Market Research I

Market research (MR) - the venerable 'god' word that every marketer swears by.

This; is the data thrown in the face of naysayers, to any and every person that tries to put down a well done research regarding, say, a new concept product that needs to go out pretty damn soon.

So, we have tried to put down some pretty basic pointers that are - well - basic, but are the gist of what any good market researcher needs to cover. Now, when we say basic, we  mean these pointers are the building blocks of good MR. It may differ from situation to situation. But all these pointers will act as foundation guidelines for any MR; let it be for college project or say, even an actual NPL strategy. So ahead we go!

There are a number of questions that a prospective client would be asking you to begin with. If you're good, you would have already asked these questions to yourself and found the answers to them as well…

What is the Need for Marketing Research?

There are bean counters in any company; these are the stingy guys that pull the plug on any brilliant idea to conserve the loose change that goes into buying the staplers. That apart, look at it this way - this the damning data that lets you figure out whether you are going to enter that niche market; that allows you to explore the gut feeling that you've got; or; you gotta cut and run with your losses. It’s not about whether you’ve got a problem, but instead it’s whether you have a readily available solution to your problem or not – that determines whether there is a need of MR or not.

What’s the Problem?

Many people can’t figure out where the problem is occurring. In fact, many of them fail to understand the difference between Symptoms, Problems OR a Root Cause; to begin with. That is to say that, it’s as if they are out to find problems with their strategies.

This may be the case on the ground level, but endeavoring to define your problem statement when you are going in for a research is advisable - since; working towards a goal that is clear and definitive always helps you when you are dealing with the overwhelming amount of data at hand. And that (you can bet on it) any good MR is going to throw in your face.

What are the Research Objectives?

That comes from the problem statement itself. ‘What is going to be my research objective?’ may well be defined from the simple fact, as to how I go about addressing the problem that I am facing right now. It may not necessarily be a problem to begin with, but for the convenience of all - we will call it a problem statement.

Now consider launching a new concept ‘entertainment and leisure gaming bar'. Any business would need to know whether this concept would be lapped up by the public or be panned badly amounting to several millions of losses to the businessman who's put his money there. MR would give him the kind of reassurance that he would need stating that the idea is brilliant and that he can go ahead with it.

So, giving shape to the research objective is imperative. In our example - the research objective could be succinctly stated as

'To figure out whether the idea rocks, OR, it’s just plain stupid'

Well, that's not how we would put it when we take it to the client, but you do get the general picture.

What’s the Research Design?

Now, here, you have to ask yourself a question:

Who says Market Research has to be done in a structured manner?

We know, we know. Even asking a question like that sounds foolish but - think for a bit.

MR can be with a formal approach but sometimes even casual talk can speak volumes and give you amazing insights, like, say current market dynamics.

See, it’s simple. If someone comes to you with a 5 page feedback form, what will be your 1st reaction? Remember all those “half page” forms which we get after Lunch/Dinner at glitzy restaurants?

Tell us honestly, how many times you have filled those? And say, if once in a while, the manager comes in and casually asks you –

"How’s everything? Need something different? DID you enjoy your food and booze? What more can we do?"

What do you think will generate more authentic feedback for them? We are not advocating a casual approach in bloody serious stuff of the likes of MR. We are just saying that - give it a thought.

What will really work for me in this MR?

Feedback form? Opinion form? Asking casual questions OR a focused group meet?

The answer may be anything and everything. It’s just that for every MR there is always a healthy mix of all these things.

The whole point is, don’t take Research Design for granted & assume that filling up a tacky questionnaire is the only and the best way to go about MR.

Hey BTW, Where do you get all this Information?

Solid information is the backbone for any MR. Obviously, but finding clean data is as monumental a task as finding clean laundry in a bachelor pad.

That apart, the right information coupled with resources that you can be sure of will keep you in a good stead as far as getting to the objective is concerned.

Oh, another thing, don't just sit on your butt and surf the internet for information (its goddamn old!).

Go out and talk to people and figure what’s going on at the ground level. That's amazingly important simply because the information you will gather is going to be farm fresh!

So, we can go on & on about MR. But we think that we can take up each step in a staggered approach & go on explaining & exploring each step by trying to apply it in our real life MR experiences.

