IMEDIA UK
Published: April 15, 2008
Getting the most from your market research budgets
Can new research methodologies help make the market research budget go further? The CEO Europe of Lightspeed Research looks at the issues and offers some guidance.
In the past, the research process was one way: researchers observed consumers and reported on them as if they were a different species. The researcher was king, using their powers to unlock the mysteries of the consumer. Today, the balance of power has shifted -- the consumer is definitely in control and researchers have to work harder to find and understand him or her. Today's survey respondents are difficult to reach, busier and more marketing literate. What's more, with the explosion of new media channels there are many more options for the brand marketer who wants to understand the consumer. How do you find your way through this maze to get the best from your market research strategy? Think like media plannersThe advantage of having so many research options available to you is that there should be a methodology that will work for every objective and every audience. The crucial point is not to force interaction through your own preferred communication channel or to try out the latest research fad, but to talk to the consumer in a medium that works for them. I believe market researchers could learn a lot from media planners because many of the same principles of advertising planning work here. A good researcher must find where the target market spends their time and devise an appropriate strategy for those media. For instance, Lightspeed Research wanted to understand the brand recall sponsors of a major sporting event. We used a mobile phone survey carried out during the half time break to ask where people were, if they were watching the event on TV in or out of home and who they thought was sponsoring the occasion. The beauty of the mobile research approach is not only does it deliver answers in very quick time (some 63 per cent of responses came back during the break) but it is a cost-effective way to reach an audience 'in the act'. Method is key
So what is the best research methodology? The answer is surprisingly simple: as with all good marketing campaigns, choose the methodology for your audience, campaign objectives, budget and timescale. Let me give you an example. One topic that has been discussed a lot recently in the market research world is using social networks to research consumers, especially the harder to reach youth market. Whilst it is certainly true that a lot of people are using these sites, and using them regularly, the question is, do people really want to be surveyed when they are chatting with their friends in their own private cyberspace? Perhaps a more effective approach would be to build up a community of people who are there specifically to be polled on their opinions about a range of topics. Like custom panels, this approach can be very effective at addressing your specific research needs to a smaller, but highly engaged and responsive target group. To choose the best research methodology for your project it is important to understand the limitations and benefits of each, from the depth of responses, level of interactivity, timescale and, of course, cost. But you must balance your requirements with the needs of the audience and only then should you choose the method. You may of course opt to use a number of methodologies simultaneously -- this is a very useful technique for sense checking your answers but it can be expensive. Design matters
With more and more companies sending surveys, you need to make sure people choose to answer your questions over the competition. To do this I recommend thinking beyond survey design to all the media your potential respondent is likely to experience. For instance, for an online survey think beyond the look of other surveys to online advertising and media campaigns -- you'll be competing against this for respondent's attention. Make the survey simple and easy to complete. Use interactivity only where it will help -- for instance you can include images, stream adverts and use sound, but you must do this only where it adds value to the respondent. Ultimately if you invest in good survey design, you'll save money and you'll get your answers back much more quickly. Once you have chosen the methodology, it is important to design the survey to maximise the impact. Don't simply write one survey and use it across different methodologies and audiences: if you're surveying under 16s, you need specialist help to write your survey; if you're using mobile phones as the platform for research, you need a few short questions; if you're using an online panel, make sure you've selected the right sample. If you've used a survey before and it has been successful, don't assume simply re-running it will give you the results you want a second time. Always reassess and re-evaluate before your research goes into the field. And don't forget to run a trial if you're not sure that a new approach is right for you. Good market research can save you money
I would argue that spending wisely on market research is even more important in uncertain times. Carrying out the right research can ensure that precious budgets are targeted to exactly the right media and audience, that new concepts and product launches are successful and that all valuable resources are exploited to their full potential. Saving the market research budget but spending money on poorly targeted promotions or setting the price of your latest new product launch at the wrong level for the market can be disastrous. Think of market research as a way of spending a small amount of money to reduce your risk and save or make a larger amount of money in the longer run. However, there are some ways you can make sure you don't waste money: think of reducing the sample size but buying the best quality; use an omnibus survey for a few questions rather than a customised project; get a number of quotes to compare price; ask your current provider to get a better deal, perhaps by agreeing to run further research projects in the future and lastly but perhaps most importantly, write a clear, detailed brief for your project. David Day is CEO Europe, Lightspeed Research.