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155 Cards in this Set

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secondary data
data that has previously been gathered
might be relevant to the problem at hand
primary data
new data gathered to help solve problem at hand
-survey, observation, focus groups, market testing,experiment
costly, time consuming, representative of pop
internal secondary data
annual reports, customer profiles, purchase patterns etc. anything the company has created and stored for the communication to employees, customers, or others
external secondary data
federal, state, local departments and agencies, news media, traded and industry publications
advantages of secondary data (7)
less costly (time, cost)
can help refine/clarify the issue
can solve problem at hand
can guide how you want to conduct primary data research
can point out potential research problems
provide background information that enhances research credibilty
secondary data may provide the sample frame (where sample is drawn from)
disadvantages of secondary data
lack of availability(cant find it, doesnt exist etc(lack of relevance (outdated, doesn't measure our audience)
innacurate- purpose of original study, some clown collecte dit, out of date
insufficient- may not be everything you need to make a decision
call reports
call reports- reports how many calls you made,outcomes of the calls, sales activity, characterisitics of firms visited
database marketing
internal database created internally that houses customers' and potential customers' buying patterns to create a marketing mix.
cookies
text file placed on customerss computers to idententify them next they log onto the website.
-tracks where they go and what they buy
neural network
program that mimics human brain processes and learns from examples found in patterns of data
data mining
use of stats and software to discover non-obvious patterns hidden in databases
four applications of data mining
customer acquisition- creating profiles of current customers and then targeting a marketing mix at non-customers with similar profiles that are gotten thru renting a list of non customers
2. customer retention- finding customers that may be switching to competitor and retain them
3 identifies customers that are too costly to keep
4 find what items are being purchased together
features of a database
large and up to date
includes ALL customers (past,current, potential)
focused on demographs/purchase behavior
can e-mail/mail targeted customers based on buying behavior
can collect customer info from website
organized, seachable
compatible with analytical programs
behavior targeting
using past behavior on the web to target specific ads (parkas to a person who likes skiing)
GIS
geographic information system
-computer systems that uses secondary and sometimes primary data to generate maps of data geographically
-used to evaluate store location
DSS
decisions support system
doesnt exist yet, just in theory
- database that is interactive and personal that can be used by individuals
-must be flexibly, interavtive, discovery oriented, easy to learn and use
When is the researcher passive and when is the researcher active?
The researcher is a passive assembler of data in other research. In experiments, the researcher is active.
What one thing can be changed or manipulated to observe the effect on something else?
-Treatment variable
-Experimental variable
-Independent variable
-Explanatory variable
What is an experiment?
A research approach in which one variable is manipulated and the effect on another variable is observed
What is an indep variable?
A research approach in which one variable is manipulated and the effect on another variable is observed
What is a dependent variable?
Variables you do not directly control such as sales or customer satisfaction
What is treatment?
The independent variable manipulated during an experiment to measure its effect on the dependent variable
What are extraneous factors?
Factors you do not control but have to live with such as the weather.
Why are experiments causal research?
Bc it's the only type of research that can demonstrate that a change in one variable causes some predictable change in another variable.
Not deterministic but probabilistic
It is not determined that the change will happen
Increases the probability that the change will occur.
What is the popular view?
What is the scientific view?
Why can't we definitely prove this?
Popular- x always leads to y
Scientific-x makes the occurrence of y more probable or likely
One can never definitely prove that x is the cause of y
only that a causal relationship exists
What is causal research?
Research designed to determine whether a change in one variable likely caused an observed change in another
What do causal relationships demonstrate?
-Concomitant variation
-Appropriate time order of occurrence
-Elimination of other possible causal factors
What is a laboratory?
Experiments conducted in a controlled setting
What is a field?
Tests conducted outside the laboratory in an actual environment such as a marketplace.
Laboratory Advantages
-Can control extraneous causal factors
-Greater internal validity
Laboratory disadvantages
Does a sterile lab environment translate to the marketplace?
Field experiment advantages
-In actual market environment, for example test markets
-Solves the problem of realism, but unfortunately creates a whole new set of problems
Field experiment disadvantages
-Cannot control all the factors that influence the dependent variable
-Competitors, weather, economy, societal trends, political climate
-Problems with internal validity
What is internal validity
The extent to which competing explanations for the experimental results observed can be ruled out.
Shows that the changes in the independent variable actually produced the differences in the dependent variable
External Validity
The extent to which causal relationships measured in an experiment can generalized to outside persons, settings and times
Experimental notation
x=indep variable
Indicates the exposure of an indiv or a group to an experimental treatment. This variable is something the researches can change and manipulate
0=dependent variable
Indicates a variable researcher cannot change directly. It is hoped that changing the indep variable will cause changes in the dependent variable. The dependent variable is "dependent" on what the researcher does with the indep. variable.
Extraneous variable
-History
-Maturation
-Instrument variation
-Selection bias
-Mortality
-Testing effect
-Regression to the mean
Controlling extraneous variables
Randomization
Random assignment of subjects to treatment conditions to ensure equal representation of subject characteristics
Physical control
Holding constant the value or level of extraneous variables throughout the course of an experiment. Exp: Matching
Observation Research
The systematic process of recording patterns of occurrences or behaviors without normally communicating with the people involved.
Conditions for using observations
The needed information must be either observable or inferable;

