Earlier this week, I attended the Esomar Congress in Amsterdam. It was a home game for me, but even I was impressed by the location and its very Dutch look and feel; I felt proud of my country (of course it helps that I’m a big fan of stroopwafels, poffertjes, mature cheese, and bitterballen).
Not only were the surroundings impressive, but so were the presentations. Only a couple of the 20 or so that I saw were average. Most presentations gave a good overview of a new methodology, the client side of the story, and the challenges faced. My personal highlights included the Heineken/TNS presentation, in which they used neuroscience (or more precisely electroencephalography [EEG], biometrics, and eye-tracking) to measure how relevant viewers felt the ad was to them, how excited they were by it, and what areas of the screen they looked at while it played. You can find the summary by Robert Bain of Research Magazine here.
One of the responsibilities of my role includes analyzing data in complex ways to help our clients understand how their target groups behave and if there are more relevant ways to segment them based on the results. However, sometimes it just makes sense to take a step back and look at some basic demographic profiles as a starting point for further analysis. We developed a new deliverable that we call Demographic Overview, and we kicked off the series with digital dads, followed by digital moms, and these will soon be complemented with digital natives and digital Seniors.
So why is it important for companies to look at dads? Forrester’s Technographics® data shows that s lightly more than one-third of US online men ages 18 to 50 are parents of a child younger than 18 living with them. Companies need to understand how the digital profile of dads differs from non-dads, as their behaviors influence the tech behaviors of their kids.
Some of our findings include that in general, dads are more likely to use the Internet as a resource, while non-dads are more active in entertainment-focused activities such as social networking. But dads know how to use social media to get their point across: 72% of dads who regularly engage in social activities have posted a review of a product or service on Twitter in the past 12 months, as compared with only 57% of non-dads.
As the newest addition to the market insights team, I would like to introduce myself. My name is Gina Sverdlov, and I recently joined Forrester as a consumer insights analyst.
I am very excited to be here! My background is in economics, consulting, advertising, and using quantitative methods to provide actionable insights for my clients. In my role here at Forrester, I am going to focus on bringing our multiple data sources to life and turning numbers to actionable insights. I am enthusiastic about engaging with our clients to devise strategies that will be successful in today’s changing market dynamics.
For my first Forrester document, ”Connection: The Spark That Lights Up The European Digital Home,” I’ve been looking at device ownership in Europe and how recent trends compare with the IHS Global Insight Economic Outlook. What I found, for example, is that laptop penetration in Europe has increased from 20% in 2006 to 51% in 2010 amid hefty declines in European retail sales in 2008 and 2009 and personal disposable income in 2009 and 2010. As a follow-up, I’ve identified how the uptake of different emerging technologies like LCD, plasma, and 3D TV correlate with ownership of other devices and where there are opportunities for consumer electronics (CE) companies.
Videos are definitely one of the strongest forms of media in our society nowadays, and there are 48 hours of video uploaded on YouTube per minute: from consumers sharing their creative expressions to companies uploading how-to videos about their products and brands.
These videos help many people in their purchasing process. My colleague recently had to shop for a car, and it’s been interesting to hear about her car shopping journey and how online videos helped her make the ultimate decision. She was interested in one specific car — the 2012 Ford Focus with the Sync with MyFord Touch comes as standard package. The challenge she, and Ford for that matter, encountered was that the majority of car salespeople aren’t that tech-savvy. While they are familiar with the horsepower and the smart-key entry feature, they really struggle to explain how to turn the car into a Wi-Fi hub or how the Sync system can read incoming text messages.
Trying to learn about every available optional feature, my colleague had to turn to the Internet for help. She was able to find demo videos on the Ford Focus website, on YouTube, as well as on her cable TV widgets. These online videos, produced by Ford, auto review sites, as well as tech-savvy online peers, really helped her understand how the optional features of this new product will enhance her ultimate driving experience. Forrester’s Technographics® data shows that videos created by other people are the most watched online type of video:
When you follow the market insights industry as closely as I do, it’s easy to get submerged in the doom and gloom of our role. Of course, there are great presentations and case studies at conferences on emerging methodologies, and we have the awards ceremonies — like Esomar’s Young Researcher of the Year or the AMA 4 under 40 — that highlight the talent in our industry. But in many cases it feels a bit like an in-crowd to me — like we’re the last of the Mohicans.
But I’ve come to realize that market research is still a very interesting profession for many (young) people, who see it as a great career and put their heart and soul into it. I’ve been hiring market insights professionals for my team for close to a year now: first a senior analyst, then a junior position, and finally two consumer insights analysts (one of which is still open). And it has been a great experience!
