Insight Archives - c3centricity | c3centricity

+41 79 93 39 789 info@c3centricity.com

Why Marketing doesn’t Always Get the Research it Needs, But Usually What it Deserves

Why do marketers sometimes complain about the market research they get? I’ve often heard comments during presentations such as “We already knew that” or “This can’t be right” or “Why can’t you answer the questions I have?” I am sure you have said something similar yourself or been on the receiving end of such statements. What’s going on?

I believe that one of the reasons for such comments is poor briefing. Poor briefing by marketing which results in a poor market research brief to the supplier. If you too are sometimes dissatisfied with your results, then read on for some useful tips on how you can get the information you need.

Briefing

A market research brief is a document that helps a market research specialist to deliver the knowledge the business needs, in a timely manner. In some cases this will require conducting a market research project, but not always. Sometimes, it may simply be necessary to re-analyse previous work, in a different or more detailed way, in order to answer the questions asked.

Therefore I would never encourage internal clients to always think in terms of requesting a market research project when they are looking for information. In fact I would actively discourage it. This is especially valid when budgets are tight, as cheap research is often useless research.

Choose what you Need

As noted by Arthur C. Clarke, there is a management “trilemma” encountered when trying to achieve production quickly and cheaply while maintaining high quality. This is the basis of the popular project management aphorism “Quick, Cheap, Good: Pick two.” Conceptualized as the project management triangle as shown below, this aptly applies to market research projects as well.

A trilemma

Marketing is a profession where progression is often rapid and therefore the marketer may not be aware of all the information that is available within an organisation. In my opinion, it is essential for market research specialists, who are more likely to have been in their position for many years, to appropriately advise and support their internal clients, and not be just order-takers. (>>Tweet this<<) Unfortunately in many companies this is what they have become, which is such a waste of knowledge and expertise!

When it has been established that a new research project is required, then the brief becomes the vital first step for getting the information that is needed, when it’s needed. It should be drawn up to meet individual internal requirements, and as a minimum it should contain the following sections:

1. Background

This should provide all relevant information on your company’s situation and what risk or opportunity has been identified, as well as how and why this has been identified. Previous reports and studies that are relevant to the situation should also be mentioned and of course have been reviewed for answers before a market research survey is requested. 

2. Objectives

Clearly defined objectives are essential to the success of any project. In addition to the background, detailed objectives allow the best possible work to be carried out  and ensure the research meets them as fully as possible.

Their precision will also avoid many of the comments mentioned above, since everyone will be starting from the same level of knowledge and underst anding, and will have agreed that there is a gap in underst anding that can only be met through the running of a research study.

3. Decisions to be taken

Knowing what questions are to be answered and how the information obtained will be used, will help to identify the best methodology. For example if large investments will be necessary to action the results, then a quantitative study should be conducted, to ensure solid information and as reliable a result as possible.

However, when looking for your customers’ ideas, thoughts, feelings, issues and desires, you could find such answers through a qualitative study or perhaps from the analysis of social media comments online.

The methodology which is finally chosen will have a direct impact on the project’s pricing, so underst anding how the results will be used will avoid any waste in resources. 

4. Budget and Timing

These go h and in h and, both with each other, as well as with the choice of methodology. Normally faster is more expensive, as it requires a larger field force or online panel, and a tighter control of the project’s progress. It is also essential to underst and any budget limitations, as one that is too small for say a large quantitative study should prompt the market research expert to refuse running it. As quoted above, good, cheap, fast, choose two!

One further point is that if timing is too tight, especially for the delivery of results, you may not have enough leeway should something go wrong in fieldwork, or there is the need for more time to analyse the output. I always agree with the often quoted advice of Tom Peters, the American writer perhaps best known for his 1982 book, that he wrote with Robert H Waterman Jr and which is entitled, ‘In Search of Excellence’:

“Formula for success: under promise and over deliver” 

Formula for success: under promise and over deliver Click To Tweet

This doesn’t only apply to timing or market research either; it applies to everything else you have to deliver as well!

5. Research target and approach

Although the MR specialist is the expert, any (internal) client suggestions about the respondents to contact or their preferred methodology to be used, should be clearly identified. If your client doesn’t believe in qualitative work, it may be unwise to rely solely on such a technique. I’ve known companies – dare I say quite a few in the US? – that run tens of group discussions, just to have a “sufficient sample size of respondents to analyse.” If you are likely to meet such criticism, then I think it’s better to know before you start, so you can make relevant changes to the methodology!

6. Test materials and availability

If materials are needed to run the test, whether products, concept boards, advertising prints or videos, clear numbers of copies and their delivery date must be specified. Too often they are delivered late but the research results are still expected to be provided on the agreed date, which just puts everyone under unnecessary and easily avoidable stress. 

7. Deliverables

Not all research needs a detailed report (>>Tweet this<<); sometimes a presentation or summary of the results is sufficient, especially when timing is tight. Again, knowing upfront your internal client’s needs can impact both cost and timing and the likely success of the outcome.

So there you have it, a summary of the seven major parts to a good market research brief. Of course, in reality there are many more sections that can be added, which are more dependent upon internal priorities and specific industry or category requirements.

This post was prompted by a request from a client who is looking to update their market research and insight processes. If you too would like to upgrade yours, then why not contact us today and let’s discuss your own particular needs? Each of our offers is unique and customised, and can include a market research toolbox audit, process updates and one-day catalyst sessions to get everyone on the same page within your organisation.  

The image used in this post came from Denyse’s forthcoming book Winning Customer Centricity, now available for pre-order on C³Centricity, Amazon.com and Barnes & Nobles.

Halloween Scares & Solutions for Marketing

Halloween is coming, even earlier than usual this year, judging from all the retail displays already in the shops! Although it is now more associated with children dressing up in scary costumes and dem anding “Trick or Treat”,  it is actually a Christian remembrance of the dead on the eve of All Saints’ Day.

So what does that have to do with marketing? Apart from the obvious effort of many companies to include the pumpkin shape, flavour or aroma in almost every product they make, at least in the US, marketing too has its scary moments doesn’t it?

What scares you marketers the most, or to put it another way, what keeps you up at night? One of the most recent studies on the topic, issued a few months ago, comes from The Marketing Institute (MSI) and was summarised by David Aaker of Prophet as seven issues, which he divided into three tiers:

TIER ONE: The hot topics

  1. Underst anding customers and the customer experience with particular emphasis on the impact of social and digital.
  2. Big data and analytics, with how they will impact predictive modelling and the marketing mix.

TIER TWO: The other concerns

  1. Following on from the opportunities of Big Data, the next concern is Marketing Accountability and its ROI.
  2. Developing marketing excellence and the new skills required such as visualisation and storytelling.
  3. Leveraging digital/social/mobile technology and linking it to CRM
  4. Creating and communicating enduring customer value and how to measure it in the social environment.
  5. Developing and delivering integrated marketing

TIER THREE: Previous concerns getting under control

  1. Innovating products and services
  2. Global marketing
  3. Segmentation
  4. Optimizing social contracts

What I find interesting from this and similar studies that I wrote about last year, is the overlap between many of these challenges. Marketers are really concerned about the wealth of information that they have on their customers and how they can manage to turn it all into insights, for more profitable actions and engagement. I therefore thought it would be useful to summarise the “so whats” of all these current challenges and propose actions that will help marketers get these issues under control, so they can change their scares into solutions:

Underst anding the customer experience

SCARE: With the exciting new worlds of social and digital taking up much of the thoughts of marketers, they are struggling to find ways to think integration, but that is the only way to underst and today’s customers. 

SOLUTION: Starting from the customers’ perspective makes looking at the bigger picture much easier. Instead of thinking single channels of communication, think connection and engagement. (>>Tweet this<<). Instead of thinking purchase and loyalty, think advocacy. Creating value for the customer goes way beyond providing a product or service these days. (>>Tweet this<<)

Knowing what to do with data

SCARE: We have gone from an information rich environment to complete data overload. This challenge definitely keeps a lot of marketers up at night. They feel as if they have to use everything available but at the same time are also aware that they are incapable of doing so.

