marketing research session 04

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    Marketing Research

    March 2011

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    Agenda today

    Semester ending

    Sampling

    Segmentation

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    Types of research

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    The Yin-Yang of Qualitative and

    Quantitative Research

    Exploratory

    Understanding

    Flowingstructure

    Hypothesis-

    generation

    Bridging and

    putting things

    together interms ofhow

    and why

    Qualitative Quantitative

    Validation

    Measuring

    Rigorous

    structure hypothesis-

    testing

    providing

    descriptive

    parameters

    (who, what,when, where)

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    Qualitative techniques

    Group Discussions

    Depth interview

    Expert opinion DI Paired Interview

    Triad

    Day in life

    Deprivations Obituary

    Ethnography

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    What is a projective technique ?

    Their main purpose or aim is to facilitate a deeper exploration of

    a persons feelings about a situation, product, brand or type of

    activity.

    These techniques help to enter the private and often

    unconscious world of the individual. One uses these for

    descriptive and diagnostic reasons.

    Give the man a mask and he will tell you

    all about himself

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    Sampling

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    Sample should represent the

    Universe

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    Important concepts

    Dependent and independent variables

    Extraneous variables

    Research Hypothesis

    Experimental testing approach

    Experiment and control groups

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    Sampling key considerations

    How to select the sample?

    How many to select?

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    Types of sample designs

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    Types

    Non probability

    Deliberate, purposive, judgmental sampling

    Personal selection Bias

    Quota sampling

    Inferences not statistical

    Probability

    Random/chance sampling

    Everyone has a chance to get selected

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    Not simple always

    Complex random sampling designs

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    Types of complex random sampling

    methods

    Systematic sampling

    Stratified sampling

    Cluster sampling

    Area sampling

    Multistage sampling

    Sequential sampling

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    Types of complex random sampling

    methods

    Systematic sampling random numbers to pick first

    unit to start and then skip at fixed intervals.

    Convenient, less costlier can be used for large

    populations

    Stratified sampling population is not

    homogeneous, divide into sub-groups that are

    homogeneous and then sample

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    Types of complex random sampling

    methods

    Cluster sampling divide a big area into small non-

    overlapping areas and randomly select a number of

    these

    Area sampling if clusters are geographic

    subdivisions it is called area sampling

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    Types of complex random sampling

    methods

    Multistage sampling applied for considerably large areas

    easier to administer and large number of units can be sampled

    Probability proportionate to size (PPS) cumulative totals for

    systematic sampling probablity of larger to get selected is

    higher

    Sequential sampling size of sample not fixed decided as

    research progresses go on taking samples as long as one

    desires

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    Quiz

    Who sells largest numbers of cameras in India?

    Who is the biggest in music business in India?

    What Apple did to Sony, Sony did to Kodak? Explain

    In 2008, who was the biggest competition to British Airways in

    India?

    Who was the biggest competitor to film industry in 2008/2009?

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    Sampling key considerations

    How to select the sample?

    How many to select?

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    The sample size calculation

    Not just mathematical

    Other considerations also.

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    The sample size calculation - 1

    When estimating means (for continuous or interval scaled

    variables)

    n = square (Zs/e) / (Zs/e) 2

    n = Sample size required

    Z = constant for a desired confidence level For 95% Z = 1.96

    s = standard deviation for the variable which we are trying

    to measure from the study

    unknown but estimated on past studies. Generally range/6

    gives good estimation of s because of all s mostly lie between+/- 3 of mean ..

    e tolerable error in estimating the variable in question.

