Download Chapter Three

Chapter Four
Exploratory Research
Design: Secondary Data
Copyright © 2010 Pearson Education, Inc.
4-1
Chapter Outline
1) Primary Versus Secondary Data
2) Uses and criteria of Secondary Data
3) Classification of Secondary Data
4) Internal Secondary Data
5) External Secondary Data
6) Summary
7) Questions for Revision
Copyright © 2010 Pearson Education, Inc.
4-2
Primary Vs. Secondary Data
• Primary data
- are originated by a researcher for the specific purpose
of addressing the problem at hand.
- obtaining primary data can be expensive and time
consuming.
• Secondary data
- are data that have already been collected for purposes
other than the problem at hand.
- these data can be located quickly and inexpensively.
Copyright © 2010 Pearson Education, Inc.
4-3
A Comparison of Primary & Secondary Data
Collection
Collection
Collection
Collection
purpose
process
cost
time
Primary Data
Secondary Data
For the problem at hand
Very involved (complicated)
High
Long
For other problems
Rapid & easy
Relatively low
Short
Copyright © 2010 Pearson Education, Inc.
4-4
Uses of Secondary Data
• Identify the problem
• Better define the problem
• Develop an approach to the problem
• Formulate an appropriate research design (for
example, by identifying the key variables)
• Answer certain research questions and test some
hypotheses
• Interpret primary data more insightfully
But: the quality of the secondary data should be
evaluated using some criteria.
Copyright © 2010 Pearson Education, Inc.
4-5
Criteria for Evaluating Secondary Data
Criteria
Issues
Specifications Data collection method, response rate,
(Methodology) quality & analysis of data, sampling
technique & size, questionnaire design,
fieldwork.
Remarks
Data should be reliable, valid,
& generalizable to the
problem.
Error (data
Accuracy)
Examine errors in approach,
research design, sampling, data
collection & analysis, & reporting.
Assess accuracy by
comparing data from
different sources.
Currency
Time lag between collection &
publication, frequency of updates.
Census data are updated by
syndicated firms.
Objective
Why were the data collected?
The objective determines the
relevance of data.
Nature
Definition of key variables, units of
measurement, categories used,
relationships examined.
Reconfigure the data to
increase their usefulness.
Dependability
Expertise, credibility, reputation, and
trustworthiness of the source.
Data should be obtained
from an original source.
Copyright © 2010 Pearson Education, Inc.
4-6
A Classification of Secondary Data
Internal data: are those generated within the
organization for which the research is being
conducted.
sources of these data are data mining, customer
relationship management, and database marketing.
External Data: are those generated by sources outside
the organization for which the research is being
conducted.
Sources of these data are published materials,
computerized databases, and syndicated services.
Copyright © 2010 Pearson Education, Inc.
4-7
A Classification of Secondary Data
Secondary Data
Internal
Ready to
Use
Requires
Further
Processing
Copyright © 2010 Pearson Education, Inc.
External
Published
Materials
Computerized
Databases
Syndicated
Services
4-8
Internal Secondary Data
Example: Department Store Project Sales were
analyzed to obtain:
• Sales by product line
• Sales by major department (e.g., men's wear,
house wares)
• Sales by specific stores
• Sales by geographical region
• Sales by cash versus credit purchases
• Sales in specific time periods
• Sales by size of purchase
• Sales trends in many of these classifications were
also examined
Copyright © 2010 Pearson Education, Inc.
4-9
External Secondary Data
A Classification of Published Secondary Sources
Published Secondary
Data
Government
Sources
General Business
Sources
Guides
Directories
Copyright © 2010 Pearson Education, Inc.
Indexes
Statistical
Data
Census
Data
Other
Government
Publications
4-10
External Secondary Data
A Classification of Computerized Databases
Computerized
Databases
Online
Bibliographic
Databases
Numeric
Databases
Copyright © 2010 Pearson Education, Inc.
Internet
Full-Text
Databases
Off-Line
Directory
Databases
SpecialPurpose
Databases
4-11
External Secondary Data
A Classification of Computerized Databases
 Online databases: Consists of a central data bank which is accessed with a computer
via a telecommunications network.
