abhishreshthaa
Abhijeet S
Selecting the survey method
Sampling issues
Questions
Types of questions
Dichotomous Questions
EXPERIMENTATION
Definition of Experiment
Selected Experimental Designs
• “After Only” Design.
This is the simplest of all experimental designs. As the “after only” name suggests, this design consists of applying the experimental variable (e.g. advertising) to an experimental group (e.g. consumers) and measuring the dependent variable (e.g. recall of brand name) after, and only after, the application of the experimental variable.
• “Before-After “ Design
• “Four-Group—Six Study” Design
• “After only with Control Group” Design”
Ex Post Facto Design
Continuous Diary Panel Design
Factorial Designs
SECONDARY DATA
Problems Encountered with Secondary Data
1) There is often a difference in the units of measurement. E.g. many retail decisions require detailed information on the characteristics of the population within their trade area. However, the available population statistics may focus on countries, cities or census tracts that do not match the trade area of the retail outlet.
2) The second general problem that can reduce relevancy of secondary data is the definition of classes. E.g. a manufacturer may have a product that appeals to children 8 to 12 years old. If available secondary data are based on age categories 5 to 9 and 10 to 14, the firm will have a hard time utilizing it.
3) The final major factor that is affecting relevancy is time. Generally, research problems require current, if not future, data. Most secondary data, on the other hand, have been in existence for some time. E.g. complete census reports are not available for several years. Data are frequently collected one to three years prior to its publication.
Accuracy is the second major concern of the user of secondary data. The real problem is not inaccuracy, it is the difficulty of determining how inaccurate the data is likely to be.
While using secondary data, the original source should be used if possible. This is important because, the original report is generally more complete than the second or third reports. Secondly using original source allows the data to be examined in context and may provide a better basis for assessing the competence and motivation of the collector.
Sources of Secondary Data
Internal Sources
External Sources
Numerous sources external to the firm may produce data relevant to the firm’s requirements. There are four types of general external secondary information, they are:
1) Trade associations
2) Government Agencies
3) Other published sources, and
4) Syndicated services
a) Trade Associations
b) Government agencies
- Selecting the type of survey you are going to use is one of the most critical decisions in many social research contexts.
- You have to use your judgment to balance the advantages and disadvantages of different survey types.
- Following are the issues that the researcher must look into before conducting a research.
Sampling issues
- • What data is available? What information do you have about your sample? Do you know their current addresses? Their current phone numbers? Are your contact lists up to date?
- • Can your respondents be located?
- • Who is the respondent in your study? If the specific individual is unavailable is the researcher willing to interview another?
- • Are response rates likely to be a problem?
Questions
- • What types of questions can be asked? Are they personal or require a detailed answer?
- • Can question sequence be controlled?
- • Your survey is one where you can construct in advance a reasonable sequence of questions? Or, are you doing an initial exploratory study where you may need to ask lots of follow-up questions that you can't easily anticipate
- • Cost is often the major determining factor in selecting survey type. You might prefer to do personal interviews, but can't justify the high cost of training and paying for the interviewers. You may prefer to send out an extensive mailing but can't afford the postage to do so.
- • Do you have the facilities (or access to them) to process and manage your study? In phone interviews, do you have well-equipped phone surveying facilities? For focus groups, do you have a comfortable and accessible room to host the group? Do you have the equipment needed to record and transcribe responses
- • Some types of surveys take longer than others. Do you need responses immediately (as in an overnight public opinion poll)? Have you budgeted enough time for your study to send out mail surveys and follow-up reminders, and to get the responses back by mail? Have you allowed for enough time to get enough personal interviews to justify
Types of questions
- Survey questions can be divided into two broad types: structured and unstructured
Dichotomous Questions
- When a question has two possible responses, we consider it dichotomous.
- Surveys often use dichotomous questions that ask for a Yes/No, True/False or Agree/Disagree response
EXPERIMENTATION
- Experiments are frequently conducted to determine what effect advertising of an undesirable fact would have on consumer awareness of that fact.
- Advertising was conducted, and a measurement of consumer awareness was made.
- More advertising was followed by another measurement.
- As a consistent growth in consumer awareness took place, one would have confidence in the conclusion that the advertising was effective.
- Experiments are much more effective than descriptive techniques in establishing cause-effect relationships.
Definition of Experiment
- It refers to that research process in which one or more variables are manipulated under conditions that permits the collection of data that show the effects, if any, of such variables in unconfused fashion.
- Under most circumstances, experiments must create “artificial “ situations.
- Artificiality in general is the essence of the experimental method, for it gives researchers more control over the factors they are studying.
