Are you reading this on a mobile device? If you are, you’re not alone. Over 50% of global internet usage is now on mobile devices, and this number will only continue to grow. 

As we spend more and more time on our phones and tablets, it’s become increasingly important for brands to ensure that their websites are optimized for mobile users. But what does “mobile optimization” actually mean? And why is it so important for brands to prioritize mobile responsiveness in their website design? 

In this blog, we’ll explore the answers to these questions and more. But first, let’s take a closer look at one fascinating statistic: 48% of users say that if a website isn’t mobile-friendly, they take it as a sign that the business doesn’t care (Google). Ouch. That’s a lot of potential customers who could be turning away from your website if it’s not optimized for mobile. So, let’s dive in and find out how to ensure that your website provides a great user experience for mobile users.

The rise of mobile usage.

Now that we’ve seen the importance of mobile responsiveness in website design let’s dive deeper into why it matters so much, especially for large multinational companies. The rise of mobile usage is one key factor. 

According to a recent report by Statista, over half of all internet usage is now happening on mobile devices. If your website isn’t optimized for mobile, you’re missing out on a massive audience of users accessing the web exclusively through their phones and tablets.

But it’s about more than just reaching more users. Mobile responsiveness also directly impacts user experience (UX), which is crucial for brands that want to build trust and loyalty with their customers. Users who visit your website on a mobile device expect it to be fast, easy to navigate, and visually appealing. If your website doesn’t meet these expectations, users will likely become frustrated and move on to a competitor’s site. In fact, Google reports that 57% of users say they won’t recommend a business with a poorly designed mobile site, so the stakes are high.

For multinational brands, the impact of mobile responsiveness on UX is even more critical. These companies often have global audiences, meaning users access their sites from a wide range of devices and internet connections. Ensuring your website is optimized for mobile can bridge the gap between users in different regions and provide everyone with a consistent, positive experience.

Mobile-first design.

As we’ve seen, mobile responsiveness is crucial for providing a great user experience on your website. But it’s not just about ensuring your site looks good on mobile devices – it’s also about designing it with mobile users in mind. That’s where mobile-first design comes in.

The concept of mobile-first design is exactly what it sounds like: designing your website with mobile users as the primary audience. This means prioritizing things like page speed, streamlined navigation, and clear, concise content that’s easy to read on smaller screens. By focusing on mobile-first design, you can create a website that’s not just responsive to different devices but explicitly optimized for mobile users’ needs and expectations.

Mobile-first design is becoming increasingly important in the context of user experience optimization for a few key reasons. First, as we’ve seen, more and more users are accessing the internet exclusively through mobile devices. This means that designing for mobile-first is not just a nice-to-have – it’s a necessity for reaching a large and growing audience.

Second, designing for mobile-first can make creating a great user experience easier across all devices, not just mobile. By focusing on the essentials of mobile design – things like fast load times, streamlined navigation, and clear content – you can create a strong foundation for your website that can be easily adapted for larger screens as well.

Best practices for mobile responsiveness.

Now that we understand the importance of mobile responsiveness and mobile-first design let’s dive into some best practices for optimizing your website for mobile users.

  1. Prioritize page speed: Mobile users expect fast load times, so optimizing your website for speed is essential. This can include compressing images, minifying code, and using a content delivery network (CDN) to reduce load times.
  2. Streamline navigation: Mobile screens are small, so making it easy for users to find what they’re looking for on your website is important. Keep your navigation menu simple and intuitive, and ensure all links and buttons are large enough to tap easily on a touchscreen.
  3. Use responsive design: Responsive design allows your website to adapt to different screen sizes automatically. This means that your website will look great and function properly whether a user is accessing it on a desktop, tablet, or smartphone.
  4. Optimize content for mobile: Mobile users are often looking for specific information quickly, so it’s essential to ensure that your content is clear, concise, and easy to read on a small screen. Use shorter paragraphs, larger fonts, and plenty of white space to make your content more mobile-friendly.
  5. Consider mobile-specific features: Several features can help to enhance the mobile user experience, such as click-to-call buttons, mobile-friendly forms, and swipeable carousels. Consider incorporating these features into your website design to make engaging with your content easier for mobile users.

By following these best practices, you can create a website that provides a great user experience for mobile users. Remember, designing for mobile-first isn’t just about making sure your website looks good on a smartphone – it’s about prioritizing the needs and expectations of mobile users throughout the design process. By doing so, you can create a website that’s responsive to different devices and optimized for your users’ needs, no matter how they access your site.

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The Technical Side of Mobile Responsiveness

While mobile-first design is a crucial element of optimizing the user experience on your website, it’s essential to pay attention to the technical side of mobile responsiveness. 

Several technical considerations can impact your website’s ability to adapt to different screen sizes and devices, such as CSS and media queries.

CSS, or Cascading Style Sheets, is a language used to describe the presentation of web pages, including layout, fonts, and colors. CSS can be used to create responsive designs by specifying different styles for different screen sizes. For example, you can use CSS to specify that an image should be a certain width on a desktop screen but scale down to a smaller size on a mobile device.

Media queries are a key component of responsive design that allows websites to adapt to screen sizes by applying different styles based on the device’s screen width. Media queries can specify different styles for a wide range of devices, from large desktop screens to small smartphone screens.

In addition to CSS and media queries, several other technical considerations can impact mobile responsiveness, such as page load times, image optimization, and responsive frameworks like Bootstrap or Foundation.

By understanding the technical side of mobile responsiveness and implementing best practices like CSS and media queries, you can create a website that provides mobile users with a seamless and engaging experience. While it may seem daunting to dive into the technical details, many resources are available to help you get started, such as online tutorials, forums, and developer documentation.

Remember, mobile responsiveness is not just about making your website look good on a smartphone – it’s about providing a great user experience for a large and growing audience of mobile users. 

Mobile Optimization and SEO: A Match Made in User Experience Heaven

We’ve already discussed how mobile optimization can impact user experience on your website, but did you know that it can also significantly impact your search engine rankings? Google, the world’s most popular search engine, has made it clear that mobile optimization is a key factor in its algorithm for ranking search results.

Google has even rolled out mobile-first indexing, prioritizing a website’s mobile version when determining its search engine ranking. If your website isn’t optimized for mobile, you could miss out on a significant amount of organic search traffic.

But why does mobile optimization have such a big impact on SEO? It all comes down to user experience. Google’s primary goal is to provide its users with the best possible search results, including ensuring that the websites they recommend offer a great user experience on all devices. Mobile-friendly websites are not only easier for users to navigate and read, but they also load faster and have lower bounce rates, which are all factors that Google considers when determining search rankings.

In addition to mobile-first indexing, Google offers many tools and resources to help you optimize your website for mobile users, such as the Mobile-Friendly Test and PageSpeed Insights. These tools can help you identify areas where your website may fall short in mobile optimization and provide recommendations for improving your mobile user experience.

By prioritizing mobile optimization in your website design, you can improve your user experience for mobile users and your search engine rankings and drive more organic traffic to your site. So, if you haven’t already, it’s time to prioritize mobile optimization for your website.

Essential Tools and Resources for Mobile Optimization

Implementing mobile-first design and optimizing your website for mobile users can seem like a daunting task. Still, several tools and resources are available to help you get started. Here are some essential tools and resources for mobile optimization to help you test and improve your website’s mobile responsiveness.

  1. Google’s Mobile-Friendly Test: This free tool from Google allows you to test your website’s mobile responsiveness and provides recommendations for improving your mobile user experience.
  2. PageSpeed Insights: Another free tool from Google, PageSpeed Insights analyzes your website’s performance on desktop and mobile devices and provides suggestions for improving page speed and user experience.
  3. Responsive design frameworks: Frameworks like Bootstrap and Foundation can help you create responsive designs more quickly and easily by providing pre-built CSS and JavaScript components that are optimized for mobile devices.
  4. Mobile-specific plugins: If you’re using a content management system like WordPress or Drupal, several plugins are available that can help you optimize your website for mobile users, such as WPtouch and Drupal Mobile.
  5. Online tutorials and forums: A wealth of online resources are available to help you learn more about mobile optimization, from tutorials on responsive design to forums where you can connect with other developers and designers.

Mobile Optimization and E-commerce: Why It Matters and How to Get it Right

In today’s digital landscape, e-commerce is more important than ever, with consumers increasingly turning to online shopping for their retail needs. And with mobile devices accounting for more than half of all internet traffic, e-commerce websites must be optimized for mobile users.

Mobile optimization is essential for e-commerce websites because mobile users often have different needs and behaviors than desktop users. For example, mobile users may look for specific products or information quickly or be more likely to make impulsive purchases. To optimize the mobile user experience for e-commerce, it’s important to understand these needs and behaviors and design your website accordingly.

So, what are some best practices for optimizing e-commerce sites for mobile users? Here are a few key considerations:

  1. Streamline the checkout process: Mobile users want a quick and easy checkout process, so minimizing the number of steps required to complete a purchase is important. Consider using a one-page checkout process, offering guest checkout options, and enabling mobile payment methods like Apple Pay and Google Wallet.
  2. Optimize product pages for mobile: Product pages are a key element of e-commerce websites, so it’s crucial to ensure they’re optimized for mobile users. This can include using high-quality product images, providing clear product descriptions, and including reviews and ratings.
  3. Use mobile-specific features: Several mobile-specific features can enhance the e-commerce user experience, such as click-to-call buttons, mobile-friendly forms, and push notifications. Consider incorporating these features into your website design to make engaging with your content easier for mobile users.
  4. Test and optimize: As with any aspect of website design, testing and optimizing your e-commerce website for mobile users is essential. Use tools like Google’s Mobile-Friendly Test and PageSpeed Insights to identify areas for improvement and make iterative changes over time.

Optimizing your e-commerce website for mobile users can improve user experience, drive more conversions, and ultimately increase revenue. So, prioritize mobile optimization in your strategy, whether you’re designing a new e-commerce site or optimizing an existing one.

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How a Market Research Agency Can Help Your Brand Achieve Mobile Optimization Success

Achieving mobile optimization success can be complex and challenging, requiring a deep understanding of user behavior, design best practices, and technical considerations. This is where working with a market research agency can be an invaluable asset for brands looking to improve their mobile user experience.

A market research agency can provide many services and solutions to help brands optimize their website for mobile users. Here are a few examples:

  1. User research: A market research agency can conduct user research to gain insights into how your target audience interacts with your website on mobile devices. This can include surveys, focus groups, and usability testing to identify pain points and opportunities for improvement.
  2. Design and development: A market research agency can work with your team to design and develop a mobile-first website that prioritizes user experience and incorporates best practices for mobile optimization. This can include creating responsive designs, optimizing page speed, and implementing mobile-specific features.
  3. Analytics and optimization: A market research agency can help you measure the impact of your mobile optimization efforts by analyzing data and identifying areas for improvement. This can include A/B testing, heat mapping, and user behavior tracking to fine-tune your mobile user experience over time.
  4. Competitive analysis: A market research agency can conduct a competitive analysis to identify how other brands in your industry are approaching mobile optimization and provide recommendations for differentiating yourself and providing a better user experience.

By working with a market research agency, brands can ensure their mobile user experience is optimized for their target audience and aligned with their overall business goals. Whether you’re looking to improve your website’s load times, streamline the checkout process, or implement mobile-specific features, a market research agency can provide the expertise and support you need to achieve mobile optimization success.

Key Takeaways

Mobile optimization is an essential aspect of user experience optimization for large multinational companies. With the rise of mobile usage, users expect websites to be fast, easy to navigate, and visually appealing on their mobile devices. 

By prioritizing mobile-first design and following best practices for mobile optimization, companies can create a website that not only meets these expectations but exceeds them.

While we’ve discussed the importance of mobile-first design and the impact of mobile optimization on search rankings and e-commerce, it’s also important to consider the technical side of mobile responsiveness and the tools and resources available to help you achieve mobile optimization success. Companies can gain a competitive edge by using these tools and resources and working with a market research agency to provide a seamless and engaging experience for mobile users worldwide.

Ultimately, mobile optimization is not just about making your website look good on a smartphone – it’s about providing a great user experience for a large and growing audience of mobile users. By prioritizing mobile optimization, brands can build customer trust and loyalty, improve search rankings, drive more conversions and revenue, and ultimately stay ahead in today’s fast-paced digital landscape.

