The observation method involves human or mechanical observation of what people actually do or what events take place during a buying or consumption situation. Information is collected by observing process at work. The following are a few situations:-
- Service Stations-Pose as a customer, go to a service station and observe.
- To evaluate the effectiveness of display of Dunlop Pillow Cushions-In a departmental store, observer notes:-
a) How many pass by;
b) How many stopped to look at the display;
c) How many decide to buy.
- Super Market-Which is the best location in the shelf?
Hidden cameras are used.
- To determine typical sales arrangement and find out sales enthusiasm shown by various salesmen-Normally this is done by an investigator using a concealed tape-recorder.