AMITY

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The Research Process
and

Problem Formulation
Figure 1:
Relationship Formulate Problem
among the
Stages
in the Determine Research Design
Research
Process Design Data Collection
Method and Forms

Design Sample and Collect Data

Analyze and Interpret the Data

Prepare the Research Report

Questions That Need Addressing at the Various Stages of the Research
Process

Stage in the Process Typical Questions

Formulate problem What is the purpose of the study--to solve a problem?

Identify an opportunity? Is additional background
information necessary? What information is needed to
make the decision? How will the information be
utilized? Should research be conducted?

Determine research
design
How much is already known? Can a hypothesis be
formulated? What types of questions need to be
answered? What type of study will best address the
research questions?
Determine data
collection
method and forms Can existing data be used to advantage? What is to
be measured? How? What is the source of the data?
Can objective answers be obtained by asking people?
How should people be questioned? Should the
questionnaires be administered in person, over the
phone, or through the mail? Should electronic or
mechanical means be used to make the observations?
What specific behaviors should the observers record?
Should structure or unstructured items be used to
collect the data? Should the purpose of the study be
made known to the respondents? Should rating scales
Questions That Need Addressing at the Various Stages of the Research
Process

Stage in the Process Typical Questions

Design sample and Who is the target population? Is a list of population

collect the data elements available? Is a sample necessary? Is a
probability sample desirable? How large should the
sample be? How should the sample be selected? Who
will gather the data? How long will the data gathering
take? How much supervision is needed? What
operational procedures will be followed? What
methods will be used to ensure the quality of the data
collected?
Analyze and interpret
the data
Who will handle the editing of the data? How will the
data be coded? Who will supervise the coding? Will
computer or hand tabulation be utilized? What
tabulations are called for? What analysis techniques
Prepare the research will be used?
report

Who will read the report? What is their technical level

of sophistication? Are managerial recommendations
called for? What will be the format of the written
report? Is an oral report necessary? How should the
oral report be structured?
The Decision-Problem Paradigm

A1
01

A2
02
I

N
Examples of the Relationship Between Decision Problems and Research
Problems

Decision Research
Problems Problems

Develop package for a new Evaluate alternative package designs

product

Measure current image of the store

Increase store traffic

Evaluate prospective locations

Increase market penetration
through the opening of new
stores
Determine consumers’ confidence in
purchasing different categories of
products unseen
Decide which merchandise
will be available for purchase
over the Internet
Parts of a Research Request

1. Action- -the actions that are contemplated on the basis of the

research.
2
. Origin- -the events that led to a need for the decision to act;
while the events may not directly affect the research that is
conducted, they help the researcher understand more deeply
3. the nature of the research problem.

Information- -the questions that the decision maker needs to

4. have answered in order to take one of the contemplated
courses of action.
Use- -a section that explains how each piece of information will
5. be used to help make the action decision; supplying logical
reasons for each piece of the research ensures that the
questions make sense in light of the action to be taken.
6.
Targets and Subgroups- -a section that describes from whom
the information must be gathered; specifying the target groups
helps the researcher design an appropriate sample for the
research project.
Logistics- -a section that gives approximate estimates of the
time and money that are available to conduct the research;
both of these factors will affect the techniques finally chosen.
 Process for Choosing a Research Supplier

Identify the most critical areas of research and the issues that would benefit
most from research

Identify suppliers that have the expertise necessary to do the research

Get proposals from at least three qualified suppliers

Talk with key personnel at supplier companies whose proposals look particularly
promising paying particular attention to the firm’s quality control procedures

Perform a comparative analysis on the proposals with respect to:

* Each supplier’s understanding of the problem
*The approach being recommended
*The cost and timing of each research effort

Choose a supplier for the research

Formally evaluate the performance of the supplier chosen with respect to

specific criteria
 Figure 3: Parts of a Research Proposal, and an Example
Project Title:
Marketing Problem
Research on Your Consumers
Brief description of general problem; reason for conducting
research
by bidding Marketing Research Firm Sum up preliminary discussions
between researcher & manager; demonstrate knowledge of
situation & particular info needs

