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  • Writer's pictureScott Johnson

AI Use Case: Qualitative Market Research Reporting


AI and qualitative market research

In today's hyper-competitive business landscape, entrepreneurs and small business owners must make informed decisions to stay ahead of the curve. And one of the most powerful tools they can use to do so is market research. By understanding customers' needs and desires, companies can create products and services that resonate with their target audience. Artificial intelligence tools are changing the game when it comes to market research. Market research companies and small-to-medium sized businesses of all types stand to gain efficiency and effectiveness. Let's look specifically at the qualitative market research process involving focus groups. Qualitative Market Research Reporting After a focus group session, the next step is to analyze the data collected. This can be done manually, but it is time-consuming and prone to human error. Alternatively, we can use AI natural language processing to extract key themes and sentiments from the discussion. For this use case, I created a market research report based on the focus group transcript provided, using ChatGPT. Focus group transcript The results of the focus group analysis were compiled into a market research report below. The report includes:

  • Executive summary

  • Description of the research objectives

  • Findings

  • Suggestions for the client

  • Abstract

​Time required to create report: 1 hour. Research Report In the world of beauty and cosmetics, the competition is intense, with a plethora of brands vying for the attention of customers. In this landscape, it's important for companies to understand the needs and wants of their target demographic in order to remain relevant and competitive. This market research report aims to shed light on the female perception of beauty and cosmetics, specifically towards those who apply light makeup or do not regularly put on makeup. The report also aims to determine how to attract these women to purchase MAC products, a leading brand in the cosmetics industry. Through the analysis of data collected from focus groups, this report will delve into the various factors that influence the purchasing decisions of women when it comes to cosmetics. From brand reputation to product quality, and from ingredient concerns to the preference for natural and organic products, this report will provide a comprehensive overview of the female perception of beauty and cosmetics. This market research study was conducted with the objective of gaining a deeper understanding of the female demographic in Singapore, specifically targeting women who are aged between 18 and 25, belonging to the Generation Y, and regularly put on light makeup but do not own any MAC products. The study aimed to find out how to encourage these women to purchase MAC products and to determine their perception and understanding of cosmetics. The focus group consisted of six participants who fit the personal criteria defined for the study. The participants were all female, residing in Singapore, fluent in English, either studying or working, and had a basic understanding of cosmetics. The moderator for the focus group was Deanson Lee. The participants included Gina, Gladys, Yong Qi, Cheryl, Shree, and Natalie, who provided valuable insights and perspectives on their understanding and preferences related to cosmetics. The findings of the study will help MAC to better understand their target audience and design their marketing strategies accordingly. The objectives of this study are:

  1. To find out how to attract women who do not own any MAC products, specifically towards those who apply light makeup or do not regularly put on makeup, to purchase MAC products.

  2. To determine the female perception of beauty, specifically towards those who apply light makeup or do not regularly put on makeup.

  3. To determine the female perception and understanding of cosmetics, specifically towards those who apply light makeup or do not regularly put on makeup.

  4. To find out how to attract women who do not own any MAC products, who apply light makeup regularly, to purchase MAC products.

Through this report, we hope to provide valuable insights that can help guide companies in their efforts to connect with their target audience and build a loyal customer base. FINDINGS

  • Participants had a general understanding of makeup products, but some participants were not aware of some advanced makeup techniques.

Example: "I've been using makeup for a few years now, but I still feel like there's so much more to learn. I've never heard of contouring before, can you explain what that is?"

  • The participants considered various factors while purchasing makeup products such as brand reputation, price, product quality, and availability.

Example: "When I'm buying makeup, the first thing I look at is the brand. I want to make sure I'm using a reputable company. After that, I look at the price and the quality of the product. If it's affordable and good quality, then I'll buy it. Availability is also important to me."

  1. Participants were open to trying new makeup products but were cautious about using untested or unknown products.

Example: "I love trying new makeup products, but I'm always wary of using products that I've never heard of before. I like to do research and read reviews before I try anything new."

  • Most participants preferred to purchase makeup products from physical stores, as they preferred to try and test the products before buying.

Example: "I prefer to buy makeup from a store rather than online. I like to see the product in person and test it out before I make a purchase. It helps me make sure I'm getting the right shade and texture for my skin."

  • Participants were concerned about the ingredients used in makeup products and their impact on skin and health.

Example: "I'm really worried about the chemicals that are in some makeup products. I have sensitive skin, and I don't want to use anything that will irritate it or cause breakouts."