SOLUTION: The answer lies in the old “eating an elephant” solution. Rather than worrying about what is not being managed, marketers should review what they already have, and only then decide what else they could use to help answer all their questions. There is so much information available today that we can’t work with it all, but we can ask better questions that can be answered by analysing this data. Start with the right question and then use the data you have to answer it. (>>Tweet this<<)

Engaging customers

SCARE: Every br and has some sort of web presence today. Whether that is a website, Facebook page or Twitter account, most companies have rushed into social media without a detailed underst anding of why they are there. If this is your case, it’s time to take a step back.

SOLUTION: How are you connecting with your customers today, both offline and online? The two should be complementary. However if there is too much overlap and you are doing the same on both, then you are wasting your money. You are also wasting your money if you don’t know why you are online in the first place! (>>Tweet this<<)

I had a client once who wanted help in updating one of their websites. In running a first analysis of all their websites, I found that more than 80% of them were being visited by less than 30 visitors a month! We cancelled all those websites and invested the money in the remaining active ones, improving both their ROI and the engagement with their customers. Maybe it’s time to take a look at your own web statistics?

Marketing ROI

SCARE: Marketers are scared for their budgets and even more so for their jobs. With the rise in the importance of technology and IT, marketers need to move from br anding  and creativity alone, to embracing data and analytics much more than they have done in the past.

SOLUTIONBecome friends with your CIO and see IT as a support of rather than as a threat to your budgets. Yes managing new technologies and data analysis will need more investment, but that won’t (shouldn’t) come at the expense of br and building. In fact with the increased power of the customer and the number of channels on which to reach them, marketing needs increased budgets to be where and when the customer dem ands connection and information. (>>Tweet this<<)

Acquiring new skills

SCARE: As already mentioned, marketers must get comfortable with large amounts of different data. They also need better ways to analyse and make sense of it all, often in near real-time. This is a challenge in itself, but the new skills they have to acquire don’t stop there. They also need to turn their information into actionable insights and then share them with the rest of the business to gain acceptance and impact.

SOLUTION: Your market research and insight colleagues are the best people to help in making sense of the data and developing actionable insights. It will be the marketer’s job to share these with the rest of the business in a more creative way. Visualisation & storytelling are the new must-have skills for today. No longer can you expect PowerPoint presentations to excite and engage your C-suite executives – if they ever did!

These are five of the most pressing current scares of marketing and some simple solutions to address them. Are you challenged by something else? If so, add a comment below and I’ll help you find a solution. Or if you prefer, you can contact me here.

C3Centricity used an image from Microsoft in this post.

 

 

The Ultimate Guide to Developing Actionable Insights

One of the biggest challenges of many marketers is developing actionable insights about the market and it’s customers.

Are you satisfied with the way you turn your data and information into underst anding and then develop insights on which you can take clear actions? If not, then you will find this post tremendously useful in helping you to update your practices.

Even if you are happy with your insight development process, converting them into actions can still be a stumbling block. In January 2013 Forrester wrote an article suggesting that last year would be the year for market insights. Eighteen months on, things don’t seem to have progressed much, so hopefully this post will enable your own organisation to advance and to get ahead of the competition.

#1. Be precise in your objectives

Your objectives for developing an insight should be presented as a desired change in your target (>>Tweet this<<). For example, if you are looking to increase your market share, you could be looking to find a way to convince competitive br and purchasers to buy your br and instead.

Identifying the change you are looking to encourage is the first step to uncovering a true actionable insight. Are you identifying the change you desire in your customers? If not then this is something you should start doing; it will make developing actionable insights more focused and thus also easier.

#2. Involve a wide range of experts

Insights are not the sole responsibility of the Market Research & Insight Department (>>Tweet this<<). Everyone in the company can bring valuable information and underst anding to address the identified opportunity. Therefore, involving people with a wide range of perspectives can make insight development more effective.

Gather a team of experts to provide a 360° perspective of the category or br and, including for example:

  • R&D, who can bring underst anding of available internal & external technical skills
  • operations who can share current defects and development aspects
  • sales who can add retail perspectives, including distribution, packaging and shelving limitations or opportunities
  • marketing who will provide the communications, image, equity and competitive environment
  • customer services who can add current customer sensitivities, problems or suggestions
  • finance who can highlight any budgetary limitations and ensure financial goals are met

The group you bring together will be a function of the change you are looking to make. I personally believe that the exercise should be run by your market research and insights team, since it is their profession to underst and people and behaviour. They also generally have the widest and most detailed perspective of anyone in the company

#3. Review all available information & knowledge

All organisations have far more information than most employees realise (>>Tweet this<<), including your market research, insight, strategy and planning teams. This highlights the need for having a group of people from different departments since they will bring alternative perspectives and information sources to light.

Once the team has been formed and the objectives for the insight development exercise have been agreed, it is time to organise a complete review of all the available information and knowledge.  You should look for recurring themes, expressions and words across the different information sources that might provide indications of the issues or opportunities around the identified objectives.

As everyone completes the review of the information, a number of working sessions can help to share the information already found and start the process of getting closer to an insight. The actual insight development exercise will take place in another meeting once all available information has been assessed and any information gaps filled.

#4. Walk in your customers’ shoes

I am always disappointed that social media has further encouraged marketers to stay behind their desks instead of getting out and meeting their customers. Is this the case in your own organisation? Although you can certainly learn a lot about your customers’ opinions and needs online, it is only when you take their place that you get the chance to really see things from their perspective (>>Tweet this<<).

Walking in your customers’ shoes can be done in numerous ways and will depend upon the issue or opportunity you have identified, as well as the underst anding you have gained from reviewing all the information you have gathered. You could for instance:

  • go out shopping and purchase item as one of your target customers. This will help you underst and the decision making process of your target customers.
  • compare competitive offers online for a service you propose. Is your website as user-friendly as your competitors’? Have you thought of all the important elements you need to include?
  • call up the customer service departments of a number of your competitors and ask questions about their br and’s uses, reliability etc. Do your own staff provide the same information? Are they as knowledgeable, credible, empathetic?
  • role play your target customer in using your product and identify opportunities to improve for instance its packaging. If your product is used by mothers of toddlers, is it easy to open with one h and? If your product is used in certain dem anding surroundings, such as outdoors, in the car, in the country, at night, is it easy to open and consume in such situations?

Whilst walking in your customers’ shoes, you should be extremely sensitive to any pain points you uncover in considering, evaluating, shopping and using your br and. If you are looking to define a completely new offer, then it is the pain points of your competitors’ offers that you also need to consider. Taking your customers perspective, rather than just observing them, can provide a wealth of information you might not get in any other way.

#5. Fill the gaps

Having gathered as much information and knowledge about your customer as you can, including walking in their shoes, it is important to turn it all into underst anding. This also enables you to identify any information gaps there may be. Never do any market research until you have first identified all the information that is already available on the topic under review (>>Tweet this<<). These gaps can be filled by running a market research project or by acquiring the required information from other sources.

Before continuing with insight development, these new findings need to be summarised and integrated into the knowledge and information already reviewed. If the objectives of the project have been well defined, this should be relatively easy to do, as you had already clearly identified the need.

#6. Develop the insight

At this stage, you will certainly have a better underst anding of your customer in relation to the identified issue or opportunity than you have ever had before. Insight development needs input from every member of the multidisciplinary team (>>Tweet this<<), which can take anything from a few hours to several days. Don’t hurry this process; we are often too keen to get to the action and accept to work with something that is not a true insight.

You will know when you have an insight. When you summarise it in one (or maximum two) sentences phrased as if it were being spoken by your customer, it creates what is known as an “ah-ha” moment. This is when everyone sees it is obvious and wonders why no-one ever thought of it before! I am sure you will agree with me that it is a wonderfully rewarding feeling when you get there.

 

These are the six essential steps to developing true insight, but the most important step of all is still to come, that of actioning them. This is where the multi-disciplinary team really comes into its own. As all the team have agreed on the objectives and the insight, it is extremely easy for them to define the next steps that need to be taken. It also means that all areas of the organisation will work together to take the appropriate actions, rather than just the marketing department which may otherwise happen.

From my experience actioning insights is only a problem when not enough time has been spent at the beginning of the whole process, in underst anding the change in your customers that you are looking to encourage. If you have trouble with this part of the process, then I would suggest reviewing the completeness of the definition of your objectives.

What areas of insight development do you find the most challenging? Do you have any questions about generating or improving your own insight development process? If so, then please add a comment or question below. I would be happy to answer them for you.

For more information on insight development, please check out our website at: https://www.c3centricity.com/home/underst and/ as well as available trainings at: https://www.c3centricity.com/training- and-evaluation/

C³Centricity used images from Dreamstime and Kozzi in this post.

