Primary research and secondary research flashcards

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Primary research?

First-hand data collected for the specific research objective.

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Secondary research?

Existing data from external sources — reports, internet, census, competitors' accounts.

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Primary methods?

Questionnaires, interviews, focus groups, observation, trials.

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Secondary sources?

Government statistics, trade journals, market reports, social media analytics.

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Primary advantage?

Up-to-date, specific to firm's question, not available to rivals if confidential.

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Secondary advantage?

Low cost, quick, good for market size and background.

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Secondary disadvantage?

May be outdated, not tailored, same data available to competitors.

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Best practice?

Start secondary for context, then primary to fill gaps.

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What is the primary disadvantage of using secondary research?

The data was not collected for the business's specific purpose, so it may lack relevance, be outdated, or not be in the required format to answer the research question precisely.

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Define 'focus group'.

A qualitative primary research method where a small group of people (typically 6-10), led by a facilitator, discuss their perceptions and opinions about a product, service, or concept.

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Give two examples of internal secondary data.

1. Past sales records and transaction data. 2. Information from customer loyalty schemes or warranty registration cards.

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What is the key difference between quantitative and qualitative data?

Quantitative data is numerical and answers 'what' or 'how many' (e.g., 70% of customers). Qualitative data is descriptive, non-numerical, and explores 'why' (e.g., customer opinions on packaging).

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Why is primary research often more expensive than secondary research?

It requires significant resources to design, implement, and analyse bespoke data collection methods like surveys, interviews, or focus groups, which are tailored to the business's specific needs.