Methods of Conducting Marketing Research 2 Final Corrected

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Questionnaire Method of field investigation

According to David J. Luck and Ronald S. Rubin, "A questionnaire is simply a formali edsc!edule to obtain and record specified and relevant information it! tolerable accuracy andcompleteness".

#n t!e field investigation, information is to be collected from t!e respondents. $or t!is, asuitable questionnaire must be prepared by t!e researc!er. %!is questionnaire acts as a basefor t!e collection of information. &uestionnaire is t!e most common researc! instrument'toolused for data collection under field investigation. &uestionnaires are e(tensively used insurveys of all kinds. %!ey can be administered by mail, telep!one or t!roug! personalintervie ing. #t contains questions t!at a researc!er is!es to ask to !is respondents. %!equestionnaire often sets t!e frame ork as ell as t!e tone of t!e survey ork. %!e researc!data is build)up on t!e frame ork of t!e questionnaire. %!e information collected ill beincomplete and faulty if t!e questionnaire prepared is defective.

*sually, adequate blank space is provided in t!e questionnaire for recording ans ers+information . %!e ans ers to t!e questions are ritten eit!er by t!e respondents or by t!eintervie er as per t!e nature of survey. -!en large number of questions is to be asked fordata collection, t!ey must be arranged in a logical order.

Importance of Questionnaire in Data Collection:

&uestionnaire plays an important role in t!e process of R. #t is one basic tool used for datacollection from consumers, dealers/ and ot!ers connected it! t!e survey ork. A goodquestionnaire leads to better co)operation and response from t!e respondents. Ampleinformation ill be available if questionnaire prepared and used in t!e researc! pro0ect is ell

planned and compre!ensive.

&uestionnaire al ays relates to t!e specific nature and purpose of marketing researc! pro0ect.#t acts as a frame ork used for primary data collection. &uestionnaire preparation is a skilled

0ob !ic! requires proper education, training and e(perience. %!e questionnaire used forsurvey ork s!ould be foolproof as far as possible. #t makes t!e ork of intervie er andrespondent interesting and smoot!. A good questionnaire serves as t!e backbone of !oledata collection ork. #t brings proper order and procedure in t!e data collection ork. #t alsoguides t!e intervie er in !is data collection.

Advantages of Questionnaire:

&uestionnaire is useful for t!e collection of compre!ensive data + ide ranged data onvarious aspects of sub0ect under researc!.

&uestionnaire gives convenience to researc!ers as ell as respondents !ile collectingand supplying data.

-ide geograp!ical coverage in data collection is also possible.

Questionnaire Design:

&uestionnaire design is one of t!e important areas of researc!. %!e accuracy and relevancy ofdata collected depends upon t!e questionnaire. %!ere are certain functions, !ic! aquestionnaire performs, and t!ese are1 )

2ives t!e respondent clear idea and understanding of t!e questions. +&uestions s!ouldnot be vogue .



otivate t!e respondents to give ans ers.Stimulate t!e responses.#nformation must be kept confidential.

3reparation' construction of questionnaire are a lengt!y and time consuming activity. #t needs

careful planning, kno ledge of communication skills and tec!nical kno ledge of draftingappropriate questions for collecting required information.

%!ere are t o types of questionnaire. %!ese are1 +a 4onsumer questionnaire, and +b %radequestionnaire. A consumer questionnaire is useful for collecting information from consumers

!ile trade questionnaire is useful for collecting information from traders and dealers. 5y andlarge, t!e form of questionnaire depends on t!e nature of information soug!t, t!e kind ofrespondents and t!e data collection met!od used by t!e researc!er.

Steps involved in the questionnaire preparation/ construction of questionnaire

%!e follo ing table s!o s t!e steps in t!e questionnaire preparation

Preliminary decisions: 5efore designing a questionnaire, t!e researc!er !as to take decisionson certain basic issues suc! as t!e nature of information required, t!e respondents from!om t!e data are to be collected sources of data, sample to be used, t!e met!od to be used

for collecting required data, lay)out of questionnaire, t!e met!od of questioning etc.

3reliminary study of t!ese aspects of researc! pro0ect prepares proper background for preparing t!e questionnaire. #t also enables t!e researc!er to establis! effectivecommunication it! t!e respondents and collect required information. #n brief, drafting ofquestionnaire is not possible unless t!e preliminary decisions suc! as purpose of study, natureand met!od of collecting data etc, are taken clearly.

Informal intervie ing: #n t!is second step, informal intervie s are arranged it! limited

number of respondents in order to test t!e points t!at !ave been listed in t!e questionnaire.

3reliminary decisions

#nformal intervie ing

Deciding t!e final formof questionnaire

3iloting t!e questionnaire

Drafting t!e questionnaire



6ere, t!e purpose is to find out !o t!ey feel about t!e questions. %!is gives t!e researc!eran insig!t into t!e sub0ect and !o people react to t!e proposed sub0ect of marketingresearc!. #nformal intervie s s!o !o t!e questions need to be framed. %!ey also suggestcertain points !ic! !ad not occurred to t!e researc!er in t!e initial period. %!is type ofinformal intervie ing gives t!e researc!er an intimate feel of t!e sub0ect.

Drafting the questionnaire: %!e informal intervie ing gives valuable indications as to !ot!e questionnaire s!ould be framed for encouraging response from t!e respondents. #n t!ist!ird step of designing a questionnaire, a researc!er !as to make all possible efforts to draftan ideal questionnaire. %!is s!ould be done after taking into account t!e informationavailable from informal intervie s conducted in t!e previous stage. %!e questionnaire s!ould

be simple and easy. #t s!ould be specific so as to allo t!e intervie er to keep t!e intervie brief and to t!e point. #t must also keep t!e respondent interested t!roug!out. $inally, t!earrangement of t!e questionnaire s!ould be logical and s!ould facilitate t!e tabulation andanalysis of t!e information subsequently.

-!ile drafting questionnaire, t!e questions selected s!ould be clear, precise and direct.Lengt!y questions s!ould be avoided. %!e type of questions to be asked +open ended,multiple c!oice, etc. , t!e sequence of questions, etc. s!ould also be decided before draftingquestionnaire. %!e opening question s!ould create some interest in t!e mind of t!erespondent. Difficult questions s!ould not be taken at t!e beginning and also not at t!e end.

