How To Join Focus Groups
The good news is that market research companies are always looking for people to join their programs. If you don’t already know about this good way to make some extra money, you need to get on board. Focus groups are used by companies and marketing firms to collect and analyze consumer opinion and insight on various topics. If you are a consumer of food, household products, cars, medical services and just about everything else, then you are a prime candidate for focus groups!
A focus group typically is a “live” event where you meet with a group of other consumers in a meeting room to discuss and interact about a particular product or service. This means you’ll need to have a car or reliable transportation to travel to the venue, which is almost always in a large-sized city. Recently, there has been an increase in online focus groups that allow folks who can not get out of the house or live in more rural areas to participate in the discussion. These online focus groups are set up as “webinars” or “web chats”, so you’ll need a phone line and a computer with decent Internet access.
If you are interested in participating in focus groups, you can check the websites of your favorite products to see if they have programs in place and are accepting applicants. Also, there are databases that list legitimate focus group and online surveys; surf through these and apply for membership at the ones that interest you. Participants are chosen for focus groups primarily based on demographic information (such as age and family size) and interests (such as movie-goer or snack food eater); these qualifiers revealed when you fill out the initial registration forms for each focus group site. Occasionally, you also may be sent “screeners” via email or be called on the telephone to answer a few questions before you are asked to join a focus group.
Other projects, similar to focus groups, may also come up from time to time. In addition to roundtable discussions, you may also be asked to participate in mock jurys, website evaluations, one-on-one interviews and take paid surveys. Usually these events take approximately 2 hours, although some may be shorter or longer. You will always be notified of the project details before accepting the job. Successful participation in the focus group could earn you $30 to $300 dollar based on the project and company.
Focus Group 101
Companies all over the country incorporate Focus Groups as part of a well-rounded marketing strategy. From large Fortune 500 companies to smaller start-ups, executives realize that they can uncover valuable insights about promoting their products by moderating a focus group. Understanding how this part of the marketing process works will help you better understand and seek out focus group opportunities that fit your interests.
In a nutshell, focus groups are a form of qualitative research used to capture and analyze people's perceptions, feelings and thoughts. Because these “intangibles” are difficult to measure with numbers, the open-ended and verbal format of the focus group works well. Marketers have found that focus groups are a good tool to understand the emotional factors which can drive a consumer’s behavior. Sometimes focus groups are used to gauge reactions to new product offerings or to record opinions of proposed changes to products and services. Focus group input can also be used to guide the design and development of new products and services as well has help shape the launch of a new advertising campaign.
Focus groups are typically help in a group setting at the facilitator’s office space or rented hotel space although it is becoming more and more common to see focus groups online in a webinar or chat format. The standard focus group consists of eight to twelve people that are lead by a moderator who is charged with guiding the group, making sure they stay on topic, and encouraging all the participants to interact. Participants in the focus group will be asked to answer questions of the moderator and to also comment on the feedback from other participants.
It is common for a focus group to last about 2 hours or so, give or take depending on the particular topic at hand. Your session will probably be videotaped or recorded so that marketing executives can refer back to the feedback at a later date and make sure they have your reponses noted accurately. You also may be asked to fill out a money survey about your experience. For your time and efforts, you will be compensated with a nice chunk of change – anywhere from $30 to $300 – depending on the company and project.
Market Research Big Business
Every year, Big Business in the United States spends tons of money on market research and public opinion polling --- to the tune of $6.8 billion dollars in 2005 according to Inside Research, the bible of marketing research professionals. While on a global level, these numbers grow to $18.9 billion dollars, it is clear to see what a big part of the American business cycle market research has become. Companies want to know that they are directing their resources and efforts in a way that is going to pay off with the end users, their consumers. In 2005, the annual estimate of $6,780,000 was spent in the following ways (reported as a % of the total):
29.9% Market Measurement
21.6% Media Audience Research
8.8% Stakeholder Measurement
8.2% Market Modeling
7.1% New Product / Service Development
4.8% Usage & Attitude Studies
5.5% Advertising & Brand Tracking
3.4% Qualitative / Focus Groups
3.4% Advertising Pre-Testing
2.7% Business-to-Business Studies
0.9% Omnibus / Shared Cost Surveys
0.6% Opinion Research Polling
4.0% All Other
Signing up to take surveys is a great way to have a direct influence in this huge part of the business world. Major corporations want to are want to hear your attitudes and opinions of a variety of issues, especially thoughts about any products or services they have in the works. Your honest feedback can help the executives involved in the product development or advertising divisions of business make improvements that make sense economically and improve usability and name recognition.