    Lower the tolerance higher the sample

    To be decided by sponsor/researcher

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    Example

    Customer satisfaction survey scale : 1-10 7/8

    questions

    n = square (Zs/e) / (Zs/e)^2

    n = Sample size required

    Z = constant for a desired confidence level

    For 95% Z = 1.96

    s = standard deviation for the variable which we are

    trying to measure from the study

    range = 10-1 =9, s = 9/6 = 1.5

    e 0.5

    n = (1.96*1.5/0.5)^2 = 34.57 or 35

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    The sample size calculation - 2

    When estimating proportions or percentage

    n = pq x square (Z/e) / pq(Z/e)^2

    n = Sample size required

    Z = constant for a desired confidence level For 90% Z = 1.645

    e tolerable error in estimating the variable in

    question.

    Lower the tolerance higher the sample

    To be decided by sponsor/researcher

    p frequency of occurrence of something expressed

    as proportion study tries to determine p

    q non occurrence of p or 1-p

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    Example

    Estimate proportion of population wearing a jeans

    n = pq x square (Z/e) / pq(Z/e)^2

    Z = constant for a desired confidence level

    For 95% Z = 1.96

    e 3% tolerable error : 0.03 as p is proportion

    p from previous studies or knowledge = 25% or 0.25

    n = 0.25x 0.75 x (1.96/0.03)^2 = 800

    We need a sample of 800 respondents to estimate

    the true value of p with a 95% confidence level

    and with an error of +/-0.03 from true value

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    Determining the sample size

    Generally, 50/100 is considered as a good enough

    size for each group in the sample

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    Other issues affecting sample size

    decisions

    Number of centres : if data needs to be read by each

    centre then need minimum sample per location

    Multiple questions different type of questions, scales,proportions need to reconcile sample size arrived by

    each method

    Cell size in analysis variable on which analysis is

    required

    Time and budget constraints

    Role of experience given limitations of formulae

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    Types of error in MR

    Sampling error: selection of some and non selection of

    some units. Controllable if sample selection is done

    random, unbiased way probability sampling used.

    Reduces to zero for large samples

    Non-sampling error : errors by interviewer, data entry

    operator or researcher

    Total error : sampling + non-sampling error usually

    unknown increasing sample increases non sampling

    error optimum sample

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    Errors in MR

    Sampling error : Kelloggs example

    Nonsampling error Measurement Error

    Data Recording Error

    Data Analysis Error

    Nonresponse Error

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    Designing Questionnaire

    Data collection instrument

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    Considerations

    Language can be used in any language

    Difficulty level of words data collector + respondent to

    understand

    Fatigue ideal time 20 mins

    Co-operation from respondent should encourage

    response

    Socially acceptable responses

    E.g. Do you read a newspaper Yes

    Repeat at different places Ask indirectly

    Follow up questions to probe truth

    Ease of recording

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    Considerations

    Coding to be done before data collection

    Skipping instructions

    Sequencing of questions demographics at end

    Biased and leading questions

    Do you think liberalisation is good?

    Some people think liberalisation is good, some think it is

    bad. What do you think?

    Monotony always agree or disagree..

    Analysis required questions to be designed accordingly

    Scale of measurement.

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    Measurement Scales

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    Types of scales

    Nominal : number used only as labels, no numerical

    sanctity. No statistical computations possible like

    mean etc. Simple tabulations and cross-tabulations

    possible

    Ordinal : have meaningful order. E.g., ranks not

    interchangeable. Gives order but not distance not

    how much? Average not used

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    Types of scales

    Interval : behavioural and attitudinal measurements.

    Can calculate mean, standard deviation etc Also

    called rating scales. Interval distance is fixed

    Ratio : Has a unique zero or beginning point. Ratio

    of two values on scale corresponds to same ratio

    amongst measured values. E.g., length, height, age,

    income etc. Arithmetic operations possible

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    Ad testing

    Appeal

    Awareness

    Increase recall

    Call to action

    Curiosity

    Instruct

    Correct Image

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    Advertising Effect

    ForTV communication to be effective, it must

    Cut-Through the media clutter, in order to..

    Reach the target audience

    Communicate the desired message, and..

    Brand the desired message correctly.

    Positively impact the consumer-brand relationship