Basic Marketing Research Using

Microsoft Excel Data Analysis 3rd

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 CHAPTER 6
Data Collection Methods

LEARNING OBJECTIVES
• To learn the four basic alternative modes for gathering survey data

• To understand the advantages and disadvantages of each of the alternative data

gathering modes

• To become knowledgeable about the details of different types of survey data

collection methods such as personal interviews, telephone interviews, and computer-
assisted interviews, including online surveys

• To comprehend the factors researchers consider when choosing a particular survey

method

CHAPTER OUTLINE
Four Alternative Data Collection Modes
Person-Administered Surveys
Advantages of Person-Administered Surveys
Feedback
Rapport
Quality Control
Adaptability
Disadvantages of Person-Administered Surveys
Humans Error
Slowness
Cost
Interview Evaluation
Computer-Assisted Surveys
Advantages of Computer-Administered Surveys
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 Speed
Error-Free Interviews
Pictures, Videos, and Graphics
Real-Time Capture of Data
Reduced Interview Evaluation
Disadvantages of Computer-Administered Surveys
Technical Skills Required
High Setup Costs
Self-Administered Surveys
Advantages of Self-Administered Surveys
Reduced Cost
Respondent Control
No Interview-Evaluation Apprehension
Disadvantages of Self-Administered Surveys
Respondent Errors
Lack of Supervision
Stand-alone Questionnaire
Mixed-Mode Surveys
Advantage of Mixed-Mode Surveys
Disadvantage of Mixed-Mode Surveys
Descriptions of Data Collection Methods
Person-Administered Surveys
In-Home Interviews
Mall-Intercept Interviews
In-Office Interviews
Central Location Telephone Interviews
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 Computer-Assisted Surveys
Computer-Assisted Telephone Interviews (CATIs)
Fully Computerized Interviews (Not Online)
Online Interviews
Self-Administered Surveys
Mail Surveys
Group-Administered Surveys
Drop-Off Surveys
Deciding Which Survey Method to Use
How Much Time Do I Have for Data Collection?
How Much Money Do I Have for Data Collection?
What Type of Respondent Interaction Is Required?
Are There Special Considerations to Take into Account?

KEY TERMS
Central location telephone interviewing Internet-based questionnaire
Completely automated telephone survey (CATS) Interview evaluation
Computer-administered survey Mail survey

Computer-assisted telephone interviews (CATI) Mall-intercept interview

Drop-off survey Mixed-mode survey
Fully computerized interviews Nonresponse
Group self-administered survey Person-administered survey
Incidence rate Self-administered survey
In-home interview Self-selection bias
In-office interviews Survey

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TEACHING SUGGESTIONS
1. A field trip to a local telephone interview company does a great deal in the way of
illustrating how this survey mode operates. If there is an interview service in your
city, consider such a field trip, or if this is not feasible, have a representative from the
company speak to the class about the company’s operations.
2. It is possible to illustrate self-selection bias in students with a quick exercise. Give
students the following set of topics and have them indicate how they would respond
to a mail survey request in each case. Use a show of hands or actual count of the
responses to illustrate that some topics are inherently interesting and garner more
response than uninteresting topics.
Instructions: You pick up your mail, and you find a mail survey in it. How likely
would you be to take 15 minutes to fill out the questionnaire and return it if it
concerned each of the following topics?
Would you fill out the survey and send it back?
Topic Definitely Definitely Unsure
Would Would Not
Automobile maintenance _____ _____ _____
Dental hygiene _____ _____ _____
Personal safety on campus _____ _____ _____
Baby care _____ _____ _____
Recycling _____ _____ _____
Foreign trade with Chile _____ _____ _____
3. A large number of studies have addressed mail survey response rates. Have each
student select a single incentive tactic such as an advance postcard or monetary
incentive, and perform research on it, ideally, with some database search service
maintained by your university library or otherwise available to your students. Instruct
students to prepare a 3–5 minute summary class presentation on their topics.
4. Incidence rates can be illustrated with students’ families. With a show of hands,
determine the percent of students whose parents now own each of the following: (1) a
cat, (2) a Ford pickup truck, (3) a digital video camera, (4) a riding mower, and (5) an
American Automobile Association membership. The percentages will be analogous to
incidence rates.
5 . Ask students what creative approaches can be taken when a researcher requires a
large amount of information from respondents. Suppose, for instance, that a
researcher is investigating attitudes toward the preservation of natural habitats, and
the survey includes a battery of lifestyle questions, many attitude questions on
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 wildlife and habitat preservation, extensive demographics, plus many opinion
questions on specific state parks, national parks, public lands, and recreational areas.
The questionnaire takes 60 minutes to complete when self-administered, and 1 hour
and 30 minutes to complete when administered by an interviewer. What approaches
can be used to overcome this amount of information difficulty?
Some suggestions that may arise from class discussion include:

