AMITY

We nurture talent
 Multiple-item Scales (Contd.)
Likert Scale
• Requires respondent to indicate degree of
agreement or disagreement with a variety of
statements related to the attitude object
• Summated Scale
– Scores on individual items are summed to give total
score for respondents
• Likert Scale Is Uni-dimensional
 Figure 3: Example of Likert Summated Rating Form

neither
strongly agree nor strongly
disagree disagree disagree agree agree
1. The bank offers courteous service. ___ ___ ___ ___ ___

2. The bank has a convenient location. ___ ___ ___ ___ ___

3. The bank has convenient hours. ___ ___ ___ ___ ___

4. The bank offers low interest rate loans. ___ ___ ___ ___ ___
 Multiple-item Scales (Contd.)
Thurstone Scales
• Also known as the method of equal-appearing intervals;
objective is to obtain a unidimensional scale with
interval properties
Step 1:
– Generate a large number of statements or adjectives reflecting
all degrees of favorableness toward the attitude of objects
Step 2:
– A group of judges is given this set of items and asked to
classify them according to their degree of favorableness or
unfavorableness
 Multiple-item Scales (Contd.)
Thurstone Scales (Cont.)
Advantages
– Easy to administer
– Requires minimum instructions
Limitations
– Time consuming
– Expensive to construct
– Not as much diagnostic value as a Likert scale
– Values depend on the attitudes of the original judges
Figure 2: Thurstone Equal-Appearing Interval Continuum

A B C D E F G H I J K

Unfavorable Neutral Favorable

 Multiple-item Scales (Contd.)

Semantic-differential Scale
• Respondents rate each attribute object on a
number of five or seven-point rating scales
bounded by polar adjectives or phrases
• With bipolar scale, the midpoint is a neutral
point
 Characteristics of Semantic Differential
Scales in Semantic Marketing Applications:
• Pairs of objects or phrases must be meaningful in market
being studied and often correspond to product/service
attributes
• Avoid "halo" effect by placing negative pole on either side
• Category increments are treated as interval scales so group
mean values can be computed for each object on each scale
• May also be analyzed as a summated rating scale
 Figure 4: Example of Semantic Differential Scaling Form

Service is discourteous ___:___:___:___:___:___:___ Service is courteous

Location is convenient ___:___:___:___:___:___:___ Location is inconvenient
Hours are convenient ___:___:___:___:___:___:___ Hours are inconvenient
Loan interest rates are high ___:___:___:___:___:___:___ Loan interest rates are low
 Figure 5: Contrasting Profiles of Banks A and B

Service is discourteous ___:___:___:___:___:___:___ Service is courteous

Location is convenient ___:___:___:___:___:___:___ Location is inconvenient

Hours are convenient ___:___:___:___:___:___:___ Hours are inconvenient

Loan interest rates are high ___:___:___:___:___:___:___ Loan interest rates are low

Bank A
Bank B
 Multiple-item Scales (Contd.)
Stapel Scales
• Uses one pole rather than two opposite poles
• Respondents select a numerical response category
• High positive score reflects good fit between adjective
and object
• Easy to administer and construct
• No need to assure bipolarity
Figure 6: Example of a Stapel Scale

-5 -4 -3 -2 -1 1 2 3 4 5
Service is courteous 

Location is convenient 

Hours are convenient 

Loan interest rates are high 

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.
 Components of a Research Design
• Define the information needed
• Design the exploratory, descriptive, and/or causal
phases of the research
• Specify the measurement and scaling procedures
• Construct and pretest a questionnaire (interviewing
form) or an appropriate form for data collection
• Specify the sampling process and sample size
• Develop a plan of data analysis
A Classification of Marketing
Research Designs
Research Design

Exploratory Conclusive
Research Research
Design Design
Descriptive Causal
Research Research

