Focus groups involve a small group of 6-10 participants selected from the target market discussing their opinions and emotional responses to a new product or topic under the guidance of a trained moderator. They provide qualitative feedback to help businesses understand consumer perspectives, identify new opportunities, and improve products before full launch. However, focus group results may not be fully representative and participants may feel social pressure to conform or be more favorable than real purchase behavior.

1. Focus Groups
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2. What are focus groups?
A qualitative market research technique in which a sample group of
Participants, selected from a wider population, is led through a
discussion by a trained moderator about their opinions or emotional
responses to a particular topic.
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The Smart Entrepreneur

3. What are focus groups?
• Small group of people (usually 6-10) selected from the target market
• Informal & interactive group setting
• In-depth discussion about their opinions/emotional response
• Directed by a moderator to guide the discussion
• Can be done as face-to-face discussions or online conferencing
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The Smart Entrepreneur

4. Why do this exercise?
• See how your target market feel towards your product by analysing consumer
buying habits and emotional responses
• Provides a useful means of staying close to consumers and their ever-changing
attitudes
• Gain feedback and uncover new opportunities & ideas
• Expose small problems before they become large; protect from costly errors
• Lower cost compared to large-scale market research
• More flexibility to listen and probe deeper, compared to standard questionnaires
• High apparent validity (but depends on the product and the sample used – see
next slide)
• Participants feel comfortable and welcome the opportunity to talk about something
they care about
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The Smart Entrepreneur

5. Limitations to consider
• Focus group not large enough to be representative of the whole population, therefore
may need to scale down results rather than relying on them
• Validity depends on the sample (E.g. mass market customers may be less willing to
change their behaviour to adopt a new product)
• Participants may feel group pressure to conform (groupthink), especially if they know
each other
• Researcher has less control over the group than one-to-one interviews
• Observer dependency – results are influenced by the moderator asking leading
questions to influence responses
• Most conventional focus groups measure the wrong thing; They do not measure what
people think when making a purchase, they measure what people think during a
focus group. Need to have clear objectives of what you want to gain from your focus
group.
• Comments are usually more favourable than actual purchase decisions (E.g. If your
product is a “radical innovation”, participants may think it’s a good idea, but when the
product comes to the market they may be less keen to purchase it because they will
see that they have to change their usage patterns.)
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The Smart Entrepreneur

6. Selecting participants
• Think about your target market – The sample should be a representative sub-
group
• Normally 6-10 per group (larger groups are difficult for moderator to control)
• Homogenous groups are usually more effective (in terms of age, gender, product
usage etc). Therefore more than 1 group may be required
Tips for IE&D:
• You can find target participants by: contacting special interest groups, charities,
networks, support groups, clubs, local businesses (E.g. a new nappy design – talk
to a mothers and babies group)
• Social networking: Use Facebook discussion groups and networks to find
participants with similar interests
• If your project is sponsored by a company: contact your sponsor, they may be
able to provide a database of potential customers or other suggestions
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The Smart Entrepreneur

7. Moderators
• Play important role in the success of the focus group
• Should ideally be skilled and experienced
• They are not interviewers; They try to stimulate discussion while saying as little as
possible
• Prepare a few leading questions and be prepared to improvise as the discussion flows
• Make sure all topics are covered
• Try to include everyone in the discussion
• Should stop 1 or 2 people dominating the discussion
• Encourages free flow of ideas
• All questions asked should be open and neutral
• Try to interpret facial expressions, body language and group dynamics
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The Smart Entrepreneur

8. Setting
• Should encourage relaxed participation and informal, spontaneous comments
• Interactive group setting, e.g. living rooms or conference rooms, but not public
places
• Adequate size and comfortable seating
• Geographically convenient for participants
• Quiet room to prevent distractions
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The Smart Entrepreneur

9. Suggested format
• Provide introduction - welcome and set stage for discussion
• Warm-up: participants introduce themselves to feel more at ease
• Moderator asks a few lead questions to initiate open-ended discussion. If new ideas
are produced, they can improvise and ask more specific questions
• Participants may write down their reactions and then discuss them with the group
• Wrap-up stage: evaluate best concepts with strengths/weaknesses
• Close discussion by thanking participants
• Can include props: sample products, marketing material, photos
• Participants should leave feeling positive
• Can be audio or video taped for future reference
• Usually lasts 1-2 hours
Copyright of Bart Clarysse and Sabrina Kiefer
The Smart Entrepreneur

10. Online focus groups
• Recently emerged due to expansion of and video conferencing and social networking
• Types:
» Synchronously (live – chat room or online conferencing, use free chat rooms,
Skype, Facebook)
» Asynchronously (use email or mailing lists) – participants can read others’
comments and contribute at any time. However this could take longer if
people don’t respond immediately
• Generate discussion: first asked to consider a question, respond with their thoughts,
feelings, experiences and suggestions, and then react to the responses given by the
various members of the group. Ask more questions after everyone has read
comments from others
Copyright of Bart Clarysse and Sabrina Kiefer
The Smart Entrepreneur

11. Online focus groups
Advantages:
• More cost effective and efficient for small companies
• Can select participants from a wider geographical area
• Cheaper than face-to-face
• Benefit for harder to reach people – e.g. business travellers and those with little
time to spare
• Convenient and comfortable way of participating
• Demographic characteristics can be controlled
• Provides for anonymity and leads to greater openness
Drawbacks:
• Limited to participants who have internet access – therefore may not be
representative of certain target markets
• Some people may have a fear of technology. E.g. microphones, videos etc.
• Can’t observe facial expressions, therefore may not be appropriate for testing
physical products
• Not the best option if your target market lacks confidence in the internet, or if
your product relies heavily on touch/taste
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The Smart Entrepreneur

12. Example: BlackBerry 9000
• Also called BlackBerry Bold, the name was
devised from a focus group.
• Testers called it “bold and brilliant” due the
screen quality and bright colours.
• “Bold” refers to the quality of the screen.
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The Smart Entrepreneur

13. Example: Clorox Anywhere
Beware of relying entirely on focus group results
• Clorox Anywhere is a new surface spray for kitchens. It is
environmentally friendly, gentle enough to use around food
and safe for use around children.
• The product was presented at a focus group for mothers.
• Market research showed the product would be a huge
success.
• However when the product was released, consumers
thought it was “too good to be true”
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The Smart Entrepreneur

14. Conclusion
• Qualitative market research technique
• Small group, informal in-depth discussion
• Make sure to measure the right thing – have clear objectives about what you want to
find out
• Can be face-to-face or online
• Online focus groups can be “live” or by email
• Depending on the type of product, be aware that the results may not be 100%
translatable to a purchase situation (see In-market testing activity).
Copyright of Bart Clarysse and Sabrina Kiefer
The Smart Entrepreneur