1 2

Data Sources & Methodology

Purpose of Research Project
State goals & objectives, w rationales
Describe scope of project (i.e., what will not be investigated)
Spell out specific questions to be answered
Address possible limitations due to time or budget constraints (to
avoid later disagreement)
3 4 (etc.), if applicable
Describe secondary data to be used
Describe how primary data will be gathered (surveys,
experiments)
Keep methods descriptions nontechnical
Describe sample and proposed size
Include draft of questionnaire or focus group moderator outline

Time and Personnel

Provide time estimates for each phase of the research
Specify personnel required and their rates of pay
Calculate nonpersonnel costs (e.g., supplies, printing,
mailing, etc.)

5

Eau de Internet:
Selling Fragrances Online
by Marketing Researchers R Us
Purpose of Research Project
Objective: determine will consumers buy perfumes online
Focus on women’s attitudes (buying for self or gift), not yet
purchase
Concerns women have re: buying fragrances online?
What factors lower resistance (brand, price, return
policy?)
Client desires results in 3months…
Time and Personnel
Preliminary phase, 3 weeks
Survey pre-test, debug, 2 weeks
Sample select & solicitation, 2 wks
Administer survey, follow-up, 1 wk
Analyses, 1 month
Discuss required staff (& salaries)
Other costs minimal (given format of electronic contact and
survey execution)
Marketing Opportunity
$27billion U.S. beauty market
45% U.S. population Internet access
Related Internet site (fashion) up, possible profitable link?
Manager concern fragrances cannot be sampled electronically
Past research: trial is important
Can image & brand dominate?
1 2
Data Sources & Methodology
Secondary data: sales in beauty, perfumes, online apparel
Primary data: email contact directed to Internet surveys
Analysis: averages, cross-tabs
Sample size goal of 300 women, given time constraints, target
those w internet access, modify
questions for gift purchases
3 4
5
Figure 2: Percentage of Research Users who believe
Marketing Researchers Should Engage in the following Activities:

Consult with executive to understand

problem

Become familiar w objectives before

beginning marketing research project

Help mgmt define problem to be studied

Question soundness of objectives

0 10 20 30 40 50 60 70 80 90 100
RESEARCH REALITIES 3: Segments of Online Consumers
Use the information in the following chart to answer the questions:
1. If you were an information or entertainment portal, who would you target? If you were a e-commerce arm of a
department store, which group(s) would you target? Who would you avoid?
2. If you just allowed any random person to click through to your web survey, what do these numbers suggest your sample
would resemble?
3. If you wished to target any one of these segments to obtain their opinions in a marketing research web survey, how
would you find them? Contact them? Appeal to them?

#hours #domains #pages percent

segment size month month month buying why online?
Simplifiers 29% 7.1 6.2 1021 87% Internet makes my life easier, seek
convenience (no ads, chat, popup),
49% online >5yrs, comprise 50% online
transactions
Surfers 8% 30.2 224 4852 71% spend most time online, many purposes
including buying, comedy central,
eye candy, videostreams)
Bargainers 8% 8.3 43 1295 64% find best buys, shop and entertainment
=50% of e-bay, priceline, ubid, quote.com
Connectors 36% 5.7 54 791 42% Internet newcomers, communicate, more
tied to offline brands, icq, bluemountain
Routiners 15% 8.2 32 624 50% source info, not necessarily online
shoppers, news, financials, wsj, msnbc
Sportsters 4% 7.1 47 1023 51% info, focus on sports and entertainment
sites, espn, cbs sportsline, boxerjam
average 9.8 74 1398 61%
Source: “All Visitors are Not Created Equal” White Paper series, mckinsey.com.
 TOPIC
Sampling techniques
 Methods of Enumeration
There are two methods of enumeration:
1.Census:
• The object of a census or complete
enumeration is to collect information for each
and every unit of the population.
• When we make a complete enumeration of all
items in the population, it is known as census
method of collection of data.
• Example: If we study the average expenditure of the
students of the Jaipur university, and if there are
40,000 students studying in that university, we must
know expenditure of all 40,000 students. This method
is known as census method.
• In this method complete enumeration is done.
Merits:
• The information collected via census method is most
accurate and reliable as the data are collected from
each and every
 item of the population.
• Intensive study is possible.
• The data collected may be used for various surveys,
analyses, etc.
Demerits:
• It requires a large no. of enumerators and it is a costly
method.
• It requires more money, labor, time and energy.
• It is not possible in some circumstances Where the
universe is infinite.
: 6-Step Procedure for Drawing a Sample
Step 1 Define the Target Population

