Observation Research: Prepared By: Llagas, Micheille Andrea S. (11-ABM A)

Observation
Research
Prepared by : Llagas, Micheille Andrea S. (11-ABM A)

Observation technique
Observation technique is probably one of the best ways of
gathering data about customers in their natural setting without
having to interact or talk to them. One has to simply observe
people as they go about their usual activity such as buying and
using products and services and assess how they behave.
Having a clear objective in mind will help the researcher focus
on the important things to observe or watch out for. Recording
the event as it happens may be the best means to capture the
information. However, the researcher must be discreet so as
not to attract the attention of the one being observed. In the
absence of a video recording, jotting down observations will do.
These observations must be documented and tallied for proper analysis
later on. Prior to doing the observation, it is important for the researcher
to ensure that the ff. conditions are met:
1. The needed information must be observable or inferable from the
behavior that can be observed
2.The subject matter contains Some sensitivity that needs detached

observation
3. The behaviors of interest must be repetitive, frequent, or predictab

le in some manner
4.The behaviors of interest must be of a relatively short duration

Advantages Disadvantages
• It allows the researcher to see what • The researcher cannot get the
customers actually do rather than reasons behind the behavior.
rely on what they say they do.
• The researcher can only focus on
• It allows the researcher to observe the "here and now.” It cannot cover
customers in their natural setting. the past nor cover the future.
• It does not subject the researcher to • Finally the observation technique

the unwillingness of customers or may border an the unethical because
their inability to reply to certain the respondents have not agreed to
questions be observed.
• Some information are better

gathered quickly and accurately
through observation.
2 TYPES OF OBSERVATION TECHNIQUES
1. HUMAN OBSERVATION
In human observation, humans observe the events as they happen
2. MECHANICAL OBSERVATION
mechanical observation, mechanical devices are used to records events for
the later analysis
Guidelines in conducting observation research
1. Determine the pre-observation objectives
2. Prepare your pre-observation tips:

a. Prepare and clarify your observation points and
issues.
b. Prepare your observation materials.
c. Identify the persons to be observed.
d. Position yourself strategically without being noticed.
3. Focus on what you want to observe:
a. Is it customer demographics?
b. Customer buying behavior?
c. Customer usage behavior?
d.Other customer information?
4. Observation proper:
a. Observe keenly and listen intently
b. Be mindful of the surroundings
c. Be alert for obvious movements.
d. Be sensitive to subtle movements.
e. Look at the customer when the customer is not
looking.
f. Do not be obvious.
g. Observe and take note of other things that you
feel are important.
5. Post-observation tips:
a. Review your notes.
b. Make sure that the flow is correct.
c. Tabulate what needs to be tabulated.
d. Interpret and analyze your data.
e. Make a formal report.
Survey
Research
Prepared by : Llagas, Micheille Andrea S. (11-ABM A)

Survey is the most preferred instrument for in-depth quantitative research.
The respondents are asked a variety of questions which are of personal
information, their motivations, and their behavior. The most popular type of
survey research is the Usage, Attitude, and Image (UAI) survey, which is
intended to derive market awareness, market size and share, product usage
and preference, customer interest, and customer image.
In planning a survey, there are three important concerns that one has to look
into:
1. Sampling technique
2. Getting the sample size
3. Designing the questionnaire
Questionnaire Design
Some basic rules that have to be followed in question formulation. These
are:
• The questions, in their totality, should be able to elicit all the necessary
information required in the research.
• Each question should be clear and definite.
• Each question should cover one topic at a time.
• Each question should be presented in a neutral manner
• Each question should be translated into the dialect that the target
respondents are familiar with.
Sampling Technique
Sampling techniques are classified into probability and
non-probability sampling. Probability sampling is where the
respondents are randomly selected from a population such as in
the lottery method.
Non-probability sampling, on the other hand, refers to the

technique that is resorted to “when it is difficult to estimate the
population of the study because they are mobile or transitory in a
given location." Hence, this renders the characteristic or profile of
a group that is difficult to generalize. Some of the different types of
non-probability sampling are convenience sampling, purposive
sampling, quota sampling, and snowball sampling,
SAMPLE SIZE
There are three basic sample size determinants. These are as follows:
1. Data variability of a proportion - dispersion of the data or how widely spr

ead the data is from a central point.
2. Confidence level in the estimation process - the higher the confidence le