Piloting the questionnaire: After drafting t!e questionnaire, redrafting and revision of t!esame may be necessary in order to remove possible defects and deficiencies noted t!erein.%!is is done by pre)testing of t!e questionnaire drafted to make it perfect in all respects. 3re)testing is it! a small group of sample taken from t!e entire survey sample. 3re)testingensures t!at a questionnaire is free from any defect or deficiency. %!e responsibility of pre)testing s!ould be given to competent and efficient investigators it! proven ability. %!e

benefits of pre)testing are many. $or e(ample, t!e intervie ers become familiar it! t!e problems of data collection. Similarly, biased and ambiguous questions are removed anderrors in intervie ing are discovered.

Deciding the final form of questionnaire: #n t!is last step of preparing a questionnaire, t!efinal touc!es +final revision ill be given to t!e questionnaire. %!is ill be in t!e lig!t of t!ee(perience gained in pre)testing. All necessary revisions and corrections ill be incorporated.As a result, t!e final questionnaire ill !ave logical arrangement of questions, cross)referencing, proper numbering and separation of main questions and dependent questions.3re)coding +if necessary and instructions to respondents are also added.

!ypes of Questionnaire:



A c!ild is required to vie a dra ing containing a c!ild about to purc!ase c!ocolatesand t!en asked to tell a story about !at as !appening and !y. $rom t!e storyresearc!er may be able to dra conclusions about !is o n eating !abits and product

preferences.

Completion !echniques respondent is provided it! incomplete sentences and areasked to complete it in any manner t!ey select.

:g # t!ink # dislike most of imported c!ocolates .

Close,#nded Questionnaire$

*nder close)ended questions e !ave restricted t!e freedom of t!e respondents $ a0orityof time e provide !im it! t o c!oices .*nder t!is type of questionnaire bot! t!equestions as ell as ans ers are structured. *nder close ended e !ave various types1

Dichotomous: #t allo s only t o possible ans ers. uc! more common is <=es> or<?o> variety. %!is questions are easy to ask and generally easy to ans er. 5ut generallyspeaking e s!ould avoid <=es or ?o> questions because t!ey do not provide us muc!information but at t!e same time t!ey are best ay to collect t!e data.

:g1 Do t!e supply of medicines is on time. =es ' ?o

&an-ing Questions: #t involves t!e respondent to rank comparatively t!e items listed.%!e respondents !ave to give ranks for t!e questions asked1

:g1 %!e dealers after sales services for car is1 :(cellent ' @.2ood ' 2ood' $air

Chec- +ist: #n t!is form of question t!e person c!ecklist one or t!e more of responsecategories t!at are listed for ans ers.

Multiple Choice: %!ese questions list a number of ans ers and permit t!e sub0ect to

select t!e ans er t!at best matc! t!eir be!avior.Scales: #t is a popular type of questions under !ic! t!e respondents are given a range ofcategories to e(press t!eir opinions.

4!aracteristics of t!is retail out let +Rank on a scale of B C

:asy to reac!Availability of productsD cor 4ourtesy e(tended by counter sales men

!he other types of questionnaires are Disguised questionnaire and non,disguised : -!en

t!e respondent is told about t!e purpose of inquiry it is ca ed a non)disguised questionnaire!ere as in a disguised questionnaire t!e respondent is not told about t!e purpose of survey.

Advantages of questionnaire technique

As t!e questions are prepared in advance, it !elps to co ect information in an orderlymanner.

E Alt!oug! different intervie ers are employed, t!ey ask questions in identical manner. #tensures uniformity in co ection of information.

F #t facilitates editing, tabulating and interpreting t!e data.

G A structured questionnaire can be pre)tested to remove any discrepancy.



Disadvantages 1

+ %!e respondents may not like to ans er questions relating to t!eir personal life.

+E %!e respondents may feel embarrassed to ans er questions regarding certain aspects.

uidelines for #ffective Questionnaire method:

0ell defined o'(ective: %!e basic ob0ective of researc! pro0ect s!ould be definedclearly by t!e researc!er. %!e topics on !ic! t!e information is desired s!ould be notedin clear and specific terms.

E Clearly defined respondents: %!e details of respondents from !om t!e information isto be collected s!ould be clearly defined. %!e researc!er s!ould be sure t!at t!e requiredinformation is available it! t!e respondents selected for t!e survey.

F &ational selection method: %!e met!od to be used for collecting data s!ould befinalised after due consideration of t!e purpose of researc! ork. %!e met!od selecteds!ould be scientific and rational.

%eatures / Pre,&equisites "f A ood Questionnaire:

Simple1 clear and easily understanda'le: &uestions selected for t!e questionnaires!ould be simple, clear, easy for understanding and a ay from bias. %!ey s!ould notlead to misunderstanding and respondent anger. Ambiguous questions s!ould bedropped. %!e language used in t!e questions s!ould be simple and direct.H %ec!nical

ords or ords it! double meaning s!ould not be used in a questionnaire. #t is alsonecessary to decide t!e number of c!oices t!at s!ould be given by ay of ans ers

E Specific and relevant questions: %!e questions included in t!e questionnaire s!ould bespecific and relevant as suc! specific questions give convenience to intervie er andrespondent.

F Avoid lengthy/personal/confusing questions: All types of confusing, misleading,strictly personal, tec!nical or emotional questions s!ould be removed from t!equestionnaire. %oo lengt!y questions and questions t!at cannot be ans ered easily andquickly s!ould be e(cluded from t!e questionnaire.

G Interesting to respondents: %!e questionnaire s!ould keep t!e respondent interestedt!roug!out. Adequate scope s!ould be provided to !im to e(press !is vie s freely andfrankly.

I Avoid em'arrassment to respondents: &uestions included in an ideal questionnaires!ould not lead to fear or embarrassment to t!e respondents.

Avoid 'iased approach: 5iased questions s!ould be avoided in t!e questionnaire. %!isensures neutrality of data collected. %!e questionnaire itself many become a source of

bias. %!is s!ould be avoided. $or t!is, ording of t!e questions, sequence of questions,c!oices given for ans ering s!ould be proper.

K Systematic and logical arrangement: %!e entire questionnaire s!ould be arrangedsystematically. :ven t!e questions in sub)sections s!ould be arranged logically.

2rief and directly related to information required: %!e questionnaire s!ould not bemade lengt!y but brief as far as possible. &uestions directly related to t!e informationrequired s!ould be included in t!e questionnaire.



