Marketing

Observational Research

Observational research involves gathering data by observing people's actions, behaviors, and interactions in real-life settings. This method allows marketers to understand consumer behavior, preferences, and decision-making processes by directly observing them in natural environments. It provides valuable insights into consumer habits and can inform marketing strategies and product development.

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8 Key excerpts on "Observational Research"

  • Book cover image for: Marketing Research
    • Carl McDaniel, Jr., Roger Gates(Authors)
    • 2020(Publication Date)
    • Wiley
      (Publisher)
    154 CHAPTER 8 What is observation research, and how is it used in marketing research? What is ethnogra- phy, and why is it so popular? Observation research has exploded on the Internet and social media. Why? Why is online observation research often controversial? What are the machines that can be used in observation research, and what kind of data do they produce? We will answer these questions in Chapter 8. Nature of Observation Research Instead of asking people questions, as a survey does, observation research depends on watching what people do. Specifically, observation research can be defined as the sys- tematic process of recording patterns of occurrences or behaviors without normally questioning or communicating with the people involved. (Mystery shopping is an excep- tion.) A marketing researcher using the observation technique witnesses and records events as they occur or compiles evidence from records of past events. The observation may involve watching people or watching phenomena, and it may be conducted by human observers or by machines. Exhibit 8.1 gives examples of some common observa- tion situations. observation research Systematic process of recording patterns of occurrences or behaviors without normally communicating with the people involved. Vasin Lee / Shutterstock Primary Data Collection: Observation LEARNING OBJECTIVES 1. Develop a basic understanding of observation research. 2. Learn the approaches to observation research. 3. Understand the types of machine observation. 4. Appreciate how online tracking is changing and its growing use in social media. 5. Learn how virtual shopping environments are created and used in marketing research. Nature of Observation Research 155 Conditions for Using Observation Two conditions must be met before most types of observation can be successfully used as a data-collection tool for marketing research: 1. The needed information must be either observable or inferable from behavior that is observable.
  • Book cover image for: Marketing Research Essentials
    • Carl McDaniel, Jr., Roger Gates(Authors)
    • 2016(Publication Date)
    • Wiley
      (Publisher)
    LEARNING OBJECTIVES 1. Develop a basic understanding of observation research. 2. Learn the approaches to observation research. 3. Understand the types of machine observation. 4. Appreciate how online tracking is changing and its growing use in social media. 5. Learn how virtual shopping environments are created and used in marketing research. 7 C H A P T E R Primary Data Collection: Observation Denis Zbukarev/iStockphoto 126 CHAPTER 7 Primary Data Collection: Observation W hat is observation research, and how is it used in marketing research? What is ethnography, and why is it so popular? Observation research has exploded on the Internet and social media. Why? Why is online observation research so controversial? What are the machines that can be used in observation research, and what kind of data do they produce? We will answer these questions in this chapter. Nature of Observation Research Instead of asking people questions, as a survey does, observation research depends on watching what people do. Specifically, observation research can be defined as the systematic process of recording patterns of occurrences or behaviors without normally questioning or communicating with the people involved. (Mystery shopping is an exception.) A marketing researcher using the observation technique witnesses and records events as they occur or compiles evidence from records of past events. The observation may involve watching people or watching phenomena, and it may be conducted by human observers or by machines. Exhibit 7.1 gives examples of some common observation situations. E X H I B I T 7 . 1 Observation Situations Situations Example People watching people Observers stationed in supermarkets watch consumers select frozen Mexican dinners, with the purpose of seeing how much comparison shopping people do at the point of purchase. People watching phenomena Observers stationed at an intersection count vehicles moving in various directions to establish the need for a traffic light.
  • Book cover image for: Understanding Research for Business Students
    eBook - ePub
    In general terms, observation can be viewed as how we view the world. Angrosino (2007: 61) defines it as follows: ‘Observation in the research context is a considerably more systematic and formal a process than the observation that characterizes everyday life’. Similarly, Wilson (2018: 98) defines it as ‘A data-gathering approach where information is collected on the behaviour of people, objects and organizations without any questions being asked of the participants’. As with any definition, it is useful to consider the keywords or terms. Typically, when defining Observational Research, reference is made to ‘systematic process’, ‘behaviour’ and ‘non-verbal communication’. This is because the fundamental nature of observation is collecting information on research subjects without asking questions. Furthermore, observation involves the detailed examination of participants within a naturalistic setting (Cowie, 2009). In relation to the latter point, an example here might be a researcher observing how sales employees interact with customers. The naturalistic setting in this instance is the retail environment.
    Observational Research can produce both qualitative and quantitative data. In quantitative observation, the researcher usually observes a large number of people, objects or organizations, collecting statistical information. Qualitative observation normally involves a smaller scale, and data are generated on the basis of semi-structured or unstructured observations. We examine these types of observations later in the chapter.
    A key consideration when choosing Observational Research is that observation only measures behaviour; it does not provide answers as to ‘why’ the behaviour takes place or reveal individuals’ attitudes towards their actions. Examples of behaviours that can be measured by researchers include: online shopping behaviour, physical actions within a retail environment, monitoring individuals on social media platforms, advertising viewing, and the physical products or brands that consumers have within the home.
    Researchers can conduct different types of Observational Research. If you intend carrying out Observational Research, it is essential to think about your role as a researcher. Example questions include:
  • Book cover image for: Planning an Applied Research Project in Hospitality, Tourism, and Sports
    • Frederic B. Mayo(Author)
    • 2013(Publication Date)
    • Wiley
      (Publisher)
    Structured observation is perhaps the most commonly misunderstood method of collecting data since it seems to be so easy and so subjective. After all, people observe behavior all the time and think that they have analyzed it carefully. Newton’s apocryphal observation of an apple falling can even be considered Observational Research (Crowther and Lancaster 108). Observation is something that most of us do all the time; however, using observation as a research technique involves a lot of careful planning to clarify what is being observed and how it will be noticed, recorded, and analyzed. Observational Research is almost an ethnographical study that examines people in everyday environments (Abrams xxi–xxii). There are several benefits to using Observational Research techniques. You can identify and count or measure actual customer behavior and actions rather than hear 192 CHAPTER 12 Research Techniques: Observations, Focus Groups, and Other Techniques about them from others who may have a particular point of view about customer behavior. Observational Research is more accurate than focus groups, which rely on participants’ memories or perceptions of products or services, while observing them provides insight into their actual experience (Abrams 6–7). By counting and mea- suring, you can also discover patterns of behavior that you, or others, may not have seen or been aware of, given all the other reading and work you have done on the topic (Sharp and Tustin 1590–592). Perhaps the most vivid examples of patterns of behavior that have been discovered by careful and systematic observation is what we know about the behavior of shoppers due to the work of Paco Underhill. His team of researchers has created the science of shopping and illuminated behaviors that no one noticed before, not even professional sales persons.
  • Book cover image for: Research Methods For Business
    eBook - PDF

