Junkk MR Report-Apps

8/8/2019 Junkk MR Report-Apps

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Junkk RE:tie Market Research Report

Dr. Ann Bicknell, Chartered PsychologistUW Business School

August 2010

With funding support from a voucher provided by

This report is the property of its author and citations from it should be referenced accordingly. The authorreserves the right to publish the results of research data anonymously, or outside of this project, or with

permission from the client if the product is to be identified.

University of Worcester Business SchoolHenwick Grove

Worcester WR2 [email protected]
mailto:[email protected]:[email protected]:[email protected]


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Introduction:

This research project was completed as a piece of independent and objective marketresearch without any involvement of the client in data collection, analysis orinterpretation.

Power in organisations comes from the control of knowledge and information.Marketing Research therefore equates to power. Bradley, (2007, p5) .

It is important to remember that in the collection of this data, consumer awareness has alreadybeen activated at a local level, this is itself advertising the product with previous researchfindings suggesting greater purchase intention in surveyed as compared to un-surveyedconsumers (Chandon, Morwitz & Werner, (2005).

Market research seeks to generate consumer insight (Evans, Jamal & Foxall, 2009). However,

much traditional customer research dampens creativity... It makes the assumption thatcustomers have the ability and imagination to envision the future, to know what they will desire

tomorrow and to be able to articulate that desire . Ind & Watt, (2006, p1).The example usually given to illustrate this apparent paradox is the apple iPhone ,. Thisproduct could well have failed in standard focus group research had that been its route tomarket, from being too innovative compared to what had gone before. And yet, it is hugelysuccessful. It may have appeared too different from existing mobile phone concepts and it ishighly unlikely that a focus group would have developed such a product concept from scratch .As such, one cannot remove the importance of innovation from successful product design anymore than one can expect the results of any market, or other kind of research, to accuratelypredict the future. What market research does function to do is an early stage risk-assessmentand is especially useful for product concept development and refinement, rather than for

inspiration as such (Bradley, 2007). It can offer different types of intelligence as shown:

MarketIntelligenceType

Description

Defensive Intelligence

To avoid surprises, monitor the environment and supportany hunches of what might be happening. An alert of major changes.

Passive Intelligence

To provide benchmark data to compare the companysown performance and use it to evaluate objectives

Offensive Intelligence

To identify opportunities that would not otherwise bediscovered

The RE:tie is therefore at an appropriate stage in its development for market research feedbackat both the defensive and offensive levels discussed by Bradley, (2005). The data in this reportadditionally offers some forward planning potential with which to conduct passive intelligencemonitoring in the future, from these initial benchmark values.


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The objectives of this market research as detailed in the original proposal (seeappendices) are to:

a) Explore customer reactions to the product concept of the RE:tie

b) Compare customer response data from two grocery retailer survey samples

The purpose here is therefore to report objective validity evidence which was specificallycollected for this product. This data captured potential consumer responses in an unaffectedmanner in order to allow a customer appraisal of the RE:tie at this phase in productdevelopment.

It is entirely up to the client (Junkk) to decide which findings, if any, should be taken forward. Tothis end, the author is happy to discuss the content of this report following delivery of it.


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Literature Review:

A focused review of relevant literature was carried out to inform the design of the questionnaireand to demonstrate the construct-related validity in this market research. Theoreticalfoundations add to the reliability of market research as theories and frameworks are undercontinual examination and review in the academic literature and so have, to varying degrees,been tested to demonstrate their relevance in the field in terms of predicting human behaviour.

The grocery market has been the subject of a great deal of consumer research and isessentially a mature and stable market. Customer panel studies suggest that in mature markets,brand sales do not alter substantively from year to year (East et.al., 2008). In these markets,advantages can therefore be gained from product differentiation features can interrupt andpotentially alter habitual purchase patterns (Belch & Belch, 2009). Adding environmentalsustainability and re-cycling attributes to products are one way that differentiation can beachieved this is known as cause related marketing (Kotler & Lee, 2008).

Such product attributes, if appealing to customers, can illuminate or enlarge its personality inthe mind of the consumer (Zaltman, 2003) and potentially accelerate purchase decision-making(Rajogopal, 2009). This effect has been suggested to function through concepts known as halocharacteristics in social psychology or nudge factors from a more behavioural -economicsapproach. These nudge factors operate to facilitate human judgement in a benevolent way,according to Thaler & Sunstein, (2008), such that even apparently insignificant details can havemajor effects on peoples behaviour (p3). These details help to structure the decisionarchitecture in the environment around us and if we consid er the amount of stimuli competingfour our attention in a typical grocery store or supermarket, that could be very helpful to theproduct on sale as well as to the consumer.