So, watch this space for more about Market Research for Dummies all. :)

Coming up: Data Collection Tools, Methods of Data collection, Analysis and much more…

Good Short Read

Came across this article:

http://noisebetweenstations.com/personal/weblogs/?page_id=1688&utm_source=IATV&utm_medium=twitter

interesting..
Btw apologies for not posting content for a long time. Tied up in a lot of things..

Logo Design

A company's logo is its identity, its face.
And what I have generally noticed is - during the the course of operations of a company, no one notices the true importance for a logo, in such a a way that the attitude says : "slap a few colors onto the name of the owner and we will have it" or the more prudent approach is "well outsource...".
Companies spend thousands on Design firms to produce a half decent logo for them and end up with some stylized Photoshop work.

What i do believe is, it is very important for the stakeholders to sit down and design a good logo for the company. Now, I'm sure the CEO and the board must be sitting down to figure out just what their logo should reflect and other such stuff.

But what i really wonder is -
Do these people really need a crazy stylized logo from a design firm?
Are they not capable enough to dream up a decent logo for about 1% the price that they pay to these high profile design firms?
Not that i have anything against these design companies - just that a person sitting the organization for a long-ish period of time would be conversant with the culture of the place and if the need be, step back and identify what they would want to project to the world through their logo.
Much better; than a consultant hired two days back.

In fact this post is inspired from a story that i just read about NBC TV spending $75,000 on a logo which was an exact replica of a logo for a local TV Channel - which; incidentally, was made at a measly cost of $75.

http://www.etiziano.com/I_love_logo_design/history_of_the_nbc_logo.html

So, does it not sound a bit stupid on a certain level. I mean, the whole logo design trip seems to have become an exercise in wasting good money to be used otherwise. A concerted effort on the part of key stakeholders may produce effective results. What is missing in this situation is the approach that key people should be adopting to design a logo for their company.

I am sure, that stakeholders have a hazy idea of the company image in the consumers mind and what they themselves would want to project. Attaching a road map to these ideas would seamlessly guide the process in the right direction - exactly what a professional design agency does - effortlessly.

Here is what i think a logo should embody and what stakeholders should look to do to make it right:

Colors: There is a range of emotions that are attached to colors. Some evoke strength, some evoke warmth and some trust. Exactly what any logo would want to project through colors. Choosing the right color to suit your logo is considered paramount to the success of a logo. A company's business and its values are best captured through the color.
Also refer:
http://www.smashingmagazine.com/2010/01/28/color-theory-for-designers-part-1-the-meaning-of-color/

Simplicity: A complicated logo would easily confuse and confound the viewer to what the company wants to say. A simple logo that is easy to recall is much better than a highly stylized logo that is hard to decipher. A subtle hint for discerning audience is the masterstroke for any logo (read:FEDEX)

Font: A choice of wrong font style would definitely kill the vibe. the kind of font employed to spell out the name of the company lets on as to whats the business of the company. Moreover, whether the company was really serious of the logo design process to begin with.

Leave out the confetti: Drop shadows, gradients, other hoopla. Please, you really don't need these. A good, professionally thought out logo does not need crutches. Treat these as they are - Confetti.

Moving onto thinking things through for a good design, it is important to incorporate thoughts from a number of resources in the company. It would be an excellent exercise to pull all the heads of key functions of your company and put them in a GD with a strong coordinator. Topic of discussion would, of course, be the company's values - its approach towards their work, and what they would like to project. It is important to glean insights from here and put them into conceptualizing a logo. A mind map is a good tool to employ here. It throws up awesome possibilities to think in various directions.

Excellent Read:
http://www.logodesignlove.com/images/books/Logo_Design_Love_free_chapter.pdf

Putting it succinctly:

1 Message (from Company - what it stands for, what it wants to convey)
2 Theme
3 Context/Relevance (Cultural/Geographical/Historical)
4 Subtlety

Collateral Marketing

Say Marketing Collateral (MC) and thoughts of standees and leaflets start swimming around in your head.

What i see around me is the explosion of ideas that has not only transformed the way products are being marketed now but the amount of innovation that it has brought in and therefore infused awareness in the users of the products.

