MR Theory

Redefining Marketing Research
The American Marketing Association (AMA)

redefined Marketing Research as:
The function that links the consumer, the

customer, and public to the marketer
through INFORMATION
© 2007 Prentice Hall 1-1

Redefining Marketing Research
Used to identify and
define market
opportunities and
problems
Generate, refine, and
evaluate marketing
performance
Monitor marketing
performance
Improve understanding
of marketing as a
process
Definition of Marketing Research
Marketing research is the systematic and objective
 identification
 collection
 analysis
 dissemination
 and use of information
For the purpose of improving decision making related to the
 identification and
 solution of problems and opportunities in marketing.

Market Research
 Specifies the information necessary to address
these issues
 Manages and implements the data collection

process
 Analyzes the results
 Communicates the findings and their implications
 Helps managers use this information to make

decisions

Classification of Marketing Research
Problem-Identification Research
 Research undertaken to help identify problems which are
not necessarily apparent on the surface and yet exist or
are likely to arise in the future. Examples: market
potential, market share, image, market characteristics,
sales analysis, forecasting, and trends research.
Problem-Solving Research
 Research undertaken to help solve specific marketing
problems. Examples: segmentation, product, pricing,
promotion, and distribution research.

Table 1.1
SEGMENTATION RESEARCH
 Determine the basis of segmentation
 Establish market potential and
responsiveness for various
PRODUCT RESEARCH
segments
 Test concept
 Select target markets
 Determine optimal product design
 Create lifestyle profiles:
demography, media, and  Package tests
product image characteristics  Product modification
 Brand positioning and repositioning
 Test marketing
 Control score tests
Table 1.1 cont. PROMOTIONAL RESEARCH
 Optimal promotional budget
0.00% APR
 Sales promotion relationship
 Optimal promotional mix
 Copy decisions
 Media decisions
 Creative advertising testing
 Evaluation of advertising effectiveness
PRICING RESEARCH
 Pricing policies  Claim substantiation
 Importance of price in brand selection

 Product line pricing
 Price elasticity of demand $ALE
 Initiating and responding to price changes
Table 1.1 cont.
DISTRIBUTION RESEARCH
Determine…
 Types of distribution
 Attitudes of channel members
 Intensity of wholesale & resale coverage
 Channel margins
 Location of retail and wholesale outlets

Marketing Research Process
Step 1: Defining the Problem
Step 2: Developing an Approach to the Problem
Step 3: Formulating a Research Design
Step 4: Doing Field Work or Collecting Data
Step 5: Preparing and Analyzing Data
Step 6: Preparing and Presenting the Report

The Role of Marketing Research
Fig. 1.2 Customer Groups
• Consumers
• Employees
• Shareholders
• Suppliers
Uncontrollable
Controllable Environmental
Marketing Factors
Variables
Marketing • Economy
• Product
Research • Technology
• Pricing
• Laws &
• Promotion Regulations
• Distribution • Social & Cultural
Assessing Marketing Factors
Providing
Information Information Decision • Political Factors
Needs Making
Marketing Managers
• Market Segmentation
•Target Market Selection
• Marketing Programs
• Performance & Control

The Problem Definition Process
Tasks Involved
Fig. 2.1
Discussion Interviews Secondary Qualitative
with with Data Research
Decision Maker(s) Experts Analysis
Environmental Context of the Problem
Step I: Problem Definition

Management Decision Problem
Marketing Research Problem
Step II: Approach to the Problem
Analytical Specification
Objective/ Model: Verbal, Research of
Theoretical Hypotheses
Graphical, Questions Information
Foundations
Mathematical Needed
Step III: Research Design

The Problem Audit
The problem audit is a comprehensive examination of a
marketing problem with the purpose of understanding its
origin and nature.
1. The events that led to the decision that action is
needed, or the history of the problem.
2. The alternative courses of action available to the DM.
3. The criteria that will be used to evaluate the
alternative courses of action.
4. The potential actions that are likely to be suggested
based on the research findings.
5. The information that is needed to answer the DM's
questions.
6. The manner in which the DM will use each item of
information in making the decision.
7. The corporate culture as it relates to decision making.
The Seven Cs of Interaction
The interaction between the DM and

the researcher should be
Characterized by the seven Cs:
1. Communication
2. Cooperation
3. Confidence
4. Candor
5. Closeness
6. Continuity
7. Creativity
Factors to be Considered in the
Environmental Context of the Problem
Fig. 2.2
PAST INFORMATION AND FORECASTS
RESOURCES AND CONSTRAINTS
OBJECTIVES
BUYER BEHAVIOR
LEGAL ENVIROMENT
ECONOMIC ENVIROMENT
MARKETING AND TECHNOLOGICAL

SKILLS
Management Decision Problem Vs.
Management Decision Problem Marketing Research Problem
Should a new product be To determine consumer preferences

introduced? and purchase intentions for the
proposed new product.
Should the advertising To determine the effectiveness

campaign be changed? of the current advertising
campaign.
Should the price of the To determine the price elasticity

brand be increased? of demand and the impact on sales
and profits of various levels
of price changes.
Proper Definition of the Research Problem
Fig. 2.3
Broad Statement
Specific Components