The behavior should be repetitive, frequent, or in some manner predictable;

The behavior must be relatively short in duration.
BehaviorScan
Scanner-based research system that can manipulate the marketing mix for household panels in geographically dispersed markets and then electronically track consumer purchases.
InfoScan Custom Store Tracking
Scanner-based data system that collects information on consumer packaged goods.
Human Observation
Mystery shoppers, ethnographic, one-way mirrors, audit
Mystery Shopping
People who pose as customers and shop at a company’s own stores or those of its competitors to collect data about customer-employee interactions and to gather observational data; they might also compare prices, displays, and the like.
Level 1 Mystery Shopping
The mystery shopper calls/contacts the business with a script with questions and notes the experience.
Level 2 Mystery Shopping
The mystery shopper visits the business and makes a quick purchase with little or no customer-employee interaction.
Level 3 Mystery Shopping
The mystery shopper visits the business for a more involved experience to include a scripted scenario to gauge the customer-employee interaction. Level III usually does not involve a major purchase - although detailed discussion about the product or services will likely occur.
Level 4 Mystery Shopping
The mystery shopper visits the business with great knowledge about the products. This knowledge can be used to test the employees. A purchase - and/or issues related to the purchases - might likely be involved.
Objectives of Mystery Shopping
Measuring Employee Training
Preparing for the New Competition
Monitoring the Competition
Recognizing Good Employees
Ethnographic Research
the study of human behavior in its natural context, involving observation of behavior and physical setting coupled with depth interviews to obtain participants’ perspective
participant observers - gain richer, deeper insights into culture and behavior – what makes people do what they do
Advantages of Observation
You see what people actually do - rather than what they say they do;
Firsthand information is less prone to biases associated with survey approach,
e.g. observing children and their toy selection.
Some observational data can be executed quickly and relatively accurately;
Scanners record purchases more accurately and is more efficient than asking a shopper to enumerate them
Disadvantages of Observation
Only behavior and physical personal characteristics usually can be examined.
The researcher does not learn about motives, attitudes, intentions, or feelings.
Only public behavior is observed not private behavior.
Present observed behavior is not projectable to future behavior.
Can be time-consuming and costly if the observed behavior occurs rather infrequently
Design Control
Use of experimental design to control extraneous causal factors
Statistical control
Adjusting for the effects of extraneous variables by statistically adjusting the value or the dep variable for each treatment condition, i.e. ANOVA, Hierarchial regression
Experimental design
A test in which the researcher has control over and manipulates one or more indep variables
Treatment variable
The indep variable that is manipulated in an experiment
Experimental effect
The effect of the treatment variable on the dependent variable
Four things needed for an experiment
-Treatment/indep variable that is manipulated
-subjects
-dependent variable that is measured
-plan or procedure for dealing with extraneous variables
Test group
The indep variable is changed
Control group
Indep variable is not changed
3 factors in experimental design, treatment and effects
High cost
Security issues
Implementation problems
Pre-experimental design
designs that offer little or no control over extraneous factors
qualitative refsearch
research findings that can't be analyzed using qualtiative data
most common with focus groups
small groups with probing questions
quantitative research
uses math analysis
uses measurable and numeric standards
large sample group with little probing
which research method do firms prefer
firms prefer research done with high levels of significance and large samples
you will prob see a combo of qual and quantitative