M #asily understanda'le 'y respondents: %!e questionnaire framed s!ould be easy fort!e respondents to understand and ans er. %!e education and income level ofrespondents s!ould be taken into account !ile framing t!e questionnaire. %!ey mustfind it interesting so t!at t!eir response to it ill be positive.

C Simple ans ering process: &uestions !ic! put pressure on t!e memory of t!erespondents s!ould be avoided. %!e process of ans ering questions s!ould be simple andnatural.

Adequate space for ans ers: #n t!e questionnaire, sufficient space s!ould be providedfor riting ans ers by t!e respondents.

E Proper num'ering of questions: #n a good questionnaire, questions s!ould benumbered for ease of ans er and also of tabulation.

Some !erms *sed In Questionnaire:

4oding1 %!e process of grouping and assigning numeric codes to t!e various responses to aquestion.

8pen ended questions1 &uestions to !ic! t!e respondent replies in !is or !er o n ords.

4lose)ended questions1 &uestions t!at require t!e respondent to c!oose from a list ofans ers.

Dic!otomous questions1 4lose ended question t!at ask t!e respondents to c!oose bet eent o ans ers.

ultiple c!oice questions1 4lose)ended questions t!at ask t!e respondent to c!oose amongseveral ans ers, also called as multic!otomus questions.

Scaled response questions1 4losed ended questions in !ic! t!e response c!oices are

designed to capture t!e intensity of t!e respondents feeling. +:(cellent, @ery good, 2ood,$air etc

Screeners1 &uestions used to identify appropriate respondents.

3retests1 A trial run of a questionnaire.

Supervisor7s instructions1 -ritten directors to t!e field service firm on !o to conduct t!esurvey.

4all record s!eets1 Listing t!e number of contacts and t!e results of eac! contract.

$ield management companies1 A firm t!at provides suc! support services as questionnaireformatting, screener riting and co ordination of data collection.

Mail Survey

Meaning And %eatures "f Mail Survey :

ail survey +also called mail intervie is one met!od of data collection t!roug! fieldinvestigation. 6ere, questionnaire is prepared for t!e collection of specific informationrequired for researc! purpose. %!e questionnaire is sent by post +mail to potentialrespondents it! a request to complete t!e same and return by post to t!e mailing company'researc! agency. #n mail survey, intervie er is not available for asking questions, for guidingrespondent and for noting t!e information. 8n some occasions, t!e questionnaire is publis!edin t!e ne spapers and readers are asked to supply information. #n addition, copies of

questionnaire are supplied to retailers it! a request to collect completed questionnaires from



t!e customers. :ven t!e questionnaire may be supplied to consumers along it! product/s package it! a request to supply information.

%!e main idea is to cover a ide geograp!ical area. ?ational surveys can be conductedt!roug! mail surveys. ail survey needs to be planned properly for positive response fromt!e respondents. Similarly, questionnaire prepared for t!e collection of information s!ould beideal'promising. %!e respondents s!ould also be provided an incentive to send back t!ecompleted questionnaire by ay of gifts or discount coupons. ail survey is economical ascompared to personal intervie . Stamped envelopes +reply paid envelopes are also sentalong it! t!e questionnaire for quick response from t!e respondents. Anot!er advantage ist!at t!e respondent can study t!e questionnaire leisurely and give replies independently as per!is desire. ?aturally, t!e replies are given carefully and it!out pressure'tension. #t is

possible to contact respondents from different parts of t!e country by preparing acompre!ensive mailing list. ail survey met!od is no e(tensively used for marketingresearc!.

&ole "f Questionnaire In Mail Survey:

#n mail survey, questionnaire plays an important role. ?aturally, it s!ould be prepared it! proper care. %!e questions asked s!ould be clear and orded in a simple and clear languageas t!e intervie er is not available to clarify doubts. %!e questions s!ould be relevant, preciseand logically arranged. Lengt!y questionnaire s!ould also be avoided in mail survey asrespondents may not like ,to ans er a long questionnaire. #n mail survey, t!e response fromt!e respondents largely depends on t!e quality of questionnaire prepared and !ence specialattention s!ould be given to t!is aspect.

Merits "f Mail Survey:

#conomical: ail survey is economical as only postage and printed questionnaire are

required. %!e cost of survey is limited as intervie ers, supervisors, etc. are not requiredin mail surveys.

E 0ide coverage: #n mail survey, ide geograp!ical area can be covered by survey as postal facilities are available all over t!e country. #nformation can be collected fromlarge number of respondents by preparing a compre!ensive mailing list.

F Speed in data collection: -!en a !uge sample si e is to be covered ail survey met!od becomes useful to contact large number of respondents it!in a s!ort period andinformation can be collected from t!em it!in a reasonable time.

G Avoids intervie er3s 'ias: #n mail survey met!od, intervie er/s bias and errors areeliminated. 2uidance'!ints are not given to t!e respondents. As a result, first !andreliable information is available for survey purpose. %!is improves t!e quality ofresearc! ork and t!e conclusions dra n.

I Convenience to respondents: Respondents can ans er t!e questionnaire at t!eir o nconvenience. %!ey can supply information even !ile remaining anonymous.Respondents are likely to be more t!oug!tful as t!ey !ave not to give ans ers on t!espur of t!e moment. %!us convenience to respondents is one ma0or advantage of mailsurvey tec!nique.

More information availa'le: #t is possible to collect more information by using bot!open ended and close ended questions in t!e mail survey questionnaire.



K Investigators not required: %!e services of investigators can be dispensed it! as personal contact it! t!e respondents is not required in t!e case of mail surveys.:(penditure on staff training and supervision on survey ork is also eliminated.

Simple and direct method: ail survey met!od of data collection is e(tremely simple,clear and direct as only questionnaires are to be sent as per t!e mailing list prepared. #fnecessary, reminder may be sent to t!e respondents but t!is e(penditure ill be limited.

M Convenient to medium/small companies:$ ail survey met!od is convenient to smalland medium si ed companies. #t can be used conveniently for collecting informationfrom consumers spread over a ide geograp!ical area.

C 4ie s of family mem'ers availa'le: #n mail survey, vie s of respondents as ell as oft!eir family members are collected as t!ey participate !ile giving replies. oreover, asrespondents remain anonymous, t!ey are likely to give !onest replies.

