Meiling Fong, Author at Blueboxfish

Market Research: A Strategic Tool for Business Growth and Innovation

In this highly competitive and rapidly changing business world, market research can give you the edge you need. Market research is the process of systematically gathering data about your market, competitors and customers to guide your organization’s decisions. Whether you are just starting out or have an established business, here are some of the ways research can benefit your organization.

Benefits of Market Research

Understand your Customer

At the core of your business are your customers and their needs. Market research can help you create a profile of your ideal customer including their demographics, psychographics (ex. values, attitudes, lifestyle), behavioural patterns and location as well as their needs and desires. These insights can guide your marketing strategy and messaging, help you reach your customers more effectively or uncover new customers altogether, as well as identify areas of improvement.

Identify Market Trends

In this highly dynamic business environment, staying on top of the latest trends can help businesses adapt to market changes, discover new opportunities, anticipate customer needs and stay ahead of the competition. For example, by monitoring the competition and staying on top of emerging technologies and new market entrants, businesses can adapt their strategies and stay competitive. A company that conducts regular market research may discover that a new competitor has entered the market and is gaining market share, prompting them to develop new marketing strategies or adjust their pricing.

Improve Decision Making

All businesses need to make decisions and while intuition is a great skill, it is not 100% reliable. Having high quality and timely data can go a long way towards reducing the risk associated with a decision and guiding leaders towards the option that will lead to the most successful outcomes. For example, a company can employ market research to determine the best messaging for a new marketing campaign or decide whether a new opportunity is worth the investment.

Support Innovation

Tapping into market research can also benefit your innovation processes. Using research to gain a deep understanding of your customer, competitors and market can provide valuable insights to help you develop innovative products and services that satisfy unmet customer needs and differentiate you from the competition. Research can also be used to test prototypes, validate ideas and gather feedback from potential customers. This iterative process can help companies reduce the risk associated with new products and increase their chances of success by ensuring product-market fit.

Market research is a crucial tool for businesses looking to succeed in today’s rapidly changing and competitive marketplace. It provides valuable insights into customer behaviour, market trends, and competition, allowing businesses to develop more effective strategies and make informed decisions. By investing in market research, businesses can improve their products and services, stay competitive, and minimize risk, ultimately driving growth and success.

Next Steps

At Blueboxfish, we specialize in providing strategic market research which provides you with the right data at the right time to support your business decisions. We work with you to design a custom research plan that uses proven methods to gather and analyze data and provides you with actionable insights. Contact us now to learn more about how we can help you achieve your business goals through the power of market research.

May 17, 2023 by Meiling Fong

2 Tips for Designing a Research Project

Research can uncover valuable insights and help your organization in numerous ways. However, in a world where we are literally swimming in data, the value of insights is bounded by its relevance, timeliness and accuracy. The next time you need to conduct research, here are a couple of key points to keep in mind so that you can get the most relevant, timely and accurate answers to support your organization’s decisions.

What is your question exactly?

It sounds simple but it’s critical to clearly define the questions you are trying to answer. These questions should also be tied into the larger business objective.

For example, let’s say you were trying to if you wanted to get a better understanding of customer satisfaction for your organization. You could ask many questions about customer satisfaction:

How satisfied are customers with your product/service?
How satisfied are customers with your product/service vs. your competitor?
Why are they satisfied/dissatisfied with your product/service?
Has their satisfaction changed over time?
What does satisfaction mean to your customers?

As you can see, these are all distinct questions that will yield very different results, some of which may or may not be relevant to your business objective.

However, suppose we contextualize the question:

Company A, recently launched a redesigned version of their product and wishes to understand how the new features have impacted customer satisfaction.

In this case, we may wish to examine these questions:

Which dimensions of satisfaction are most important for customers of this product?
How did they rate these dimensions prior to the product redesign?
How do they rate these dimensions after the product redesign?
What factors have impacted satisfaction?
What can be improved to increase satisfaction?

Clearly defining the questions based on the business context and objective guides the development of the entire research project and is critical for ensuring that you end up with actionable insights.

Balancing the Timeline, Budget and Accuracy

Insights are of little value if they are delivered after the window of opportunity for action has closed. It is therefore critical to design research projects that provide the most accurate insights possible within the time constraints of a given situation and respecting the allotted budget.

Here is a crude example to illustrates this.

To answer a certain question, we could simply Google an answer. It would take about 5 minutes and be minimal in cost. However, the answer may not be relevant, accurate or reliable (depending on the source). On the complete opposite end of the spectrum, we could design an extensive research project that would deliver highly accurate insights but would take too long to deliver and be cost prohibitive.

This is where leverage different research methods to design research projects that provide the necessary accuracy within the required timeframe and budget.

For example, suppose we would like to perform a competitive product analysis within a short timeframe. We may decide to conduct an analysis exclusively using secondary data from online product reviews and forgo primary data collection from in-depth interviews or surveys. While relying exclusively on secondary data may not yield as accurate or relevant results as when combined with primary data, it may provide an acceptable level of relevance and accuracy to meet the business objective.