exploratory research
preliminary research to;
increase understanding of concept
clarify exact nature of the problem
identify variables to study
descriptive research
answers questions: who, what , when, why, where
causal research
whether a variable causes or determines another variable
3 reasons why qualitative is more popular than quantitative
cheaper, more in depth, may improve efficiency of quantitative research down the rd
limitations of qualitative
cant distinguish small differnces like a large scale study can
not representative of the popoulation as a whole sometimes
problems of a dominant member in a focus group
can take the entire group in a direction that the researcher doesn't want them to.
need to have a skilled moderator
focus group
8-12 peeps
led by moderator
goal: learn and understand what people have to say
key: get peeps to talk at length with detail
Individual Depth Interviews (IDI)
One-on-one interviews that probe and elicit detailed answers to questions
often using non-directive techniques to uncover hidden motivations
Guided by answers of respondee
Advantages of IDI
group pressure eliminated.
personal 1on1 feeling, focus of attention.
heightened state of awareness for respondent.
longer time devoted--revelation of new info.
More Advantages of IDI
New directions of questioning can be improvised more easily.
Interviewer becomes more sensitive to nonverbal feedback.
Singular viewpoint can be obtained without influence from others.
Interview can be conducted anywhere.
Disadvantages of IDI
More expensive than focus groups
Do not as much client involvement as focus groups.
The interviewer can only do four to five interviews per day.
The dynamics of the focus group which obtain reactions usually cannot be generated in a one-on-one session.
Popular IDI apps
Communication checks
Review of print, radio or TV advertisements.
Sensory evaluations
Reactions to varied formulations for deodorants or hand lotions, new perfumes, taste test for a new frosting.
Exploratory research
more Popular IDI apps
New product development
Prototype stage.
Packaging or usage research
Customer Care Research
a form of IDI.
Understand the dynamics of the purchase process
What started you on the road to making this purchase?
Why did you make this purchase now?
What was the hardest part of this process? Was there any point where you got stuck?
More dynamics of purchase process
When and how did you decide the price was acceptable?
Is there someone else with whom I should talk to get more of the story behind this purchase?
If you’ve purchased this product before, how does the story of your last purchase differ from this one?
At what point did you decide your trusted this organization and this person to work with in your best interests?
Hermeneutic Research
Another type of IDI
Research that focuses on interpretation through conversations
No predetermined questions–questions arise spontaneously as the conversation unfolds
Online IDI
Using private blogs–the respondent can create their online journal for the project.
Phase one
Responding to a series of questions from the researchers to ponder in their blogs.
Phase two
A telephone, e-mail, or bulletin-board in-depth discussion.
Discussion topics derived from blogs
Projective Tests
Technique for tapping respondents’ deepest feelings by having them project those feeling onto an unstructured situationUsed to penetrate a person’s defense mechanisms to allow true feelings and attitudes to emerge
Most are easy to administer
Tabulated like other open-ended questions
Used with non-projective open- and closed-ended questions
Projective tests (more)
May gather “richer” and more revealing information than standard questioning techniques
Projective Tests
Word Association Tests
Sentence and Story Completion Tests
Cartoon Tests
Photo Sorts
Consumer Drawings
Storytelling
Third-person technique
Word Association tests
Interviewer says a word and the respondent must mention the first thing that comes to mind.
If the respondent fails to answer within 3 seconds, some emotional involvement with the word is assumed.
Used for brand names, advertising campaigns, themes, slogans
Sentence and Story Completion Tests
Respondents complete sentences or stories in their own words.

