Qualitative Methods: Interviews and Focus Groups Chapters 6-7

1. Qualitative Methods:Interviews and Focus GroupsChapters 6-7

2. Qualitative vs. Quantitative Methods • Qualitative • Used in exploratory designs to gain prelminary insights into decision problems and opportunities • Quantitative • Using formalized standard questions and predetermined response options (yes, no) in questionnaires or surveys administered to large numbers of respondents • Differences Between Qualitative and Quantitative Approaches 

4. Advantages/Disadvantages of Qualitative Methods

6. Focus Groups • Focus Groups • Formalized small group of people have an interactive, spontaneous discussion on one topic or concept • Can… • help identify root problem underlying symptoms • help identify questions to ask in a survey • provide insights into quantitative results • uncover hidden needs, wants, attitudes, feelings, perceptions and motives regarding products/services • lead to new ideas for products/services • help develop new measures for quantitative survey • provide insights into how people “experience” products/services (what they mean to them)

7. Composing a Focus Group • Selecting Participants • Select a good group of participants (relatively homogenous groups make people feel comfortable, but should have some variability in views) • Potential group members should have enough knowledge to contribute • Try to incorporate some randomization in selection (within a target group) • Size should be between 8-12 people with a moderator • Use a friendly invite and provide incentives (typically between $75-100) • Pick a comfortable location

8. Some Additional Interview Techniques • Case Study • Analyze in depth one or more situations similar to the problem you are trying to solve • Experience Interviews • Interview people believed to be knowledgeable about the problem you are trying to solve • Protocol Interviews • Ask people to verbalize the thought processes and activities they would go through in a given situation (e.g., buying a car) • Articulative Interviews • Listening to people in order to identify value conflicts they may have (e.g., want to buy a nice bike but also be frugal)

9. Analyzing Qualitative Data • Inductive Approach • Goal is understanding why people do what they do and what products/service mean to them • Insights and theory-development are “bottom up” • They emerge as researchers read and interpret responses • Insights are “contextualized” within a culture/subculture (thick description) • Three Major Steps • Data reduction • Data display • Drawing conclusions

10. Data Reduction • Statements coded, categorized into themes; then themes are compared with one another (and across targets, groups etc.) • Themes used to build a theory (integration) and then specify what leads to the categories and what results from the categories (axial coding), similar to “independent” (causes) and “dependent” (consequences) variables • Sometimes, researchers look for a central idea or theme around which all of the other concepts revolve (selective coding) • Often an “iterative” process; insights that emerge may be subsequently tested on new participants, or data may be re-analyzed to verify later insights • Important to look for cases that do not confirm the theory (negative case analysis) so that data analysis is not driven by “confirmation bias” • Also important to summarize observations (quantitatively) in a table, so that a few salient comments do not overshadow the larger picture

11. Data Display & Drawing Conclusions Data Display • Tables can be useful for summarizing: • Competing themes (backpacking is relaxing, but also involves hassles) • Themes for different concepts (backpacking vs. hiking) • Quotes that are representative of certain themes • Figures can be useful for: • Showing how concepts evolve over time and are related to one another Drawing Conclusions • Goal is to establish “credibility” (validity) of analysis • Emic Validity • Making sure the conclusions make sense to participants (member checking) • Cross-researcher reliability (2 or more researchers code data, then compare) • Triangulation • Approaching the study from different perspectives (different researchers code data, variety of participants, different time periods) • Peer review

12. Dr. ClotaireRapaille Archetype Discoveries Worldwidehttp://www.rapailleinstitute.com/ I don’t care what you’re going to tell me intellectually. I don’t care. Give me the reptilian. Why? Because the reptilian always wins.

13. Dr. ClotaireRapaille Internationally known expert in Archetype Discoveries and Creativity Archetype: In psychology, according to the theory of psychologist Carl Jung, an idea or way of thinking that has been inherited from the experience of the race and remains in the consciousness of the individual, influencing his perception of the world. (Webster’s) Dr. Rapaille's technique for market research based on his work in the areas of psychiatry, psychology, and cultural anthropology. Dr. Rapaille searches for the “code” behind certain words and ideas (e.g., luxury), and uses these insights to help marketers promote their products.