- If they can control the factors present in a given situation, they can obtain more conclusive evidence of cause and effect relationships between any two of them.
- Thus, the ability to set up a situation for the express purpose of observing and recording accurately the effect on one factor when another is deliberately changed permits researchers to prove or disprove hypotheses that they otherwise could only partially test.
Selected Experimental Designs
- The researcher has an hypothesis that if an experimental variable (e.g. advertising, shell display, training) is applied to an experimental unit (e.g. a group of consumers, a store, some sales representatives), it will have a measurable effect (e.g. the number remembering the brand name, units sold, calls made).
- The following are most of the common designs for marketing experiments.
• “After Only” Design.
This is the simplest of all experimental designs. As the “after only” name suggests, this design consists of applying the experimental variable (e.g. advertising) to an experimental group (e.g. consumers) and measuring the dependent variable (e.g. recall of brand name) after, and only after, the application of the experimental variable.
• “Before-After “ Design
- In this design, the experiments measure the dependent variable before exposing the subjects to the experimental variable and again after exposure to the experimental variable.
- The difference between the two is considered to be a measurement of the effect of the experimental variable.
• “Four-Group—Six Study” Design
- In this case, when the investigator is obtaining information in an undisguised manner directly from persons, the “before-after with control group” design is inadequate.
- Both the experimental and control groups are apt to be influenced, and in different ways, by the “before” measurement.
- To over these difficulties, this design is established as the ideal where there is interaction between the respondent and the questioning process.
- This design helps the researchers measure the size of the “interaction” effect.
- The design has little practical value and the use of “before” measurements also creates statistical difficulties in testing the significance of results.
• “After only with Control Group” Design”
- In the “four group—six study” design, it is possible to determine the effect of the experimental variable from only two groups i.e. experimental group 2 and control group 2.
- The difference between the “before” and “after” measurements of control group 2 is the result of uncontrolled variables.
- The “before-after” design permits an analysis of the process of change, whereas the “after only” design does not.
- Thus, individual respondents can be identified and their reactions noted in a “before-after” study
- The “after only with control group” design fits many marketing problems and is easy to use. Many promotional devices can be tested this way.
- Frequently, product tests are also of the “after only with control group “ design e.g. General Motors ran such an experiment to determine the desirability of nylon cord tyres as compared to the traditional rayon cord tyres.
Ex Post Facto Design
- One variation of the “after-only” design is called the ex post facto design. This differs from the “after only” design because the experimental and control groups are selected after the experimental variables is introduced instead of before.
- One advantage is that the test subjects cannot be influenced, pro or con, toward the object be knowing they are being tested, since they are exposed to the experimental variable before being selected for the sample.
- Another advantage of this method is that it permits the experimenter to let the experimental variable be introduced realistically and to control only observations. This is useful in advertising tests, which use commercial media.
- E.g. A T.V public service announcement designed to inform consumers about the pro and cons of nuclear energy. This could be broadcast over cable T.V only, and interviewers could then determine with some objective accuracy whether a home had a cable TV or not.
Continuous Diary Panel Design
- In most marketing research experiments, the subjects (individuals, dealers) from whom information is to be obtained are selected by some sampling procedure. After the information required by the product is obtained, these subjects are not “used” again.
- In some instances, however, a sample is recruited, and information is obtained from the members continuously or at intervals over a period of time. A permanent or fixed sample of this type is called a panel. Panels are used for both exploratory and conclusive studies.
Factorial Designs
- In the above designs, a single experimental variable with usually one variable was considered. It is possible to test several “levels” of the experimental variable
- For example several different ads could be tested, each with a separate experimental group. All but one group alternatively could be considered as control groups against which to compare the experimental group, or an additional control group not exposed to any advertising could be used to protect against possible negative effects of all ads.
- Factorial designs permit the experimenter to test two or more variables at the same time and not only determine the main effects of each of the variables, but also to measure the interaction effects of variables.
SECONDARY DATA
- Secondary data are data that were developed for some purpose other than helping to solve the problem at hand. Secondary data can be gathered quickly and is inexpensive as compared to primary data.
- Even when reports or publications are ordered, the time involved is generally less than the time required to collect original data.
- A thorough search on secondary data will often provide sufficient information to resolve the problem. In some cases where the secondary data cannot solve the problem, they can often help to structure the problem and eliminate some variables from consideration.
- Or, it may be possible to utilize the secondary data in conjunction with primary data. Secondary data can provide a complete or partial solution to many problems and help in structuring other problems. They tend to cost substantially less than primary data and can be collected in less time also.
Problems Encountered with Secondary Data
- Before secondary data are applied to a particular marketing problem, their relevance and accuracy must be assessed.