If you have a couple hours to spare each week, join a free database of survey sites, such as Survey Adventure, surf the listings of trustworthy survey suites, and register for the projects that interest you. Most administrators of online surveys typically send invitations to participate in various paid online surveys through email and then you can accept and complete the work in your free time. Perks vary from company to company and job to job; most participants find that taking surveys online is an easy and fun way to make extra income.
A Close Up On Focus Groups
If you are new to the world marketing research, you may have run across the term “focus group” when signing up for various paid surveys and research projects. The term “focus group” is one of those industry-specific phrases that, quite simply, means a group of consumers who are brought together to chat about various products and services. When you sign up to participate in a focus group, the meeting could be conducted in person at market research facility or online through a chat function – even through a Tweetdeck on Twitter!
There are certain things you can expect from focus groups that are a bit different that online surveys. First, if you participate in an in-person focus group, you will be hosted in a conference room like setting, often with snacks and drinks for your consideration. You can expect to be grouped with 6 to 12 other participants (or more or less depending on the project) and moderated by a professional hired to keep the event on task. The moderator will ask specific questions and the conversation will organically develop on its own; your answers will spur on comments from other participants and so on – lots of conversation is the goal of the day, so don’t be shy! Online focus groups follow a similar moderated format, only you are typing in your answers for others to see and respond to – and the snacks come out of your own fridge!
Often, at the conclusion of the focus group, you may be asked to take surveys about the product, service or event in general; this is part of the overall focus group experience. Because focus groups require more time and effort (and revolve around the client’s schedule, not yours), they generally pay quite well. Depending on the project and client company, you can expect to make anywhere from $25 to $200+ for participating in a focus group.
The Tax Man Cometh
The good news is that if you’re reading this post, you’ve hopefully earned lots of money taking online surveys. The bad news is that you may have to pay taxes on that money. Everyone is in agreement; you’re not going to get filthy, stinking rich taking surveys online, but you will earn some decent supplemental income that will help you achieve many of your financial goals. Whether you want to save up and splurge on a luxury item or are just trying to pay the monthly bills, money earned from paid surveys will get you part of the way there. However, you do need to be aware of your tax obligations created by taking online surveys before you go ahead and spend all your newly found loot.
I’m not at tax accountant, nor do I play one on TV. So, remember to take these comments for what they are, friendly advice. For the most part, when you take surveys, participate in focus groups, complete mystery shopping assignments or help out in other market research studies you are considered an Independent Contractor . This means that, although you are being compensated for your services, you are not an employee of any specific survey site or marketing firm you do business with. If you earn more than $600 from any one company, they will be obligated to report your earnings to the Federal Government from that company– which means you will owe your fair share of taxes on that amount (which of course varies by your income level). Now, say if you earn $100 from five different surveys sites, totally $500, you would not be responsible for paying any taxes.
In addition to paying federal income taxes on any money you earn by taking surveys, you will also have to do the same for any merchandise that you receive as compensation for your services or prizes won. On the W-10 form, you will need to declare those prizes and products with an estimated retail value over $600. A good rule of thumb is to follow the lead of the survey site, if they ask for your social security number and contact information for a W-10 form, this means they are planning on reporting your earnings and you should too! On the positive side, as an independent contractor, you can deduct business expenses from you annual tax return such as stamps, envelopes, even part of your Internet service fee. Please, please consult with the person who files your taxes for further elaboration of your tax burden and benefits.