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Chapter-5 Data Analysis and Techniques in Marketing Research
Chapter-5 Data Analysis and Techniques in Marketing Research
Outcomes covered:
Topics covered:
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Introduction
In preparing the data for analysis, the data must be edited, coded, tabulated and transformed into
information and documented.
Editing
Editing ensures that the information on questionnaire forms is complete, accurate and consistent.
It consists of screening questionnaires to identify illegible, incomplete, inconsistent or
ambiguous responses. Every question must be checked to see either it has been answered, or
omitted. Missing information can be collected by contacting the respondent.
Coding
Coding means assigning a code, usually a number, to each possible response to each question. It
is a process that involves identifying and classifying of each response on a data collection
instrument with a designated symbol (either letters or numbers). Coding is usually printed on
questionnaire forms to enable interviewers to pre-code responses during the course of
interviewing. Example;
How long you are using the mobile?
Code
Up to one year 1
Over one year up to two years 2
Over two years up to three years 3
Over three years up to four years 4
Over four years up to five year 5
Over five years 6
If the questionnaire contains only structured questions, it is pre-coded. This means codes are
assigned before the field work is conducted.
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If the questionnaire contains unstructured questions, codes are assigned after the questionnaires
have been returned from the field. This is called post coding.
Tabulation
Tabulation consists simply of counting the number of cases that fall into various categories. It
involves counting the frequency of certain cases within classifications. The tabular presentation
of frequency distribution is called tabulation. The objective is to prepare quantitative data so that
they are readily understandable. The arrangement of data can in numerical sequence can be
ascending or descending. Thus the statistical nature of the data is more likely to be observable
when they are classified and compressed for analysis purposes.
There are two forms of tabulation:
a) Simple tabulation
Example:
A sample of 115 consumers is selected from Nizwa to know whether they will buy a new of
mobile. The data are as follows
Table.1 Willingness to buy a new mobile
Consumer response Number of consumers Percentage
Yes, I will buy 24 21%
I would probably buy 20 17%
Iam not sure now 36 31%
I would probably not buy 20 17%
No, I would not buy 15 14%
Total 115 100
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Graph no.1 Willingness to buy mobile
35
30
25
20
15
10
5
0
Yes I will buy I would Iam not sure I would No, I would not
probably buy now probably not buy
buy
b) Cross tabulation
The following table shows the preference of consuming Mountain Dew
In cross tabulation the researcher investigates the relationship between two or more variables that
falls in each of the classification.
120
100
80
60 No
Yes
40
20
0
Males Females
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Some statistical techniques for analysis
The following are some of the statistical tools used for analyzing and interpreting the results.
They are briefly discussed below;
Examples:
1. The number of refrigerators sold in 2015 from a sample of 10 retail stores chain in Nizwa is as
follows. Calculate the mean.
80, 110, 40, 70, 80, 100, 50, 80, 30, 10
Mean = ∑ X/N = 650/10 = 65.
Thus the average sales of refrigerators sold in Nizwa during 2015 is 65.
= ∑ (X - µ) 2 = 9050/10 = 30.08
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3. The number of calories and the number of milligrams of cholesterol for a random sample of
fast food chicken sandwiches from seven restaurants are shown here. Is there a relationship
between the variables?
Cholesterol (Y) 43 45 80 50 55 52 60
R =1– 6 ΣD2
n (n2 – 1)
X Y (R1) (R2) D = R 1 - R2 D2
390 43 2 1 -1 1
535 45 6 2 4 16
720 80 7 7 0 0
300 50 1 3 -2 4
430 55 3 5 -2 4
500 52 5 4 1 1
440 60 4 6 -2 4
ΣD2 = 30
R =1– 6 ΣD2
n (n2 – 1)
=1– 6 x 30
7(49 – 1)
= 1 – 180
336
= 1 – 0.53 = 0.47
Thus it is inferred that there is a positive relationship between the calories content in fast food
chicken sandwiches and cholesterol levels.
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4. The values of advertisement expense (X) and sales (Y) are shown in the table below. Find the
regression line Estimate the value of sales when advertisement expense is 10.
x y xy x2
0 2 0 0
1 3 3 1
2 5 10 4
3 4 12 9
4 6 24 16
Σx = 10 Σy = 20 Σx y = 49 Σx2 = 30
We now calculate ‘a’ and ‘b’ using the least square regression formulas for ‘a’ and ‘b’.
a= ( y ) ( x2) - ( x)( xy)
n( x2) - ( x)2
a = (20) (30) - (10) (49) =2.2
5 (30) - (10)2
b= n xy ) - ( x)( y)
n( x2) - ( x)2
=5(49)–(10)(20)
5(30) – (10)2
= 0.9
Now that we have the least square regression line y = 2.2 + 0.9 x, substitute x by 10 to find the
value of the corresponding y
y = 2.2 + 0.9(10) = 11.2
Therefore it is estimated that when the advertisement expense is 10, then the sales would be 11.2.
5. The ranking of 5 respondents of car users are taken and their preferences are ranked as
follows. Find the most preferred feature by the car users?
Ranks
Features
1 2 3 4 5 6
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Cruise control 1 2 2
4WD 1 2 1 1
Fully automatic 1 1 2 1
Video system 1 2 1 1
Navigation system 1 1 1 2
Leather seats 1 2 2
The calculation is as follows;
Ranks
Features Calculation Total/5
Cruise control 1 x 1 + 2 x 3 + 2 x 6 = 19 19/5 = 3.8 V
4WD 1 x 1 + 2 x 2 + 1 x 3 = 1 x 5 = 13 13/5 = 2.6 I
Fully automatic 1 x 1 + 1 x 3 + 2 x 4 + 1 x 5 = 17 17/5 = 3.4 II
Video system 1 x 3 + 2 x 4 + 1 x 5 + 1 x 6 = 22 22/5 = 4.4 VI
Navigation system 1 x 1 + 1 x 2 + 1 x 4 + 2 x 5 = 17 17/5 = 3.4 II
Leather seats 1 x 1 + 2 x 2 + 2 x 6 = 17 17/5 = 3.4 II
From this ranking method it is clear that the most important attribute that consumer prefer for the
car is 4WD. Video system feature is the least preferred by the consumers.
6. Calculate the Coefficient of variation for the following features of mobile phone by the
consumers.
References
David, Aaker, V. Kumar; George S. Day; Robert P. Leone, Marketing Research, 10 th Edition,
2011, John Wiley & Sons (Asia) Pvt Ltd.
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Seymour Sudman & Edward Blair, Marketing Research, A Problem-Solving Approach,
International Edition, 1998, Irwin/McGraw Hill, Singapore.
Peter Chisnall, Marketing Research, Seventh Edition, 2005, Mc Graw Hill Education, England.
David J. Luck & Ronald S. Lubin, Marketing Research, Seventh Edition, 2007, Prentice Hall of
India Private Limited, New Delhi.
Naresh K.Malhotra, Basic Marketing Research, Integration of Social Media, Fourth Edition,
2012, Pearson Education Inc, New Jersey.
Nigel Bradley, Marketing Research, Tools and Techniques, Second Edition, 2010, Oxford
University Press, New York.
Joseph F. Hair; Robert P.Bush; David J. Ortinau, Marketing Research Within a Changing
Information Environment, Second Edition, 2003, Mc Graw Hill Irwin, New York.
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