- Relevancy refers to the extent to which the data fits the information needs of research problem. Even when the data covers the same general topic as that required by the research problem, they may not fit the requirements of the problem.
- Three general problem’s reduces the relevance of data that would otherwise be useful. They are:
1) There is often a difference in the units of measurement. E.g. many retail decisions require detailed information on the characteristics of the population within their trade area. However, the available population statistics may focus on countries, cities or census tracts that do not match the trade area of the retail outlet.
2) The second general problem that can reduce relevancy of secondary data is the definition of classes. E.g. a manufacturer may have a product that appeals to children 8 to 12 years old. If available secondary data are based on age categories 5 to 9 and 10 to 14, the firm will have a hard time utilizing it.
3) The final major factor that is affecting relevancy is time. Generally, research problems require current, if not future, data. Most secondary data, on the other hand, have been in existence for some time. E.g. complete census reports are not available for several years. Data are frequently collected one to three years prior to its publication.
Accuracy is the second major concern of the user of secondary data. The real problem is not inaccuracy, it is the difficulty of determining how inaccurate the data is likely to be.
While using secondary data, the original source should be used if possible. This is important because, the original report is generally more complete than the second or third reports. Secondly using original source allows the data to be examined in context and may provide a better basis for assessing the competence and motivation of the collector.
Sources of Secondary Data
- There are two general sources of secondary data – internal sources and external sources.
- Internal data are available within the firm whereas external sources provide data that are developed outside the firm.
Internal Sources
- Internal sources include sales record, sales force reports, operating statements, budgets, previous research reports and the likes.
- The most useful type of internal information is generally sales data. But, unfortunately many companies do not collect or maintain sales data in the manner that allows the researcher to tap their full potential.
- Such records, if properly utilized, allows the researcher to isolate profitable and unprofitable customers, territories, and product lines, to identify developing trends and perhaps to measure the effects of manipulations of marketing mix variables.
- Internal data must be collected in a usable format and must be analyzed to be of value. Many firms have useful but unutilized data. By changing the format of collection forms (sales invoices, salesman call reports, etc) other useful data can be often collected.
- They are available and inexpensive; internal data are the best information buy.
External Sources
Numerous sources external to the firm may produce data relevant to the firm’s requirements. There are four types of general external secondary information, they are:
1) Trade associations
2) Government Agencies
3) Other published sources, and
4) Syndicated services
a) Trade Associations
- Trade associations frequently publish or maintain detailed information on industry sales, operating characteristics, growth patterns and the like.
- They may also conduct special studies of factors relevant to their industry.
- Since trade associations have good reputation for not revealing data on individual firms as well as good working relationships with the firms in the industry, they may be able to secure information that may be unavailable to other researchers.
- These materials may be published in the form of annual reports or as special reports.
b) Government agencies
- Federal, state and local government agencies produce a massive amount of data that is of relevance to marketers.
- The federal government maintains five major agencies whose primary function is the collection and dissemination of statistical data, they are:
- a) Bureau of Census
- b) Bureau of Labor Statistics
- c) National Center for Educational Statistics
- d) National Center for Health Statistics, and
- e) Statistical Reporting Service, Department of Agriculture
- There are also a number of specialized analytic and research agencies, numerous administrative and regulatory agencies.
- These sources produce two types of data
- a) Statistics focused on people are produced. These include demographics, vital and health statistics, labor and social conditions.
- b) The second broad category focuses on economic activity – commerce, finance, agriculture and the like.
- Both types of data are widely used by business firms as an aid in decision-making.
- The data available may be standardized, such as census data, or it may be in the form of special reports. Census publications are one of the most widely used sources of secondary data.
- c) Other published Sources
- There is virtually endless array of periodicals, books, dissertations, newspapers and the like, that contain information relevant to marketing decisions.
- d) Syndicated Services
- A number of firms regularly collect data of relevance to marketers that they sell on a subscription basis. Two types of syndicated services are widely used by marketing researchers – channel information and omnibus surveys.
- Channel information is available to the firm at four levels – manufacturers, intermediaries, retailers and consumers.
- A manufacturers sales and shipment are generally available only through the firms own internal records.
- Therefore, although a firm can monitor its own activities at this level, it can only infer the output of other manufacturing firms.
- At the intermediary or wholesale level, several syndicated firms provide information on the flow of products and brands to retail outlets.
- Store audits provide data on the movement of brands through retail outlets.
- At the consumer level, consumer panels provide data on both purchasing pattern and media habits.
- Omnibus surveys collect data that are useful to a number of subscribers from a series of independent samples.