Sentence and story completion tests have been considered by some researchers to be the most useful and reliable of all the projective tests.
Cartoon tests
Respondent fills in the dialogue of one of two characters in a cartoon
Photo Sorts
Respondent sorts photos of different types of people, identifying those people that she or he feels would use the specified product or service
Picture Aspirations Technique (PAT)
created by Grey Advertising–how does the product fit into a consumer’s aspirations–pictures are used to describe their aspirations.
Consumer Drawings
Respondents draw what they are feeling or how they perceive an object
Storytelling
Respondents are required to tell stories about their experiences with a company or product
Also known as the Metaphor technique
3rd Person Technique
Respondents’ feelings are learned by asking them to answer for a third party, such as “your neighbor” or “most people”.
Often used to avoid questions that may be embarrassing or evoke hostility
3 key design types
One-shot case study
One-group pretest-posttest
Static group comparison
3 key design types
before and after w/ control group
solomon four group design
after only with control group
Quasi Experiments
Studies in which the researcher lacks complete control over the scheduling of treatments or must assign respondents to treatments in a nonrandom manner.
Interrupted Time-Series
Research in which repeated measurement of an effect "interrupts" previous data patterns
Multiple Time-Series
Interrupted time-series design with a control group
do's and dont's of focus group continued
direct questions avoided
focus on group interactions
responses from others willl stimulate convos
last year: over $7B used on focus groups
companies that use focus groups
marketing reserach firms, ad agencies, consumer goods manufacturers
four steps in conducting focus groups
1) prepare for the group- select facility and recruit participants
2)select a moderator and create discussion guide
conduct the group sudy
prepare report
focus group setting
conference room
one way mirror
mic's placed in unobtrusive location
sometimes living rooms as an alternative
how to attract focus group participants
mall intercept interviewing
random telephone screening
usually an established criteria for group members (age, demographs etc)
go to target market (daycares, health clubs, home improvement stores etc.)
selection process for selcting focus group members
look for potential opinion leaders
screen them for relevance
avoid professional respondents
characteristics of focus group
usualy 8 peeps
1.5 hrs
breakdown of 90 minutes focus group
10 min intro
20 min- can be used for moderator to talk
60- for each respondent (6 min each if 10 respondent etc.)
why do people participate in focus groups
money
interested in topic
convenient
fun
know alot about the product
curious
can express their opinions
moderator
hired by firm to lead the group
background in psych or sociology, or at least, marketing
2 sets of skills
1)can conduct the group
2) good at communication
Test market
Firm tests a new product or a change in an existing marketing strategy (4ps)
A field experiment using a quasi experimental design
For new products, firms can;
Try out proposed national programs on a smaller scale
Estimate market share and volume
Discover characteristics of consumers who buy the product
Monitor the behavior of competitors during the test
Four types of test markets
Traditional or standard: Testing the product and other elements of the mkt mix thru a firm's regular channels of distribution
Scanner or electronic: Scanner panel research firms have panels of consumers who carry scannable cards for use in buying particular products
Controlled test mkts: Research suppliers who ensure product is distributed thru agreed upon types and number of distributors
Simulated test markets: Alternative to trad test markets; # of diff companies offer these services; Contacted after they've had time to use product, asked how likely they are to purchase and re-use
Benefits of test markets
Can obtain good estimate of product's sales under realistic conditions
Should identify weaknesses of product and a proposed mkt strategy
Factors to consider b4 launching test mkt study
Cost and risk of failure vs prob of success with associated profits
Likelihood and speed with which competitors can copy product and introduce on national basis
How damaging an unsuccessful product launch would be to firm's reputation
Six Steps in a Test market study
1. Define Objective
2. Select basic approach
3.Develop detailed test procedures
4.Select test mkt city
5. Execute plan
6. Analyze results
Other types of product tests
-Rolling rollout-product is launched in certain region rather than one or 2 cities
-Lead country strategy- try a out in a foreign market b4 rolling it out globally
15 charactersitics of good moderator
interested in what people say
accepting and appreciative
good listening skills
good observation skills
interested in a lot of subjects
good communication/organizational skills
open minded
understands research, marketing, adverstising
flexibible
attention to detail
manages conversation flow
good at probing (garreth youd like this guy haha)
understand companies business
provide strategic leadership to management
techniques for building rapport in focus groups
Meet and greet the participants before the focus group;
Ask personal questions during the warm-up;
Reveal personal information about yourself;
Ask for the participants assistance during the process;
Use humor when appropriate;
Dress a the same level as the respondents;
Start the focus group session sitting down;
Have a discussion guide to assist.
sequence of discussion guides for focus groups
written outlineof what needs to be covered during a group session
becomes a checklist

