The direct observation that people gain from conducting observational studies provides pure data that is unfiltered. Unfiltered data is beneficial because it ensures that the data is not skewed or manipulated by researcher bias.
In academia, observational studies get students actively involved in the research. When students put together their own research tools, develop observational guidelines and collect the data themselves, they become part of the process. This involvement gives students a lesson in how to prepare for conducting their own research, as opposed to merely looking up the research in a book or on the Internet.
In the marketing world, one of the benefits of observational studies is that it helps with product improvement. Observational studies allow marketing researchers to interact with consumers; study their behaviors, buying patterns and decision-making strategies; and find out what they consider valuable. In turn, the information taken from the observational study is used to make strategic product decisions, such as reducing prices, increasing quality and addressing other needs that lead to customer satisfaction. Consequently, both the consumers and the businesses benefit from the observational study.
An observational study has minimal cost involved. While computer programs and software systems are needed to analyze the collected data, observational studies save money by eliminating the need to pay outside researchers or interviewers to conduct the study and interpret the data for the team. Additionally, researchers do not have to pay for the cost of the data collection materials, such as surveys and questionnaires, because the research team designs the materials they need. In fields such as healthcare, observational studies are less expensive than formal trials because test equipment and medical machinery are often unnecessary.