Components of an Approach
 Objective/Theoretical Foundations
 Analytical Model
 Research Questions
 Hypotheses
 Specification of the Information Needed

The Role of Theory in Applied
Marketing Research
Research Task Role of Theory
1. Conceptualizing Provides a conceptual foundation and understanding of the basic processes
and identifying underlying the problem situation. These processes will suggest key dependent
key variables and independent variables.
2. Operationalizing Theoretical constructs (variables) can suggest independent and dependent
key variables variables naturally occurring in the real world.
3. Selecting a Causal or associative relationships suggested by the theory may indicate whether
research design a causal or descriptive design should be adopted.
4. Selecting a The theoretical framework may be useful in defining the population and
sample suggesting variables for qualifying respondents, imposing quotas, or stratifying
the population (see Chap. 11).
5. Analyzing and The theoretical framework (and the models, research questions and hypotheses
interpreting data based on it) guide the selection of a data analysis strategy and the interpretation
of results (see Chap. 14).
6. Integrating The findings obtained in the research project can be interpreted in the light of
findings previous research and integrated with the existing body of knowledge.

Models
An analytical model is a set of variables and

their interrelationships designed to represent, in
whole or in part, some real system or process.
In verbal models, the variables and their

relationships are stated in prose form. Such
models may be mere restatements of the main
tenets of a theory.

Graphical Models
Graphical models are visual. They are used to
isolate variables and to suggest directions of
relationships but are not designed to provide
numerical results.
Awareness
Understanding: Evaluation
Preference
Patronage
Mathematical Models
Mathematical models explicitly specify the
relationships among variables, usually in
equation form.
n
y = a0
+ a x
i i
=1
i
Where
y = degree of preference
a ,a 0 i = model parameters to be estimated

statistically

Development of Research
Questions and Hypotheses
Fig. 2.4
Components of the
Objective/
Theoretical
Framework
Research Questions
Analytical
Model
Hypotheses

Research Questions and Hypotheses
 Research questions (RQs) are refined

statements of the specific components of the
problem.
 A hypothesis (H) is an unproven statement

or proposition about a factor or phenomenon
that is of interest to the researcher. Often, a
hypothesis is a possible answer to the research
question.

Research Design: Definition
 A research design is a framework or blueprint
for conducting the marketing research project.
It details the procedures necessary for obtaining
the information needed to structure or solve
marketing research problems.

A Classification of Marketing Research
Designs
Fig. 3.1
Research Design
Exploratory Conclusive
Research Design Research Design
Descriptive Causal
Research Research
Cross-Sectional Longitudinal
Design Design
Single Cross- Multiple Cross-

Sectional Design Sectional Design
Exploratory & Conclusive Research
Differences
Table 3.1
Exploratory Conclusive
Objective: To provide insights and To test specific hypotheses and
understanding. examine relationships.
Character- Information needed is defined Information needed is clearly

istics: only loosely. Research process is defined. Research process is formal
flexible and unstructured. and structured. Sample is large and
Sample is small and non- representative. Data analysis is
representative. Analysis of quantitative.
primary data is qualitative.
Findings/ Tentative. Conclusive.

Results:
Outcome: Generally followed by further Findings used as input into decision

exploratory or conclusive making.
research.
A Comparison of Basic
Research Designs
Table 3.2
Exploratory Descriptive Causal
Objective: Discovery of ideas Describe market Determine cause
and insights characteristics or and effect
functions relationships
Characteristics: Flexible, versatile Marked by the prior Manipulation of

formulation of specific one or more
hypotheses independent
variables
Often the front end Preplanned and
of total research structured design Control of other
design mediating
variables
Expert surveys Secondary data:
Methods: Pilot surveys quantitative analysis Experiments
Secondary data: Surveys
qualitative analysis Panels
Qualitative research Observation and other
© 2007 Prentice Hall data 1-27
Alternative Research Designs
Exploratory
Research
(a) •Secondary Data Conclusive Research
Analysis •Descriptive/Causal
•Focus Groups
(b) Conclusive Research

•Descriptive/Causal
Exploratory
(c) Conclusive Research Research
•Descriptive/Causal •Secondary Data
Analysis
•Focus Groups
A Classification of Qualitative
Research Procedures
Fig. 5.2
Qualitative Research
Procedures
Direct (Non- Indirect

disguised) (Disguised)
Projective
Depth Interviews Techniques
Focus Groups
Association Completion Construction Expressive

Techniques Techniques Techniques Techniques

Characteristics of Focus Groups
Table 5.2
Group Size 8-12
Group Composition Homogeneous, respondents,

prescreened
Physical Setting Relaxed, informal atmosphere
Time Duration 1-3 hours
Recording Use of audiocassettes and

videotapes
Moderator Observational, interpersonal, and

communication skills of the
moderator
Key Qualifications of Focus Group
Moderators
1. Kindness with firmness: The moderator must combine a
disciplined detachment with understanding empathy so as
to generate the necessary interaction.
2. Permissiveness: The moderator must be permissive yet
alert to signs that the group’s cordiality or purpose is
disintegrating.
3. Involvement: The moderator must encourage and
stimulate intense personal involvement.
4. Incomplete understanding: The moderator must
encourage respondents to be more specific about
generalized comments by exhibiting incomplete
understanding.
Key Qualifications of Focus Group
Moderators, cont.
5. Encouragement: The moderator must encourage
unresponsive members to participate.
6. Flexibility: The moderator must be able to improvise

and alter the planned outline amid the distractions of
the group process.
7. Sensitivity: The moderator must be sensitive enough

to guide the group discussion at an intellectual as well
as emotional level.