Step 2 Identify the Sampling Frame

Step 3 Select a Sampling Procedure

Step 4 Determine the Sample Size

Step 5 Select the Sample Elements

Collect the Data from the

Step 6 Designated Elements
2.Sample Method:
• In business situations it is not required to
collect information regarding every unit of the
population under study. Some units picked
from the population using a sampling
technique is called a ‘sample’.
• This process of selecting a sample and
collecting relevant information of the units of
the sample is known as sampling enumeration.
• In this method, the study is based on a portion
of the population that is representative of the
entire population.
• Only a part of the whole group of population
will be studied in case of sample enquiry.
• The results obtained from sample study can be
applied to the whole universe or population.
Merits:
• It saves time because fewer items are collected and
processed.
• It reduces cost : only a few and selected items are
studied in sampling.
• If the population under study is infinite, sampling
method is only method to be used.
• Sampling provides more detailed information : As it
saves time, money and energy, we can collect more
detailed information in a sample survey.
• More reliable results can be obtained.
• The degree of accuracy obtainable in this
method is higher than that in census method.
• Example: A doctor examines few drops of
blood and draws conclusions about the whole
blood.
Characteristics of a good Sample:
• A sample should have all the characteristics of
the population from where it is taken.
• A person should not be biased in selecting a
sample from the population.
• The findings or decisions taken based on the
sample study should be applicable to the entire
population.
Types of Sampling:
Random or Probability Sampling:
• A random sample is a sample selected in such
a way that every item in the population has an
equal chance of being included.
• Some of the random sampling methods are:
 Sampling Techniques
Sampling is a procedure, where in a fraction of
the data is taken from a large set of data, and the
inference drawn from the sample is extended to
whole group.
The type of enquiry one wants to have and the
nature of the data that one wants to collect
fundamentally determines the technique or
method of selecting a sample.

The procedure of selecting a sample may be

broadly classified under the following heads :
• Non- probability sampling techniques
•Probability sampling techniques
 Sampling
techniques

Non probability Probability

•Convenience sampling
•Judgmental sampling
•Quota sampling
•Snowball sampling
 Non probability sampling
•In a non probability sample, the likelihood of selecting
any one case from the population into the sample is not
known.

•These are those sampling techniques that do not use

chance selection procedures. Rather, they rely on the
personal judgment of the researcher.

•These are often used when a sampling frame is not

available, and/or when the time requirements or costs of
using probability methods prohibitive.

•Operationally convenient and simple in theory.

•Results may not be generalized.

 Classification of
non probability
sampling techniques
•Convenience sampling
•Judgmental sampling
•Quota sampling
•Snowball sampling
 Convenience sampling
•It is also called haphazard or accidental sampling.
•The sampling procedure of obtaining the people or units that are
most conveniently available.
•The selection of sampling units is left primarily to the interviewer.
These sampling units are
•Accessible
•Easy to measure
•Cooperative
•It is used for exploratory research and speedy situations.
•It is often used for new product formulations.
•It is extensively used in marketing studies and otherwise.
•It does not lead to any conclusion.
•Convenience samples are not representative of an definable
population. They can be used for focus groups, pretesting
questionnaires. Even in these cases, caution should be exercised in
interpreting the results.
•It is least expensive and least time consuming of all the sampling
techniques.
•This technique is sometimes used even in large surveys.
 Judgmental sampling

•It is also called purposive sampling.

•It is a form of convenience sampling in which selection criteria are

based upon researcher’s personal judgment that the members of the
sample are representative of the population under study.