A similar effect can also be seen in research into augmented products (Colgate, 2002). This isthe idea that if a product possesses more than one reason to purchase it in terms perhaps ofone rational (utilitarian) and one irrational (emotional by choosing this product I will be doing something positive for the environment ), the customer is more likely to choose the augmentedproduct. Whether a nudge will be successful can depend on a number of factors; thecongruence or authenticity of the attribute compared with the host product (Rajogopal, 2008) orbasic appeal. Is it consistent with customer expectations, e.g. of a product which is sustainablymanufactured, or a supermarket which advocates a strong environmental sustainabilitymessage more than a no frills, buy one get one free approach? And of course there are othermarketing issues around price and perceptions of value that are beyond the scope of this report.

Point of sales display is important even in supermarkets as a large proportion of grocerypurchase decisions are made at the point of purchase (East, Wright & Vanhuele, 2008). Thisexplains the use of directional sales affinity data e.g. toothpaste and toothbrushes increase thelikelihood of buying chewing gum if locally placed, but not the other way around (Bezawada et.al, 2009). In this way we can see that purchasing the additional attribute only occurs if theconsumer is potentially on a congruent psychological journey in the store and is aware of theadditional advantages of the purchase. So in the example above, the consumer would beshopping for toothpaste and, being conscientious about their dental hygiene, the hanging packsof chewing gum are able to offer an additional attractive attribute to purchase. However, if thecustomer was on a date and wanted fresh breath, they would only be thinking about thechewing gum, not their general dental health.

The RE:tie is at first glance, a utilitarian device it serves perhaps a domestic function andreduces waste by re-cycling something that would have been thrown away. As such it is notonly a utilitarian product as it has the potential to effect an emotional reaction in the consumerthat is consistent with their personal values system. An additional theoretical framework offers


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insights here which maybe useful in product concept development. This is the Four PleasuresFramework (Jordan, 2000). It categorises products in terms of their hedonomic attributes.Hedonomics is concerned with pleasure in products and is an extension of ergonomics , whichis about form and function. Hedonomics accepts that there are other levels at which consumersinteract with products as shown below:

1. Physio-pleasur e sensory: visual, touch, taste, auditory, smell, e.g. the tactile

and olfactory or auditory properties of products

2. Socio-pleasure enjoyment from relationships through status and image

3. Psycho-pleasure cognitive and emotional reactions which facilitate a goodfeeling & reduces stress

4. Ideo-pleasure moral or personal values e.g. environmentalism, or high levelof aesthetic appreciation

One product may not necessarily achieve them all. It is important to identify which level and forwhom? Who [exactly] are your targeted customers? Collecting responses to a new productwhich can evidence reactions at each of these levels would count as evidence that theconsumer is psychologically engaging with a product. In this latter question, demographicvariables can play differential roles in grocery purchasing behaviour such as age and gender(McDonald, 1994) as well as a preference for grocery shopping online (Gilbert & Veloutsou,2005). For now, it is sufficient to consider these variables in terms of their congruence with aproduct and its target market as more generic marketing issues.

There is a possibility that the RE:tie could appeal to elderly or disability customer markets as itremoves the need for the peel off tamper proof seal which these groups may find difficult to use.The RE:tie also has a larger grip than the standard tear-off seal for e.g. milk containers, whichmay be preferred by people with limited mobility in their hands e.g. due to arthritis. Specificresearch with advocates or members of these groups would be needed to validate this but it willbe interesting to observe if any of the spontaneous qualitative data endorses this. For example,if respondents convey an imagined use which would also constitut e data at level 3 in Jordansframework above, perhaps for someone they know such as an elderly relative or eventhemselves, this would suggest a behavioural proxy for t he potential of the RE:tie to utilisealternative customer education information, perhaps in a product specific manner, for differenttarget markets.

Finally it is pertinent to consider a widely researched model in social psychology concerning theinterplay between attitudes, intentions and behaviour; The Theory of Planned Behaviour (Ajzen& Fishbein, 1977), which has since been applied to consumer behaviour through the automaticactivation of attitudes relating to an object (Fazio, 1990). Taken together, these models indicatethe sources of consumer attitudes and the mechanisms through which they operate onconsumer behaviour as represented in the following slide:


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Model of the Theory of Planned Behaviour (adapted from Ajzen & Fishbein, 1977)

Attempts to combineattitudes, intentionsand behaviours

Each of these form weights which lead toa prediction estimatefor the behaviour

E.g. for products thatcan be re-cycled

Behaviour

Attitude tobehaviour

Subjectivenorm

Perceivedcontrol

Intention

ReferentBeliefs

Outco meBeliefs

ControlBeliefs

Influencesfrom in-store

displays & productinformation

Externalvariables

Is there potential for a nudge at any of these locations?