Award Winning Communications are Powered by Insight & Customer Understanding

This time last month, many marketing and communications professionals had just returned from Cannes, France, where they had attended the annual Lions Awards Festival. They are now back in their offices and have probably been comparing their own communications to this year’s winners and wondering what they can do to get one of these coveted prizes in the near future.

For the rest of us, we are also looking at the winners, but more for gathering learnings on how to make our own communications more creative and impactful, without any ambition of winning a Lions one day.

That is why I decided to review a selection of the anding/worlds-17-best-print-campaigns-2013-14-158466″ target=”_blank”>Press Lions Category  and analyse how they might appeal to their target customers. I found three dominant themes running through all the prize-winners, some of which even incorporated several of them in one single campaign. If you’d like to see all the winning ads from these campaigns they can be found in the AdWeek article linked above.

1. Simple & clear messaging

We are all in a hurry these days; we have far too much to do and so we no longer read with as much attention as we did in the past. Today we just skim headlines and articles, and quickly decide whether they’re worth digging into in more detail or whether to pass over to the next one. It is therefore essential that ads communicate their message in a way that is quick to read, underst and and capture. Examples of this from amongst the print winners:

Harvey Nichols – Gr and Prix Campaign

Harvey Nicols insight built communicationsThese are clean, simple ads showing nicely packaged but cheap seasonal gifts, because you decided to  #SpendItOnYourself, as the campaign is entitled. The eye is naturally drawn to the simple red words, since the articles themselves are white on a white background. The reader gets the message and immediately thinks whether they too could give such items, but then also reflect on why they don’t spend (more) on treating themselves. This feel-good reaction makes for good recall of the campaign as well as the positive image transfer to Harvey Nichols.

Zwilling J. A. Henckels – Gold Lion Campaign

Zwilling insight built communicationsRather than saying how sharp these high-end knives are, this is illustrated by the incredibly thin slices of different foods shown in the campaign. The thin slices are then overlapped to show the shape of the blade and the text below is kept in the form of the h andle. The artful design of the whole ad further complements the idea that these are special – definitely not cheap – knives, for connaisseurs only.

 

2. Emotional resonance

The UK was one of the first countries to use shock tactics in their road safety and other public service campaigns. Stimulating people’s emotions is guaranteed to get ads noticed and remembered, but it doesn’t all have to be negative.  Examples from amongst the winners:

Shanghai General Motors / Buick – Gold Lion Campaign

Buick ads built with insightThese ads show real people who have been injured in road accidents, holding up the signs that the drivers that hit them had ignored. The tagline “Signs are there for a reason” is clear and simple, and the images of the injured people emotionally impactful. The reader immediately thinks about occasions when they too have driven recklessly, but were lucky enough not to have injured anyone. The impact of the visuals remains long after the reader has turned the page.

Volkswagen – Gold Lion Campaign

Volkswagen communications built on insightA completely different and definitely light-hearted approach to travel is taken by Volkswagen in this winning campaign. They show how getting from one place to another can be fun in these playful, product-free ads. The visuals appeal as the viewer takes the extra few seconds to underst and it and then takes away the message that driving a Polo GTI is fun too.

 

3. Confirming intellectual superiority

In today’s overcrowded urban areas, people look for ways to differentiate and prove themselves, whether physically or intellectually. This is one of the reasons that gaming has become so popular in all age groups. Finding the hidden signs in an image or underst anding a play on words in an ad can increase the engagement, provided of course that they are neither too difficult nor too easy to solve. Examples from amongst the print winners:

Jeep – Gold Lion Campaign

Jeep communications built on insightsThis campaign includes ads that are both a play on words and images, doubly clever. Jeep shows images of animals which, when inverted became different animals or birds. The tag line “See whatever you want to see” refers to both this as well as to the advantage of the Jeep to place the driver higher up, with better visibility.

Penguin Group China – Gold Lion Campaign

Penguin communications built on insightAt first you might find these Penguin ads rather crowded and confusing, and therefore you don’t immediately “get” the joke – I admit it took me a few seconds!. But look carefully and you will see penguins holding microphone booms in otherwise classical illustrations of well-known literature. The ads are for Penguin’s new audiobooks and are a clever and amusing way to communicate the novelty.

To sum up my findings from this quick analysis, the winners have three points in common:

      • Their messages are clear and simple to underst and
      • They connect emotionally with their audience
      • They offer the viewer something in return for their looking at it

All these ads clearly demonstrate that working with customer underst anding and insight increases the likelihood that your communications will resonate with your target customers. Now we need to wait until next year to see how well these ads perform in impacting the sales and images of the br ands. Which of these will be the real winners of Cannes? I would love to hear what you think.

If you would like in improving your own communications, or in underst anding and engaging with your customers, whether using traditional or new media, then why not give us a call? Let us catalyze your own communications with some of our unique tools; contact us here.

C³Centricity uses images from Forbes  and AdWeek in this post.

How Well do you Know your Customers? Can you Answer these 12 Questions?

How well do you know your target customers? I mean really know them? Are they men, women, young, old, Fortune 100 companies, local businesses? If you can at least answer that, then you have the basics, but how much more could you know about them? Can you answer the following twelve questions?

I was recently working with a local service company who was looking for help with their online presence. They were keen to get more active on social media and had asked for advice about the best platforms, optimal frequency of publishing and possible content ideas.

C3Centricity how well you know your customers

However they were in for a surprise. Rather than getting straight onto the “sexy” topic of social media, I started by taking them through the basics of target customer identification. Lucky for them that I did! When we had finished the exercise, we had found five different targets for them to target, rather than the mere two they had been addressing until now. This clearly would have a huge impact on the where, what and how they communicated online.

These are the twelve questions that enabled us to brainstorm, identify and then complete a better and more complete description of their target customers. Their use also resulted in clear differentiated segments for their services – three more than they had originally thought!

How would you like to double your own market potential? Read on:

  1. WHO DEMOGRAPHICS: OK this is usually a “no-brainer” and is how most organisations describe their customers. Not really original and definitely not competitive, but still the essential foundation.
  2. WHAT THEY USE: Whether you are offering a product or service, you need to know what your customers are using today. And not only for your category, but in adjacent categories too. What do they use – if anything – if your product / category is not available?
  3. WHAT THEY CONSUME: Here we need to underst and what types of information and media they are consuming; what do they read, watch, listen to in their spare time. Which social media do they use, what websites do they consult on a regular basis?
  4. WHAT THEY DO: How do your customers spend their time? What type of lifestyle do they have? What are their hobbies? What do they do all day, and in the evening and at weekends?
  5. WHAT THEY BUY: This is where you describe their current category purchasing habits. How frequently and what quantity do they buy? Do they have regular buying habits? Do they do research before buying or repurchasing? Do they compare and if so how, where, why?
  6. WHERE THEY USE: Is the category consumed in home, in work, on vacation? With friends, with their partner, their children, with colleagues? Are there certain surroundings more conducive to consumption? What makes it so?
  7. WHERE THEY BUY: Do your target customers have certain places and times they buy? Is it an habitual or impulse purchase? Is it seasonal?
  8. WHERE THEY CONSUME: Today “consume” covers not just traditional media but new media as well. From where do they get information about products? From manufacturers, friends, family, colleagues? Do they access it online, in print, on radio or TV, at home or on the road? What websites and people do they follow, listen to and value the opinion of? What interests do they have in general and concerning the category?
  9. WHERE THEY SEE: One reason to target a specific group of customers is so that you can better communicate with them. Where are they most likely to be open to your messages; what media, what times, which days?
  10. WHY VALUES: What values do your customers have that you are meeting with your product or service, and explain why they are using it? Do they have other values that are not currently addressed, either by you or your competitors? Do these values offer the possibility of a differentiated communications platform or product / service concept?
  11. WHY EMOTIONS: What is the emotional state of your customers when they are considering a purchase or use, both of the category and the br and? Clearly identified emotions enable you to more easily resonate with your customers through empathising with their current situation. You are more likely to propose a solution that will satisfy their need or desire when their emotional state is precisely identified.
  12. WHY MOTIVATIONS: What motivates the customer to consider, buy and use their category and br and choice? Emotions and motivations are closely linked both to each other and to the customer’s need state. By identifying the need-state you want to address, you will be better able to underst and your customers and increase the resonance of your communications.