Getting the basics right is important though. Looking the at forest and then at the trees is the mantra most top guys follow. Also, looking at the forest from all possible angles would certainly help. Then come the trees.
I'll elaborate...

For MC difference of material that goes into roping in an institutional Buyer (IB) as opposed to a one time buyer.
For an IB, there is always the financial factor - get that right and you would be well on your way. Dealing in software products gives you a particular insight which is significant because it tells you the way software guys think.

The Forest:
I started developing MC for a product some time back and wanted to categorize it in terms of industry relevance. What turned out was that i had to categorize it NOT only in terms of industry relevance but in terms of the hierarchy of the organization that i would be pitching it eventually to. This was interesting since i had not seen this aspect earlier. (though that doubled the work!)
Since i did not have control over who in the organization would see what at which time - i had to be very careful as to what i would be including into the content, and more importantly what i would not!

Another aspect would be the environment that i would be making this pitch in. For instance if it was a sales conference and industry biggies are going to look at this material, i obviously cant get into the nitty gritty of the products and start detailing as to how it would impact bottom lines or improve overall efficiency (that's what they are interested in any way - money!) i would have to be more expansive in my approach and my material would have to be more generalized to relate to any industry. (I am btw in the software storage and so my content is related to that). Only after luring in the fish, would you bring out the club. Bludgeon him with information - which is mostly live cases and referrals that you have in your arsenal simply because if the guy does not want it right away - your money proposition would hit the right nerve the first time. At the same time pepper it with information on how it would impact overall efficiencies and business processes and you have a winner!
The whole point being - have a fish hook, but also keep a club handy.

The Trees:
Another aspect that i would like to touch upon is the core concept of the product that one would be dealing with. Now for instance, i was selling a bike, no matter what i do, it would take you from point A to point B. Now the difference here would be that it would take you there in the least amount of time or would take you there most comfortably or would take you there with the least fuel consumption - would all be subject to the brand identity and message that your branding team has formulated. (in my case i am the 'everything') Infusing these into your MC would highly appeal to the target audience and in case of IB's would give a clear picture of the philosophy that your product subscribes to. And don't worry there - if you have a financial topping to make the deal sweeter, throw it in, but more often than not, the IB's are going to see the moolah then and there.

These thoughts are more from the perspective of software marketing but i saw the parallels with others and therefore i am having an "out of industry experience" to talk about it!

Frugal Marketing

The essence of marketing lies in reaching out to the consumer. I talk about communication here. Wikipedia defines communication as the exchange of ideas, thoughts, opinions or information by way of speech, writing or signs. The sole agenda of any marketing guy has to reach out effectively to the consumer.

Let us explore the meaning of 'effectively' -
Does it mean climbing sales charts? Or does it mean being the market leader? More TRPs? Top of the mind recall? Awards for best service/product? What???

'Effectively' would only mean that the message that your product/service/company is trying to convey is perceived; exactly as intended. The situations mentioned above are merely happy consequences of the perception that you have ingrained by way of effective communication. Understanding this is unfortunately an exercise that involves a lot of money. A decent market research has to be undergone to evaluate your position. Move over to analysing the data from your strategic standpoint and enable action items for further resource development. This becomes a pain point for most of us because in this era of financial difficulties, research would be only possible if we all remain afloat - let alone Market, which seems like a concept right out of fairy tales.
So, the million dollar question remains - how to market frugally?

It is not as hard as it would seem. With the boom in online communication and the younger generation being heavy Internet users, all your preliminary needs are addressed at this level itself. Content now can be directed to a whole set of users that are the intended audience and not beamed across the country hoping to be picked by the target market. Whatever the need is, it is addressed here as soon as you can say 'Orkut'.

First up - Google. The search giant that has revolutionised the Internet. Be it paid searches (the small two liners that appear to the right of the page saying 'sponsored links' on top) or the first page of the search results, it is best to be seen on google in any form present. Its a bit like American idol. Make a fool of yourself on the stage - but get noticed - be there on Google! Tools like SEO are now widely available and knowledge commonplace for the same. Google has other very powerful tools in its labs - worth a dekko. Analytics being one of them, i myself use analytics to figure out how many hits I've had on this blog and from where.

