From opportunity identification to customer and user satisfaction, Market Research is a key component to the product / service development and management process and contributor to the success (or lack of) of products and services. Marketing and product teams, and their market research departments when available, are often challenged to do market research with shrinking or no budget.
This presentation to ProductCampRTP covered the following angle:
- Know your goals. Pick your battles. High risk versus low risk projects
- When and how to do Market Research on a budget: Quantitative Research, Qualitative Research
- Traditional vs new data collection methods (such as online, mobile) and sampling (online panels)
- Communities and Social Media
- International research considerations
- Where to go for more information
Known as an innovation, marketing and product management professional, Claire-Juliette Beale has extensive experience conducting quantitative and qualitative market research for companies of all sizes in both B2B and B2C industries, in the US and internationally. As a member of the founding Executive team of Global Market Insite (GMI), a leading global provider of online market research solutions and services, she contributed to the development and success of new research methods and products including Internet (online) survey research, mobile survey research, online panels, as well as qualiquant research. She is New Product Development Certified from the Product Development and Management Association.
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My definition
Market research is the systematic gathering, analysis and
interpretation of information and data needed to inform
product development and management decisions.
Information may be from secondary sources (already
published and publicly available) or primary sources (directly
gained from individuals). Market research may be
qualitative, quantitative, or a combination of both. Market
research is often backed by statistical and analytical
methods and techniques from applied sciences to gain
insights and predict customer or user actions or behaviors.
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Secondary sources
• Start with Google; set Google alerts; look up Google trends
• Build list of favorite web sites
• Analysts / consulting firms
• Government
• Industry / associations (Gale Encyclopedia of Business and
Professional Associations)
• Job function
• Journals
• Blogs, communities, etc.
• Track down leads
Brand metrics HowSociable?
Blog Search Google Blog Search
Technorati
Discussion Board
Search
Omgili
BoardTracker
Twitter Search TweetBeep
Twilert
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Primary sources
Affordable Expensive
Customers and users* Sample vendors (low incidence samples)
Your partners’ customers
Sample vendors (high incidence sample)
Panels and custom panels
External online communities
Your communities / forums and social media
groups (e.g. LinkedIn, Facebook, Google+)
Experts (consultants)
Intercept (conference, store, event, etc.)
Experts (associations, reporters…)
Target and sample size must be based on research objective!
Ensure representativeness; avoid bias!
* In some cases this could include you, your social circle, your fellow employees
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Primary data collection methods
Traditional Newer
Interviews → Web conferencing
Ethnography →
Observation →
Observation
Pocket-cam diaries
In person focus groups → Online focus groups, bulletin boards
Full service survey platforms → Online survey tools
Research panels → Online communities
Note: traditional research is often but not always more expensive!
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Online surveys
2013 data:
http://www.relevantinsights.com/free-online-
survey-tools
Source: whinot.com; January 31, 2012
Key considerations. Do you need?
•Flexible survey look and feel.
•Skip logic.
•Piping.
•Randomization.
•Conjoint.
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Data analysis and reporting
But will you need quantitative analysis techniques, such as
ANOVA, regression analysis, factor analysis, and cluster
analysis?
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International research
•Culture codes vary. Some of your questions may not be
allowed / legal or perceived well in other countries. Similarly,
answers and expressions may differ from what you would
expect in the US.
•Market research standards and regulations vary.
•Most countries have at least one marketing research
organization that can help guide you. Search them via the
ESOMAR directory:
•http://www.esomar.org/knowledge-and-standards/research-
associations.php
•You can / should also look into ESOMAR, the leading world
organization for market research professionals:
www.esomar.org.
If you need research abroad,
plan your US research accordingly!
e.g. New product vs upgrades, new to company, etc.
A survey that has prominent branding for a survey tool rather than your organization can be off-putting to constituents and decrease your response rate. A package that allows you to update colors, font and header graphics can help you match a survey to your website or organizational branding.