+imitations "f Mail Survey:

Pro'lem of 5)o replies5: "?o replies" is one ma0or disadvantage of mail survey.Respondents do not take interest in t!e survey ork and do not send t!e replies. @eryfe give positive response to t!e questionnaire. 8t!ers send replies only !en reminderis sent. any ot!ers do not send replies at all. Some ot!ers give incomplete response bynot ans ering all questions asked. %!us, poor response to mail questionnaire +6ig! non)response rate is one important disadvantage of mail survey.

E *pdated mailing list required: $or mail survey, up)to)date and compre!ensive mailinglist covering cross section of t!e society is necessary. %!e researc!er may not !ave suc!accurate list of respondents at t!e state or national level. %!is affects t!e area covered byt!e survey.

F Poor response1 if questionnaire is defective: &uestionnaire acts as a base of mailsurvey. %!e response ill be limited if t!e questionnaire is too lengt!y or if it containsdifficult and confusing questions. Sometimes, busy persons ask t!eir assistants to givereplies. %!is affects t!e quality of mail survey conducted.

G +ac-s accuracy of information: #n mail survey met!od, t!e researc!er cannot verify t!eaccuracy of t!e information given by t!e respondents as !e !as no control on t!erespondents. %!ere may be inconsistency'ambiguity in t!e ans ers given. %!e researc!er!as to accept or re0ect t!e information supplied.

I +imited use: ail survey met!od is of limited use in qualitative study or in studies as toreason !y. $or probing psyc!ological motivation, mail survey met!od is not suitable.

#ffects of am'iguous questions: %!ere is a possibility t!at some questions may not beunderstood by large ma0ority of respondents. As a result, t!e respondents may not )giveans er or may give ans er !ic! may not be correct or relevant %!is affects t!e finaloutcome of t!e survey.

K Changes in questions not possi'le: #t is rat!er impossible to amend t!e approac! orquestions or t!eir ordings once t!e questionnaire is issued to t!e respondents. %!is

brings rigidity in t!e survey ork. Required information about certain aspects of t!esurvey may not be available if t!e questions ask are confusing .



)ot suita'le hen quic- information is required: ail survey is not convenient !ent!e researc!er needs information quickly i.e. it!in t o or t!ree days. ail survey isnormally a time consuming activity. #n addition, postal delays are quite common.

M )on,ver'al responses are not noted: #t is not possible to gat!er non)verbal responses int!e case of mail survey. %!e benefit of personal observation by t!e intervie er is also notavailable.

C )ot suita'le for spontaneous ans ers: ail survey is not suitable !en t!e researc!eris interested in t!e spontaneous ans ers from t!e respondents.

!elephone Survey

Meaning And %eatures "f !elephone Survey:

%elep!one intervie is anot!er met!od of field investigation. #t is a popular alternative to personal intervie . 6ere, telep!one is used as a medium of communication as t!ere is onlyvocal interface bet een t!e intervie er and respondent. %elep!one survey is a quick andeconomical met!od of survey as response is immediate and ide area can be covered it!outactual traveling to different places and parties. %elep!one survey is similar to personalintervie but personal contact it! t!e respondents is absent. ?o a days #ndustrial surveysand trade surveys are also conducted by using t!is met!od. 4omputer)Assisted %elep!one#ntervie ing +4A%# and Direct 4omputer #ntervie ing +D4# are ne developments in t!efield of telep!one surveys.

Merits "f !elephone Survey:

#conomical: %elep!one survey is economical as compared to persC# al intervie andmail survey. oreover, busy persons like doctors and professionals are available asrespondents in t!e case of telep!one survey.

E Quic- response: #t can be conducted quickly and rapidly. %!e information is availablequickly. ?o time is needed for traveling, etc. 3rompt ans ers is one special benefit oftelep!one survey.

F 6igh speed: %!ere is !ig! speed in telep!one survey as large number of intervie s can be completed it!in one day. #t is also possible to use tape records for data recording.

G Information availa'le from 4IPs: 3eople !o are difficult to contact personally areavailable for telep!one intervie . any busy people are not prepared to grant personalintervie but t!ey are illing for brief conversation on telep!one. $or suc! respondents,telep!one survey is convenient.

I Simplicity: #t is a simple met!od of conducting R as information can be collectedfrom a small office it! telep!one facility.

%ran- response: :(perience proves t!at respondents are more frank +free response ontelep!one intervie s and give quick response. %!ey are illing to ans erdelicate'personal questions over telep!one t!an personally.

K Sample selection easy: A list of telep!one subscribers can be prepared easily for t!e purpose of telep!one survey. %!is means t!e sample selection is easy.

Secrecy of respondents: Anonymity and confidentially as regards t!e name ofrespondent and information supplied are possible.

+imitations "f !elephone Survey:



2rief questionnaire required: #n telep!one intervie , t!e questionnaire must be brief because lengt!y intervie it! t!e respondent is not possible. As a result, telep!oneintervie is useful for collecting limited information on specific points.

E +imited information availa'le: #n telep!one intervie , t!e replies given by respondentsare al ays brief and limited information is given. %!e communication it! t!erespondents is oral'verbal. Detailed discussion is not possible. %!is narro s do n t!escope of survey. %!ere is time limit for telep!one intervie .

F Difficult to contact large num'er of respondents: #t is difficult to contact largenumber of respondents as many persons do not !ave telep!one facility. As a result, t!ecoverage of survey is limited. Similarly, many people may not be illing to talk overtelep!one. %!is restricts t!e scope of telep!one survey.

G )on,ver'al responses are not availa'le: #n t!is met!od, observation of respondents isnot possible. As a result, non)verbal responses cannot be seen and noted.

I +imited coverage of sample: Respondents from remote places cannot be contacted by

t!is met!od. :ven poorer sections of t!e society are not covered by telep!one survey.+imited questions: &uestions of very personal nature or questions requiring lengt!yans ers cannot be asked in telep!one intervie . %!is makes t!e intervie incomplete.5ias on t!e part of respondent is also possible.

K Intervie er3s 'ias: %!ere is a possibility of intervie er/s bias in t!is survey met!od.

Difficulty in chec-ing validity of information: #t is difficult to c!eck t!e validity ofinformation supplied on p!one. :ven t!e person on telep!one may not be t!e realrespondent.

