Marketing Report for E-Trust - Research Proposal Example

MARKETING REPORT FOR E-TRUST MARKETING REPORT FOR E-TRUST Customer Name: Lecturer Name: Date: Contents Contents 2 Executive summary 3 Problem Definition using literature or industry data to support 3 Methodology 5 Research Overview 6 Basic Questions answered by the research 6 Research Process 7 Phrasing of questions 9 Methodology Review 10 Data analysis 10 Data Analysis Presentation 11 Limitations and caveats of the study 39 Conclusion and Recommendation 40 Executive summary The research was aimed at investigating the perceptions of the respondents on diverse functions including launching of new products to trusting of electronic transactions. In order to achieve the research objectives, the study utilised a survey of sixty respondents, where structured questionnaires were administered. The research findings suggests that new products may not necessarily appeal to all persons, moreover online transactions is gaining popularity as a market destination, as well as for its appeal and allure to customers. Problem Definition using literature or industry data to support Organizations and businesses launch products, with the objective of attaining substantial market share. The target market however is very vital in dictating the success of the products launched. The purchasing behaviour of consumers do vary, with some consumers being risk averse, who would not like to try any new product, while other consumers are risk takers. According to *, the marketers therefore have to understand the needs of different consumers and behaviours which demand require an in-depth study of their external and internal environment, so as to aid in the formulation of marketing plans. The Consumer behavior is the decision-making process and physical activity engaged in the acquisition, evaluation, usage and the disposition of goods and services. The consumer behavior is all encompassing function, which heavily influences the marketing and the purchasing process. The purchasing process starts from the consumers’ mind, which influences the alternatives that the consumer chooses, depending on their perceived relative advantages and disadvantages. The after purchase behavior is also of paramount importance as it informs the marketers on the success of the project. There are various opinions regarding the purchasing of new products, with several studies offering divergent opinions. In trying new products, consumer behavior is of importance, as the decision-making process and physical activity which is involved. The behavior of the consumers is multidimensional, complex and a dynamic process which influences the entire decision making procedure. It is therefore of importance that the organization adopts strategies which are vital towards attaining a strategic competitive advantage, therefore the marketing channels by the organization utilizes are vital towards determining the product’s success. The customer behavior determines the perceived customer value, hence business have to implement a process which entails formulation of marketing strategy. Essentially, the marketing strategy involves market analysis, strategy formulation and decision making. The decision making is a process which entails problem recognition, information search, evaluation, selection procedure, and this finally influences the purchase decision by the consumer. The post purchase behavior depends on how satisfied the client is with the product. In understanding the behavior of the consumers towards new products, it is vital to conduct market analysis, which also includes analysis on the organization, the competition and the conditions. In contacting the research, this is aimed towards offering better customer value, which is the aim of the company. This is dictated to by the consumer needs, the company offerings as well as the environment. The diversified nature of the factors influencing the market, especially on the consumers perception and acceptance of new products, creates challenges on the producers. Methodology The section serves to review the research methods and approach, which was considered most appropriate for the research, hence were used towards the achievement of the research objectives. The aim of the section is achieved through developing the foundation of the collection of the important research data, which served in the development of the theoretical and conceptual framework. In addition, the section describes the approach used in choosing the case study organization, hence being vital towards laying out essential foundation for the analysis plan. The methodology implemented is a collection of several research considerations such as