If you can answer all twelve of these questions in detail, then you certainly know your customers intimately. But before you sit back and relax on your laurels, remember that people are constantly changing and what satisfies them today, is unlikely to satisfy them tomorrow. Therefore you need to keep a track on all four layers of your customer description to stay ahead of competition, as well as to satisfy and hopefully delight your customers.

As mentioned above, by answering and completing a detailed description of the target audience for my client, we were able to identify a couple of new segments that my client’s services could address. Although their demographics were similar, their emotional and need states were quite different. This gave us the opportunity to respond with slightly different service offers for each group.

If you would like to try out this exercise for yourself, we have some useful templates that we make available to C³C Members. Why not sign up and get access? It’s FREE to join.

For more information on better identifying and understanding target customers, please check out our website: https://www.c3centricity.com/

C³Centricity used images from Dreamstime and Microsoft in this post.

This post has been adapted from one which first appeared on C³Centricity in April 2013.

Which of these 10 Customer Centricity Steps are you Missing?

Last Saturday was the start of Summer in the Northern hemisphere and the weather certainly confirms this, at least for now! Summer is a great time to reflect on the progress we have made to date on our journey to Customer Centricity.

Organisations need to take a step back occasionally and review how their plans are going. What changes do they need to make to ensure they meet their objectives over the remaining six months of the year? So here are my ten ways to tell if you are well on your way to becoming truly customer centric – and what actions you can take to get further along your journey.

#1. Identify the category in which you are competing

This may sound strange to you, but many br ands are not competing in the category in which they first thought they were. Think soup which is now a meal replacement, or laptops which are now entertainment platforms.

Action: Review how your product or service fits into the customers’ daily life and how they compare and decide between options. This will help you identify your real competitors and the actual category in which you are competing.

#2. Underst and your primary target

Knowing precisely who the customer is for each of your br ands is the first essential step to satisfying them. Use the BCG Matrix to help select the best group. Do you already work with this matrix, or do you have a better system? Please share your own best practice below, so I can learn.

Boston Matrix for improved customer centricity  and segmentation evaluationAction: Review the target audience for each of your br ands and ensure you have information on their “4Ws”. In other words the Who, What, Where and Why: demographics, purchase, usage, media use, places of purchase, consumption, connections to communications, their values, usage motivations and emotions when doing so. If you would like to learn more about targeting, check out this post.

#3. Watch and listen to your customers

Personal experience of your customers is essential to putting them at the heart of your business.

Action: Ensure everyone has regular – ideally monthly – contact with the customer. This can be by listening in at the call centre, watching market research interviews & discussions, or observing customers as they shop and use your product / service.

#4. Know what current trends could mean for your business

Many organisations follow trends, but they don’t provide any competitive advantage. It’s time you started turning them into future scenarios or use future prototyping. (Contact us here to learn more about this)

Action: Identify the most relevant trends for your br and and then project them into the future to develop two axes of uncertainty and four plausible future worlds. These will help prepare the business for future opportunities and challenges. Alternatively, why not try Sci-Fi Future Prototyping? (Contact us here for more information)

#5. Reinvent your innovation

Most organisations innovate based upon their current knowledge or technical skills. This keeps them boxed into a narrow b and of categories.

Action: Take your NPD thinking outside its box, by making use of all relevant innovation levers, including, but not limited to, packaging, channels, sourcing, communications, br anding, services. Check last week’s post for more details about innovation.

#6. Follow your image

It is amazing how many companies don’t follow their br and images on a regular basis. Image trends are a great way to be alerted to possible sales issues before they appear in the numbers.

Action: Identify the major image attributes of both your own and competitor br ands, and measure them regularly (annually for fast moving categories, every two to three years for slower moving ones).

#7. Turn your information into insight

Whilst information and knowledge are essential to gather, it is only when they are turned into underst anding and insight that they become truly customer centric.

Action: Review your insight development process and ensure decisions about customer satisfaction are based on them and not just on information. Insights ensure your communications resonate with your customers and your product / service delights and sometime surprises them.

#8. Share your information and insights

Companies spend a lot of money gathering data and information about the market and customers. However, in most cases they spend far too much money, because the information that is needed is actually already available somewhere in the company.

Action: Review your organisation’s information needs and negotiate contracts and access company-wide rather than by department. Make your information and insights available to everyone in the company through a library or database with appropriately managed access rights.

#9. Evaluate your progress

As the infamous quote from Peter Drucker says:

“What gets measured gets managed” (>>Tweet this<<)

Besides br and image, are you following other KPIs to measure your progress on your journey to customer centricity?

Action: Identify the three to five most important areas you want to improve and then measure them consistently. If the numbers aren’t trending up, act – see #10. below. The actual metrics you follow will depend upon your industry, but may include market comparison (shares), availability (distribution or out-of-stock) communications impact, competitivity, value.

#10. Plan for action

Once you have identified the KPIs to follow, you need to take action to improve those that are trending downwards and perhaps also those which are stable.

Action: Since your KPIs are the most important metrics for your business, plan actions as soon as their trend changes and don’t wait for them to start declining. Once they are, it will be much more difficult to reverse.

These ten steps should ensure your organisation remains focussed on the customer and doesn’t get lost in the day-to-day issues of the business. After all, as I have been quoted many times for saying:

“There may be customers without br ands, but there are no br ands without customers”  (>>Tweet this<<)

Think about it; do you have the right priorities? How do you know? Have I missed an essential step off of my list above? If so, let me know. Please also share which of your actions towards customer centricity you are struggling with the most. Together we’ll find a solution.

If you would like to know how customer centric your organisation really is, then why not complete the C³C Evaluator? Check it out on our website: https://www.c3centricity.com/C3Cmembers

Need help on your journey to customer centricity? Let us help you catalyze your business; contact us here.

C³Centricity uses images from Dreamstime.com and Kozzi.com

This post is based on one that was first published on C³Centricity in July 2013

Try a New Perspective on Business Intelligence: How to get More Impact & Answers

Last week I presented at the first Swiss Business Intelligence Day. It was an inspiring conference to attend, with world-class keynote speakers opening the day. They included Professor Stephane Garelli from IMD, Philippe Nieuwbourg from Decideo  and Hans Hultgren from Genesee Academy.

After such an illustrious start, you can imagine that I was more than a little nervous to present my very non-IT perspective of business intelligence. However, the presentation did seem to go down well, so I want to share with you some of the ideas I talked about. Not surprisingly, with my passion for customer centricity and always with the end-user in mind, I took quite a different perspective from that of the majority of IT experts who were present.

BI should Collaborate More

With the explosion of data sources and the continuous flow of information into a company, managing data will become a priority for everyone.

statistic id forecast big data marketThe Big Data market, which more than doubled last two years, is forecast to triple in the next four, according to Statista. BI will have to exp and its perspective, work with more varied sources of information and exp and its client base.

In the past BI was inward looking. It ran data-mining exercises, reviewed corporate performance, developed reports and occasionally dashboards. It was, and still is in many organisations, mostly concerned with operational efficiencies, cost-cutting and benchmarking.

How business intelligence fits into the data world of businessThe above plot is my own, simplified view of how BI fits into data management within most organisations today. The other three quadrants are:

  • Competitive intelligence (CI) uses external competitor knowledge to support internal decision-making. Although BI is sometimes considered to be synonymous with CI because they both support decision-making, there are differences. BI uses technologies, processes, and applications to analyze mostly internal, structured data. CI gathers, analyzes and disseminates information with a topical focus on company competitors.
  • Investor Relations (IR) uses internal data to get external people, such as shareholders, the media or the government, to support and protect the company and its views.
  • Market Research (MR) on the other h and is mostly outward looking. It studies customers’ behaviours & attitudes, measures images & satisfaction, and tries to underst and feelings & opinions. That information is then used, primarily by marketing, to develop actions and communications for these same customers.

The four quadrants, even today, usually work in isolation, but that will have to change with this new data-rich environment in which we are working.

BI is Ripe for Change

 

According to a recent (Jan 2014) Forbes article, BI is at a tipping point. It will need to work in new ways because:

  • it will be using both structured and unstructured data
  • there will be a consolidation of suppliers
  • the internet of things will send more and more information between both products and companies.
  • thanks to technology, data scientists will spend more time on information management & less time on data preparation. At present it is estimated that they spend 80% of their time on data cleaning, integration and transformation, and only 20% on its analysis!

