Market Research Report: Influencers, Data, AI, and Consumer Behavior

This market research report, prepared by Jonathan Coker (MIT190406) for BK210 (Market Research) at MIT, examines consumer attitudes towards contemporary marketing strategies. The report investigates three key hypotheses: the impact of influencer marketing on conversion rates, consumer concerns regarding data privacy, and the influence of AI-based marketing on brand success. The methodology involved an online survey distributed across marketing forums and social media to collect data. The data analysis, conducted using SPSS, revealed insights into consumer preferences regarding influencers, data analytics, and AI. Key findings suggest that while influencer marketing is effective, AI marketing is not seen as the sole future of marketing. The report concludes with recommendations for businesses, emphasizing the continued importance of influencer marketing and offering insights into consumer behavior in the digital age, supported by a literature review and references.

BK210 Market Research
Report
Jonathan Coker
MIT190406
5/2/22
—
Market Research
—
Prof Siva Muthaly

Assessment Cover Sheet
Student ID Number/s: Student Surname/s: Given name/s:
MIT190406 Coker Jonathan
Course: Bachelor of Business School: MIT
Unit code: BK210 Unit title: Market Research
Due date: 4/2/22 Date submitted: 5/2/22 Campus: Sydney
Lecturer: Prof Siva Muthaly Tutor: Prof Siva Muthaly
Student Declaration
I/We declare that:
1. the work contained in this assignment is my/our own work/group work, except
where acknowledgement of sources is made;
2. certify that this assessment has not been submitted previously for academic credit
in this or any other course;
3. I/we have read the MIT’s Plagiarism and Academic Misconduct Policy Procedure,
and I/we understand the consequences of engaging in plagiarism, collusion and
Contract Cheating;
4. a copy of the original assignment is retained by me/us and that I/we may be
required to submit the original assignment to the Lecturer and/or Unit Co-ordinator
upon request;
I/we have not plagiarised the work of others or participated in unauthorised collaboration
(collusion) or Contract Cheating when preparing this assignment.
MIT ID Signature Date
MIT190406 JC 5/2/22
For Assessor Use Only (if not marked on Moodle)
Name:
Position
Date:
Signature:
Marks/Grades:
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Table of Contents
1. Table of Contents --------------------------------------------------------------- 3
2. Executive Summary ------------------------------------------------------------ 4
3. Body--------------------------------------------------------------------------------- 5-12
3.1 Introduction/background -------------------------------------------------------- 5
3.2 Objectives ---------------------------------------------------------------------------- 5
3.3 Literature Review ------------------------------------------------------------------- 5-6
3.4 Methodology ------------------------------------------------------------------------ 6
3.5 Data Collection----------------------------------------------------------------------- 6
3.6 Data Analysis ------------------------------------------------------------------------ 7 -11
4. Recommendations/Limitations --------------------------------------------- 12
5. Conclusion ------------------------------------------------------------------------- 12
6. References ------------------------------------------------------------------------- 13
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Executive Summary
The purpose of this report is to understand the consumers feelings towards new and
current marketing methods such as influencers, privacy, data analysis and AI. Research
was conducted and from this research hypotheses on these topics were created to find
the true answer to the consumers feelings towards them. After the survey was taken,
the data was analyzed, and the results can be seen in the report below.
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Introduction
Currently, businesses are in the motion of adapting to different world events like
COVID19, new technologies are one of these methods of adapting. This poses the need
to better understand technological market issues that are currently facing business,
how these new technologies are affecting customers and marketing effectiveness.
Understanding these technologies and their impact on customers is extremely
important as if left to assumption only, could send businesses away from the customer’s
needs and wants.
Literature Review + Research Questions
Before conducting a survey on the issue at hand of understanding new technologies and
their issues/impact on customers, thorough research needed to be completed. After
conducting this research, 3 hypotheses and 9 interval questions were created and are
listed below.
Hypothesis One:
Influencer Marketing is positively related to conversion rates
1. Influencer Marketing has had a positive impact on your purchase decisions
2. Influence Marketing keeps you informed on brands/products
3. Marketing products through influencers is not helpful
Hypothesis Two:
Invasion of privacy by marketers collecting data is concerning for customers
1. You Value your privacy when online data is involved
2. Data Analytics marketing is a safe form or marketing
3. Data Analytics is a useful form of marketing
Hypothesis Three:
AI based marketing has a positive impact on a brands success
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1. AI is the future of all forms of marketing
2. AI is a safe venture for marketing products/brands online
3. AI marketing produces positive information for marketers
Hypothesis One has seen a wide variety of attention in the online marketing world. As
stated, “Influencers increasingly provide sources of information and innovation to
followers” (Daniel Belanche, Journal of Business Research, August 2021), influencer