•Common in commercial marketing research projects.

•If inference drawing is not necessary, these samples are quite useful.

•It is used for most test markets and many products tests conducted in
shopping malls.
 Quota sampling
•It is an extension of judgmental sampling.

•It is something like a two-stage restricted judgmental sampling.

•The first stage consists of developing control
categories, or quotas, of population elements.
•In the second stage, sample elements are selected
based on convenience or judgment.
•Quite difficult to draw.

•Quota sampling attempts to obtain representative samples at

a relatively low cost.

•It is a very commonly used sampling method in marketing

research studies.

•Samples are selected on the basis of certain parameters such

as age, sex, income and occupation that describe the nature of
a population so as to make of it representative of the
population.
 Snowball sampling
•It is used in studies involving respondents who are rare to find.
To start with, the researcher compiles a short list of sample units
from various sources. Each of these respondents are contacted to
provide names of other probable respondents
i.e. initial respondents are selected by probability
methods and additional respondents are obtained from
information provided by the initial respondents.

•This process may be carried out in waves by obtaining referrals

from referrals.

•This chain-like informal word of mouth referral process is

especially helpful in identifying hard to reach populations such as
people who are homeless, etc.

•It is used to sample low incidence or rare populations.

 Probability sampling
•In a probability sample, every member of the target
population has a known, non-zero probability of being
included in the sample i.e. their chances of being
selected are greater than zero.

•Scientific, operationally convenient and simple in theory.

•Results may be generalized.

•Probability samples are essential if the goal of the data

collection is to make estimates about the whole
population.

•Sampling frame (i.e. list of the target population) is

needed.
 Classification of
probability sampling
techniques
 Simple random sampling
•A sampling procedure that ensures that each element in the
population will have an equal chance of being included in the sample.

•Numbers are randomly drawn until the desired number of cases for
the sample has been reached.

•In this method, equal probability of selection is assigned to each unit

of population at the first draw. It also implies an equal probability of
selecting in the subsequent draws.

•Random sample does not depend only upon selection of units but
also on the size and nature of the population.

•This method eliminates biasness and subjectivity.

•The methods of drawing simple random sample are – using table of

random numbers, computerized random number generator and lottery
system (sealed envelopes).

•It is appropriate for homogeneous population.

 Systematic sampling
•In systematic sampling, the sample is chosen by selecting a
random starting point and then picking every ith element in
succession from the sampling frame.

•It is a simple process.

•Every nth name from the list will be drawn.

•Requires the sample frame only, and no random number table is

necessary.

•It is also appropriate for homogeneous population.

•It is operationally more convenient than simple random sampling.

•It saves time and work involved and is more efficient.

 Cluster sampling
•In this type of sampling, we divide the total population, depending
upon the problem under study, into some recognizable sub-divisions
which are termed as clusters. Then a random sample of clusters is
selected based on a probability sampling technique.
•The purpose of cluster sampling is to sample economically while
retaining the characteristics of a probability sample.
•The primary sampling unit is no longer the individual element in the
population.
•The primary sampling unit is a larger cluster of elements located in
proximity to one another.
•It is typically used in large scale studies.
•It involves a multi-stage process.
•Use of random number table may be necessary.
•It is appropriate for heterogeneous population.
•This technique is costly, complex and requires more intensive
efforts to control error.
 AREA SAMPLING
• A common form of cluster sampling where clusters consist of geographic areas, such as
districts, housing blocks or townships. Area sampling could be one-stage, two-stage, or
multi-stage.
How to Take an Area Sample Using Subdivisions
Your company wants to conduct a survey on the expected patronage of its new outlet in a new
housing estate. The company wants to use area sampling to select the sample households to be
interviewed. The sample may be drawn in the manner outlined below.
___________________________________________________________________________________
Step 1: Determine the geographic area to be surveyed, and identify its subdivisions. Each
subdivision cluster should be highly similar to all others. For example, choose ten housing
blocks within 2 kilometers of the proposed site [say, Model Town ] for your new retail outlet;
assign each a number.
Step 2: Decide on the use of one-step or two-step cluster sampling. Assume that you decide to
use a two-stage cluster sampling.
Step 3: Using random numbers, select the housing blocks to be sampled. Here, you select 4
blocks randomly, say numbers #102, #104, #106, and #108.
Step 4: Using some probability method of sample selection, select the households in each of the
chosen housing block to be included in the sample. Identify a random starting point (say,
apartment no. 103), instruct field workers to drop off the survey at every fifth house
(systematic sampling).
 Stratified sampling
•In this technique, the population is first divided into homogeneous
strata and then simple random sampling or systematic sampling is
used to select cases within each stratum.