Google glass provides access to business intelligence

In February GigaOM echoed these thoughts, claiming that we are not in BI 2.0 but rather 4.0. They said the volume of data and the number of people now exposed to it, makes data availability to everyone essential. No longer does BI involve only the CEO and IT specialists, it concerns everybody.

Google glass provides access to business intelligence
Google glass, as tested by Virgin
, is a good example of this. It delivers real-time, on time and relevant information to Virgin’s hosts and hostesses, to meet, greet and advise its passengers. Their customer support team can accompany their VIP guests and warn them of delays and gate changes as they happen. Google Glass enables them to get out from behind their desks and interact more with the guests they are trying to please.

BI must Deliver More Synthesised Knowledge

According to a recent Business Intelligence report on management’s opinion of their data, they are currently frustrated. They say that it comes from many disparate sources and is rarely if ever available in real-time. They can’t easily access it without the help of IT and it takes too long to customise it to what they need. What is particularly interesting in the findings, is that management were not saying that they don’t need information; in fact it actually looks as if they want to have access to more data. BUT more of it in a way that makes it easy to find what they want, when they want it.

Another finding from the survey shows executives’ thoughts about data delivery. Currently they are getting their information primarily through emails and spreadsheets. I find this shocking that today we still expect management to take the time to wade through all the data in order to draw their own conclusions. Less than one in eight of the C-suite is getting dashboards, which is their preferred medium (>>Tweet this<<). They also want mobile delivery so that they can access information on the go.

This study provides us with a simple plan to satisfy their needs and to help us meet our own challenges of data abundance. This is what we should prioritize, since we can no longer continue to do what we’ve always done in the same way we’ve always done it. The BI priorities are as simple as ABC; accessibility, business impact and consistency (>>Tweet this<<).

BI needs to Provide Simplified Access

Information should be provided where and when it is needed and in such a way as to have most impact on the business. This means making it easy to review, and quick and simple to draw conclusions. This is why the number one dem and from business is dashboards.

Dashboards have the advantage of imposing consistency (>>Tweet this<<) so no time is lost in underst anding what the information is showing. With the availability of more information, comes the challenge to make it available to more people. And more people will also mean more and different needs.

Business Intelligence data warehouses are like a tree of knowledgeTo underst and the accessibility challenge I find the tree is a great metaphor for what we struggle to achieve. The roots can be compared to all the different sources of information we have at our disposal. The trunk is like all the integrated information that is reported in dashboards and the branches, twigs and leaves are the different data warehouses we create.

Whilst a one-page overview is sufficient for management, others will need greater granularity. Therefore we need to make information available at different levels of detail. My experience suggests three types of information sharing.

  • The leaves are like data warehouses where the raw or nearly raw data sits
  • The twigs are the information repositories where analysed data and information resides
  • And the branches are the knowledge libraries where the integrated actionable insights sit

What I have learned from setting up numerous data warehouses, information repositories and knowledge libraries, is that it is not easy. Not because of any technical complexity, but because of winning the needed  internal support for the project and getting the essential acceptance for global access to the information. It takes more than technology, it takes a culture change in many cases too, and this is the real challenge. Stopping the “information is power” mentality means finding ways to counter the opposition who claim  confidentiality of their own data whilst also requesting access to everyone else’s. In addition, even if people need information, they will generally not make the effort to go looking for it, if there is an easier way, such as by asking someone else! All these issues need to be resolved for an integrated database project to succeed.

Business Impact

One way to encourage the culture change mentioned earlier, is to demonstrate the business impact of what you are providing. The desired impact won’t come by delivering spreadsheets, it will come from dashboards (>>Tweet this<<).

So how do you summarise a company in a one-page dashboard, especially those which are present in multiple categories, globally? Well, often the simplest way is not to try to cover the total business, but rather the top categories and markets that would cover 70% – 80% of total sales. In most cases this would be sufficient to underst and the main priorities for management.

Of course at category level each business unit should be able to get access to more detailed information, as should the regional presidents, if you are working in such a complex business environment.

The real power of dashboard information will come from data integration, where both internal and external information are synthesised, for a holistic view of the business. I have worked on several projects that combined internal information with consumer data for a complete business report. The consumer information came from promotions, call centres and CRM activities, and was combined with market research on product and communications performance, to provide a solid base of consumer underst anding. This can then be presented alongside the more usual financial information that executives are already receiving. Having a complete overview of the business has far more impact than individual, silo’d summaries and enables management to make decisions more quickly and easily.

Increase Consistency

Another challenge when setting up and integrating databases, is in the harmonisation of their master data. When you are working with consumer data, this challenge can be multiplied by ten if not one hundred. For example, consumers will talk about a pizza, without specifying the br and, sub-br and, variant, flavour, packaging and size that would be used by the business to define it. So you have to find a way to translate what the consumer is saying, into the products as recorded internally.

The consistency of the master data will even increase in importance and complexity, with the expansion in available data sources. In addition, the fact that more people will get involved, will confound things even more, since their needs will differ.

Asking Better Questions of the Data

Accessibility, business impact and consistency are vital to the success of the new BI’s data management and usage, but I feel the urge to add one more thing. That of asking the right questions of the data. Although BI is used to asking questions, I think Market Research (MR) are the real experts in questioning. Therefore they should be involved in ensuring integrated databases are combined in such a way as to permit easy extraction of whatever level of information is required, or whatever perspective might be taken.

For example, BI is used to running forecasts. Those usually start from a review of past data and current reality to develop forecasts based on complex algorithms. They will do this within their teams with perhaps input from finance. MR on the other h and, is more likely to work from societal trends and develop plausible future scenarios, brainstorming across the organisation to gather a wide array of perspectives. Both perspectives are complementary and combined, they make a powerfully readied organisation.

Making more data more accessible to more people will certainly help this question development, as I think getting the right answers depends upon asking the right question, don’t you?

These were just a few of the ideas I shared at the Swiss BI Day in Geneva. How do you see business intelligence adapting and changing as a result of the increased information availability happening today?

C³Centricity used images and graphs from Statista, Microsoft and Virgin in this post.

Marketing Information Lost in Translation: How to Save yourself & Rise above the Competition

A recent report I came across this week shows that 76% of marketers do not use behavioral information in either segmentation analysis or targeting. They have the data, they’re just not taking advantage of it to better identify and then satisfy their consumers. This shocked me, so I went looking for more information to clarify the situation. 

The study was conducted in late 2013 by Razorfish and Adobe amongst marketing and technology executives in the US, Canada, Germany, France and the UK. According to Pete Stein, CEO of Razorfish, the two main reasons for this lack of usage are firstly that today’s marketers are driving consumer segmentation with outdated technology, processes and tools, and secondly that there is an exponential growth in the availability of behavioral data.

In another study called “From Stretched to Strengthened” IBM reports that 71% of CMOs feel unprepared to h andle today’s “data explosion”. A third study, Domo‘s “2013 Data-driven marketing survey” found that two-thirds of marketers feel unable to h andle the volume of marketing data that’s available for analysis without feeling overwhelmed, and  concluded that there were five reasons why this is the case:

  • 69% don’t have the time to analyse it
  • 66% can’t see it integrated
  • 44% don’t have the time to collect it
  • 40% don’t have access across devices
  • 40% can’t see it in real time

These statistics suggest some interesting, no vital, changes that business intelligence / planning / market research / insight (BI) departments should make to address these needs of marketers. Once made, they would increase their perceived value and recognition, as well as that of the marketing department as well. Now that can’t be bad can it?

Here are my thoughts on each of them:

No time to analyse the data

I personally believe that if the support function (BI) was doing its job properly, marketing wouldn’t have to analyse the data. In fact I don’t think it is, nor should it be, their responsibility. Of course, this does mean that BI should be attributed with the appropriate levels of resources in both time and personnel to run the analyses and generate actionable insights.

Studies conducted every couple of years by the market research arm of the Corporate Executive Board (MREB), consistently show that world-class businesses have BI departments that have progressed from methodological experts to insight consultants, and then to knowledge synthesizers. Therefore unless you allow your team to develop in this direction, the onus for analysis will remain a challenge.

Can’t see the data integrated

Even before Big Data became a buzz word, companies have struggled to break down the internal silos of information ownership. The ever-increasing flow of data into organisations has just made the matter worse, so that it can no longer be ignored. Information integration may dem and a significant investment in both time and money, but the rewards are huge.

