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CONSUMER INSIGHTS &

MARKET RESEARCH
BA 170 | Dr. Dave Centeno
OBJECTIVES

• What is a consumer insight?

• Methods of collecting consumer insights


Words commonly associated with
“INSIGHTS”

Gaining perspective Innovation input deep understanding

Knowledge Inspiration Introspection

Naked truth Intuition revelation


Examples of Insights
(Dyed Hair)

INSPIRATIONAL INSIGHT
“Dye my hair makes me break with routine, modernise and change”

EMOTIONAL INSIGHT
“The truth is that when I dye my hair I changed my way of being. I’m
more flirtatious and seductive, I conquered my husband.”

INTENSITY INSIGHT
“The last time I had redhead was magical… my husband started to
stare at me… it’s as if he had lived in a dark cave and the color red I
put myself served as a torch lit.”
Other Examples
• “In the festivals and marriages, young women like
to go to the bathroom in pairs to discuss and
evaluate what is happening.”

• “When an adult is eating cereal for breakfast


usually like to read what the product package
said.”

• “On airplanes, people tend to read much more than


it usually read.”
Consumer Insights
and its translation to advertising copy
Other Examples of Insights

• Working adults from CDE sector are usually in a


rush to get to their workplace and do not have
the luxury of time to prepare an elaborate meal
for themselves but they still want something
nutritious, delicious, and affordable.
Other Examples of Insights

“Every time I take public


transportation I get sneezy and I
get the colds, but I don’t take
anything for it because I didn’t
think that it was a symptom of
allergy. However it gets annoying
because it takes a long time
before it’s gone and it ruins not
only my morning, but my entire
work day.”
CONSUMER INSIGHTS:
a calculated discovery
• Serendipity, an AHA! moment, gaining perspectives

• shared meaning that can connect consumers with brands


and drives action (purchase, use, disposition,
recommendation, buzz, etc.)

• insights that inspire are that come to deep thoughts and


feelings of consumers

• actionable, not just a piece of data or market research finding

• a discovery that arises after hard work of consumer analysis,


observation, immersion, and thinking.
Sample Consumer Insight
Consumer Insights are
ACTIONABLE

• Deep understanding about consumer needs and


desires that can be translated into a cost-effective
action

• What do you think are the characteristics of


actionable insights?
Insights vs Information

Data is the raw and unprocessed facts that are usually in the form of
numbers and text.

Information is prepared data that has been processed, aggregated and


organised into a more human-friendly format that provides more context.

Insights are generated by analysing information and drawing conclusions.


Both data and information set the stage for the discovery of insights that can
then influence decisions and drive change
Actionable insights sit at the
apex of your data pyramid

What do you think are the key attributes of an


actionable insight?
1. Alignment – when an insight is closely tied to your key business
goals and strategic initiatives, it’s more likely to drive action.
2. Context – ample background to appreciate why it’s important or
unique
3. Relevance – an insight needs to be delivered to the right person at
the right time in the right setting. If insights aren’t routed to the right
decision makers, they will not receive the attention they deserve.
4. Specificity – specific and complete, should adequately help to
explain why something occurred.
5. Novelty – advantage over familiar isights
6. Clarity – understandable, why it is important and how it can help
the campaign
Exercise: What’s an insight here?
MARKET RESEARCH
PROCESS
Consumer Insights Research Tool Overview
Break-out Exercise:
Craft an Actionable Insight