Cross- Longitudinal
Sectional Design
Design
Single Cross- Multiple Cross-
Sectional Sectional
Design Design
 A Comparison of Basic
Research Designs
Exploratory Descriptive Causal
Objective: Discovery of Describe market Determine
ideas and characteristics or cause and
insights functions effect
relationships
Characteristics: Marked by the prior
Flexible, versatile formulation of Manipulation of
specific hypotheses one or more
independent
Preplanned and variables
Often the front structured design
end of total Control of
research design other
Secondary data: mediating
Methods: Expert surveys quantitative analysis variables
Pilot surveys Surveys
Secondary data: Panels Experiments
qualitative Observation and
analysis other data
 Uses of Exploratory Research
• Formulate a problem or define a problem more
precisely
• Identify alternative courses of action
• Develop hypotheses
• Isolate key variables and relationships for further
examination
• Gain insights for developing an approach to the
problem
• Establish priorities for further research
Methods of Exploratory Research
• Survey of experts
• Pilot surveys
• Secondary data analyzed in a qualitative way
• Qualitative research
Use of Descriptive Research
• To describe the characteristics of relevant groups, such as
consumers, salespeople, organizations, or market areas.
• To estimate the percentage of units in a specified
population exhibiting a certain behavior.
• To determine the perceptions of product characteristics.
• To determine the degree to which marketing variables are
associated.
• To make specific predictions.
Methods of Descriptive Research
• Secondary data analyzed in a quantitative as
opposed to a qualitative manner
• Surveys
• Panels
• Observational and other data
 Cross-sectional Designs
• Involve the collection of information from any given sample of
population elements only once.
• In single cross-sectional designs, there is only one sample of
respondents and information is obtained from this sample only
once.
• In multiple cross-sectional designs, there are two or more
samples of respondents, and information from each sample is
obtained only once. Often, information from different samples
is obtained at different times.
• Cohort analysis consists of a series of surveys conducted at
appropriate time intervals, where the cohort serves as the basic
unit of analysis. A cohort is a group of respondents who
experience the same event within the same time interval.
 Longitudinal Designs
• A fixed sample (or samples) of population elements is
measured repeatedly on the same variables
• A longitudinal design differs from a cross-sectional design in
that the sample or samples remain the same over time
 Cross-sectional vs. Longitudinal
Cross- Sample
Sectiona Surveye
l Design d at T1

Same
Sample Sample
Longitudina Surveyed also
l Design at T1 Surveyed
at T2

Time T1 T2
Uses of Casual Research
• To understand which variables are the cause (independent
variables) and which variables are the effect (dependent
variables) of a phenomenon
• To determine the nature of the relationship between the
causal variables and the effect to be predicted
• METHOD: Experiments
 Alternative
Exploratory
Research Designs
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
 Alternative
Exploratory Research Designs
Research
(a) • Secondary Data Conclusive Research
•Descriptive/Causal
Analysis
• Focus Groups

(b) Conclusive Research

•Descriptive/Causal

Exploratory
Conclusive Research Research
(c) • Secondary Data
•Descriptive/Causal
Analysis
• Focus Groups
Potential Sources of Error in
Research Designs
Total Error

Random Non-sampling
Sampling Error Error

Response Non-response
Error Error

Researcher Interviewer Respondent

Error Error Error
Surrogate Information Error Respondent Selection Error Inability Error
Measurement Error Questioning Error Unwillingness Error
Population Definition Error Recording Error
Sampling Frame Error Cheating Error
Data Analysis Error
 Errors in Marketing Research
• The total error is the variation between the true mean value
in the population of the variable of interest and the observed
mean value obtained in the marketing research project.
• Random sampling error is the variation between the true
mean value for the population and the true mean value for the
original sample.
• Non-sampling errors can be attributed to sources other than
sampling, and they may be random or nonrandom: including
errors in problem definition, approach, scales, questionnaire
design, interviewing methods, and data preparation and
analysis. Non-sampling errors consist of non-response errors
and response errors.
Errors in Marketing Research
• Non-response error arises when some of the
respondents included in the sample do not respond.
• Response error arises when respondents give
inaccurate answers or their answers are misrecorded
or misanalyzed.
 Citicorp Banks on Exploratory,
Descriptive, and Causal Research
Marketing Research at Citicorp is typical in that it is
used to measure consumer awareness of products,
monitor their satisfaction and attitudes associated
with the product, track product usage and diagnose
problems as they occur. To accomplish these tasks
Citicorp makes extensive use of exploratory,
descriptive, and causal research. Often it is
advantageous to offer special financial packages to
specific groups of customers. In this case, a
financial package is being designed for senior
citizens.

