1. 1. Marketing Research & Social Communication Lesson 15 Linking market research to business needs and objectives Ray Poynter 1Ray Poynter, Marketing Research & Social Communication, 2015
2. 2. Agenda 1. Updates and last weeks quiz 2. Review 3. Linking market research and business objectives 4. Big Picture 5. End of lesson, short break, and extra material 2:45-4:00pm Ray Poynter, Marketing Research & Social Communication, 2015 2
3. 3. Updates Please tell me if I speak too fast http://newmr.org/saitama-2015/ Previous Quizzes all previous quizzes, i.e. Lesson 3 onwards, now on the website No dictionaries in the exam 70 questions, one hour, 31 July, 1pm Extra lesson (optional), 24 July, 2:45-4:00 Review of last weeks quiz Ray Poynter, Marketing Research & Social Communication, 2015 3
4. 4. What is Market Research? Scope: Customers Objective: Better business decisions Ray Poynter, Marketing Research & Social Communication, 2015 4 Evidence-based decision making Better informed decisions Customer-focused decision making
5. 5. The Main Uses of Market Research 1. To explain the market For example: Who uses what, where, when, why, and how? 2. To predict the future(probabilistically) For example, Here are three TV ads, if I were to use them, what impact would they have?, or If the price increases 10%, what happens to sales? 3. To help create the future For example, asking people help design a new snack food. Ray Poynter, Marketing Research & Social Communication, 2015 5
6. 6. Brands In market research (and international marketing) a brand is anything that is used to identify a product or service Brands include: Rolls Royce Toyota FamilyMart Kirin Coca-Cola Georgia (owned by Coca-Cola) Ray Poynter, Marketing Research & Social Communication, 2015 6
7. 7. Ray Poynter, Marketing Research & Social Communication, 2015 7 ESOMAR Global Market Research 2014 Data = 2013, shift from 2012 in brackets Figures $millions, USD Total = $40 billion
8. 8. Ray Poynter, Marketing Research & Social Communication, 2015 8 ESOMAR Global Market Research 2014 Data = 2013, shift from 2012 in brackets Total $40 billion Manufacturing: Consumer non-durables 23% Pharmaceutical 12% Automotive 4% Durables 3% Other 2%
9. 9. Ray Poynter, Marketing Research & Social Communication, 2015 9 ESOMAR Global Market Research 2014 Data = 2013, shift from 2012 in brackets Total = $40 billion Quant How many people in this room are married? Qual What do we mean by the phrase Happy marriage?
10. 10. Ray Poynter, Marketing Research & Social Communication, 2015 10 ESOMAR Global Market Research 2014 Data = 2013, shift from 2012 in brackets Total = $40 billion
11. 11. Size of Market Research Sectors Ray Poynter, Marketing Research & Social Communication, 2015 11 Rank Country $ Billions 1 USA 15.0 2 United Kingdom 5.1 3 Germany 3.5 4 France 2.7 5 Japan 1.8 6 China 1.7 10 Australia 0.7 16 South Korea 0.4 17 India 0.3 ESOMAR Global Market Research 2014 Data = 2013. Total = $40 billion (USD)
12. 12. The Main Uses of Market Research 1. To create explanations 2. To predict the future 3. To help create the future Ray Poynter, Marketing Research & Social Communication, 2015 12
13. 13. Quantitative Research - Quant Focused on numbers How many people have a smartphone? How many times a day do people use their smartphone? What brand of smartphone is most popular? Which smartphone is the easiest to use? Which smartphone has the best technology? What would you pay for a new smartphone? Ray Poynter, Marketing Research & Social Communication, 2015 13 The most common way to conduct a quantitative study is via surveys
14. 14. National Readership Survey Ray Poynter, Marketing Research & Social Communication, 2015 14 http://www.nrs.co.uk/nrs-print/methodology/interview/
15. 15. Alternatives to Surveys Surveys have been the major form for quantitative research, but that is changing Alternatives: Transactional data Social media research Passive data People meters Text analytics Biometrics Ray Poynter, Marketing Research & Social Communication, 2015 15
16. 16. Qualitative Research - Qual Meaning Feeling Understanding Ray Poynter, Marketing Research & Social Communication, 2015 16 Focus Group Depth interview Telephone depth interview Online focus group Online discussion Accompanied shop Pairs Triads Ethnography https://youtu.be/j_cUnlQl29Q
17. 17. Focus Group Ray Poynter, Marketing Research & Social Communication, 2015 17
18. 18. The choice between qualitative and quantitative research When companies are trying to link market research to financial data the first choice is usually quantitative research When companies are trying to improve their decisions through understanding and creativity they typically use qualitative research When you cant measure it, you use qualitative research Ray Poynter, Marketing Research & Social Communication, 2015 18
19. 19. Key Players in the Market Research Process Customer Internal Client Insight Manager Research Agency Fieldwork Companies Interviewers Recruiters Data Processing Reporting and Infographics Focus Group Facilities Platform Providers Software Providers Coding Transcription Translation Ray Poynter, Marketing Research & Social Communication, 2015 19
20. 20. B2B Business-to-Business If your customers are businesses, then you are a B2B company Businesses buy furniture, vehicles, financial services, food, telecoms, postal services, HR services, paper, printers, photocopiers etc In B2B research the participant is answering on behalf of their company or organisation Major forms of B2B market research include: Customer satisfaction, pricing studies, concept testing, segmentation, and driver analysis Ray Poynter, Marketing Research & Social Communication, 2015 20
21. 21. Scoping/Designing Research Projects 1. Business objectives 2. Research objectives 3. Research methods 4. Details and logistics 5. The project 6. Analysis -> Findings -> Insight Ray Poynter, Marketing Research & Social Communication, 2015 21
