Focus Group Discussion (FGD) A Group Interview Tool.

Focus Group Discussion (FGD)Focus Group Discussion (FGD)A Group Interview Tool

Session ObjectivesSession Objectives

Participants will learn…

• The basic concepts and uses of FGD

• How to conduct FGD

Uses of Focus Group DiscussionUses of Focus Group Discussion

• Pre-product design stage

• Product design validation

• Product review or Operations Review

FGD : Pre-Product Design FGD : Pre-Product Design StageStage

Agenda 1. “If the participants were to design a loan product (or deposit product), what conditions would they define?

2. “Based on their knowledge or experience, what conditions presently exist in the market?

Personnel Requirements

• Facilitator – manages the discussion• Recorder – records information or

opinion expressed by participants

Materials required

• Cards containing FGD items• Manila paper & Pentel pens• Attendance sheet and name tags

Selecting FGD Participants

• Must include both men and women

• Can include different business types;

• Option: Conduct FGD with one type of business activity at a time, such as only those in processing and manufacturing; or only those in the public market; or only those in the food service.

• Conduct at least 2 to 3 FGDs

- When branch covers more than one town, conduct separate FGDs in each town.

Managing a Focus Group Managing a Focus Group DiscussionDiscussion

• Recommended FGD size : 8-12 persons

• Make participants feel comfortable in voicing their opinion in a group environment

• Get everyone to participate

• Keep the discussion flowing

• Obtain the information needed in 1 hour or less

Preparing for the FGDPreparing for the FGDThe facilitator should The facilitator should know…know…

–Details of the questions for discussion

–The types of business activities in the area

Logistical arrangements Logistical arrangements to conduct FGD…to conduct FGD…

–Invitations clearly communicate what is required of participants

–Find time acceptable to the majority of the selected clients

–Meeting place, refreshments, transportation requirements

““If you were designing a loan If you were designing a loan product, what conditions would you product, what conditions would you have for ….have for ….

1. Client eligibility criteria

2. Loan size (initial, minimum, maximum)

3. Interest Rate (%)

4. Service Charge (%)

5. Interest charges deducted up-front or amortized?

6. Term of loan

7. Frequency of payment

8. Collateral/Co-signer

9. Penalty for delayed payments

10.Mandatory Savings

Conducting the FGDConducting the FGD

1. Facilitator introduces self and recorder; explains the purpose of the session

2. Warm-up : ask the participants to introduce themselves; start with a question on something familiar to them

3. Asks the person holding the card with the 1st item on it to give his/her opinion

4. Facilitator opens the discussion on the specific question to everyone who wants to answer

5. Move to the person holding the card with the 2nd question

Conducting the FGDConducting the FGD

6. Open discussion to everyone …

7. … and so on, until all the questions have been discussed

8. Summarize

9. Tell the participants its their turn to ask questions (serve refreshments; if the bank has any giveaways, distribute at this point)

10. Thank participants

Option : Nominal Voting ProcessOption : Nominal Voting Process

• An optional step to determine how many people agree to a certain suggestion or recommendation

• Applicable if more than one group is interviewed, with a significant number of total interviewees

• Because information gathered at the FGDs may affect program design, management may want to know exactly how many from each group interviewed voted for a certain recommendation

Things to AvoidThings to Avoid

Do not raise expectations

- Participants might expect that they can get a loan when product is implemented

- Explain that their opinions, along with those of other groups you will consult with, will be studied; that the bank will let them know when the bank may be ready to accept applications

Sample Matrix for recording Sample Matrix for recording answersanswers

FGD Item Answers

Eligibility : What would you require? Why

Loan Size : How much loan would you allow a borrower? Minimum? Maximum

How much interest rate would you charge? Why

Analyzing the DataAnalyzing the Data

• If more than one group was interviewed, transcribe all data for each group matrix into a summary matrix

• Study the summary matrix and tally the results

• Summarize the finding

• Report the findings; use them for product designing

Group Activity: FGD PracticeGroup Activity: FGD Practice

• Select a facilitator and a recorder.

• 5 to 8 trainees can act as participants.

• Do critiquing