 Internet databases: can be accessed, searched, and analyzed on the Internet.
 Offline Databases make information available on CD-ROM disks.
Online, Internet, and offline may be further classified as bibliographic, numeric,
full-text, directory, or special-purpose databases:
 Bibliographic databases are composed of citations to articles.
 Numeric databases contain numerical and statistical information.
 Full-text databases contain the complete text of the source documents comprising
the database.
 Directory databases provide information on individuals, organizations, and services.
 Special-purpose databases provide specialized information. eg. The Profit
Impact of Market Strategies (PIMS) database.
Copyright © 2010 Pearson Education, Inc.
4-12
External Secondary Data:
Syndicated Services
• Syndicated services are companies that
collect and sell common data of known
commercial value designed to serve a number
of clients.
• Syndicated sources can be classified based on
the data unit of measurement to:
- Household/consumer data: obtained from
surveys, diary panels, or electronic scanner
services
- Institutional data: obtained from retailers,
wholesalers, or industrial firms
Copyright © 2010 Pearson Education, Inc.
4-13
External Secondary Data
A Classification of Syndicated Services
Unit of
Measurement
Households/
consumers
Copyright © 2010 Pearson Education, Inc.
Institutions
4-14
Syndicated Services: household/consumers
Households /
consumers
Panels
Purchase
Volume
Tracking Data
Surveys
Psychographic
& Lifestyles
Media
General
Copyright © 2010 Pearson Education, Inc.
Electronic
scanner services
Scanner
Panels
Scanner
Panels with
Cable TV
Advertising
Evaluation
4-15
External Secondary Data
Type of Individual/Household Level Data from Syndicated Firms
I. Demographic Data
- Identification (name, address, email, telephone)
- Sex
- Marital status
- Names of family members
- Age (including ages of family members)
- Income
- Occupation
- Number of children present
- Home ownership
- Length of residence
- Number cars owned
Copyright © 2010 Pearson Education, Inc.
4-16
External Secondary Data
Type of Individual/Household Level Data from Syndicated Firms
II.
Psychographic Lifestyle Data
- Interest in golf
- Interest in snow skiing
- Interest in book reading
- Interest in running
- Interest in bicycling
- Interest in pets
- Interest in fishing
- Interest in electronics
- Interest in cable television
There are also firms such as Dun & Bradstreet and American
Business Information which collect demographic data on businesses.
Copyright © 2010 Pearson Education, Inc.
4-17
Syndicated Services: Institutions
Institutions
Retailers
Wholesalers
Industrial firms
Audits
Direct
Inquiries
Copyright © 2010 Pearson Education, Inc.
Clipping
Services
Corporate
Reports
4-18
Syndicated Services: Institutions
 Retailer and wholesaler audit: the audit is the most popular
means of obtaining data from retailers and wholesalers. Audit is a
data collection process derived from physical records or by
performing inventory analysis. Data are collected personally by the
researcher or by representatives of the researcher, and data are
based on counts. Audit data focus on the products sold through the
outlets.
 Industrial services: provide syndicated financial, operating, and
employment data about industrial firms and other types of
institutions.
 Direct inquiry: asking the firm for data.
 Clipping services: collecting data from newspapers, trade press, or
broadcast.
 Corporate reports: reports issued by the firm eg. annual report.
Copyright © 2010 Pearson Education, Inc.
4-19
Copyright © 2010 Pearson Education, Inc.
4-20
Copyright © 2010 Pearson Education, Inc.
4-21
Questions for Revision
1. What are the differences between primary and secondary
data? (Slides 3-4)
2. Differentiate, with giving examples, between internal and
external secondary data. (slides 7-8)
3. Mention 3 uses of secondary data. (slide 5)
4. Briefly explain 3 criteria for evaluating secondary data? (slide 6)
5. What is meant by Syndicated services as a source of
secondary data in marketing research. (slide 13)
6. Mention 3 examples of both demographic and psychographic
data(slide 16-17)
Copyright © 2010 Pearson Education, Inc.
4-22