•In order to use stratified sampling, there must be sufficient

information about the population to decide in advance to which
stratum each member belongs.

•It is also called proportional or quota random sampling.

•Do not confuse with quota sample.

•Use of random number table may be necessary.

•Each stratum is more or less equal on some characteristic.

•It assures that one will be able to represent not only the overall
population, but also key subgroups of the population, especially
small minority groups.
Stratified samples can be:
•Proportionate: involving the selection of sample
elements from each stratum, such that the ratio of
sample elements from each stratum to the sample
size equals that of the population elements within
each stratum to the total number of population
elements.

•Disproportionate: the sample is disproportionate

when the above mentioned ratio is unequal.
 Choosing probability Vs non probability sampling

Probability Evaluation Criteria Non-probability

sampling sampling
Conclusive Nature of research Exploratory

Larger sampling Relative magnitude Larger non-sampling

errors sampling vs. error
non-sampling error

High Population variability Low

[Heterogeneous] [Homogeneous]

Favorable Statistical Considerations Unfavorable

High Sophistication Needed Low

Relatively Longer Time Relatively shorter

High Budget Needed Low

Scales of Measurement

Basic Typical Measures

Scale of
Comparison Example
s s Average
Nominal Identity Male-female Mode
User-nonuser
Occupations
Uniform numbers

Ordinal Order Preference for brands Median

Social class
Hardness of minerals
Graded quality of
lumber
Interval Comparison Mean
Temperature scale
of
intervals Grade point average
Attitude toward
brands
Awareness of
advertising
Ratio Geometric
Comparison
mean
of absolute Units sold
Harmonic
magnitudes Number of purchasers
mean
Probability of
purchase
Weight
 Figure 1: Assessing a Respondent’s Liking of Soft Drinks
With Nominal, Ordinal, Interval, and Ratio Scales

Nominal Ordinal
Which of the soft drinks in the Rank the soft drinks according to how much you
following list do you like? like each (most preferred drink = 1, and least
(Check ALL that apply): preferred drink = 6):
___Coke ___Coke
___Dr. Pepper ___Dr. Pepper
___Mountain Dew ___Mountain Dew
___Pepsi ___Pepsi
___Seven Up ___Seven Up
___Sprite ___Sprite

Interval Ratio
Please indicate how much you like each soft Please divide 100 points among these soft drinks
drink by checking the appropriate position on the To represent how much you like each:
scale: dislike like
a lot dislike like a lot ___Coke
Coke ____ ____ ____ ___ ___Dr. Pepper
Dr. Pepper ____ ____ ____ ___ ___Mountain Dew
Mountain Dew ____ ____ ____ ___ ___Pepsi
Pepsi ____ ____ ____ ___ ___Seven Up
Seven Up ____ ____ ____ ___ ___Sprite
Sprite ____ ____ ____ ___ 100
 A Classification of Survey Methods
Fig. 6.1
Survey
Methods

Telephone Personal Mail Electronic

In-Home Mall Computer- Internet

E-mail
Intercept Assisted Personal
Interviewing

Traditional Computer-
Mail Mail
Telephone Assisted
Interview Panel
Telephone
Interviewing
 Some Decisions Related to the Mail
Interview Package
Outgoing Envelope
Outgoing envelope Size, color, return address
Postage Method of addressing
Cover Letter
Sponsorship Type of appeal Postscript
Personalization Signature
Questionnaire
Length Size Layout Format
Content Reproduction Color Respondent
anonymity
Return Envelope
Type of envelope Postage
Incentives
Monetary versus non-monetary Prepaid Versus promised
amount
Criteria for Evaluating Survey Methods
Flexibility of Data Collection
• The flexibility of data collection is determined primarily by the
extent to which the respondent can interact with the interviewer
and the survey questionnaire.

