Topic 2

The Research Process

Steps in the Research Process
1. Establish the need for the market
research.
2. Define the problem.
3. Establish research objectives.
4. Determine the research design.
5. Identify information types and
sources.
6. Determine the methods of accessing
data.
7. Design data collection forms.
8. Determine sample plan and size.
9. Collect data.
10.Analyze data.
11.Prepare and present the final
research report.
Steps in the Research Process
Few comments about the process:
1. It is rare in practice a research project follows all the
exact steps.
• Research is an interactive process where a
researcher by discovering something may move
forward or backwards in the process.
2. May not involve every step shown
• The research problem may be resolved, for
example by a review of secondary data, thereby
eliminating the need to determine a sample plan
or size.
Step 1: Establish the need for market research

• A good monitoring system will alert the marketer to

a problem that can be attacked by market
research.
• Market research may not be needed if:
Information is already available
There is insufficient time for market research
Resources are not available
Costs outweigh the value of the research
Step 2: Define the Problem
• The most important step in the market research.
• Problem definition involves:
i. Specifying the symptoms
ii. Itemising the possible causes of the symptoms
iii. Listing the reasonable alternative courses of
action that the marketer can undertake to solve
the problem.
Step 3: Establish the Research Objectives

• Research objectives identify what specific pieces

of information are necessary to solve the problem.
• Research objectives is the specification of the
types of information useful to the marketers as
they search for a solution to the problem.
Step 4: Determine Research Design
There are three types of research design:
1. Exploratory Research Design - collecting information in an
unstructured and informal manner. Examples: Reading
periodicals, visiting competitors premises, examine company
sales and profits vs. industry sales and profit.
2. Descriptive Research Design - a set of methods and procedures
that describe marketing variables. Portray these variables by
answering who, what, why and how questions, example:
consumer attitude survey to your companies services.
3. Casual Research Design – allow us to isolate causes and their
effects.
 Casual research is conducted by controlling various factors to
determine which factor is causing the problem.
 By changing one factor, say price, we can monitor its effect on a
key consequence, such as sales. In other words, casual design
allows us to determine causality, or which variable is causing
another variable to change.
Step 5: Identify Information Types and Sources.

Basically two types of data information available to a

marketer:
1. Secondary data – as it name implies, refers to
information that has been collected for some
other purpose.
2. Primary data - refers to information that has
been gathered specifically to serve the research
objectives at hand.
Step 6: Determine Methods of Accessing Data
Methods of accessing secondary data
• Information processing technology.
• Easy and Quick retrieval.
• Internal data - company reports, salespersons, executives,
Management information system (MIS) and other
information sources.
Methods of collecting primary data
• Questionnaires (survey).
• Interviews.
• Focus group interviews.
• Observation.
• Case-studies.
• Scientific experiments.
Step 7: Design Data Collection Forms
Questionnaires and observation forms must be designed
with great care.
i. Questionnaires - record the information
communicated by respondents or the respondent’s
behavior as observed by the researcher.
ii. Structured Questionnaires - list questions that have
pre-specified answer choices.
iii. Unstructured questionnaires - have open ended
questions and/or questions that are asked based on
a response.
Step 8: Determine Sample Plan and Size

• Population is a whole, it’s every member of a

group (All Malaysians).
• Sample is just a part of a population (Malaysians
living in Kedah).
• Sample plan identifies WHO to be sampled, WHAT
is the sample size and HOW to select the sample.
• Sample element is the unit of the entity being
studied (student, youngster, elder, organization etc.)
• Sample frame is a list from which the sample
elements are drawn for the sample.
Step 9: Collect Data
• Data collection is usually done to collect primary
data.
• Being aware of errors that may occur is important.
• Example of errors.
o Wrong sample elements to interview
o Involving participants who refuse to participate
o Interviewing subjects who give the wrong information.
o Hiring interviewers who cheat and fill out fictitious survey
questionnaires.
o Bad Survey Questions
o Researcher Bias
o Bad Data Collection
Step 10: Analyse Data
• Data analysis – a process of inspecting, cleansing,
transforming, and modelling data with the goal of
discovering useful information, suggesting conclusions, and
supporting decision-making.
• Data cleaning – a process by which the raw data are
checked to verify that it has been correctly inputted to the
computer program such as SPSS.
• Coding – a process of assigning all response categories a
numerical value (males=1, females=2).
• Tabulation – refers to the actual counting of the number of
observations that fall into each possible response category.
Step 11: Prepare and Present the Final Research Report

• Preparing the market

research report involves
describing the process
used, building meaningful
tables, and using
presentation graphics for
clarity.
• Using the SPSS software
to prepare graphics to
enhance your written or
oral presentation.
Primary vs Secondary Market Research

The two types of market research are:

• Primary research (also known as field research),
which involves the collection of original data for a
specific purpose. It is normally collected directly
from the source.
• Secondary research (also known as desk
research) uses information that has already been
published.
Advantages of Primary Market Research

1. Customized
• Primary research is customized to your needs and is
flexible enough to leave out unwanted or useless
information.
• This is the best way to research a market sector that
is specific to you and your product.
2. Recent
• Since primary research involves the collection of new
information for a specific purpose, this data will be up-
to-date.
Advantages of Primary Market Research cont..

3. Accuracy
• Primary research is first-hand data that has not been
altered by someone else.
• The information gathered is a true reflection of the
market, and is a more accurate tool for gauging potential
customers’ needs or attitudes.
4. Better Data Interpretation
• Primary research data can be interpreted based on your
needs, whereas secondary data may have had a certain
spin placed on it.
• When you do your own research, you are in control of
the data interpretation.
Advantages of Primary Market Research cont..

5. Proprietary Information
• Information collected using primary market research
is yours, and is generally kept from your
competitors.
• This gives you an edge over competitors that rely
on secondary data, because you have the
advantage of better insight into the market.
Quantitative vs. Qualitative Research

Two Approaches to Research

Quantitative Qualitative
• Emphasizes numbers, • Emphasizes natural
measurements, control, settings, observations,
and experimentation. verbal narratives, and
• This is the traditional interpretations.
scientific research. • Emerged from
sociology.
Quantitative vs. Qualitative Research

Goals
Quantitative Qualitative
• Test hypothesis • Build theory
(theory) • Develop understanding
• Establish facts • Describe multiple
• Show relationships realities
• Predict • Capture naturally
• Statistically describe occurring behavior
Quantitative vs. Qualitative Research

Design
Quantitative Qualitative
• Structured • Evolving (emerging)
• Predetermined • Flexible
• Formal • Informal
• Specific • General
Quantitative vs. Qualitative Research

Sample
Quantitative Qualitative
• Large • Small
• Representative • Non-representative
• Random Selection • Purposeful
Quantitative vs. Qualitative Research

Data
Quantitative Qualitative
• Quantities • Verbal descriptions
• Counts • Field Notes
• Measures • Observations
• Instruments • Documents
• Numbers • Photographs
• Statistics • People’s own words
• Narrative
Quantitative vs. Qualitative Research

Methods
Quantitative Qualitative
• Experiments • Case studies
• Quasi-experiments • Ethnographies
• Correlation • Interview
• Surveys • Verbal Protocol
• Ex Post Facto Analysis
Quantitative vs. Qualitative Research

Mixed Methods
• Involve different combination of quantitative and
qualitative methods at the level of:
 Data collection
 Data analysis
Example: A combination of questionnaire and
interview.