research design, discussion of data used, discussion of alternative methods of data collection, discussion of the question content and data collected, in addition to the review of the methodology utilised in collecting the data, in addition to considering the research philosophy, research methodology as well as offering explanations on the relationship of the research methodology, with the research objectives. The research methodology entailed utilising various reasoning namely inductive and deductive reasoning, while both qualitative and quantitative data was collected. Research Overview The research entailed posting of two sets of questionnaires to respondents. The first questionnaire used Likert scale, and it was administered in order to determine the respondent’s opinions and perceptions regarding purchase of new products in the market. The second questionnaire, considers the respondent’s opinion, regarding the use of online shopping sites. In order to attain the research objectives, the study was conducted through four stages namely Research Process; Research Philosophy; Methodologies and Data Collection. A survey was carried out which entailed collecting data on the purchase of new products and the utilization of online shopping stores. Whereas, in essence the data was collected through likert scale structured questionnaires, the secondary sources of data, were used in the collection of the data pertinent to the structuring of the questionnaires. The multi-approach data collection method involved collecting data from both the primary sources and from the secondary sources, which shared a commong objective of apprasing the acceptance of new products by respondents and the usage of the online shops. Basic Questions answered by the research The study aimed to answer diverse questions that are associated with the research objectives. This was achieved through administration of structured questionnaires; the respondents were expected to use a scale of 1 to 5, to gauge their level of agreement with the questions posed. The research desired to understand the respondent’s perception as regards the purchase of new products, vis-à-vis their personal details such as age, gender and occupation. Moreover, the respondents were asked about their experience with online shops. The first set of questions included asking the respondents if they were risk averse or risk takers, depending on whether they liked taking chances, whether they perceived purchase of new products as a waster of time, and whether they liked trying new products. Moreover, their opinion if they considered new products as a gimmick, and if they considered themselves experts in shopping was sougth. The responses were were cross checked by asking similar questions such as if the respondents would by the latest goods, or if people considered them as a as a good source of shopping information, and if they experimented with new ways of doing things. Moreover, they were asked if they considered the usual way of doing things as being the best. The other set of questions aimed at understanding the respondents’ opinions to online shopping through an array of interrelated questions such as wheter the site had good reputation and it it was trustworthy, where the product’s offered were of satisfactory and of good economic value, and if the respondents perceived that prices of the products purchased from the site are too high, given the quality of the products. The design of the site was also considered, such as if the site is entertaining, if it engages the user to feel that they are in another world. Moreover, the respondents were expected to give their scale on whether the online shops were involving, such that the user can build a relationship with the company, and if the users could visit the site again in future, as well as if the site id trustworthy in keeping its promises and commitments. Finally, the respondents were asked if they were satisfied by the services provided by the site and if they were comfortable surfing the website. Research Process The research process was motivated by Deductive reasoning, with the general premise being that there has been a paradigm shift in the marketing sector, with several institutions launching products, as well as the online business being among the most important channels of selling products. The research utilised survey of respondents, since it offered several benefits pertinent to the realization of research objectives. The advantages of survey include the enhancement and knowledge contribution towards understanding consumer behaviour, as well as supplementing the available the knowledge, which is available and documented as findings of previous researches. In