Professional Documents
Culture Documents
1950 founded by Bill Rosenberg in Quincy, Massachusetts 1975 1000 locations in USA 2007 partnership with Proctor & Gamble ( sales of $5.3 billion in 2007) 2008 7988 stores worldwide 2012 10,500 stores worldwide
Extensively used marketing research in the form of focus groups and survey research and realised that customers select a coffee and donut based on five factors : - Accessibility - Quality (freshness for donuts / coffee ) - Variety (52 flavors) - Image - Affordability
The Company launched Dunkin Donuts in India in April 2012 in Delhi. The Company has 16 Dunkin Donuts restaurants in India (as of 7th August 2013).
Business Research
Is a systematic inquiry that provides information to guide managerial decisions. It is a process of planning, acquiring, analyzing, and disseminating relevant data and insights to decision makers so that they can maximize business performance.
This enquiry might lead to validating existing postulates or arriving at new theories and models.
Objective
To help in Decision Making
Example
TVS Nestle Boeing (preference for smaller planes developing a new version of 737 100 215 seat market) Toyota (Lexus under 30s group ---- Scion --live concerts)
Samsung
42,000 employees focused on product research and development each year, surveying customers, conducting focus groups, and analyzing market trends. ---Samsung Galaxy S 3 one of the most popular smartphones of 2012.
BUSINESS RESEARCH
BASIC RESEARCH
APPLIED RESEARCH
EXPLORATORY RESEARCH
CONCLUSIVE RESEARCH
DESCRIPTIVE RESEARCH
CAUSAL RESEARCH
Basic research : The basic premise is the need to KNOW and the concern is primarily academic in nature. For example
A research scientist wants to investigate the question: What is the most effective way for an organization to recover from a service failure? Her objective is to provide guidelines for establishing the proper "fit" between service failure and service recovery that will generalize across a variety of service industries.
Applied research: Solution or action oriented research, that is contextual and practical in approach.
For example : A university professor wanted to analyze in depth the reasons for absenteeism of employees in organizations. Fortunately, a company within 20 miles of the campus employed her as a consultant to study that very issue.
Exploratory research is loosely structured and the basic premise is to provide direction to subsequent, more structured method of enquiry. Conclusive research is structured and definite in orientation. These studies are usually conducted to validate formulated hypotheses and specified relationships.
CONCLUSIVE RESEARCH Well structured and systematic in design Are flexible and investigative in Have a formal and definitive methodology methodology that needs to be followed and tested Do not involve testing of hypotheses Most conclusive researches are carried out to test the formulated hypotheses Findings might be topic specific and Findings are significant as they have a might not have much relevance outside theoretical or applied implication. the researchers domain
Descriptive research: The main goal of this type of research is to describe the data and characteristics about what is being studied. Causal research: Explores the effect of one or more variables on other variable(s), with reasonable level of certainty by controlling the impact of other influencing variables
The Research Framework Research Design Data Collection Plan Sampling Plan
Instrument Design
Pilot Testing
Data Collection
Research Reporting
Marketing
Market & consumer analysis, Product research, Pricing research, Promotional research New product research (idea generation / screening / concept development / business analysis / product development / test marketing / launch) Product life cycle research Product Mix Research (package designs / branding / after sales service)
In finance
Asset pricing, capital markets and corporate finance, Financial derivatives and credit risk modeling research, Market-based accounting research , Auditing and accountability, financial forecasting, behavioural finance, volatility analysis
In human resources
Training & development studies
Research Methods
All those methods / techniques that are used for conduct of research. These include the methods of collection of data, methods of establishing relationships and evaluating the accuracy of the same.
Research Methodology
Is a way to systematically solve the research problem. It includes research methods and the logic behind the methods used in the context of the research study
Ethics
Treatment of Respondents Anonymity protected Collection of data corrected No use of ultra violet ink / one way mirrors / hidden tape recorders / fake long distance calls Fake research firms
Treatment of Clients
Confidentiality Methods accurately mentioned Competitors research not undertaken Objectivity Right to Quality Research
Research Process
Research Design Field Work
Problem Definition
Report Presentation
Management Decision
2007 revenues were $6 billion plus Market share 50 % in the heavyweight category Distributors were pushing build more Co. mgt was more risk averse than risk prone Discussion with experts brand loyalty was imp
Conducted focus groups - bikes were for recreation (also owned SUVs) Forecasts - consumer spend to increase till 2015
MQ : should HD invest to produce more motorcycles ? Wanted to find out Who ? What ? How ? Loyal ?