I’ve met a lot of smart people and I’ve been impressed not only by the candidates’ passion for data and how to link it to business issues, but also with the type of projects they have been working on at their organizations and their interest in new ways of doing research. Most of these projects never get presented as case studies at conferences, and not many people are sharing this knowledge via social media (yet), but the hiring process has left me with a good feeling about the state of our industry. There are plenty of smart young people out there that love doing market research and are very good at it!
Do you remember the last trip that you took? In this season, chances are that it was only last week or last month. As much as we love to travel, ideally for leisure, we are often overwhelmed by all the planning and coordination that are involved in the process — flights, car rentals, lodging, just to begin with. And if you are truly a planner, you want to add the places to dine, events to attend, and attractions to stop by to the itinerary.
Luckily, we are in the technology-centric era. We have websites, software, and devices that help us make life easier. Two companies that I recently came across, TripIt and Traxo, are designed to take care of travelers’ concerns. Much like TripIt, Traxo aims to simplifying travelers' lives by aggregating all of their travel information in one place, but it does so in a more elegant auto-pull manner versus an email push one. Traxo users just need to link their travel accounts to Traxo via a one-time, upfront process, and then Traxo automatically detects all of their trips, miles, and points and intelligently combines them into a single travel dashboard. It also allows members to share experiences with friends and possibly discover where they might have an overlapping trip with another.
The past three weeks have been quite busy within the enterprise feedback management (EFM) vendor landscape, with two major acquisitions. The first occurred on July 19th between Verint and Vovici; the second was announced today between QuestBack and Globalpark. These mergers make sense and are in line with how I see the EFM vendor landscape evolving over the next five years.
One part of the EFM vendor evolution will be the creation of what my colleague Andrew McInnes calls “comprehensive customer experience solution sets.” The Verint and Vovici merger demonstrates this. Here you have two distinct vendors, each with their own sweet spot within the EFM world. Verint is primarily known as an actionable intelligence solutions vendor that focuses on creating enterprise workforce optimization software and services to evaluate customer communications, especially in the contact center. Vovici is primarily known as an online survey management and enterprise feedback solutions vendor that focuses on helping companies obtain customer feedback from different channels and bring it all together to create a more holistic view of the customer. Essentially, Vovici had what Verint lacked — and Verint had what Vovici lacked. The result is now a more well-rounded and robust EFM offering.
PayPal recently shared its new peer-to-peer payment functionality that allows Android users to pay each other by tapping two Near Field Communication (NFC) enabled devices together. A user enters the transaction information and then taps her phone up against another phone also equipped with the same PayPal widget. After the phones buzz together, the recipient can decide to send or receive money by entering a PIN number.
Sounds very interesting, but are consumers interested in this functionality?
My colleague Charlie Golvin recently blogged about the Google Wallet initiative and its hurdles, one of them being lack of consumer interest. In fact, our Technographics® surveys show that interest in mobile payments is low and has not translated into activity in the US: Less than 6% of US online adults have ever used any type of mobile payment. Over the past three years, Forrester has seen interest in mobile payments continue to grow slowly.
July has been a “sizzling” month so far, and I don’t just mean the weather. Although its pretty hot and humid here in Miami, the market research world has been burning up with talk about mobile market research over the past three weeks. First, we kicked off the month with a debate I moderated about whether mobile research is the great hope or the false dawn. You can listen to a recording of the lively debate here. And now, the Merlien Market Research in a Mobile World conference just wrapped up. This conference brought together more than 200 client-side senior executives, market researchers, and mobile developers to discuss the challenges and opportunities mobile technologies can bring to generate customer insights.
Is all of this talk warranted? Yes! Just take a look at some of these facts. Forrester forecasts that by 2014, 65% of the world’s population will own at least one active mobile phone (click here for details; subscription required). And, earlier this year, Mary Meeker of Kleiner, Perkins, Caufield & Byers stated that we have globally reached an inflection point in Q4 2010―the global shipments of smartphones and tablets surpassed the global shipments of desktop and notebook PCs.
Recently, my colleague Jackie Anderson published a report, Understanding Online Shopper Behaviors, US 2011, and she indicated that 2010 online retail spending in the US had reached $175.2 billion and will grow at double-digit rates at least for another few years.
But among all the items that can be purchased online, some are more popular than others. We have extracted the top three and bottom three items that consumers research online and purchase online based on data from our North American Technographics® Retail Online Survey, Q3 2010 (US). The data shows that while online consumers are generally comfortable with both researching and purchasing books, hotel reservations, and airline tickets online, they still prefer to purchase footwear, consumer electronics, and household products from traditional channels.
About one-third of US Internet users aren't shopping online yet. The majority of them do use the Internet to research products but don't feel comfortable making the purchases online. The biggest barrier people mention for not buying online is their need to see things in person.