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Validate Customer Needs Through Interviews and Observations
- 1. Entrepreneurship Senior High School Applied - Academic Unit 7: Methodologies for Validating Customers' Concerns Lesson 1 Interview and Observation Technique
- 2. ENGAGE EXPLORE EXPLAIN EXTEND EVALUAT What should an entrepreneur do to know his or her customers’ needs? 2
- 3. Learning Objective ENGAGE EXPLORE EXPLAIN EXTEND EVALUAT At the end of the lesson, you should be able to do the following: Validate customer-related concerns through an interview and observation technique. 3 3
- 4. ENGAGE EXPLORE EXPLAIN EXTEND EVALUAT 1. In what fast-food restaurants do you and your family mostly eat? List down at least five fast- food restaurants. 2. What are your reasons and preferences in patronizing these fast-food restaurants? 3. Did you experience dissatisfaction while eating in these fast-food restaurants? Discuss why you felt disappointed. 4
- 5. ENGAGE EXPLORE EXPLAIN EXTEND EVALUAT Interview An interview is a face- to-face communication between two persons where questions are asked and answers are given. 5
- 6. ENGAGE EXPLORE EXPLAIN EXTEND EVALUAT Interview 6 The interviewer can have various ways of recording the gathered information, like writing with a pencil and paper or transcribing with a video or audio recorder.
- 7. 7 How does an interview aid in gathering information for the business?
- 8. ENGAGE EXPLORE EXPLAIN EXTEND EVALUAT Kinds of Interviews Customer Interview It is communication with customers designed to gather information. These gathered pieces of information are ideas for products or services and customer experience. 8
- 9. ENGAGE EXPLORE EXPLAIN EXTEND EVALUAT Kinds of Interviews Job Interview It is a formal discussion for the purpose of assessing the qualifications of an interviewee for a specific job position. This interview is a useful tool for evaluating qualifications. 9
- 10. 10 How can we tell if an interview was carried out successfully?
- 11. ENGAGE EXPLORE EXPLAIN EXTEND EVALUAT Considerations in Conducting an Interview 11 1. Determine the objectives. 2. Outline the areas to be covered. 3. Pick the location. 4. Observe standards of etiquette. 5. Open with a standard rapport or small talk.
- 12. ENGAGE EXPLORE EXPLAIN EXTEND EVALUAT Considerations in Conducting an Interview 12 6. Distinguish open-ended and closed-ended questions. 7. Use notation to record impressions. 8. Hide a notepad and pen. 9. Be tactful when exploring sensitive issues. 10.Contradict with caution.
- 13. Remember 13 Begin the interview with open-ended questions. As the interview progresses, use closed-ended questions. This is to confirm understanding and explore in depth the topic being discussed.
- 14. 14 Is the interview technique applicable to all kinds of market research?
- 15. ENGAGE EXPLORE EXPLAIN EXTEND EVALUAT Observation Technique 15 The observation technique is the process of gathering data about customers in their natural setting without having to interact with them.
- 16. ENGAGE EXPLORE EXPLAIN EXTEND EVALUAT Considerations in Conducting Observation Technique 16 1. The information must be observable. 2. The subject matter contains sensitivity. 3. The behavior of interest must be repetitive. 4. The behavior of interest must have a short duration.
- 17. ENGAGE EXPLORE EXPLAIN EXTEND EVALUAT Considerations in Conducting Observation Technique 17 Example (1): A consumer goods company wants to know what a person does first thing in the morning upon entering a bathroom after waking up. The observation technique is not appropriate because the person probably does not want anyone watching him in the morning.
- 18. ENGAGE EXPLORE EXPLAIN EXTEND EVALUAT Considerations in Conducting Observation Technique 18 Example (2): During the Philippine elections, vote-buying is rampant. However, when a research group conducts a survey, only a small number of respondents admit selling their votes. In this case, it is better to use the observation technique to observe what happens outside voting precincts.
- 19. ENGAGE EXPLORE EXPLAIN EXTEND EVALUAT Considerations in Conducting Observation Technique 19 Example (3): A canned goods manufacturer wants to know the buying behavior of its customers. In this case, the observation technique is highly recommended because the canned goods section of any supermarket is often frequented by shoppers.
- 20. ENGAGE EXPLORE EXPLAIN EXTEND EVALUAT Considerations in Conducting Observation Technique 20 Example (4): A fast-food restaurant wants to know if its customers look at the menu board before deciding on their orders. In this case, the observation technique would yield the answer to inquiry because the whole process takes no more than a few minutes.
- 21. 21 What are the advantages and disadvantages of the observation technique?
- 22. ENGAGE EXPLORE EXPLAIN EXTEND EVALUAT Advantages of Observation Technique 22 1. It allows the researcher to see what customers do rather than rely on what they say. 2. It allows the researcher to observe the customer in natural settings. 3. Some pieces of information are better gathered quickly through observation.
- 23. ENGAGE EXPLORE EXPLAIN EXTEND EVALUAT Disadvantages of Observation Technique 23 1. The researcher cannot get the reason behind the behavior. 2. The researcher can only focus on current happenings, which do not cover past experiences. 3. The observation technique may be unethical to some extent because the respondents may not agree to be observed.
