Focus Group Discussion (FGD)
A Group Interview Tool
Uses of FGD
•Pre-product design stage
•Product design validation
•Product review or operations review
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Using FGD at Pre-Product Design Stage
•Agenda items:
“If the participants were to design a loan product (or a
deposit product), what conditions would they define?”
- “Based on their knowledge and/or experience, what
conditions presently exist in the market?”
-
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Selecting FGD Participants
•Must include both men and women
•Should include different business types
•Conduct at least 3 to 4 FGDs
-
Option: Conduct separate FGDs in branch’s
service areas (e.g, in 3 separate towns)
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Selecting FGD Participants
•Those who can express themselves
•Feel comfortable in sharing opinions or
specific knowledge in a group setting
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Personnel Requirements
•Facilitator
•Recorder
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Materials to prepare for the FGD
•Cards containing FGD items
•Pieces of manila paper for recording
answers
•Pens
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Preparing for the FGD
•Facilitator should know…
- details of the questions for discussion
- the types of business activities in the area
•Make logistical arrangements to conduct the FGD
- Invitations that clearly communicate what is expected of
the participants
- Find time acceptable to the majority of the selected
clients
- Meeting place, transportation requirements, and
refreshments
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“Conditions participants would define in a loan product if
they were designing …”
Limit items to 8 to 10 at most. Some examples:
1. Client eligibility criteria
2. Loan size (initial, minimum, and 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. Contractual savings
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Tips for Managing a FGD
•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
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Conducting the FGD
1.
Facilitator introduces self and recorder; explains the
purpose of the session
2.
Warm-up: ask participants to introduce themselves;
start with a question on something familiar to them
3.
Facilitator asks the person holding the card with the
first item on it to give his/her opinions
4.
Facilitator opens the discussion on the specific
question to everyone who wants to answer
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Conducting the FGD (cont.)
5.
Move to the person holding the card with the second
question.
6.
Open discussion to everyone …
7.
… And so on, until all questions have been discussed
8.
Summarize
9.
Tell participants it is their turn to ask questions (serve
refreshments; if bank has any give aways, distribute at
this point)
10. Thank participants
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Option:
Nominal Group 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
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Things to avoid
•Do not raise expectations
-
Participants might expect that they can get a loan when
product is implemented
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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
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Sample Matrix for Recording Answers
FGD Item
Answers
Eligibility: What would you
require? Why?
Loan size: How much loan
would you allow a borrower?
Minimum? Maximum?
Interest rate: How much
interest would you
charge? Why?
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Analyzing 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 results
•Summarize the findings
•Report the findings; use them for product designing
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