Social networking sites are another very strong tools to direct targeted content. Here everyone knows everybody else, so there are two pronged vectors working here for you. There is the grapevine or word of mouth communication and there are the 'event happenings' (invites being sent by peers who have recieved these by their peers) that we all are well aware of on facebook or orkut. I can recall an instance of a restaurant in Bangalore that opened up recently and had business up 70% only in the first week thanks to a facebook page.
Such could be the might of social media. We all are well aware of the furore that took place over the cattle class remark made by Sashi Tharoor on Twitter which is only another case in point of the power that has been unleashed by social media.

Viral marketing and micro sites are another cost effective way of involving the consumer by whetting his appetite for an experience by technology like Web 2.0 and Flash, Flex and Silverlight. Many auto majors use the microsite route to bring in the eyeballs and address the minute questions that are pertaining to their product.

Going online has another advantage which is not completely apparent. It is persuasive word of mouth publicity. Here's an example, Coldplay - the popular English alternate band from UK put up their latest album on the site free for download as a tribute to their fans. This was then shared with millions of people online and they in turn shared the same link with their peers. The persuasion is definitely the product - free music. but what does not meet the eye is the persuasion involved in step 2 i.e. passing the information to the peer. Its the difference between telling you that Coldplay is giving away free music on their site. as opposed to giving you the link directly to their site. Apart form this, there are Blogs, Wikis, RSS feeds et al for the savvy and the updated.

Moving away from the Internet, another powerful media for frugally getting across your message is PR. PR is managed across channels so that only a succinct, all encompassing and unambiguous message is passed on. This is important because PR is a dual edged sword. A message that is not clear would only lead to major down gradation of the image of he subject under question- be it a product, person or an organisation for that matter. Jessie Paul has addressed this question in great detail in her book when she says that there should always be a face to the organisation that speaks for it. A clear confident person who represents all the organisations stands for and more. you could find more information in 'No money marketing' - a very interesting read.

Many other interesting ventures are available for the adventurous. SMSs. There are various sites that allow users to send sms's to other people via signing up on their site and filling in some amount of information. Although it is inadvisable to go for such a route largely due to the veracity of the site involved and security issues.

Moreover the perception of such a method will not always be favourable.

Ideation

Ideation is a group process.

An idea comes from an individual - credit has to be given there. But, i prevail upon it because it is refined upon by a group that can critically think about the process and improve upon it iteratively. Thereby lending a new perspective to the raw format that the idea took shape from originally.

Thomas Edison had a 12 member team with whose help he was able to create the light bulb and go onto building it into a commercial success. Thus, that particular spark that some guy had sitting in a corner was brilliant - but it was built upon and therefore evolved into something more solid and commercial.

Thus, ideation too may not have its Eureka moments, there are more subtle changes that come to the surface to form concrete ideas.

Which brings me to the fact that brainstorming (the most flogged term in corporate circles and fast turning into favourite middle and top management level jargon) gains ultimate importance. Brainstorming helps in ideating much better than anything else. There is a rider though, ideation is a chaotic process, the more the number of people, higher is the probability that a good idea would be lost if not scribbled down somewhere.

Informal setting is the best way to bring out excellent ideas. My team was faced with a stiff deadline in one of our projects and were running way behind schedule. We had popularly earned the title of ' bottleneck' in the project. We got together all our people in a room and informally started discussing workarounds to get the work out as required. Some good ideas came to us and we decided to go ahead and implement one of them. We brought all the requisite infrastructure together and despite our modest manpower we defeated Goliath ultimately.

We were not hung up on who talks, who listens, who interjects. It was an open discussion involving all and turned out to be fruitful.

After brainstorming, though, comes the implementation. The devil is in the details. Putting down a process, a road map to the intended end result and seeing it through requires some perspiration. The tools can be perfected upon as you go along; simply because taking in all project related environmental factors together would be next to impossible. And thereby an evolving road map is a 'good to go'. This is especially true for any work with a tight deadline (lets face it, when are deadlines not tight?). IDEO's shopping trolley concept is a case in point. http://extra.shu.ac.uk/dac/ideo.pdf

So personally, ideation is not the forte of scientists and engineers, you and me thinking together could produce intelligence. It is just a matter of thinking in the correct format.

Next post - Frugal marketing