Research Questions
Can the motorcycle buyers be segmented based on psychographic characteristics ? H1 : there are distinct segments of motorcycle buyers H2 : each segment is motivated to own a Harley for a different reason H3: Brand loyalty is high among HD customers in all segments
Qualitative & quantitative research was conducted Focus groups & 16,000 mailers
All customers wanted to own a Harley signified independence, freedom and power H2 not accepted H3 accepted Decision taken to invest in a larger production facility
Independent variable
Dependent variable Extraneous independent variable (boss behaviour, family pressures) Intervening variables Moderating variables (education, age)
Example
There is an increase in in job satisfaction (IVV) of each individual worker, subsequent to the introduction of a flexi time work schedule (IV), which eventually affects the individuals productivity (DV), especially among women employees (MV)
Contd
2. Informal Investigation (pilot survey) discussion with selected customers, dealers, top management personnel and others connected to the problem.
Formulation of Hypothesis
A tentative theory or supposition provisionally adopted to explain certain facts and guide the investigation of others. Descriptive Hypothesis : Is over half of MR book sales to MBA students ? Relational Hypothesis : High MR book sales MBA students is due to it being a 3 credit course
Decision problems
DECISION PROBLEM 1. What should be done to increase the customer base of organic products in the domestic market?
Research problems
RESEARCH PROBLEM* 1. What is the awareness and purchase intention of health conscious consumers for organic products? 2. What is the impact of shift duties on work exhaustion and turnover intentions of the BPO employees? 3. How does Widex/ industry leader manage its supply chain in India/Asia? 4. What is the satisfaction level of the company with the existing vendor? Are there any gaps? Can they be effectively handled by the vendor? 5. What is the current investment in Real Estate and Housing? Can the demand in the sector be forecasted for the next six months? 6a. what has been the Leadership initiatives and performance record of ABC viz. XYZ? 6b. Can a leading aggressive private sector bank accept a woman as its leader?
3. How to improve the delivery process of Widex hearing aids in India? 4. Should the company continue with its existing security services vendor or look at an alternative? 5. Can the Housing and real estate growth be accelerated?
6. Whom should ICICI choose as its next Managing director- Mr ABC or Mrs. XYZ?
SEC code
Created in 1988 by IMRB; was ratified by Market Research Society of India (MRSI) Classification of Indian consumers on the basis of Occupation and Education of the chief wage earner (Head) of the households. Used by most media researchers and brand managers to understand the Indian consuming class & for market segmentation
Research Design
Basic framework which provides guidelines for the rest of the research process
Management Dilemma
Report
Defining the Research problem / res hyp Developing the res proposal
Collection of data
Research Design ( data collection plan, questionnaire design, sampling plan )
Management decision
Qualitative Research
- Tells the researcher how(process) and why(meaning) things happen as they do - Develops understanding - Acts as a guide for Quantitative Research
Indirect (Disguised)
Focus Groups
Projective Techniques
Association Techniques
Completion Techniques
Construction Techniques
Expressive Techniques
Via
Secondary data (Internal & external / syndicated data/ databases) Literature surveys Experience surveys Analysis of selected cases Focus groups
A focus group is an interview conducted by a trained moderator in a non structured and natural manner with a small group of respondents. The moderator leads the discussion Purpose gain insights by listening to a group of people from the appropriate target market about issues of interest to the moderator.
Eg : Ford (Taurus) door latches Whirlpool : new refrigerator a quieter one the quietest one ever
2009 Honda Pilot SUV -Baby boomers : family life was imp / friendships / getaway vacations / fitness /no midlife crisis
Characteristics
8 12 members Homogeneous, members screened 1-3 hours Recorded (audio / video) Moderator observational, interpersonal and interpersonal skills , knowledge Relaxed informal setting
Moderator
Detached / empathetic Permissive but alert Must encourage people to talk People should be more specific Encourage unresponsive members to talk Should be one with the group no distance
Determine the objectives State the questions to be answered by the focus groups
Outline - handout Result is reviewed Reports specific comments, concerns suggested by facial expressions and body language Cannot report in frequencies / % most participants thought
Projective Techniques
Focus groups and depth interviews are direct approaches / PT disguise the purpose 1. Association techniques 2. Completion 3. Construction 4. Expressive
Association techniques
Respondent is presented with a stimulus and asked to respond with the first thing that comes to mind
Imagery Associations
Show people an image, or ask them to bring or select an image. Images are pictures, drawings, or illustrations. Then, ask people to describe the image. Ask how it links to a product, brand, object, or person. Also, ask the respondents to imagine an image and describe it.
Please select a picture that best represents product X. How does the picture speak about product X? How does the image describe product X? What does each person in this picture feel about brand Y? Ask several follow-up questions about how the association relates, and probe to clarify.
Personification Associations
Personification asks respondents to give human characteristics to products, services, or brands. If your Volvo could talk, what would it say to you? If brand X were a person, what would he or she look like?
How does your digital camera feel about you? Personification is fun. The challenge of personification is interpretation of data and analysis. Use associations to understand imagery and stimulate memory recall.