Diversity of Questions
• The diversity of questions that can be asked in a survey depends
upon the degree of interaction the respondent has with the
interviewer and the questionnaire, as well as the ability to actually
see the questions.

Use of Physical Stimuli

• The ability to use physical stimuli such as the product, a product
prototype, commercials, or promotional displays during the
interview.
Criteria for Evaluating Survey Methods
Sample Control
• Sample control is the ability of the survey mode to reach the units
specified in the sample effectively and efficiently.

Control of the Data Collection Environment

• The degree of control a researcher has over the environment in which
the respondent answers the questionnaire.

Control of Field Force

• The ability to control the interviewers and supervisors involved in
data collection.

Quantity of Data
• The ability to collect large amounts of data.
Criteria for Evaluating Survey Methods
Response Rate
• Survey response rate is broadly defined as the percentage of the
total attempted interviews that are completed.

Perceived Anonymity
• Perceived anonymity refers to the respondents' perceptions that
their identities will not be discerned by the interviewer or the
researcher.

Social Desirability/Sensitive Information

• Social desirability is the tendency of the respondents to give
answers that are socially acceptable, whether or not they are true.
 Criteria for Evaluating Survey
Methods
Potential for Interviewer Bias
• The extent of the interviewer's role determines the
potential for bias.

Speed
• The total time taken for administering the survey to
the entire sample.

Cost
• The total cost of administering the survey and
collecting the data.
 Methods
Mall-
Criteria Phone/ In-Home Intercept Mail Mail
CATI Interviews Interviews CAPI Surveys Panels E-Mail Internet

Flexibility of data Moderate High High Moderate Low Low Low Moderate
collection to high to high to high
Diversity of questions Low High High High Moderate Moderate Moderate Moderate
to high
Use of physical stimuli Low Moderate High High Moderate Moderate Low Moderate
to high
Sample control Moderate Potentially Moderate Moderate Low Moderate Low Low to
to high high to high moderate
Control of data collection Moderate Moderate High High Low Low Low Low
environment to high
Control of field force Moderate Low Moderate Moderate High High High High
Quantity of data Low High Moderate Moderate Moderate High Moderate Moderate
Response rate Moderate High High High Low Moderate Low Very
Low
Perceived anonymity of Moderate Low Low Low High High Moderate High
the respondent
Social desirability Moderate High High Moderate Low Low Moderate Low
to High
Obtaining sensitive High Low Low Low to High Moderate Moderate High
information moderate to High
Potential for interviewer Moderate High High Low None None None None
bias
Speed High Moderate Moderate Moderate Low Low to High Very
to high to high moderate high
Cost Moderate High Moderate Moderate Low Low to Low Low
to high to high moderate
 Observation Methods
Structured Versus Unstructured
• Observation
For structured observation, the researcher specifies in
detail what is to be observed and how the
measurements are to be recorded, e.g., an auditor
performing inventory analysis in a store.

• In unstructured observation, the observer monitors

all aspects of the phenomenon that seem relevant to the
problem at hand, e.g., observing children playing with
new toys.
 Observation Methods
Disguised Versus Undisguised
•
Observation
In disguised observation, the respondents are unaware
that they are being observed. Disguise may be
accomplished by using one-way mirrors, hidden cameras,
or inconspicuous mechanical devices. Observers may be
disguised as shoppers or sales clerks.

• In undisguised observation, the respondents are aware

that they are under observation.
 Observation Methods
Natural Versus Contrived
Observation
• Natural observation involves observing behavior as it
takes places in the environment. For example, one could
observe the behavior of respondents eating fast food in
Burger King.

