What Is Ordinal Data?

Ordinal data is a form of categorical data that has a meaningful order among its categories. But, it lacks any numerical values or a fixed interval that can separate them from each other. In simple terms, ordinal data represents variables that can be ranked or ordered, but the precise difference between the ranks is not known. In this article, we will explore What is Ordinal Data, Its Characteristics, Analysis and Application of Ordinal Data.

What is Ordinal Data?

Ordinal data is a form of categorical data that has a meaningful order among its categories. But, it lacks any numerical value or a fixed interval that can separate them from each other. In simpler terms, ordinal data represents variables that can be ranked or ordered, but the precise difference between the ranks is not known. This form of data is frequently used with surveys and questionnaires to collect responses that involve subjective judgments or preferences. A few examples of such cases are:

• Capturing the preferences or the ranking
• Subjective and Likert scales
• Educational Assessments
• Medical or healthcare applications

In all such cases, we need to have a special type of data representation known as Ordinal Data.

Example: Let’s take an example to understand this in more detail, say we have a customer satisfaction survey. As per the survey, the respondents have to rate their satisfaction with a product on a scale having values “Dissatisfied,” “Somewhat Dissatisfied,” “Neutral,” “Somewhat Satisfied,” and “Satisfied.” Here, the order of the classes is apparent, representing the cumulative level of satisfaction. However, we cannot determine the exact variance in satisfaction levels between each category since the scale lacks a fixed numerical interval.

The other forms of data that are commonly used are:

• Nominal data represents categories without any inherent order or ranking among the categories.
  Example: Colors, Types of vegetables
• Interval data has ordered categories with equal intervals between values
  Example: Temperature
• Ratio data that possesses a true zero point and allows meaningful ratios between values.
  Example: Weight, Income

Characteristics of Ordinal Data

Ordinal data is a vital data type in various fields, including market research, social sciences, and psychology.

1. Ordinal data has a distinct order or ranking among its categories means each category has a designated position in relation to the others.
2. Ordinal data does not have persistent, measurable differences between categories, in contrast to interval or ratio data. Even while you are aware that one category is ranked higher than another, you are unable to pinpoint the precise measurement or value difference between the two.
3. Ordinal data is inappropriate for meaningful mathematical operations like addition, subtraction, multiplication, and division because it lacks equal intervals and exact quantification. When attempting to compute proportions or averages using ordinal data, inaccurate conclusions may be reached.
4. It allows researchers to measure partialities, sentiments, and attitudes of individuals or groups by capturing their relative rankings. For instance, in marketing, ordinal data can help understand customers’ preferences for different products or services.

Ordinal Data Analysis

Every ordinal data has a key characteristic which is: “the existence of a natural ranking order”. This order provides vital information about the relative positioning of the categories in terms of their magnitude, but it does not allow us to perform mathematical operations like addition, subtraction, or division on the data. For instance, we cannot say that the difference between “Somewhat Satisfied” and “Neutral” is equal to the difference between “Neutral” and “Somewhat Dissatisfied.”

Descriptive Statistics For Ordinal Data

Descriptive statistics for ordinal data involve methods to summarize and describe the characteristics of the data. While some traditional numerical statistics might not be appropriate due to the nature of ordinal data (e.g., calculating means), there are specific descriptive techniques that are more suitable. Some of them are as:

• Frequency Distribution: Create a frequency distribution or histogram to show the distribution of responses or ranks. This provides an overview of how often each category or rank occurs in the data.
• Mode: Identify the mode, which category or rank that appears most frequently in the data. The mode gives you insight into the most common response or preference.
• Median: Calculate the median, which is the middle value when the data is ordered. The median is a robust measure of central tendency and is suitable for ordinal data because it doesn’t assume equal intervals between categories.
• Percentiles: Calculate percentiles to understand how data is spread across different levels of the ordinal scale. For instance, the 25th and 75th percentiles give you the interquartile range, which indicates the spread of the middle 50% of the data.
• Range: Compute the range, which is the difference between the highest and lowest values in the data. While not as informative for ordinal data as it is for interval or ratio data, it still provides some measure of variability.
• Interquartile Range (IQR): Calculate the IQR, which is the range of values between the 25th and 75th percentiles. This measure provides a robust estimate of variability that is less sensitive to outliers.
• Bar Charts: Create bar charts to visualize the frequencies or percentages of each category. Bar charts are a useful way to display the distribution of ordinal data.
• Ordered Categories: Display the categories or ranks in their proper order when creating visualizations or tables. This helps maintain the ordinal nature of the data and ensures that the information is presented in a meaningful way.

Inferential Statistics For Ordinal Data

Inferential statistics involve drawing conclusions or making predictions about a population based on a sample of data. When working with ordinal data, there are specific inferential statistics algorithms and techniques that are suitable for analyzing and making inferences from this type of data. Some common inferential tests are:

• Mann-Whitney U Test (Wilcoxon Rank-Sum Test): This non-parametric test determines whether there is a significant difference in the ordinal data of two independent groups. It compares the ranks of observations across groups to see if one group has greater ranks than the other.
• Kruskal-Wallis Test: Like the analysis of variance (ANOVA), this non-parametric test determines if the medians of three or more independent ordinal groups differ in a way that is statistically significant. It lets you know whether the ranks in different groups are likely to be the same.
• Spearman’s Rank Correlation: Spearman’s correlation coefficient measures the degree and directionality of a relationship between two ordinal variables. It evaluates the monotonic correlation between rankings and can help in identifying whether there is an ongoing trend in how the variables change together.
• Ordinal Logistic Regression: When the outcome is ordinal and has multiple levels, this specific regression analysis is appropriate. It helps in understanding the relationships between ordinal variables while taking their ordered nature into account.
• Ordinal Chi-Square Test: This test determines whether there is a significant connection between two or more ordinal variables. It’s very useful for investigating links and dependencies in contingency tables containing ordinal data.
• Logit Models for Ordinal Data: Ordinal data logit models capture connections between variables and ordered outcomes while considering non-uniform intervals. It computes the cumulative probability for outcomes categories. The impact of predictors on category odds is revealed by interpretable coefficients. This method combines logistic regression with the inherent order of ordinal data, improving inference for ranked outcomes.

There are few other tests as well but above mentioned are most commonly used for ordinal data.

Applications of Ordinal Data

Ordinal data finds applications in various fields due to its ability to capture ordered relationships and preferences without requiring equal intervals between categories. Here are some common applications:

• Surveys and Questionnaires: Cutomer satisfaction surveys might ask respondentd to rank their experience as “Poor”, “Good”, “Exellent”.
• Education: Grading systems: letter such as A, B, C etc. have an inherent order. Class ranking of students based on performance.
• Economic Research: Socio- economic status could be differentiate into “Low”, Middle”, or “High”.
• Product Reviews: Many online platforms allow users to rate oroducts or services using stars, where 1 star might indicate a poor product and 5 stars indicate an excellent one.
• Usability Testing: In technology and design, usability testing might ask participants to rank ease of use on a scale from “Very Difficult” to “Very Easy”.

Conclusion

Ordinal data offers a unique blend of categorical classification with a meaningful sequence. While it might not provide the exact numerical intervals that ratio or interval data might offer, its significance cannot be understated.