The major difficulty in the consumer research area and indeed social psychology moregenerally, is that correlations between attitudes and behaviour are often assumed when in factthey are inconsistent, as has been discussed in terms of market research using behaviouralproxies to indicate purchase intention. Research by these authors in the model, has indicatedthat when the elements of Attitude to the Behaviour (AB), Subjective Norm (SN) & (PerceivedControl (PC) are given weights which can lead to a prediction estimate for the behaviour, the

accuracy of subsequent behavioural prediction range is around 17-39%. It is however, muchhigher for those who express a purchase intention (PI) when it can increase towards 80%,hence the value of this concept to marketers and market researchers.


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RE:tie Market Research Methodology

Design:The research is a cross-sectional (one point in time) street shopper survey which is appropriatefor the client need (Bradley, 2009). It evaluated adult grocery store customer responses whichwas consistent with the target market for the intended product, thereby demonstrating ecologicalvalidity or relevance of the research to direct product development and roll-out with thisconsumer segment. The data was explored with reference to academic (peer-reviewed)literature on consumer behaviour and product design.

The interview administered questionnaire ( Saunders, Lewis & Thornhill, 2009) is a surveymethod that has a number of advantages for new product scoping; it allows the respondent tointeract with the product and to see and hear it in use (via a short video (less than one minute)of the product in domestic consumer use) as opposed to completing a questionnaire with only apicture of a product. It also reduces the number of spoiled questionnaires and missing data,thereby increasing efficiency. Most importantly, interview administered questionnaires allow forany queries or misunderstandings from the respondent to be clarified by the interviewer, therebyincreasing the validity of data, or the extent to which the data measures that which it purports tomeasure.

Ethical Research Practice:Permissions were sought from two supermarket store managers prior to data collection outsidethese stores; a Poundland which is a lower-priced, Midlands based retailer and a comparisonsample was obtained from a higher priced, large chain retailer, whose marketing has a strongemphasis on environmental sustainability issues. Respondents were not pressured toparticipate and agreed to this whilst in the course of entering or leaving a grocery store. Thestandard script at the top of the questionnaire was read out to them, Primary Researcher contactdetails were provided for anyone who requested them (no one did) and the whole demonstrationand questionnaire was designed to be completed within five minutes to avoid survey fatigue

(Bryman & Bell, 2009) . That a number of respondents wer e very candid in their comments (seeexcerpts in this report and raw qualitative data in appendices) attests to the open or honestnature of them and supports the face validity and content validity of the survey tool and datacollection strategy.

Data Collection:The questionnaire schedule was constructed in such a way as to gather spontaneouslyproduced information from the respondent, rather than to merely tick a box in front of them.The former reduces the problem of self generated validity ( Chandon, Morwitz & Werner, (2005)which is a common problem in the design of research. That is; the act of measurement inflatesthe association between attitude and behaviour or, respondents acting to tick boxes or selecting

answers from given suggestions, merely because they have been asked to by a researcher, orworse, because they are being incentivised to do so, rather than producing their own responsesas the result of genuine, independent thought.

The questionnaire contains a mix of quantitative (numerical) and qualitative (verbal comment)data as is appropriate for applied, market research (Sapsford & Jupp, 2006). The quantitativedata was submitted to descriptive and inferential statistical analysis as appropriate (mainly non-parametric Chi 2 tests acknowledging the sample size and data level - categories). Wherestatistical significance is reported this is taken at the p


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triangulation which refers to both data sources offering consistent findings , thus increasing thereliability of the findings, or the extent to which we would expect to repeat these findings, werethe research to be repeated.

Sampling:A target sample of 100 randomly approached shoppers was the initial goal, which is accepted tobe statistically meaningful in the social sciences (Bryman & Bell, 2009). In light of the decisionnot to run a focus group due to lack of sufficient product prototypes, the sample size was

increased to aim for 100 from each of the retailers. The completion rate after 18 hours of datacollection was 69% (n=137) completed questionnaires split as a comparable 68/69 between thetwo stores. This retains statistical meaningfulness allowing for robust interrogation of data andis considered a good return rate (Saunders, Lewis & Thornhill, 2010).