Procedure for Planning and Conducting
Focus Groups
Fig. 5.3
Determine the Objectives and Define the Problem
Specify the Objectives of Qualitative Research
State the Objectives/Questions to be Answered by Focus Groups
Write a Screening Questionnaire
Develop a Moderator’s Outline
Conduct the Focus Group Interviews
Review Tapes and Analyze the Data
Summarize the Findings and Plan Follow-Up Research or Action

Variations in Focus Groups
 Two-way focus group. This allows one
target group to listen to and learn from a
related group. For example, a focus group
of physicians viewed a focus group of
arthritis patients discussing the treatment
they desired.
 Dual-moderator group. A focus group

conducted by two moderators: One
moderator is responsible for the smooth
flow of the session, and the other ensures
Variations in Focus Groups
 Respondent-moderator group. The
moderator asks selected participants to
play the role of moderator temporarily to
improve group dynamics.
 Client-participant groups. Client
personnel are identified and made part of
the discussion group.
 Mini groups. These groups consist of a
moderator and only 4 or 5 respondents.
Advantages of Focus Groups
1. Synergism
2. Snowballing
3. Stimulation
4. Security
5. Spontaneity
6. Serendipity
7.
Specialization
Disadvantages of
Focus Groups
1. Misuse
2. Misjudge
3. Moderation
4. Messy
5. Misrepresent
Online Versus Traditional Focus Groups
Table 5.3
Characteristic Online Focus Groups Traditional Focus Groups
Group size 4-6 8-12
Group composition Anywhere in the world Drawn from the local area
Time duration 1-1.5 hours 1-3 hours
Physical setting Researcher has little control Under the control of the researcher
Respondent identity Difficult to verify Can be easily verified
Respondent attentiveness Respondents can engage in other tasks Attentiveness can be monitored

Table 5.3, cont.
Respondent recruiting Easier. Can be recruited online, e-mail, Recruited by traditional means
panel, or by traditional means (telephone, mail, mail panel)
Group dynamics Limited Synergistic, snowballing

(bandwagon) effect
Openness of respondents Respondents are more candid Respondents are candid, except for
due to lack of face-to-face contact sensitive topics
Nonverbal communication Body language cannot be observed Body language and emotions
Emotions expressed by using symbols observed
Use of physical stimuli Limited to those that can be displayed A variety of stimuli (products,
on the Internet advertising demonstrations, etc.)
can be used

Table 5.3, cont.
Transcripts Available immediately Time consuming and expensive to
obtain
Observers’ communication Observers can communicate with the Observers can manually send notes
with moderator the moderator on a split-screen to the focus group room
Unique moderator skills Typing, computer usage, familiarity Observational

with chat room slang
Turnaround time Can be set up and completed Takes many days for setup and
in a few days completion
Client travel costs None Can be expensive
Basic focus group costs Much less expensive More expensive: facility rental,
food, taping, transcript preparation

Depth Interview Techniques:
Laddering
In laddering, the line of questioning proceeds from product
characteristics to user characteristics. This technique allows the
researcher to tap into the consumer's network of meanings.
Wide body aircrafts (product characteristic)
I can get more work done
I accomplish more
I feel good about myself (user characteristic)
Advertising theme: You will feel good about yourself when flying
our airline. “You're The Boss.”
Hidden Issue Questioning
In hidden issue questioning, the focus is

not on socially shared values but rather on
personal “sore spots;” not on general
lifestyles but on deeply felt personal
concerns.
fantasies, work lives, and social lives
historic, elite, “masculine-camaraderie,”

Symbolic Analysis
Symbolic analysis attempts to analyze the
symbolic meaning of objects by comparing
them with their opposites. The logical
opposites of a product that are investigated
are: non-usage of the product, attributes of
an imaginary “non-product,” and opposite
types of products.
“What would it be like if you could no longer

use airplanes?”
Definition of Projective Techniques
 An unstructured, indirect form of

questioning that encourages
respondents to project their
underlying motivations, beliefs,
attitudes or feelings regarding the
issues of concern.
 In projective techniques, respondents
are asked to interpret the behavior of
others.
Word Association
In word association, respondents are
presented with a list of words, one at a
time, and asked to respond to each with
the first word that comes to mind. The
words of interest, called test words, are
interspersed throughout the list which also
contains some neutral, or filler words to
disguise the purpose of the study.
Responses are analyzed by calculating:
(1) the frequency with which any word is
given as a response;
Completion Techniques
In sentence completion, respondents are given incomplete
sentences and asked to complete them. Generally, they are
asked to use the first word or phrase that comes to mind.
A person who shops at Sears is ______________________
A person who receives a gift certificate good for Sak's Fifth

Avenue would be __________________________________
J. C. Penney is most liked by _________________________
When I think of shopping in a department store, I ________
A variation of sentence completion is paragraph completion, in

which the respondent completes a paragraph beginning with the
stimulus phrase.
Completion Techniques
In story completion, respondents
are given part of a story – enough to
direct attention to a particular topic
but not to hint at the ending. They
are required to give the conclusion in
their own words.