marketing has become extremely relevant and very effective amongst younger
audiences. Influencers have such a huge reach and through their ‘trust worthiness’
‘attractiveness’ and ‘similarity to the followers’ (Chen Lou, 2018), and through these
qualities can affect a viewer’s decision to buy or trust a product (Chen Lou, 2018). This
poses the need for this hypothesis, that influencer marketing is positively related to
conversion rates. Exploring this idea will help marketers understand their audience
more and what marketing channels are more effective.
Hypotheses Two focuses on a big issue in today’s social climate, privacy. Since the
Facebook and Cambridge analytics incident data privacy has become a customer’s
number one concern (Leonard 2014; Martin and Murphy 2017).”. “Even executives
from the digital world, such as Apple and IBM, have called for more oversight on
personal data use (Reuters 2018)”. With marketing tools such as data analytics, it raises
the need for the second hypothesis; Invasion of privacy by marketers collecting data is
concerning for customers.
Hypotheses Three focuses on the future of marketing and the potential of AI based
marketing campaigns. Whilst there are many opportunities, a lot of questions are raised
at the same time. Whilst its nowhere near a useable standard for an entire marketing
campaign currently, the idea has been proposed (Nobert Wirth, 2018). This poses the
hypothesis then; AI based marketing has a positive impact on a brands success.
Methodology
When researching, the aim was to identify general marketing issues that marketers are currently or are going
to face in the future. This is how the concepts of influencers, data collection, privacy concerns and AI
marketing were chosen as they propose unique and market altering implications for the current state of
marketing and in the future. From examples of other scholars in their methodology (Leonard 2014;
Martin and Murphy 2017) the thought process was produced from a customer focused
mindset, how customers react to certain changes in climate or marketing itself.
Data Collection
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To gain the data necessary to understand the true outcome of these hypotheses, research through an online
survey will be conducted. After creating the survey, it will be posted to online marketing forums and spread
across social media platforms to grab a wide variety of different demographics and age groups. From this data
we can determine if these hypotheses are correct or false. Once the data is collected it will be analyzed
through SPSS and the information will be displayed on graphs and charts.
Data Analysis
As seen in Figure 1, most of the people surveyed were male in gender (55% were male) and majority were in
the age bracket of 21-30 with 31-40 being the second largest age bracket as seen in figure 2.
Figure 1
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Figure 2
Figure 3
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Figure 4
Figure 5
The data collected here shows most of the population in this survey agreed that influencers are a helpful form
of marketing but not the main determining factor of their decision making.
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Figure 6
Figure 7
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Figure 8
The general population of this survey agreed on the value they place towards their privacy but that data
analytics is a safe and useful form of marketing with only a few disagreeing with this fact.
Figure 9
Figure 10
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Figure 11
The consensus of hypothesis three is that AI marketing is helpful and productive but not the sole future for
marketing itself as seen in Figure 111 with most disagreeing.
Recommendations
With the data collected from the first hypothesis the consensus is that influencer marketing is helpful and does
impact the customers decisions but is not the main source of information when it comes to the customers
knowledge to products (this last result can be seen in figure). Leaving us with the conclusion that the
hypothesis is in fact true.
From the second hypothesis, it’s clear that customers value the privacy and data greatly but do see the value
of data collection and its role in marketing. This leaves us with the conclusion that the hypothesis is indeed
false, customers are not concerned over marketers using their data to create marketing campaigns or the like.
With the results collected from the third hypothesis, a good majority of people think that AI marketing is a
positive/helpful venture for marketers (figure), but it is not the sole future for marketing itself, leaving the
hypothesis to be false.
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Influencers are a effective (especially for younger people) and will continue to be effective for all marketers.
The recommendation would be not to focus too much on AI marketing but more on the impact influencers can
have with their outreach and ability to form relationships/trust with their audience. Whilst not completely
regarding AI or data analytics of course, however the focus should be on what influencers can achieve.
Conclusion
In conclusion, marketing is an ever changing and diversifying area in business. There will be new ways to
market in the future with AI on the horizon, but at its current state, influencers remain one of the strongest
forms of marketing to date and will continue to impact the decisions of many young audiences and beyond.
References
 SAGE Journals. 2021. Hello marketing, what can artificial intelligence help you
with? - Norbert Wirth, 2018. [online] Available at:
<https://journals.sagepub.com/doi/abs/10.1177/1470785318776841>
 Springer Link. 2021. Analyzing the analytics: data privacy concerns. [online]
Available at: <https://link.springer.com/article/10.1057/s41270-018-0034-x>
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