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Survey Results & Interpretation:

Demographics of the sample:

The two researchers collected data for 18 hours over 4 days. They were instructed to ascribeages and gender to respondents rather than ask them as some people can find this off-puttingand the ranges are broad enough to remain valid as follows:

Age range

Frequency PercentCumulative

PercentValid under

25 32 23.4 23.5

26-35 23 16.8 40.436-45 39 28.5 69.146andover

42 30.7 100.0

Total 137 100.0

A notable point is that 60% of the sample are 36 and over, with the smallest category being 25and under at 24%. This could be said to approximate a typical sample of grocery storecustomers and therefore support the reliability of the study for this market segment.

Overall, females formed the larger part of the sample at 58% n=80 compared with 41% n= 56males. Given that in a qualitative question, wife, girlfriend and mother were also reported asdoing more of the grocery shopping than husband, boyfriend or dad, and in both stores, it canbe taken that most groceries continue to be purchased in these stores by females. There was a

statistically significant (Chi2

) association between gender and store, with the largest differencebeing between the number of females than males who were shopping at the higher endgrocery store. On this basis, it may be pertinent to consider whether gender is a factor in otherconsumer behaviour patterns in this research and later in the product life-cycle, in terms ofconsidering point of sale product information.

Product Questions:

The remaining data is interpreted alongside relevant theoretical models and frameworksintroduced earlier, attesting to the criterion related validity (consistency with existing academicknowledge) of this piece of market research and allowing for a comparison of the potential for

the RE:tie alongside existing knowledge about consumer psychology and successful productdesign.

Is it new? A statistically significant difference (Chi 2) was observed between the number of respondentsreporting that they had not seen anything like this before (n=126) compared to those whoreported that they had, attesting to an innovative quality. Further, significantly higher numbersof respondents reported that they would use the RE:tie as shown in the video (n=73) or 53% ofthe sample, with a further (n=29) or an additional 21% indicating maybe or possibly they woulduse it. This makes a total of (n=102) or 74% of the sample indicating a pro -use attitude.

Further, (n=90) or 66% of the sample indicated that they knew someone who they couldrecommend it to . Taken together, these findings supply some evidence for the validity of theproduct concept as fit-for-purpose in terms of a representative sample grocery store customersand the products they purchase. When asked what they thought of the RE:tie, the following


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qualitative data from the majority of respondents demonstrates a selection of spontaneouslyproduced positive comments:

Good idea, potentially useful, reducing waste is always good, good if you will use it,inventive, eco-friendly, good for easy opening, similar to cable tie, nice addition tobottle, creative, innovative, multi-use, good if able [to use it].

Negative comments were from n=35 respondents or 26% of the sample who said they would notuse it. This is not an insignificant portion of the sample, but the product is not expected toappeal to everyone. Comments included the following:

Pointless, solving an issue which isnt there, maybe hard for old or disabled, solving aproblem that isnt there, n iche market, waste of time, crap.

Is it useful to consumers? When asked, most respondents who said they would use it, could think of at least one use forthe product with only n=26 not reporting any. Uses included: tying bin or rubbish bags (this wasshown in the video), tying freezer bags, cable ties, holding newspapers rolled, DIY, arts andcraft pursuits, music equipment, keeping bread fresh and childrens lunches . A large number ofrespondents acknowledged that it would be good for the manufacturer to suggest other useswith a label on the product.

Is it helpful to the host product or brand using it? In terms of its power as a halo characteristic for the host product which is the primary purchasee.g. milk and for which the RE:tie may func tion as a nudge in consumer decision making,respondents were asked what a product like the RE:tie says to the consumer about the productwhich is carrying it? There was a clear majority of responses which included environmentallyfriendly, eco-aware, green, re-cycling, re- usable themes. This is encouraging as it is in line withthe reducing waste motives for designing the product. Other themes included caring for consumer, consumer aware, considering potentially elderly or disability consumers.