Panel research

3anel researc!, is a tec!nique similar to t!e survey, but it! one ma0or difference. #n surveymet!od, a fres! sample is selected for every survey ork !ile in t!e panel researc!, t!esame panel is used again and again for t!e collection of information. %!e panel acts as a

permanent sample of respondents and information is collected from t!em at appropriateintervals t!roug! intervie s. A panel means a sample of respondents !o may beindividuals, consumers, !ouse ives, !ouse!olds or firms from !om information about

purc!asing, buying be!aviour, etc. is collected at regular intervals. %!e panel members aregiven diaries. %!ey note details of purc!ases, s!opping patterns, etc. in !ic! t!e researc!eris interested. 3anel members provide feedback to t!e researc!er for detailed study of t!emarketing problem under consideration.

3anel researc! offers certain benefits. $or e(ample t!e buying be!aviour of selectedconsumers can be studied t!roug! panel. %!e c!anges in t!e be!aviour can be analysedt!roug! panel researc!. 6o ever, panel researc! ill be effective only !en t!e panelmembers are co)operative and provide reliable information !en requested. embers of t!e

panel may not find convenient to give information again and again. %!ey may treat t!is as bot!eration and may not supply timely and reliable feedback.

Consumer Panels

A consumer panel may be defined as "a group of consumers !o voluntarily agree to beintervie ed on t!e same topic or on different topics from time to time for data collectionregularly and continuously". %!e members of consumer panels are usually !ouse ives and



opinions are collected from t!e members of t!e panel for more t!an one occasion. %!e panelmembers also agree to co)operate by providing t!eir vie s on different topics from time totime. #n panel met!od of researc!, t!e same respondents are intervie ed on t o or moreoccasions and t!eir vie s are noted for furt!er analysis or study. $or suc! co)operation, panelmembers are offered some monetary incentive' gift, etc.

%!e ot!er term used for consumer panel is 8mnibus 3anel. #t means a fi(ed sample ofrespondents !o are intervie ed +for information collection on different variables over a

period of time. %!e information is collected from t!e respondents on certain matters suc! as purc!ases made, price paid, reactions on t!e products purc!ased, s!opping be!aviour, etc.Suitable conclusions are dra n on t!e basis of information collected.

4onsumer panel met!od gives reliable information for policy decisions on marketing. %!ereis close communication it! t!e respondents. %!is facilitates a continuous c!eck on t!erecord of consumer be!aviour over a specific period. %!e reactions of consumers areregularly recorded for policy decisions. $or better results, t!e panel members s!ould beselected it! proper care.

4onsumers selected for t!e study usually offer good co)operation to t!e researc!ers. Somemanufacturers supply samples of ne products to panel members for testing. %!e reactions ofmembers are collected t!roug! personal intervie s. Sometimes, cas! pri es' gifts are given to

panel members as incentive and t!ereby t!ey are induced to give better co)operation in t!esurvey ork. %!e panel members need not be told about t!e sponsoring company of researc!

ork. #n ot!er respects, consumer panels and survey met!ods are identical.

!ypes "f Consumer Panels:

Purchase Panel:

3urc!ase panel is useful to study t!e purc!asing !abits and trends of consumers. Suc! panelis a group of selected consumers !o are asked to record purc!ases made by t!em regularlyin t!e diaries provided to t!em. %!e diaries of consumers are collected periodically for revieand for studying information regarding t!e items purc!ased it! details like prices,quantities, preferences and so on. %!is provides information regarding t!e pattern of

purc!ases and e(penditure incurred on different items. #n addition to t!e study of diaries, personal contact is also kept it! t!e panel members for t!e collection of additionalinformation from t!em.

3urc!ase panels are used by manufacturers, marketing researc! firms and governmentdepartments. Suc! panels may be formed in t!e case of consumer items !ic! consumers

purc!ase frequently and also in large quantities.

Audience Panel:

Audience panels are panels designed to provide information regarding media audiences.Audience panels are of listeners'vie ers of programmes on radio and %@. %!e panelmembers are asked to listen to t!e programmes on %@ and radio regularly. %!eir opinions ont!e programmes are collected for researc! purpose. %!e popularity of programmes or t!ereactions of vie ers can be 0udged it! t!e !elp of suc! panels. :ven t!e effectiveness ofradio and %@ advertising can be 0udged t!roug! suc! audience panels. #n :uropean countries,suc! audience panels are used e(tensively to study t!e e(pectations of radio and %@audiences. #n #ndia, advertising agencies are using t!e tec!nique of audience panels for t!e

benefit of t!eir clients.



#lectronic Panels

:lectronic panels are composed of !ouse!olds !ose television vie ing be!avior is recordedelectronically. ?ielsen edia Researc! is t!e main organi ation active in t!is area. %@ setst!at ere ired to !ouse!old meters. %!e meters ere connected to a central computer bytelep!one line and automatically recorded !en t!e set is turned on and t!e station to !ic! it

as turned. A ma0or problem it! audience measurements obtained from meters is t!at noinformation is provided on !o many people, if any, are atc!ing, and !at t!eirdemograp!ic c!aracteristics are.

Attitude Panel:

Attitude panel is useful for t!e study of attitude of consumers to ards a product'marketing practice. Attitudes are usually studied along it! t!e purc!ase be!aviour of consumers. 3anelmembers are intervie ed after a period of t!ree or si( mont!s and t!eir attitudes are studied.$indings of suc! studies are given ide publicity for t!e benefit of all manufacturers.

Dealer Panel:

%!ese normally are composed of middlemen or c!annel members, provide information aboutsales, level of inventory, and prices. %!e importance of t!e different kinds of stores for

particular products and brands and information about aggregate final demand for a productand brand in various stores also can be derived from t!e information from suc! panels. #t may

be ot!er ise impossible to get information on brand s itc!ing because of t!e lack ofconsumer loyalty to a given brand.

%!ey provide data on dealer activities including total sales, prices c!arged, promotionalefforts made, services offered and so on. Data are collected from selected dealers ofimportant commodities it! different brands. #nformation regarding t!e popularity ofdifferent products, market tends, sale of goods of specific brand, etc. is easily available fromsuc! researc! study. %!e relative sales made by dealers over a period of time indicate t!estrategic outlets to promote sales. Dealer panels are also useful for collecting data regardingretail sales, inventories and prices. %!e total sales of products and t!e s!are of a particular

brand, etc., are also available from suc! dealer panels. Dealer panels offer valuableguidelines for t!e selection of suitable outlets for efficient marketing of products.Dealer panels are formed by manufacturers and information is collected from t!edealers t!roug! diaries and also t!roug! personal intervie". Dealer panels are usefulfor framing marketing policies for large)scale distribution of goods ' services.