So the next time, you are looking for answers, be sure to clearly define the questions so you can select the appropriate research methods that enables you to get the necessary level of accuracy within your given timeline and budget.

Designing a new product? Need insights to support a strategic move? Need answers and data? Schedule a call with us to see how the Blueboxfish team can support your market research needs.

September 22, 2022 by Meiling Fong

Genetic Data in Marketing: Is this the next frontier?

With the rise of direct-to-consumer genetic testing such as 23andMe and AncestryDNA resulting in the availability of large genetic data sets, we’ve started to see companies engage in marketing activities targeting specific genetic segments (see Aeroméxico’s DNA Discount campaign). On the surface, genetic marketing can appear to be a gold mine for marketers, however, before we dive head-first into this new frontier, what are some of the potential uses and ethical challenges of using genetic data for marketing purposes? In a recent article in the Journal of Marketing, authors Daviet, Nave and Wind explore this topic.

Potential Applications of Genetic Data in Marketing

The first application that jumps to mind is the use of genetic data for segmentation purposes. This can be particularly reliable when genetic data can be easily mapped on to needs, such as a company providing hair-loss prevention products targeting males with a genetic predisposition to pattern baldness. Furthermore, this targeting could begin even before signs of baldness begin.

From there, genetic data can also be used to infer other segments, build profiles for advanced targeting and predict consumer behaviour. While individual genes do not necessarily have significant predictive power on their own, when their aggregate effect is taken into account, the explanatory power increases. Furthermore, as sample size increases, the accuracy of the prediction also increases. Unlike predictive techniques that use past behaviour to predict future behaviour, genetic prediction can be used to identify potential high value customers before a customer even tries a product. For example, a coffee shop could target potential customers based on their genetic propensity to enjoy or metabolise caffeine before they even know that they enjoy or are addicted to coffee. Furthermore, these potential customers could be identified and targeted before they develop a brand preference.

Much like social networks, genetic relationships can be mapped out and the degree of relatedness can be computed, facilitating the targeting of customers who may be “close” to the genetic traits in question. From a practical standpoint, this could enable firms to genetically profile loyal customers and create genetically “close” segments to target. Depending on the predictive accuracy of the genes in question, this method may be less costly and more accurate than other data sources and more traditional segmentation methods such as surveys.

Finally, genetics can also be used by brands to personalize experiences or create a sense of community. In 2018, Spotify and AncestryDNA tested an initiative which allowed users to input their ethnicities based on their DNA test and then generate a playlist with music that reflects their genetic makeup. 23andMe also attempted to create a sense of belonging when it launched the “Root for your Roots” campaign to help US soccer fans select a team to support during the 2018 World Cup. A new feature enabled customers to see with which country in the World Cup they had the strongest genetic connection.

Ethical and Legal Challenges

While genetic data could be used for good – ex. early interventions and disease prevention based on genetic risk and predisposition, it could also open the door to unethical marketing practices – ex. spirits companies targeting potential customers who have a predisposition for substance abuse. As the use of genetic data in marketing is in its infancy, here are some ethical and legal issues to consider

Anonymity and Informed Consent

Except for identical twins, a person’s genetic material is unique and very little of it is required to identify someone. This poses many challenges when attempting to anonymizing data without destroying a large portion of it. Even after anonymization, reidentification is still possible.

While research is subject to ethical guidelines that require explicit informed consent, ethical practices are not standardized. Furthermore, much genetic research is conducted using existing data sets which makes gathering informed consent from each individual a near impossible task. As a result, participants (ex. customers of direct-to-consumer genetic testing services) are often asked up-front to consent to all future research. The argument is that this approach balances participant privacy with the greater public benefit resulting from the research. However, this approach paints the situation with a rather broad brush. Alternate methods such as allowing participants to opt-in or opt-out of certain studies or retract their consent altogether would provide far more participant protection.

Privacy and Security

Not only is genetic data identifiable, predictive and provides extensive information about an individual, it also provides detailed information about individual’s relatives who have never consented to the disclosure of their genetic information. In fact, there are reports of genetic testing unintentionally revealing family secrets and allowing children of anonymous sperm donors to find one another.

At this time, the direct-to-consumer genetic testing industry is not heavily regulated and privacy laws in most jurisdictions are outdated so privacy policies are left to the discretion of the individual company. Even if many privacy laws require “explicit consent” from consumers, as with many privacy policies, the fine print often includes terms that allow the company to unilaterally modify the terms, is vague about the usage of personal data for marketing purposes and reserves the right to share data with third party suppliers or in the case of a merger, acquisition or bankruptcy. Regardless of privacy laws, there is always a risk of data breaches and cyber-attacks. Once the data is leaked, there are no rules to govern how it will be used.

