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Statistically Speaking

How often have you said, “I can’t afford to do all these surveys! How can we do fewer and still get reliable results?” Not to worry. There are often-overlooked alternatives known as sturdy or distribution-free statistics or, more specifically, nonparametric statistics.

Typically, the preferred research plan is to interview a sufficient number of consumers to make the results statistically reliable at the 90% to 95% level of confidence with a certain margin of error. Depending on how one sets the constraint parameters, this works out to be from 250 to 350 completed interviews.

However, if the desired sample size is small, e.g., under 20 or 30 observations (when “traditional” statistical tests become questionable), there is a collection of tests that don’t depend too much on the precise shape of the distribution. These tests base themselves on the signs of differences, ranks of measurements, and/or counts of objects falling into categories.

The main advantage to using these methods, known as nonparametric or distribution-free tests, is that they are “robust,” “resistant,” and “sturdy,” when used on a small sample size. They also provide comparable results to traditional tests when the samples are from asymmetric or skewed distributions.

Further, sturdy statistical methods are useful when the researcher has limited prior knowledge of the study population or if the researcher is unable to parallel the results against a known entity, e.g., census or local market characteristics. ‡

 
 

 

 

   

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