Data Collection

Data Collection Methods

Edited & Complied By

Sanjeev Sadashiv. Malage Associate Professor FMS Department , NIFT, Bangalore

Data Collection Methods

• Types • Sources • Methods • Pros and cons

Data

“Data “Data are are the the facts facts and and figures figures related related to to the the problem, problem, and and are are divided divided into into two two main main parts: parts: secondary secondary data data and and primary primary data.” data.”

3 Sanjeev Sadashiv Malage, NIFT, Bangalore

Primary Versus Secondary Data • Primary data: information that is developed or gathered by the researcher specifically for the research project at hand. • Secondary data: information that has previously been gathered by someone other than the researcher and/or for some other purpose than the research project at hand. 4 Sanjeev Sadashiv Malage, NIFT, Bangalore

Primary Data

“Primary “Primary data data are are the the facts facts and and figures figures that that are are newly newly collected collected for for aa project.” project.”

5 Sanjeev Sadashiv Malage, NIFT, Bangalore

Secondary Data

“Secondary “Secondary data data are are the the facts facts and and figures figures that that have have already already been been recorded recorded before before the the project project at at hand.” hand.”

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Observational Data

“Observational “Observational data data are are facts facts and and figures figures obtained obtained by by watching, watching, either either mechanically mechanically or or in in person, person, how how people people actually actually behave.” behave.”

7 Sanjeev Sadashiv Malage, NIFT, Bangalore

Questionnaire Data

“Questionnaire “Questionnaire data data are are facts facts and and figures figures obtained obtained by by asking asking people people about about their their attitudes, attitudes, awareness, awareness, intentions, intentions, characteristics characteristics and and behaviors.” behaviors.”

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Focus Group

“A “A focus focus group group is is aa research research technique technique where where aa small small group group of of people people meet meet for for aa few few hours hours with with aa trained trained moderator moderator to to discuss discuss topics topics surrounding surrounding the the marketing marketing research research problem.” problem.”

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Locating Secondary Data Sources • Step 1:

• Step 2: • Step 3:

Identify what you wish to know and what you already know about your topic. Develop a list of key words and names. Begin your search using several library sources. 10 Sanjeev Sadashiv Malage, NIFT, Bangalore

Locating Secondary Data Sources • Step 4:

• Step 5:

Step 6:

Compile the literature you have found and evaluate your findings. If you are unhappy with what you have found or are otherwise having trouble, use an authority. Report results. 11 Sanjeev Sadashiv Malage, NIFT, Bangalore

Classification of Secondary Data • Internal secondary data are data that have been collected within the firm such as sales records, purchase requisitions, and invoices. – Internal secondary data is used for database marketing.

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Classification of Secondary Data – Database marketing is the process of building, maintaining customer (internal) databases and other (internal) databases for the purpose of contacting, transacting, and building relationships. CRM and DATA Mining

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Internal Databases • What is a database? • Internal database: a database developed from data within an organization. • Where does the data come from? – – – –

Sales Invoices Salesperson’s Call Reports Warranty Cards Customer Registration/Sign-in

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Internal Database Marketing • Database marketing: the creation of large computerized files of customers’ and potential customers’ profiles and purchasing patterns. Often called micromarketing. • Internal database marketing enables firms to: – – – –

evaluate sales territories identify most and least profitable customers identify potential market segments identify which products, services, and segments need the most marketing support – evaluate opportunities for offering new products or services – identify most and least profitable products and services – evaluate existing marketing programs 15 Sanjeev Sadashiv Malage, NIFT, Bangalore

Types of Secondary Data üInternal Data – Internal databases (files, records, reports, etc.) Database: Records

Sales records

Fields

Scanner data Sales reports

Data mining

Sanjeev Sadashiv Malage, NIFT, Bangalore

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Internal Databases • Database refers to a collection of data and information describing items of interest. • Record: is a unit of information in a database. • Fields: subcomponents of information composing records. – Brand – Color – Year – Model – Violations 17 Sanjeev Sadashiv Malage, NIFT, Bangalore

External Secondary Data • Published: are sources of information prepared for public distribution and normally found in libraries or a variety of other entities such as trade or Govt. organizations.

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Sources of Secondary data • Government publications – Statistical Abstract of India – by CSO – Annual survey of Industries – Estimates of National product, Savings and Capital formation – Census report – by Reg Gen of India – Basic Statistics Relating to Indian Economy –by Planning commission – National Sample Survey- socio-eco-by PC 19 Sanjeev Sadashiv Malage, NIFT, Bangalore

Sources of Secondary data • Non Government publications – Kothari’s industrial and Eco guide – Chamber of commerce – Thapers Indian Industrial Directory and Export import directory of the world – SIRI Directory of Industrial India – The Hindu Survey of Indian Industries – Indian Industries 20 Sanjeev Sadashiv Malage, NIFT, Bangalore

External Secondary Data • Syndicated Services Data: are provided by firms that collect data in a standard format and make them available to subscribing firms -- highly specialized and not available in libraries.

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Syndicated Services Data • Consumer research – Retail Stores audit on cons purchase-ORG – Market pulse –IMRB

• Media Research – National readership Survey –IMRB – Television Rating Point

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Uses of Secondary Data • Secondary data has many uses in marketing research and sometimes the entire research project may depend on the use of secondary data. • Applications include economic-trend forecasting, corporate intelligence, international data, public opinion, and historical data. 23 Sanjeev Sadashiv Malage, NIFT, Bangalore

Advantages of Secondary Data • • • • •

Obtained quickly Inexpensive Usually available Enhances existing primary data May achieve research objective

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Advantages of Secondary Data • Primary advantages: – Acquisition cost – Acquisition time – Convenience

• Additional advantages: – May help clarify or redefine the problem definition – May provide a solution to the problem – May aid in primary research design – May provide background info. and foster creativity 25 Sanjeev Sadashiv Malage, NIFT, Bangalore

Limitations of Secondary Data • Lack of availability • Lack of relevance • Inaccuracy – – – – – –

Who gathered the data? What was the purpose of the study? What information was collected? When was the information collected? How was the information obtained? Is the information consistent with other information?

