Dear Robin,
if you discretize and analyse using a standard occupancy model, then you typically lose information, whenever more than a single detection per occasion gets subsumed into a single '1' in the resulting history. Viewed from this angle, it would be best to discretize
finely so that you never have more than a single detection per occasion. On the other hand, this may lead to very large data sets (lots of occasions) and moreover, there may be serial dependence, i.e., neighbouring occasions may not be independent samples
from the underlying presence/absence process. This is a problem that you would have to deal with by adoping more complex occupancy models, see Hines et al. (tigers on trails paper, 2010) and recent follow-up paper for dynamic occupancy. These models have been
implemented in PRESENCE (not sure about MARK). Note that independence or lack thereof in space (as for transect-based sampling) is very similar or identical to that in time (as for your camera-trap data).
Some would argue that discretisation of measurements made on a continuous process is always a bad idea and that you should directly model a continuous detection process, in space or in time. This typically leads to Poisson process models, which in the context
of occupancy estimation have been introduced by Gurutzeta Guillera Arroita (GGA) (papers in JABES, MEE and elsewhere). The simplest such models assumes independence in space or time. The individual detections can be aggregated into a detection frequency per
transect or per camera and some total time interval, say C_i for the number of detections at trap or transect i.
Then, you can specify the following variant of occupancy model, which has a Poisson instead of a Binomial description of the observation process:
z_i ~ Bernoulli(psi) # Presence/absence (z) is like a coin flip
C_i ~ Poisson(z_i * lambda_i) # lambda is detection rate, i.e., the expected number of detections given that a site is occupied.
You can model pattern in occupancy probability by logit(psi_i) = some linear model and those in the detection frequency by log(lambda_i) = some linear model, exactly as in a GLM (this model is the combination of a logistic regression for occupancy and a Poisson
regression for the number of detections).
This model can easily be fitted in BUGS. Note that for this model, a single replicate is enough (there is no j). Also note that one would usually have an offset in the Poisson part of the model, to account for unequal length (of time or transect) of observation.
If you can assume independence, then this seems to be a very useful model. If you don't have independence (for instance, some aggregation of detection in time or space), then this autocorrelation ought to be modelled and you must model the individual detections.
One conceptually simple way of doing so is by imagining two latent processes underlying the measured detections, between which there are switches with some probability. GGA have lately developed such a 2MMPP model (a 2-state Markov-modulated point process
model --- try to say this a couple of times quickly ....). She has code in Matlab, but I think not (yet) for any language that is widely spoken in ecology, such as R or BUGS.
Kind regards -- Marc