• Divide the questions into three or four surveys and administer them at separate
times to the same respondents
• Provide a very large incentive (say, a lottery of $500)
• Pay respondents for their time
• Send out a huge number of mail surveys and see what comes back
• Pay interviewers extra compensation for completing over a certain number

6. Describe the survey method selection phase of a recent survey with which you have
been involved. Describe the survey’s circumstances, what modes were considered,
and how the final selection was made.
7. Privacy issues continually challenge marketing researchers who conduct surveys.
Students protect their privacy just as do typical consumers. Ask students to identify
the various ways they protect their telephone privacy (such as answering machines,
caller identification, etc.), and for each one have them discuss the challenge(s) posed
to marketing researchers. What can researchers do to entice consumers to take part in
surveys? This topic can quickly degenerate to telemarketer bashing, so be prepared to
divert the discussion toward what strategies ethical marketing researchers might
consider in order to increase response rates.
Related to this topic is the National “Do Not Call” Registry (www.donotcall.gov).
Ask how many students are registered and whether or not they have noticed a
decrease in telemarketing phone calls. Most students will mistakenly believe that
marketing research calls are blocked by the Do Not Call system; however, they will
be mistaken as bona fide marketing research companies are not blocked.
8. Computer-assisted interview and web-based formats are steadily advancing and
evolving. There may be articles in the Marketing News, Quirk’s Marketing Research
Review, or other marketing research practitioner literature that describe variations or
the pros and cons of the various types. Alternatively, students can do a simple Internet
search and find companies with these products and services. Most have extensive
descriptions of their capabilities and many offer trial usage. Have students share their
findings either with short presentations or in a discussion format.
9. In this edition, we did not include “traditional telephone interview” as this method is
rarely used. If students inquire about the omission, this is the answer. Alternatively,
you might ask them to add traditional telephone interviews. The key advantage is fast
turnaround relative to face-to-face or mail alternatives, whereas the key disadvantage
is control as interviewers cannot be monitored or supervised while working. A
comment is that traditional telephone interviewing is an option when other telephone
data collection methods are unavailable or too expensive.

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ANSWERS TO REVIEW QUESTIONS
1. What is a survey?
Surveys are interviews with a large number of respondents using a predesigned
questionnaire.
2. What factors are affecting how marketing researchers conduct surveys?
Surveys are being greatly affected by technological advances in communications and
the communications preferences of consumers.
3. What are the four basic survey modes?
There are four major modes of collecting survey information from respondents:

• Person-administered surveys—have a person ask the questions, either face to

face or voice to voice without any assistance from a computer.

• Computer-assisted surveys—have a computer assist or direct the questioning

in a face-to-face or voice-to-voice survey.
• Self-administered surveys—allow respondents to fill out the questionnaire
themselves, without computer assistance.

