Marketing Research Analysis: Low-Cost Carrier Preferences and Factors

This report presents a marketing research analysis focused on low-cost carriers (LCCs). The research investigates the factors influencing consumer choices, including price, convenience, and service quality. The methodology involves survey design using Survey Planet and data analysis employing IBM SPSS. The study employs quantitative research methods, specifically a survey research design using Likert scales to collect data from 100 passengers across 10 low-cost airlines. Statistical analyses, including paired sample t-tests and regression analysis, are used to evaluate the relationships between variables such as price, convenience, and service satisfaction. The report details the research hypothesis, statistical assumptions, and limitations. The findings of the study provide insights into consumer preferences and the relative importance of different factors in the context of low-cost air travel. Furthermore, the report discusses the managerial implications derived from the t-test analysis and concludes with key takeaways regarding consumer behavior and the competitive landscape of the low-cost carrier market.

Running head: MARKETING RESEARCH ANALYSIS
marketing research analysis
Low cost carrier

MARKETING RESEARCH ANALYSIS 1
Table of Contents
1.0 Research method...................................................................................................................2
1.1 Subject...............................................................................................................................2
1.2 Research Instrument..........................................................................................................2
1.2.1 Survey Planet.............................................................................................................2
1.2.2 IBM SPSS..................................................................................................................3
1.3 Question design.................................................................................................................3
Price factor...............................................................................................................................5
Convenience factor..................................................................................................................6
Service factor...........................................................................................................................6
1.4 Data collection method.....................................................................................................8
1.5 Research hypothesis and Statistical Analysis...................................................................9
1.5.1 Paired sample T-test..................................................................................................9
1.5.2 Regression................................................................................................................11
1.6 Assumptions....................................................................................................................11
3.7 Limitation............................................................................................................................12
4.0 Result of the study...................................................................................................................12
4.1 Hypothesis testing................................................................................................................12
5.0 Discussion................................................................................................................................15
6.0 Conclusion...............................................................................................................................16
6.1 Managerial values from t-test analysis................................................................................16
References......................................................................................................................................17
Appendix........................................................................................................................................17

MARKETING RESEARCH ANALYSIS 2
1.0 Research method
The research method is used to conduct the research. In this chapter, various research
method is used to test the theoretical framework which is represented and discussed.
Various types of research method are used for evaluating why people chose the low-cost
carrier. (Bowen G. A. et.al.,2009).
1.1 Subject
The subject of this chapter is to analyze the situation of why people chose the low-cost
carrier and the various types of methods for evaluating it. Survey planet and SPSS
(Statistical package for the social science) are research methods used to determine the
importance of Low-cost carrier and why people prefer to use the low-cost airline for
serving their traveling purpose.
1.2 Research Instrument
Research instrument is a type of measurement tool which is formulated to get data. In
this research paper, research instruments are used to find out the how many people uses a
low-cost carrier, the main reason for choosing the low-cost carrier and the purpose of the
study. It is determined with the help of questionnaire and survey method
The research instrument used in the research study is surveying planet and SPSS that is a
Statistical package for the social science. Data is collected with the help of survey in
which following instruments are used. (Creswell J. W. et.al.,2007).
1.2.1 Survey Planet
Survey planet is the type of instruments which are used to survey the data through
online. Survey planet is an online survey site. This online survey site helps to evaluate

MARKETING RESEARCH ANALYSIS 3
or collect the unlimited surveys and the responses for that survey, surveys which were
written earlier that is a pre-written survey that is which is done by other and the
sharing surveys which are shared on the social media sites by the other researcher.
Pro users of the Survey planet can also access the different types of features
associated with this which is additional features of Survey planet that are custom
theming, exporting to CSV and one can store the survey unlimited on the survey
planet online site. (Hales A. S. et al., 2014).
1.2.2 IBM SPSS
IBM SPSS (Statistical package of social science) is another type of research
instrument which is used in this research study it is used to collect the data and is
used for deployment and authoring of the survey, text analytics, data mining, and
collaboration.
IBM SPSS is a latest version statistical tool which is used to evaluate the data which
can be complex data and helps to find out the research by deploying several statistical
tools or method. (Field A. et.al.,2013).
1.3 Question design
The question design is also called research design. In this research study, quantitative
research design is used to conduct the research on a low-cost carrier. Quantitative type of
research designs is steady with the deducible approach of research (but they do not have
to be included). The quantitative research design is more relevant for the testing
hypothesis that cannot be done with the help of qualitative research design. Quantitative
research uses a specific instrumental and collection of data techniques and developed