- 24. ENGAGE EXPLORE EXPLAIN EXTEND EVALUAT Activity Assume that you are a customer service staff of a business offering home appliances. You are going to conduct an interview with a customer to assess his or her satisfaction. Write five questions that you may ask to measure the quality of service the business provides. 24
- 25. ENGAGE EXPLORE EXPLAIN EXTEND EVALUAT ENGAGE EXPLORE EXPLAIN EXTEND EVALUAT Questions Part A. Answer the following questions based on your understanding of the lesson. 1. What is meant by an interview? How is it used to gather information? 2. In conducting an interview, what type of question should be asked first? Explain why. 25
- 26. ENGAGE EXPLORE EXPLAIN EXTEND EVALUAT ENGAGE EXPLORE EXPLAIN EXTEND EVALUAT Questions 3. What is observation technique and how is it used? 4. In preparing for an interview, should the interviewer write the questions ahead of time and then read it as the interview progresses? Justify your answer. 5. Why should an interviewer hide a notepad and pen during the interview? 26
- 27. ENGAGE EXPLORE EXPLAIN EXTEND EVALUAT ENGAGE EXPLORE EXPLAIN EXTEND EVALUAT Questions Part B. Analyze the given situations in the study guide. Decide on what technique in gathering data is applicable in every case. 27
- 28. Wrap Up 28 An interview is a face-to-face communication between two persons where questions are asked and answers are given. The observation technique is one of the simplest ways of gathering data about customers in their natural setting without having to interact with them.
- 29. Wrap Up 29
- 30. Bibliography Miranda, Gregorio. Basic Marketing Revised Edition. L & G Business House, 1997. Newbold, Curtis. “How to conduct observation research.” The VCG. Accessed April 2, 2020. https://thevisualcommunicationguy.com/2018/01/30/how-to-conduct-observations-for- research/. Spacey, John. “5 types of customer interview.” Simplicable. Accessed April 3, 2020. https://simplicable.com/new/customer-interviews. Sun, Calvin. “10 tips on conducting effective interviews.” TechRepublic. Accessed April 2, 2020. https://www.techrepublic.com/blog/10-things/10-tips-on-conducting-effective- interviews/. Walker, Dustin. “Start talking! How to do customer interviews that reveal priceless insights.” Crazy Egg. Accessed April 4, 2020. https://www.crazyegg.com/blog/start-talking/. Wright, Vicki. “Observational techniques in marketing research.” Chron. Accessed April 2, 2020. https://smallbusiness.chron.com/observational-techniques-marketing-research- 44563.html. 30
Editor's Notes
- GENERAL PARTS of this presentation: Engage- this is meant to capture the students’ attention, link their prior knowledge to the new topic, and set their expectations about the lesson. Explore- this is meant to elicit discussion, and encourage students to explore and derive ideas from questions, scenarios, activities, or discussion. Explain- this is meant for the teacher to use to synthesize students’ ideas from EXPLORE, and to emphasize on the key understandings needed for this lesson. Extend- this is an optional activity meant for guided practice. Evaluate- this is a quick check of students’ understanding of the lesson. Wrap Up- this is a reiteration of the key concepts of the lesson.
- Note to teacher: You may discuss this in class to check prior knowledge and ideas of students about interview and observation techniques in validating customers’ concerns.
- Note to teacher: You may ask the class to do this activity, individually, by pair, or by group. Afterwards, you may call some students to share to the class their answers. You may process the answers given by each students so that the class can have a common understanding of the topic.
- Model Answer: An interview is a face-to-face communication between the one who asks questions and the one who answers the questions. The interviewer is the individual who asks the issue and gets the information from the interviewee who supplies the information being asked. The interviewer must start with open-ended questions. These questions start with words such as why and how. This is to give the interviewee a chance to answer narratively. After asking open-ended questions, the interviewer may ask closed-ended questions in order to confirm answers from the interviewee.
- Model Answer: The observation technique is a qualitative method of gathering information through studying the subject under its natural environment. It is the simplest way of gathering data about the customers because the researcher does not need to interact with them. One has to simply observe the subject’s usual activity, like buying behavior. The interviewer must create an outline of the areas he or she will cover. The interviewer does not have to write the questions and read them during the interview. It is not appropriate. The better approach is to have an outline of the areas the interviewer wants to cover. After discussing the area, it will just be crossed out. Instead of writing at the top of the table, the interviewer must know how to keep the pad and pen on his or her lap or hide them. It is better because the interviewee will not see what the interviewer is writing.
- Model Answer: The restaurant owner may use the observation technique since it is the best approach if one has a shorter time in gathering data. The business owner will just observe if most of the customers look into the poster before making an order. Through the observation technique, the business owner may conclude if the creation of the poster for the product is effective or not. The entrepreneur may use the interview technique in the collection of data or information. The interviewer must be prepared on what areas should be covered. Through this technique, the entrepreneur will get the information he needs, such as the preferences of his customers, the value they received in buying the product, and the areas the business will have to improve. The entrepreneur will also assess if his customers are satisfied with the product they purchased from the business. The observation technique may be used in determining the reason why it experienced a decrease in sales. The business owner may ask one of his staff to observe in the market where the products are distributed, like in supermarkets or other outlets. The assigned staff may observe and study if consumers know and understand the benefits of the product. It is possible that the reason for decreasing sales is the lack of brand awareness. In the observation technique, the researcher will just study the customers in their usual activity and evaluate how they behave. The interview is the most applicable technique of gathering data in this scenario. Through an interview with a customer, the researcher will get information about the preferences of the customers and their basis or principle in choosing the product. However, in using the observation technique, researchers cannot identify the customer’s preferences. They will only see that the product is saleable, but they cannot find out why the product is saleable. Interview and observation techniques can be used in this situation, but they have differences when it comes to time or duration. If the owner has a limited time, he may use observation techniques by watching customers what type of promotion they usually avail. It can also be done through investigating using the store’s record on what promotional activities achieve high sales. However, the owner may use an interview technique, but it will require a long process because it is time-consuming to find a number of customers for an interview.