• Mixed-mode or “hybrid” surveys—some combination of two or more of the

above three modes.
4. What are the advantages of person-administered surveys over computer-administered
ones?
A person-administered survey is one in which an interviewer reads questions, either
face to face or over the telephone, to the respondent and records his or her answers.
Its advantages are: feedback, rapport, quality control, and adaptability.
A computer-administered survey is one in which computer technology plays an
essential role in the interview work. Here either the computer assists an interview or it
interacts directly with the respondent. In the case of an Internet-based survey, the
person-administered survey is advantageous with respect to feedback, rapport, and
adaptability.
5. What is interview evaluation, and which survey mode is most likely to produce it?
The presence of another person may create apprehension, called “interview
evaluation” among certain respondents. This is of greatest concern with a person-
administered survey as there is an interviewer present.
6. Discuss the advantages and disadvantages of self-administered surveys.
A self-administered survey is one in which the respondent completes the survey on
his or her own. Its advantages are reduced cost, respondent control, and no
interviewer-evaluation apprehension. On the other hand, its disadvantages are (lack
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 of) respondent control, lack of monitoring, and high questionnaire requirements.
7. Discuss why a researcher would or would not use a mixed-mode survey. Give an
example to illustrate your points.
Mixed-mode surveys, sometimes referred to as “hybrid” surveys, use multiple data
collection methods. A researcher would use a mixed-mode survey approach to gain
the benefits of the various survey methods. For example, a researcher would use an
Internet-based survey to gain speedy access to respondents who have Internet
connections while using a telephone survey to reach those who do not have Internet
access. The first method would gain speed, while the second method gains coverage.
8. Indicate the differences among (a) in-home interviews, (b) mall-intercept interviews,
and (c) in-office interviews. What do they share in common?
An in-home interview is conducted in the home of the respondent. The mall-
intercept interview is one in which the respondent is encountered and questioned
while he or she is visiting a shopping mall. In-office interviews take place in person
while the respondent is in his or her office, or perhaps in a company lounge area.
Thus, the major difference is the location of the interview. They all share the common
denominator of a personal interviewer.
9. Why are telephone surveys popular?
Telephone interview are popular because practically everyone has a telephone, and
this survey method is fast, relatively inexpensive, and has good quality control.
10. What controls are possible with central location telephone interviewing?
With central location telephone interviewing, a field data collection company
installs several telephone lines at one location, and the interviewers make calls from
the central location. With central location telephone interviewing, there are controls
over recruitment and training of interviewers; interviews can be monitored and
checked on the spot; and interviewers’ schedules can be controlled.
11. What does CATI stand for? What does CATS stand for?
Computer-Assisted Telephone Interviews, or CATI, is a case of computerized central
location telephone interviewing. CATS, which stands for Completely Automated
Telephone Survey is a totally computer administered survey but not completed
online.
12. What advantages do online surveys have?
Internet-based online surveys are fast, easy, and questionnaires are fast, easy, and
inexpensive. These questionnaires accommodate all of the standard question formats,
and they are very flexible, including the ability to present pictures, diagrams, or
displays to respondents.
13. What are the major disadvantages of a mail survey?

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 The mail survey is plagued by two major problems. The first is nonresponse, which
refers to questionnaires that are not returned. The second is self-selection bias, which
means that those who do respond are probably different from those who do not fill
out the questionnaire and return it and, therefore, the sample gained through this
method is nonrepresentative of the general population. (Students may also point out
that mail surveys are slower than most other survey methods.)
14. How does a drop-off survey differ from a mail survey?
With a drop-off survey, the representative approaches a prospective respondent,
introduces the general purpose of the survey to the prospect, and leaves it with the
respondent to fill out on his or her own. A mail survey is one in which the questions
are mailed to prospective respondents who are asked to fill them out and return them
to the researcher by mail. Thus, the major difference is how the prospective
respondent is approached and introduced to the survey.
15. What are the major factors to be considered in the choice of the survey method?
The major factors are:
• The amount of time for data collection
• The amount of money for collection budget
• Type of respondent interaction required
• Other considerations such as the incidence rate
16. What is the “best” data collection method?
The “best” data collection method is determined by answering the question, “What
data collection method will generate the most complete and generalizable information
within the time horizon and without exceeding the allowable expenditure for data
collection?”