As you design more complex surveys, it’s often useful to let respondents skip a whole section of questions that don’t apply to them. Survey skip logic lets you define, for instance, that those who answer “no” to question 10 should skip to question 15.
Piping allows you to pull answers from one part of a survey into another. For instance, if someone says in one question that they live in New York City, you can then ask them in a follow-up, “What’s the best thing about living in New York City,” filling in the name of the city from the previous question. More sophisticated packages allow you to combine skip logic and piping to customize surveys even further.
The order of a set of questions, or the set of answers to a given question, can often affect survey responses and thus the quality of your data. Features that automatically randomize the order of particular questions or answers will help avoid this issue.
While many packages create surveys in their own web page, some let you embed them into your existing website. This can be a particularly useful way to do quick, one-question surveys (called polls), or to gather opinions from web visitors in a longer survey.
Phase 1 research topics:
Definition of category (people count / traffic pattern analysis and forecasting )
Targeted Industries (retail, mass transit, transportation, gaming, etc.)
Size of industry, total spending on IT solutions and equipment, total spending on people counting and traffic pattern analysis solutions
Target applications (security, efficiency, revenue generation, policy)
Products and services used
Distribution channels, how purchased
Market trends
Major players / key competition (by type of product)
Manufacturers
Pricing
Market share
Other trends impacting the market
Conclusions
Estimated size of total and industry-specific potential markets
Top industry and application ranking
Lead users, key clients and key influencers
Phase 2 research topics:
Customer needs
How Smartmat is perceived vis a vis:
Competing products
Customer needs
How product would be used
User(s) needs
Environment
Marketing requirements
New Product requirements
Technology constraints and opportunities
Engineering and manufacturing issues
Our plan was to conduct interviews (telephone and face to face) as well as observation for a qualitative, insightful understanding of user needs, environment constraints, etc. We defined a shortlist of potential users, clients and influencers including 1 to 2 providers or consultants and 2 to 3 customers in each industry, except for airport (1 each). We encountered tremendous difficulties in obtaining users and client interviews and spent considerably more time and resources than anticipated in this task. As a result we conducted all interviews by telephone.
Ad-hoc and on-the-spot counting and traffic monitoring for buildings; potential for higher margin due to advantage of portability
Strengthening its potential position for licensing or OEM manufacturing with pilots in retail environments. We believe that pilots with retailers will generate more interest from potential clients than current tests at Harvard.
Continue to monitor the market and seek potential partnerships. For example, attend retail’s industry event to be held in Chicago for closed demos and discussions that will enable better calibration of the opportunity.
Select an established North American partner with broad industry coverage, and/or a well-connected industry consultant who will bring an “unbiased” perspective and generate visibility for the concept.
Should it decide not to pursue this opportunity, reach out to other industries for other potential needs and applications for the Smartmat IP via the licensing services of an organization such as Yet2.com
Issues: timing, budget, European scope
Phase 1
1236 interviews
Five countries: France, Italy, United Kingdom, Germany, Norway
Sequential monadic test
Phase 2
110 interviews in France
Monadic test of the use of the concept product at home with two visits
A drop off visit using the same questionnaire as on the Internet
A follow-up visit after a 10-day period of use
Sampling by quotas (age, gender, profession) representative of the French population
Answers to open ended questions are richer on Internet than in individual interviews: responses are more sincere, personal and complex
Colors, aesthetics, and the impression of quality are better communicated in face to face situations
Internet cannot replace touching: when they can hold Teapot in their hands, the overwhelming majority of the comments made by the interviewees revolve around its functionality, its stability, its solidity, its weight and robustness
Consumers have common sense: as long as they do not have an idea of the product that is clear enough, they do not commit on purchase intent (much higher proportion of « Do not know yet » on Internet than face to face
The product usage test is very convincing for Teapot: purchase intention is as strong after use than before trial
Even better, the usage test confirms the ergonomy of Teapot and increases attachment to the product.