• In contrived observation, respondents' behavior is

observed in an artificial environment, such as a test
kitchen set up in shopping mall.
 A Classification of Observation
Methods
Classifying
Observation
Methods

Observation Methods

Personal Mechanical Audit Content Trace

Observation Observation Analysis Analysis
 Observation Methods
Personal Observation
• A researcher observes actual behavior as it occurs.

• The observer does not attempt to manipulate the

phenomenon being observed but merely records what
takes place.

• For example, a researcher might record traffic counts

and observe traffic flows in a department store.
 Observation Methods
Mechanical Observation
Do not require respondents' direct participation.
– The AC Nielsen audimeter attached to television set to monitor
everything.
– Turnstiles that record the number of people entering or leaving a
building.
– On-site cameras (still, motion picture, or video)
– Optical scanners in supermarkets

Do require respondent involvement.

– Eye-tracking monitors: motion of eye
– Pupilometers : measure changes in diamater of eye
– Psychogalvanometers : changes in electric resistance of a skin
– Voice pitch analyzers
– Devices measuring response latency: time taken for response
 Observation Methods
Audit
• The researcher collects data by examining physical
records or performing inventory analysis.
• Data are collected personally by the researcher.
• The data are based upon counts, usually of physical
objects.
• Retail and wholesale audits conducted by marketing
research suppliers
 Observation Methods
Content Analysis
• The objective, systematic, and quantitative description
of the manifest content of a communication.
• The unit of analysis may be words, characters
(individuals or objects), themes (propositions), space
and time measures (length or duration of the message),
or topics (subject of the message).
• Analytical categories for classifying the units are
developed and the communication is broken down
according to prescribed rules.
 Observation Methods
Trace Analysis
Data collection is based on physical traces, or
evidence, of past behavior.
 The selective erosion of tiles in a museum indexed by the
replacement rate was used to determine the relative
popularity of exhibits.
 The number of different fingerprints on a page was used to
gauge the readership of various advertisements in a
magazine.
 The position of the radio dials in cars brought in for service
was used to estimate share of listening audience of various
radio stations.
 The age and condition of cars in a parking lot were used to
assess the affluence of customers.
 The magazines people donated to charity were used to
determine people's favorite magazines.

 A Comparative Evaluation of
Observation Methods
Criteria Personal Mechanical Audit Content Trace
Observation Observation Analysis Analysis Analysis

Degree of structure Low Low to high High High Medium

Degree of disguise Medium Low to high Low High High
Ability to observe High Low to high High Medium Low
in natural setting
Observation bias High Low Low Medium Medium
Analysis Bias High Low to Low Low Medium
Medium
General remarks Most Can be Expensive Limited to Method of
flexible intrusive commu- last resort
nications
Relative Advantages of Observation
• They permit measurement of actual behavior rather than
reports of intended or preferred behavior.

• There is no reporting bias, and potential bias caused by

the interviewer and the interviewing process is
eliminated or reduced.

• Certain types of data can be collected only by

observation.

• If the observed phenomenon occurs frequently or is of

short duration, observational methods may be cheaper
and faster than survey methods.
 Relative Disadvantages of
Observation
• The reasons for the observed behavior may not be determined
since little is known about the underlying motives, beliefs,
attitudes, and preferences.
• Selective perception (bias in the researcher's perception) can
bias the data.
• Observational data are often time-consuming and expensive,
and it is difficult to observe certain forms of behavior.
• In some cases, the use of observational methods may be
unethical, as in observing people without their knowledge or
consent.
It is best to view observation as a complement to survey
methods, rather than as being in competition with them.
 A Comparative Evaluation of Survey
Methods for International Marketing
Research
Telephone Personal Mail Elec
mple control + + - -
y in locating + - + +
ents at home
sibility of homes + - + +
ability of a large + - + +
rained interviewers
opulation in rural areas - + - -
ability of maps + - + +
ability of current - + - +
ne directory
ability of mailing lists + + - +
etration of telephones - + + -
an efficient postal system + + - +
el of literacy - + - -
face communication culture - + - -
ess to computers & Internet ? + ? -
(+) denotes an advantage, and a (–) denotes a disadvantage.
 At Amity
…learning never ends
the journey of excellence
continues…

Thank You