ANSWERS TO APPLICATION QUESTIONS

17. Is a telephone interview inappropriate for a survey that has as one of its objectives a
complete listing of all possible advertising media a person was exposed to in the last
week? Why or why not?
This question can be answered by applying the survey time horizon and budget
constraints. Phone survey can be executed very quickly and inexpensively, so there
are no reasons to object to a telephone interview on these criteria. With regard to
“type of respondent interaction required,” the question does not specify hard-to-reach
individuals or complicated tasks. The questions are straightforward (“Did you read a
newspaper in the past week?”). There are not many questions (newspapers,
magazines, television, radio, billboards, and mail), and the questions are not sensitive.
So telephone interviewing is appropriate.
18. NAPA Car Parts is a retail chain that specializes in stocking and selling automobile
parts. It is interested in learning about its customers, so 100 questionnaires are sent
to each of the 2,000 store managers with instructions that they are to give them to
“the next” 100 customers. The customer is instructed to answer the questions and to
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 place the completed questionnaire in the mail in a self-addressed envelope. There is a
$500 NAPA coupon random drawing for a lucky respondent who returns the
completed survey. What data collection method is being used, and what are its pros
and cons in this situation?
This is a variation of a “drop-off” survey research, but instead of dropping the
questionnaire, the store manager hands it to customers during the checkout.
Consequently, instead of traveling to customers, the customers travel to the store and
then encounter the survey.
A major “pro” is that this data collection approach is inexpensive; in addition there is
the possibility of a personal appeal to the prospective respondent to take part in the
survey. A “con” is that high nonresponse (and subsequent self-selection) is likely
even with the $500 incentives because taking part in the survey is entirely voluntary
and out of the control of the researcher.
19. Discuss the feasibility of each of the types of survey modes for each of the following
cases:
a. Fabergé Inc. wants to test a new fragrance called “Lime Brut.”
b. Kelly Services needs to determine how many businesses expect to hire tem-
porary secretaries to replace secretaries who go on vacation during the
summer months.
c. The Encyclopedia Britannica requires information on the degree to which
mothers of elementary-school-aged children see encyclopedia DVDs as
worthwhile purchases for their children.
d. AT&T Wireless is considering a television screen wireless phone application
and wants to know people’s reaction to it
a. Lime Brut
In-Home Interview—works but will be expensive
Mall-Intercept Interview—works and reasonable in cost
In-Office Interview—not appropriate for a consumer product test
Central Location Telephone Interview—cannot use smell
Computer-Assisted Telephone Interview—cannot use smell
Fully Computerized Interview—difficult to use smell
Online Questionnaire—cannot use smell
Mail Survey—works but low response rate
Group Self-Administered Survey—could work but administration difficult
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 Drop-Off Survey—works and reasonable in cost

b. Kelly Services
In-Home Interview—incidence rate too low to work
Mall- Intercept Interview—incidence rate too low
In-Office Interview—works but relatively expensive
Central Location Telephone Interview— works and inexpensive
Computer-Assisted Telephone Interview—works but not economical unless
national survey
Fully Computerized Interview—won’t work due to office “gatekeepers”
Online Questionnaire—works if there is a list of individuals at businesses to
contact to take part
Mail Survey—works but response rate will be low
Group Self-Administered Survey—could be used at several national business
conventions
Drop-Off Survey—works if target companies are in a concise geographic area
such as an industrial park or large office building

c. Encyclopedia Britannica
In-Home Interview—appropriate assuming mothers need to see examples of
Britannica materials
Mall-Intercept Interview—appropriate and less costly than in-home
In-Office Interview— inappropriate as will miss “at-home” mothers
Central Location Telephone Interview—works unless examples and materials
must be viewed by respondent
Computer-Assisted Telephone Interview—works unless examples and
materials must be viewed by respondent
Fully Computerized Interview—works unless examples and materials must be
viewed by respondent
Online Questionnaire—works best with an online panel, but could work if
there was a list of qualified respondents to contact via e-mail

