INDEPENDENT SAMPLE t TEST AND PAIRED SAMPLE t TEST

DR. SK LAROIYA AMITY BUSINESS SCHOOL AMITYUNIVERSITY, UP

SAMPLE tTEST
FOR THE UNIVARIATE AND BIVARIATE ANALYSIS OF METRIC DATA (INTERVAL OR RATIO SCALE), MARKET RESEARCHERS USE t TESTS OF DIFFERENT TYPES OR THE Z TEST

TWO TYPE OF t TESTS: 1. THE INDEPENDENT SAMPLE t TEST 2. THE PAIRED SAMPLE t TEST

THE INDEPENDENT SAMPLE t TEST

A COMPANY MARKETING THE WINGS BRAND OF JEANS WANTS TO FIND OUT WHETHER A SET OF CUSTOMERS IN DELHI AND A SET OF CUSTOMERS IN MUMBAI THOUGHT OF ITS BRANDS IN THE SAME WAY OR NOT

A SMALL SURVEY WAS CONDUCTED IN DELHI AMD MUMBAI SEPARATELY CONSISTING OF 30 CUSTOMERS ( t TEST IS USED WHEN SAMPLE SIZE IS LESS THAN OR EQUAL TO 30 AND IT IS CALLED INDEPNEDENT WHEN TWO INDEPENDENT SAMPLES ARE SELECTED AND IT IS CALLED PAIRED SAMPLE t TEST WHEN SAME SAMPLE IS USED AT TWO DIFFERENT POINTS OF TIME)

RESPONDENTS WERE ASKED TO RATE THE JEANS ON AN INTERVAL SCALE ( SEVEN POINT SCALE WITH RATINGS 1 TO 7)
COMPANY IS INTERSETED IN CONDUCTING A STATISTICAL TEST TO FIND OUT IF THE TWO SETS OF RATINGS ARE SIGNIFICANTLY DIFFERENT FROM EACH OTHER OR NOT AND SELECT A SUITABLE TEST

INPUT DATA IN THE TABLE IN THE NEXT SLIDE SHOWS THAT 15 CUSTOMERS OF WINGS BRAND OF JEANS EACH IN DELHI AND MUMBAI WERE ASKED TO RATE ON 7 POINT SCALE COLUMN CITY REPRESENT 1 FOR MUMBAI AND 2 FOR DELHI RATING 1 = EXTREMELY LOW AND RATING 7= EXTREMELY HIGH

NULL HYPOTHESIS- Ho
THERE IS NO SIGNIFICANT DIFFERENCE IN THE RATINGS GIVEN BY CUSTOMERS IN MUMBAI AND DELHI

ALTERATE HYPOTHESIS - H1
THERE IS SIGNIFICANT DIFFERENCE IN THE RATINGS GIVEN BY CUSTOMERS IN MUMBAI AND DELHI

CONFIDENCE LEVEL FOR THE TEST 95% (1 - 95% CALLED SIGNIFICANCE LEVEL THAT IS 0.05 SHOWS THAT THAT ARE 5% CHANCES THAT A RESEARCHER MAY REJECT Ho WHEN IT IS TRUE) THE HYPOTHESIS IS TO BE TESTED AT THIS LEVEL ( SIGNIFICANCE LEVEL IS DENOTED BY p VALUE IN ALMOST ALL THE STATISTICAL SOFTWARES)

IF P VALUE IS LESS THAN THE LEVEL OF SIGNIFICANCE SET UP BY A RESEARCHER , WE REJECT THE NULL HYPOTHESIS IF P VALUE IS MORE THAN THE LEVEL OF SIGNIFICANCE SET UP BY A RESEARCHER , WE ACCEPT THE NULL HYPOTHESIS

INDEPENDENT SAMPLE T TEST

S No. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 RATING 2 3 3 4 5 4 4 5 3 4 5 4 3 3 4 3 4 5 6 5 5 5 4 3 3 5 6 6 6 5 CITY 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 2 2 2 2 2 2 2 2 2 2 2 2 2 2 2

