Post on 07-Nov-2014
description
CREATING CLIENT VALUETHE ROLE OF PROCESS IN MARKET RESEARCH
Mike Roe for IESA
The Value of ResearchUSD $33 billion (Latam 6%)
Sales & Marketing
Market Research
“If you can’t measure it, you can’t manage it”
CustomersConsumers
Supplier
What can research do?
Opinion pollingNew Product Development
Customer Satisfaction StudiesAdvertising Testing/Tracking
Media ResearchUsage & Attitude Studies (Image Studies)
Audit and Diary Panels for Sales Measurement
ConsumersCommercial
Private
CustomersSocial
Business
market research is like a lampost - best used
for illumination rather than
support
When not to use market research
• As support rather than illumination
• With insufficient budget• With insufficient time• If it cannot influence/aid
decision taking• Without relating its cost to the
value• Without allowing for error
Error
Measurement
Sample bias
Sample error
Consumer research is unlike medicine, law, accountancy and engineering. Its professionals and users - agencies and clients - still don’t have a common training or consensus on the laws and rules that govern their “profession”. That is, they don’t concur on the procedures that produce consistent and agreed successful results
The explanation is that other professions work with the relatively well-known natural laws, e.g. physics and physiology. Bridge-building or surgery enjoy a success rate that should be the envy of marketers. Consumer research, however, has the laws of human motivation and behaviour to contend with, and explanations of these have eluded the world’s philosophers and sages for millennia
There is not a single right way to conduct research, but there are many wrong ones
REMEMBER…..
RESEARCH
RESEARCH
MARKETING
The Value of Research
RESEARCH
CRUTCH INSIGHT
FOOL ENTREPRENEUR
RESEARCH
MARKETING
The Value of Research
RESEARCH DELIVERS‘EVIDENCE BASED DECISION-MAKING’
+ ‘INSIGHT’
What is Insight?
A single discovery of something enlightening about underlying needs, values and drivers that a
business can address to create shopper or consumer value and competitive advantage
IF CLIENT PROBLEM
…IS MATCHED BY RESEARCH SOLUTION
…THEN VALUE HAS BEEN CREATED
RESEARCH IS AN ‘INTANGIBLE’
Client Personality
“What’s it like to be a buyer?”– insecure– exposed– worried– risk– sceptical
I’m a researcher
Client Requirements
“What does a buyer look for from you?”– understanding– customised solution– options– reassurance– value
I can help
My problem
Research can help
Agency Benefit =Generictechnical
Specificsolves problems
Agency Benefit =
Relevance‘how research can help you’
+ Differentiation
‘first’ / ‘best’ / ‘only’/ ’unique’/ brand / model / expertise
- Objections neutralise concerns
1. Get involved
2. There are no research objectives - there are only management objectives
3. Treat the research agency as a partner rather than a supplier
CLIENT – GETTING BETTER RESEARCH
Effective communication
Detailed brief
Encourage exploratory work
(Post-commissioning) release all relevant internal information
(Post-commissioning) check-up
CLIENT - GET INVOLVED
State:
current situation
historical background
current and past strategies and their rationale
alternatives being considered
Action Standard
CLIENT - PROVIDE OBJECTIVES
Writing a research brief
1. Background
2. Objectives
3. Possible methodology
4. Sample definition(s)/penetration
5. Timing deadline (top line / present / report)
6. Materials to be supplied by client
7. Cost parameters
8. Action standards
1. What relevant data do you already have?
2. Do you require qualitative or quantitative data?
3. What is the minimum acceptable sample size?
4. Who are the target group? What is their penetration level?
5. Where should interviewing take place?
6. Are you looking for absolute or relative data?
7. Can you define - “must have” / “nice to know” / “optional” data?
8. What is the hypothesis and what are the Action Standards?
9. How long can you wait for the results?
10. How large is your budget?
10 BRIEFING QUESTIONS FOR CLIENT
Draft - Research Processes & Procedures 25
Project Initiating Brief
Brief Number + Version
Client and MI key Contacts
Project Name (Code for Security)*
It should be initiated by the client with input from the Marketing Insights Manager.
A generic template is available and key sections are:
Background/Problem Definition*
Project Objective(s)*
* The Business/Marketing Issue Owner is responsible for writing these sections
Market(s) Country, Region, etc.*
Referent Brand(s)*
Consumer Segment(s)*
Suggested Methodology
Presentation/Reporting Requirements*
Timing*
Action Standard(s)*
Stimulus Materials*
Budget Allocation*
Description
Background/Objectives
Approach
Checklist Market Research Brief
The bad brief
“We want to carry out a major study on the drinks market in Armenorus covering all aspects of consumer behaviour, attitudes and motivation”
“We want to test 3 versions of Lux soap to find out which one is best”
CLIENT ACTION STANDARDS
Why?• To determine whether the research is
really necessary• To prevent the “I Told You So!” syndrome• To speed the eventual decision process• To guide the research agency in
presenting the results
Planning the decision process resulting from the research before commissioning
ACTION STANDARDS
Example• If A beats B overall, and is not significantly
worse than B on taste and consistency, we will launch A
• If A is only equal to B overall, and/or loses on taste or consistency, we will continue formula development work
• If A loses to B overall, we will discontinue work on A
The precise basis on which the marketing decision will be made
THE AGENCY PROPOSAL
Why Objectives
Who Sample
How many Sample size
Where Location
How Data collection method
What Questionnaire
When Timing
How much Cost
LOGIC MAGIC
LOGIC MAGICtheory insight
TECHNICAL PROFICIENCY PROBLEM SOLUTION
Draft - Research Processes & Procedures 34
Research Process – Initiation to Summary
Business/Marketing Issue Owner
PIB Stage 1
PIB Stage 2 MI
Agree PIB
Agency Briefing (x3) MI
Review Agency Proposals (x3) and Reco.
Sign Off
Agency Commissioned (with P/O)
Agency Execution & Delivery
Presentation & Summary (with Reco.)
Oracle LN Database
Project Closure/Review of Actions
MI Control
Project Authorisation Form
Legal Clearance
Business/Marketing Issue Owner
MI
Business/Marketing Issue OwnerMI
MI
MI
MI
MI
MI
ResponsibleTaskTime
Analysis
Planning
Strategic
Tactical
Execution
Control
Marketing cycle Type of market Reseach
market structure surveysdesk research; ad hoc qualitative insights ad hoc quantitative surveys of: habits & attitudes, brand image, customer satisfaction, segmentation; observation
instumental studiesqualitative assessment, quantitative testing, observation studies - of all elements of marketing mix
monitoringquantitative tracking surveys, continuous audits & panels, mystery customer observation studies
THE MARKET RESEARCH PROCESS