addition, the survey was the most appropriate methodology since it highlighted and accentuated wide-ranging factors in purchase of new products and use of online business. Data Collection The collection of data was done through several stages. The initial phase involved planning and development of data collection instruments. The second phase was the pre-test stage, which entailed the development of preliminary codes and draft questionnaires as well as the pre-test questionnaires. This was followed by the final survey design and planning stage, as well as the implementation of survey and data collection where the sample was selected and the final questionnaire prepared. Data was then collected through the administration of structured questionnaires to the respondents, where the nature of the questionnaires varied as per the expected relevance. The data was finally entered to analysis software and coded. The use of structured questionnaires offered the advantage of data collection in a standardised manner, while data can be collected from several respondents at a time. Format of the questionnaires The format of the questions is that Likert questions were asked to gauge the extent of agreeability of the respondents to the statements posed. The likert questions permit the respondents to decide on the response that best corresponds to their opinions, relative to a series of statements. The neutral questions which were relatively simple and non-threatening were placed at the beginning of the questionnaire to establish rapport and put the respondent at ease. Phrasing of questions Considering the nature of the respondents, the he questions were phrased in a manner that bolstered the collection of data which are vital to the success of study objectives. The questions were phrased in a manner which allowed the respondents understand without the questions leading them to a biased response. The questions in addition avoided possible occurrences of questions with some type of prestige bias, questions that could embarrass or force respondents into giving a false answer. The phrasing was also in a manner which avoiding asking direct questions on sensitive issues but asked the same question indirectly while promising confidentiality and anonymity. In addition, the questions did not use jargon and technical terms whenever possible as well as words, which may have a double meaning or be misinterpreted and avoided emotive questions which potential of causing annoyance, frustration, offence, embarrassment or sadness, in addition avoided negative phrasing of questions. The questions were short and simple, while avoiding double-barrelled questions. In the study, the structured response format was adopted, which enabled the respondents to respond more easily and assisted the researcher in accumulating and summarizing responses more efficiently. This format however limits the respondent in terms of giving their opinions. Methodology Review There methodology implemented has some limitations; these are based on external vs. internal validity. Using the survey method, the researcher does not have control over certain variables and events, unlike in an experimental situation according to Keith, (2005). Therefore, the research findings may only be applicable to similar cases. Therefore, whereas the method used fostered internal validity, it loses in external validity. Furthermore, the researcher may be tempted into driving the responses towards the expected outcome, hence suffering from the self-fulfilling prophecy or Pygmalion effect. The researcher taking a disinterested party position could avoid these challenges. Data analysis The collected data was encoded and entered into computerised data analysis software, SPSS (originally Statistical Package for Social Sciences). Data analysis entailed inspecting, cleaning, transforming, and modelling the collected data with the aim of highlighting useful information, suggesting conclusions, and supporting decision-making. The data analysis is envisioned to deriving accurate research findings, which are important to the marketing institutions in launching their products, while the concepts presented shall be utilized to effectively implement online shopping websites. To communicate imperative research findings and experience to the readers, a written report of the research shall be prepared. The data was analysed to derive the statistically relevant relationships between the various study elements Data Analysis Presentation Questionnaire 1: Respondents mode Doing things the Usual way doing things in usual way Frequency Percent Valid Percent Cumulative Percent Valid strongly agree 11 18.3 18.3 18.3 Agree 28 46.7 46.7 65.0 uncertain/ neutral 15 25.0 25.0 90.0 disagree 5 8.3 8.3 98.3 strongly disagree 1 1.7 1.7 100.0 Total 60 100.0 100.0 The results indicate that most of the respondents (46.7%) agree that In the long run, the usual way of doing things is often the best , while (1.7 %) strongly disagreed. I'd like to try different things Frequency Percent Valid Percent Cumulative Percent Valid strongly agree 13 21.7 21.7 21.7 agree 26 43.3 43.3 65.0 uncertain/ neutral 10 16.7 16.7 81.7 disagree 9 15.0 15.0 96.7 strongly disagree 2 3.3 3.3 100.0 Total 60 100.0 100.0 When the respondents were asked if they like to experiment with new ways of doing things, the results showed that most of the respondents (43.3 %) agreed that they would try new products, while 3.3 percent strongly disagreed. The results from the above questions are however paradoxical, considering that most of the respondents opine that doing things the usual way is always the best, while they also would like to try new things. take a chance of online-shopping Frequency Percent Valid Percent Cumulative Percent Valid strongly agree 18 30.0 30.0 30.0 agree 27 45.0 45.0 75.0 uncertain/ neutral 5 8.3 8.3 83.3 disagree 9 15.0 15.0 98.3 strongly disagree 1 1.7 1.7 100.0 Total 60 100.0 100.0 Most of the respondents would take agree that they would take chance of online shopping (45 %), while 1.7 % strongly disagreed. online-shopping is waste of time Frequency Percent Valid Percent Cumulative Percent Valid strongly agree 2 3.3 3.3 3.3 agree 15 25.0 25.0 28.3 uncertain/ neutral 24 40.0 40.0 68.3 disagree 12 20.0 20.0 88.3 strongly disagree 7 11.7 11.7 100.0 Total 60 100.0 100.0 A great percentage of respondents were uncertain (40.0 %) were uncertain if online-shopping is waste of time, while 3.3 % strongly agreed that online-shopping is waste of time. take a chance of online-shopping * online-shopping is waste of time Crosstabulation Count online-shopping is waste of time Total strongly agree agree uncertain/ neutral disagree strongly disagree take a chance of online-shopping strongly agree 0 4 4 4 6 18 Agree 2 7 14 3 1 27 uncertain/ neutral 0 1 1 3 0 5 disagree 0 3 4 2 0 9 strongly disagree 0 0 1 0 0 1 Total 2 15 24 12 7 60 On Cross tabulation, most of respondents who agreed that they take a chance of online-shopping, (14), were uncertain if online-shopping is waste of time. When the results were cross-tabulated, most of the respondents who were uncertain to try on new products, (10), were also uncertain that new product is always gimmicks. (3) of the respondents were also uncertain that when they see new things, they will check it out. When the respondents were asked of their opinions if they were experts in shopping, most of the respondents were uncertain (33.3 %), while 8.3 percent strongly disagreed. Test Statistics I usually buy latest e-product I enjoy give tips Chi-Square 5.833a 14.500a df 4 4 Asymp. Sig. .212 .006 a. 0 cells (.0%) have expected frequencies less than 5. The minimum expected cell frequency is 12.0. The test statistics suggests that there is a correlation between the person who enjoy giving tips, and the urge to usually buy latest e-product. I usually buy latest e-product * I always buy latest product * good shopping info Crosstabulation Count good shopping info I always buy latest product Total strongly agree agree uncertain/ neutral disagree strongly disagree strongly agree I usually buy latest e-product strongly agree 2 0 2 agree 0 2 2 Total 2 2 4 agree I usually buy latest e-product strongly agree 2 1 0 0 0 3 agree 5 1 0 0 0 6 uncertain/ neutral 0 1 0 0 0 1 disagree 0 0 1 2 2 5 strongly disagree 0 0 0 0 1 1 Total 7 3 1 2 3 16 uncertain/ neutral I usually buy latest e-product strongly agree 5 2 0 0 0 7 agree 0 2 1 1 0 4 uncertain/ neutral 0 1 2 1 0 4 disagree 0 2 1 1 0 4 strongly disagree 0 0 4 0 1 5 Total 5 7 8 3 1 24 disagree I usually buy latest e-product strongly agree 2 0 0 0 2 agree 3 0 0 0 3 uncertain/ neutral 1 1 1 0 3 disagree 0 0 4 1 5 strongly disagree 0 0 1 0 1 Total 6 1 6 1 14 strongly disagree I usually buy latest e-product strongly agree 1 1 2 Total 1 1 2 When the responses were cross tabulated, in terms of I usually buy latest e-product * I always buy latest product * good shopping info, most of the respondents who were uncertain, if they would usually buy latest e-product (8), were also uncertain if they had good shopping information, while majority of them (4), strongly disagreed that they would always buy latest product. Most of the respondents however, disagreed that they only but things because it is brand new, while a small percentage strongly agreed. doing things in usual way * try doing things in new way Crosstabulation Count try doing things in new way Total strongly agree