Product !esting Panel:

3roduct testing panel is useful for testing t!e utility and ot!er features of t!e product before bringing it in t!e market for large)scale marketing. %!e panel includes consumers from across section of t!e society. %!ey are given ne product to test its use and ot!er features.%!eir vie s/ are collected, t!roug! personal intervie s after regular intervals. %!is enables amanufacturer to 0udge t!e e(tent to !ic! !is product is acceptable to t!e consumers. #fnecessary, certain modifications are introduced in t!e product before it is broug!t in t!emarket on commercial basis. 3roduct testing panels are used particularly for pre)testingconsumer durables !ic! are costly and need to be manufactured as per t!e current needs ande(pectations of consumers.

&etail Panel/&etail Audit:



Retail audit panel is a panel of retail traders !o are illing to give information about t!eirstocks at regular intervals purely for researc! purpose. 3anel members are required to noteinformation about t!e sales and stock position and provide t!e record for study purpose. %!isenables t!e researc!er to dra useful conclusions about marketing activities. #n #ndia, t!e8perations Researc! 2roup +8R2 , 5aroda is conducting retail audit on an e(tensive scale. #t

is useful to producers of food items, drugs, p!armaceuticals and confectionery.Advantages of Consumer Panels:

Supply useful information: 4onsumer panel gives valuable information to researc!ersabout t!e researc! activity undertaken. %!e information is supplied regularly andcontinuously. 3eriodical c!anges in buyer be!aviour can be monitored t!roug! suc!

panels. %!e information collected enables researc!ers to forecast future be!aviour ofconsumers it! reasonable accuracy.

E +onger intervie s are possi'le: Longer intervie s can be !eld it! panel members andmore detailed information can be collected from t!em.

F &elia'le data availa'le: %!e data collected t!roug! diaries is more accurate andreliable. #t is recorded by t!e respondents and t!e possibility of errors of lapses ofmemory are reduced considerably. 3anel researc! is useful for noting be!avioral c!angesof consumers.

G #conomical method: 4onsumer panel is an economical met!od for collectingcontinuous information and data. Data on t!e same sub0ect are collected periodically.%!is facilitates suitable c!anges in t!e marketing policies of t!e firm9

I Positive response from panel mem'ers: %!e response from t!e panel members isal ays better as t!ey voluntarily agree to participate in t!e survey ork and offernecessary co)operation.

%acilitates introduction of remedial measures: 4onsumer panels are useful for productdevelopment , product modification, selection of best c!annel of distribution andintroduction of suitable packaging "!ic! "ill be attractive and agreeable toconsumers.

K Continuous supply of information: 4onsumer panel provides information in acontinuous manner. %!e information is collected from t!e same group of persons. %!isgives idea about gradual c!anges in t!e be!aviour of consumers. %!e conclusions dra nt!roug! consumer panels are also accurate and dependable.

&eal motives are visi'le: 4onsumer panel is useful for finding out t!e real motives

be!ind t!e actions of consumers. 4onsumer be!aviour can be studied more accuratelyt!roug! consumer panels.

M %acilitates product testing 1 4onsumer panels are used to 0udge different products at onetime. embers are asked to state !ic! products t!ey like most and !y. %!is facilitates

product testing.

Disadvantages of Consumer Panels:

2iased outloo- of panel mem'ers: 3anel members s!o biased outlook after t!ey become members over a long period. %!is defeats t!e very purpose of researc! ork ast!e data supplied may not be accurate, reliable and factual.



E +imited co,operation from panel mem'ers: 3anel members are cooperative and takeinterest in t!e initial period of survey. %!ereafter, t!eir interest goes on reducing and t!eysupply data indifferently. %!is is because t!ey do not ant to be bot!ered again andagain. As a result, t!e degree of co)operation bet een t!e panel members reduces.

F A'sence of representative character: A small panel is al ays unrepresentative inc!aracter. %!e conclusions dra n it! t!e !elp of suc! panel may not be applicable tot!e !ole class of consumers. %!us, t!e panel as a sample may not represent t!etrue picture of t!e "!ole population.

G Panel mem'ers drop gradually: 3anel members drop out from time)to)time.:very panel is sub0ect to a certain amount of mortality. 6o"ever, selecting ne"members "it! t!e same c!aracteristics is not easy. %!e ne" members selectedmay be different and t!is affects t!e quality and accuracy of t!e "!ole pro0ect.

I Panel mem'ers 'ehave li-e e7perts: %!e members of t!e panel becomesop!isticated and also consider t!emselves as e(perts or professional testers. %!is!arms t!e quality of researc! "ork.

J Costly/e7pensive: 4onsumer panel researc! is rat!er e(pensive. #t requirescontinuous efforts to build up and maintain t!e panel. 2iving product for testingor a small gift to large number of panel members is costly. #n #ndia, only largecompanies like 6industan Lever Limited do !ave consumer panels .

"'servation Method

Meaning "f "'servation Method:

8bservation met!od +observational researc! is one e(tensively used met!od of primary datacollection. 8bservation researc! means gat!ering of primary data by observing relevant

people, actions and situations. 6ere, consumer be!aviour is observed directly and conclusionsare dra n. As a result, t!e defects in!erent in direct questioning are avoided. 8bservationmet!od is more ob0ective as it is based on accurate atc!ing and noting t!e details of

be!aviour of consumers. #t eliminates sub0ective element encountered it! questionnairemet!od. 8bservation means "an act of recogni ing and noting facts of occurrences." 3ersonal

be!aviour of respondents can be observed it! t!e !elp of observation. A consumer packaged goods marketer for e(ample, may send !is representative to supermarkets andobserve s!oppers as t!ey look at t!e product, e(amine t!e packages and make actual buyingdecisions. 4onsumers are not a are t!at t!ey are being observed' atc!ed by t!e observerstationed in t!e s!op for t!is purpose. ?aturally, co)operation of respondents is not necessary.

