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Update of structural modeling software available

Los Angeles-based BMDP Statistical Software, Inc. is now shipping EQS 4.0, a structural equations modeling program. In addition to offering new and enhanced statistical and user interface features, the first version of EQS 4.0 runs under the MS Windows operating environment and is called EQS/Windows. Structural modeling is a multivariate analysis procedure for testing hypotheses about the causal influences among a system of variables. EQS 4.0's greatest increase in functionality lies in its intuitive and comprehensive graphical and exploratory data analysis environment. This environment permits visual exploration of single as well as sets of variables, imputing for missing values, receding and transforming variables, and merging and joining data sets. In addition to providing standard univariate statistics such as t-tests, analysis of variance, and regression, the program now permits a fast factor analysis for latent variables with results that can automatically become modeling setups. Modeling is made easier yet with the debut of Build EQS, an internal system that automatically generates command lines for various EQS procedures. For more information call 800-238-BMDP.

Forecasts for new MSAs and U.S. counties from Woods & Poole

Woods & Poole Economics has released forecasts to 2015 for all newly defined metropolitan statistical areas (MSAs, PMSAs, and CMSAs). New metropolitan areas were defined by the Office of Management and Budget in December 1992. The Woods & Poole database for metropolitan areas has historical data back to 1970 and forecasts to 2015 for population by age, race and sex, employment and earnings by industry, personal income,household data, and retail sales by kind of business for every MSA, PMSA, and CMSA in the U.S. Data and forecasts for the newly defined MSAs are sold in the MSA Profile by Woods & Poole.

The firm has also released its detailed county economic and demographic forecasts on CD-ROM. It also contains historical data back to 1970 and forecasts to 2015 for population by age, race and sex, employment and earnings by industry, personal income, household data, and retail sales by kind of business for every county, state and metro area in the U.S. The Woods & Poole county forecasts on CD-ROM data can be used in desktop marketing systems and in Lotus, Excel, dBase, Paradox, Atlas and other software on IBM-compatible PCs and Macintosh computers.

The county, state, and metro area data includes the 1990 Census. The W&P forecast also includes the regional impact of the 1990-92 recession and the expected recovery in 1993-94 as well as the impact of military cutbacks on regions of the U.S.

New syndicated service for magazine industry

MarketFacts, Inc., ArlingtonHeights, Ill., has launched CMP/MarketScreen, a new syndicated magazine research service. The service uses Market Facts' demographically balanced "CMP" panel of over 360,000 households nationally as a sample frame. All members of a sample of 50,000 households will be screened as subscribers/newsstand purchasers of over 30 consumer magazine titles. Art Zarin, Market Facts-New York vice president, who has spent seven years supplying proprietary reader panels to the publishing industry, says that the service "allows subscribers to study competitive titles with custom panel research on a proprietary basis. It also has the ability to isolate and measure newsstand and readers across as many magazines as are measured."

Online database of company financial info draws from six major providers

Six of the world's major competing providers of company financial information have joined forces to set up Companyline, the largest integrated online database of its kind in the world. The six companies, three of them American and three British, are Dun & Bradstreet, Moody's Disclosure, ICC, Extel Financial and Hemmington Scott (publishers of the Hambro Company Guide). Companyline offers direct access to the financial reports of 4.5 million companies in more than 40 countries. Credit ratings, brokers' analyses, directors' resumes, and a host of other corporate information also will be available and updated daily. This coverage of corporate information is being made available worldwide through Market Analysis and Information Database (M.A.I.D.) Systems, a large online business information system.

Companyline is being fully integrated with M.A.I.D.'s existing services - Researchline and Newsline - which together provide users with immediate access via a standard PC and modem to more than 50,000 full-text quality research reports covering 450 market sectors around the world as well as business news from more than 4,000 newspapers, magazines, journals and newswires throughout the world.

MMS offers new health care mailing lists

New mailing/telemarketing lists are available from Medical Marketing Service, Inc. (MMS), a Chicago-area health care list manager. The lists, drawn from the HCIA, Inc. database, include phone number, fax number, name, address, and title of the following key managers:

  • Nursing homes - 58, 429 key decision makers at 16,304 sites, selectable by size, licensure, ownership, services, and percent of patients who are "private pay."
  • Retirement facilities - 22,869 sites, selectable by facility type, ownership, and services offered.
  • Medical rehabilitation centers - 1,927 freestanding sites, selectable by facility type, ownership, and disorders treated.
  • Alzheimer's disease treatment facilities and home health providers - 3,233 sites selectable by number of beds, type of ownership, payortypes accepted, services provided, and other characteristics.
  • HMOs - 491 sites, selectable by federal model type, tax status, chain affiliation, reimbursement mix, and other characteristics.