Construction Techniques
With a picture response, the
respondents are asked to describe a
series of pictures of ordinary as well as
unusual events. The respondent's
interpretation of the pictures gives
indications of that individual's
personality.
In cartoon tests, cartoon characters

are shown in a specific situation related
to the problem. The respondents are
Expressive Techniques
In expressive techniques, respondents
are presented with a verbal or visual
situation and asked to relate the feelings
and attitudes of other people to the
situation.
Role playing Respondents are asked to

play the role or assume the behavior of
someone else.
Advantages of Projective
Techniques
 They may elicit responses that
subjects would be unwilling or unable
to give if they knew the purpose of
the study.
 Helpful when the issues to be

addressed are personal, sensitive, or
subject to strong social norms.
Disadvantages of Projective
Techniques
 Suffer from many of the disadvantages of
unstructured direct techniques, but to a
greater extent.
 Require highly-trained interviewers.
 Skilled interpreters are also required to
analyze the responses.
 There is a serious risk of interpretation
bias.
Comparison of Focus Groups, Depth
Interviews, and Projective Techniques
Table 5.5
Criteria Focus Depth Projective

Groups Interviews Techniques
1. Degree of Structure Relatively high Relatively medium Relatively low
2. Probing of individual Low High Medium
respondents
3. Moderator bias Relatively medium Relatively high Low to high
4. Interpretation bias Relatively low Relatively medium Relatively high
5. Uncovering Low Medium to high High
subconscious
information
6. Discovering innovative High Medium Low
information
Low Medium High
7. Obtaining sensitive
information
No To a limited Yes
8. Involve unusual behavior
extent
or questioning
Highly useful Useful Somewhat
9. Overall usefulness useful

A Classification of Survey Methods
Fig. 6.1
Survey
Methods
Telephone Personal Mail Electronic
In-Home Mall Computer-Assisted Internet

E-mail
Intercept Personal
Interviewing
Traditional Computer-Assisted
Mail Mail
Telephone Telephone
Interview Panel
Interviewing
Primary Scales of Measurement
Fig. 8.1
Scale
Nominal Numbers Finish
Assigned
7 8 3
to Runners
Ordinal Rank Order Finish

of Winners
Third Second First
place place place
Interval Performance
Rating on a 8.2 9.1 9.6
0 to 10 Scale
Ratio Time to 15.2 14.1 13.4

Finish, in
© 2007 Prentice Hall Seconds 1-54
Primary Scales of Measurement
Table 8.1
Scale Basic Common Marketing Permissible Statistics
Characteristics Examples Examples Descriptive Inferential
Nominal Numbers identify Social Security Brand nos., store Percentages, Chi-square,
& classify objects nos., numbering types mode binomial test
of football players
Ordinal Nos. indicate the Quality rankings, Preference Percentile, Rank-order
relative positions rankings of teams rankings, market median correlation,
of objects but not in a tournament position, social Friedman
the magnitude of class ANOVA
differences
between them
Interval Differences Temperature Attitudes, Range, mean, Product-
between objects (Fahrenheit) opinions, index standard moment
Ratio Zero point is fixed, Length, weight Age, sales, Geometric Coefficient of
ratios of scale income, costs mean, harmonic variation
values can be mean
compared

A Classification of Scaling Techniques
Figure 8.2
Scaling Techniques
Comparative Noncomparative
Scales Scales
Paired Rank Constant Q-Sort and Continuous Itemized

Comparison Order Sum Other Rating Scales Rating Scales
Procedures
Likert Semantic Stapel

Differential
A Comparison of Scaling
Techniques
 Comparative scales involve the direct comparison of

stimulus objects. Comparative scale data must be
interpreted in relative terms and have only ordinal or
rank order properties.
 In noncomparative scales, each object is scaled

independently of the others in the stimulus set. The
resulting data are generally assumed to be interval or
ratio scaled.

Comparative Scaling Techniques
Paired Comparison Scaling
 A respondent is presented with two objects and
asked to select one according to some criterion.
 The data obtained are ordinal in nature.
 Paired comparison scaling is the most widely-used
comparative scaling technique.
 With n brands, [n(n - 1) /2] paired comparisons are
required.
 Under the assumption of transitivity, it is possible to
convert paired comparison data to a rank order.
Rank Order Scaling
 Respondents are presented with several objects

simultaneously and asked to order or rank them
according to some criterion.
 It is possible that the respondent may dislike the brand
ranked 1 in an absolute sense.
 Furthermore, rank order scaling also results in ordinal
data.
 Only (n - 1) scaling decisions need be made in rank
order scaling.

Constant Sum Scaling
 Respondents allocate a constant sum of units, such as

100 points to attributes of a product to reflect their
importance.
 If an attribute is unimportant, the respondent assigns it
zero points.
 If an attribute is twice as important as some other
attribute, it receives twice as many points.
 The sum of all the points is 100. Hence, the name of
the scale.
Noncomparative Scaling Techniques
 Respondents evaluate only one object at a time, and for

this reason non-comparative scales are often referred to
as monadic scales.
 Non-comparative techniques consist of continuous and

itemized rating scales.