vel desired, the bigger the sample size needed; the current industry stan
dard has 95% confidence level.
3. Error in the result of the estimation process - the less error margin desire
d the bigger is the required sample size; it is expressed as plus or minus
(+/-) a certain percentage.
Assuming that the population is unknown, the formula for computing the sam
ple size is as follows:
𝒁𝟐 [𝒑 (𝟏 − 𝒑)
𝒏=
𝒅𝟐
where:
Z = 1.96 (The value of the normal variable for a confidence level of 0.95.
This means that the probability of finding the true population value
within a given interval is 95%. If 99% is the chosen confidence level,
the value of is 2.58.)
P = 0.50 (the proportion of getting a good sample)
1-p = 0.50 (the proportion of getting a bad sample)
d = error margin in decimals
n = sample size
𝑛
𝑁=
1 + (𝑛)(𝑒)
If the population is known, the tables below indicate the compound sample
size (n) for the given population size (N) , with a confidence level of 95%
and a given margin of error of 2.5% (column 1), 5.0% (column 2), and
10.0 % (column 3)
Do-it yourself Survey: Steps in Conducting a Survey Research
Let us go to the steps in conducting a survey research.
1. Develop the research objectives. Determine what you want to know and
learn Define the goals of your research.
2. Determine your sample. Identify who and what kind of people you will
interview and where you are going to find them.
3. Choose the interviewing methodology. From the different interview methods,

such as face-to-face. by phone, or by mail, choose the appropriate methodology
a use for your research.
4. Create your questionnaire. In drafting your questionnaire, identity the

ey information you will bave to ask from your respondents. Design your
questionnaire based on the process given above
5. Pre-test the questionnaire. Determine a similar profile of target respondents and test
the questionnaire.
6. Conduct interviews and enter data. Plan and execute the implementation of Corpor
rietors Cnoperative, interviews, etc.) Be professional in conducting the interviews. Ensur
e that data are entered legibly.
7. Analyze the data. Review your notes. Organize the questionnaires for more 4, includi
ng the insights gained from the results. (You should follow the process in Sales Data Min
ing in classifying the information.) orderly processing. Tabulate, use graphs, and do the s
tatistics. Write the report 5 Et the food
Costumer
Profiling
Methods of Customer Profiling
Demographics
In demographic classification, we categorize customers into the following:

1. Age
2. Income classes
3. Social classes/Reference groups
4. Ethnic backgrounds
5. Religious beliefs
6. Occupations
7. Domiciles
Income levels determine the purchasing power of customers. Usu
ally, the customers are classified according to the following incom
e classes:
1. Class A, the high income class.

2. Class B, the upper middle income class
3. Class C, the middle income class
4. Class D, the lower middle income class
5. Class E, the low income class
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2 TYPES OF OBSERVATION TECHNIQUES
1. HUMAN OBSERVATION
In human observation, humans observe the events as they happen
2. MECHANICAL OBSERVATION
the later analysis
Guidelines in conducting observation research
1. Determine the pre-observation objectives
2. Prepare your pre-observation tips:

a. Prepare and clarify your observation points and
issues.
b. Prepare your observation materials.
c. Identify the persons to be observed.
d. Position yourself strategically without being noticed.
3. Focus on what you want to observe:
a. Is it customer demographics?
b. Customer buying behavior?
c. Customer usage behavior?
d.Other customer information?
4. Observation proper:
a. Observe keenly and listen intently
b. Be mindful of the surroundings
c. Be alert for obvious movements.
d. Be sensitive to subtle movements.
e. Look at the customer when the customer is not
looking.
f. Do not be obvious.
g. Observe and take note of other things that you
feel are important.
5. Post-observation tips:
a. Review your notes.
b. Make sure that the flow is correct.
c. Tabulate what needs to be tabulated.
d. Interpret and analyze your data.
e. Make a formal report.
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The first one is human observation and the other is mechanical observation
In human observation, humans observe the events as they happen; while in

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2 TYPES OF OBSERVATION
TECHNIQUES
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Observation

Prepared by : Llagas, Micheille Andrea S. (11-ABM A)

2.The subject matter contains Some sensitivity that needs detached

3. The behaviors of interest must be repetitive, frequent, or predictab

4.The behaviors of interest must be of a relatively short duration

• It does not subject the researcher to • Finally the observation technique

• Some information are better

1. Determine the pre-observation objectives

2. Prepare your pre-observation tips:

Prepared by : Llagas, Micheille Andrea S. (11-ABM A)

Non-probability sampling, on the other hand, refers to the

1. Data variability of a proportion - dispersion of the data or how widely spr

2. Confidence level in the estimation process - the higher the confidence le

3. Choose the interviewing methodology. From the different interview methods,

4. Create your questionnaire. In drafting your questionnaire, identity the

In demographic classification, we categorize customers into the following:

1. Class A, the high income class.

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1. Determine the pre-observation objectives

2. Prepare your pre-observation tips:

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