agree uncertain/ neutral disagree doing things in usual way strongly agree 3 5 2 1 11 agree 2 11 8 7 28 uncertain/ neutral 0 9 4 2 15 disagree 0 4 0 1 5 strongly disagree 0 0 0 1 1 Total 5 29 14 12 60 Most of the respondents agreed that that they try to do things in a new way, (29), this is however contradictory since most of the respondents also (28), agreed that they do things in the usual way, of which (11) agreed that they try to do things in the usual way and they try to do things in thin new way. A bi-variate correlation suggests that there is a significant correlation between do things in the usual way and they try to do things in thin new way. Correlations try doing things in new way doing things in usual way try doing things in new way Pearson Correlation 1 .155 Sig. (2-tailed) .239 N 60 60 doing things in usual way Pearson Correlation .155 1 Sig. (2-tailed) .239 N 60 60 the website I written has a good reputation Frequency Percent Valid Percent Cumulative Percent Valid strongly agree 18 30.0 34.6 34.6 agree 27 45.0 51.9 86.5 uncertain/ neutral 4 6.7 7.7 94.2 disagree 3 5.0 5.8 100.0 Total 52 86.7 100.0 Missing System 8 13.3 Total 60 100.0 the website I written is trustworthy Frequency Percent Valid Percent Cumulative Percent Valid strongly agree 15 25.0 28.8 28.8 agree 25 41.7 48.1 76.9 uncertain/ neutral 7 11.7 13.5 90.4 disagree 4 6.7 7.7 98.1 strongly disagree 1 1.7 1.9 100.0 Total 52 86.7 100.0 Missing System 8 13.3 Total 60 100.0 On frequency analysis, most of the respondents agreed that the website that they buy products from is trustworthy; while also a great percentage was in agreement that the website where they purchase products from had good reputation. Descriptive Statistics N Minimum Maximum Mean Std. Deviation the product of the website I written is economic value 52 1.00 4.00 2.1731 .96449 Valid N (listwise) 52 Concerning the perception about the sites products, being of good economic value, the difference in responses has a standard deviation of .96449, suggesting that most of the respondents shared near similar opinions. im happy with price of the website Frequency Percent Valid Percent Cumulative Percent Valid strongly agree 18 30.0 34.6 34.6 agree 14 23.3 26.9 61.5 uncertain/ neutral 17 28.3 32.7 94.2 disagree 3 5.0 5.8 100.0 Total 52 86.7 100.0 Missing System 8 13.3 Total 60 100.0 the product of the website I written is economic value Frequency Percent Valid Percent Cumulative Percent Valid strongly agree 15 25.0 28.8 28.8 agree 18 30.0 34.6 63.5 uncertain/ neutral 14 23.3 26.9 90.4 disagree 5 8.3 9.6 100.0 Total 52 86.7 100.0 Missing System 8 13.3 Total 60 100.0 the product of the website I written is economic value * I’m happy with price of the website * product on a high price of the website Crosstabulation Count product on a high price of the website I’m happy with price of the website Total strongly agree agree uncertain/ neutral disagree strongly agree the product of the website I written is economic value agree 1 1 2 Total 1 1 2 agree the product of the website I written is economic value strongly agree 2 0 0 0 2 agree 3 2 0 0 5 uncertain/ neutral 0 2 4 0 6 disagree 0 0 0 2 2 Total 5 4 4 2 15 uncertain/ neutral the product of the website I written is economic value strongly agree 1 1 2 4 agree 0 4 1 5 uncertain/ neutral 0 0 2 2 Total 1 5 5 11 disagree the product of the website I written is economic value strongly agree 7 0 1 0 8 agree 0 3 1 1 5 uncertain/ neutral 1 0 3 0 4 disagree 0 0 3 0 3 Total 8 3 8 1 20 strongly disagree the product of the website I written is economic value strongly agree 1 0 1 agree 1 0 1 uncertain/ neutral 1 1 2 Total 3 1 4 Most of the respondents (20), disagreed that the price charged by the site was high. While most of the respondents strongly agreed that they were happy with the price of the products offered on the site. entertaining website Frequency Percent Valid Percent Cumulative Percent Valid strongly agree 3 5.0 5.8 5.8 agree 18 30.0 34.6 40.4 uncertain/ neutral 24 40.0 46.2 86.5 disagree 7 11.7 13.5 100.0 Total 52 86.7 100.0 Missing System 8 13.3 Total 60 100.0 Of the respondents who responded, 46.2 percent were uncertain if the site was entertaining, while 5.8 strongly agreed that the site was entertaining. A great percentage of the respondents were uncertain if the website made them feel carried away the website makes me feel in another world * the website build relationship with the company * i'll view the website again Crosstabulation Count I’ll view the website again the website build relationship with the company Total strongly agree agree uncertain/ neutral disagree strongly disagree strongly agree the website makes me feel in another world strongly agree 2 0 0 0 2 agree 