For example, from my own experience with clients, I have witnessed a grocery retailer increase sales by 15% whilst decreasing its promotional & discount allowances by 13%. This was achieved by simply making better use of the information they already had, and enabled them to make more relevant suggestions and offers to their customers. Airlines too are realising increased buy-in of their vacation and flight promotions, through more timely and relevant mailings to precisely segmented customer groups. That was only possible because they integrated the information from their different departments.

Don’t have time to collect the data

For me the problem is actually no longer simply not having the time to collect the data, but a rather subtle adaptation of our expectations to near real-time data availability today. We have all become less patient and this as true for the CEO, as it is for the CMO and on downwards.

Marketing must become more agile and flexible to be able to react to the latest data and adjust their actions and communications accordingly. Why continue to reward retailers with promotional pricing for items that are not flying off their shelves? The money could be better spent elsewhere, whether at a different retailer more aligned to the targeted segment, or even to another type of action.

Don’t have access across devices

Tablets set to outsell PCs in 2015It amazes me that so many people are still struggling to acknowledge that the PC is rapidly losing out to tablets. In fact, according to the International Data Corp. tablets will outsell PCs within the next year or so. IDC also says that while global smartphone sales in 2013 were up by 39% over 2012, they’re expected to grow by only around 19% this year.

However, as more smartphones get connected to cars as presented at the recent Geneva Car Show, marketers will be expecting to review their latest audience data or sales during their drive into work. It therefore makes sense to enable cross-device accessibility.

As an aside, I hope marketers also underst and what this trend means to their communication plans and how they connect with and engage their consumers.

Can’t see data in real time

With the never-ending flow of information into organisations it makes sense that marketers dem and to be able to look at the latest data in real time. Retail or audience data that is a month or even a few weeks out of date is of little use in this fast-paced world in which we live. Marketers will also expect market research to provide direct access to consumers and become less and less patient of studies that take weeks if not months to complete.

My conclusion from all of this is that the C-Suite needs to invest even more in data management for marketers and not only for the financial results to which they have become accustomed. They should not dem and the ROI of marketing without empowering marketers to be able to analyse the data available to them. What do you think?

C³Centricity used images from Microsoft and Mashable in this post.

Does your Organisation Really Need a Market Research Department? And in the Future?

There’s been a lot of talk recently about New Marketing; how communication is now all about engagement, how the consumer is boss and such like. But there has been very little said about New Market Research, perhaps because there isn’t any! If you’re concerned by this situation, whether you work in marketing, market research or a completely different area, then read on for some thoughts on how this situation can and must change.

Earlier this year I wrote about the future of market research / insight departments and what researchers need to do within their organisation to improve their image and perceived value. This week I want to take a wider look at the profession in general. 

Current Perception of Market Research

According to  Wikipedia, Marketing is “The process of communicating the value of a product or service to customers, for the purpose of selling the product or service. It is a critical business function for attracting customers” The definition of  Market Research is “Any organized effort to gather information about markets or customers. It is a very important component of business strategy”.

What is interesting in comparing these two definitions is the difference in appreciation of the value to business of the two. Marketing is said to be a “critical function”, whereas Market Research is said to be “very important”. Perhaps this is why Market Research Departments continue to be hammered, their budgets are constantly under pressure and their value to the business is questioned.

Well, things are about to change, or at least there is an opportunity for this, if researchers take up the incredible chance offered to them in today’s world of information (over?) abundance. You can’t continue to do the same old same old when marketing, and more importantly the consumer, is clearly on the move.

 

What Business gets from Market Research

I think that one of the biggest problems that Market Research has (continues to have) is that Marketing and Management in general, find it too complex. What is often delivered from market research, BY researchers,  tends to be numbers and findings, not underst anding, insight and recommendations.

We no longer need market research to share the numbers and information today. More and more often, these are coming automatically into companies from an ever-growing number of sources, and a lot of it is even in real-time, something market research results never were! Think sensors on products, GPS on smart phones, retail purchases with debit / credit / loyalty cards, social media interactions …. DataShaka recently wrote in their The Lab an interesting perspective on data management and information sources which you might want to check out.

That’s a lot of data; indeed Aaron Zornes, chief research officer of The MDM Institute, was recently quoted in Information Management as saying that “a typical large company with (has) 14,000 or so databases on average”. And most of that data will be just sitting around in IT storage systems, rarely reviewed and even less likely to be integrated for meaningful knowledge development. It needs analysts and who better to interpret the meaning of all this data than market research?

What Market Research could Offer Business

 

What an incredible opportunity! The question is whether the market research profession is ready to take it up; whether researchers are ready to move from data gatherers (alone!) to interpreters and storytellers. Signs of the urgency for this change are everywhere. In a recent report by BusinessIntelligence.com (you can download the full report there), one of the conclusions drawn was that CEO’s are not getting what they need (from Big Data). Instead of Dashboards, they were more likely to be getting emails and spread sheets!

The market research profession took a small step to reinventing itself with the introduction of insight development, but this is still well within their comfort zone, and still not being done as effectively and consistently as it should. Today, market research / insight departments are being asked to make a much bigger leap into the realms of unknown territory, even for those already comfortable working with BigData.

The Questions you Need to Answer

In conclusion, here is what I believe all market research suppliers, agency and client-side researchers should be asking themselves today:

  1. Am I ready to move from data gatherer and sharer, to synthesizer and interpreter?
  2. Could I agree to the information I will be required to analyse NOT coming from statistically validated, representative samples of clearly identified populations?
  3. Will I accept that I have little control over the data sources I do use and even less over the information that is streaming into the organisation for all to see?
  4. Am I willing to shift from sending emails and spreadsheets, or presenting graphs and data, to speaking about how the world and consumers are changing?
  5. Would I happily move from sharing descriptions of data and knowledge to telling stories built from it?
  6. Can I get comfortable speaking about maybe just one or two consumers rather than about large(ish) groups of them?
  7. Am I capable of accepting that true insight development doesn’t come from one study or database, but from information integration of multiple sources?
  8. Am I ready to give up the name of my profession as market researcher?

If you can’t answer YES to all of these questions, then I believe you should consider changing jobs, before you find yourself redundant and replaced by the information analytic, machine-learning “robots” of the future.

What do you think? Is it already too late for market research? Can the profession reinvent itself? ESOMAR, which claims to be “The essential organisation for encouraging, advancing and elevating market research worldwide” has been asking a lot of the right questions about the future of the profession recently, but it is up to researchers everywhere to make the change happen. Are you going to join the lead now, or follow reluctantly when your own management questions whether they really need a department that clings to the old ways of collecting and analysing information?

Let me know how you feel about your own market research position, whether you are a member of a supplier or client-side organisation. Are there other challenges or opportunities I forgot to mention? What name would you give to your future profession?

Need help in updating and reinventing your own market research department and responsibilities? Let us help you catalyse your customer centricity; contact us here

C³Centricity uses images from  Dreamstime.com  and  Kozzi.com

Increasing your Information ROI: Turning Knowledge into Gold

We all gather information about our customers. What do we do with it? We (hopefully) use it to inform our decisions and then it gets filed away. In some cases this is vertical (i.e. thrown away) but usually it is horizontal, to gather dust on a shelf somewhere that is soon forgotten. I think it’s time we changed this and turned our information investments into gold!

There are many, many ways to gather information about the customer: observation, listening, market research and external reports. I recently wrote about all the information on our customer that we should have at our disposition in a post called “12 Things you need to know about your target customers”. We need a lot of information to really know and underst and our customer and it clearly will not come from one single market research project or report. Therefore that knowledge must be built up over time and that is where the problem lies.

Often we forget we already have the information and go out and buy it again. This is particularly common when the marketing department changes its lead or members – which seems to be every year or two in many organisations these days! Everyone thinks they need more information, when they actually most likely need more insight. (I have written several posts on insight development, including “ Are you into insights or information?”) Therefore I thought it would be a good idea to share some ideas on resolving this situation, so that your hard-fought budget gets spent on gathering information that you don’t have available and really do need.

#1. Review what you’ve got

Data, information and knowledge are only useful if they are analysed and converted into underst anding and insight. In today’s data-rich environment, this is often where companies struggle the most. Next time you need information about your customer, start by reviewing the information and knowledge you already have, and also ask other departments who may need similar information, if they have it, before commissioning further research or report purchases.