Continuous Rating Scale
Respondents rate the objects by placing a mark at the appropriate position
on a line that runs from one extreme of the criterion variable to the other.
The form of the continuous scale may vary considerably.
How would you rate Sears as a department store?

Version 1
Probably the worst - - - - - - -I - - - - - - - - - - - - - - - - - - - - - - Probably the best
Version 2
Probably the worst - - - - - - -I - - - - - - - - - - - - - - - - - - - - - --Probably the best
0 10 20 30 40 50 60 70 80 90 100
Version 3
Very bad Neither good Very good
nor bad
Probably the worst - - - - - - -I - - - - - - - - - - - - - - - - - - - - ---Probably the best
0 10 20 30 40 50 60 70 80 90 100
Itemized Rating Scales
 The respondents are provided with a scale that has a

number or brief description associated with each
category.
 The categories are ordered in terms of scale position,

and the respondents are required to select the specified
category that best describes the object being rated.
 The commonly used itemized rating scales are the

Likert, semantic differential, and Stapel scales.

Likert Scale
The Likert scale requires the respondents to indicate a degree of agreement or
disagreement with each of a series of statements about the stimulus objects.
Strongly Disagree Neither Agree Strongly

disagree agree nor agree
disagree
1. Sears sells high quality merchandise. 1 2X 3 4 5
2. Sears has poor in-store service. 1 2X 3 4 5
3. I like to shop at Sears. 1 2 3X 4 5
 The analysis can be conducted on an item-by-item basis (profile analysis), or a

total (summated) score can be calculated.
 When arriving at a total score, the categories assigned to the negative

statements by the respondents should be scored by reversing the scale.

Semantic Differential Scale
The semantic differential is a seven-point rating scale with end
points associated with bipolar labels that have semantic meaning.
SEARS IS:
Powerful --:--:--:--:-X-:--:--: Weak
Unreliable --:--:--:--:--:-X-:--: Reliable
Modern --:--:--:--:--:--:-X-: Old-fashioned
 The negative adjective or phrase sometimes appears at the left
side of the scale and sometimes at the right.
 This controls the tendency of some respondents, particularly
those with very positive or very negative attitudes, to mark the
right- or left-hand sides without reading the labels.
 Individual items on a semantic differential scale may be scored
on either a -3 to +3 or a 1 to 7 scale.
A Semantic Differential Scale for Measuring
Self- Concepts, Person Concepts, and Product
Concepts
1) Rugged :---:---:---:---:---:---:---: Delicate
2) Excitable :---:---:---:---:---:---:---: Calm
3) Uncomfortable :---:---:---:---:---:---:---: Comfortable
4) Dominating :---:---:---:---:---:---:---: Submissive
5) Thrifty :---:---:---:---:---:---:---: Indulgent
6) Pleasant :---:---:---:---:---:---:---: Unpleasant
7) Contemporary :---:---:---:---:---:---:---: Obsolete
8) Organized :---:---:---:---:---:---:---: Unorganized
9) Rational :---:---:---:---:---:---:---: Emotional
10) Youthful :---:---:---:---:---:---:---: Mature
11) Formal :---:---:---:---:---:---:---: Informal
12) Orthodox :---:---:---:---:---:---:---: Liberal
13) Complex :---:---:---:---:---:---:---: Simple
14) Colorless :---:---:---:---:---:---:---: Colorful
15) Modest :---:---:---:---:---:---:---: Vain

Stapel Scale
The Stapel scale is a unipolar rating scale with ten categories
numbered from -5 to +5, without a neutral point (zero). This scale
is usually presented vertically.
SEARS
+5 +5
+4 +4
+3 +3
+2 +2X
+1 +1
HIGH QUALITY POOR SERVICE
-1 -1
-2 -2
-3 -3
-4X -4
-5 -5
The data obtained by using a Stapel scale can be analyzed in the
same way as semantic differential data.
Basic Noncomparative Scales
Table 9.1
Scale Basic Examples Advantages Disadvantages

Characteristics
Continuous Place a mark on a Reaction to Easy to construct Scoring can be

Rating continuous line TV cumbersome
Scale commercials unless
computerized
Itemized Rating Scales
Likert Scale Degrees of Measurement Easy to construct, More

agreement on a 1 of attitudes administer, and time-consuming
(strongly disagree) understand
to 5 (strongly agree)
scale
Semantic Seven - point scale Brand, Versatile Controversy as

Differential with bipolar labels product, and to whether the
company data are interval
images
Stapel Unipolar ten - point Measurement Easy to construct, Confusing and

Scale scale, - 5 to +5, of attitudes administer over difficult to apply
witho ut a neutral and images telephone
point (zero)

Some Commonly Used Scales in
Marketing
Table 9.3
CONSTRUCT SCALE DESCRIPTORS
Attitude Very Bad Bad Neither Bad Nor Good Good Very Good
Importance Not all All Important Not Important Neutral Important Very Important
Satisfaction Very Dissatisfied Dissatisfied Neither Dissat Nor Satisfied Satisfied Very Satisfied
Purchase Intent Definitely will Not Buy Probably Will Not Buy Might or Might Not Buy Probably Will Buy Definitely Will Buy
Purchase Freq Never Rarely Sometimes Often Very Often

