By Indeed Editorial Team Show
Published June 29, 2021 Causal research can help you assess marketing initiatives, improve internal processes and create more effective business plans. Learning how one situation affects another can help you determine the best strategies for addressing your needs. Since many industries and academic fields use causal research, it's important to develop a foundational understanding of its concepts so you can decide which aspects to use. In this article, we define causal research, discuss its core components, list its benefits, describe some examples and include some key tips. What is causal research?Causal research, sometimes referred to as explanatory research, is a type of study that evaluates whether two different situations have a cause-and-effect relationship. Since many alternative factors can contribute to cause-and-effect, researchers design experiments to collect statistical evidence of the connection between the situations. Afterward, they typically analyze the data to determine why the relationship developed, learn more about how it works and determine how it might apply to a larger context. They can also modify the circumstances of the first situation to observe any new effects on the second. Here are some key terms people use for conducting causal research:
Related: Types of Research: Definitions and Examples What are the components of causal research?To properly identify a cause-and-effect relationship, it's important to gather some data to assess whether certain conditions are true. This information can help you develop a hypothesis about the cause-and-effect relationship and produce more comprehensive results. Here are the core components of causal research: The timeline of eventsReview the timeline of the two experimental events to determine the independent and dependent variables prior to developing a hypothesis. For example, a business might observe an increase in sales over the course of three months and decide to assess what factors could have caused this change to see if they can reproduce it. After reviewing the sales data and marketing schedule, they might discover a promotional sale occurred the week before the first day of notable sales increases. The team can use this time-based information to identify whether the promotion is the independent variable that caused a change in revenue, the dependent variable. Evaluation of confounding variablesIt's important to identify any variables that could be the true source of a cause-and-effect relationship so you can achieve more accurate conclusions. For instance, an office supplies brand observes a correlation between the sale of a specific notebook brand and the fall season and initially concludes that more people buy notebooks during the fall because students purchase them for the fall semester. However, the brand launched a new advertising campaign on social media during the summer. To address their initial hypothesis, they can research data on demographics to determine whether the students or advertisement caused the increase in notebook sales. Related: What Is a Spurious Correlation? (Definition and Examples) Observation of changesTo test the validity of a cause-and-effect relationship, you can test whether the independent variable produces a change in the dependent variable. You can also adjust parameters to measure how changing the independent variable affects the dependent variable. For instance, if a marketing company seeks to validate that using digital advertising causes an increase in customer engagement, they can test print advertising to see if it produces a similar result. If they observe a decrease or an unchanged status, they can better verify the cause-and-effect relationship between digital advertising and new customer engagement. Benefits of causal researchCommon benefits of using causal research in your workplace include:
Causal research examplesAs different industries and fields may conduct causal research, it can serve many different purposes. Here are some examples of various applications of causal research: Advertising researchCompanies can use causal research to enact and study advertisement campaigns. For example, six months after a company releases a new commercial in one region, they observe a 5% increase in sales revenue. To assess whether the commercial caused the increase, they release the same commercial in randomly selected regions so they can compare sales data between regions for another six-month-long period. When the sales increase again in these regions, they can conclude that the commercial and sales have a valuable cause-and-effect relationship. Related: Research and Development: What It Is and When To Use It Customer loyalty researchCompanies can use causal research to determine the best strategies for retaining customers. They monitor interactions between associates and customers to identify cause-and-effect patterns, like a product demonstration technique leading to an increase or decrease in sales from the same customers. For instance, a company implements a new one-to-one marketing strategy for a small group of customers and observes a measurable increase in monthly subscriptions. After they receive identical results from multiple groups, they conclude that the one-to-one marketing strategy has the causal relationship they intended. Related: What Is User Research? City planning researchTown councils and other local legislators often use causal research to learn how their policy initiatives affect their communities. For instance, six months after the council expands the operation hours of the local parks, they observe a 70% increase in reports from surrounding homeowners about noise in the parks during the evening. After eliminating the possibility that a local athletics club uses the park at night to practice and conducting survey research in the community, they conclude that the change in hours caused the increase in reports. This causes them to re-address the issue. Employee productivity researchBusinesses can use causal research to measure how employees learn protocol and other skills during training sessions. For instance, a technology company holds a training session for all employees to learn a new scheduling software. Ten months later, upper management observes an increase in reports of scheduling errors, including overlapping meeting times and double-booking rooms. After examining whether the software is causing the errors, the company hosts a second training session using updated guidelines and observes a statistical decrease in reports. Food industry researchRestaurants and other food-based companies can use causal research to understand if customers are enjoying menu items more than others. For example, a candy company receives feedback from customers that a new dark chocolate product contains pieces of plastic. Since they recently changed suppliers, they decide to remove the chocolate from the shelves and replace it with products from their previous supplier. When they still receive the same feedback, they evaluate their production protocols and discover that a malfunction in the packaging machine caused the issue. Education researchLearning specialists, scholars and teachers use causal research to learn more about how policy affects students and to identify possible trends in student behaviors. For instance, a university administration realizes that more science students withdraw from their program in their third year at a 7% higher rate than any other year. They interview a randomized group of science students and discover many factors that could generate these circumstances, including components outside of the university's scope. Through an in-depth statistical analysis, researchers discover the top three factors and the administration creates a committee to address them in the future. Related: How To Calculate the Necessary Sample Size for Your Survey or Study Entertainment industry researchTelevision and film content strategists can use causal research to identify which types of media techniques and story topics most resonate with viewers. For example, a television network analyzes the viewer trends of a program that just premiered their sixth season. Using feedback surveys, they learn many viewers prefer longer scenes with more character interaction and have the writers include them in the next three episodes. During the last air date, the network observes an 8% increase in viewership. Strategists decide to further study a hypothesis that longer scenes cause a measurable increase in viewer engagement. Tips for implementing causal researchReview these tips to successfully conduct casual research:
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