Marketing Research 08

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Chapter Eight

Measurement and Scaling:Fundamentals and Comparative

Scaling



8-2

Chapter Outline

1) Overview

2) Measurement and Scaling

3) Primary Scales of Measurement

i. Nominal Scale

ii. Ordinal Scale

iii. Interval Scale

iv. Ratio Scale4) A Comparison of Scaling Techniques



8-3

Chapter Outline

5) Comparative Scaling Techniques

i. Paired Comparison

ii. Rank Order Scaling

iii. Constant Sum Scaling

iv. Q-Sort and Other Procedures

6) Verbal Protocols

7) International Marketing Research8) Ethics in Marketing Research



8-4

Chapter Outline

9) Internet and Computer Applications

10) Focus on Burke

11) Summary

12) Key Terms and Concepts



8-5

Measurement and Scaling

Measurement means assigning numbers or othersymbols to characteristics of objects according tocertain prespecified rules.

One-to-one correspondence between the numbers

and the characteristics being measured. (samedollar figures are assigned to household withidentical annual incomes.)

The rules for assigning numbers should bestandardized and applied uniformly.

Rules must not change over objects or time.



8-6

Measurement and Scaling

Scaling involves creating a continuum upon whichmeasured objects are located.

Consider an attitude scale from 1 to 100. Each

respondent is assigned a number from 1 to 100, with1 = Extremely Unfavorable, and 100 = ExtremelyFavorable. Measurement is the actual assignment of a number from 1 to 100 to each respondent. Scalingis the process of placing the respondents on a

continuum with respect to their attitude towarddepartment stores.



8-7

7 38

Primary Scales of Measurement

ScaleNominal Numbers

Assignedto Runners

Ordinal Rank Orderof Winners

Interval PerformanceRating on a0 to 10 Scale

Ratio Time to

Finish, inSeconds

Figure 8.1

Thirdplace

Secondplace

Firstplace

Finish

Finish

8.2 9.1 9.6

15.2 14.1 13.4



8-8Primary Scal es of Measur em ent Nominal Scal e

The num bers s er ve only as la bels or t a gs for i dentifyin g an d classifyin g objects .

When us ed for i dentification , t her e is a strict on e-to-on e corr es pon denc e bet ween t he num bers an d t he

o bjects . The num bers do not r efl ect t he amount of t he

c haract eristic poss ess ed by t he o bjects .

The only permissi bl e o peration on t he num bers in a nominal scal e is countin g.

Only a limit ed num ber of statistics , all of whic h ar ebas ed on fr equ ency counts , ar e permissi bl e, e.g.,perc enta ges , an d mo de.



8-9

Illustration of Primary Scales of Measurement

Table 8.2

Nominal Ordinal Ratio

Scale Scale ScalePreference $ spent last

No. Store Rankings 3 months

1. Lord & Taylor

2. Macy¶s

3. Kmart

4. Rich¶s

5. J.C. Penney

6. Neiman Marcus7. Target

8. Saks Fifth Avenue

9. Sears

10.Wal-Mart

IntervalScale

PreferenceRatings

1-7 11-177 79 5 15 0

2 25 7 17 200

8 82 4 14 0

3 30 6 16 100

1 10 7 17 250

5 53 5 15 35

9 95 4 14 0

6 61 5 15 100

4 45 6 16 0

10 115 2 12 10



8-10Primary Scal es of Measur em ent Or dinal Scal e

A ran kin g scal e in whic h num bers ar e assi gn ed to o bjects to in dicat e t he r elati ve ext ent to whic h t heo bjects poss ess som e c haract eristic .

Can det ermin e whet her an o bject has mor e or l ess of a c haract eristic t han som e ot her o bject , but not ho wmuc h mor e or l ess .

Any s eri es of num bers can be assi gn ed t hat pr es er ves t he or der ed r elations hi ps bet ween t he o bjects .

In Mar ketin g Res earc h, Or dinal scal es ar e us e to m easur e r elati ve attitu des , o pinions , perc eptions an dpr ef er enc es .

In a ddition to t he countin g o peration allo wa bl e for nominal scal e data , or dinal scal es permit t he us e of statistics bas ed on c entil es , e.g., perc entil e, quartil e,m edian , ran k-or der corr elation etc .



8-11Primary Scal es of Measur em ent Int er val Scal e

Num erically equal distanc es on t he scal e r epr es ent equal valu es in t he c haract eristic bein g m easur ed.

It permits com parison of t he diff er enc es bet ween o bjects . (ratin gs ar e gi ven )

The location of t he zero point is not fi xed. Bot h t he

zero point an d t he units of m easur em ent ar ear bitrary .

Any positi ve lin ear transformation of t he form y = a + bx will pr es er ve t he pro perti es of t he scal e.

It is not m eanin gful to ta ke ratios of scal e valu es . Statistical t ec hni qu es t hat may be us ed inclu de all of

t hos e t hat can be a ppli ed to nominal an d or dinal data , an d in a ddition t he arit hm etic m ean , stan dar ddeviation , an d ot her statistics commonly us ed in

mar ketin g r es earc h.



8-12Primary Scal es of Measur em ent Ratio Scal e

Poss ess es all t he pro perti es of t he nominal , or dinal ,an d int er val scal es .

It has an a bsolut e zero point .

It is m eanin gful to com put e ratios of scal e valu es .

Only pro portionat e transformations of t he form y =bx, wher e b is a positi ve constant , ar e allo wed.

All statistical t ec hni qu es can be a ppli ed to ratio data .