22. 22. Insight? Lots of definitions Some people use it for anything discovered Some use it for anything the client says is an insight My suggestion: Something that provides a generalisable understanding Something that supports action Ray Poynter, Marketing Research & Social Communication, 2015 22
23. 23. Four Things a Clients Want from Presentations Separate the analysis from the presentation Tell a story, dont deliver a waterfall Think like a journalist Do it in a compelling way Ray Poynter, Marketing Research & Social Communication, 2015 23 Narrative Flow
24. 24. The Surveyor and the Journalist Ray Poynter, Marketing Research & Social Communication, 2015 24
25. 25. More than Surveys and Focus Groups Social Media Concept testing and NPD (New Product Development) Customer Satisfaction Brand and Ad Tracking Other notes Ray Poynter, Marketing Research & Social Communication, 2015 25
26. 26. Social Media Research Looking at what people are saying to each other and to brands Unprompted naturally occurring conversations Key Points Japanese language tools less developed than English at the moment Great for questions you have not even asked Not great for many questions that are being asked. Ray Poynter, Marketing Research & Social Communication, 2015 26
27. 27. Social Media Approaches Qualitative selecting key sources and reading/analysing them closely Including images and videos Quantitative Tracking trends over time Measuring sentiment (Positive, Negative, and Neutral Using software to capture and quantify the information. Ray Poynter, Marketing Research & Social Communication, 2015 27
28. 28. Concept Testing and NPD NPD new product development Key facts: More than 75% of new products fail Concept tests and NPD try to improve the chance of success Tests normally conducted before a product is launched Usually ask overall opinion first to control the bias Market research tests usually measure the concept and its communication they cant be completely separated Ray Poynter, Marketing Research & Social Communication, 2015 28
29. 29. Can we believe what people say? Not always! Often people dont know the answer (e.g. how many kilos of rice will you buy in September?) Sometimes not willing to answer honestly Separate out What people say What you think it means either via qual analysis or predictive modelling Concept tests cannot always correctly predict the future Ray Poynter, Marketing Research & Social Communication, 2015 29
30. 30. Customer Satisfaction Customer satisfaction research is conducted with Customers Customer churn refers to the number who stop using a brand or service Most customer satisfaction is quantitative Companies are seeking to measure changes in satisfaction Usually ask overall satisfaction near the start of the survey to control the bias NPS the Net Promoter Score is one popular method used for customer satisfaction It produces a single number Ray Poynter, Marketing Research & Social Communication, 2015 30
31. 31. Brand and Ad Tracking Allows brands to track their image, awareness and advertising Tracking tends to be quantitative Currently, the most common approach is via surveys But other approaches are growing Research is normally conducted with category customers If tracking FamilyMart wed track everybody who uses a konbini, not just FamilyMart Ray Poynter, Marketing Research & Social Communication, 2015 31
32. 32. Other Notes Segmentation: using statistics to divide customers into different groups Driver analysis: using statistics to find out what factors are determining behaviour Research communities Usually private, branded, and comprising customers Suitable for qualitative and quantitative research Ray Poynter, Marketing Research & Social Communication, 2015 32
33. 33. Ethics, Codes, & Guidelines Why? 1. To exercise self-regulation, rather than external regulation. 2. To help buyers tell the difference between good and bad research. 3. To offer guarantees to anybody taking part in market research. 4. To guide market researchers towards best practice. Ray Poynter, Marketing Research & Social Communication, 2015 33
34. 34. Working in the market research industry First decision, supplier or client? My suggestion: start with a supplier company, one with a training programme Qual or Quant? Unless you have a strong preference, try to get experience of both If you end up on the client side you will need both After 18 months 2 years, review situation: Stay supplier side Move to client side Leave market research Ray Poynter, Marketing Research & Social Communication, 2015 34
35. 35. Finding Out More About Market Research Japan Market Research Association http://www.jmra-net.or.jp/ JMRX a more modern alternative https://www.facebook.com/JMRX2010 ESOMAR global trade body for MR https://www.esomar.org/ NewMR online hub for new thinking in MR http://newmr.org/ GreenBook online news and views about MR http://www.greenbookblog.org/ Ray Poynter, Marketing Research & Social Communication, 2015 35
36. 36. Other Books Ray Poynter, Marketing Research & Social Communication, 2015 36 Title: Questionnaire Design Author: Ian Brace Published: Kogan Page Date: June 2013 Price: 29,99 Title: Handbook of Online & Social Media Research Author: Ray Poynter Published: Wiley Date: August 2010 Price: 41.99 Title: Handbook of Mobile Market Research Author: Ray Poynter, Navin Williams, & Sue York Published: Wiley Date: August 2014 Price: 24.99
37. 37. The Big Picture 1. Focusing on customers we help organisations make better decisions 2. We Create explanations Make predictions Help create the future 3. We draw on the social sciences (& other disciplines) and use quantitative and qualitative approaches 4. There is more to us than just surveys and focus groups 5. Data is an input, insight and action are outputs Ray Poynter, Marketing Research & Social Communication, 2015 37
38. 38. Before the Exam 1. Revise all the quiz questions, check the correct answers. 2. Check the lecture notes. 3. ! Ray Poynter, Marketing Research & Social Communication, 2015 38
39. 39. Questions? Ray Poynter, Marketing Research & Social Communication, 2015 39