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 Mail Survey—could work with proper incentives to increase response rate
Group Self-Administered Survey—could work at PTA or PTO meetings
Drop-Off Survey—could work but in a limited geographical area

d. AT&T
In-Home Interview—appropriate as system would need to be viewed
Mall-Intercept Interview— appropriate assuming mall intercept company has
space to set up equipment and allow respondents to view and/or use it
In-Office Interview— inappropriate due to set-up time unless target market
was executives who might want visual conference call services
Central Location Telephone Interview— would work only as a “concept” test
Computer-Assisted Telephone Interview— would work only as a “concept”
test
Fully Computerized Interview— would work only as a “concept” test
Online Questionnaire— would work as graphics and even video can be
embedded in an online survey. Also, AT&T has a very diverse market, so the
wide scope of online surveys is appropriate
Mail Survey would work only as a “concept” test but subject to nonresponse
Group Self-Administered Survey—works if the system can be demonstrated
in front of a large group of people
Drop-Off Survey—too limited in scope, might work as a very limited
“concept” test
20. With a telephone survey, when a potential respondent refuses to take part or is found
to have changed his or her telephone number or moved away, it is customary to
simply try another prospect until a completion is secured. It is not standard practice
to report the number of refusals or noncontacts. What are the implications of this
policy for the reporting of nonresponse?
The two concepts involved are nonqualifiers and nonresponse. With a changed or no-
longer-working phone number, it is a case of nonqualification, meaning that the
potential respondent cannot be asked to take part in the survey. With low incidence in
the general population, many calls must be made to secure one response; however,
this situation is not nonresponse because the nonqualifiers are no longer members of
the target group. If the potential respondent has changed numbers or moved, it is
appropriate to replace that person with someone who is assumed to be identical.

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 Nonresponse is a refusal to take part, and it is related to self-selection that has caused
the composition of the respondents to differ from that of the nonrespondents, as was
described in the discussion on mail surveys. So, self-selection bias can certainly result
in a phone survey.
Severe self-selection degrades generalizability greatly. So a judgment must be made
concerning the extent that refusals reflect incidence rate and normal declining to
participate versus how much it involved self-selection bias. In the former case, the
policy of not reporting nonresponse does little harm, although in the latter case it
masks a flaw in the research.
21. Compu-Ask Corporation has developed a stand-alone computerized interview system
that can be adapted to almost any type of survey. It can fit on a palm-sized computer,
and the respondent directly answers questions using a stylus once the interviewer has
started up the program. Indicate the appropriateness of this interviewing system in
each of the following cases:
a. A survey of plant managers concerning a new type of hazardous-waste
disposal system
Appropriate—it will save time, keep the managers’ attention, and videos,
pictures, diagrams, and tables could be used.
b. A survey of high school teachers to see if they are interested in a company’s
DVDs of educational public broadcast television programs
Appropriate—the videos could be previewed on the computer screen, so this
approach could be effective.
c. A survey of consumers to determine their reactions to a nonrefrigerated
variety of yogurt
Inappropriate—the survey would probably require a taste test and Even if did
not, the Compu-Ask approach would be overkill. Traditional methods such as
mall-intercept are satisfactory.
22. A researcher is pondering what survey mode to use for a client who markets a home
security system for apartment dwellers. The system comprises sensors that are
pressed onto all of the windows and magnetic strips that are glued to each door.
Once plugged into an electric socket and activated with a switch box, the system
emits a loud alarm and simulates a barking guard dog when an intruder trips one of
the sensors. The client wants to know how many apartment dwellers in the United
States are aware of the system, what they think of it, and how likely they are to buy it
in the coming year. Which consideration factors are positive and which ones are
negative for each of the following survey modes: (a) in-home interview, (b) mall-
intercept survey, (c) online survey, (d) drop-off survey, and (e) CATI survey?
Survey data collection time horizon—assuming it is short, it discourages in-home
interviews, but mall intercepts, online survey, drop-off survey, and telephone survey
are reasonable.

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 Survey data collection budget—assuming it is limited, it discourages in-home
interviews and perhaps mall intercepts, although online survey, drop-off survey, and
telephone survey are candidates.
Type of respondent interaction required—the concept is easily understood with verbal
description, so this factor would not enter into the decision.
Other considerations: Incidence rate—the incidence of apartment dwellers needing
security systems is low, so in-home interviews and mall intercepts would be
inefficient. Because the company wants to generalize to the entire United States,
drop-offs to apartment buildings would be difficult nationwide. The online survey
will handle low incidence well as respondents self-select, and the CATI survey would
be a “brute strength” method making many, many calls to overcome the low
incidence, however it would be expensive.