3 stages:
1) rapport, rules, objectives
2)provoke intensive discussion
3)summarize conclusions and test limits of belief
problem with too many questions
not enough time for them to answer all of them
doesnt let them elaborate
more like a survey
more relaxed
instant analysis
when the moderator gives the client his immediate thoughts
advantages of instant analysis
combine knowledge of marketing and moderator
moderators immediate reaction
takes advantage of heightened awareness to generate ideas
disadvantages of instant analysis
'firing at the hip' could bias future analysis
no time to reflect
could be affected by poor memory
formal report of focus group
pwpt presentation
written report is usually copies of the pwpt
4 advantages of focus groups
interaction stimulates new ideas
can observe peeps behind a mirror
executed more quickly than other research techniques
findings can be easier to understand
disadvantages of focus groups
immediacy and apparent understandability may miseal
recruit may not be typical customer
may make participants uncomfortable--not honest
style of moderator may bias discussion
may be dominated by individual
advantages of online focus groups
geographic barriers arent factors
low costs
faster turn around time
increased openness of respondents
client can still interact with moderator
'natural talker' neutralized
access to hard-to-reach popul
disadvantages of online focus group
no group dynamics
nonverbal inputs
client involvement is minimal
exposure to external stimuli (ie the post-it highlighter could not have been felt)
reliability
degree to which measures are free from random error and thus consistent
(less error=more reliable)
test-retest reliabilty
ability of the same instrument to produce consistent results under similar conditions
stability
part of reliability too
means the very few differences in scores are found between the first and second administrationsof the test
- same respondents produce the same results for the second time
equivalent form reliabilty
determined by measuring the correlation of the scores on two instruments
internal consistency reliability
ability of an instrument to produce similar results when used on dif samples during same time period
validity
what the reseracher was trying to measure was actually measured
face validity
weakest form of validity
concerned with degree to which a measurement seems to measure what it is supposed to
content validity
how representative the content of the measurement instrument is
-does it provide adequate coverage of the topic under study?
criterion-related validity
degree to which a measurement instrument can predict a variable that is designated a criterion
-book ex) want to find best moderator. asked marketing agency firms to pick out a bunch of moderators. gave them questionnaires that asked them how they do their jobs well. we then pick the items that the best ones said 'yes' to and the worst ones said 'no' to.
predictive vailidity
degree to which we can predict the level of criterion based on the current measurement on a scale
concurrent validity
concerned with the relationship bt the predictor variable and criterion variable
cosntruct validity
if the measure behaves according to the theory behind the prediction
-gravity has high construct validity
discriminant validity
reveals the low correlation among constructs that are supposed to be different
Key Steps to data analysis overview
1. Validation and Editing
2. Coding
3. Data Entry
4. Machine cleaning of Data
5. Tabuation and statistical analysis
Validation
process of acertaining that interviews were conducted as specified
Goal of validation
detect interview fraud, failure to follow key intructions
telephone validation: 4 areas
1.was person actually interviewed
2. was the person qualified to be interview
3. was interview conducted in proper manner
4. did interviwer cover entire survey
purpose of validation
ensure that interviews were administered properly and completely
editing
checking for interviewer and respondednt mistakes
editing process
manual checking of problems which include:
- if interviewer failed to ask certain questions or record certain answers
- questionairs are checked to make sure that skipe patterns were followed
- weather interviwer paraphrased respondednts answers to open-ended questions
Coding
presses of grouping and assigning numeric codes to the varios responses to questions
Automated coding systems
- CATI and internet surveys: data entry and coding are completely eliminated for close-ended questions

-Open ended questions: text is captured electronically but the coding process is still required

-TextSmart Module of SPSS- using algorithms based on semiotics will do automated coding
Data Entry
process of converting information to an electronic format
Intelligent Data Entry Systems
-info being entered into data entry device is checked for internal logic either by that device or another device connected to it

- system can be programmed to avoid certain types of errors ay the point of data entry
Machine cleaning of data
-Clean the data: check for data entry errors or data entry inconsistancies

-Logical or machine cleaning: final computerized error check for data

-Error checking rutines: computer programs that accept instructions from the user to check for logical errors in the data

-Marginal Report: computer generated table of the frequencies of the responses to each question, used to monitor entry of valid codes and correct use of skip patterns
Final error check in the process
computer data should be ready for tabulation and statistical analysis