Does it offer pleasure in a product? The above findings are encouraging as they relate to a number of levels of the hedonomicspleasures in products framework where consumers have pleasurable responses at more thanfunctional or utilitarian levels. Typically, they move from a sensory response (feel and texture),to a social response (e.g. imagining the product in use for someone they know); next to a

psychological level (where they imagine using the product themselves for a particular purpose)and finally to an ideological level (where they feel good about supporting moral or ideologicalvalues in re-use). From this, albeit modest sample, it would appear that the RE:tie starts fromthe top down in this framework and manages to meet two levels (psychological and ideologicalpleasure) consistently well, with the other two levels (sensory and social pleasure) to am lesserextent. This is what would be expected for a product which has been designed primarily with re-cycling motives through providing another use for an item that would otherwise be waste. It isnot normally expected that any one product should meet all of the pleasure levels and theRE:tie appears to perform rather well in this respect. Examples of qualitative data at each of theFour Pleasure levels are shown below:


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1. Physio-pleasur e sensory: visual, touch, taste, auditory, smell, e.g. the tactileand olfactory or auditory properties of products

It doesn't look like a cable tie, they are flat on one side and may not work ins amewayState that it is re-usablePrototype does not seem very secure

Improve prototype, stronger, more grip, wider.Need to explain reasons for productHole [on prototype] too big, could have text saying re-use and re-cycleMake it attractive

2. Socio-pleasure enjoyment from relationships through status and image

Benefitting people who struggle opening normal bottlesConscious of disabilitiesConscious of environmental [issues] and the elderlyWill be successful with families

3. Psycho-pleasure cognitive and emotional reactions which facilitate a goodfeeling & reduces stress

About the product: Making life easierMulti-useConsumer consciousConsumer friendlyNice freebieMulti-use inventiveCreative[plus data on uses for product suggested by sample referred to above]

About the company: EntrepreneurialInnovative company

4. Ideo-pleasure moral or personal values e.g. environmentalism, or high levelof aesthetic appreciation

CaringEnvironmentally friendlyReducing waste always goodCaring, environment consciousConscious of up to date issuesWant all product parts to be usedGreen product, re-cyclableEnvironmentally friendly, trying to re-cycleEncourages re-using then re-cyclingWant to plan for the future


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Can the RE:tie potentially increase sales of the host product? In terms of this as evidence for the nudge effect of the RE:tie, respondents indicated that if there were two products on a shelf and one had this RE:tie on it, significantly more (at leastn=93) of them would choose that product over the other one with it. This is called purchaseintention and is a commonly measured behavioural proxy in consumer research in theabsence of actual sales data. We cannot measure these as the product is in development andmay never be on sale as such. In this way we can begin to see the RE:tie potentially acting tofacilitate consumer decision making and previous consumer research has suggested that the

faster a consumer is able to make a decision when faced with competing choices, the betterthey feel about th e decision. T his reduces cognitive dissonance or unpleasant or confusingfeelings about which product to purchase.

What specific marketing strategies does purchase of products with the RE:tie on suggest? For low involvement products (typically low cost or repeat purchases), other factors act tomoderate this relationship between product and consumer purchase behaviour as shown in thecoloured slide in the literature review referring to the work of Ajzen & Fishbein, (1975) andFazio, (1990), in particular:

1. which products or brands have been bought by family/parents and or significant peergroups and are the subjective norm , or2. which products or brands are motivated by outcome beliefs (what customers believethe product will do for them), or3. which products or brands are purchased with control beliefs (the belief that you arecapable of making an informed and good decision about product choice in this case

This is referring to a well researched theory of human decision making. Thinking about theRE:tie, applying this framework has a number of potential outcomes:

1. Targeting big brands of groceries that are widely and repeatedly purchased wouldachieve status as part of the subjective norm. Additionally, targeting products in greenconsumer m arkets would appeal to the accepted subjective norm of environmentalism. Thiswould also be consistent with ideas of product congruence for the RE:tie.

2. Demonstrating uses for the product, perhaps on a small leaflet attached to the RE:tiewould allow the potential customer to imagine themselves using the product e.g. having a tidyrubbish bin, neatly stored garden canes, improving storage of hobby items and cables or welltied tomato plants and create facilitative outcome beliefs.

3. Targeting niche market product for users such as hobbyists, DIY -ers or hardwareproduct users, who are more likely to be experienced purchasers of those items e.g. plant foodetc. are conceptualised as consumers with with high Perceived Control beliefs about that area oftheir lives (Fazio, 1990). Targeting niche markets may additionally offer potential access of theRE:tie to primarily online markets e.g. specialist technology or hobbyist items for whom theaugmentation of the RE:tie on the host product would be ex pected to appeal as its use createsan additional meaningful nudge in their consumer decision -making.


