Primary Data Collection: Observation

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  1. Learning Objectives Primary Data Collection: Six Observation CHAPTER Copyright © 2004 John Wiley & Sons, Inc.
  2. Learning Objectives Learning Objectives 1. To develop a basic understanding of observation research. 2. To learn the approaches to observation research. 3. To understand the advantages and disadvantages of observation research. 4. To explore the types of human observation.
  3. Learning Objectives Learning Objectives 5. To understand the types of machine observation and their advantages and disadvantages. 6. To explore the tremendous impact of scanner-based research on the marketing research industry. 7. To learn about observation research on the internet
  4. Learning Objectives The Nature of To develop a basic understanding Observation Research of observational research. Observation Research Defined The systematic recording of patterns of occurrence or behaviors without communicating with the people involved. Conditions for Using Observation • The information must be observable • The behavior must be repetitive • Short duration Approaches to Observation Research •Natural Versus Contrived Situations •Open Versus Disguised Observation
  5. Learning Objectives Observation Situations To learn about the various types of firms and their functions in research. Situation Example The Evolving StructurePeople watching people Observers in supermarkets. Table 6.1 Table Purpose: comparative Corporate Marketing shopping Research Departments People watching phenomena Observer stationed at The Marketing intersection counts traffic. Research Industry The InternetMachines Impact watching people Video-cameras record consumers selecting Users of Marketing frozen foods to determine popularity of choice. Research StrategicMachines Partnering watching phenomena Traffic-counting machines and monitor the flow of traffic Global Research through an intersection.
  6. Learning Objectives The Nature of To understand the advantages and Observation Research disadvantages of observational research. •Structured Versus Unstructured •Human Versus Machine Observers •Direct Versus Indirect Advantages of Observation Research • We can see what people actually do • Avoids interviewer bias • Quick data collection Disadvantages of Observation Research • Researcher does not learn motives • Time-consuming and expensive
  7. Learning Objectives Human Observation To explore the types of human observation. Ethnographic Research • From anthropology • Recording people in their natural settings Mystery Shoppers • To gather observational data about a store • To collect data about customer/employee interactions
  8. Learning Objectives Human Observation To explore the types of human observation. Four variations of mystery shopper: Level 1 - a mystery telephone call Level 2 - a quick purchase, little or no interaction Level 3 - using a script, initiates a conversation Level 4 - requires excellent communication and knowledge of product
  9. Learning Objectives Human Observation To explore the types of human observation. Measuring employee training: most common use of mystery shoppers. • Phase 1—evaluate existing customer service • Phase 2—evaluations analyzed and training program developed • Phase 3—shoppers return to evaluate the customer service post-training
  10. Learning Objectives Human Observation To explore the types of human observation. Preparing for New Competition • Evaluation of the strengths and weakness Monitoring the Competition • Comparing one’s own store with that of a competitors Recognizing Good Employees • Recognizing employees who provide customers with outstanding service builds employee morale and better customer satisfaction
  11. Learning Objectives Human Observation To explore the types of human observation. One Way Mirror Observations • Clients to observe the group discussion Shopper Patterns and Behavior • Tracing the flow of shoppers
  12. Learning Objectives Machine Observation To describe the types of machine observation. Traffic Counters • Machine-based observation Physiological Measurement • RAS: activation is stimulated via a subcortical unit • EEG: electroencephalogram • GSR: galvanic skin response • Pupilometer: pupil dilation • Voice Pitch Analysis: measures emotion
  13. Learning Objectives Machine Observation To describe the types of machine observation. Opinion and Behavior Measurement • Radio Listenership Track MOBILTRAK • Peole Reader • Rapid Analysis Measurement (RAMS) • The People Meter
  14. Learning Objectives Machine Observation To describe the types of machine observation. Scanner Based Research ▪ Electronic Monitoring Tools Television Meters Laser Scanners ▪ Behavior Scan - Shopping with an ID card - Answer Critical Marketing Questions: - Impact of new advertising? - Minimize media costs? - Change ad frequency?
  15. Learning Objectives Machine Observation To describe the types of machine observation. • InfoScan Tracking Service • All store scanner data system • More than 31,000 stores • InfoScan Tracking • to benchmark retailer performance against other retailers in same area
  16. Table 6.2 How InfoScan Works Learning Objectives To learn about the various types of firms and their functions in research. UPCs scanned Panel IRI field Panel Sent to IRI members personnel members are The Evolving present ID visually selected for Structure card at surveys television checkout stores monitoring Corporate Marketing Research DepartmentsSent to IRI Sent to IRI Sent to IRI The Marketing Research Industry The Internet Impact IRI Computers Completed databases Users of Marketing transferred to: ResearchNeural Network Quality •hard copy Control System •magnetic tape Strategic Partnering •diskette and Global Research
  17. Learning Objectives Machine Observation To describe the types of machine observation. Shopper’s Hotline A multi-outlet panel of 55,000 households • IRI’s Software • Decision-making software • The Future of Scanning • Will analyze individual household consumption
  18. Learning Objectives Observation Research on To explore the impact of scanner the Internet research on the marketing industry. Predictive Networks • Software to track every site a Web surfer visits • Builds a digital silhouette or profile • Plans to target news content based on user’s profile Virgin Entertainment • Gives free Internet appliances to customers willing to be tracked online.
  19. Learning Objectives Observation Research on To explore the impact of scanner the Internet research on the marketing industry. Vividence Corporation • Recruits Web surfers to fill out a profile sheet which includes demographic and lifestyle information • Uses it’s database to evaluate Web sites Digimarc Corporation • Plants codes in advertisements to send reader to product Web sites. • Forbes Magazine • Wired
  20. Learning Objectives SUMMARY • The Nature of Observation Research • Human Observation • Machine Observation • Observation Research on the Internet
  21. Learning Objectives The End Copyright © 2004, John Wiley & Sons, Inc.