CASE SOLUTIONS
Case 6.1 Steward Research Inc.
Case Objective: This case requires students to consider the circumstances and unique
aspects of three different research situations and recommend
appropriate survey data collection methods.
Answers to Case Questions
1. For each of the three clients, suggest one or more data collection methods that would
be appropriate.
2. For each data collection method you select in question 1, discuss the rationale for
your choice.
3. What disadvantages are inherent in the data collection methods you have
recommended?
Answers are provided in the tables below.

Client 1: High Precision Drill Bits

Recommended Method Rationale Disadvantage(s)
In-office interview Must interview to obtain High cost
reactions of industrial
buyers

Client 2: Regional Bakery TOMA Study

Recommended Method Rationale
Mall-intercept Quick, easy, and accesses a
large portion of the
market (cookie and
crackers buyers)
CATI Fast, accesses large
numbers of
Disadvantage(s)
Will miss those who do not
frequent malls
If the bakery’s market
region is small, CATI

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Online questionnaire
respondents; will be relatively
appropriate for simple expensive
questions like TOMA
Fast, accesses large If Internet penetration in the
numbers of respondents region is low, this will
miss many customers.
If the bakery’s market
region is small, CATI
will be relatively
expensive

Client 3: Sanitized Toothbrush Concept Test

Recommended Method Rationale
Mall-intercept Quick, easy, and accesses a
large portion of the
market (people who use
toothbrushes)
Central telephone interview Quick, easy, relatively low
cost
Disadvantage(s)
Will miss those who do not
frequent malls (but the
client does not need high
representativeness)
Respondents may not
comprehend the concept
over the phone

Case 6.2 Integrated Case: Advanced Automobile Concepts

Case Objective: Students must assess the appropriateness of various data collection
methods with the case of Advanced Automobile Concepts. The survey
should yield a respondent profile that reflects the demographic and
automobile ownership profile of the American public.
Answers to Case Questions
1. If a mail survey was used, what would be the pros, cons, and special considerations
associated with achieving the overriding objective of the survey?
Mail surveys are inexpensive and there are nationally representative mailing lists, so a
great many could be sent out to obtain a national sample. The slowness of this method
would not be a detriment as there is no requirement to do the survey quickly. The
major drawback would be nonresponse and consequent self-selection that would
render the final sample unrepresentative of the American public.
2. There are many telephone data collection companies that offer national coverage.
Some have centralized telephone interview facilities and some offer CATI services. If
a telephone survey were used employing one of these companies, what would be the
pros, cons, and special considerations associated with achieving the overriding
objective of the survey?
This would be a quick and reasonably priced alternative. There would be controls in
place to guarantee that the survey was conducted properly. Unfortunately, telephone
surveys suffer from high nonresponse, so unless there were very special controls,

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 such as quotas in place the final sample would not be representative of the American
public.
3. The following data collection methods are not likely to achieve the overriding
objective. For each one, indicate why not.
a. Drop-off survey—this is a “local” survey method. It is impossible to do this
nationally.
b. Group-administered survey—again, this is a local method. It would be
impossible to find and go to groups all over the United States.
c. Mall-intercept survey—this is a better method, but it would take a large
number of malls to represent the entire United States.
4. Compare the use of an in-home method to the use of an online method for the
Advanced Automobile Concepts survey. What are the relevant pros and cons of each?
Indicate which one you would recommend and why.
In home interviews would be slow and expensive. It would require sending personal
interviewers to randomly selected homes all over the United States or hiring them in
their various locales to perform a single in-home interview there because no locale
would have more than one respondent household.
The online survey would be fast and much less expensive. With a national e-mail list,
it could be broadcast to many thousands of potential respondents almost
instantaneously. The actual data collection cost would be minimal as it would all take
place electronically. There would be a concern about self-selection and response bias,
but with a very large number of respondents, they could cull out the “bad”
respondents. With census data, they could select a representative subsample from the
large number of respondents.

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