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Would consumers be prepared to pay more for the RE:tie? Perceptions of cost-value are on a sliding scale and in some cases, consumers will expect topay more for an augmented product than its un -augmented competitor e.g. cholesterolreducing margarines are typically double the price of ordinary margarine. Thinking about theRE:tie, discriminations and differentiation will probably be closely linked with the concepts justdiscussed (the congruence and affinity of the product to the RE:tie augmentation solutionoffered, as well as the involvement status of the host product is it expensive or somethingwhich customers invest research prior to purchase? Or, is it a habitual, low involvement or low-

cost purchase? Even habitual purchases can e powerful e.g. supermarkets use milk as adestination item

In this research these concepts were evaluated on the basis of the host product being a cartonof milk. Unsurprisingly, whilst one or two respondents indicated they would pay e.g. 25p for theproduct with the RE:tie, it would be invalid to conclude that anything other than a clear andsignificant majority were keen to see it as costing nothing more or only two or three pennies ontop of the cost of the host product. That the average was 2p suggests that respondents didhowever attribute the RE:tie with some value.

Were these grocery consumers shopping green? There were no significant differences either between the numbers of respondents reporting thatthey buy particular groceries because they were environmentally friendly (an almost equal splitbetween those reporting yes or no). Nor were there any significant associations here withgender and re- usable or environmentally friendly product purchases. The half of this samplewho said they did make particular purchases for this reason mostly referenced use of a milkmanfor re-use of bottles, refilling packets e.g. coffee and washing powder and being mindful ofreducing packaging e.g. by purchasing loose fruit and vegetables. Perhaps surprisingly, therewas no significant association between those reporting specific environmentally motivatedgrocery purchasing behaviours and store type. In other words, this was a random sample andnot an especially green one .

Does the RE:tie have a potential elderly or disability market? Again, comparably equal numbers of respondents either had or did not have someone in theirfamily who was either elderly or disabled who might benefit from the reportedly easier to usetag to open the RE:tie (use of the RE:tie removes the need for the plastic, tamper-proof, peel-offseal on liquids). Looking at it another way, approximately half of the sample did suggest anelderly relative, disabled e.g. arthritic member of the family or even children, who they thoughtmay prefer the use of the RE:tie to the plastic seal alternative (see raw data in appendices).


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What advice would consumers give to the small business of the RE:tie? Putting respondents in something of a position of power where they are giving advice canoften facilitate more candid and useful insights relating to the potential customer perspective. Ittherefore functions as defensive intelligence to avoid surprises and to support any hunchesabout what might be happening with consumer demand (Bradley, 2009).

Here, spontaneously produced comments in the main were positive, if brief. Examples of themain themes are show below and the first one in particular is quite telling in terms of assessing

potential consumers appraisal of the RE:tie device they are asking for education about it:

Suggest extra uses on the RE:tie:Provide lots of ideas as there are only so many cable ties I needNeed to advertise usesAdvertise uses and re-cyclingNeed to explain reason for productMake improvements identifiable, target green market, larger than elderly.Good idea, really need to sell it and explain ways to use itIdentify advantagesCould put slogans on the tie, e.g. "tie me round your bin bag"The uses need to be everyday and not simply one off, such as tying cables as peoplewill end up with many of these ties.

Target specific markets:Target older peopleAim at children and elderlyTarget the youngGood for elderly, go for it.Target successful family [markets]Target elderly vitamin bottles. Needs a lot of promotion.

Target specific brands:Target somewhere like [high end supermarket] where they care about theenvironmentShould be put with a major brand to improve their products' packagingAim commercially, aim at one brand.

Price:Needs to remain competitive with regular productsPrice competitivelyConsider if this is financially viable?

These suggestions present a number of strategies to consider, relating to the analysis ingeneral. Some of these maybe mutually exclusive, for example, a brand such as I nnocent may find a product like the RE:tie attractive as it is congruent with their brand and productvalues. H owever, a big brand may want exclusivity. A destination shopping item such as milk,may be targeted through the makers of the cartons, but ultimately its application may only be onselected brand s as a product differentiator. In this case and to create a brand for the RE:tieitself, perhaps it should be in a distinctive colour that consumers would come to recogniseacross the selected brands that came to host it. Differentiation in what we should remember are

competitive and very stable markets such as grocery purchase (East, et. Al, 2008) in this case,maybe very valuable.


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Looking further at a selection of the less positive comments, this encourages reflection forproduct development:

Constructive critique comments:Needs to be stronger, bigger, more grip, more uses.Make attractive.

Don't bother, more useful ideas could be thought of.

Find another idea.Don't think people would bother to save the tiesFeel its fixing a problem which doesnt need to be fixed. People will just throw it away.