14. Dr. ClotaireRapaille On the Limitations of Traditional Marketing Researchers: “They are too cortex, which means that they think too much, and then they ask people to think and to tell them what they think. Now, my experience is that most of the time, people have no idea why they’re doing what they’re doing. They have no idea, so they’re going to try to make up something that makes sense. Why do you need a Hummer to go shopping? “Well, you see, because in case there is a snowstorm.” No. Why [do] you buy four wheel drive? “Well, you know, in case I need to go off-road.” Well, you live in Manhattan; why do you need four wheel drive in Manhattan? “Well, you know, sometime[s] I go out, and I go—” You don’t need to be a rocket scientist to understand that this is disconnected. This is nothing to do with what the real reason is for people to do what they do. So there are many limits in traditional market research.” Dr. Rapaille in action: Finding the code for “luxury” 

15. The Reptilian Brain Reptilian Oldest part of brain from an evolutionary perspective Paul D. MacLean (1913 - 2007) American physician Neuroscientist Yale, NIMH • Triune Brain Theory • Reptilian brain (instincts) • Limbic system (emotion) • Neocortex (higher order thought)

16. Descriptive Designs:Surveys & ObservationsChapter 8 Is X related to Y?

17. When Are Descriptive Designs Appropriate? • Want to describe current characteristics of a market (e.g., attitudes toward an existing product or certain aspects of the marketing mix) • Want to understand your target market’s characteristics (e.g., demographics, psychographics) • Want to understand relationships between variables (e.g., price and purchase) or differences between groups (e.g., attitudes toward water filters between hikers and backpackers)

19. Sampling vs. Nonsampling Errors • Sampling Error • Statistically speaking, the difference between the sample results and the population parameter • Assuming perfect survey, sampling frame, execution, and respondents, we will still have error due to sampling • Sampling error becomes smaller with larger sample • Nonsampling (or Systematic) Error • A variety of errors that are not related to sampling error and/or sample size

20. Four Characteristics of Systematic Error • Nonsampling (Systematic) Error … • Leads to “systematic variation” in responses (e.g., skewed toward more socially desirable responses) • Is controllable (e.g., via good survey design and procedures) • Can not be estimated (whereas sampling error can be estimated; margin of error in a poll) • Are interdependent (i.e., one type of systematic error can lead to another)

21. Non-Response Errors • Non-response error occurs when… • The final sample differs from the planned sample • Often happens when you can’t contact those in the planned sample or they refuse to participate • Those who choose not to respond often of lower income, education, and more likely to be male • Non-response can limit generalizability of findings to broader population • Strategies for reducing non-response error • Create good rapport, respect respondent’s time, enhance credibility of research sponsor, use shorter questionnaires

22. Response Error (Bias) • Response error occurs when… • The responses people give are not accurate • May occur due to • Deliberate falsification (e.g., social desirability, hostility) • Unconscious misrepresentation (e.g., faulty memory, desire to please researcher) • Might be able to detect with reaction times • Very fast or very slow RTs may tell you something

24. Sampling Errors • Population specification (frame) error • Your population is all Republicans, but you define your population as Republicans in WA • Sample selection error • When an inappropriate sample is selected from the desired population • May be due to either poor sampling procedures or intentionally excluding certain people from the sample • Sample frame error • Sample frame = list of potential people in your target population • Sample frame error = when the sample frame is not representative of your population (e.g., only those with email addresses)

25. Four Broad Categories of Survey Methods • Person Administered • In-home, executive, mall-intercept, purchase-intercept • Telephone Administered • Either by a person or completely automated • Self Administered • Panels, drop off, mailed survey • Computer Assisted • Fax, email, internet

26. Person Administered Surveys Advantages Disadvantages Interviewer can adapt to respondent Interviewer can create good rapport with respondents Interviewer can clarify questions and get insight via non-verbal responses Interviewers can ensure they are sampling the correct people • Can be slow • Interviewers may incorrectly interpret response (selective listening) • Interviewers may give off “clues” to the “correct” response • Can be expensive

27. Telephone Surveys Advantages Disadvantages Can monitor interviewers for quality control Less expensive than person administered Following up if respondent not available first time is inexpensive People who don’t agree to person administered (e.g., due to time constraints) may be more willing to do a telephone interview • Can’t use visual stimuli (though might be possible with cell phones) • Can be hard to keep a large amount of info in memory during interview • People bail on long phone interviews • Public is distrusting; can limit sample

28. Self Administered Surveys Advantages Disadvantages Low cost (no need for interviewer) Respondents not rushed, can take time if they want to Interviewer can’t bias response Anonymity can lead to more truthful responses • Can’t obtain any information beyond what is presented on survey (no follow up questions or probing possible) • Low response rates • If respondent doesn’t understand, can’t ask an interviewer; may lead to response errors • Data comes in slowly; may require several re-contacts

29. Survey Illustration: Consumer Animosity in the Global Value Chain • Consumer Ethnocentrism • A belief regarding the appropriateness or morality of purchasing foreign-made products (Shimp & Sharma, 1987) • Consumer Animosity • Remnants of consumer antipathy related to previous or ongoing military, political or economic events regarding the foreign country (Klein, Ettenson & Morris, 1998) • Product Judgments • Judgments about the quality of the product in question (Toyota Corolla)