Development of a Multi-item Scale
Fig. 9.4
Develop Theory
Generate Initial Pool of Items: Theory, Secondary Data, and

Qualitative Research
Select a Reduced Set of Items Based on Qualitative Judgement
Collect Data from a Large Pretest Sample
Statistical Analysis
Develop Purified Scale
Collect More Data from a Different Sample
Evaluate Scale Reliability, Validity, and Generalizability
Final Scale
Scale Evaluation
Fig. 9.5
Scale Evaluation
Reliability Validity Generalizability
Test/ Alternative Internal

Content Criterion Construct
Retest Forms Consistency
Convergent Discriminant Nomological

Measurement Accuracy
The true score model provides a framework for
understanding the accuracy of measurement.
XO = XT + XS + XR
where
XO = the observed score or measurement

XT = the true score of the characteristic
XS = systematic error
XR = random error

Questionnaire Design Process
Fig. 10.1
Specify the Information Needed
Specify the Type of Interviewing Method
Determine the Content of Individual Questions
Design the Question to Overcome the Respondent’s Inability and

Unwillingness to Answer
Decide the Question Structure
Determine the Question Wording
Arrange the Questions in Proper Order
Identify the Form and Layout
Reproduce the Questionnaire
Eliminate Bugs by Pre-testing

Sample Vs. Census
Table 11.1
Conditions Favoring the Use of
Type of Study Sample Census
1. Budget Small Large
2. Time available Short Long
3. Population size Large Small
4. Variance in the characteristic Small Large
5. Cost of sampling errors Low High
6. Cost of nonsampling errors High Low
7. Nature of measurement Destructive Nondestructive
8. Attention to individual cases Yes No

The Sampling Design Process
Fig. 11.1
Define the Population
Determine the Sampling Frame
Select Sampling Technique(s)
Determine the Sample Size
Execute the Sampling Process

Define the Target Population
The target population is the collection of elements or
objects that possess the information sought by the
researcher and about which inferences are to be made.
The target population should be defined in terms of
elements, sampling units, extent, and time.
 An element is the object about which or from which

the information is desired, e.g., the respondent.
 A sampling unit is an element, or a unit containing
the element, that is available for selection at some
stage of the sampling process.
 Extent refers to the geographical boundaries.
 Time is the time period under consideration.

Define the Target Population
Important qualitative factors in determining the
sample size are:
 the importance of the decision

 the nature of the research
 the number of variables
 the nature of the analysis
 sample sizes used in similar studies
 incidence rates
 completion rates
 resource constraints

Sample Sizes Used in Marketing
Research Studies
Table 11.2
Type of Study Minimum Size Typical Range
Problem identification research 500 1,000-2,500

(e.g. market potential)
Problem-solving research (e.g. 200 300-500
pricing)
Product tests 200 300-500
Test marketing studies 200 300-500
TV, radio, or print advertising (per 150 200-300

commercial or ad tested)
Test-market audits 10 stores 10-20 stores
Focus groups 2 groups 6-15 groups

Classification of Sampling Techniques
Fig. 11.2
Sampling Techniques
Nonprobability Probability
Sampling Techniques Sampling Techniques
Convenience Judgmental Quota Snowball

Sampling Sampling Sampling Sampling
Simple Random Systematic Stratified Cluster Other Sampling

Sampling Sampling Sampling Sampling Techniques

Convenience Sampling
Convenience sampling attempts to obtain a

sample of convenient elements. Often, respondents
are selected because they happen to be in the right
place at the right time.
 use of students, and members of social

organizations
 mall intercept interviews without qualifying the
respondents
 department stores using charge account lists
 “people on the street” interviews

A Graphical Illustration of
Convenience Sampling
Fig. 11.3
A B C D E
Group D happens to
assemble at a
1 6 11 16 21
convenient time and
place. So all the
2 7 12 17 22 elements in this
Group are selected.
The resulting sample
3 8 13 18 23 consists of elements
16, 17, 18, 19 and 20.
Note, no elements are
4 9 14 19 24
selected from group
A, B, C and E.
5 10 15 20 25

Judgmental Sampling
Judgmental sampling is a form of convenience

sampling in which the population elements are
selected based on the judgment of the researcher.
 test markets
 purchase engineers selected in industrial
marketing research
 bellwether precincts selected in voting behavior
research
 expert witnesses used in court

Graphical Illustration of Judgmental
Sampling
Fig. 11.3
A B C D E
The researcher considers

groups B, C and E to be
1 6 11 16 21
typical and convenient.
Within each of these
groups one or two
2 7 12 17 22
elements are selected
based on typicality and
convenience. The
3 8 13 18 23
resulting sample
consists of elements 8,
4 9 14 19
10, 11, 13, and 24. Note,
24
no elements are selected
from groups A and D.
5 10 15 20 25