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For our ‘People in Research’ series, we caught up with Harriet Jowett, a seasoned market research professional who recently joined Kadence International’s UK office as Insight Director and Head of People and Culture after a successful tenure at the Football Association (FA).

With her extensive experience and expertise in the industry, we were excited to hear Harriet’s insights on the latest market research trends, the challenges and opportunities facing the industry, and her vision for Kadence’s future growth and success.

Tell us about yourself, your background, and what brought you to your current position at Kadence International.

I started my career in agency roles and worked in several agencies with clients across retail and FMCGs, banking, tech, and automotive. I then moved into a client-side position at The Football Association (FA), leading the internal Insights team. During my three-and-a-half-year tenure at the FA, I supported stakeholders across the business to generate insight that could enable evidence-based decision-making.

At The FA, we promoted the value of insight and supported stakeholders internally to use research to help them achieve their strategic goals. This included driving ticket sales to matches at Wembley Stadium, improving the hospitality experience, and developing or trialling new grassroots football.

It was a fantastic role, but I wanted to return to the agency world and work with new and different clients to help them achieve their strategic objectives and apply what I’d learned client-side —bringing that strategic alignment of insight into the agency setting.

How do you identify research opportunities with clients?

Identifying new research opportunities depends on the relationship we have with our clients. Through our interactions and the work we deliver with existing clients, we build relationships whereby we can have two-way dialogues and conversations. For these clients, we can become a trusted partner, and once we understand their business goals and objectives, we can pre-empt on their behalf where research might offer value.

With new clients, we must identify from the outset what we can offer them as a global market research agency. How can we differentiate ourselves, and how can we offer value? 

Our strength lies in reaching hard-to-reach audiences; we have breadth and coverage across the globe. It’s about demonstrating how this value aligns with the client’s strategic goals and objectives. The first thing is to demonstrate the value of Kadence International and then focus on building and strengthening relationships — that’s where we can become a trusted partner and understand more about our clients and their businesses.

How do you ensure that research findings are communicated effectively to clients?

Having worked in a client-side position, I believe the strategic alignment of insight is critical. We must align our research and findings with a strategic objective or goal so that our clients can directly apply the results. 

It is also imperative to communicate our insights effectively, and there are three principles I tend to use.

The first is ensuring clarity of insight. No matter how complex the problem is, my rule of thumb is if I’m walking into a meeting and my client asks me what we found in our research; I should be able to summarise the findings and recommendations in less than five minutes. As a research partner, it is our job to ensure clarity of insight and how it can be used; otherwise, it will be challenging for our clients to activate internally.

Secondly, it’s very tempting to go off tangents with research and get swayed by what’s new, different, or interesting. It is our job to stay on track and align all that we uncover to the objectives at hand.

This is how we can demonstrate our value — linking the insights back to the objectives to help our clients maintain internal stakeholder engagement and buy-in, reinforce the value of research budgets and provide the evidence needed to make strategic decisions.

The third and final principle is being brave in how we present our insights and the recommendations these generate. At times, what we conclude can challenge internal hypotheses or existing thinking. We must be brave in putting forward our opinions and conclusions based on the research we have undertaken. This is where and how we can build trust.

How do you keep up with all the rapid changes in technology?

Keeping up with the latest technology is one of the biggest challenges in the market research industry. We must regularly attend industry conferences, online webinars, seminars, and events to stay connected to new innovations and best practices as much as possible. 

While embracing new ideas in technology and AI presents a brilliant opportunity in research, it is also essential to be mindful of where and how we apply them. We need to maintain credibility in the industry and the research we conduct for our clients. We must innovate, try new things, experiment, and explore while retaining the best practice foundations and pillars of research. 

We often discuss this with our clients to explore where and how different methodologies can be applied. Sometimes, the client and I will take a leap of faith and see what this can generate.

How do you use data, visualization, and storytelling in a compelling way with clients?

For me, storytelling in research and how we communicate insight is key. Ahead of any presentation, I always ask myself and my team: ‘If your laptop breaks during the presentation and you no longer have the slides to back up what you need to say, can you tell the story of the research and take your client on a journey to unfold the insights and recommendations?’ If not, let’s look again and ensure we know the story inside out.

Storytelling has been a huge focus area for me, and I have spoken at conferences about using it in research. 

So often, we can get lost in detail and need to lift our heads and see the bigger picture. We need to unravel the story, unravel what we’re trying to understand, and be able to tell our clients the story from start to finish.

Do you have a preference for a particular research methodology?

In my early years, I leaned more toward qualitative research specializing in running focus groups, moderating workshops, conducting in-depth interviews, and conducting ethnographic research. When I moved into my client-side role, I switched to quantitative research as we did many quantitative studies in-house with internally owned samples. We used analytical tools internally and only worked with partner agencies on more complex studies requiring advanced analytics.

As a result, I’m a mixed-method researcher now, and, truthfully, I don’t have a preference. What’s important to me is identifying the correct method to answer the client’s objectives and budget. There are times when the perfect methodology isn’t feasible from a timing or a budget point of view. So, what can we do within the time frame and budget to deliver the best possible results for our client? This is my golden rule when determining appropriate methodologies and recommending these to clients (while also ensuring best practices, of course).  

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What unique approaches do you take to designing and implementing a research project that delivers the necessary data and information?

I always propose upfront kick-off meetings and stakeholder engagement opportunities through workshops or one-to-one interviews throughout the project. Not only does this ensure we have buy-in on the project from the outset, but it also allows us to establish any existing hypotheses/questions to incorporate into the project and crucially understand how the research will be used. Having this clarity up-front is key to ensuring that our outputs will be what the client needs. 

In your previous roles, you have worked with research agencies like Kadence. What important lessons did you learn from that experience?

The biggest lesson was that proper planning and time up-front for considered design is essential – you only get out of research what you put into it. 

The other lesson I learned is that it requires further investigation if the data feels intuitively wrong or doesn’t make sense. So often on projects, some of the most insightful ‘a-ha’ moments come from when something doesn’t feel right, and you keep digging to understand what is at play under the surface. Don’t be afraid to challenge the data and make it work harder!

The third lesson is the importance of clarity, as I mentioned before. Clarity of message allows us to demonstrate the value of our design, analysis, and thinking. It’s the main thing that will keep clients engaged in the value of research. 

How do you engage stakeholders to ensure their voices are incorporated into the research process?

It helps to engage with the stakeholders upfront and, if time permits, to take the opportunity to keep them on the journey with you, especially with longer projects that might take multiple months to deliver. It is critical to reengage with them at different points to keep the project top of their mind as things constantly change in clients’ businesses.

What makes your new role at Kadence exciting?

I am excited to have returned to the agency world and am able to apply what I learned in a client-side setting to help a diverse range of clients achieve their strategic objectives.

The other part of my role is heading up People and Culture. This is a new area for me but one I’m very passionate about. I’ve always enjoyed managing and leading teams. I strongly believe developing others by providing opportunities to expand their skill sets and knowledge in a safe and collaborative environment is critical.

At Kadence International, we have five core values of the culture we aim to live and breathe daily. Since joining the team, I have run 1:1 interviews with all team members to understand if we are doing this and, if we’re not, why and what we can be doing differently. Following these 1:1s, I’m currently working with the senior leadership team to put some working groups in place and develop action plans for key initiatives aligned with each of our pillars. We already have an incredibly positive, supportive, and inclusive culture, and I’m excited to build on this further and create more opportunities for our teams to grow and develop. 

Do you have any advice for someone entering the market research field? 

The fascinating thing about market research is that it’s always changing. It’s constantly evolving and becoming more innovative over time. I would advise anyone entering the field to explore and try different methodologies and work with clients across a variety of sectors and in various roles (marketing, commercial, product, design, etc.) It’s the only way you can truly understand the value of market research and how to apply it strategically and commercially. You can also learn a lot if you take the time to listen and build relationships with your clients, and be open to new ideas. Building great networks with people working in other agencies is also a brilliant thing to try and do – it can be a small world in research, and there is so much we can learn and share with each other!

How do you keep the company culture alive in a remote environment? 

We’ve got several events in our UK office. We use Slack as the primary tool for connecting our team members when working remotely. There’s always something going on, and we have organized in-person socials. This helps encourage people to get into the office when and where they can. We also have many systems for recognizing and rewarding our team members, including shout-outs in our monthly meetings for the small and big things people do on a day-to-day basis. At the core, it’s about ensuring we’re creating a positive, inclusive, and supportive culture where our team members feel they can be themselves and contribute to the company (and the clients we work with). 

Your thoughts on what a successful leader should be like.

Leaders need to develop empathy and understanding of their team members. What environments are optimal for their growth?  How do we facilitate people’s personal lives alongside their working environments and ensure they have the right balance? How do we ensure we have happy clients and that our employees feel recognized and rewarded for the work they do for our clients?

Great leaders lead by example and demonstrate a commitment and investment in their people and want them to succeed, not because it looks good for their organization but because it’s good for their teams. 

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Great branding doesn’t just happen overnight. 

The most successful brands in the world owe their success, in part, to the strategic implementation of market research. 

Every aspect of their branding— down to the last curve in the typeface, has been carefully crafted using insights gained through market research. 

Think of any iconic brand, and you’ll undoubtedly see how great branding goes beyond how a brand looks and feels; it’s what evokes emotions in the minds of consumers. 

Brand recognition and reputation are crucial for a company’s success. A strong brand can create customer loyalty and trust, differentiate a company from its competitors, and increase market share. However, building a successful brand requires careful planning and execution. This is where market research comes in. 

Market research helps brands develop a branding strategy that resonates with their target audience and creates a strong and lasting impression. In this blog post, we will discuss the role of market research in developing successful branding strategies and provide examples of leading global brands and case studies.

Understanding the Target Audience

One of the most critical components of branding is understanding the target audience. This includes identifying their needs, preferences, and behaviors. Market research can provide insights into the target audience’s demographics, psychographics, and buying habits. This information can help companies to tailor their branding strategy to the specific needs of their customers.

Dove’s “Campaign for Real Beauty” was a successful branding strategy based on market research. The campaign targeted women who felt the beauty industry promoted unrealistic and unattainable beauty standards. Dove’s research showed only 2% of women described themselves as beautiful. The campaign featured images of real women with different body types and skin tones, promoting the idea that every woman is beautiful. The campaign was successful because it spoke to the needs of Dove’s target audience and challenged traditional beauty standards.

Differentiation from Competitors

Another crucial aspect of branding is differentiation from competitors. Companies must identify what differentiates them from their competitors and highlight these unique selling points in their branding strategy. Market research can help companies identify and compare their strengths and weaknesses.

Apple’s branding strategy is based on differentiation from its competitors. Apple’s research showed consumers were frustrated with the complexity of technology and the lack of intuitive design. Apple’s products are designed to be simple and easy to use, which sets them apart from their competitors. Apple’s branding strategy highlights the company’s commitment to design, simplicity, and innovation, creating a loyal customer base.

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Creating Brand Awareness and Recognition

Creating brand awareness and recognition is another critical branding component. Companies must ensure their brand is visible and memorable to their target audience. Brand awareness research can help companies identify the most effective channels for reaching their target audience and create messaging that resonates with them.

Coca-Cola’s “Share a Coke” campaign was a successful branding strategy for creating brand recognition. The campaign featured Coke bottles with common names printed on them, encouraging customers to share a Coke with their friends and family. The campaign was successful because it created a sense of personalization and connection with the brand, which increased brand recognition and loyalty.

How to conduct market research to shape powerful brands. 

Branding is a crucial aspect of any business, and conducting market research is essential in developing a successful branding strategy. Market research can provide valuable insights into consumer behavior, preferences, and attitudes, which can be used to develop a branding strategy that resonates with the target audience.

  1. Define the Research Objectives.

The first step in conducting market research for branding is to define the research objectives. This involves identifying the research goals, such as understanding consumer behavior, preferences, or attitudes, and designing a clear research plan to achieve these objectives.

  1. Identify the Target Audience.

The next step is to identify the target audience. This involves defining the target audience’s demographics, psychographics, and behaviors, including their needs, wants, and preferences. The target audience should be clearly defined to ensure the research is focused and the insights gained are relevant.