Not suitable for arthritic as still small gripNeeds to be stronger, more grip needed for people with arthritis

Prototype does not seem securePrototype not very tight and firm grip

As has been acknowledged, no single product is expected to have a universal appeal. Clearly,consumers need to be convinced that the product or its augmentation will be successful atwhat it claims to do e.g. to function as a re-usable cable tie. Here, some concerns werecommunicated about the strength and suitability of the prototype. The prototype used in themarket research was engineered for the research, not as a product and was only meant toconfer the idea behind the product to potential consumers. It was not formally manufactured forpurpose.

Additionally, for some consumers, the idea of the RE:tie knocked at their threshold ofindignation and produced a candidly negative reaction, as they could not see a viable use for it.In such cases, a prudent first step in introducing a product to the market would be to preach tothe converted elements of consumers on the grounds of product use or value congruence,rather than to attempt a mass conversion.

It is however, worth considering such comments rather than simply dismissing them as minorityfeedback. This reaction may indicate a gap in the psychological journey of the products use -cycle; it is less likely that consumers who purchase a product with the RE:tie on it forconsumption outside the home (e.g. buying and drinking a bottle of smoothie for lunch) will takean extra step of retaining the RE:tie on their person, taking it home and re-using it as instructed.It is more likely that this link and therefore perceived additional benefit, will be activated on

products which are likely to be consumed in the home or domestic environment close to wherethe re-use will occur.

Finally, it is always good practice to include an open question to collect any other commentsfrom respondents (Denscombe, 2003) . This gives them a good experience of being involved inresearch and ensures they leave havin g felt adequately listened to. The few who madeadditional comments added nothing new to data gathered in previous sections of thequestionnaire, again, supporting its content validity and comprehensive but efficientconstruction.


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Recommendations:

To re-iterate: It is entirely up to the client (Junkk) to decide which findings, if any, should betaken forward. To this end, the author is happy to discuss the content of this report followingdelivery of it.

Capitalise on the significant respondent finding of newness of this re -cyclable cable tie

product concept in marketing materials

Ensure that potential uses are suggested to the consumer either at point of sale in the store orusing a neck tie label at initial uptake on the product with images of different uses this is aconsistent finding from data in this market research potential consumers can only attributevalue when the use messages are clear

It must be emphasised that the overall positive response to the RE:tie product in thismarket research was gathered post explanation and demonstration through a video without this, it is likely that feedback would have been substantively reduced

For suggestions re use images see the content of the qualitative data reported in thisdocument; in particular the use- value and four pleasure data

Consider also the psychological journey of the potential consumer in images concerningstoring and keeping the RE:tie product, prior to its re-use show the consumer it is easily do-able if they never get as far as re-use, the differentiation or augmentation function will bereduced. As one respondent observed, ha ving these on high volume products such as milk,one could accumulate a lot of them and their added value as a nudge factor may diminish.

Consider use of generic point of sale (in- store) information such as an Im with the RE:tie

slogan which could be used across products later on in product uptakeConsider the extent to which potential host product choice indicates congruence with the

target market for a favourable response to the RE;tie such that its presence can act as adifferentiator and a nudge

Clarify which marketing message is in use for each product: e.g. Environmentally friendlyproducts that activate level four of the pleasure in product framework have more potential towork with high-involvement or higher priced purchases as well as habitual, high volume orrepeat purchases

For markets which operate in a more niche manner such as DIY/hardware products that woulddemand the use of a cable tie in a related activity associated with buying the product , considerproduct affinities or things that naturally go together e.g. plant ties on a liquid plant foodcontainer

Capitalise on the significant respondent finding of the RE:tie as a potential productdifferentiator stable product markets, this may act to increase consumer decision-making in asituation of high competition

The preference reported was for the RE:tie to cost no more than 2p extra on the host-product

Consider collecting endorsement for new markets e.g. the elderly or with limited mobility use toensure the ethical green attributes are consistent with ethical advantages to other consumer


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segments ensure it does what it says it will! Fore example: setting up product clinics withAgeConcern members, employees or similar advocates with credibility for the particular market.

The above point also necessitates an overall recommendation for the use of workable androbust RE:tie products. Some negative comments and problems were noted by respondentswhen interacting with the ones used in this research.

Investigate the internet for other niche or brand communities that may relate well to this

product by suggesting new RE:tie solutions and to open up potential routes to alternativedissemination markets

Future market research:

A larger sample can always be helpful to conduct finer grained analysis e.g. breaking downresults by age, gender and store location would help to specify market segmentation. However,it is clear that all of these categories contained individuals who responded positively to theproduct and so it is questionable how much new information would be gained from conductingsuch a study at this time.