#2. Share what you’ve got

One of the reasons companies spend money on gathering information that is already available internally, is because they don’t know it is! To help reduce this overspend, which unfortunately most suppliers will not inform you of, you need to make sure that everyone who might need the information is made aware of it and has access to it.

For one of my clients, we discovered that some external reports were being bought separately more than 20 times within the organisation! As if that wasn’t bad enough, several different departments were also buying access to the same databases, and others were doing almost identical pieces of market research at approximately the same time.

To avoid this:

  • make a review of information needs across the organisation, or across the region or globe if yours is an international business
  • make one person responsible for negotiating company-wide deals with suppliers; the savings made may even cover the cost of this position and is therefore well worth the investment
  • share plans for market research projects across businesses and look for opportunities to combine for further cost savings

#3. Store what you’ve got

Despite all the actions specified in #2. above, you may still find that there are times when unplanned information needs crop up. This is where a knowledge database or library becomes effective. It can be as simple as a folder on a shared drive or as complex as a bespoke platform, or anything in between. What is important is that is meets the needs of those looking for information and that all relevant people have easy access to it.

Whichever size of storage you decide on, I suggest first making an audit of information needs. This should cover both what is available, as well as what is needed and why. However be careful to distinguish between what people would like to have and what they actually need; I have found a wide difference between the two in many cases.

#4. Build your Library

Once you have identified the real needs of your organisation, it is time to build your Library. And don’t think once you have built it that people will immediately start to use it! They need to be encouraged to share their knowledge. In my experience, this can sometimes be met with concerns about the confidentiality of the information stored:

“I would love to see what everyone else has gathered, but of course my information is confidential and can’t be shared”

One possible solution to this is to provide right of use only to those who share their knowledge and information, ideally at similar levels to their access.  “Greedy outliers” who take more than they give should then be easy to identify.

Another issue that can crop up with open sharing is management’s worry about leaking information to the competition, especially when employees leave the company. Although this is often an exaggerated risk, in most cases this can be significantly reduced by controlling information download. If certain projects, especially new product development, are considered to be too high a risk to share, then these can have a confidential “as needs” basis rule, or a time limit set on them before being made public.

#5. Mine the gold

The real gold from information sharing comes quickly once it starts to be a reality. Even for smaller knowledge libraries, I have found that within six months the available information starts to replace planned research projects or report purchases.

Once the Library is up and running, the next step is to start sharing your insights too. As mentioned in “ Five ideas to improve your insight development” insights can often be used across more categories than the one for which it was developed. In the post I share a couple of examples of them:

  • INSIGHT: Parents want to protect their children so that they grow up happy and healthy used by:
    • Unilever's OmoUnilever’s Omo and its “Dirt is Good”; see one of their ads on YouTube here
    • Nestle Nido logoNestlé’s Nido; check out one of their ads here. Interestingly Nestlé has also used this same insight for its bottled water in Asia and pet food in the Americas.

 

  • INSIGHT: Young women want to be appreciated for who they really are i.e. not models used by
    • Unilever Dove logoUnilever’s Dove was the first br and to recognise and benefit from this insight with their infamous Real Beauty campaign; see one of their more recent ads here
    • Migros IamThe Swiss Supermarket chain Migros has a store toiletries br and “I am” which uses the same insight across all their health and beauty products, even using it for the br and name itself and advertising copy: “ I am – what I am“.

The power of information sharing goes a long way to increasing the return on information investments. Reviewing what you’ve already got, sharing and making it accessible to all, and then developing a library platform will all help increase its use whilst at the same time reducing the costs of market research and information gathering. So, what are you waiting for?

Have you developed your own system or library for information and insight sharing? If so please share your experiences and horror stories in the comments below. Everyone would love to know what some of the challenges may be for them when they follow your example. 

Need help in negotiating your information contracts or in building an information / insight Library? Why not call us to discuss just how much you could be saving and increase your information ROI. No obligation, just INSPIRATION!

If you would like to know more about knowledge sharing check out our website: https://www.c3centricity.com/home/underst and

C³Centricity uses images from  Dreamstime.com  and  Kozzi.com

A New Guide to Insight Development

Last week I had the pleasure of speaking at the Marketing & Communication Loft event in Geneva. The topic was building great br ands so how could I not talk about insight development, the foundation of all great br ands?

Ever since the marketing world started buzzing with the opportunities that BigData presents, insight development seems to have been forgotten. And yet data, whether big or small, cannot be used until it is turned into knowledge and underst anding and then insight.

I therefore thought it was time to take a fresh look at insight development and how BigData increases rather than decreases the need for true insight.

 

Marketing’s ROI is Lacking

A report by the Fournaise Marketing Group showed that 70% of CEOs have lost trust in marketers’ ability to deliver growth and 69% of them have stopped enforcing key business objectives & indicators on marketers because they have “continuously failed” to prove marketing strategies and campaigns deliver business growth.

The report further suggested that the reason for this was because marketing failed to deliver ROI, which is a surprise in today’s world of data and information. In fact a recent IBM report actually mentioned that the data explosion was the main worry of CMOs today, not the lack of information.

 

Insights and Customer Centricity

I believe the problem goes far beyond just data and is linked to marketers’ inability to make their organisations customer centric. In fact there was a suggestion in this same IBM report that marketers should not lead customer centricity initiatives. I think theyre right, as marketing is the defender of br ands rather than of the customer; it is difficult for one person to prioritise both!

Thinking customer first means doing everything we can to satisfy and hopefully, also delight them. So if we all know that, why are so many of us struggling to walk the talk of customer centricity? I believe it is linked to insight development. I don’t think we know and underst and our customers as well as we should.

We’ve been speaking about insight development for even longer than customer centricity, and yet we are still not always developing insight. Even today, we are more likely to be working with information, knowledge and sometimes underst anding, but rarely true insight. I think that many of us still haven’t grasped the importance of the fact that insight doesn’t come from information, nor knowledge, nor even underst anding, but from the integration of everything we know.

 

A Fresh Approach to Insights

Insights are built from hindsight, eyesight  and foresightInsight development requires the integration of three types of information, knowledge and underst anding:

  • Hindsight
  • Hearsight
  • Foresight

 

Hindsight is what all companies rely on most of the time. It’s about looking back at what has happened and trying to underst and why. The market shares we achieved, the recall of communications we aired, the volumes we manufactured. The problem is that Hindsight is yesterday’s news.

BigData helps to partly address this problem of recency, since most algorithms are developed to adapt to the latest information through machine learning. Although they will work with a combination of different data sources, some older than others, we are getting closer to real-time decision making. But data alone is still insufficient in most cases to develop true insight; we need to add Hearsight.

Hearsight is my name for what we can observe about what our customers are doing and what we can listen to when they are speaking. In some ways it’s better than hindsight, because we are listening to our customers and watching what they are doing today, rather than looking back to what they said or did yesterday. However, we must keep in mind that it is not market research, so we should use our findings to stimulate new thoughts and ideas about our br ands and categories, and not as the whole truth.

One problem with listening to and observing our customers, is that they are changing fast. What works today won’t work tomorrow. What is surprising today, will be taken for granted tomorrow. Although it’s not already out of date when we get it, as is the case with hindsight, it soon will be, so we can’t rely on this information alone either. That’s why we need to add foresight.

Foresight is about looking beyond today to what our customers will want or need tomorrow, next week, next month, next year, or even in years to come.When we speak of foresight, we often think of trend following services first, to provide it. The problem with them is that they are a service – and findings are shared with all the agencies’ clients. This means we’re following exactly the same information as our competitors. There is no competitive advantage in that! And when it comes to preparing for the future and innovation, this becomes a critical flaw of trend following tools.

So what’s the solution? Future scenarios are the solution. By extending trends into the future and combining and clashing them, we can come out with creative but plausible new worlds. These worlds will have similarities and differences which we can then use to develop new product concepts. Most scenarios are built using contrasting possible outcomes in two major areas of influence, sometimes referred to as the axes of uncertainty.

Most people find working with future scenarios exciting but we must remember a few things. Firstly scenarios are not forecasts. They are not predictions of what will happen but rather indications of what may happen in the market and with the customers’ choices and preferences in the future. However, scenarios do help prepare business for possible opportunities and risks. They are a useful way to consider possible future worlds and markets that can form the basis of brainstorming for the business.