    Research Methods For Business

    A Skill Building Approach

    • Uma Sekaran, Roger Bougie(Authors)
    • 2016(Publication Date)
    • Wiley
      (Publisher)
    126 INTRODUCTION Actions and behavior of employees, consumers, investors, and the like may play an important role in business research. Researchers and managers might be interested in the way workers carry out their jobs, the impact of new manufacturing techniques on employee activity, in how consumers watch commercials, use products, or behave in waiting areas, or in how a merchant bank trades and operates. A useful and natural technique to collect data on actions and behavior is observation. Observation involves going into “the field” – the factory, the super- market, the waiting room, the office, or the trading room – watching what workers, consumers, or day traders do, and describing, analyzing, and interpreting what one has seen. Observational methods are best suited for research requiring non‐self‐report descriptive data; that is, when behavior is to be examined without directly asking the respondents themselves. Observational data are rich and uncontaminated by self‐report bias. However, observational methods are also time consuming and challenging in a lot of other ways as you will learn in this chapter. Indeed, they are not without difficulties for the untrained researcher. This chapter starts with a definition of observation, followed by an overview of observational methods dis- tinguished by four basic dimensions: control, group membership, structure, and concealment. Subsequently we examine two important observational methods, participant observation and structured observation, in more detail. Finally, we discuss advantages and disadvantages of observation. Data collection methods: Observation C H A P T E R 8 LEARNING OBJECTIVES After completing Chapter 8 you should be able to: 1. Define observation and discuss how observation may help to solve business problems. 2. Demonstrate the ability to make an informed decision on an appropriate type of observational method for a specific study.
  • Book cover image for: Qualitative Marketing Research
    • David Carson, Audrey Gilmore, Chad Perry, Kjell Gronhaug(Authors)
    • 2001(Publication Date)
    natural setting of an organization. Such activities, if they are to be researched, need to be observed in context rather than in isolation (Mintzberg 1979). Traditional methods and approaches of using observation studies in consumer studies (as opposed to participant observation, consumers as participants and mystery shopping which are described later) can be adapted and refined to suit observations in business or organizational settings. Take, for example, the use of observation studies for monitoring how consumers use retail outlets, in terms of store layout, choice of products and brands, and how various marketing and merchandizing activities impact on their shopping behaviour and amount of money they spend. Using their managerial knowledge and experience, marketing managers can use observation studies as a natural and ongoing method of collecting data, as an everyday activity in relation to how consumers respond to various marketing activities. Indeed as managers become more experienced in this they can develop the skill for observing and improving the management of customer–staff interactions and ways of dealing with complaints or unsatisfactory situations in service delivery or customer interactions.
    Furthermore, observation studies of managerial activities in specific contexts are an appropriate and useful means of gaining understanding of how managers manage. For example, observation studies focusing on what managers do during their working day, how managers make decisions, who they talk to, how they delegate activities, and how marketing actions are implemented would provide very rich data on the managerial situation in a given context. Much of the renowned management theorist Mintzberg’s early work in organizational studies was based on observations. For example, his doctoral dissertation involved a study of the work of five managers using structured observation (Mintzberg 1970). During this study Mintzberg observed what each manager did for a week, recorded systematically whom the managers worked with, when, where, for how long and for what purpose. He used this data to induce a set of characteristics and roles of managerial work (Mintzberg 1973).