(1) (2)
COMMON INDUSTRY
MARKET RESEARCH TOOLS
1. UAI (usage, attitude, image) study – as basis for choosing a
market segmentation strategy
2. FGD (focus group discussion) research – for generating new
or next-generation ideas for new products, and positioning or
repositioning.
3. Product concept and product prototype testing – for product
design strategy
4. Brand name testing – for branding and brand equity strategies
5. Package testing and pack size mix study – for SKU (self-
keeping unit) strategies
6. Price sensitivity testing – as a basis for pricing and price
segmentation strategies
COMMON INDUSTRY
MARKET RESEARCH TOOLS
7. Advertising copy pre-testing and post-testing – for ad copy
strategy choice and media strategy making.
8. Trade and consumer effectiveness study – as a basis for
crafting a synergy-rich sales promotion strategy.
9. Trade and retail audit, and store checking studies – for
formulating a cost-effective distribution and sales strategy
10. Competitive benchmarking research – as a basis for
formulating the marketing mix strategy for an existing brand
11. Test marketing – for choosing the marketing mix strategy for a
new or next-generation brand
UAI APPLICATIONS
A. to search for market competitive opportunities that an
existing or a new product can advantageously explore and
maximise
B. to determine the brand’s marketing health relative to
competition, and to identify its correct marketing problems and
the solution to these
C. to segment or to partition a total market for a product
category, and then to describe and profile the different
identified market segments by each segment’s brand
awareness, category usage and purchase practices, category
and brand attitudes, and category and brand images, as well
as by its socio-demographics and psychographics
D. to find out the brands’s most distinctive product benefit
positioning in the market and relative to competitors.
UAI & MARKET
SEGMENTATION
UAI study data can profile a market segment beyond
the typical and traditional socio-demographics:

• the segment’s product usage and practices


• purchase habits and practices
• product categories and brand attitudes
• priority product values, wants and needs
• perceived brand performances on those priority
product values
UAI & POSITIONING
As a process, market segmentation ends with the product
positioning decision for the chosen or the primary targeted
market (PTM) segment. It comes after an understanding of two
things:
1. the target market segment’s priority needs and wants;
2. the available competing brands which are capable of
satisfying these needs.

“Does my brand offer a product attribute or a product feature-


benefit that is a priority market segment value but is not satisfied
or eagerly satisfied by the existing competing brands? If not,
how can I present my brand’s offered priority feature-benefit
more persuasively than the compeition’s?”
CORE UAI ITEMS
A. AWARENESS DATA: BRAND AND ADVERTISING

1. brand awareness: first mention, other mention,


and aided mention
2. sources of first-mentioned brand awareness
3. advertising awareness: first mention, other
mention, and aided mention
4. advertising recall: quality of awareness measure
CORE UAI ITEMS
B. Product usage data

1. product category use or non-use


2. category form, variant, and pack size used
3. how long the pack size lasts
4. when used and for what purposes
5. who else in the household use the product category
6. where used and with what
7. brands ever used
8. brand last used
9. brand used previous to last
10. brand used most often
11. brands on hand (pantry check by observation)
CORE UAI ITEMS
C. Purchase data

1. where the last category purchase was made


2. where category purchase are often/usually made
3. frequency of category buying
4. category pack size last bought
5. quantity of category purchase
6. price paid for last purchase
7. brand had in mind during the last buying trip
8. if found brand in the story where last shopped
9. if not found, what did: bought any brand available, looked
for brand in another star, postponed buying till brand had in
mind became available, or other (specify)
10. What else bought with the product category in last purchase
CORE UAI ITEMS
D. ATTITUDE

1. what looked for, what expected in product category


2. what not liked in brand last bought
3. what liked in brand last bought

E. PRODUCT AND BRAND IMAGE DATA

1. importance rating of product category attributes,


product values
2. rating of selected brands on each product attribute
ABRIDGED UAI
THE DIAGNOSTIC UAI

1. marketing concept of “share of mind” vs “share of


market”
2. “3-step hierarchy of effects” mode of consumer
behaviour
3. consumer positioning behaviour model
Next Meeting
• Branding Strategy

• Read mini-case (“Victoria Court”) for class exercise,


also do some basic market insight research related
to VC.

CASE BRANDING EXERCISE: VICTORIA COURT

Victoria Court Drive-in Hotel and Restaurants is a chain of full-service motels catering mostly to the upper
income market segment. The traditional market for drive-in hotels and motels are lovers who avail of one
out of the many specially designed “theme” rooms (Japanese room, jungle room, oval office room, game
room etc.) for three hours (now called wash-up time). In the early 1990s, Victoria Court embarked on an
aggressive campaign to attract three additional segments of the market: the husband and wife, the family
market, and the party market. Their mission was to slowly transform their image by communicating to the
public that their drive-in hotels could be used predominantly for legitimate purposes such as for resting,
or for group social occasions. They have also acquired Hotel La Corona affiliated with the Best Western
international hotel group.

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