The importance of Observation method in data collection are:

(i) It is possible to observe the natural behavior of the group because the observer is not stranger. 

(ii) It is possible to gather quantitatively more and quantitatively better information. 

(iii) It is possible to get better insights into the phenomena because the observer is an insider. It is possible to observe secrete behavior. 

(iv) It is possible to retain a high level of objectivity. 

(v) A non-participant observer is able to collect considerable information because of his open role as an observer and his eagerness to learn 

(vi) It is possible to record behavior as it occurs, without any distortions. This gives highly qualitative data.

(vii) Observation is a flexible method of data collection 

(viii) It is independent of people’s willingness to report.