Marketing Research Testing Effect of Gender on Brand Attitude

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					            Definition of Experimental Research




In an experiment, the researcher changes one
element, the explanatory or independent variable
(IV), to observe the effect of that change on
another element, the dependent variable (DV).




                                                  J. Strebel
               What is an Experiment?



      IV                                DV

Independent variable              Dependent variable
Cause                             Effect
Manipulation
Experimental variable
 Example: Does advertising influence sales?


Advertising                             Sales
                                            J. Strebel
              Explanation of Causation




Typically in an experiment, the researcher
wants to assert that the change in the IV
causes the change in the DV.

To prove causation, the researcher must
demonstrate three things:
– Concomitant variation
– Appropriate time order
– Elimination of other possible causal factors

                                           J. Strebel
             Explanation of Causation




Concomitant variation - the IV and the DV
must vary together in some predicable
fashion
– For example, a positive relationship, such as an
  increase in disposable income together with an
  increase in sales of luxury cars
– Also possible, an inverse relationship, such as
  an increase in disposable income together with
  a decrease in sales of low quality hamburger

                                           J. Strebel
                    Explanation of Causation



Appropriate time order - the change in the IV
must precede the change in the DV

 – A cannot cause B if A does not occur before B does

                A               B
–For example:
  • to show that warm weather causes people to blow off class,
  you can’t have more people missing class before the weather
  warms up than after it does
                                                     J. Strebel
               Explanation of Causation




Elimination of Other Possible Causal Factors
“Nonspuriousness” - the researcher should be
able to eliminate any other potential explanations
to account for the change in the DV


Example: Music at work?




                                          J. Strebel
             Explanation of Causation



A study is considered confounded if there is
more than one IV that could have caused
the effect.
– Confounded variables provide skeptics with
  easy counter-explanations for the results
– In the subliminal tape example, the exposure of
  employees to subliminal messages is perfectly
  confounded with the introduction of music at
  the workplace


                                          J. Strebel
                          Evidence of Causation



   Example: Does advertising influence sales?



   Advertising                                    Sales


TIME ORDER                              NONSPURIOUSNESS
1. Changes in advertising               3. Nothing else can explain changes in
must precede changes in sales.          sales EXCEPT changes in advertising.

CONCOMITANT VARIATION
2. Advertising changes must covary
with changes in sales
                                                              J. Strebel
              Explanation of Causation




Another way of stating “nonspuriousness”
is to say that extraneous causal factors must
be eliminated.
– We want to show that our explanation of the
  phenomena is the best and that there aren’t
  other factors involved.
– This is the most difficult thing to demonstrate.



                                            J. Strebel
               Explanation of Causation



Extraneous variables therefore need to be
“designed out” of our experiments.

Some examples of extraneous variables:
– History
   • Takes place between beginning and end of
     experiment but is not controlled by experimenter
– Maturation
   • Changes in subjects that are a function of time
     (getting tired, hungry, older, etc.)

                                                  J. Strebel
               Explanation of Causation



Extraneous variables continued:
– Instrument variation
   • Changes in the administration of the test measures
     (example: interviewer bias)
– Selection bias
   • The experimental group is significantly different
     from the population of interest or control group
– Mortality
   • Respondents drop out during the course of the
     experiment


                                                  J. Strebel
               Explanation of Causation



Extraneous variables continued:
– Testing effect
   • The process of experimentation produces its own
     effects on the observed responses
   • Also called demand effect
– Regression to the mean
   • There is an observed tendency of subjects with
     extreme behavior to move toward the average for
     that behavior during the course of the experiment




                                                 J. Strebel
                Basic Experimental Issues



Experimental design and treatment
– In an experimental design the researcher has
  control over and manipulates one or more
  independent variables
– Four factors:
   •   The IV, also known as treatment (manipulated)
   •   The subjects, both experimental and control
   •   The DV (what is being measured)
   •   The plan or procedure to deal with extraneous
       variables


                                                 J. Strebel
             Basic Experimental Issues



Experimental Effects

– The term experimental effect refers to the effect
  of the treatment (independent) variable(s) on
  the dependent variables.

– The goal is to determine the effect of each
  treatment condition (level) on the dependent
  variable.


                                            J. Strebel
       The Effect of Gender on Gays’ and Lesbians’ Attitude Toward
            Advertising Content: The Role of Subcultural Code


IV: Varying degrees of gay advertising content
   –     Mainstream, coded, male-oriented, lesbian-oriented
DV: Attitude towards the ad
   The ad is:
   Very bad          :    :          :         :    Very good
   What is your opinion of the ad?
   Very unfavorable      :        :        :        :         Very favorable
   Please rate how you felt about the ad
   Liked very much        :          :     :         :        disliked very much


H1: Gays and lesbians will have a more positive attitude towards ads
    with homosexual imagery than ads with mainstream imagery.