  • Participants were interested in using makeup products that have natural and organic ingredients.

Example: "I'm really interested in using makeup products that are made with natural and organic ingredients. I think it's important to take care of my skin and health, and using products that are made with fewer chemicals is a good start."

  • Participants showed a preference for makeup products that have a long-lasting effect, are easy to apply, and give a natural look.

Example: "I want my makeup to look natural, but I also want it to last all day. I don't have time to reapply, so I prefer products that are long-lasting and easy to apply. A natural look is also important to me, I don't want to look like I'm wearing a lot of makeup." FINDINGS V2 Understanding of the benefits of makeup:

  • "I use makeup to make myself feel more confident and put together."

  • "Makeup helps me hide my blemishes and enhances my natural beauty."

  • "It's a form of self-expression for me, I like trying out different looks."

Product preferences and usage:

  • "I prefer using natural and organic products for my skin."

  • "I love using liquid eyeliner for a bold look."

  • "I always use a setting spray to make my makeup last longer."

Price sensitivity:

  • "I don't mind spending a lot on high-end products if they work well for me."

  • "I look for sales and discounts before making a purchase."

  • "I prefer drugstore brands because they are budget-friendly and work just as well."

Impact of packaging on purchasing decision:

  • "I love trying out new products and the packaging is what initially draws me in."

  • "I appreciate packaging that is travel-friendly and easy to use."

  • "I usually avoid products with packaging that feels cheap or flimsy."

Importance of brand reputation:

  • "I trust well-known brands because they have a proven track record."

  • "I always look for product reviews and recommendations from friends before making a purchase."

  • "I believe in supporting cruelty-free and sustainable brands."

Impact of product shade range on purchasing decision:

  • "I won't buy a product if it doesn't have my shade."

  • "I appreciate brands that offer a wide range of shades for different skin tones."

  • "I've had trouble finding the right shade in the past and it affects my buying decision."

SUGGESTIONS FOR THE CLIENT Based on the findings of the market research study, MAC can attract women who do not own any MAC products and regularly apply light makeup by focusing on the following key points:

  1. Emphasizing brand reputation: As the participants emphasized the importance of brand reputation while purchasing makeup products, MAC should focus on maintaining a strong and positive brand image, highlighting their credibility and reliability.

  2. Highlighting product quality: Participants were interested in products that are long-lasting, easy to apply, and give a natural look. MAC should emphasize these features in their marketing and promotional activities, highlighting the quality and performance of their products.

  3. Focusing on natural and organic ingredients: Participants expressed concern about the impact of chemicals in cosmetics on their skin and health and showed a preference for products with natural and organic ingredients. MAC can tap into this trend by highlighting the use of natural and organic ingredients in their products, appealing to customers who prioritize health and wellness.

  4. Providing in-store testing opportunities: Participants preferred to purchase makeup products from physical stores, as they preferred to try and test the products before buying. MAC can create in-store testing opportunities, such as offering samples, live demonstrations, and makeover sessions, to provide customers with a hands-on experience of their products.

  5. Highlighting the benefits of makeup: Participants emphasized the importance of makeup in enhancing their natural beauty, boosting confidence, and expressing themselves. MAC can use these insights to create marketing campaigns that focus on the emotional benefits of makeup, appealing to customers' desires for self-expression and confidence.

  6. Offering a range of products and shades: Participants were cautious about using untested or unknown products. MAC can offer a range of products and shades to cater to the diverse needs and preferences of their target audience, providing customers with a sense of choice and options.

By focusing on these key points, MAC can better connect with their target audience and increase the likelihood of attracting women who apply light makeup or do not regularly put on makeup to purchase MAC products. ABSTRACT This market research report aimed to shed light on the female perception of beauty and cosmetics, particularly towards women who apply light makeup or do not regularly wear makeup. The study was conducted with a focus group of six women aged 18 to 25, residing in Singapore, who fit the personal criteria defined for the study. The participants were questioned on various aspects of their understanding and preferences related to cosmetics. The findings of the study showed that participants had a general understanding of makeup products and considered factors such as brand reputation, price, product quality, and availability when purchasing. Participants were open to trying new products but preferred to buy from physical stores and were cautious about using untested or unknown products. They were concerned about the ingredients in makeup products and their impact on skin and health, and showed a preference for natural and organic ingredients. Participants also preferred makeup products that had a long-lasting effect, were easy to apply, and gave a natural look. The findings of the study will help MAC to better understand their target audience and design their marketing strategies accordingly.




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