SPSS COMMANDS FOR INDEPENDENT SAMPLE t TEST

1. 2. 3. 4. ANALYZE COMPARE MEANS FOLLOWED BY INDEPENDENT SAMPLE t TEST SELECT THE TEST VARIABLE FOR WHICH TEST IS TO BE DONE SELECT THE GROUPING VARIABLE. THIS VARIABLE DEFEINES THE CODES FOR SEGREGATING THE TEST VARIABLE INTO TWO GROUPS ( IN OUR EXAPMLE- CITY IS A GROUP VARIABLE THEN DEFINE THE CODES FOR THE TWO GROUPS BY CLICKING ON DEFINE GROUPS JUST BELOW THE GROUPING VARIABLE AND TYPING IN CODES (1,2 FOR EXAMPLE AS IN OUR EXAMPLE OR WHICHEVER CODES ARE USED IN THE EXAMPLE) CLICK OK TO GET THE OUTPUT FOR AN INDEPENDENT SAMPLE t TEST

5.

6.

OUTPUT

customers' ratings of brand

city from where ratings of the brands were taken Mumbai Delhi

N 15 15

Mean 3.73 4.73

Std. Deviation .884 1.100

Std. Error Mean .228 .284

OUTPUT
Levene's Test for Equality of Variances

t - test for Equality of Means

t df Sig. (2-tailed) Mean Difference Std. Error Difference 95% Confidence Interval of the Difference

Sig.

Lower
Custo mers' ratings of brand Equal variance s assumed

Upper

.727

.401

-2.745

28

.010

-1.000

.364

-1.746

-.254

Equal variance s not assumed

-2.745

26.759

.011

-1.000

.364

-1.748

-.252

IN OUR EXAPMLE THE HYPOTHESIS IS TO BE TESTED AT 0.05 LEVEL OF SIGNIFICANCE (SIGNIFICANCE LEVEL IS DENOTED BY p VALUE IN ALMOST ALL THE STATISTICAL SOFTWARES INCLUDING SPSS) IF P VALUE IS LESS THAN THE LEVEL OF SIGNIFICANCE SET UP BY A RESEARCHER , WE REJECT THE NULL HYPOTHESIS IF P VALUE IS MORE THAN THE LEVEL OF SIGNIFICANCE SET UP BY A RESEARCHER , WE ACCEPT THE NULL HYPOTHESIS

IN THE OUTPUT TABLE, WE FIND THAT p VALUE FOR THE t TEST IS .011 ASSUMING UNEQUAL VARIQANCES IN TWO POPULATIONS THIS VALUE OF .011 BEING LESS THAN OUR SIGNIFICANCE LEVEL OF .05, WE REJECT THE NULL HYPOTHEISSAND CONCLUDE THAT THE RATINGS GIVEN BY MUMBAI RESPONDENTS AND THE DELHI RESPONDENTS ARE DIFFERENT IF THE p VALUE HAD BEEN LARGER THAN .05, WE WOULD HAVE ACCEPTED THE NULL HYPOTHESIS THAT THERE WAS NO SIGNIFICANT DIFFERENCE BETWEEN THE TWO RATINGS

THE PAIRED SAMPLE t TEST

IN SOME CASES , WE MAY NOT HAVE INDEPENDENT SAMPLES, BUT THE SAME SAMPLE COULD BE USED TO UNDERTAKE A RESEARCH STUDY INVOLVING TWO MEASUREMENTS
EXAMPLE: WE MAY MEASURE THE CHANGE, IF ANY, IN RESPONENTS ATTITUDE TOWARDS A BRAND BEFORE IT IS ADVERTIZED AND AFTER IT HAS BEEN ADVERTIZED