Misinformation

The highly complex scientific nature of genetics, a general lack of baseline knowledge in this specialized field and the misuse of statistics and probabilities can leave consumers vulnerable to deceptive marketing practices. Consumers perceive genetics to be backed by scientific rigour and may unknowingly accept pseudo-scientific claims.

Discrimination & Perpetuating Existing Inequalities

While current laws in Canada (the Genetic Non-Discrimination Act) and the US (the Genetic Information Non-Discrimination Act) prohibit discrimination based on the results of genetic testing (ex. insurance testing, employment), marketing practices are often more insidious, walking the fine line between ethicality and legality. Imagine a standardized test prep company offering discounts to people with genetic profiles that typically excel academically and pursue higher education thus perpetuating the advantage of this group when it comes to university admissions.

Think about it.

How would you feel about your genetic profile being used for marketing purposes?

Additional Info

Recommendations from the Privacy Commissioner of Canada regarding direct-to-consumer genetic testing.

Reference

Daviet, R., Nave, G., and Wind, J. (2021). Genetic Data: Potential Uses and Misuses in Marketing. Journal of Marketing, 1-20.

August 22, 2021 by Meiling Fong

Are you suffering from hysteresis of the battery?

The other day, I woke up and looked over at my phone and stared in horror at the red low battery icon.

“Shit! I guess my charging cable finally died,” I thought to myself. I wasn’t terribly surprised since I had been having trouble with the cable and knew it was on its last leg. I hate that unpleasant, slightly panicked feeling that increases as one’s phone approaches battery death, so I recharge my phone every night to start fresh every morning. Anyways, I knew I had another charger set up next to the couch in the living room so I got out of bed and went over to the charger. My eyes followed the white cable from the outlet to the arm of the couch and that’s when I saw it, the cable connected to my partner’s phone. I felt this wave of irritation and territoriality come over me, “But, but…it’s MY charger and my phone’s gonna to die!”

It turns out that in addition to phone addiction, I also suffer from hysteresis of the battery.

In the article “Portable technology and multi-domain energy practices”, Thomas Derek Robinson and Eric Arnould study consumer’s energy practices, their relationship with the battery icon as well as their behaviours and coping strategies surrounding energy consumption in portable devices. They observe this sense of anxiety, even panic associated to depleting battery icons and an acute awareness of energy consumption of mobile devices, especially when consumers are on the move and may not have immediate access to charging capabilities.

Symptoms

The symptoms of battery hysteresis include:

Discomfort, anxiety and even panic associated to depleting energy gauges;
Territoriality (ex. fighting over chargers, sense of invasion when someone else is using your charger);
Going out of your way or changing your plans to find a charging outlet;
Acute awareness of your battery status;
Association of life and death metaphors and emotions to battery icon points;
Sense of FOMO, emptiness and/or disconnect when phone battery is near death or has died;
Awkward pride in qualities not usually seen as positive (ex. control freak, OCD, anal) when it comes to describing just how far you’ll go to avoid running out of charge;
Prioritizing charging your phone over interacting with people who are physically present;
A return to a sense of “normalcy” once your battery has been recharged to its full capacity.

Coping Strategies

To alleviate these symptoms, consumers report adopting a several coping strategies including:

Carrying around a battery pack;
Engaging energy saving functions when running low;
Designated chargers for each household member;
Changing itinerary to find a charging location;
Unplugging a demo phone at the Apple Store to charge their phone and pretending to browse products while the phone is charging;
Warning others who may need to connect with them in the short term that their battery is dying.

How marketers can help

While charging stations have become ubiquitous in public places such as malls and airports, in a world that is so dependent on mobile technologies, as marketers, we can also help consumers cope with these anxieties surrounding battery depletion. We already see many of these strategies in use today.

Alleviating symptoms through product features (ex. energy saving mode, fast chargers, automatic low battery alert to loved ones).
Services such as rent-a-charger (ex. trade shows, conferences, retail outlets).
Renewable charging sources such as portable solar packs.
Apps that locate charging stations and assist in itinerary planning such as Tesla’s and other third-party EV route planners.

Until the day technology provides us with unlimited power, we are at the mercy of our batteries. Taking in to account the symptoms of battery hysteresis will not only provide a smoother user experience, it can also facilitate adoption, especially for disruptive technologies.

How do you cope with symptoms of hysteresis of the battery?

Send us a message and let us know!

May 31, 2021 by Meiling Fong

Reference

Robinson, T. D., & Arnould, E. (2020). Portable technology and multi-domain energy practices. Marketing Theory, 20(1), 3–22.

Image provided by www.freepik.com

Meiling Fong

Benefits of Market Research

Next Steps

Other Articles

What is your question exactly?

Balancing the Timeline, Budget and Accuracy

Other Articles

Potential Applications of Genetic Data in Marketing

Ethical and Legal Challenges

Additional Info

Reference

Other Articles

Symptoms

Coping Strategies

How marketers can help

Reference

Other Articles

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