6o ever, intervie may be used as a follo )up to get additional information. #n fact,observation acts as a good supplement to ot!er met!ods used for data collection. $or instance,customers are observed buying toot!paste or soap in small packets instead of large packages.%!ey may be asked !y t!ey prefer small packages rat!er t!an large packages.

8bservation is possible t!roug! individual observers +live observation or t!roug!mec!anical devices like eye cameras or scanners.

Methods "f "'servation:

Direct and Indirect "'servation 1 #n direct observation t!e observer looks and acts likea s!opper. %!e ot!er regular s!oppers do not reali e t!at t!ey are being observed. %!us,t!e observer studies t!e purc!ase procedure and t!e be!aviour of t!e customers !ile

t!ey purc!ase goods. #n #ndirect observation is meant to study t!e past be!aviour. %!is is



possible it! t!e !elp of past records, films, p!otograp!s, etc. 6ere, t!e be!aviour itselfis not observed, but its effects are observed. #n indirect observation, t!e observer looksfor p!ysical traces of be!aviour or occurrence of an event. $or e(ample, in order to findout liquor consumption in a !ouse!old, an observer ould like study t!e empty liquor

bottles in t!e garbage. %!e success of indirect observation depends on !o best t!e

observer is able to identify p!ysical traces of t!e problem under study. Directobservation is very common t!an indirect observation.

E Structured and *nstructured "'servation: #n structured observation t!e purpose ofobservation is clearly defined and t!e observer kno s !at to observe as regards t!econsumers !o are busy in t!eir s!opping ork. %!e observations to be made are clearto t!e observer and t!e observations ill be completed accordingly. #n *nstructuredobservation t!e observer observes !atever !e t!inks pertinent. #t is similar tounstructured questioning. %!e observer is clear about !is ob0ectives and !e conductsobservation activity accordingly.

F Manual and Mechanical "'servation: #n manual observation !uman beings areappointed to observe and record t!e data. #ndirect observation is made it! t!e aid ofelectro)mec!anical devices. ec!anical observation is economical and more accurate ascompared to !uman observation.

G Disguised "'servation 8Covert "'servation9 : Disguised observation is !ere t!ecustomers do not reali e t!at t!ey are being atc!ed.

Advantages "f "'servational !echnique:

Accuracy: 8bservational tec!niques are !ig!ly accurate. %!ey reduce intervie er/s bias.A trained field orker is not likely to e(ert a bias in any direction of researc!. %!einformation available from observation is more ob0ective and reliable t!an available

t!roug! survey met!od.E %actual information availa'le: #t provides factual information into ne areas of

researc!.

F &ecords events as they occur: #n observational met!od, t!e events are recorded as t!eyoccur. %!e researc!er is not dependent on t!e respondent for t!e supply of correctinformation.

G #conomical: 8bservational met!od is economical as preparation of a questionnaire etc,are not required.

I "'(ective data availa'le: %!e data collected by observation met!od are more ob0ective

and accurate. 6ere, an attempt is made to avoidH biases t!roug! memory, lapses, !aloeffects or ot!er sources by observing respondents be!aviour.

More accuracy in mechanical devices: ec!anical devices can be used to collect facts!ic! ill reduce t!e cost of data collection and t!e information collected is also

accurate.

K #ffective method: 8bservational met!od is found to be quite effective and useful inresearc!es related to marketing problems.

+imitations "f "'servational !echnique:



Certain elements are missed: 8bservational met!od !as no capacity to observeattitudes, motivations and intentions of customers. %!ese elements can be observed only

!en t!ey are converted into action. #t is also difficult to pinpoint t!em as !uman be!aviour is t!e net result of many drives and urges.

E 6uman errors possi'le: 8bservational met!ods are used by observers !o are !uman beings and are sub0ect to errors and mistakes. :ven !ig!ly e(perienced observers arelikely to make mistakes !ile observing t!eir respondents.

F Purpose is defeated1 if secrecy is not maintained: #n some observational studies, t!erespondent gets t!e idea t!at !e is participating in a test. 6e kno s t!at !e is beingobserved. Suc! situation ill defeat t!e every purpose of observation.

G Costly method under certain situations: 8bservational met!od is economical !enused for observing events occurring rapidly. #t proves to be costly !en t!e events to beobserved do not occur at rapid intervals. #n addition, properly trained observers arerequired to be appointed. %!is makes survey ork e(pensive.

I "'server3s 'ias: $ield observer/s bias may creep in and t!ereby making t!e observationsfaulty. :ven faulty observation by t!e observer may prove to be dangerous.

+imited application: 8bservation met!od !as limited application.

K #t tells about !at actually !appened but it cannot tell as to !y it so !appened.

)eeds support of personal intervie : 8bservation met!od needs t!e support of personal intervie in order to understand t!e motives, attitudes and opinions ofindividuals'consumers. #t is useful as a supplement of personal intervie met!od.

#7perimentation Method

Meaning and %eatures of #7perimentation Method

#n scientific inquiry, researc! is primarily centered around controlled e(periments.:(periments are a special form of survey or observation met!ods !ere respondents areasked questions about some controlled conditions or t!eir reactions to some controlledconditions are observed. #n e(periments, t!e researc!er alters t!e environment and measurest!e effect of t!ese alterations'manipulations. :(perimentation may be defined as "a process

!ere events occur in a setting at t!e discretion'option of t!e researc!er and controls are usedto identify t!e sources of variation in respondent/s response. :(perimental researc! is bestsuited for gat!ering correct information as i t tries to e(plain cause)and)effectrelations!ips. %!e scope for e(perimentation is to some e(tent limited in R as t!eideal e(perimental conditions of laboratory testing are many a times not possible int!e field of marketing. arketing relate to !uman be!aviour "!ic! is difficult to

predict precisely.

:(perimentation can be undertaken under t"o types of setting1 +a $ield setting, and+b Laboratory setting. $ield e(periments are conducted at t!e market place but t!e

purposes are not kno"n to t!e participants in t!e e(periment. %!e investigator sets upt!e e(periment before t!e sub0ects begin to participate. %!ere is more realism in t!istype of e(perimental met!od. $ield e(periments are used rarely due to !ig!er costsand longer time involved. $ield e(periments are usually conducted in test marketingin order to find out t!e acceptability of t!e ne" product by consumers.