The following seven-step process was taken by

marketing research to help in the design.
 Citicorp Banks on Exploratory,
Descriptive,
and Causal Research

1) A taskforce was created to better define the

market parameters to include all the needs of the
many Citicorp branches. A final decision was made
to include Americans 55 years of age or older,
retired, and in the upper half of the financial strata
of that market.
 Descriptive,
and Causal Research
2) Exploratory research in the form of secondary data
analysis of the mature or older market was then
performed and a study of competitive products was
conducted. Exploratory qualitative research involving
focus groups was also carried out in order to determine
the needs and desires of the market and the level of
satisfaction with the current products.

In the case of senior

citizens, a great deal of
diversity was found in the
market. This was
determined to be due to
such factors as affluence,
relative age, and the
absence or presence of a
spouse.
 Citicorp Banks on Exploratory,
Descriptive, and Causal Research

3) The next stage of research was brainstorming.

This involved the formation of many different
financial packages aimed at the target market. In
this case, a total of 10 ideas were generated.
 Citicorp Banks on Exploratory,
Descriptive, and Causal Research
4) The feasibility of the 10 ideas generated in step 3 was
then tested. The ideas were tested on the basis of
whether they were possible in relation to the business.
The following list of questions was used as a series of
hurdles that the ideas had to pass to continue on to the
next step.

• Can the idea be explained in a manner that the target

market will easily understand?
• Does the idea fit into the overall strategy of Citicorp?
 Citicorp Banks on Exploratory,
Descriptive, and Causal Research
 Is there an available description of a specific target market
for the proposed product?
 Does the research conducted so far indicate a potential
match for target market needs, and is the idea perceived to
have appeal to this market?
 Is there a feasible outline of the tactics and strategies for
implementing the program?
 Have the financial impact and cost of the program been
thoroughly evaluated and determined to be in line with
company practices?
In this study, only one idea generated from the
brainstorming session made it past all the listed hurdles
and on to step 5.
 Citicorp Banks on Exploratory,
Descriptive, and Causal Research
5) A creative work-plan was then generated. This plan was to emphasize
the competitive advantage of the proposed product as well as better
delineate the specific features of the product.

6) The previous exploratory research was now followed up with

descriptive research in the form of mall intercept surveys of people in
the target market range. The survey showed that the list of special
features was too long and it was decided to drop the features more
commonly offered by competitors.
 Citicorp Banks on Exploratory,
Descriptive, and Causal Research
7) Finally, the product was test marketed in
six of the Citicorp branches within the
target market. Test marketing is a form of
causal research. Given successful test
marketing results, the product is introduced
nationally.
Fieldwork/Data Collection
Process
Selecting Field Workers

Training Field Workers

Supervising Field Workers

Validating Fieldwork

Evaluating Field Workers

Selection of Field Workers
The researcher should:

– Develop job specifications for the project, taking into

account the mode of data collection.

– Decide what characteristics the field workers should

have.

– Recruit appropriate individuals.

 General Qualifications of Field Workers

• Healthy. Field workers must have the stamina required to do

the job.
• Outgoing. The interviewers should be able to establish
rapport with the respondents.
• Communicative. Effective speaking and listening skills are
a great asset.
• Pleasant appearance. If the field worker's physical
appearance is unpleasant or unusual, the data collected may
be biased.
• Educated. Interviewers must have good reading and writing
skills.
• Experienced. Experienced interviewers are likely to do a
better job.
 Training of Field Workers
• Making the Initial Contact – Interviewers should be trained to make
opening remarks that will convince potential respondents that their
participation is important.
• Asking the Questions
1. Be thoroughly familiar with the questionnaire.
2. Ask the questions in the order in which they appear in the
questionnaire.
3. Use the exact wording given in the questionnaire.
4. Read each question slowly.
5. Repeat questions that are not understood.
6. Ask every applicable question.
7. Follow instructions, skip patterns, probe carefully.
 Training of Field Workers

• Probing – Some commonly used probing techniques:

1. Repeating the question.

2. Repeating the respondent's reply.

3. Using a pause or silent probe.

4. Boosting or reassuring the respondent.

5. Eliciting clarification.

6. Using objective/neutral questions or comments.

Commonly Used Probes and
Abbreviations
Standard Interviewer’s Probe Abbreviation

Any other reason? (AO?)

