Measurement and Scaling Chapter 7 Measurement and Scaling McGraw-Hill/Irwin Copyright © 2013 by The McGraw-Hill Companies, Inc. All rights reserved.

Learning Objectives Understand the role of measurement in marketing research Explain the four basic levels of scales Describe scale development and its importance in gathering primary data Discuss comparative and noncomparative scales

Value of Measurement in Information Research Precise physical measurement is critical Essential to effective decision making

Overview of the Measurement Process Measurement: An integrative process of determining the intensity (or amount) of information about constructs, concepts, or objects Consists of two tasks: Construct selection/development Scale measurement

What Is a Construct? An abstract idea or concept formed in a person’s mind A combination of a number of similar characteristics of the construct

Construct Development Construct: A hypothetical variable made up of a set of component responses or behaviors that are thought to be related Construct development: An integrative process in which researchers determine what specific data should be collected for solving the defined research problem

Exhibit 7.1 - Examples of Concrete Features and Abstract Constructs of Objects

Exhibit 7.1 - Examples of Concrete Features and Abstract Constructs of Objects

Scale Measurement The process of assigning descriptors to represent the range of possible responses to a question about a particular object or construct Scale points: Designated degrees of intensity assigned to the responses in a given questioning or observation method

Four Basic Scale Levels Nominal Scale The type of scale in which the questions require respondents to provide only some type of descriptor as the raw response Ordinal Scale A scale that allows a respondent to express relative magnitude between the answers to a question Interval Scale A scale that demonstrates absolute differences between each scale point Ratio Scale A scale that allows the researcher not only to identify the absolute differences between each scale point but also to make comparisons between the responses

Exhibit 7.2 - Examples of Nominal Scales

Exhibit 7.3 - Examples of Ordinal Scales

Exhibit 7.4 - Examples of Interval Scales

Exhibit 7.5 - Examples of Ratio Scales

Evaluating Measurement Scales Scale reliability - Refers to the extent to which a scale can reproduce the same or similar measurement results in repeated trials Techniques that help scale reliability: Test-retest Equivalent form

Evaluating Measurement Scales Scale validity - Assesses whether a scale measures what it is supposed to measure Face validity Content validity Convergent validity Discriminant validity

Criteria for Scale Development Understanding of the questions Discriminatory power of scale descriptors Discriminatory power: The scale's ability to discriminate between the categorical scale responses (points) Balanced versus unbalanced scales Forced or nonforced choice scales Negatively worded statements Desired measure of central tendency and dispersion

Exhibit 7.7 - Relationships between Scale Levels and Measures of Central Tendency and Dispersion

Scales to Measure Attitudes and Behaviors Likert scale: An ordinal scale format that asks respondents to indicate the extent to which they agree or disagree with a series of mental belief or behavioral belief statements about a given object

Scales to Measure Attitudes and Behaviors Semantic differential scale: A unique bipolar ordinal scale format that captures a person's attitudes or feelings about a given object Credibility construct consisting of three dimensions is used: Expertise Trustworthiness Attractiveness

Scales to Measure Attitudes and Behaviors Behavioral intention scale: A special type of rating scale designed to capture the likelihood that people will demonstrate some type of predictable behavior intent toward purchasing an object or service in a future time frame

Exhibit 7.8 - Construct/Scale Development Process

Other Rating Scales Noncomparative rating scales: A scale format that requires a judgment without reference to another object, person, or concept Comparative rating scales: A scale format that requires a judgment comparing one object, person, or concept against another on the scale

Other Rating Scales Graphic rating scales: A scale measure that uses a scale point format that presents the respondent with some type of graphic continuum as the set of possible raw responses to a given question Rank-order scales: These allow respondents to compare their own responses by indicating their first, second, third, and fourth preferences, and so forth

Other Rating Scales Constant-sum scales: Require the respondent to allocate a given number of points, usually 100, among each separate attribute or feature relative to all the other listed ones

Other Scale Measurement Issues Single-item scale: A scale format that collects data about only one attribute of an object or construct Multiple-item scale: A scale format that simultaneously collects data on several attributes of an object or construct Clear wording

Marketing Research in Action: What Can You Learn from a Customer Loyalty Index? What level of scale design would be most appropriate in creating necessary scale measurements for collecting primary data on each construct? For each construct, design an example of the actual scale measurement that could be used to collect the data.

What weaknesses exist in how Burke assesses its Secure Customer Index? Marketing Research in Action: What Can You Learn from a Customer Loyalty Index? What weaknesses exist in how Burke assesses its Secure Customer Index? Make sure to clearly identify each weakness and explain why it is a weakness. What types of scale measurement would you have used to collect the needed data for calculating SCI®? Why? Write some scale measurements you would use.

Marketing Research in Action: What Can You Learn from a Customer Loyalty Index? What level of scale design would be the most appropriate in creating the necessary scale measurements for collecting primary data on each construct? For each construct, design an example of the actual scale measurement that could be used by Burke, Inc., to collect the data.

Write some scale measurements you would use. Marketing Research in Action: What Can You Learn from a Customer Loyalty Index? If you were the lead researcher, what types of scale measurement would you have used to collect the needed data for calculating SCI®? Why? Write some scale measurements you would use.