  1. Select the Research Methodology.

The third step is to select the research methodology. Several market research methodologies are used for branding research, including surveys, focus groups, in-depth interviews, and ethnographic research. The research methodology should be appropriate for the objectives and the target audience.

  1. Develop the Research Instrument.

Once the research methodology has been selected, the next step is to develop the research instrument. This involves designing the survey, focus group guide, interview questions, or ethnographic research plan. The research instrument should be designed to collect relevant data and provide insights into the target audience’s needs, wants, and preferences.

  1. Collect and Analyze the Data.

The next step is to collect and analyze the data. This involves collecting the data using the selected research methodology and analyzing the data to identify patterns and trends. The data should be analyzed using statistical methods, such as regression or factor analysis, to identify significant insights.

  1. Develop the Branding Strategy.

The last step is to develop the branding strategy. This involves using the insights gained from market research to develop a branding strategy that resonates with the target audience. The branding strategy should be developed with the target audience in mind and to meet their needs and preferences.

Methods for Conducting Market Research for Branding

  1. Surveys

Surveys are one of the most commonly used market research methods for branding research. Surveys can be conducted online, in person, or by phone and can be used to collect quantitative data on consumer behavior, preferences, and attitudes.

  1. Focus Groups

Focus groups involve bringing together a small group of people to discuss a specific topic, such as a brand or product. Focus groups can be used to collect qualitative data on consumer behavior, preferences, and attitudes.

  1. In-Depth Interviews

In-depth interviews involve one-on-one interviews with participants to gather detailed information about their behavior, attitudes, and preferences. In-depth interviews can provide valuable insights into consumer behavior and preferences.

  1. Ethnographic Research

Ethnographic research involves observing and studying people in their natural environment. This methodology is useful for understanding consumer behavior and preferences in a specific cultural context.

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Iconic brands and how they differentiate themselves.

Let’s take a closer look at other brands that illustrate the role of market research in developing successful branding strategies.

Airbnb evolved its brand identity and strategy. 

Before adopting the slogan “belong anywhere,” Airbnb’s message was to “travel like a human.” The change came to light in 2014 when founder Brian Chesky realized that Airbnb was more than a tool people used to travel.

Airbnb’s branding strategy is based on differentiation from traditional hotels. Airbnb’s market research showed that travelers sought unique and authentic travel experiences not found in traditional hotels. Airbnb’s branding strategy highlights the company’s commitment to providing travelers with a more personal and local travel experience. The company’s messaging focuses on the idea that travelers can “live like a local” and experience a city like a resident. This branding strategy has been successful because it speaks to the needs of Airbnb’s target audience and sets the company apart from its competitors.

One main ingredient in Nike’s messaging is to “bring inspiration and innovation to every athlete.” 

Nike’s branding strategy is based on creating a strong emotional connection with its target audience. Nike’s market research showed that its target audience sought more than just shoes or athletic apparel. Nike’s branding strategy highlights its commitment to inspiring and empowering athletes and promoting a “just do it” attitude. Nike’s messaging and advertising campaigns are designed to evoke a sense of inspiration and motivation in its target audience. The company has also created a strong emotional connection with its customers by associating itself with high-profile athletes such as Michael Jordan and Serena Williams. This branding strategy has been successful because it speaks to the emotional needs of Nike’s target audience and creates a strong and lasting impression.

Pepsi’s branding strategy is based on differentiation from its main competitor, Coca-Cola. 

Pepsi’s market research showed that its target audience sought a bolder, more exciting alternative to Coca-Cola. Pepsi’s branding strategy highlights the company’s commitment to providing a more youthful and dynamic brand image. The company’s messaging and advertising campaigns are designed to evoke a sense of excitement and energy in its target audience. Pepsi’s branding strategy has also successfully created memorable advertising campaigns, such as the “Pepsi Challenge” and the “Pepsi Max Unbelievable” campaign. These campaigns have created a strong and lasting impression on Pepsi’s target audience.

“If you’re going to be competitive, if you’re going to be comparative, if you’re going to be head-on, there’s a lot at risk,”

-Susan Fournier, Dean of the Questrom School of Business at Boston University

Market research plays a crucial role in developing successful branding strategies. Understanding the target audience, differentiating from competitors, and creating brand awareness and recognition are essential to a successful branding strategy. 

Market research can provide companies with valuable insights into their target audience and help them to tailor their branding strategy to their specific needs. Successful global brands such as Apple, Nike, and Coca-Cola have used market research to develop branding strategies that resonate with their target audience and create a strong and lasting impression. By investing in market research, companies can create successful branding strategies that set them apart from their competitors and build a loyal customer base.

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The world has long predicted the massive potential of Asia’s rise, but it’s time for the rest of the world to adjust its outlook. The reality is that the future has arrived even sooner than anticipated.

According to the Asian Development Bank (ADB), developing economies in Asia and the Pacific are expected to experience faster growth this year, fueled by the easing of pandemic restrictions and boosting consumption, tourism, and investment. The region’s growth prospects are particularly brightened by the reopening of the People’s Republic of China (PRC), which has shifted away from its zero-COVID strategy.

The ADB’s Asian Development Outlook (ADO) April 2023 report projects that economies in Asia and the Pacific will grow by 4.8% this year and the next, representing an improvement over the 4.2% growth rate in 2022. While developed countries are facing a growth slowdown, the emerging economies in Asia are set to thrive, with projections suggesting excluding the PRC; developing Asia is forecasted to grow 4.6% this year and 5.1% in 2024. Meanwhile, the region’s inflation is expected to gradually moderate towards pre-pandemic levels, although there may be considerable variation across different economies.

What’s fueling this growth? Favorable demographic trends with a young population, a growing middle class, and high-tech adoption rates are just a few factors responsible for this upward trend. With such impressive growth rates, it’s no surprise that more and more companies are expanding their operations and eyeing entry into these markets. 

Exciting factors like a burgeoning middle class, ongoing urbanization, and high technology adoption in countries like India, Vietnam, and the Philippines contribute to this explosive growth. But, hold on, there are risks involved too.

Cultural and language barriers and the need for more information and data make market research in these markets more challenging. Are you ready to take the plunge and seize the opportunities offered by these emerging economies?

With an impressive growth rate, it’s no wonder businesses worldwide are turning their attention to these emerging economies, eager to tap into their enormous potential. But, to successfully penetrate these markets, comprehensive market research is crucial. In this blog post, we’ll explore how to conduct market research in emerging markets in Asia and identify the key factors to consider with real-world examples of global brands and how they entered these markets.

  • Understand the Market.

The first step in conducting market research in emerging markets is understanding the market. This includes understanding the economic, political, and cultural environment, as well as the needs and preferences of the target audience. Companies must conduct thorough research to understand the local market, including the competitive landscape, regulatory environment, and consumer behavior.

  • Identify the Target Audience.

The next step is to identify the target audience. This includes understanding the target audience’s demographics, psychographics, and buying habits. Companies need to research to understand the needs and preferences of the local population and how they differ from other markets.

  • Use Local Research Partners.

Companies should consider partnering with local research partners to overcome language and cultural barriers. At Kadence International, we have a breadth of coverage worldwide, with offices in ten countries.

Local research partners can provide valuable insights into the local market and help companies understand the target audience’s cultural nuances. 

  • Consider Online Research Methods.

Online research methods can be an effective way to conduct market research in emerging markets. Online research methods can gather data from a large and diverse population sample and can be completed quickly and cost-effectively.

  • Pay Attention to Cultural Nuances.

Cultural nuances are essential to consider when conducting market research in emerging markets. Companies need to understand the cultural norms and values of the local population and adjust their research methods accordingly.

When Coca-Cola entered the Myanmar market, it conducted online surveys to understand the local market. Coca-Cola used online surveys to gather data on the local population’s beverage preferences and habits.

When US-based fast food giant KFC entered the Chinese market, it had to adapt its menu to appeal to the local population. KFC introduced menu items that catered to local taste preferences, such as rice dishes and egg tarts. Similarly, when McDonald’s entered the Indian market, it conducted extensive research to understand the local market. The brand has no beef or pork products on its menu and adopted certain items and their names for the Indian market, like the Maharaja Mac.

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Ownership structures 

Asian companies have emerged as global leaders in traditional industries such as industrial and automotive sectors and in areas such as technology, finance, and logistics. The last two decades have seen a shift in the industry mix of the region’s largest companies, with a decline in the manufacturing of capital goods and growth in infrastructure and financial services.

When it comes to ownership structures, growth strategies, and operating styles, Asian corporate giants differ significantly from publicly owned Western multinationals. About two-thirds of the 110 Chinese companies listed in the Fortune 500 are state-owned, and the region also boasts several large conglomerates. 

In Japan, the “big six” keiretsu also have significant weight in the country’s equity market, with each owning numerous companies across multiple industries. For instance, all major Japanese car manufacturers can be traced back to a keiretsu. 

And India’s top six conglomerates alone employ more than two million people.

Emerging Markets in Asia

Here are some examples of emerging markets in Asia:

  • China: A large, fast-growing economy with a massive population and a rapidly expanding middle class, supported by a government policy of reform and opening up to the world.
  • India: Boasting a young and growing population, a rising middle class, and a government focused on reform, India is poised to be one of the fastest-growing economies in the world
  • Indonesia: With a young population, a rapidly urbanizing society, and a large consumer market, Indonesia is a thriving economy and an attractive destination for foreign investment.
  • Vietnam: An economy that has transformed rapidly in recent years, Vietnam is home to a young and growing population, low labor costs, and an expanding manufacturing sector.
  • Philippines: A country with a young and educated workforce, a large consumer market, and a rapidly expanding services sector, the Philippines is a popular destination for foreign investment and outsourcing.
  • Malaysia: An economy that has diversified beyond its traditional focus on commodities, Malaysia is home to a well-educated workforce, a thriving manufacturing sector, and a growing services sector.
  • Thailand: A popular tourist destination and manufacturing hub, Thailand is home to a large and growing consumer market, a robust agricultural sector, and a thriving services sector.
  • Bangladesh: With a large and growing population, a low-cost labor force, and a government committed to reform and development, Bangladesh is one of the fastest-growing economies in the world.
  • Pakistan: A country with a large and young population, a thriving agricultural sector, and a rapidly growing services sector, Pakistan has enormous economic potential.
  • Myanmar: With over 50 million people and an economy opening up to the world, Myanmar is poised for rapid growth in the coming years.

Cultural Aspects Brands Need to Know

When conducting market research in emerging markets in Asia, companies need to understand the cultural aspects of the local population. Here are some cultural elements that brands need to know:

Collectivism vs. Individualism. 

Some cultures are more collectivistic, where the needs of the group are prioritized over the needs of the individual. Other cultures are more individualistic, where the needs of the individual are prioritized over the needs of the group.

High vs. Low Context. 

Some cultures are high-context, which means they rely heavily on non-verbal communication and indirect language to convey meaning. Other cultures are low-context, where people rely more on direct communication and explicit language.

Power Distance. 

Some cultures have a high power distance, with a significant distance between those in authority and those who are not. Other cultures have a low power distance.

Masculinity vs. Femininity. 

According to Geert Hofstede, “masculine” and “feminine” are often used to describe society’s cultural dimensions. These dimensions are based on various cultural variables, such as values, beliefs, and attitudes.

In a “masculine” culture, competitiveness, assertiveness, and material success are highly valued. This may lead to a focus on achievement and advancement in the workplace, emphasizing individual success over group cohesion. There is also a tendency to prioritize ambition and competition over collaboration and empathy.

In a “feminine” culture, on the other hand, collaboration, empathy, and social harmony are emphasized. There may be less focus on material success and more on the quality of life, work-life balance, and social responsibility. In the workplace, there may be more emphasis on collaboration and teamwork, with less emphasis on hierarchical structures or individual achievement.

It’s worth noting that these cultural dimensions are not binary or mutually exclusive, and different cultures may exhibit varying degrees of masculine and feminine characteristics. Additionally, individuals within a culture may have unique values and beliefs that don’t necessarily conform to cultural norms.

Religion.