MARKETING RESEARCH ANALYSIS 4
tools of statistical analysis for generating knowledge and is also helpful in drawing
conclusions.
This type of research is also appropriate with the positivity of the philosophy. This is the
one of the only approach or strategy in which findings can be easily generalized to some
extent across the populations. The quantitative approach is better than another qualitative
approach for testing the hypothesis for the research. But the choice of quantitative
research design has some limitation to some extent. On the other hand, it is very much
useful to complete the research on specific time. So, this is the most relevant approach.
There is only two major research design of quantitative that can be included in the
research study. Firstly, the research design is a survey method in which the researcher
can measure the independent and dependent variables and try to compare them or
include them as per requirement without doing the manipulation. Secondly, the research
design is an experiment in which the researcher alter the independent variable and to
evaluate the effect of this with the manipulation of the variable which is dependent. This
research study uses only uses the survey research design for conducting the research both
for the practical reasons, and there is no appropriate or affordable way for designing the
experiment for the questions of the research. This research needs to view this research in
more generalized and broad way and need to include the larger sampling size to know
the factor included in low-cost carrier choice which can be done with experiment. The
most of the existing empirical literature on the choice of airline also supported the use of
survey research design in spite of using experiment.
Survey method is used to collect the data directed from the responses by using brief
Responses, and the respondents can easily give answers relevantly. Adequacy rate of

MARKETING RESEARCH ANALYSIS 5
responses and being able to use this data is also a crucial part of using the survey
research design.
A standardized research design is used that is questionnaire is used with the help of
Likert scale for collecting the data. (Creswell J. W. et al., 2013).
Questions related to the three factors that are price, convenience and service are as
follows:
Price factor
i) Price factor is the main reason for selecting low cost carrier
Strongly agree
Agree
Neutral
Disagree
Strongly disagree
ii) Is the prices are low in the low cost carrier?
Strongly agree
Agree
Neutral
Disagree
Strongly disagree
iii) Is the prices of low cost carrier are affordable to all classes of people?
Strongly agree
Agree
Neutral
Disagree
Strongly disagree
iv) Is the prices of low cost carrier are lower than the high cost carrier?
Strongly agree
Agree
Neutral
Disagree
Strongly Disagree
v) Is there large gap between the prices of low cost carrier, normal and high cost carrier?
Strongly agree
Agree
Neutral

MARKETING RESEARCH ANALYSIS 6
Disagree
Strongly disagree
Convenience factor
i) Convenience factor is the main reason for selecting low cost carrier
Strongly agree
Agree
Neutral
Disagree
Strongly disagree
ii) Are services of low cost carrier convenient to passenger?
Strongly agree
Agree
Neutral
Disagree
Strongly disagree
iii) Are prices of low cost carrier are convenient?
Strongly agree
Agree
Neutral
Disagree
Strongly disagree
iv) Are passengers conveniently choose the low cost carrier?
Strongly agree
Agree
Neutral
Disagree
Strongly disagree
v) Can you compare the low cost carrier with other type of carrier in terms of
convenience
Strongly agree
Agree
Neutral
Disagree
Strongly disagree