:(perimentation is also possible under laboratory setting. %!e laboratory



e(perimentation met!od is accurate but laboratory e(periments are more artificial dueto controlled conditions. Suc! e(periments may be in t!e form of calling limited

persons, offering t!em an article +e.g. soft drink and asking t!em about t!eirreactions. %!e purpose of e(periment is made kno"n to t!e participants and t!ismakes t!em conscious. Suc! laboratory e(periments are less costly and s!orter in

duration. %!ey also give reasonably accurate results.Advantages of #7perimentation Method:

A :(perimentation met!od of data collection is useful "!en t!e problem to besolved is clearly defined and t!e dependent or independent variables are clearlymarked.

E :(perimentation met!od enables t!e marketers to take quick decision in t!emarketing field as t!e marketing problems are better understood and an insig!t isavailable due to e(perimentation.

F 8ne ma0or benefit of e(perimentation met!od is its realism. #t enables actual market test

and simulates actual market situation. #t suggests remedies !ic! are e(tremely usefuland effective1

G :(perimentation met!od provides unbiased feedback on !o t!e product and marketingstrategy ill !elp t!e firm penetrate t!e market.

I :(perimentation met!od of R can be applied most suitably to certain problems liketraining and remuneration of salesmen, s!elf display arrangements, package designs andadvertising copy. :(perimental marketing +test marketing can be used to study t!e effectof certain sales promotion tec!niques suc! as premium, brand, package design andcolour combination. %!e use of lengt!y e(perimental met!ods is limited in #ndia. %!is isdue to !eavy cost involved in t!em. any companies no select smaller to ns like 3uneor #ndore for test marketing. 4ertain tec!niques, suc! as split)run for evaluatingalternative advertising copy are also used to a )considerable e(tent in #ndia.

+imitations of #7perimentation Method:

:(perimentation met!od is costly and time consuming.

E #t requires t!e services of trained staff for t!e conduct of e(periments.

F :(perimental met!ods suffer from many administrative problems.

G 4ontrolling t!e variables in t!e selected market for e(periment is one ma0or difficulty ast!ey may upset t!e result.

I %!e competitors may eaken t!e test market results t!roug! t!eir marketing activities.%!ere is lack of t!eoretical base to e(perimentation met!ods.

#7perimentation and #7perimental Design:

#7perimentation: As regards e(perimentation, t!ere is an attempt to measure t!e effect ofone or more variables by c!anging t!e level of some variables and measuring t!e effects e.g.,

post)testing effectiveness of an advertising campaign. #n order to kno !o ell brand of t!e product is recorded in t!e mind of consumers, it is possible to measure brand a arenessamong a sample of target respondents. %!is effort ould be called e(perimentation.



#7perimental Design: :(perimental design involves obtaining t!e proper information it!inan acceptable accuracy range for a cost t!at does not e(ceed t!e value of t!e information. #tensures t!at eac! e(perimental treatment is used it!in eac! classification of "test units andeac! classification of e(traneous forces are applied equally to all test units.

:(perimental design originated in t!e field of agricultural researc!.

R. A. $is!er made significant contribution by stating t!at t!e practices prevalent for t!e,measurement of output from plots of land could not provide unbiased and unambiguousfindings. ?o e(perimental design is used in all areas of business.

%actors Affecting #7perimental Design:

#lement of time: :(perimental design is time consuming. 3lanning e(perimental designtakes lot of time because t!e researc!er !as to consider pros and cons of various designsavailable to !im.

E Commitment of management: :(perimental design needs !ig! level of managementcommitment. #f management becomes dis!eartened it! any e(periment and it isallo ed to lapse it!out running its full course or is !andled !alf)!eartedly, all efforts

ill be asted.

F &ange of variation: *nder proper condition, e(perimental design can indicate t!eeffects of specific variations in one or more elements of t!e marketing mi(. %!ee(periment can be done it! only one variable like price or it! multiple variables likecolour of packaging, c!annel of distribution and sales promotion.

G Cost and accuracy: :(perimental design must balance cost constraints it! accuracy.Accuracy is related to t!e amount of error. -e s!ould not assume t!at t!e possibility ofan e(perimental error means t!at t!e error ill occur. %!e cost of running e(perimentaldesign s!ould be less and benefits obtained s!ould be more.

I Identification of varia'les 1 :(perimental design uses one or more variables in suc! aay t!at its effect on one or more variables can be measured. 6ence it becomes

necessary to identify t!e variables correctly.

#7perimental &esearch 1 *nder t!is researc!, t!e researc!er manipulates one or morevariables in suc! a ay t!at its effect on one or more ot!er variables can be measured. #tincludes +a Laboratory e(periments and +b $ield e(periments.

Laboratory e(periments deal it! manipulation of independent variables in an artificialsituation. $ield e(periments deal it! manipulation of independent variables in a naturalsituation.

Questions

Concepts

a. % o sources of secondary e(ternal and internal data. +A3R#L)CE b. 8mnibus 3anel +A3R#L)CEc. $ocus 2roup Discussion. +A3R#L)CEd. Audits and its types. +A3R#L)CFe. -ord association. +A3R#L)CGf. ?on)structured, Disguised &uestioning. +A3R#L)CI N 84%)CFg. Sentence 4ompletion %est. +A3R#L)CI



Descriptive

a. :numerate briefly t!e various met!ods of conduction R b. <$or a researc! problem, one !as t!e option of collecting data from various sources as

eac! data sources !ave positive and negative points>. 4omment. +A3R#L)CEc. -rite a s!ort note on 8bservation met!od. +A3R#L)CEd. -!at are 3anels; :(plain consumer panels1 benefits and limitation. +A3R)CFe. :numerate t!e advantages and disadvantages of mail survey as a met!od of data

collectionf. :(plain t!e concept of focus groups. -!at are its ma0or applications in marketing

researc!; +A3R)CGg. :(plain t!e concept of customer and dealer panels. -!at are its ma0or applications in

marketing researc!; +A3R)CI!. -!at is structured B non distinguis!es and non structured distinguis!ed questionnaire

+8ct ECCFi. 6ig!lig!t t!e essential steps in designing a questionnaire. +A3R#L)CE

0. 2iving e(ample, e(plain t!e various questionnaire types !ic! emerge in surveyresearc!. +A3R)CIShort notes

a. Desk researc! b. 3ersonal interviec. ail survey

Methods of Conducting Marketing Research 2 Final Corrected

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