Quota Sampling
Quota sampling may be viewed as two-stage restricted judgmental
sampling.
 The first stage consists of developing control categories, or quotas,

of population elements.
 In the second stage, sample elements are selected based on
convenience or judgment.
Population Sample
composition composition
Control
Characteristic Percentage Percentage Number
Sex
Male 48 48 480
Female 52 52 520
____ ____ ____
100 100 1000
Quota Sampling
Fig. 11.3
A B C D E
A quota of one
element from each
1 11 16 21 group, A to E, is
6
imposed. Within each
group, one element is
2 7 12 17 22
selected based on
judgment or
convenience. The
3 8 13 18 23 resulting sample
consists of elements
3, 6, 13, 20 and 22.
4 9 14 19 24 Note, one element is
selected from each
column or group.
5 10 15 20 25

Snowball Sampling
In snowball sampling, an initial group of

respondents is selected, usually at random.
 After being interviewed, these respondents are

asked to identify others who belong to the target
population of interest.
 Subsequent respondents are selected based on

the referrals.

Snowball Sampling
Random
Selection Referrals
A B C D E
Elements 2 and 9 are
selected randomly
1 6 11 16 21
from groups A and B.
Element 2 refers
elements 12 and 13.
2 7 12 17 22
Element 9 refers
element 18. The
3 8 13 18 23 resulting sample
consists of elements
2, 9, 12, 13, and 18.
4 9 14 19 24
Note, there are no
element from group E.
5 10 15 20 25
Simple Random Sampling
 Each element in the population has a known and

equal probability of selection.
 Each possible sample of a given size (n) has a

known and equal probability of being the sample
actually selected.
 This implies that every element is selected

independently of every other element.

Simple Random Sampling
Fig. 11.4
A B C D E
Select five
1 6 11 16 21 random numbers
from 1 to 25. The
2 12 17 22
resulting sample
7
consists of
population
3 8 13 18 23 elements 3, 7, 9,
16, and 24. Note,
there is no
4 9 14 19 24
element from
Group C.
5 10 15 20 25
Systematic Sampling
 The sample is chosen by selecting a random starting

point and then picking every ith element in
succession from the sampling frame.
 The sampling interval, i, is determined by dividing the

population size N by the sample size n and rounding
to the nearest integer.
 When the ordering of the elements is related to the

characteristic of interest, systematic sampling
increases the representativeness of the sample.

Systematic Sampling
 If the ordering of the elements produces a cyclical

pattern, systematic sampling may decrease the
representativeness of the sample.
For example, there are 100,000 elements in the

population and a sample of 1,000 is desired. In this
case the sampling interval, i, is 100. A random
number between 1 and 100 is selected. If, for
example, this number is 23, the sample consists of
elements 23, 123, 223, 323, 423, 523, and so on.

Systematic Sampling
Fig. 11.4
A B C D E
Select a random
number between 1 to
1 6 11 16 21
5, say 2.
The resulting sample
2 7 12 17 22 consists of
population 2,
(2+5=) 7, (2+5x2=) 12,
3 8 13 18 23
(2+5x3=)17, and
(2+5x4=) 22. Note, all
4 9 14 19 24
the elements are
selected from a
single row.
5 10 15 20 25

Stratified Sampling
 A two-step process in which the population is
partitioned into subpopulations, or strata.
 The strata should be mutually exclusive and collectively

exhaustive in that every population element should be
assigned to one and only one stratum and no population
elements should be omitted.
 Next, elements are selected from each stratum by a

random procedure, usually SRS.
 A major objective of stratified sampling is to increase

precision without increasing cost.
Stratified Sampling
 The elements within a stratum should be as

homogeneous as possible, but the elements in
different strata should be as heterogeneous as
possible.
 The stratification variables should also be closely

related to the characteristic of interest.
 Finally, the variables should decrease the cost of

the stratification process by being easy to measure
and apply.

Stratified Sampling
 In proportionate stratified sampling, the size of

the sample drawn from each stratum is proportionate
to the relative size of that stratum in the total
population.
 In disproportionate stratified sampling, the size

of the sample from each stratum is proportionate to
the relative size of that stratum and to the standard
deviation of the distribution of the characteristic of
interest among all the elements in that stratum.

Stratified Sampling
Fig. 11.4
A B C D E
Randomly select a
1 6 11 16 21
number from 1 to 5
for each stratum, A to
E. The resulting
2 7 12 17 22
sample consists of
population elements
3 8 13 18 23 4, 7, 13, 19 and 21.
Note, one element
is selected from each
4 9 14 19 24
column.
5 10 15 20 25
Cluster Sampling
 The target population is first divided into mutually

exclusive and collectively exhaustive subpopulations,
or clusters.
 Then a random sample of clusters is selected, based

on a probability sampling technique such as SRS.
 For each selected cluster, either all the elements are

included in the sample (one-stage) or a sample of
elements is drawn probabilistically (two-stage).

Cluster Sampling
 Elements within a cluster should be as

heterogeneous as possible, but clusters themselves
should be as homogeneous as possible. Ideally,
each cluster should be a small-scale representation
of the population.
 In probability proportionate to size sampling,

the clusters are sampled with probability
proportional to size. In the second stage, the
probability of selecting a sampling unit in a selected
cluster varies inversely with the size of the cluster.