MARKETING RESEARCH ANALYSIS 7
Service factor
i) Service factor is the main reason for selecting low cost carrier
Strongly agree
Agree
Neutral
Disagree
Strongly disagree
ii) Are you satisfy the services of the low cost carrier?
Strongly agree
Agree
Neutral
Disagree
Strongly disagree
iii) Satisfaction of passenger from the services provided by low cost carrier is high
Strongly agree
Agree
Neutral
Disagree
Strongly disagree
iv) Satisfaction of passenger from the services provided by low cost carrier is medium
Strongly agree
Agree
Neutral
Disagree
Strongly disagree
v) Satisfaction of passenger from the services provided by low cost carrier is low
Strongly agree
Agree
Neutral
Disagree
Strongly disagree

MARKETING RESEARCH ANALYSIS 8
1.4 Data collection method
Different kinds of data collection methods are used for collecting data for doing surveys
which include online questionnaires, self-administered questionnaires, telephone
questionnaire and the structures interviews. This four method use structured instruments
that are the method of collection and distribution varies. The questionnaires are collected
through online and through on paper by using self-administered where the candidates of
the questionnaires are filled manually. The questionnaires can also be filled which is a
part of an interview of structure in which the questions are read and answers that
questions accordingly by defining the terms.
There are two types of data collection method primary and secondary
 Primary data collection method: Primary data collection method is a type of
method which is a first-hand data which is collected by researcher only. In this
research study, primary data collection method is used. Questionnaire and survey
method is used to collect the data.
 Secondary data collection method: This type data is second-hand data which is
already collected by another researcher, and another one is just using it for their
research study. (Johnson T. et.al., 1982).
In this research paper, primary data collection method is used for conducting the
research on the Low-cost carrier. The self-administered questionnaires are used

MARKETING RESEARCH ANALYSIS 9
by using Likert scale for collecting the data from the populations as data
collection take place in the person so there were no restrictions or problems
associated with this except the barriers which are related to language barrier
which cannot be overcome. If the participants who are filling questionnaire are
declined, then another participates are selecting for filling the questionnaire.
Ten teams are formed for collecting the data from the passengers of the airport.
Every team member approaches randomly to the tenth passenger. The total
population is taken into consideration are 100 people that are the 100 passengers
of 10 low-cost airlines.
1.5 Research hypothesis and Statistical Analysis
The research hypothesis of this research study are as follows:
H1= Price factor
H0= Convenience factor
H3= Service factor
The statistical analysis of the research study
Statistical analysis is an element of analytics of data. Collecting and scrutinizing the
every sample of data in a proper set of elements from which samples can be taken are all
included in the statistical analysis. A selected sample which is representative is drawn
from the total population that in from100 population.
The data is analyzed through SPSS by using two techniques which are appropriate for
conducting this research.

MARKETING RESEARCH ANALYSIS
10
1.5.1 Paired sample T-test
Data is analyzed with the help of T-test. A t-test is a type of analysis in which two
population means with the use of examination of statistical, two sample of t-test is
used commonly with the small size of the sample, test the difference between the
samples when the variances are not known of normal distributions. (Baldi P.
et.al.,2001).
T-test
Assumptions of Paired sample t test
1. Dependent variable is continuous – Assumption is satisfied
2. Normality assumption for the distribution of the differences in the dependent
variable – Histogram was constructed and is given below
From the above histogram, we see that the distribution of difference between low cost carrier
price and high cost carrier price is skewed left, indicating that the assumption of normality is

MARKETING RESEARCH ANALYSIS
11
violated. Since the sample size is large (n = 240 > 30), violation of normality will not affect the
data to great extent (central limit theorem)
3. There should not exists any outliers in the dataset
The box plot is given below
From the box plot, we can say that there exists no outliers in the dataset
1.5.2 Regression
Regression analysis is a type of statistical tool which is used to find out the relationship between
two variables. Regression contains many techniques for doing modeling and for analyzing the
several variables, it is more appropriate when the main concentration is on to determine the
relationship between one dependent and one independent variable. (Kleiber M. et.al., 1950).
Regression analysis-
The regression model to predict high cost carrier price using low cost carrier price as
independent variable is given below
High Cost Carrier Price = b0 + b1 * Low Cost Carrier Price