The lists are available on labels or magnetic tape or diskette for one-time use.

Catalog compiles "best of the best" in data analysis products

Statistical software supplier SPSS Inc. has certified a group of data analysis products and is offering them with a special guarantee in a new catalog, "SPSS Selects." The company says is reviewers have screened and tested the products for quality, utility, special and/ or unique features, ease of use and value - so that all products in the catalog are unconditionally guaranteed on a 60-day money back basis. According to Jack Noonan, SPSS president and CEO, SPSS evaluates statistical products continually. Last year, the company decided to compile the "best of the best" of the industry's data analysis products' into a catalog. Inclusion is based solely on the reviewers' judgment; a developer cannot purchase space in the catalog. SPSS staff members representing a variety of disciplines, including end users, statisticians and product designers, participate in the review effort. The first edition of the SPSS Selects catalog includes 14 products. Software packages range from easy-to-use survey design and memory-resident graphics to packages for easy data transfer, turning hardcopy graphs into numerical data and for merging large data sets into a single 3-D graphic. Also included are items such as OMR scanners and SPSS reference books. For a free copy of the catalog write SPSS, Inc., 444 N. Michigan Ave., Chicago, IL 60611.

Product & Service - In Depth

ISA finds surveying ethnic markets has special requirements

Michael Halberstam, president of Interviewing Service of America (ISA), Van Nuys, Calif., has made available a recent report on ethnic interviewing based on his company's experience in this area.

Surveying ethnic groups is becoming more important as marketers realize they offer lucrative opportunities to sell more products/services. These groups do buy shoes, own cars and want to be heard. A specific example of the increased importance of these groups occurred recently when a 1992 survey of the Los Angeles metropolitan area by the Los Angeles Times showed that one-third of the 750 Koreans polled reported that their total family income was greater than $40,000 per year. (The survey used bilingual, i.e., English and Korean, telephone interviewers). Realizing the importance of this market the newspaper plans on more telephone surveys with local Koreans, and will also start research with Chinese and Vietnamese residents.

Requests for market research in the Asian American communities and in the Pacific Rim are expected to increase. The 1990 Census reports that there are more than 7.2 million Asian and Pacific Islanders in the U.S. This, in turn, breaks into more than 30 cultural subgroups.

The key factor for accurate interviewing with these ethnic groups is to have trained interviewers fluent in both English and the native language. According to information compiled by ISA only about five percent of first generation ethnic respondents will complete a call with a non-bilingual speaker.

The reasons for use of multilingual/multicultural interviewers include their ability to be aware of cultural, conceptual and idiomatic considerations when translating; in addition, these interviewers are able to thoroughly review surveys and translate to the native languages.

Lower refusal rate

Overall, the refusal rate when quali¬fied interviewers are used is lot less with Asian-Americans than with general market interviewing and other ethnic groups. The average refusal rate for telephone surveys is estimated at 35-45%. With Asian-Americans, the rate is about 22%. The lower rate occurs because Asian Americans are undersurveyed and they wish to have their opinions count. It's one way for Asians to become more "Americanized." There is the feeling that "Somebody is willing to listen to us" which hasn't been felt before. Until the last few years, the feeling among Asian Americans was that "Nobody's listening to us. We are not a big enough group yet."

Posing questions

There are some unique techniques to use so that reliable data is collected. For example, ISA has found that Asian Americans have difficulty understanding varying degrees when presented in non-numeric form in a questionnaire. For example, a large telecommunications company surveying the Vietnamese market asked: "To what degree do you like the telephone service? Excellent? Very good? Good? Fair? Not very good? Or poor?" The Vietnamese respondents had difficulty distinguishing between "very good" and "good." ISA found that using a seven point scale is a more effective method of obtaining the information.

Door-to-door surveying of Asian Americans is not a successful technique because Asian interviewers feel that knocking on doors is not polite. However, personal interviewing in Koreatown (Los Angeles) or Chinatown (San Francisco) can be an effective method of collecting data.

When conducting ethnic focus groups there must be an awareness of the differences within cultural groups. An example would be Japanese Americans who have been in the United States for years as opposed to Japanese nationals in America for business. Moreover, men and women should be separated. Often, due to social customs, female participants will remain silent or not disagree if male respondents are present. Also, when non-native/non-bilingual interviewers are used Asian respondents are likely to hesitate in giving negative re-sponses for fear of offending someone.