0 1 2 0 3 uncertain/ neutral 1 3 4 0 8 disagree 2 4 1 1 8 strongly disagree 1 1 1 0 3 Total 6 9 8 1 24 agree the website makes me feel in another world strongly agree 0 1 0 0 0 1 agree 0 2 2 0 0 4 uncertain/ neutral 0 2 3 0 0 5 disagree 1 1 2 2 2 8 Total 1 6 7 2 2 18 uncertain/ neutral the website makes me feel in another world uncertain/ neutral 0 1 0 1 strongly disagree 1 0 1 2 Total 1 1 1 3 disagree the website makes me feel in another world strongly agree 1 1 agree 2 2 disagree 2 2 Total 5 5 strongly disagree the website makes me feel in another world uncertain/ neutral 0 1 1 strongly disagree 1 0 1 Total 1 1 2 Asked if they would view the website again, a great number of respondents (24), strongly agreed that they would view the site again, of which (9) agreed that the website build good reputation with the company. Descriptive Statistics N Minimum Maximum Mean Std. Deviation i'll rate this website trustworthy compare with others 52 1.00 5.00 1.9808 .99981 i think the website will keep its promises 52 1.00 4.00 2.0769 .76302 satisfied with service 52 1.00 4.00 1.9808 .85154 i feel comforable surfing on the internet 52 1.00 5.00 2.0769 .96703 Valid N (listwise) 52 i'll rate this website trustworthy compare with others Frequency Percent Valid Percent Cumulative Percent Valid strongly agree 20 33.3 38.5 38.5 agree 18 30.0 34.6 73.1 uncertain/ neutral 10 16.7 19.2 92.3 disagree 3 5.0 5.8 98.1 strongly disagree 1 1.7 1.9 100.0 Total 52 86.7 100.0 Missing System 8 13.3 Total 60 100.0 i think the website will keep its promises Frequency Percent Valid Percent Cumulative Percent Valid strongly agree 10 16.7 19.2 19.2 agree 31 51.7 59.6 78.8 uncertain/ neutral 8 13.3 15.4 94.2 disagree 3 5.0 5.8 100.0 Total 52 86.7 100.0 Missing System 8 13.3 Total 60 100.0 satisfied with service Frequency Percent Valid Percent Cumulative Percent Valid strongly agree 15 25.0 28.8 28.8 agree 27 45.0 51.9 80.8 uncertain/ neutral 6 10.0 11.5 92.3 disagree 4 6.7 7.7 100.0 Total 52 86.7 100.0 Missing System 8 13.3 Total 60 100.0 i feel comfortable surfing on the internet Frequency Percent Valid Percent Cumulative Percent Valid strongly agree 12 20.0 23.1 23.1 agree 31 51.7 59.6 82.7 uncertain/ neutral 5 8.3 9.6 92.3 disagree 1 1.7 1.9 94.2 strongly disagree 3 5.0 5.8 100.0 Total 52 86.7 100.0 Missing System 8 13.3 Total 60 100.0 ] Limitations and caveats of the study There are several characteristics of design or methodology that set parameters on the application or interpretation of the results of the study. The study focused on consumers perception on launching of new products as well as their perception on the utilization of online shopping websites. The approach may have limited the study, since the research aimed at establishing marketing data, which may not be necessarily related. In addition, the research was limited by the data collection methodology implemented. Most of the data collected was collected from primary sources which are limited in terms of quality of research (Terry,2007). The study was administered to respondents using random sampling. The understanding of the randomly sampled respondents may be limited, hence jeopardising the accuracy of the responses, which may compromise on the validity of the collected data. Conclusion and Recommendation In conclusion, most of the respondents would like to do things, such as purchasing of products the usual way. The respondents would like to do things in a manner which has been done before, hence being less risky. The respondents could therefore be reluctant to try on new products, however, the development of online shops have introduced a paradigm shift in the marketing arena such that respondents may not be resist the allure of online shopping. The study therefore recommends that organizations have to consider getting strategic competitive advantage through establishing an online presence Reference 1. Benedetto John and Paulo Ferreira, 2001, Modern Sampling Theory: Mathematics and Applications, Switzerland :Birkhäuser. 2. Earl R. Babbie, 2010, The Practice of Social Research, Boston: Cengage Learning. 3. Jennifer Mason, 2002, Qualitative Researching, California: SAGE. 4. Keith, Punch, 2005, Introduction to social research: quantitative and qualitative approaches, California: SAGE. 5. Kothari, C. R., 2008, Research Methodology: Methods and Techniques, London: New Age International. 6. McQueen R. and Christina, Knussen, 2002, Research methods for social science: a practical introduction, New Jersey: Prentice Hall. 7. Ranjit Kumar, 2005, Research Methodology: A Step-By-Step Guide for Beginners, New Delhi: SAGE. 8. Víctor Jupp, 2006, The Sage Dictionary Of Social Research Method, California: Pine Forge Press Read More