8-13

Primary Scales of Measurement Table 8.1

Scal Basic

C aracter istics

C

Examples

Marketi

Examples

Nomi al Numbers dent fy

& ssify bjects

Social Security

nos., numbering

of f ootball layers

Brand nos., store

ty es

Percentages,

mode

Chi-square,

binomial test

Ordi al Nos. indicate the relative ositions

of objects but not

the magnitude of

diff erences

between them

Quality rankings,rankings of teams

in a tournament

Pref erence rankings, market

osition, social

class

Percentile,median

Rank-or der correlation,

Friedman

ANOV A

atio Zero oint is f ixed,

ratios of scale

values can be

compared

Length, weight Age, sales,

income, costs

Geometric

mean, harmonic

mean

Coeff icient of

variation

erm issible Statistics

Descriptive Inf erential

I terval Diff erences

between objects

Temperature

(Fahrenheit)

Attitudes,

opinions, index

Range, mean,

standar d

Product-

moment



8-14

A Classification of Scaling Techniques

Likert SemanticDifferential Stapel

Figure 8.2

Scaling Techniques

NoncomparativeScales

ComparativeScales

PairedComparison

RankOrder

Constant Sum

Q-Sort andOtherProcedures

Continuous

Rating Scales

Itemized

Rating Scales



8-15

A Comparison of Scaling Techniques

Comparative scales involve the direct comparisonof stimulus objects. Comparative scale data must beinterpreted in relative terms and have only ordinal orrank order properties.

In noncomparative scales, each object is scaledindependently of the others in the stimulus set. Theresulting data are generally assumed to be interval orratio scaled.



8-16

Relative Advantages of Comparative Scales

Small differences between stimulus objects can bedetected.

Same known reference points for all respondents.

Easily understood and can be applied.

Involve fewer theoretical assumptions. Tend to reduce halo or carryover effects from one

judgment to another.



8-17

Relative Disadvantages of Comparative Scales

Ordinal nature of the data Inability to generalize beyond the stimulus objects

scaled.



8-18Comparativ e Scaling Techniqu es Pair ed Comparison Scaling

A r espon dent is pr es ent ed with t wo o bjects an das ked to s el ect on e accor ding to som e crit erion . (eg .Co ke an d Pepsi )

Th e data o btain ed ar e or dinal in natur e.

Pair ed comparison scaling is th e most wi del y us edcomparativ e scaling t echniqu e.

With n bran ds , [n (n - 1) /2] pair ed comparisons ar er equir ed

Un der th e assumption o f transitivit y, it is possi bl e to conv ert pair ed comparison data to a ran k or der .





8-20

Paired Comparison Selling

The most common method of taste testing is paired comparison. Theconsumer is asked to sample two different products and select the onewith the most appealing taste. The test is done in private and aminimum of 1,000 responses is considered an adequate sample. A blindtaste test for a soft drink, where imagery, self -perception and brandreputation are very important factors in the consumers purchasingdecision, may not be a good indicator of performance in themarketplace. The introduction of New Coke illustrates this point. NewCoke was heavily favored in blind paired comparison taste tests, but itsintroduction was less than successful, because image plays a major rolein the purchase of Coke.

A paired comparisontaste test



8-21Comparativ e Scaling Techniqu es Ran k Or der Scaling

Respon dents ar e pr es ent ed with s ev eral o bjects simultan eousl y an d as ked to or der or ran k th em accor ding to som e crit erion .

It is possi bl e that th e r espon dent ma y disli ke th ebran d ran ked 1 in an a bsolut e s ens e.

Furth ermor e, ran k or der scaling also r esults in or dinal data .

Onl y (n - 1) scaling decisions n eed be ma de in ran kor der scaling .



8-22Preference for Toothpaste BrandsUsing Rank Order Scaling

Figure 8.4

Instructions: Rank the various brands of toothpaste in orderof preference. Begin by picking out the one brand that youlike most and assign it a number 1. Then find the second most preferred brand and assign it a number 2. Continue this

procedure until you have ranked all the brands of toothpastein order of preference. The least preferred brand should beassigned a rank of 10.

No two brands should receive the same rank number.

The criterion of preference is entirely up to you. There is noright or wrong answer. Just try to be consistent.



8-23

Brand Rank Order

1. Crest _________

2. Co

lgate _________3. Aim _________

4. Gleem _________

5. Macleans _________

6. Ultra Brite _________

7. Close Up _________

8. Pepsodent _________

9. Plus White _________

10. Stripe _________

Preference for Toothpaste BrandsUsing Rank Order Scaling

Figure 8.4 cont.

Form



8-24Comparativ e Scaling Techniqu es Constant Sum Scaling

Respon dents allocat e a constant sum o f units , such as 100 points to attri but es o f a pro duct to r ef l ect th eir importanc e.

If an attri but e is unimportant , th e r espon dent assigns it zero points .

If an attri but e is t wic e as important as som e oth er attri but e, it r ec eiv es t wic e as man y points .

Th e sum o f all th e points is 100. enc e, th e nam e o f th e scal e.



8-25Importance of Bathing Soap AttributesUsing a Constant Sum Scale

Figure 8.5

Instructions

On the next slide, there are eight attributes of

bathing soaps. Please allocate 100 points amongthe attributes so that your allocation reflects therelative importance you attach to each attribute.The more points an attribute receives, the moreimportant the attribute is. If an attribute is not at

all important, assign it zero points. If an attribute istwice as important as some other attribute, it should receive twice as many points.



8-26

Figure 8.5 cont.

Form Average Responses of Three Segments

Attribute Segment I Segment II Segment III1. Mildness

2. Lather3. Shrinkage4. Price5. Fragrance

6. Packaging7. Moisturizing8. Cleaning Power

Sum

8 2 42 4 173 7

53 171

7 55 3 20

13 60 15100 100 100

Importance of Bathing Soap AttributesUsing a Constant Sum Scale

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Marketing Research 08