Cluster Sampling (2-Stage)
Fig. 11.4
A B C D E
Randomly select 3
clusters, B, D and E.
1 6 11 16 21
Within each cluster,
randomly select one
2 7 12 17 22 or two elements. The
resulting sample
consists of
3 8 13 18 23 population elements
7, 18, 20, 21, and 23.
4 9 14 19 24 Note, no elements
are selected from
clusters A and C.
5 10 15 20 25
Types of Cluster Sampling
Fig 11.5
Cluster Sampling
One-Stage Two-Stage Multistage

Sampling Sampling Sampling
Simple Cluster Probability

Sampling Proportionate
to Size Sampling

Strengths and Weaknesses of
Basic Sampling Techniques
Table 11.3
Technique Strengths Weaknesses
Nonprobability Sampling Least expensive, least Selection bias, sample not
Convenience sampling time-consuming, most representative, not recommended for
convenient descriptive or causal research
Judgmental sampling Low cost, convenient, Does not allow generalization,
not time-consuming subjective
Quota sampling Sample can be controlled Selection bias, no assurance of
for certain characteristics representativeness
Snowball sampling Can estimate rare Time-consuming
characteristics
Probability sampling Easily understood, Difficult to construct sampling

Simple random sampling results projectable frame, expensive, lower precision,
(SRS) no assurance of representativeness.
Systematic sampling Can increase Can decrease representativeness
representativeness,
easier to implement than
SRS, sampling frame not
necessary
Stratified sampling Include all important Difficult to select relevant
subpopulations, stratification variables, not feasible to
precision stratify on many variables, expensive
Cluster sampling Easy to implement, cost Imprecise, difficult to compute and
effective interpret results

A Classification of Internet Sampling
Fig. 11.6
Internet Sampling
Online Intercept Recruited Online Other Techniques

Sampling Sampling
Nonrandom Random Panel Nonpanel
Recruited Opt-in Opt-in List

Panels Panels Rentals

Choosing Nonprobability Vs.
Probability Sampling
Table 11.4
Conditions Favoring the Use of
Factors Nonprobability Probability
sampling sampling
Nature of research Exploratory Conclusive
Relative magnitude of sampling Nonsampling Sampling

and nonsampling errors errors are errors are
larger larger
Variability in the population Homogeneous Heterogeneou

(low) s (high)
Statistical considerations Unfavorable Favorable
Operational considerations Favorable Unfavorable

MR Theory

Transféré par

Informations du document

Copyright

Formats disponibles

Partager ce document

Partager ou intégrer le document

Options de partage

Avez-vous trouvé ce document utile ?

Ce contenu est-il inapproprié ?

Droits d'auteur :

Formats disponibles

MR Theory

Transféré par

Droits d'auteur :

Formats disponibles

Redefining Marketing Research

The American Marketing Association (AMA)

The function that links the consumer, the

© 2007 Prentice Hall 1-1

© 2007 Prentice Hall 1-3

 Manages and implements the data collection

 Analyzes the results

 Communicates the findings and their implications

 Helps managers use this information to make

© 2007 Prentice Hall 1-4

© 2007 Prentice Hall 1-5

 Importance of price in brand selection

© 2007 Prentice Hall 1-8

Step 2: Developing an Approach to the Problem

Step 3: Formulating a Research Design

Step 4: Doing Field Work or Collecting Data

Step 5: Preparing and Analyzing Data

Step 6: Preparing and Presenting the Report

© 2007 Prentice Hall 1-9

© 2007 Prentice Hall 1-10

Environmental Context of the Problem

Step I: Problem Definition

Marketing Research Problem

Step II: Approach to the Problem

Step III: Research Design

The interaction between the DM and

PAST INFORMATION AND FORECASTS

RESOURCES AND CONSTRAINTS

MARKETING AND TECHNOLOGICAL

Should a new product be To determine consumer preferences

Should the advertising To determine the effectiveness

Should the price of the To determine the price elasticity

Marketing Research Problem

© 2007 Prentice Hall 1-16

© 2007 Prentice Hall 1-17

© 2007 Prentice Hall 1-18

An analytical model is a set of variables and

In verbal models, the variables and their

© 2007 Prentice Hall 1-19

a ,a 0 i = model parameters to be estimated

© 2007 Prentice Hall 1-21

© 2007 Prentice Hall 1-22

 Research questions (RQs) are refined

 A hypothesis (H) is an unproven statement

© 2007 Prentice Hall 1-23

© 2007 Prentice Hall 1-24

Single Cross- Multiple Cross-

Character- Information needed is defined Information needed is clearly

Findings/ Tentative. Conclusive.

Outcome: Generally followed by further Findings used as input into decision

Characteristics: Flexible, versatile Marked by the prior Manipulation of

(b) Conclusive Research

Direct (Non- Indirect

Association Completion Construction Expressive

© 2007 Prentice Hall 1-29

Group Size 8-12

Group Composition Homogeneous, respondents,

Physical Setting Relaxed, informal atmosphere

Time Duration 1-3 hours

Recording Use of audiocassettes and

Moderator Observational, interpersonal, and

6. Flexibility: The moderator must be able to improvise

7. Sensitivity: The moderator must be sensitive enough

© 2007 Prentice Hall 1-32