10 New Marketing Classics Every Researcher Should Know About

10 NEW MARKETING CLASSICSEVERY RESEARCHER NEEDS TO KNOW

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insight for innovation

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clickadvisorinsight for innovation

The Tipping PointThe Big Insight...

★ Ideas, products and behaviours have “tipping points” - take-up thresholds where network effects take over and dramatically accelerate adoption. Social epidemic theory teaches us the three small things marketers can do to get products to their tipping point

★ Law of the Few - focus marketing spend on influencing the influencers (network hubs)

★ Stickiness Factor - tweak product experience to be psychologically ‘sticky’ (compelling and contagious)

★ Power of Context - ensure product ‘fits’ its context of consumption

Malcolm Gladwell 2000


Purple CowThe Big Insight...

★ “Stop advertising, start innovating” is today’s recipe for marketing success - clutter and choice mean the days of pushing unremarkable products with mass advertising are over

★ Today, the best kind of advertising is a product that advertises itself - because it’s genuinely worth talking about (like a purple cow)

★ Purple cow marketing involves shifting spend in the 4Ps of marketing from promotion to product - creating remarkable products (purple cows) that advertise themselves

★ “Is it worth talking about?” the acid test marketers should apply to everything they do

Seth Godin 2003


How Customers ThinkThe Big Insight...

★ Why people say they like things is rarely the reason why they do

★ People have no privileged access to why their brains tell them they like something, so it is often pointless asking them

★ 80%+ failure rate of new product introductions is largely the fault of market researchers using outmoded survey and group techniques - that ask people why they do stuff and like things

★ The future of marketing research is understanding how the mind works - for example understanding the as the importance of evoking memories for effective advertising

Gerald Zaltman 2003


Psychology of InfluenceThe Big Insight...

★ People are influenced less by rational argument than by simple rules of thumb (“heuristics”) we use to make most decisions

★ Some heuristics are universal - hardwired into every human mind: authority, majority, scarcity, likeability, consistency and reciprocity

★ Understanding the heuristics used to choose can be a rich source of insight and influence

★ Embedding heuristics in products and communications makes them more compelling

Robert Cialdini 1993


BlinkThe Big Insight...

★ The power of intuition rather than deliberation drives most decisions

★ Intuition is not magical - it’s based on “thin-slicing” - fast automatic mental processing

★ Intuitive decisions based on thin-slicing fit mental schema - ideas that fit our pre-existing mental schema get selected

★ Focus groups can fail precisely because focusing is unnatural - a better source of insight is understanding how people thin-slice information

Malcolm Gladwell 2005


FreakonomicsThe Big Insight...

★ Economics can be a powerful insight generator - understanding behaviour in terms of the incentives that drive it and the data patterns that describe it

★ Incentives are the cornerstone of life - economic, social and moral incentives explain much of our behaviour

★ Small changes to incentives can have dramatic effects

★ Conventional wisdom is often wrong - use data mining to uncover patterns in the data and look for the incentives that explains them

Steven Levitt and Stephen Dubner 2005


The Ultimate QuestionThe Big Insight...

★ “Would you recommend it?” is the ultimate acid test of brand health, and the answer is linked to sales performance

★ The Net Promoter score (propensity to recommend) is a validated easy to use, easy to communicate metric for tracking brand health

★ Good innovation and good marketing should increase propensity to recommend (NPS)

★ Understanding what drives propensity to recommend is a key source of insight

Fred Reichheld 2006


The Long TailThe Big Insight...

★ Parallel niche marketing - marketing to the “long tail” of multiple niches with multiple offers is a powerful marketing strategy in a world of near-infinite choice

★ “One size fits all” mass offers no longer work - people expect mass personalisation and demand choice

★ Low demand/low sales products collectively sell more than best sellers and blockbusters - and this a big business opportunity made possible through the radical reduction of sales and distribution costs of e-commerce

★ Selling less of more, rather than more of less by marketing to the long tail is profitable and less risky than relying on blockbusters

Chris Anderson 2005


The World is FlatThe Big Insight...

★ The Web has ushered in a new era of globalisation (“Globalisation 3”) flattening the world, creating a global village of consumers and a level playing field for business

★ Think global, act global - focus on what people have in common rather than what makes them different

★ Think global, act global - (2) identify local market trends, successes and suppliers that can be commercialised globally

★ Constant change is a feature of a flat world, creating a market need for dealing with change - agility and adaptability rule

Thomas Friedman 2005


WikinomicsThe Big Insight...

★ The Web is a powerful platform for doing market-led innovation; businesses can innovate with markets rather than simply for them

★ Boost your innovation pipeline with online idea, design and technical challenges that turn the world into your R&D department

★ Turbo-charge innovation programs with online collaborative tools (Wiki is Hawaiian for “fast”) that efficiently harness distributed collective intelligence

★ Think of the online marketplace as a platform for innovating not just selling; however smart your business, most of the smartest minds don’t work for it

Don Tapscott and Anthony Williams 2006

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About Clickadvisor★ Hello, we’re Clickadvisor, a new digital insight agency that uses crowdsourcing

technology to help brands do market-led innovation

★ Instead of running traditional groups and interviews, we uncover needs, opportunities and solutions using online idea and design contests

★ Innovation Idea Contests

★ Trendspotting Contests

★ Brand Naming Contests

★ Pack/Cover Design Contests

★ Our idea and design contests help brands do collaborative innovation, delivering creative insight fast and cost-effectively


About the SpeakerPaul Marsden is director at clickadvisor.com, a digital insight agency specialising in innovation

An experienced market researcher, career highlights to date include:

★ Product management, sales and market research at Astra Zeneca★ PhD in social psychology (social influence) - development of online

research tool featured in The New Scientist★ Led London School of Economics team validating the link between

brand advocacy and sales growth - worked on innovation research projects for BBC, LVMH, Nokia, Economist, and Unilever

★ Co-founded two successful digital marketing agencies (Spheeris (online communication) and Brainjuicer (online research))

★ Co-authored popular business book ‘Connected Marketing’

Paul’s latest venture, clickadvisor.com, helps brands do collaborative innovation through brand-sponsored idea and design contests


FlipsideA reformed bodybuilder, Paul is a diving fanatic and a qualified divemaster

Education

10 New Marketing Classics Every Researcher Should Know About