Opportunities

Halberstam believes that ignoring the multicultural populations in the U.S. and international markets would be short-sighted. With today's telecommunications capabilities it is possible to access opinions worldwide, 24 hours a day. But the key to success is to have interviewers who are fluent in English and the language of the country being surveyed and who are also sensitive of the culture of the region being called.

Polly Smith, director, international research, ISA: "It has been demonstrated during the bid phase that in many cases it is less expensive to conduct research from Los Angeles than going to that country. Local tariffs, unaffordable exchange rates on the U.S. dollar, and the convenience of dealing with someone in your own language all contribute to this fact."

QFact helps researchers tap into profitable niches

Cincinnati-based QFact Marketing Research has developed a program to assist marketers in researching minority markets. Years ago the marketing profession equated "minority" with small consumer bases which were not sufficiently profitable to pursue individually. Now savvy marketers are racing to develop products and promotions aimed at ethnic niches. Armed with data from the 1990 census, marketers are beginning to realize the value of niche marketing.

An example is the African-American consumer base which currently represents 12% percent of U.S. consumers and which is growing at twice the rate of the population as a whole. A young niche, African-Americans currently bring to the marketplace spending power of over $200 billion per year - a figure which experts predict will double by the year 2000. With the white "majority" (those of European descent) declining as a percentage of the general population, QFact notes smart marketers are increasingly turning to growth niches such as this to ensure future success.
 
Dispelled myths

The 1990 Census dispelled many myths which have, for years, kept marketers from seeing the African-Americans market as a viable niche. Not only did the census confirm that the market was sufficiently large to merit the attention of marketers, it also showed that African Americans possess the education, income and discretionary purchasing power of a viable niche. So why aren't all marketers flocking to serve this potentially lucrative market? Lack of understanding and awareness seem to be the keys.

QFact realizes that due to being culturally uninformed, many marketers don't fully realize that African-Americans are more than just "dark-skinned whites." In order to meet the unique needs of this consumer base, marketers must become more culturally sensitive. Different needs in areas such hair and skin care products, and different tastes in fashions and foods present challenges in terms of both product development and marketing approaches. Packaging and distribution needs must also be addressed. Further, a resurgence of pride in cultural values and heritage increase the need to better understand the African-American market.

Traditionally, when seeking to understand a target market's needs and preferences, marketing research has provided the answer. But, historically, researchers have not always made sufficient efforts to learn about the unique needs of non-general markets. Researchers often lack the understanding of African-American culture and values to be able to ask the right questions and ask them in a way that will provide the information they need. Further, appropriate sampling may be hampered when respondents are asked to leave their neighborhoods to attend research sessions in areas that are not highly populated by people of their own culture or in locations not easily accessible.

Finally, respondent cooperation is often low due to a lack of understanding of how marketing research benefits African-American consumers since, in the past, they were often excluded from this forum.

Culturally specific

Given the importance to marketers of understanding the needs and preferences of this potentially lucrative niche, QFact has developed TAP, Targeted Access Panel of African-American households in the Cincinnati and Dayton, Ohio markets. The goal is to provide marketers with African-American opinions on both culturally specific and general market products.

TAP is the result of work begun by Renee Ruffin-Price, QFact program developer, who determined that while general information on marketing to African-Americans was available little data on researching individual niches could be found. TAP is designed to meet client needs while minimizing some of the inherent difficulties in researching this consumer group. It has done so by taking a grassroots approach to reaching the African-American community. Working with ministers of African-American congregations - the center of this culture's family, religious, economic and social life - Ruffin-Price and her group are educating community leaders and consumers about the benefits of marketing research and the important role it plays in providing information on the products and services they want.

Panelist data includes information on household size, occupation(s), and use of various consumer products. The amount of data will continue to be expanded as the panel develops.

Even as researchers of color, Ruffin-Price and her team are constantly being challenged. They have found it necessary to come up with innovative ways to improve the process. One such innovation was the use of radio spots on local African-American radio stations to recruit panelists. While this technique would not be needed for general market studies, it is very appropriate for targeted recruiting. Another was the providing periodicals of interest to African-Americans in client waiting areas to indicate respect and cultural recognition of the panel members.

QFact believes that TAP is a successful program which provides a needed service for both clients and the African-American community by providing a culturally sensitive program which leads to better information, faster turnaround, and lower overall costs to the client.