Religion can also play a significant role in shaping cultural values and norms in emerging markets. Companies need to understand the religious beliefs and practices of the local population and how they may impact consumer behavior. For instance, in Indonesia, where most of the population follows the Islamic faith, even non-food companies must consider “halal” concepts.

Case Study: Coca-Cola in India

Coca-Cola is a global brand that has successfully entered emerging markets in Asia. One example is India. Coca-Cola entered the Indian market in 1993 and initially faced challenges due to cultural and political barriers. The company had to adjust its marketing strategy and product offerings to appeal to the local population.

Coca-Cola conducted extensive market research in India to understand the local market. The company discovered that the local population preferred sweeter beverages and was concerned about water quality. Coca-Cola adjusted its product offerings to include sweeter beverages and invested in local water treatment facilities to ensure the quality of its products.

Coca-Cola also adjusted its marketing strategy to appeal to the local population. The company used local celebrities and cultural events in its advertising campaigns to create a solid emotional connection with the local audience.

Due to language and cultural barriers, conducting market research in emerging markets in Asia can take time and effort. 

However, with the right approach, companies can enter these markets and create successful branding strategies. Understanding the local market, identifying the target audience, using local research partners, considering online research methods, and paying attention to cultural nuances are all critical factors to consider when conducting market research in emerging markets. 

Companies that take the time to conduct thorough market research and adjust their branding strategy to meet the needs of the local population can create a strong and lasting impression with their target audience.

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Challenges brands face in emerging markets and strategies for overcoming them.

While emerging markets in Asia offer significant growth opportunities for brands, they also present unique challenges that brands must overcome. These challenges include language and cultural barriers, limited infrastructure, and the need for more data and information. 

Language and Cultural Barriers.

One of the primary challenges brands face in emerging markets is language and cultural barriers. Companies must understand the local language and cultural nuances to develop a successful branding strategy that resonates with the target audience.

To overcome language and cultural barriers, brands should consider partnering with local marketing agencies and research firms. These firms can provide valuable insights into the local culture and language, help develop messaging that resonates with the target audience, and ensure that the brand’s message is culturally sensitive and appropriate.

When Nike entered the Chinese market, the company partnered with a local marketing agency to develop a branding strategy that resonated with the local population. The agency provided insights into the local culture and language, which helped Nike develop messaging that resonated with the target audience.

Limited Infrastructure.

Another challenge brands face in emerging markets is limited infrastructure. Emerging markets may need more access to transportation, communication, and other essential infrastructure, making it difficult for brands to distribute products and conduct market research.

To overcome limited infrastructure, brands should consider developing innovative distribution strategies that leverage local infrastructure. For example, when Coca-Cola entered the Myanmar market, the company partnered with local distributors to establish a distribution network that leveraged local transportation infrastructure.

Lack of Data and Information.

Another challenge brands face in emerging markets is a need for more data and information. Emerging markets may need more access to data and information, making it difficult for brands to conduct market research and develop a successful branding strategy.

To overcome the lack of data and information, brands should consider investing in primary research methods, such as surveys, focus groups, and interviews. These research methods can help brands gather data and information directly from the target audience and provide valuable insights into consumer behavior.

Regulatory Challenges.

Another challenge brands face in emerging markets is regulatory challenges. Emerging markets may have different regulatory frameworks, making it difficult for brands to navigate the local market and establish a presence.

To overcome regulatory challenges, brands should consider partnering with local experts who understand the local regulatory environment. These experts can provide valuable insights into local regulations and help brands navigate the local market.

Market research methodologies brands use to enter emerging markets in Asia.

Market research methodologies are diverse and should be tailored to the specific needs of each market. Surveys, focus groups, ethnographic research, in-depth interviews, social media monitoring, and big data analytics are some of the most commonly used market research methodologies in emerging markets in Asia. 

Using these methodologies, brands can collect accurate and relevant data and develop successful branding strategies that resonate with the target audience.

As brands look to enter emerging markets in Asia, they must use market research methodologies tailored to each market’s specific needs. Market research methodologies in Asia are diverse, and brands must choose a suitable method to collect accurate and relevant data.

Surveys and Questionnaires.

Surveys and questionnaires are the most commonly used market research methodology in emerging markets. Surveys are typically used to gather data on consumer behavior, preferences, and attitudes. They can be conducted face-to-face, online, or by phone.

In India, brands often use surveys to understand the local market. For example, when Coca-Cola entered the Indian market, it surveyed the local population’s beverage preferences and habits.

Focus Groups.

Focus groups are another popular market research methodology involving a small group discussing a specific product or service. 

These groups can provide valuable insights into consumer behavior, attitudes, and preferences.

Apple conducted focus groups to understand the local population’s needs and preferences when it entered the Chinese market.

Ethnographic Research.

Ethnographic research involves observing and studying people in their natural environment. This methodology helps understand consumer behavior and preferences in a specific cultural context.

In Thailand, brands often use ethnographic research to understand the local market. For example, when Unilever entered the Thai market, it used ethnographic research to understand the local population’s skincare habits and preferences.

In-Depth Interviews.

In-depth interviews involve one-on-one interviews with participants to gather detailed information about their behavior, attitudes, and preferences. In-depth interviews can provide valuable insights into consumer behavior and preferences.

In Vietnam, brands often use in-depth interviews to understand the local market. For example, when Nike entered the Vietnamese market, it conducted in-depth interviews with local consumers to understand their needs and preferences.

Social Media Monitoring.

Social media listening and monitoring involves monitoring and analyzing social media platforms to gather consumer behavior and preferences data. Social media monitoring can provide real-time insights into consumer behavior and preferences.

In Indonesia, brands often use social media listening and monitoring to understand the local market. When McDonald’s entered the Indonesian market, it monitored social media to understand the local population’s reaction to its menu items and marketing campaigns.

Big Data Analytics.

Big data analytics involves analyzing large volumes of data to identify patterns and trends. This methodology helps understand consumer behavior and preferences at a large scale.

In the Philippines, brands often use big data analytics to understand the local market. For example, when Nestle entered the Philippine market, it used big data analytics to understand the local population’s food preferences and habits.

Emerging markets in Asia offer significant growth opportunities for brands but also present unique challenges. To establish a successful presence in these markets, brands must overcome language and cultural barriers, limited infrastructure, lack of data and information, and regulatory challenges. By partnering with local experts, investing in primary research methods, and developing innovative distribution strategies, brands can overcome these challenges and grow a successful branding strategy that resonates with the target audience.

When looking to conduct panel research, consider partnering with Kadence International, a multi-award-winning global market research agency with extensive experience and expertise in panel research. Contact us today to learn more about our panel research services and how we can help you gather the insights you need to drive business success.

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The USD 500 billion beauty and personal care industry encompasses everything from skincare and cosmetics to hair care and personal grooming. This lucrative industry has seen a significant surge in influencer marketing campaigns to reach its target audience. In fact, beauty brands are some of the most-followed and active accounts on social media. 

According to LTK’s national shopper study, beauty brands are the top product category from influencer recommendations. For beauty brands, there are ample opportunities for social selling; however, the intense competition in this space can be daunting. 

The key to differentiating a beauty brand in such a crowded marketplace is to have the right influencer to communicate the message personally. This helps people become engaged and commit to the beauty brand. Beauty brands must also evaluate their campaign’s success to continue building upon it. 

In this guide, you will learn about the benefits of utilizing the top influencer platform to expand your beauty brand; tips on strategy, campaigns, and selecting the right influencers; and guidance on where to begin.

In the past decade, influencer marketing has become a crucial part of the marketing strategies of many beauty brands. Influencer marketing is leveraging social media influencers’ reach and influence to promote products or services. Beauty brands have partnered with influencers with a significant following on social media platforms such as Instagram, YouTube, and TikTok.

This guide will explore the impact and effectiveness of influencer marketing on beauty brands, including the advantages and disadvantages of this marketing strategy. 

What is influencer marketing?

Influencer marketing is a type of social media marketing that focuses on using key leaders or ‘influencers’ to drive brand messages to the target market. Influencers are industry experts and social media personalities with established credibility, a large following, and niche audiences.

Influencer marketing plays an integral role in the beauty and personal care industry. From make-up tutorials to health and wellness routines, influencers can offer personal, real-time tips to help potential customers make informed purchasing decisions. 

Companies view influencers as key brand partners in helping them connect with a targeted audience to increase awareness and sales. Creators or influencers representing the brand and its products can be extremely valuable for designing content strategies to reach a specific demographic. Such strategies can be crafted using various visuals and interactive materials that articulate the brand’s messaging and the influencer’s experiences. This can lead to an authentic relationship between the influencer and the brand’s audience.

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The Advantages of Influencer Marketing for Beauty Brands:

  • Increased Brand Awareness

Partnering with influencers can help beauty brands reach a wider audience and increase brand awareness. Influencers have a dedicated following on social media, and their followers often trust and value their recommendations. Influencers promoting a beauty brand’s products can generate interest and awareness among their followers, leading to increased brand exposure.

  • Targeted Marketing

Influencer marketing allows beauty brands to target specific demographics and audiences. By partnering with influencers with a significant following within a particular demographic, beauty brands can reach their target market more effectively. This can result in higher engagement rates and more conversions.

  • Cost-Effectiveness

Compared to traditional advertising methods, influencer marketing can be a cost-effective way for beauty brands to promote their products. While partnering with top-tier influencers can be expensive, beauty brands can also work with micro-influencers with smaller followings but can still reach a targeted audience at a lower cost.

  • Authenticity

Influencer marketing can add authenticity to a beauty brand’s marketing strategy. Influencers are often seen as authentic and trustworthy by their followers, which can increase the perceived value of a beauty brand’s products. This can lead to increased engagement and conversions.

The Disadvantages of Influencer Marketing for Beauty Brands:

  • Risk of Inauthenticity

One of the main disadvantages of influencer marketing is the risk of inauthenticity. If influencers promote products solely for the sake of payment, it can come across as inauthentic and may damage their reputation with their followers. This can also poorly reflect the beauty brand, leading to decreased trust and credibility.

  • Limited Control

Beauty brands have limited control over influencers’ content when promoting their products. While they can provide guidelines and suggestions, ultimately, the influencer has creative control over the content. This can lead to inconsistencies in messaging and branding.

  • Saturation

Influencer marketing has become increasingly popular in recent years, leading to saturation in the market. With so many beauty brands partnering with influencers, it can be difficult for a brand to stand out and make an impact.

  • Challenges with metrics and ROI

Measuring the effectiveness of influencer marketing can be challenging, and it can be difficult to determine the return on investment (ROI). Metrics such as engagement rates, impressions, and conversions can be used to measure the success of a campaign, but it can be difficult to attribute sales directly to influencer marketing.

There are two types of influencers —micro-influencers and macro-influencers. 

Both micro-influencers and macro-influencers have a place in the marketing world, but they have some distinct differences that set them apart.

The main differences between micro and macro influencers are their reach and cost. Micro-influencers usually have between 10k-100k followers, while macro-influencers have above 100k followers.

Micro-influencers have a smaller but more dedicated following, often with niche interests. They also tend to engage their followers more since their following is smaller. This can create stronger bonds between influencer and follower, often resulting in more meaningful connections. 

On the other hand, macro-influencers have a larger but less dedicated following, usually due to a broader range of interests and less one-on-one interaction with followers.

Another big difference between the two is their rates for sponsored posts. Since macro-influencers often have bigger followings, they can usually command higher rates than micro-influencers. 

However, this doesn’t necessarily mean they always have a higher ROI. Micro-influencers can have a higher ROI due to their more engaged followers.

Micro and macro influencers have advantages and disadvantages; choosing the right influencer will depend on the campaign’s specific needs. The size of their audience, the quality of their engagement, and the cost must be considered when selecting an influencer.

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What types of platforms are most popular for Influencer Campaigns

Influencer campaigns showcase the power of influencers to boost brand engagement and inspire potential customers. This, in turn, can significantly affect sales within the beauty and personal care industry.

Beauty influencers greatly impact product sales worldwide, creating trends and transforming the beauty industry. 

The platform with the most beauty influencers is undoubtedly Instagram, with its ease of use, huge user base, and engaging features allowing influencers to build their own audience. Countries like the US, UK, India, and Brazil lead the charge for the total number of influencers, but as social media usage expands to other areas of the world, this number will grow.