    Similarly, observation studies are widely used for research in the travel industry. For example, ferry companies have used observation studies to record customers’ vehicle registrations. They use this information to ascertain where people travel from, which ferry route they use and at which times of the day, week and year.
  • Book cover image for: Applied Marketing
    • Daniel Padgett, Andrew Loos(Authors)
    • 2023(Publication Date)
    • Wiley
      (Publisher)
    Observation methods involve watching what customers do and recording patterns of interest. Marketers want to understand your behavior, so they are developing ever more useful observation methods. Online shopping behavior is observed and data is collected via cookies. Have you noticed how something you looked at when you visited an online store suddenly appears later in an ad at the top or bottom of the page when you go to another website? Amazon uses your shopping behavior to show you related items as you shop. Grocery stores offer coupons related to items you looked at or just purchased. Observation methods enabled the retailer to “follow you” to the new location. New methods also follow you within a physical location. Electronic shop- ping carts with GPS (see Figure 5.6) can track your pattern through the store to better understand traffic patterns. Mondelez International (formerly Kraft Foods) is developing technology that will actually use facial recognition sensors on store shelves to identify gender and age of shoppers based on facial recognition to link customer characteris- tics to purchase behavior. As you may guess, privacy concerns have escalated as these technology advances have become more sophisticated for observing customer behavior. What is your opinion of these new observation methods? Can you think of how they might benefit customers? Observation is good for detecting behavior patterns but lacks the ability to determine underlying causes for the behavior and can be time-consuming and costly to use. observation Watching what customers do and recording patterns of interest. AP Photo/Steven Senne FIGURE 5.6 GPS-Enabled Carts Will Change the Way We Grocery Shop. 102 CHAPTER 5 The Role of Research in Marketing Ethnography, a qualitative data-collection method that is borrowed from anthropol- ogy, studies behavior in a natural context.
  • Book cover image for: Applied Marketing
    eBook - PDF

    Applied Marketing

    Connecting Classrooms to Careers

    • Daniel Padgett, Andrew Loos(Authors)
    • 2019(Publication Date)
    • Wiley
      (Publisher)
    Data Collection and Analysis for Qualitative Research Data collection methods for qualitative research include observation, ethnography, focus groups, and personal interviews. Observation methods involve watching what customers do and recording patterns of interest. Marketers want to understand your behavior, so they are developing ever more useful observation methods. Online shopping behavior is observed and data collected via “cookies.” Have you noticed how something you looked at when you visited an online store suddenly ap- pears later in an ad at the top or bottom of the page when you go to another website? Observation methods enabled the retailer to “follow you” to the new location. New methods also follow you within a physical location. Electronic shopping carts with GPS (see Figure 5.5) can track your pattern through the store to better understand traffic patterns. Mondelez International (formerly Kraft Foods) is developing technology that will actually use facial recognition sensors on store shelves to identify gender and age of shoppers based on facial recognition to link customer characteristics to purchase behavior. As you may guess, privacy concerns have escalated as these technology advances have become more sophisticated for observ- ing customer behavior. What is your opinion of these new observation methods? Can you think of how they might benefit customers? Observation is good for detecting behavior patterns but lacks the ability to determine underlying causes for the behavior and can be time-consuming and costly to use. Ethnography, a qualitative data collection method that is borrowed from anthropol- ogy, studies behavior in a natural context. Marketers use this method when they approach shoppers in the store to ask what they are doing or why they are doing something. Procter & Gamble has been one of the pioneers using this collection method by visiting shoppers in stores and consumers in their homes to better understand what they do and why.
Index pages curate the most relevant extracts from our library of academic textbooks. They’ve been created using an in-house natural language model (NLM), each adding context and meaning to key research topics.