• Insufficient Data 26 Sanjeev Sadashiv Malage, NIFT, Bangalore

Secondary Data – Limitations • When was it collected? For how long? – May be out of date for what you want to analyze. – May not have been collected long enough for detecting trends.

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Secondary Data – Limitations • Is the data set complete? – There may be missing information on some observations – Unless such missing information is caught and corrected for, analysis will be biased.

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Secondary Data – Limitations • Are there confounding problems? – Sample selection bias? – Source choice bias? – In time series, did some observations drop out over time?

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Secondary Data – Limitations • Are the data consistent/reliable? – Did variables drop out over time? – Did variables change in definition over time?

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Secondary Data – Limitations • Is the information exactly what you need? – In some cases, may have to use “proxy variables” – variables that may approximate something you really wanted to measure. Are they reliable? Is there correlation to what you actually want to measure?

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Disadvantages of Secondary Data • Measurement units do not match…need per capita income and only have household income. • Class definitions are not usable…need to know percent of population with income above 100k and only have 50k and over. • Data are outdated. 32 Sanjeev Sadashiv Malage, NIFT, Bangalore

Secondary Data – Advantages • No need to reinvent the wheel. – If someone has already found the data, take advantage of it.

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Secondary Data – Advantages • It will save you money. – Even if you have to pay for access, often it is cheaper in terms of money than collecting your own data. (more on this later.)

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Secondary Data – Advantages • It will save you time. – Primary data collection is very time consuming. (More on this later, too!)

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Secondary Data – Advantages • It may be very accurate. – When especially a government agency has collected the data, incredible amounts of time and money went into it. It’s probably highly accurate.

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Secondary Data – Advantages • It has great exploratory value – Exploring research questions and formulating hypothesis to test.

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Evaluating Secondary Data • • • • •

What was the purpose of the study? Who collected the information? What information was collected? How was the information attained? How consistent is the information with other information?

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Summary • Secondary data is the place to start for all projects. • Government Documents are very helpful • Industry associations are helpful • Ask what associations are relevant

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Primary Data • Primary data – data you collect

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Primary Data - Examples • • • • •

Surveys Focus groups Questionnaires Personal interviews Experiments and observational study

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Types of Primary Data • Demographic/Socioeconomic – Age, Sex, Income, Marital Status, Occupation

• Psychological/Lifestyle – Activities, Interests, Personality Traits

• Attitudes/Opinions – Preferences, Views, Feelings, Inclinations

• Awareness/Knowledge – Facts about product, features, price, uses

• Intentions – Planned or Anticipated Behavior

• Motivations – Why People Buy (Needs, Wants, Wishes, Ideal-Self)

• Behavior – Purchase, Use, Timing, Traffic Flow Sanjeev Sadashiv Malage, NIFT, Bangalore

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Primary Data - Limitations • Do you have the time and money for: – Designing your collection instrument? – Selecting your population or sample? – Pretesting/piloting the instrument to work out sources of bias? – Administration of the instrument? – Entry/collation of data?

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Primary Data - Limitations • Uniqueness – May not be able to compare to other populations

• Researcher error –Sample bias

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Data collection choice • What you must ask yourself: – Will the data answer my research question?

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Data collection choice • To answer that – You much first decide what your research question is – Then you need to decide what data/variables are needed to scientifically answer the question

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Data collection choice • If that data exist in secondary form, then use them to the extent you can, keeping in mind limitations. • But if it does not, and you are able to fund primary collection, then it is the method of choice.

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Primary Data Can Be Gathered By: • Communication Methods – Interacting with respondents – Asking for their opinions, attitudes, motivations, characteristics

• Observation Methods – No interaction with respondents – Letting them behave naturally and drawing conclusions from their actions 48 Sanjeev Sadashiv Malage, NIFT, Bangalore

Communication Methods of Primary Data Collection • Methods include: – Surveys – Focus Groups – Panels

• Highly versatile in terms of types of data • Generally more speedy • Typically more cost effective – Electronic media have made observation cheaper – Activities, Interests, Personality Traits 49 Sanjeev Sadashiv Malage, NIFT, Bangalore

Observation Methods: What Can Be Observed? • Physical Actions – Shopping behavior, response latency, service quality, television viewing habits

• Verbal Behaviors – Sales conversations, opinion leadership, tone of voice

• Expressive behaviors – Facial expressions, body posture

• Spacial Relations and Locations – Traffic patterns, store layout, efficiency

• Temporal Patterns – Amount of time spent shopping, service time 50 Sanjeev Sadashiv Malage, NIFT, Bangalore

Observation Methods of Primary Data Collection • Types of observation: – Direct versus indirect – Disguised versus undisguised – Structured versus unstructured – Human versus mechanical • Greater objectivity – less researcher bias

• More accurate – less “response tendency” or “demand effects”

• Limited in terms of what can be observed 51 Sanjeev Sadashiv Malage, NIFT, Bangalore

Primary Data - Examples • • • • •

Surveys Focus groups Questionnaires Personal interviews Experiments and observational study

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