IN SUCH CASES, A PAIRED SAMPLE t TEST IS APPROPRIATE STATISTICAL TEST WILLS INDIA IS CONDUCTING A STUDY TO FIND OUT THE EFFECTIVENESS OF ITS AD CAMPAIGN PERTAINING TO TAMARIND BRAND OF GARMET LINGERI , FOR ITS CUSTOMERS IN DELHI AND IF THE AD IS WELL RECEIVED , IT SHALL BE CARRIED OUT IN OTHER METROPOLITAN CITIES OF INDIA AS WELL

A SAMPLE OF 18 RESPONDENTS WERE SELECTED. THEY WERE ASKED TO RATE THE TAMARIND ON A SCALE 1 TO 10 1 REPRESENTS BRAND IS HIGHLY DISLIKED AND 10 REPRESENTS BRAND IS HIGHLY LIKED, AND OTHER RATINGS WITH APPROPRIATE MEANINGS

THE RATINGS OF THESE 18 RESPONDENTS WERE TAKEN ON A SCALE OF 1 TO 10 BEFORE THE AD WAS RELEASED

AND THE RATINGS OF THESE 18 RESPONDENTS WERE TAKEN ON A SCALE OF 1 TO 10 AFTER THE AD WAS RELEASED

INPUT DATA
REPONDENT 1 2 RATING OF AD BEFORE ITS RELEASE 3 4 RATING OF AD AFTER ITS RELEASE 5 6

3
4 5 6 7

2
5 3 4 5

6
7 8 4 6

8
9 10 11 12

3
4 2 2 4

7
5 4 6 7

13
14 15 16 17

1
3 6 3 2

4
6 8 4 5

18

SPSS COMMANDS FOR THE TEST

1. ANALYZE 2. COMPARE MEANS FOLLOWED BY PAIRED SAMPLE t TEST 3. SELECT TWO VARIABLES FROM THE VARIABLE LIST APPEARING ON THE LEFT SIDE AND TRANFER TO THE BOX ON THE RIGHT SIDE BY CLICKING THE ARROW 4. CLICK OK TO GET THE OUTPUT

OUTPUT PAIRED SAMPLE STATISTICS

Mean

Std. Deviation

Std. Error Mean

Pair 1

liking or disliking brand before advertizement

3.28

18

1.274

.300

liking or disliking brand after advertitzement

5.78

18

1.309

.308

OUTPUT PAIR SAMPLE CORRELATIONS

N Pair 1 liking or disliking brand before advertizement & liking or disliking brand after adveritzement

Correlation

Sig.

18

.498

.036

OUTPUT
Sig. (2tailed)

Paired Differences
Mean Std. Deviatio n

df

Std. Error Mean

95% Confidence Interval of the Difference

Lower
Pair 1 Liking or Disliking BRAND BEFORE ADVERIZEMENTLiking or Disliking BRAND AFTER ADVERIZEMENT

Upper

-2.50

1.295

.305

-3.144

-1.856

-8.192

17

.000

H0 THERE IS NO DIFFERENCE IN THE RATINGS GIVEN BY RESPONDENTS BEFORE AND AFTER THEY SAW THE AD CAMPAIGN
THE LEVEL OF SIGNIFICANCE = .05

THE OUTPUT TABLE SHOWS THAT THE 2 TAILED SIGNIFICANCE OF THE TEST IS .000 THIS IS THE p VALUE AND IT IS LESS THAN THE LEVEL OF SIGNIFICANCE THAT EW HAVE SET AT .05 THEREFORE AS PER OUR DECISION RULE, THE NULL HYPOTHEIS IS REJECTED AND WE CONCLUDE THAT THERE IS A SIGNIFICANT DIFFERENCE IN THE RATINGS GIVEN BY THE RESPONDENTS BEFORE AND AFTER THEIR EXPOSURE TO AD OF TAMARIND LINGERI

THE MEAN RATINGS AHTER THE AD IS 5.7778 AND BEFORE THE CAMPAIGN , IT IS 3.2778 AND THE DIFFERENCE OF 2.5 IS STATISTICALLY SIGNIFICANT