The Process of Advertising Research

Objectives To review the planning process

To understand the role of research in the context of advertising planning

Communications Planning: A Systematic Process Each step builds the foundation for future

decisions

and may provide feedback for decisions made in earlier steps

Research supports risk-avoidance and decision confidence

The Business Problem Most product-related research initiatives

begin with a problem in mind.

These business “problems” or “challenges” relate to marketer’s concerns about some element of product marketing Product Price Place Promotions

Research Process for Addressing Communications Problems The fact that a business problem exists

opens an opportunity for research solutions

3 Stages of the Process Preliminary Discussions & Agreement Planning & Data Collection Application

Preliminary Discussions & Agreements Happens between the marketer and that

organization responsible for implementing research

Marketer gives direction, input about the issues affecting the product/brand

Conversation can also be initiated by the advertising agency

No research is actually conducted until agreement about direction is reached

Preliminary Discussion & Agreements Stage Stage concludes with an understanding

between the marketer and the research agent

Agreement about what the research challenge is

And where efforts, budgets will be allocated

3 Categories of Research-Related Problems Selection of Alternatives

Problems & Opportunities

Knowledge & Understanding

Selection of Alternatives/Evaluation of Alternative Actions Problems A ‘this or that’ category of problem

The problem defines a need for research to help select the best alternative

Ex: Which product package will be most effective – Package A or Package B?

Ex. Which ad spokesperson will have most credibility among the target market?

Problems & Opportunities Problems Category of problem that is focused on

gaining a better understanding about past business performance outcomes… sales, profits, volume, share, distribution, etc.

…or about future business actions sales, profits, volume, share, distribution, etc.

Problems & Opportunities Problem Issues This category defines a need for research

to help bring clarity to what already happened or to what may happen…

Ex: Do opportunities exist to extend Nintendo’s base of users targeted based on gender?

Ex: Sales of male cosmetics experienced seasonal declines in the last year. What was the reason for this?

Knowledge & Understanding Problems Category of problem dedicated to building

information for the sake of becoming more competitive or more sophisticated about product marketing

Issues related to this categories can be specific to the product, the consumer, or the general societal trends

Knowledge & Understanding Problem Issues

Ex.: How would our target react to our brand of potato chips if we repositioned it as a “healthy snacking alternative?”

Ex. How are online social networks changing the way teens become aware of our brand?

Research Problem StatementA research problem statement comes

as a result of careful discussions about what the issue is affecting the

product/brand (problem definition) why research is needed (justification) what research should find (informational

needs)

Planning & Data Collection Identify the type of research

Access current knowledge through secondary research

If necessary, conduct primary research Exploratory research (Qualitative) Descriptive research (Quantitative) Experimental research (“Cause and Effect”)

Planning & Data Collection Research Method

Design the research instrumentation

Sampling Probability vs. Non-probability sample

Planning & Data Collection Budget and Timing

Get research proposal approved prior to research implementation

Collect Data

Application Analyze data

Interpret data and make recommendation(s)

Post-presentation decision making by management

Advertising Planning With An Account Planner’s Mindset Advertising planners represent a

hybrid between the account manager and the research analyst

Account Management Account management supervises the

work flow & budget allocations on the advertising account

They are the brand business experts who are grounded in brand performance and brand outputs (sales, profits, etc.)

Their counterparts on the company side is the brand manager

Research Analysts Agency researchers are experts in

planning, implementing, and reporting research efforts

They are masters at asking the right questions so they generate insights that will answer brand questions

They are more data-centered than brand-centered.

The Account Planner Account Planners represent the voice

of the consumer

They are less business-driven than people-curious

They see their jobs as being social anthropologists and “insight-miners”