Instagram is also the platform with the highest engagement rate for beauty influencers, particularly when it comes to micro-influencers. Due to their niche approach and smaller but highly dedicated following, micro-influencers can leverage relationships with their followers to have high interaction rates with posts, especially compared to traditional beauty influencers, who may have more followers but often receive lower engagement.

The success of Instagram influencers has spilled over to other platforms, particularly YouTube, which is seeing an increasing number of beauty influencers and related content. However, while it may not have the highest engagement rate for beauty influencers, YouTube is still a major player in the market and should not be overlooked.

Case Study: Glossier

Glossier is a direct-to-consumer beauty brand that has successfully leveraged influencer marketing to promote its products. The brand was founded in 2014 and has become a cult favorite among millennial and Gen Z consumers.

Glossier’s influencer marketing strategy focuses on working with micro-influencers with smaller followings but can still reach a targeted audience. The brand has also cultivated a community of “Glossier Girls,” who are fans of the brand and are often featured on Glossier’s social media platforms.

One of Glossier’s most successful influencer campaigns was the launch of its

Four beauty brands that effectively used influencer marketing to build a loyal following: 

US – Fenty Beauty by Rihanna

Fenty Beauty by Rihanna is a US-based beauty brand that launched in 2017. The brand’s strategy heavily relied on influencer marketing, particularly on social media platforms like Instagram and YouTube. The brand collaborated with various influencers, from micro-influencers to celebrities, to promote its products.

One of the brand’s most successful influencer campaigns was the launch of its Pro Filt’r Soft Matte Longwear Foundation. The brand partnered with influencers of various skin tones and types, ensuring the foundation was showcased to a diverse range of individuals. This helped the brand gain traction and build a loyal following, particularly among women of color who had previously struggled to find a foundation that matched their skin tone.

UK – Charlotte Tilbury

Charlotte Tilbury is a UK-based beauty brand that launched in 2013. The brand has a strong influencer marketing strategy and has partnered with numerous beauty bloggers and influencers to promote its products. Charlotte Tilbury’s influencer campaigns have been particularly effective on Instagram, where the brand has over 3 million followers.

One of the brand’s most successful influencer campaigns was the launch of its Pillow Talk lipstick. The brand partnered with influencers such as Zoella, who posted Instagram stories and blog posts about the lipstick, generating buzz and interest around the product. The campaign was so successful that the brand expanded its Pillow Talk range to include an eyeshadow palette and blush.

India – Nykaa

Nykaa is an Indian beauty and wellness brand that launched in 2012. The brand’s strong online presence has leveraged influencer marketing to expand its reach and increase sales. Nykaa has partnered with micro-influencers and celebrities to promote its products, particularly on Instagram and YouTube.

One of Nykaa’s most successful influencer campaigns was the launch of its matte lipstick range. The brand partnered with influencers such as Masoom Minawala, who created YouTube tutorials showcasing lipsticks and how to wear them. The campaign generated over 6 million views on YouTube and helped the brand establish itself as a leader in the Indian beauty market.

China – Perfect Diary

Perfect Diary is a Chinese beauty brand that launched in 2017. The brand has rapidly gained popularity in China due to its influencer marketing strategy. Perfect Diary has partnered with numerous Chinese influencers, particularly on the social media platform Weibo, to promote its products.

One of Perfect Diary’s most successful influencer campaigns was the launch of its “Dreaming Of Sea” eyeshadow palette. The brand partnered with influencers such as Becky Li, who created makeup tutorials using the palette on Weibo. The campaign generated over 200 million views and helped the brand become a major player in the Chinese beauty market.

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Diversity and Inclusion in Influencers

The landscape of beauty influencers is also becoming more diverse as many male beauty influencers are popping up on social media. Their content may range from advice on skincare, fashion tips, or personal videos featuring their daily activities and lifestyle. This new group of influencers is set to revolutionize the beauty industry further and provide greater inclusivity to an already diverse sector.

In conclusion, the impact of beauty influencers can be felt worldwide and shows no sign of slowing down anytime soon. Instagram is currently leading the pack in terms of the number of influencers and engagement rate, but with an influx of new platforms and styles of influencers emerging, there is no telling what the future of beauty influencers will bring.

No, the same beauty influencers are not always active on all social channels. For example, while they might have a thriving presence on YouTube, they might not have an active presence on Instagram or TikTok. It all depends on the influencer and what platforms they feel the most comfortable and effective on. Each influencer usually specializes in one or two platforms, often tailoring their content for that specific channel. They might focus on Instagram to showcase beauty products but specialize in Youtube for longer-form content, like tutorials. Additionally, some influencers are active on all platforms, creating different types of content on each. This approach can help build their presence across all channels, increasing success and visibility.

The impact of Beauty Influencers 

Beauty buyers seek products and services that best suit their preferences, needs, and values. That’s why beauty and personal care brands are now looking to beauty and wellness influencers to engage with potential buyers and promote their products and services.

Beauty and wellness influencers are highly engaged and passionate individuals with a large audience who share honest reviews and opinions on the latest beauty trends. They often receive incentives or gifts from brands in return for their content and have the power to make or break a product launch or sale.

By engaging with beauty influencers, beauty brands can promote their products to a wider and more specific audience, gain valuable feedback from buyers, increase product visibility, and establish buyer loyalty. Through the influencer’s content, brands can promote products to customers in an interactive, entertaining, and innovative way.

To ensure maximum benefit from influencer marketing, beauty brands need to clearly define the goals of their campaign, identify the influencers that are best suited to the goals and brands, establish and implement guidelines for engagement, provide the necessary support for influencers, track engagement data, and analyze campaign results.

In addition to their campaigns, beauty brands can also maximize their strategy by utilizing influencer marketing software and creator management. With this software, brands can easily discover, track and engage influencers in their network. Additionally, they can measure and monitor the success of campaigns in real-time, assess their ROI, track payment schedules, and view detailed performance metrics.

By leveraging influencer marketing in their beauty marketing strategies, large and small beauty brands can gain loyal customers, generate brand awareness and create long-term engagement and relationships.

Crafting an influencer campaign for a beauty brand requires strategy and research to create an effective campaign that produces results. 

Tips to keep in mind when planning an influencer campaign.

Choose the Right Influencers.

Select influencers who align with the goals and mission of your beauty brand and have an audience that would be interested in what your beauty brand offers.

Utilize Existing Connections.

See if you already have a relationship with any influencers and use it to your advantage. Influencers that you already know can give you a better idea of what their followers like, how to approach them, and how to interact with them.

Set a Realistic Budget.

Knowing how much you can spend on your influencer campaign will help you create an achievable goal. Determine the most important part of the campaign, such as whether you want a certain number of impressions, engagement, or followers. Then adjust your budget to what makes the most sense for your goals.

Establish Metrics.

Establishing specific metrics to measure success is important to ensure you get a return on investment. Create KPIs focusing on the outcome you are trying to achieve, whether sales or awareness.

Analyze Performance.

Once your influencer campaign has concluded, it’s important to look at the results and determine what worked and what didn’t. Analyzing performance will help you adjust your future campaigns to achieve maximum success.

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Are you tired of investing time, money, and resources to develop products that don’t resonate with your target audience? Have you ever launched a product that received little to no interest from the market? If so, you’re not alone. 

Launching a successful product in today’s highly competitive market can be daunting. However, concept testing can help you validate your product ideas, refine your concepts, and increase the likelihood of success.

Concept testing evaluates customer responses to a product idea before launching it in the market. It involves gathering feedback from potential customers to understand their preferences, pain points, and expectations. By conducting concept testing at different stages of product development, you can identify potential issues and improve your product before it’s too late.

In this article, we will explore the importance of concept testing in product development and provide an overview of the different stages involved in the process. From idea generation to launch testing, we will discuss how concept testing can help you maximize your product’s potential and increase your chances of success in the market. 

What is concept testing? 

Concept testing, also known as idea testing, is a crucial step in the product development process. It involves testing a product idea with potential customers to gauge their level of interest and gather feedback to refine and improve the idea.

Concept testing aims to validate a product idea before investing significant resources in developing it. It allows product teams to gather valuable insights from potential customers and make data-driven decisions based on their feedback. This helps to reduce the risk of failure and increases the chances of launching a successful product.

Concept testing can be conducted using various methods, including surveys, focus groups, and interviews. It typically involves presenting potential customers with a description, sketch, or prototype of the product and gathering their feedback on various aspects, such as its features, pricing, and overall appeal.

Concept testing is an integral part of the product development process as it can help companies avoid costly mistakes, such as launching products with no market demand. By gathering feedback early on in the product development process, companies can make informed decisions about whether to proceed with the product idea or make modifications to improve its chances of success.

Stage 1: Idea Generation

Ah, the brainstorming stage – the time to let your imagination run wild with new product ideas! But wait, before you start investing time and resources into developing a product, have you considered the importance of concept testing in the idea generation phase?

Concept testing is critical in the idea generation stage, as it helps to validate and refine your product ideas. Imagine spending months developing a product only to discover that it’s not something your target audience wants or needs. That’s where concept testing comes in – it helps you to validate your ideas before you invest significant resources into developing them.

Let’s say you have an idea for a new fitness tracker that tracks your daily water intake. You might think this is a great idea, but will your target audience feel the same? Through concept testing, you can present your idea to potential customers and gather their feedback on your product’s features, pricing, and overall appeal. If your target audience doesn’t see the value in tracking their water intake, you can refine your idea to include more appealing features.

In addition to validating your ideas, concept testing in the idea generation phase can also help you to generate new ideas. Presenting your product idea to potential customers may generate feedback that inspires new features or functionalities you have yet to consider.

Stage 2: Concept Development

Welcome to stage two – concept development! This is where you take your product ideas and start developing them into a tangible concept. But how do you know which concept is the most promising one? You guessed it – concept testing!

Concept testing in the concept development stage can help you to evaluate different concepts and identify the most promising ones. Let’s say you have developed three concepts for your fitness tracker – one that tracks water intake, one that tracks sleep patterns, and one that tracks heart rate. Through concept testing, you can present these concepts to potential customers and gather feedback on their level of interest in each one. Based on their feedback, you can identify which concept most appeals to your target audience.

Not only can concept testing help you to identify the most promising concept, but it can also help you to refine the concept further. Through feedback from potential customers, you may discover areas that need improvement or additional features that would make the product even more appealing.

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Stage 3: Prototype Testing

Now that you have a promising product concept, it’s time to develop and test a prototype with your target audience. This is where concept testing can help to refine your prototype and identify areas for improvement.

Let’s say you have developed a prototype of your fitness tracker that tracks water intake. You present it to potential customers, and while they are interested in the idea, they express concerns about the size and comfort of the tracker. Through concept testing, you can gather this feedback and refine your prototype to address these concerns. You could make the tracker smaller or adjust the design to make it more comfortable to wear.

In addition to refining your prototype, concept testing can help you identify areas for improvement. For example, if potential customers express confusion about how to use certain features, you may need to adjust the user interface to make it more intuitive.

Concept testing in the prototype testing stage can be conducted in various ways, such as usability testing or field testing. These methods allow you to gather feedback on the functionality and user experience of the prototype.

By refining your prototype based on feedback from concept testing, you can increase the chances of launching a successful product that meets the needs and desires of your target audience. So, don’t underestimate the power of concept testing in the prototype testing stage – it can make all the difference between a mediocre product and a successful one.

Stage 4: Launch Testing

Now let’s look at launch testing! This is where you test the market readiness of your product and identify potential issues before launch. 

Concept testing in the launch testing stage can help you gather feedback on your product’s final version before launch. This feedback can help you to identify potential issues, such as pricing concerns or a lack of interest in certain features. 

For example, if you have developed a new smartphone app, you can present it to potential customers and gather feedback on its functionality, design, and pricing. Based on this feedback, you can make necessary adjustments before launching the app to the market.

By gathering feedback from potential customers in the launch testing stage, you can also gain insights into the competition and the overall market demand for your product. This can help you to make informed decisions about pricing, marketing, and distribution strategies.

Concept testing in the launch testing stage can be conducted in various ways, such as beta testing or product demos. These methods allow you to gather feedback on the final version of your product and make necessary adjustments before launching.