Consider re-conducting market research later in the product development and uptake processby using this data set as a benchmark. This would generate the kind of passive intelligencerecommended by Bradley, (2005).

Any future research should utilise more robust and professionally manufactured prototypes toremove any confusion between potential consumers reactions to the prototype instead of theproduct concept.

A closing comment

In a recent episode of Dragons Den , an inventor of a cable tie device which was non re-cyclable, caused quite a stir amongst the dragons and this suggests that such utilitarian devicesare worth paying attention to as an investor.

The respondents in this market research survey were consistent in response, with a product thatoffers a similar function together with an additional augmentation from its green credentials. S olong as product congruence and use messages are clear; knowing who you are marketing to,

why and therefore saying what in terms of the product and the function of the augmentation,these findings overall bode well for the product concept of the RE:tie in both green andstandard grocery market value.


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Appendices:

Market Research Questionnaire

Report references


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Junkk RE:tie Market Research Questionnaire

Opening pitch: We are students from the UW looking at improving green-design, focussing on an award winning and newre-usable product could you give us your opinion on a 30 second video about it please?OR: Do you prefer to buy brands that are more enviro-friendly? May we take a few moments of your time to ask about this?

Record: Store: Location and date Play video:Circle approx. age range of respondent: Under 25 26 35 36 45 46 and over

Circle gender of respondent: male female

After showing video:

1. Have you seen anything like this RE:tie product before? .........

2. What did you think of that RE:tie product? ..... (You may need to explain that it reduces waste by giving a new use to something throw-away a tamper proof seal)

3. Would you use the cable tie as shown do you think?.................................................................... ........................

4. What do you think you might use it for? a b.

c. d ( may need to prompt: in the home/garden/hobbies)

5. Would you recommend this product to anyone you know who could use it? .

6. What does a product like this say to the consumer about the product e.g. milk which is using it?........... .........

7. If there were two bottles of milk on the shelf in front of you, would you choose the carton of milk with this product overone that did not have this product on it, do you think?

8. Why/why not?..................................................................................................................... ................................

9. How much would you be prepared to pay on a carton of milk, to have that re-usable product do you

think ? .........................................................................................

10. Who buys most of the groceries in your household? .....................

11. Are there any particular groceries that you buy because they are re-usable or enviro-friendly?

Circle: yes no can you give any examples?...

12. Is there anyone in your family who struggles with opening these tamper proof seals e.g. elderly or disabled?

(prompt : it may help to explain that this tie removes the need for the plastic disc you have to peel off)

.

13. What advice would you give to the small business who is developing this as a product for the global green market?

... .........

14. Also record any other questions or salient comments that respondents note:

........... (if respondents are hesitant at any time reassure that you are looking for honest or candid feedback or perhaps explain that

the university helps local small businesses by undertaking independent market research on their behalf, so all feedback is really valuable)! Any probs, give them my name and 01905 54222


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Bradley, N. (2009). Marketing Research tools and Techniques . OUP: Oxford.

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Cassell, C & Symon, G. (1994) Qualitative methods in organizationalresearch. London: SAGE.

Chandon, P., Morwitz, V. G. & Werner, J. R. (2005). Journal of Marketing , 69-1-14.

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Fazio, R. H. (1990). Multiple processes by which attitudes govern behaviour.In M. P. Zanna (ed.), Advances in Experimental Social Psychology , 23- 75-09.

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Jordan, P. (2000). Designing pleasurable products . London: Taylor &Francis.

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McDonald, W. J. (1994). Time use in shopping: The role of personalcharacteristics. Journal of Retailing, 70, 4, p345-365.

Rajagopal (2008). Point-of-sales promotions and buying stimulation in retailstores. Database Marketing and Customer Strategy Management , 15, 4, 249-

266.

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Saunders, M., Lewis, P. & Thornhill. A. (2007). Research Methods for Business Students Fourth Edition. London: Prentice-Hall.

Thaler, R. H. & Sunstein, C. R. (2008). Nudge . US: Yale U.P

Zaltman, G. (2003). How customers think: Essential insights into the mind of the market . Harvard Business School Press.

http://en.wikipedia.org/wiki/Recycling_symbol
http://en.wikipedia.org/wiki/Recycling_symbolhttp://en.wikipedia.org/wiki/Recycling_symbolhttp://en.wikipedia.org/wiki/Recycling_symbol

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