 

Scenario Planning using SciFi Writers

Future l andscape
Has the Future already been written?
SOURCE: Kozzi.com

Many scenario companies offer sketch and video portrayals of the future worlds developed and then use storytelling to its utmost. One of my favourite suppliers in this area (whom I should also mention are C3Centricity partners) has a very unique way of developing and sharing their scenarios with their clients. SciFutures use science fiction!

This may surprise you but science fiction writers have a long history of imagining things that get developed 20, 50, 100 or more years later. Here are just few examples to illustrate.

  • H.G. Wells book “The World Set Free” spoke of the atom bomb – 30 years before its invention.
  • Mark Twain talked about what became the Internet in 1904.
  • Jules Verne’s story “From the Earth to the Moon”, predicted moon l andings and weightlessness – in 1865
  • Star Trek’s “Tricorder” – inspired the smart phone.
  • The Minority Report – inspired big data mining, Predictive Policing, virtual reality and touch screens.

Dan Ariely, Professor of psychology & behavioral economics at Duke University in Durham, North Carolina claims that:

“Humans grossly overestimate what is going to happen in the short term and completely underestimate what is going to happen in the long term”

Therefore in trying to design plausible future worlds, we need to stretch our minds way beyond what we would otherwise feel comfortable doing, and this is where SciFutures and their science fiction writers come into play. They are definitely bringing their clients an impressive competitive advantage with this radically new way of thinking!

Coming back to earth, I hope I have explained why I think it’s time to take a fresh look at Insight development. Insights come from integrating information and knowledge from multiple sources. We need Hindsight to know what has happened in the past, Hearsight to watch and listen to our customers to underst and their current behaviours, and we need Foresight to prepare for future opportunities and risks and to ensure that our innovations have been developed with maximum competitive advantage. Combining the three we get to insight.

Customer centricity is built upon our insights of our customers. A deep, intimate underst anding of our customers, what they desired yesterday, desire today and may desire tomorrow. It comes from integrating data and information from both internal and external sources; from market research, observation & listening and trend following & scenarios. All three types of information are needed to develop insights efficiently and effectively. Each adds different perspectives to the equation. If we all use more information for deeper insights, then we will finally be “in sight of our goal” to be truly customer centric.

Let me know what you think of this new approach to insight development in the comments below. In appreciation I leave you with an Irish Blessing:

Insights are a blessing

I believe we can never go too far in underst anding and satisfying our customers? Do you agree?

If you would like to  know more about insight development, check out our website: https://www.c3centricity.com/home/underst and

And if you could do with some support in underst anding your customers better, to develop deeper insights, let us help you catalyze your customer centricity. Contact us here TODAY!

Featured image source: Kozzi.com

C³Centricity uses images from  Dreamstime.com  and  Kozzi.com

Five Ideas to Improve your Insight Development

Last week I spoke about updating your market research toolbox and how to review your metrics. This week I want to take the next logical step by turning the knowledge you gather into actionable insights.

Insights are the pot of gold that many businesses dream of but rarely find. Why is that? Are you one of them? If so then I have some ideas on how you can get better at developing insights.

#1. Insight doesn’t come from a single market research study

Management often thinks that insight is “just another word for market research”. I remember one of my previous CEOs saying exactly that to me just before he addressed the whole team at our annual conference; you can imagine what a panic I was in as he walked up to the mike!

Insights are tough to develop and are rarely, if ever, developed from a single piece of market research. Each market research project that is conducted should be designed to gather information in order to answer one or more questions. Whilst it may enable a business to make a more informed decision based upon the objectives, insight development is quite a different process.

Insight development involves integrating, analysing and synthesising all the data and information you have about a category or segment user, summarising it into knowledge and underst anding, and then developing the insight. All br ands should have (at least) one insight on which its image, personality and communication is built. For example

  • AXE (Lynx in UK): (young) men want to attract as many beautiful and sexy women as possible
  • UK anti-smoking: smokers don’t want to have to live with the guilt of having damaged a child’s health through their smoking

Insight development will provide the basis on which you will define the actions that are needed to change the behaviour of your target audience.

#2. Insight development is based upon a desired behavioural change

When sales, marketing or management look to change a category, segment or br and customer’s behaviour, it is with the objective of improving their business results. For instance:

  • From buying a competitive br and to purchasing yours
  • From using your services once a month, to once a week
  • Moving customers’ belief about your br and from a traditional to a more modern image
  • Changing customers’ perceptions about your value from expensive to good value for money

Because insights are based on a desired behavioural change, they usually contain an emotional element that is communicated through advertising. The emotion that is shown in the advertisement is more likely to resonate with customers, who are then motivated to take the desired action.

#3. Insight development needs more than Insight professionals

Although this may sound counter-productive, insights really do benefit from working from differing perspectives to get to that “ah-ha” moment, that many refer to. A deep underst anding of customers and their reasons for behaving in a certain way, comes from looking at all aspects of their lifestyle. If you only review the actual moment when they choose or use a product or service, it is highly unlikely that you will develop that deep underst anding. What happens before and afterwards also lead to that choice or that of their next purchase.

This is why it is important to work as a team when developing insights. Depending upon the issue or opportunity identified, the team can be made up of people from marketing, sales, trade marketing, production, packaging, advertising, innovation, distribution. And these people don’t necessarily need to work on the category in question alone; sometimes it is by taking ideas from different categories that real insights are developed.

#4. Insights are usually based on a human truth

The insights that resonate best with people are those that are based upon a human truth. A human truth is a statement that refers to human beings, irrespective of race, colour or creed. It is a powerful and compelling fact of attitudes and behaviour that is rooted in fundamental human values. It is a fact that is obvious when quoted, but is often ignored or forgotten in daily business. Human truths are linked to human needs and although questioned in some circles today, Maslow’s hierarchy is still seen as one of the most relevant sources of classification of human needs.

Examples of human truths include:

  • Parents want to protect their children
  • Men and women want to find love
  • Children want to be better than others

If you are struggling to find an insight, it can help to review the level of need of your target audience and see how your br and can respond to help answer it.

#5. Insights aren’t always category specific

Following on from the above points, it is particularly interesting that once found, an insight can be adapted to be used with different br ands. There are many examples of this happening, particularly amongst major FMCG / CPG companies.

Insight: Parents want to protect their children so that they grow up happy and healthy

  • Unilever’s Omo: shows that a good mother lets her child experiment and learn – even if this means getting dirty. If you don’t know their advertising, then check out one of their latest from this long-running campaign: Unilever Omo “Dirt is Good” ad on YouTube
  • Nestlé’s Nido: illustrates this need as a mother providing the nourishment for healthy growth which allows her children to explore the outside world safely. If you would like to see a typical advertisement, check it out on YouTube here. Interestingly, Nestlé has used this same insight to develop advertising for its bottled water in Asia and pet food in the Americas too.

Insight: Young women want to be appreciated for who they are ie not models

  • Unilever’s Dove was the first br and to recognise and benefit from this insight. Their famous Real Beauty campaign resonated so well with young women that many other br ands copied it, especially their Evolution film. Here is one of their more recent ads that I’m sure will give you goosebumps.
  • The Swiss Supermarket chain Migros has a store br and “I am” which uses the same insight across all the health and beauty products. Somewhat unusually, the br and name itself is based upon the same insight, and its advertising repeats it several times: “I am – what I am“.

So there you have them, the five ideas that I came up with to help you to develop better insights more easily. Although you probably already have your own process for creating them, I know from experience how hard it can be to find insights from all the information you gather. I hope this short article has assisted you in your search for those “golden nuggets”. Do share your own ideas for making insight development easier, I would love to hear from you.

For more information on Insight development, please check out our website here: https://www.c3centricity.com/home/underst anding

Do you need help developing or updating your own Insight development process? C3Centricity offers a 1-Day Catalyst session, where we work with your team to review and revitalise your own insight process, or to define one if you do not as yet have a proprietary one.

Contact us for an informal chat about it. No obligation, just INSPIRATION!

C³Centricity uses images from  Dreamstime.com  and  Kozzi.com

Join Global Customer First Strategists!

Get our latest posts before everyone else, and exclusive content just for you.

* indicates required

FREE DOWNLOAD “Secrets to Brand Building”

Everything You Need To Know To Improve Your Marketing & Brand Building

* indicates required