                                                                   J. Strebel
   The Effect of Gender on Gays’ and Lesbians’ Attitude Toward Advertising
                    Content: The Role of Subcultural Code

• Method:
   – Pilot test: 54 consumers
   – Participants were presented with four ads (4 degrees of gay advertising
     content)
   – Reviewed ad, answered three-item attitude towards ad measure

• Results:
   – Results indicate an overall difference for attitude toward the ads

• Possible Problems:
   –   Did not control for product category or brand type
   –   Manipulation check: measure the perceived gayness of the ad content
   –   Presentation randomized to control for order effects
   –   Demographics


                                                                    J. Strebel
                    Experimental Validity




Validity is measuring what you intended to
measure. To do so, you must reduce systematic
and random error.

There are two types of experimental validity:
  – Internal validity
  – External validity



                                            J. Strebel
              Experimental Validity




Internal validity refers to the extent to which
competing explanations for the experimental
results observed can be avoided.

– Avoid confounds




                                        J. Strebel
                        Internal Validity



Did the IV influence the DV? Other explanations are
threats to internal validity.

        How do we control for these problems?

                      Randomization


Statistical Control                         Physical Control


                      Design Control
                                                   J. Strebel
               Basic Experimental Issues



There are four basic approaches to
controlling extraneous causal factors:
– Randomization in assigning subjects to treatment
  conditions
– Physical control of the extraneous factor - holding it
  constant
– Design control of extraneous factors through the
  specific type of experimental design used
– Statistical control through identifying and measuring
  the effects of the extraneous factors throughout the
  experiment

                                                 J. Strebel
               Experimental Validity




External validity refers to whether the
causal relationships measured in an
experiment can be generalized to outside
persons, settings, and times.
– A common example (in medicine not
  marketing) is: Can studies on cancer in rats be
  extended to human cancers?




                                           J. Strebel
                     External Validity




                     Experimental
                       Results




               Population and Variables
                      of interest

Does the experimental situation represent the broader
environment? Can we generalize to a wide range of cases?
                                             J. Strebel
                          External Validity


             Threats to External Validity


                      Non-representative
                           sample


       Reactive bias
(subjects behave differently in           Non-generalizable
  the experiment than in non-             laboratory setting
     experimental settings)


                                                       J. Strebel
               Experimental Settings




The debate: Laboratory experiments vs.
field experiments.
– In a laboratory experiment, the experimenter
  can control more variables which helps prove
  causality
– In a field experiment (i.e., the test is conducted
  in a real world setting), the study is more
  realistic in terms of the marketplace



                                             J. Strebel
                  Internal and External Validity



                                  Validity
                      Internal                     External


   Laboratory              High                    Low



Natural Setting             Low                    High


  Use techniques of randomization and control
  (physical, design, and statistical) to increase validity.
                                                          J. Strebel
                  Test Markets




Test marketing refers to the testing of a new
product or any change in the marketing
strategy in the field.
– Use a single market, group of markets or a
  region of the country
– Involve the use of experimental procedures




                                          J. Strebel
                    Test Markets




Test market usage and objectives
– Used to evaluate proposed national programs
  by:
   • Estimating market share and volume
   • Estimating effect on other items that the company
    markets (cannibalization rate)
   • Collecting data about potential customers
   • Analyzing reactions and behavior of competitors

                                                 J. Strebel
                    Test Markets


Cost of test marketing
– Direct costs
   • Marketing mix costs (ads, P-O-P, coupons, etc.)
   • Outside vendors (marketing research, ad agencies)
   • Higher trade allowances to obtain distribution
– Indirect costs
   • Management time, diversion of attention
   • Negative impact on trade, reputation if fails
   • Negative impact of competitors gaining info.




                                                 J. Strebel
                    Test Markets




Should we or shouldn’t we?
– Compare the costs and benefits...
– Costs discussed above
– Benefits include:
   • Good method for estimating product sales potential
     under realistic market conditions
   • Opportunity to identify and correct weaknesses in
     the marketing mix



                                                J. Strebel
                  Test Markets




Four factors to consider
– Tradeoff costs and risks of product failure with
  potential profits and probability of success
– How quickly can competitors respond or copy
  the product?
– Consider the investment required to produce the
  product for the test market
– Appraise impact of a product failure on the
  company’s reputation

                                           J. Strebel
                    Test Markets




Three types of test market approaches
– Standard test markets

 –Simulated test markets

 –Controlled test markets
    •Handled by an outside research company
    •Usually in very small market areas


                                              J. Strebel
                  Test Markets


How to select a market for the test:
– Not an overtested market
– Sales of that type of product should be typical
– Avoid unusual demographics
– Consider regional differences
– Little media spillover
– Moderately sized markets
– Generalizable distribution channels and
  competitive situation
– Differing cities should have similar
  demographics
                                            J. Strebel
                          Test Markets


Analysis of test market results
– Purchase data
   • Trial
   • Repeat rate - % of initial triers who made second+ purchases

– Awareness data
– Competitive response
– Source of sales (cannibalization?)


                                                      J. Strebel

				
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