Marketing Research: A strategic tool to drive business growth Pierrine Consulting 1. The world changed in our life time 2. Key falls outs 3. How strategists are navigating 4. What about marketing? 5. Marketing research: Growth enabler 6. Closing thoughts 7. Q&A Did the world really change? How are global strategists navigating the ‘unfolding’ normal? Can man survive without marketing? Marketing myths • Marketing = Selling • Marketing = Advertising • Marketing = Persuading people to buy bad products • Marketing = Something you leave to marketing people ("We are the experts") • Thrust Marketing = Megaphone Syndrome • Accountants Marketing = Controls and Ratios rule everything • Formula Marketing = If it works here, it must work there Modern marketing is the ability to harness the full capabilities of the business to provide the best experience for the customer and thereby drive growth. In a recent McKinsey survey, 83 percent of global CEOs said they look to marketing to be a major driver for most or all of a company’s growth agenda. Where are we? Recall…The Marketing Concept. Marketing Concept - The business philosophy that a company's effort should be adapted to the needs and wants of its customers. The pillars of the Marketing Concept - Focus on customer needs - Integration of marketing activities - Profitability - Well being of consumers and the society as a whole Marketing Research Defined American Marketing Association: …the function that links an organization to its market through the gathering of information. This information allows for the identification and definition of market-driven opportunities and problems and allows for the generation, refinement and evaluation of marketing actions. It allows for the monitoring of marketing performance and improved understanding of marketing as a business process. Malhotra & Peterson (2006): …the systematic and objective identification, collection, analysis, dissemination, and use of information that is undertaken to improve decision making related to identifying and solving problems (also known as opportunities) in marketing. If you don’t know your customer you will lack a sense of the things they value, the way they think and the things they feel. If you lack that feel, then you will lack confidence in your judgement. Global Head of Marketing Academy, Unilever The Marketing System From Feinberg et al. (2008) Marketing Questions typically answered by MR • PRODUCT • What could be launched? • Trends • Consumer understanding • Should it be launched or not? • Consumer reaction • Volume potential • POSITIONING • What are the most motivating messages to communicate? • PRICE • What is the right price point? • PLACE • Where should the product be sold? • How is the category shopped? How can it be made easier for the consumer to walk out with the right product? • PERSON • Who should be targeted and how can they be reached? Marketing Questions typically answered by MR • PROMOTION • Is the creative working? • Is the brand and media plan correct? • Are we using the right promotional mechanics? • PACKAGING • Which packaging should be offered? • PEFORMANCE • What is the brand health? • Sales monitoring • Brand Interaction measures • What are the competitors doing? • NPD, communications, potential impact Ultimately, the purpose of marketing research is to reduce risk in business decisions. Market research data itself will not make the decision but it will provide the best possible chance of making the right decision MR driving the Innovation Funnel… Strategic Understanding What do we Understand About: - consumers, - customers, - their life world relationships with our brands ? Idea development •Building a strong concept? • Have we expressed it well ? • Is there Potential in our idea ? Mix Development Pilot/ Proto-type * Advertising * Product * Packaging Do we have * Advertising * Product * Packaging that fits the concept ? Mix Evaluation Will we sell enough ? Right price/cost? Should we Launch ? Market Monitor How successful is the launch ? Do we need to modify ? Is the consumer excited? Tracking Digging Developing Crafting Evaluating Examples of Appropriate Methodologies Strategic Understanding •Qualitative - Focus groups, Observations •Quantitative- Usage and Attitude Studies Idea/Mix Development Qualitative – Focus groups Quantitative-Product tests, Pack Tests Mix Evaluation Market Monitoring Mainly quantitative – Product Tests, Pack Tests, Ad tests, Pricing Studies, Simulated Test Markets Mainly quantitative- Media Monitoring, Consumer Brand Measures, Retail Audit Tracking Marketing (marketing research) is a business growth tool.. Socio-cultural (and in the broader sense, socialization) engineering tool. It will remain relevant as long as there are humans on earth, and consumption remains part of our existence Thank you for listening. Contact details: Email: oluwaseyi@Pierrine-consulting.com oluwaseyi@Pierrine-consulting.com Cell: 0703 670 6134 Marketing Research: A strategic tool to drive business growth Pierrine Consulting
