webinar tutorial - a beginners guide to maxdiff scaling
TRANSCRIPT
Paul-Richard McCullough Dan Fleetwood
President, QuestionPro CommunitiesPresident, MACRO Consulting, Inc.
Agenda
01 Questions MaxDiff Can Answer
02 Why use MaxDiff
03 What is MaxDiff
04 An Extension to MaxDiff
05 Summary
Questions MaxDiff Can Answer
● What Features Do Consumers Want Most?
● How Satisfied Are My Customers?
● What Are My Customer Attitudes?
● How Do My Customers Feel About My Brand?
TECHNIQUE MAXDIFF
Why use MaxDiff ?
● Rating Scales
● Each brand is rated independently on each statement in an image battery, eg, 5 point rating scale.
TECHNIQUE MAXDIFF
Current Approach - Ratings Scales Batteries
Why use MaxDiff ? TECHNIQUE MAXDIFF
Current Approach - Ratings Scales Batteries
Rating Scales Batteries
Uses
Attitudes ImportanceLifestyles Brand ImageryPsychographics Brand PreferenceSatisfaction
SegmentationBrand PositioningUsage and AttitudesCustomer SatisfactionMessagingAdvertising ResearchNew Product Research
Anywhere you can use rating scale batteries,
MaxDiff can be used instead
Why use MaxDiff ? TECHNIQUE MAXDIFF
Because Rating Scales Are Inefficient
Rating ScalesResulting data are typically non-discriminating and highly correlated.
Rating scales batteries have very little information content
● Flat Responses Across Statements● Flat Responses Across Brands● Scale Usage Bias (Segmentation)● Brand Halo (Brand Imagery)
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Why use MaxDiff ? TECHNIQUE MAXDIFF
Marketing Problem: Which Flavors of Ice Cream Should I Sell?● Background:
- 30 Potential Flavors
- Only room for 10 in retail freezer space
● Goal: Maximize Customer Satisfaction
● Method:
- Create 18 random (not really) sets of 5 flavors each
- Conduct MaxDiff exercise online using QuestionPro
- Using hierarchical Bayes (or Latent Class) Logistic Regression,
- Estimate flavor preference for each respondent for each flavor
● Analysis: TURF, etc.
What is MaxDiff ? TECHNIQUE MAXDIFF
Example: Classic MaxDiff
● MaxDiff consists of multiple “tasks”● Each task has 3-5 items● Respondent item ratings are generated
using advanced regression● For 30 items, 18 tasks of 5 items each might
be designed
-- NEW APPROACH -- TECHNIQUE MAXDIFF
Example: Brand -Anchored MaxDiff
Dual Response MaxDiff allows for a zero point in MaxDiff utilities,
making comparisons across studies (and brands) feasible.
-- NEW APPROACH -- TECHNIQUE MAXDIFF
Modified Brand-Anchored MaxDiff
Max/Diff takes longer than ratings scales. Modified brand-anchored MaxDiffhopes to decrease the interview time of the Max/Diff Tasks.
-- NEW APPROACH -- One Last Wrinkle TECHNIQUE MAXDIFF
Modified Brand-Anchored MaxDiff
Animated Modified Brand-Anchored MaxDiff is a more efficient data collection method than
traditional Max/Diff.
-- Case Study -- TECHNIQUE MAXDIFF
Research Objectives
Compare two approaches to brand imagery measurement, ratings scales and maxdiff, in terms of:
● Inter-brand discrimination● Inter-item discrimination● Predictive validity
-- Case Study -- TECHNIQUE MAXDIFF
Research Methodology
Online Survey:
● Two cells- Rating Scales (n=436)- Max/Diff (n=2,605)
● Three brands● 12 items● Questionnaire:
- Brand image measurement- Three dependent variables
* Item top 3 rank-order* Brand purchase likelihood* Brand forced-choice preference
- Demographics
What is MaxDiff ? TECHNIQUE MAXDIFF
MaxDiff Yields More Information Than Rating Scales
Rating Scales MaxDiff*
*Note: the form of MaxDiff used to generate this line chart is slightly more advanced than traditional MaxDiff
TECHNIQUE MAXDIFFSummary
● Max/Diff is generally superior to rating scales in virtually every measurable way:
− Better inter-item discrimination
− Better predictive validity
− Elimination of brand halo
− Elimination of scale usage bias
− Fewer invalid completes
Note: Max/Diff can take longer to complete than ratings scales
And cannot accommodate as many items as ratings scales.
Thank YouContact Information For more info, please contact us at
Paul-Richard [email protected]
@questionpro