A cell phone is like a best friend. My cell phone is part of my body. A cell phone is like my wallet. I would never leave home without it. A cell phone is like a lifeline now. Leaving it behind is like cutting off the oxygen supply. A cell phone is like a leash.
The results show cell phones are a necessity for a segment of consumers. A minority find them annoying.
Story Completion
Story completion
A man was shopping for a business suit in his favorite department store. After spending 45 minutes and trying several suits, he finally picked one he liked. As he was proceeding to the check-out counter, he was approached by the salesperson who said: Sir, at this time we have higher quality suits for the same price. Would you like to see them? What is the customer response? Why?
Qualitative Research Methods
Construction Techniques
With a picture response, the respondents are asked to describe a series of pictures of ordinary as well as unusual events. The respondent's interpretation of the pictures gives indications of that individual's personality.
A Cartoon Test
Auchan
Auchan
In cartoon tests, cartoon characters are shown in a specific situation related to the problem. The respondents are asked to indicate what one cartoon character might say in response to the comments of another character. Cartoon tests are simpler to administer and analyze than picture response techniques.
Expressive Techniques
Expressive Techniques
In expressive techniques, respondents are presented with a verbal or visual situation and asked to relate the feelings and attitudes of other people to the situation.
The subject may express himself more freely than when expressing his own beliefs. However, societal norms may also influence research subjects why may not have given much thought to their own attitudes. One way of using a construction projective technique is for the researcher to ask a subject to fill in a bubble to represent what a certain character is thinking.
Role Playing
Ask respondents to assume a role and act the part. If you were the product manager, what would you do to improve the product? If you were the CEO of this company, what would you do to reduce customer complaints?
If you were the creative director, what would your ad say? If you were in your friends shoes, what would you do? Use role-playing when asking for product or advertising recommendation
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.
With this technique, you ask respondents to describe what other people are doing, thinking, feeling, believing, and saying. Ask respondents to project to a third-party. What does your friend think about brand X? What does company X think about you? Who uses brand X? What is the real reason they use it?
Ask follow-up questions and probe answers, using the third person. Use third-party projections for sensitive subjects. In other words, when people hide or deny their real thoughts, feelings, or beliefs.
Case
The fear of flying increased in the US after the Sept 11, 2001 hijackings. Air Transport Association (ATA) reported that passenger bookings were down. Continental Airlines suffered a much lower drop.
Respondents were asked Are you afraid of flying . Most respondents said no. Reasons for not flying were cost , bad weather etc. A follow up study was conducted Do you feel your neighbor is afraid to fly? Answer was affirmative.
CA addressed the fear of flying by stressing heightened security measures and enhanced cabin comforts for passengers
Depth Interviews
Privasys
Credit Cards
Study designed to come up with new credit card featues When questioned in a structured way, respondents listed existing features. Depth interviews were asked questions like - What is imp to me ? - How do I wish I could live ?
Result :
An intelligent credit card could keep track of credit cards, bank balances, investments and telephone numbers. Privasys and First Data introduced a battery powered electronic credit card with an internal chip capable of holding all credit, debit and loyalty cards.
One to one interaction between the investigator and the respondent. It is semi structured, direct, conversational and recorded.
Open-ended Questions: Questions should be worded so that respondents cannot simply answer yes or no, but must expound on the topic.
Semi-structured Format: Some pre-planned questions are asked during the interview, questions must be allowed to flow naturally, based on information provided by the respondent. A specific order may not be maintained. In fact, the flow of the conversation dictates the questions asked and those omitted, as well as the order of the questions
Seek understanding and interpretation: You should try to interpret what you are hearing, as well as seek clarity and a deeper understanding from the respondent throughout the interview.
Conversational: You should be conversational, but your role is primarily that of a listener. There should be smooth transitions from one topic to the next.
Recording responses: The responses are recorded, typically with audio/ video tape and written notes (i.e., field notes)
Record observations: Observe and record non-verbal behaviors on the field notes as they occur.
Record reflections: Record your views and feelings immediately after the interview as well
Laddering
Specific probing techniques --- develop a mental map of the consumer--- mental map of consumers who are similar why people purchase a certain product Move from attributes ---- user
Maybelline
Q : Why do you buy Maybelline Cosmetics Answer : It is a good brand at a reasonable price Q : why are reasonably priced cosmetics so important to you ? A : it makes me feel I made a wise decision
Hidden issues
Questions on work and social life A : glamorous, historic, elite, masculine friendships, Grand prix racing, Eg : Lufthansa campaign
Symbolic Analysis
Q : What would it be like if you could no longer use an airplane ? A: I would have to rely on email, letters, Vcs, calls. Analysis : airlines sell face to face communication Using these inputs United Airlines (2009) administered the Business ExtrAA program.