Methodologies for concept testing

Now that we’ve explored the different stages of concept testing and their importance in product development, let’s dive deeper into the various methodologies that can be used for concept testing.

There are several different methods for conducting concept testing, each with advantages and disadvantages. The most commonly used methods include surveys, focus groups, and usability testing.

Surveys are a great way to gather feedback from a large number of potential customers. They can be conducted online or in person and are typically used to collect quantitative data on different aspects of a product concept, such as the level of interest in certain features or pricing.

On the other hand, focus groups are more qualitative and involve gathering a small group of potential customers to discuss and provide feedback on a product concept. They are often used to gain more in-depth insights into the thoughts and feelings of potential customers, as well as to gather ideas for new product features or functionalities.

Usability testing is another method that can be used to gather feedback on a product concept. It involves observing potential customers as they use a prototype of the product and gathering feedback on the usability and functionality of the product.

In addition to these methods, there are other types of concept testing, such as A/B and field testing. A/B testing involves presenting two different versions of a product concept to potential customers and gathering feedback on which one is more appealing. Field testing involves testing a product concept in a real-world setting, such as in a store or online marketplace.

Best Practices

Now that we’ve explored the different methodologies for concept testing let’s explore some best practices for conducting effective concept testing. These best practices help ensure that you gather the most valuable feedback and make informed decisions about your product development.

Firstly, defining clear research objectives before conducting concept testing is important. This will help you focus on the most important aspects of the product concept and gather relevant feedback for your goals. Clear research objectives also help ensure you don’t waste time or resources on gathering irrelevant feedback.

Secondly, recruiting the right participants for your concept testing is essential. This means targeting individuals representing your target audience and likely to use or purchase your product. It’s also important to ensure the participants are engaged and invested in the concept testing process. You can achieve this by providing incentives or rewards for their participation.

Another best practice is to use the correct methodology for your product concept and research objectives. This means choosing a method best suited for gathering feedback on the specific aspects of your product concept that you want to test. 

For example, if you want to gather quantitative data on pricing, a survey would be more appropriate than a focus group.

Finally, analyzing the data effectively is crucial to make informed decisions about your product development. This means looking for trends and patterns in the feedback and using this information to refine and improve your product concept. It’s also important to prioritize the feedback based on its relevance and impact on the product’s success.

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Limitations of concept testing

While concept testing is a valuable tool for product development, knowing its limitations is essential.

For example, concept testing can only provide feedback on the specific product concept being presented to potential customers. It may not capture all possible issues or challenges that arise once the product is launched in the market. 

Additionally, concept testing can be influenced by factors such as how the concept is presented, and the language used, or the participants’ demographic.

Another limitation of concept testing is that it may not capture a product’s emotional or experiential aspects. For example, a potential customer may express interest in a product concept, but they may have a negative emotional response once they use the product.

By acknowledging the limitations of concept testing, product development teams can use it as a tool in combination with other methods, such as user testing and market research, to gain a more comprehensive understanding of their product’s potential success in the market.

Case Studies in Concept Testing

Now let’s look at some real-life case studies of successful concept testing in product development. 

One example comes from the UK-based cosmetics company Lush. In 2018, Lush developed a new product concept for a solid shower gel. Before launching the product, Lush conducted concept testing by sending samples to customers and gathering feedback through surveys. The feedback was overwhelmingly positive, with customers expressing interest in the new product and suggesting additional scents for the line. Lush used this feedback to refine the product and launch it successfully in the market.

Another example comes from the US-based fast-food chain Taco Bell. In 2017, Taco Bell conducted concept testing for a new menu item called the Naked Chicken Chalupa. The company used focus groups and taste tests to gather feedback on the product concept and made adjustments based on the feedback. The Naked Chicken Chalupa was a huge success when launched, selling over 25 million units in its first year.

Finally, an example from Asia comes from the Chinese tech company Xiaomi. Xiaomi developed a new product concept for a foldable phone, but before launching the product, the company conducted concept testing by sending out a prototype to potential customers for feedback. The feedback was mixed, with customers expressing concerns about the phone’s durability. Xiaomi used this feedback to make necessary adjustments and launch a successful foldable phone.

Key Takeaways

In conclusion, concept testing is a crucial step in the product development process. It allows brands to gather feedback from potential customers, refine their product concepts, and increase their chances of success in the market. 

Brands can conduct effective concept testing and make informed decisions about their product development by following best practices such as defining clear research objectives, recruiting the right participants, and analyzing data effectively.

Here are some key takeaways to keep in mind:

  • Concept testing can be conducted at different stages of product development, including idea generation, concept development, prototype testing, and launch testing.
  • Different methodologies can be used for concept testing, including surveys, focus groups, and usability testing.
  • Effective concept testing requires careful planning, execution, and analysis of data.
  • Concept testing has limitations, and it should be combined with other methods to gain a more comprehensive understanding of a product’s potential success in the market.

Overall, concept testing is a valuable tool for product development that can help companies to create products that truly resonate with their target audience. By implementing the best practices and key takeaways discussed in this article, you can increase your chances of success and launch a product that will delight your customers.

If you want to conduct concept testing for your next product development project, consider using a market research agency like Kadence International. We have extensive experience conducting effective concept testing and can help you gather valuable feedback from potential customers. To get started, simply submit your research brief.

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Have you ever found yourself hesitating before making a purchase? You may have been unsure about the quality of the product or whether you could afford it. Or maybe you were simply feeling uncertain about the future and didn’t want to commit to something that might not be a wise investment. 

Whatever the reason, you’re not alone. Uncertainty is a common experience for many consumers and can significantly impact buying decisions. It’s important to understand uncertainty’s role in consumer behavior and how we can respond to it to better meet our customers’ needs.

In this article, we’ll explore the fascinating world of consumer psychology during times of uncertainty. We’ll delve into the effects of uncertainty, how consumers respond to it, and what marketers can do to adjust their strategies accordingly. 

We’ll also discuss market research’s crucial role in understanding and responding to uncertainty and provide some practical tips for conducting research during uncertain times. 

So buckle up and get ready for a deep dive into the unpredictable waters of consumer purchasing behavior!

The Concept of Uncertainty

Let’s break down the different types of uncertainty. 

Economic uncertainty is perhaps the most well-known and pervasive form of uncertainty. It can arise from various factors, such as recessions, inflation, or changes in government policies. When consumers are uncertain about their financial futures, they may be more cautious about spending money and prioritize essentials over luxury items.

Social uncertainty, on the other hand, can arise from changes in social norms or cultural values. For example, the #MeToo movement sparked a reckoning in many industries as consumers became more aware of issues related to sexual harassment and assault. This led to increased uncertainty about what behavior is considered acceptable in the workplace and beyond, which may have affected consumer preferences and buying decisions.

Personal uncertainty can stem from various sources, such as health concerns, relationship issues, or significant life transitions. When consumers are experiencing personal uncertainty, they may be more likely to prioritize products or services that offer a sense of stability or comfort, such as self-care products or experiences that provide a sense of escapism.

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The Effects of Uncertainty

For one thing, uncertainty tends to make consumers more cautious about spending money. Consumers may be more likely to save their money for a rainy day when the future feels unpredictable rather than splurge on non-essential items. This can be especially true during times of economic uncertainty, such as recessions or market crashes, when consumers may be worried about losing their jobs or experiencing a decline in their financial well-being.

Uncertainty can also lead consumers to seek out products or services that offer a sense of stability or security. For example, during social or political uncertainty, consumers may be more likely to support brands or businesses that align with their values or offer a sense of community or belonging. Similarly, during times of personal uncertainty, consumers may be drawn to products or services that provide a sense of comfort or escape, such as luxury goods or experiences.

The effects of uncertainty on consumer behavior can be complex and multifaceted. Still, uncertainty can significantly impact consumers’ willingness to take risks and make purchases. It’s essential for brands to be aware of these effects and to adapt their strategies accordingly. By understanding how uncertainty affects consumer behavior, we can better tailor our messaging, products, and services to meet the needs of our customers, even in the most uncertain of times.

Consumer Response to Uncertainty

Consumers may respond in various ways when faced with uncertainty, depending on their personal circumstances and individual preferences. However, some common patterns tend to emerge when consumers feel uncertain about the future.

One of the most notable responses to uncertainty is a tendency to seek more information before purchasing. When consumers feel uncertain about the quality, safety, or value of a product, they may be more likely to do their research and read reviews before making a decision. This can be especially true during times of uncertainty, when consumers may be more risk-averse and less willing to take chances on products they need to learn more about.

Another common response to uncertainty is a preference for familiar brands or products. Consumers may be more likely to stick with brands or products they know and trust when the future feels unpredictable rather than experimenting with new or unfamiliar options. This can be especially true during times of economic uncertainty, when consumers may be looking for ways to save money and reduce risk.

Additionally, during times of uncertainty, consumers may be more likely to prioritize practical needs over aesthetic or luxury desires. For example, during a recession, consumers may be more likely to purchase essential items like food and clothing rather than splurge on expensive vacations or high-end fashion items.

Implications for Marketers

As we’ve seen, uncertainty can significantly impact consumer behavior, affecting everything from purchasing decisions to brand loyalty. For marketers, it’s important to be aware of how uncertainty affects their target audience and to adapt their strategies accordingly.

One key implication for marketers is the need to reassure consumers during times of uncertainty. This can involve emphasizing the quality, safety, and reliability of products and services and addressing any concerns or questions consumers may have. By providing clear and transparent messaging, marketers can help build trust and loyalty among consumers, even during times of unpredictability.

Another critical consideration for marketers is pricing strategy. During times of uncertainty, consumers may be more price-sensitive and risk-averse, making it challenging to attract and retain customers. To address this, marketers may need to adjust their pricing strategies to reflect changing consumer behavior, such as offering discounts or promotions to incentivize purchases.

Additionally, marketers must be more flexible and adaptable in their approach, as consumer behavior can shift quickly in response to changing circumstances. This may involve experimenting with new marketing channels or tactics or being open to adjusting messaging or product offerings as needed.

Lessons from Past Uncertain Times

The 2008 Financial Crisis 

During the financial crisis of 2008, many consumers became more cautious about spending money, particularly on luxury goods and services. As a result, brands that relied heavily on discretionary spending, such as high-end fashion labels and luxury hotels, saw a significant decline in sales. At the same time, consumers became more interested in value-driven products and services, such as budget airlines and discount retailers. 

Many luxury fashion brands responded by offering affordable options like diffusion lines and collaborations with fast fashion retailers. For example, designer Versace partnered with H&M, a popular fast fashion brand, to reach a wider audience and appeal to price-sensitive consumers. Similarly, many luxury hotels responded by offering promotions and deals to attract customers looking to save money.

The COVID-19 Pandemic

The COVID-19 pandemic has significantly impacted consumer behavior, as many people have experienced economic, social, and personal uncertainty. During the pandemic, consumers have been more cautious about in-person shopping and have increasingly turned to online retailers for their purchases. Additionally, consumers have become more interested in health and wellness products, home improvement, and DIY products as they spend more time at home.

For example, beauty brand Sephora launched a virtual makeup try-on tool, allowing customers to test out products from the comfort of their own homes. Additionally, many brands pivoted their messaging to emphasize safety and hygiene, such as restaurant chains highlighting their contactless delivery options or airlines emphasizing their cleaning procedures.

The #MeToo Movement

The #MeToo movement has profoundly impacted consumer behavior, particularly in the fashion industry. Brands perceived as promoting unrealistic beauty standards or perpetuating gender stereotypes saw a decline in sales, while brands that embraced inclusivity and diversity saw increased demand. 

For example, lingerie brand Aerie launched a campaign featuring unretouched photos of models with a range of body types to promote body positivity and self-confidence. 

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The Role of Market Research

Market research is a crucial tool for understanding consumer behavior, particularly during times of uncertainty. By gathering data and insights on how consumers respond to changing circumstances, market researchers can help marketers develop effective strategies that meet the needs of their target audience.

One of the main benefits of market research during times of uncertainty is the ability to identify changing consumer needs and concerns. For example, during the COVID-19 pandemic, market research has helped brands understand how consumers adjust to working from home, their concerns about public health and safety, and what products and services they are most interested in. By gathering this data, marketers can develop messaging and products that resonate with consumers’ changing needs and priorities.