30. Theoretical (Path) Model Conservation vs. Openness Values

31. Schwartz Value System Self-Transcendence Universalism Benevolence Tradition Self-Direction Conformity Conservation Openness Stimulation Security Hedonism Power Achievement Self-Enhancement

32. Japanese Product Judgments Products made by Japanese companies are carefully produced and have fine workmanship. Products made by Japanese companies show a very high degree of technological advancement. Products made by Japanese companies are usually quite reliable and seem to last the desired length of time. Products made by Japanese companies are usually a good value for the money. Consumer Ethnocentrism It is not right to purchase foreign products, because it puts Americans out of jobs. A real American should always buy American-made products. We should purchase products manufactured in America instead of letting other countries get rich off us. Americans should not buy foreign products because this hurts American business and causes unemployment. Consumer Animosity toward Canada I do not like Canada. I feel angry toward Canada. I feel angry toward Canada because of their dependence on the U.S. for their national security. I cannot forgive Canada for their failure to support the U.S. in the international arena. Consumer Animosity toward Iran I do not like Iran. I feel angry toward Iran. I feel angry toward Iran because they are not negotiating in good faith on the issue of nuclear weapons. I cannot forgive Iran for their taking of U.S. hostages in 1979. Consumer Animosity toward India I do not like India. I feel that India is taking advantage of the U.S. I cannot forgive India for their participation in outsourcing from U.S. companies. I cannot forgive India for their neglect of fair dealings with the U.S. in the economic arena. Security Values Family security, safety for loved ones. Honoring parents and elders, showing respect. Self-discipline, self-restraint, resistance to temptation. Survey Scales Openness Values A varied life, filled with challenge, novelty, and change. An exciting life, stimulating experiences. Curious, interested in everything, exploring.

33. Experimental Scenarios Canada The Toyota Corolla is a compact sedan manufactured by Toyota Corporation (a Japanese company) in its Ontario, Canada facility. The Corolla has won the J. D. Power and Associates quality award in its class for the past three years, and is regularly given a ‘recommended buy’ rating by Consumer Reports magazine. At 30 million cars sold since its introduction in 1966, the Corolla is the best-selling car in the world. How likely is it that you would purchase the automobile described? India The Toyota Corolla is a compact sedan manufactured by Toyota Corporation (a Japanese company) in its Ontario, Canada facility. The Corolla has won the J. D. Power and Associates quality award in its class for the past three years, and is regularly given a ‘recommended buy’ rating by Consumer Reports magazine. At 30 million cars sold since its introduction in 1966, the Corolla is the best-selling car in the world. While over 97% of the parts for the Corolla are currently sourced from the Canadian operation, Toyota recently concluded an agreement with Daewoo Corporation, a South Korean auto manufacturer, to purchase their drive train (transmission and steering components) and engine components plant located near the Indian Ocean port of Bombay, India. Toyota made this purchase in order to expand its Asian presence and to take advantage of the plant’s world-class quality and overall cost advantage. Because of Toyota’s strict supplier certification program for all components, this sourcing change will not affect the price, quality or styling of the Corolla, and the remainder of the car will continue to be produced in Canada. How likely is it that you would purchase the automobile described? Iran The Toyota Corolla is a compact sedan manufactured by Toyota Corporation (a Japanese company) in its Ontario, Canada facility. The Corolla has won the J. D. Power and Associates quality award in its class for the past three years, and is regularly given a ‘recommended buy’ rating by Consumer Reports magazine. At 30 million cars sold since its introduction in 1966, the Corolla is the best-selling car in the world. While over 97% of the parts for the Corolla are currently sourced from the Canadian operation, Toyota recently concluded an agreement with Daewoo Corporation, a South Korean auto manufacturer, to purchase their drive train (transmission and steering components) and engine components plant located near the Persian Gulf port of Abadan, Iran. Toyota made this purchase in order to expand its Middle Eastern presence and to take advantage of the plant’s world-class quality and overall cost advantage. Because of Toyota’s strict supplier certification program for all components, this sourcing change will not affect the price, quality or styling of the Corolla, and the remainder of the car will continue to be produced in Canada. How likely is it that you would purchase the automobile described?

34. Animosity and WTP

35. Path Diagram 1

36. Path Diagram 2

37. Paco UnderhillThe “King” of Observation www.envirosell.com

38. When to Use Observation • When the respondent may not be able to accurately recall the frequency of a behavior, and/or may be inclined to give misleading answers • When the response in question is a behavior (rather than a feeling) • When the behavior in question is relatively frequent and occurs within a limited time frame • When the behavior in question can be observed (e.g., in public)

39. Observation Advantages Disadvantages Gain data on actual behavior (rather than self-reported behavior which may be biased) • Generalizing from a limited number of observations can be difficult • May be difficult to understand why the behavior occurred • If doing observation in person (not recorded), possible to miss important behaviors (or other people)