Any others? (Other?)
Anything else? (AE or Else?)
Could you tell me more about your thinking on that? (Tell more)
How do you mean? (How mean?)
Repeat question (RQ)
What do you mean ? (What mean?)
Which would be closer to the way you feel? (Which closer?)
Why do you feel that way? (Why?)
Would you tell me what you have in mind? (What in mind?)
 Training of Field Workers

• Recording the Answers – Guidelines for recording answers to

unstructured questions:
1. Record responses during the interview.
2. Use the respondent's own words.
3. Do not summarize or paraphrase the respondent's answers.
4. Include everything that pertains to the question objectives.
5. Include all probes and comments.
6. Repeat the response as it is written down.
• Terminating the Interview – The respondent should be left with a
positive feeling about the interview.
Supervision of Field Workers
Supervision of field workers means making sure that they are
following the procedures and techniques in which they were
trained. Supervision involves quality control and editing,
sampling control, control of cheating, and central office control.
– Quality Control and Editing – This requires checking to
see if the field procedures are being properly implemented.
– Sampling Control – The supervisor attempts to ensure that
the interviewers are strictly following the sampling plan.
– Control of Cheating – Cheating can be minimized through
proper training, supervision, and validation.
– Central Office Control – Supervisors provide quality and
cost-control information to the central office.
 Validation of Fieldwork
• The supervisors call 10 - 25% of the respondents to inquire
whether the field workers actually conducted the
interviews.

• The supervisors ask about the length and quality of the

interview, reaction to the interviewer, and basic
demographic data.

• The demographic information is cross-checked against the

information reported by the interviewers on the
questionnaires.
 Evaluation of Field Workers
• Cost and Time. The interviewers can be compared in
terms of the total cost (salary and expenses) per completed
interview.
• Response Rates. It is important to monitor response rates
on a timely basis so that corrective action can be taken if
these rates are too low.
• Quality of Interviewing. To evaluate interviewers on the
quality of interviewing, the supervisor must directly
observe the interviewing process.
• Quality of Data. The completed questionnaires of each
interviewer should be evaluated for the quality of data.
 RESEARCH REPORT

• A research report is:

– a written document or oral presentation based on a written
document that communicates the purpose, scope,
objective(s), hypotheses, methodology, findings, limitations
and finally, recommendations of a research project to
others.
– The last stage of a marketing research process.;
– It is more than a summary of findings; rather it is a record of
the research process.
• The researcher has to convince the client [and others
who may read the report] that the research findings can
be acted on for their own benefit.
REPORT PREPARATION AND PRESENTATION PROCESS

ProblemD efinition, Data Pre-report

ResearchD esign Analysis
andM ethodology Writing
Activities

Interpretationof
Research
findings

Report
Report
Preparation Writing
Activities

O ral
Presentattion

Post
RESEARCH Readingofthe
FO LLOW-UP Reportbythe Report
client Writing
 Most research reports include the following elements:

I. Title page XI. Research design

II. Letter of transmittal a. Type of research design
b. Information needs
III. Table of contents
c. Data collection from secondary sources
IV. List of tables d. Data collection from primary sources
V. List of graphs e. Scaling techniques
VI. List of appendices f. Questionnaire development and pretesting
g. Sampling techniques
VII. List of exhibits h. Field work
VIII. Executive summary
XII. Data analysis
a. Major findings
a. Methodology
b. Conclusions b. Plan of data analysis
c. Recommendations
XIII. Results
IX. Introduction
a. Background to the XIV. Limitations and caveats
problem XV. Conclusions and recommendations
b. Statement of the problem XVI. Appendix
X. Approach to the problem a. Questionnaires and forms
b. Statistical output
c. Lists