Another role of market research during times of uncertainty is to identify changes in consumer behavior. Brands that use market research can identify trends and patterns that may indicate more significant shifts in consumer behavior by analyzing purchasing patterns, brand loyalty, and other key metrics. This can help marketers anticipate changes in the marketplace and adjust their strategies accordingly.

Finally, market research can help marketers develop messaging and branding that resonates with consumers’ emotions and values. During times of uncertainty, consumers may be more sensitive to trust, safety, and social responsibility issues. Market research can help identify the most effective ways to communicate these values to consumers.

Overall, market research is a crucial tool for navigating the complex and unpredictable world of consumer behavior during times of uncertainty. By gathering data and insights on consumer needs, behavior, and values, marketers can develop effective strategies that meet the changing needs of their target audience and build long-term success.

Key Takeaways

Uncertainty is a fact of life that can significantly impact consumer behavior. From economic downturns to social movements to global pandemics, uncertainty can make consumers more cautious, risk-averse, and focused on practical needs. However, by understanding how uncertainty affects consumer behavior, marketers can develop effective strategies that meet the changing needs of their target audience and build long-term success.

Key takeaways include the importance of reassurance, adaptability, and flexibility in uncertain times. Marketers must be attuned to their target audience’s changing needs and concerns and be willing to adjust their strategies accordingly. Additionally, market research is crucial for understanding how consumers respond to uncertainty and can provide valuable insights into changing behavior and priorities.

Moving forward, brands should prioritize building trust and loyalty among their target audience, emphasizing practical needs and value-driven products and services, and remaining flexible and adaptable in the face of changing circumstances. By doing so, marketers can weather even the most uncertain times and emerge stronger and more resilient.

So, let’s approach uncertainty with optimism and confidence. By embracing change, staying attuned to consumer needs, and remaining flexible and adaptable, we can build a more resilient and successful future for ourselves and our brands.

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Sun Tzu once said, “Know thy self, know thy enemy. A thousand battles, a thousand victories.” While the quote from this ancient Chinese military strategist is about tactical warfare, it also highlights the importance of understanding your place in the market and the competition you face. 

In today’s world of global e-commerce, where sales amounted to over $5.7 trillion in 2022, businesses must conduct a competitive analysis to gain an edge. This article will delve into the essential steps of competitive analysis and show you how to leverage the insights gained to enhance your brand or product’s market position. Whether you’re a marketer, brand manager, or product manager, this post will provide the knowledge and tools to evaluate your business’s performance and stay ahead of the competition.

Identifying Competitors

The first step in conducting a competitive analysis is identifying your competitors. This includes direct competitors who offer similar products or services and indirect competitors who offer substitutes or alternatives to your offerings.

A direct competitor is a business that offers similar products or services and targets the same customer segments as another business. Direct competitors are often in direct competition for customers and market share. For example, Nike and Adidas are direct competitors in the athletic footwear and apparel market. Both companies offer similar products, such as running shoes, athletic wear, and accessories, and target the same customer segments, including athletes and fitness enthusiasts.

An indirect competitor is a business that offers products or services that are not the same as another business but still competes for customers in the same market. Indirect competitors can offer substitute products or services or cater to a slightly different customer segment. For example, Uber and public transportation services are indirect competitors. While they offer different products and services, they still compete for customers who need to travel from one place to another. In some cases, customers may choose to take public transportation instead of Uber, or vice versa, depending on convenience, cost, and availability.

One way to identify your competitors is to research your industry and market. Look for companies with similar products or services and a similar target audience. You can also ask your customers who they consider as alternatives to your brand or product.

Another method is to use online tools such as Google Trends, SEMrush, or SimilarWeb. These tools allow you to analyze the search volume and traffic of your competitors’ websites and their social media presence and marketing tactics.

Once you have identified your competitors, you must classify them and understand their strengths and weaknesses. This will help you gain insights into their strategies and how they are positioning themselves in the market. For example, if you’re a fitness app, your direct competitors may include other fitness apps such as Fitbit and MyFitnessPal, while your indirect competitors may include gyms or personal trainers. 

Understanding your competitors’ pricing strategies, marketing tactics, and features can help you differentiate your brand and attract more customers. A Harvard Business Review article emphasizes the importance of understanding competitors: “It’s not enough to know who your competitors are. You need to know how they think, what drives them, their goals and values, and their strengths and weaknesses.” By conducting a thorough competitive analysis, you can gain valuable insights into your competitors and use them to improve your business strategy.

Analyzing Competitors

Once you have identified your competitors, the next step is thoroughly analyzing their business strategy. This includes researching their products or services, pricing strategies, marketing tactics, and overall market position.

One way to analyze your competitors is to visit their websites and social media profiles. Look at the design and layout of their website, the features of their products or services, and their pricing strategy. Also, pay attention to their social media presence, including the type of content they share, how often they post, and their engagement with customers.

Another method is to purchase or use your competitors’ products or services. This will give you firsthand experience with their offerings and allow you to identify areas where you can differentiate your brand or product.

Additionally, you can conduct a SWOT analysis of your competitors. SWOT stands for strengths, weaknesses, opportunities, and threats. You can identify areas to improve your business strategy by analyzing your competitors’ strengths and weaknesses. Similarly, you can adapt your approach to changing market conditions by identifying opportunities and threats.

For example, let’s say you’re a restaurant owner, and your competitor is a nearby restaurant that offers similar cuisine. By analyzing their pricing strategy, menu offerings, and customer reviews, you discover they offer a more extensive menu and are priced slightly higher than your restaurant. You can use this information to differentiate your brand by providing a unique menu with higher-quality ingredients at a competitive price.

Evaluating Your Position

After analyzing your competitors, you must compare your position and strengths. This will help you identify areas where you can improve your business strategy and differentiate your brand or product from the competition.

One way to evaluate your position is to conduct a SWOT analysis of your business. This includes identifying your strengths, weaknesses, opportunities, and threats. By analyzing your strengths and weaknesses, you can identify areas to improve your business strategy. Similarly, you can adapt your strategy to changing market conditions by identifying opportunities and threats.

Another method is to analyze your customer feedback and reviews. Look for areas where your customers are particularly satisfied and where they think you can improve. This will give you insights into your strengths and weaknesses and help you understand how you’re perceived in the market.

Additionally, you can evaluate your pricing strategy and marketing tactics. Are you offering competitive prices for your products or services? Are your marketing efforts effective in reaching your target audience? By evaluating these aspects of your business, you can identify areas to improve and differentiate your brand.

For example, let’s say you’re a tech company that offers a productivity app. After analyzing your competitors, you may find that your app offers similar features to your competitors but at a lower price point. You can use this information to differentiate your brand by emphasizing the value of your app and targeting price-sensitive customers.

As business strategist Jay Abraham once said, “Your competitors can teach you everything you need to know about your own customers.” By evaluating your position and strengths compared to your competitors, you can gain valuable insights that will help you improve your business strategy and attract more customers.

Creating an Action Plan

Once you have conducted a competitive analysis and evaluated your position, it’s time to create an action plan leveraging the insights gained. An action plan should be a detailed roadmap of the steps you need to take to improve your brand or product’s market position.

One way to create an action plan is to prioritize the insights gained from your competitive analysis and evaluation. For example, if you’ve identified a weakness in your pricing strategy, you may prioritize adjusting your prices to be more competitive. Similarly, if you’ve identified an opportunity to target a new customer segment, you may prioritize developing a new marketing campaign to appeal to that segment.

Another method is to set specific goals and metrics to track progress. For example, if you’ve identified a weakness in your customer service, you may aim to improve your customer satisfaction ratings by a certain percentage within a specific timeframe.

It’s also important to allocate resources and assign responsibilities to implement the action plan effectively. This includes assigning tasks to specific team members, determining the budget required, and establishing timelines for each step of the plan.

A report by Forbes emphasizes the importance of having a concrete action plan, stating, “The key to success in competitive analysis is to turn insights into action.” By creating a detailed action plan, you can ensure that the insights gained from the competitive analysis are used to drive tangible results and improvements to your business.

The Importance of Regular Competitive Analysis

Competitive analysis is not a one-time event but a continuous process that should be conducted regularly. The market constantly changes, and new competitors and trends can emerge at any time. Regular competitive analysis can help businesses stay ahead and adapt their strategy to changing market conditions.

One way to stay on top of the competition is to set up a system for continuously monitoring and analyzing your competitors. This includes tracking their pricing strategy, product offerings, marketing campaigns, and customer feedback. By monitoring your competitors, you can identify changes in the market and adjust your strategy accordingly.

Regular competitive analysis also helps businesses identify potential threats and opportunities in the market. For example, if a new competitor enters the market, regular analysis can help you identify its strengths and weaknesses and adjust your strategy to compete effectively.

Additionally, regular competitive analysis can help businesses identify areas to improve their strategy. By analyzing your competitors’ strengths, you can identify areas where you may fall short and adjust your strategy accordingly.

A Real-Life Example of Competitive Analysis

Let’s take a look at a real-life example of how competitive analysis can help brands improve their market position:

Airbnb and Hotels

Airbnb and hotels are two accommodation options for travelers. Airbnb, founded in 2008, offers an online platform for people to rent out their homes, apartments, and other spaces to travelers. On the other hand, hotels offer traditional accommodation in a dedicated facility with various amenities and services.

SWOT Analysis of Airbnb

Strengths:

  1. Unique experiences: Airbnb offers unique and authentic experiences for travelers by allowing them to stay in local homes and neighborhoods.
  2. Low prices: Airbnb offers lower prices than traditional hotels, making it an attractive option for budget-conscious travelers.
  3. Innovative technology: Airbnb uses innovative technology, such as its search algorithm and messaging system, to enhance the customer experience.

Weaknesses:

  1. Quality control: Airbnb’s reliance on individual hosts can lead to inconsistent quality and standards across its listings.
  2. Legal and regulatory challenges: Airbnb has faced legal and regulatory challenges in several cities, which can limit its growth opportunities.
  3. Limited services: Airbnb offers limited services compared to hotels, such as room service and housekeeping.

Opportunities:

  1. Expansion into new markets: Airbnb can expand its offerings to include new types of accommodations, such as boutique hotels or bed and breakfasts.
  2. Partnerships with tourism boards: Airbnb can partner with tourism boards to promote local tourism and offer unique experiences.
  3. Personalization: Airbnb can use data and technology to personalize its offerings and customer recommendations.

Threats:

  1. Competition from traditional hotels: Traditional hotels are increasing their focus on offering unique and authentic experiences to compete with Airbnb.
  2. Safety concerns: Safety concerns like theft and vandalism can impact the customer experience and damage Airbnb’s reputation.
  3. Economic downturns: Economic downturns can impact travel and tourism, impacting Airbnb’s business.

SWOT Analysis of Hotels:

Strengths:

  1. Established brand reputation: Hotels have a well-established brand reputation and are a trusted accommodation option for travelers.
  2. Wide range of services and amenities: Hotels offer a wide range of services and amenities, such as room service and housekeeping, to enhance the customer experience.
  3. Consistent quality: Hotels offer consistent quality and standards across their properties.

Weaknesses:

  1. High prices: Hotels can be more expensive than other accommodation options, making them less attractive to budget-conscious travelers.
  2. Lack of personalization: Hotels can be less personalized than Airbnb, as they offer a more standardized experience.
  3. Limited local experiences: Hotels can lack the unique local experiences that Airbnb offers, as they are often located in tourist areas.

Opportunities:

  1. Focus on unique experiences: Hotels can offer unique and authentic experiences to compete with Airbnb.
  2. Partnerships with local businesses: Hotels can partner with local companies to offer unique experiences and enhance the customer experience.
  3. Personalization: Hotels can use data and technology to personalize their offerings and customer recommendations.

Threats:

  1. Competition from Airbnb: Airbnb’s unique offerings and lower prices can attract customers away from traditional hotels.
  2. Economic downturns: Economic downturns can impact travel and tourism, impacting hotels’ business.
  3. Safety concerns: Safety concerns, such as crime and terrorism, can impact the customer experience and damage hotels’ reputations.

