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Archive: January 28, 2020

How to Gain a Competitive Edge Using MR

How to Gain a Competitive Edge Using MR

Since Daniel Starch developed his theory in the 1920s that advertising had to be seen, read, believed, remembered, and most importantly, acted upon, in order to be considered effective; companies have been using research as a means to gain a competitive edge on their competitors.

Research methodology and techniques have evolved substantially over the years most noticeably since the turn of the millennium. Conducting research has become faster, cheaper and more efficient; allowing companies of all shapes and sizes access to it. With companies conducting research in one form or another more than ever before, the challenge to gain meaningful unique data has grown ten-fold.

The pursuit of consumer insights has become an arms race, with the most successful companies finding ways to not only understand, but leverage insights at breakneck speeds. Those who have been able to harness the power of insights have flourished in the post brick and mortar retail world, while those who haven’t have faded into obscurity and obsolescence.

So how does market research play into the success of a company? And what are some areas of focus that companies can look toward in 2020 for a competitive edge?

Looking at Purchase and Usage Trends

purchase trends
To know where you’re going you need to know where you’ve been. By evaluating both purchasing and product usage behaviour of your current customers, you can understand the why, when and how of their consumption and through it can see trends and potential areas for change and enhancement. There are a few keyways to do this each with their own inherent benefits:

In Store Observations: Allows you to see consumers in their natural environment and gives you an understanding of their path to purchase.
Online communities: A small representative population of your consumer base. Gives you quick access to run both quantitative and qualitative data.
Point of Purchase / Interaction data: Short follow up quantitative survey delivered post interaction.
In Home Usage Tests: Diary / Log of a consumer’s interaction with your product and key takeaways of it’s use.

Gaining Competitive Insights

competitive insights
As important as it is to know how your consumers use your product / services, it’s also equally important to know how your consumers view you in relation to your competitors. Several ways to do this include:
MaxDiff Exercises: Respondents evaluate all possible pairs of items within the displayed set and choose the pair that reflects the maximum difference in preference or importance
Conjoint Analysis: Helps to determine how people value different attributes (feature, function, benefits) that make up an individual product or service

Leveraging Technology and Automation

leveraging technology
As the speed of business continues to get quicker and quicker so too does the speed at which insights are gathered and put into use. The ability to leverage technology and automation has become more important amongst the ever-evolving business landscape. Here are a few areas where you can gain a competitive advantage.

Facial Coding: Allows you to capture a respondent’s emotional engagement to any stimulus in real time.
Chat Bots: Conduct qual style exercises at the size of quantitative studies

Through harnessing the research techniques above you too can ensure that your company has a competitive advantage. Want to learn more about how you can implement these on your studies, contact us to learn more.

Top 5 Market Research Predictions for 2020

Top 5 Market Research Predictions for 2020

This is the time of year when everybody seems to be making predictions. Within the realm of market research, I’ve seen quite a few articles forecasting methodologies and the impact of data privacy. From my own experience, here are five trends or changes the industry will experience in 2020.

1. Outcome- and strategy-first methodologies will be embraced.
In the coming year, business outcomes from research and insight will become even more important to drive results and profit from the data gathered. Success will be achieved through the increased integration of people, data, and technology. The combination of different data sources should enable businesses to move from insight-driven to result-driven, enabling the insight team to be one of the most important functions. For this to work in 2020, we need curious individuals who can answer the “why” question, working hand in hand with best-practice technology solutions.

2. DIY research will come into its own.
With so many start-ups and small to medium-sized businesses, there seems to be even more use cases for “do it yourself” research. Companies like SurveyMonkey, Typeform, and Zappi offer a DIY research format, allowing individuals to create their own research program without needing to discuss anything with an actual person or agency. For 2020 to be the year for DIY research, though, there must be more go-to-guides and information to help individuals conduct market research by themselves.

3. Unlocking privacy compliance will be key.
Yes, this one is probably on every prediction list over the last few years, but there’s a reason for it. Data privacy continues to be a big deal, and we are just beginning to feel the impact of the various global legislative initiatives that relate to this topic. As I like to say: “The bigger the company, the bigger the threat.”

At the moment, there seems to be no standard way of working with privacy-related requirements—different businesses are seeking different solutions for the variety of compliance issues. In 2020, I firmly believe we will see standard protocols emerge that will lead us to a less-fragmented market (and less-fragmented privacy rules, in general). However, the real value will be seen by organizations that look for ways to address compliance needs while also unlocking new potential value for data stakeholders.

4. Data science will overtake insights.
Market research has historically focused on data collection, and analysis has typically been simple. This applies to qualitative as well. In some ways, however, the market research industry was ahead of its time—the ability of decision-makers to use data to guide their decisions has lagged the capacity to collect it.

Now that the data industry is much larger, you could argue that market research is being absorbed into data science. There are huge amounts of programmers and software developers in our industry—while many are adept at selling, they know little about marketing or research. (To be fair, they usually do not refer to themselves as “marketing researchers.”)

For market research to be the golden industry, we have to go beyond mechanical data collection, simple analysis, and interpretation. Instead, we must work closely with AI, machine learning, and data scientists. However, I still feel that a market researcher with sound experience will still have an amazing career in the industry. Those able to design primary quantitative research who have a good grasp of statistics—as well as marketing and business in general—will be at an advantage, as will top-notch qualitative researchers.

5. We will reach peak innovation.
Innovation is a word I hear a lot, but it can sometime feel like people are only saying it because it’s a great marketing buzz term that makes you sound amazing and at the top of your game. The desire for market research agencies and boutiques to pump out faster and more reactive products has never been so strong. In 2020, I feel like we may well reach peak innovation, but the technology that is available today will continue to get better. This means new tools will be able to deliver timely insights that provide business results and outcome-first approaches to market research and data.

Conclusion
Overall, I feel that outcome-first methodologies will come out on top while the inclusion of DIY research will become prominent in the sector, especially for small and medium-sized businesses. Better yet, I feel like the industry hasn’t reached its summit. While it might have peaked in terms of innovation, it can still grow and improve with respect to the value it adds.

While January is a time for predictions, it’s also a time for resolutions. There are many people who still don’t see the value of market research, so I challenge you to set a goal for this year—go and change one person’s opinion of this important sector. If all those reading this can do that, our field will be off to a great 2020. Have a great year!

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About Jake

Jake-Pryszlak_avatar_1546770824-400x400  

Jake Pryszlak, commonly known as the Research Geek, is a 3-time award-winning market researcher, blogger and speaker. He’s a current Forbes columnist who is active across a plethora of social media channels. His aim is to share his market research knowledge with others in the industry. You can find his blog and social media channels here.