a correlation
and they measure same thing. Cronbach’s Coefficient Alpha is the most common
Internal consistency test used for estimating the consistency of items used in a
questionnaire. A high coefficient value indicates that the items are consistently
measuring the same underlying construct. In this research the Cronbach’s Alpha
value exceeded the 0.9 mark which shows a high level of internal consistency of
measurement scale for each criterion which indicates good reliability.

4.11 Statistical Analysis

A thorough analysis was undertaken for each questions to highlight the Marketing
practices adopted by the Online Marketers in India. The statistical analyses reveal
the preference of marketing strategies adopted to acquire and reach the online target
customers, the lead conversion policies, customer engagement and retention
programs framed by the marketers to grow their customer base and the barriers
faced in conducting online business. Based on the interpretation derived through

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statistical analysis inferences are drawn to provide the best marketing practices and
strategies to be adopted for attracting a large online customer base.

4.11.1 Approach to Analysis

Descriptive Statistics and numerical presentation have been used for analysis of
data. The respondent questionnaire was coded and the opinions captured was
further subjected to analysis with the help of various statistical tests and with the
help of Microsoft Excel and SPSS (Statistical Programme for Social Sciences).

• Descriptive Analysis: An analysis was done as per each question and

inferences were drawn based on the outcome of the responses. The data
characteristics (descriptive statistics) such as mean, standard deviation,
frequency tabulation, percentile methods were also determined to assess the
data.

• Hypothesis Testing: The hypothesis was tested with the use of various
statistical tools like Chi Square Test, ANOVA and Friedman Test.

4.11.2 Level of Significance

The level of Significance was selected to be 0.05 (or equivalently, 5%) by keeping
in mind the consequences of such an error and to ensure to protect the null
hypothesis from inadvertently arriving at false conclusions.

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4.12 Statistical Tools Adopted

The researcher used various statistical tools, techniques to analyse the data such as
simple percentage, Chi-square, ANOVA, Friedman Test. Data classification and
tabulation was undertaken and presented graphically through pie-charts and bar
diagrams.

Percentile Method:- A special type of a ratio used in comparing the set of

variables. Percentage is used to narrow the data and express it in relation to 100.
This tool is essential to compare the variables over a period of specific time.

Frequency:- It is used to determine the comparisons between the variables and the
number of times each variable occurred.

Pie Charts, Diagrams and Graphs:- The data gathered was analysed through the
use of diagrams and charts as it aids in the interpretation of the data and arriving at
conclusions.

Chi-Square Test:- This test is used to determine if there is any significant

difference between the expected frequencies and the observed frequencies related
to one or more categories.

ANOVA:- Analysis of Variance used to determine and analyze the difference

among the group means in a sample. It is a test used to find out if the survey result
is significant. It aids to figure out if the null hypothesis needs to be rejected or the
alternate needs to be accepted.

Friedman’s Test: It is a non-parametric test used to identify the differences

between groups when the dependent variable being measured is ordinal.

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4.13 Justification of Statistical techniques used for data analysis

1. The values on qualitative characteristics have been shown as n (% of

respondents) across various groups of interest such as business sectors.
2. To quantify the scores on attributes the weighing scheme through weighted
arithmetic mean is used for 5-point Likert scale being implemented in the
questionnaire. Higher weights are given for those responses who are in
favour of importance in regards to priority or preference or effectiveness of
the attributes/factors and vice-versa.
3. For comparing the statistical significance of difference of distribution of
several related attributes or factors, we used Friedman’s test. As per this test
the hypothesis of mean scores of various related factors have been tested
for the difference for a specific perspective related to online marketing.
4. For comparing the statistical significance of difference of the distribution
of means of several quantitative variables across three groups of sectors, we
used ANOVA procedure after confirming the underlying normality
assumption.
5. One sample Chi-Square test is used to obtain the statistical significance of
difference in the distribution of responses related to a specific aspect of on-
line marketing among the respondents. The last hypothesis (H5) was tested
through Chi-Square to test the difference in several aspects of one particular
factor being collected through qualitative data.
6. A p-value less than 0.05 is considered to be statistically significant
throughout the study.
7. The entire statistical analysis was done using Statistical Package (SPSS
version 21.0) for MS Windows.
8. The entire data was entered in MS Excel before it was transferred to SPSS
for further statistical analysis.

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4. 14 Linkage between Objectives and Questions

Table 4.2

Sr. Objectives Questions

No.
1. To study the growth, development and current Question No.2 , 7.9, 7.10
trends of online marketing in India.

2. To analyze the effective online marketing Question No. 4, 5.1, 5.2

strategies and formats developed by the
online marketers to grow their customer base.

3. To evaluate the online consumer engagement Question No. 6.1, 6.2

programs developed by the marketers to
retain the online consumers.
4. To study the role and importance of social Question No.7.1, 7.2, 7.3,
media as an effective marketing strategy. 7.4, 7.5, 7.6

5. To identify the challenges / barriers Question No. 7.8

encountered by the Indian marketers in
conducting online business.
6. To suggest an effective and appropriate Question 3.1, 7.7, 7.10
strategy suitable for new firms to meet the
challenges of this new digital market.

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4.15 Linkage between Hypothesis and Questions

Table 4.3

Sr. Hypothesis Questions

No.
1. H1 : There is a significant difference in the Question No. 1.6
reasons to go online among the online marketers.

2. H2 : There is a significant difference in the Question No. 3.1

preference of Branding strategies to enhance the
brand image among the online marketers.

3. H3: There is a significant difference in the Question No. 4.1, 5.1,

preference of online marketing strategies to 5.2
acquire new customers among the online
marketers.

4. H4: There is a significant difference in the Question No. 6.1, 6.2

preference for online customer engagement
programs in retaining the customers among the
online marketers.

5. H5: There is a significant difference in the Question No. 7.1, 7.2,

preference for the social media platforms among 7.3, 7.4, 7.5, 7.6
the online marketers.

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4.16 Limitations of the Study

• The study is limited to Pune District and few other cities in Maharashtra.

• Convincing the companies to participate in the survey was the biggest

limitation and challenge imposed to the researcher as many of them were
reluctant to participate.
• Retrieving the complete address and mailing list from the sampling frame
was another limitation faced by the researcher, as some of the companies
mentioned in the sampling frame had shifted to a new location and had not
updated, hence a lot of time was consumed in approaching them.

• In this study the responses gathered from the Marketing Directors and
managerial level executives were assumed to be unbiased. The limitation
of self-reported data needs to be considered as it cannot be independently
verified may contain bias of attribution and memory.

• Some of the respondents were reluctant to answer considering the breach of

confidentiality and information.

4.17 Summary

This Chapter explains in brief the research methodology adopted by the Researcher
in undertaking the research study on the topic. It contains the research design, data
collections methods adopted, sampling population and size, statistical tools used
with various tests and their justification.

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Following is the brief summary of the research methodology adopted by the
researcher.

Table 4.4 Brief summary – Research Methodology

Sr. Description Research Method

No.
1. Nature of Research Quantitative
2. Research Design Descriptive and Analytical research
3. Time Dimension Cross-sectional
4. Population Size 597
5. Sampling Procedure Simple Random, Purposive, Snowball
6. Sample Size 223
7. Sources of Data Collection Primary and Secondary methods
8. Research Instrument Questionnaire (Structured, Closed
Ended)
9. Reliability Test Cronbach Alpha Test
10. Rating Scale Nominal and Likert 5 point Scale
11. Statistical Tools Chi-Square, ANOVA, Friedman Test

Data collected forms basis for further analysis using statistical tests to understand
the findings of the study.

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