When Airbnb entered the market, it disrupted the traditional hotel industry. Initially, hotels underestimated Airbnb’s impact and did not conduct a competitive analysis to understand the company’s strategy. 

However, as Airbnb’s popularity grew, hotels began recognizing the threat and adapted their strategy to compete. Hotels started to offer more unique and local experiences to attract customers, a strategy that Airbnb had successfully implemented. Additionally, hotels invested in technology to enhance the guest experience and offer more personalized service. 

Some hotels also started to offer short-term rentals and home-sharing services to compete with Airbnb directly.

One example of a hotel that successfully adapted its strategy to compete with Airbnb is Marriott International. In 2019, Marriott launched its Homes & Villas program, offering high-end home rentals in more than 100 destinations worldwide. By providing unique and local experiences, personalized service, and home-like amenities, Marriott was able to attract customers who might otherwise have booked with Airbnb.

Overall, the success of Airbnb has demonstrated the importance of conducting competitive analysis and staying up-to-date on industry trends and developments. By understanding the competition and adapting their strategy accordingly, brands can stay ahead of the curve and drive business success.

Lessons Learned

The case study of Airbnb vs. hotels provides valuable lessons for businesses in any industry. Here are a few key takeaways:

  1. Disruption can come from unexpected sources: Hotels initially underestimated Airbnb’s impact and did not conduct competitive analysis to understand the company’s strategy. As a result, they were caught off guard when Airbnb disrupted the industry.
  2. Adaptability is key: Hotels eventually adapted their strategy to compete with Airbnb, offering more unique and local experiences to attract customers. This shows the importance of adaptability and willingness to change your strategy when faced with new competitors or market conditions.
  3. Customer preferences are changing: Airbnb’s success is partly due to customers’ changing preferences, who are increasingly seeking unique and authentic experiences. This highlights the importance of understanding your customers’ preferences and adapting your strategy to meet their needs.
  4. Innovation can create new opportunities: Airbnb’s success has created new opportunities for other businesses, such as property management companies specializing in short-term rentals. This shows the potential for innovation to develop new business models and opportunities in any industry.

In conclusion, the case study of Airbnb vs. hotels highlights the importance of conducting competitive analysis, being adaptable, understanding customers’ preferences, and embracing innovation. By applying these lessons to your brand, you can stay ahead of the competition and drive business success.

Examples of Successful Competitive Analysis

Competitive analysis is a powerful tool that can help businesses gain a competitive advantage in their industry. Here are a few examples of companies that have successfully used competitive analysis to improve their strategy and gain a stronger market position:

  1. Coca-Cola vs. Pepsi: For decades, Coca-Cola and Pepsi have been locked in fierce competition for market share. In the early 2000s, Coca-Cola conducted a comprehensive competitive analysis of Pepsi, analyzing everything from its marketing campaigns to its pricing strategy. As a result, Coca-Cola developed a new marketing campaign emphasizing the brand’s history and nostalgia, which helped them gain a stronger foothold in the market.
  2. Netflix vs. Blockbuster: In the early 2000s, Netflix was a relatively unknown startup that offered a subscription-based DVD rental service. At the time, Blockbuster was the dominant player in the video rental market. However, Netflix conducted a thorough competitive analysis of Blockbuster, identifying weaknesses in its strategy and opportunities for growth. Netflix then shifted its focus to streaming video, which ultimately allowed them to overtake Blockbuster and become the dominant player in the market.
  3. Amazon vs. Barnes & Noble: In the 1990s, Barnes & Noble was the largest bookstore chain in the United States. However, with the rise of e-commerce, Amazon quickly emerged as a formidable competitor. Amazon conducted a thorough competitive analysis of Barnes & Noble, identifying opportunities to improve their online shopping experience and offer a wider selection of products. As a result, Amazon was able to outmaneuver Barnes & Noble and become the dominant player in the book industry.

Tools and Resources for Conducting Competitive Analysis

Conducting competitive analysis can be a complex and time-consuming process. Fortunately, many tools and resources are available to help brands conduct competitive analysis effectively. Here are a few examples:

  1. Competitive analysis templates: Many business and marketing websites offer free or paid templates for conducting competitive analysis. These templates provide a framework for identifying and analyzing your competitors’ strengths and weaknesses and opportunities and threats in the market.
  2. Industry reports: Industry reports provide valuable data and insights into the competitive landscape of a particular industry. These reports may include information on market share, pricing trends, consumer preferences, and more. They can be purchased from market research firms or industry associations.
  3. Online tools: Many online tools are available to help businesses conduct competitive analysis, such as SEMrush for analyzing online advertising and search engine rankings and SimilarWeb for analyzing website traffic and engagement.
  4. Social media analytics: Social media platforms offer valuable data on customer sentiment, engagement, and trends. You can gain insights into your marketing strategy and customer preferences by analyzing your competitors’ social media presence.
  5. Market Research Agencies: Hiring an expert market research agency can be a valuable investment for businesses that lack the expertise or resources to conduct competitive analysis in-house. Agencies can provide a deep understanding of your industry and competitors and insights into emerging trends and opportunities.

Tips for Staying Ahead of the Competition

Conducting competitive analysis is an essential part of developing a successful business strategy. However, it’s not enough to simply analyze your competitors – you also need to use the insights gained to stay ahead of the competition. Here are a few tips for staying ahead:

  1. Stay up-to-date on industry trends: Keeping up with the latest trends and developments in your industry can help you anticipate changes in the market and stay ahead of the competition. Subscribe to industry newsletters, attend conferences and trade shows, and follow industry leaders on social media to stay informed.
  2. Focus on customer needs: While it’s essential to understand your competitors’ strategies, it’s even more critical to understand your customers’ needs and preferences. Conducting market research and gathering customer feedback can help you tailor your products and services to meet their needs and gain a competitive edge.
  3. Invest in innovation: Innovation can help you differentiate your business and stay ahead of the competition. Invest in research and development, experiment with new technologies and business models, and encourage a culture of innovation within your organization.
  4. Build strong partnerships: Building strong partnerships with other businesses can help you expand your reach and offer more value to your customers. Look for opportunities to partner with companies that complement your own, such as suppliers, distributors, or complementary service providers.
  5. Embrace change: Finally, it’s essential to be flexible and adaptable in the face of change. The business landscape is constantly evolving, and it’s important to be willing to pivot your strategy when necessary to stay ahead of the competition.

Challenges and Limitations of Competitive Analysis

While competitive analysis is a valuable tool for businesses to evaluate their position in the market and gain a competitive advantage, it’s essential to approach this process with a critical and realistic perspective. Here are a few challenges and limitations of competitive analysis:

  1. Difficulty obtaining accurate data: Competitors may not always disclose accurate or complete information about their strategy or performance. This can make it challenging to get accurate data and insights about their strengths and weaknesses.
  2. Risk of focusing too much on competitors: Focusing too much on competitors can sometimes lead businesses to overlook the needs and preferences of their customers. It’s essential to strike a balance between understanding your competitors’ strategies and staying focused on your value proposition.
  3. Limitations of industry reports: While they can provide valuable data and insights into the competitive landscape, industry reports may not always be up-to-date or relevant to your business. It’s vital to supplement industry reports with independent research and analysis.
  4. Rapidly changing market conditions: The business landscape constantly evolves, and competitors may adopt new strategies or technologies that disrupt the market. It’s important to stay agile and adaptable in the face of change and to update your competitive analysis to reflect new developments regularly.
  5. Risk of overreliance on competitive analysis: Competitive analysis is just one tool in a business’s arsenal. It’s crucial to supplement competitive analysis with other types of research, such as customer feedback and market research, to gain a complete picture of the market and stay ahead of the competition.

Future Trends in Competitive Analysis

As the business landscape evolves, new trends and technologies change how businesses conduct competitive analysis. Here are a few emerging trends to watch:

  1. Artificial intelligence: Artificial intelligence (AI) is revolutionizing many aspects of business, including competitive analysis. AI-powered tools can analyze vast amounts of data and identify patterns and trends that human analysts might miss. They can also provide real-time insights into competitors’ pricing strategies, marketing campaigns, and more.
  2. Social media analytics: Social media platforms offer a wealth of data on customer sentiment, engagement, and trends. By analyzing this data, businesses can gain insights into their competitors’ marketing strategies and customer preferences. Social media analytics tools are becoming increasingly sophisticated, making it easier for companies to conduct competitive analyses on these platforms.
  3. Predictive analytics: Predictive analytics uses data, statistical algorithms, and machine learning to identify future outcomes based on historical data. This technology is becoming increasingly important in competitive analysis, allowing businesses to anticipate changes in the market and stay ahead of the competition.
  4. Big data analytics: The amount of data available to businesses is growing exponentially, and big data analytics is becoming increasingly important in competitive analysis. Big data analytics tools can help companies to identify patterns and trends in large data sets, providing valuable insights into competitors’ strategies and market trends.
  5. Collaboration and knowledge sharing: Finally, business collaboration and knowledge sharing are becoming increasingly important in competitive analysis. By sharing information and insights with other businesses in their industry, companies can gain a more complete picture of the market and identify opportunities for growth and innovation.

The Role of Market Research in Competitive Analysis

Market research plays a critical role in competitive analysis. By gathering data on customer needs and preferences, market trends, and competitor strategies, businesses can gain valuable insights into the competitive landscape and develop a strategy that sets them apart. Here are a few reasons why outsourcing market research to an external agency can be a good idea:

  1. Access to expertise and resources: Market research agencies specialize in gathering and analyzing data and have access to sophisticated tools and resources for conducting research. By outsourcing market research to an external agency, businesses can tap into this expertise and gain a complete picture of the market.
  2. Objectivity and impartiality: Market research agencies are independent from the businesses they serve, which allows them to provide unbiased and objective insights into the market. This can be especially valuable in competitive analysis, where an objective perspective is critical for identifying strengths and weaknesses in the market.
  3. Cost-effectiveness: Conducting market research in-house can be expensive, especially for small businesses. Outsourcing market research to an external agency can be cost-effective, as agencies can provide access to tools and expertise that might otherwise be prohibitively expensive.
  4. Time-saving: Market research can be time-consuming, especially for businesses with limited resources. Outsourcing market research to an external agency frees up time and resources to focus on other aspects of their strategy.
  5. Flexibility: Market research agencies can offer various research services, from online surveys to focus groups to ethnographic research. This allows businesses to choose the best research methods for their needs and budget.

Outsourcing market research to an external agency can be a good idea for brands looking to conduct competitive analysis. By tapping into market research agencies’ expertise, resources, and objectivity, businesses can gain valuable insights into the market and develop a strategy that sets them apart from the competition.

Key Takeaways

Competitive analysis is a valuable tool for brands seeking a competitive advantage in their industry. By identifying their competitors’ strengths and weaknesses, opportunities, and threats in the market, businesses can develop a strategy that sets them apart from the competition. However, it’s essential to approach competitive analysis with a critical and realistic perspective and use the insights gained to inform your strategy and decision-making effectively.

  • Competitive analysis is valuable for gaining a competitive advantage in your industry.
  • It’s essential to balance understanding your competitors’ strategies and staying focused on your value proposition.
  • Market research is critical in competitive analysis, and outsourcing to an external agency can be a cost-effective and efficient solution.
  • Businesses should stay up-to-date on emerging trends and technologies in competitive analysis, such as artificial intelligence and social media analytics.
  • Finally, businesses should be flexible and adaptable in the face of change and regularly update their competitive analysis to reflect new developments in the market.
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https://kadence.com/en-us/report-the-future-of-online-shopping/
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The allure of new and improved products is undeniable. We constantly see updates and revised versions of our favorite products and wonder if and when we should buy the updated versions of products that already work for us. 

The truth is that brands frequently release products as new and improved, and consumers feel compelled to buy even when there is little objective improvement. Revising things may or may not make products better than their previous versions, yet, consumers perceive them as improved products. This is the reason brands release improved flavors, revised editions of books, and technology updates. 

For product development teams to release product improvements, it is vital to consider market research to collect consumer preferences and behavior data. Product development includes innovating and creating new products based on these insights. In this blog post, we will explore why updates and revised products are more appealing to consumers and how market research and product development play a part.

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Why do consumers think updates and revised products are better even if they are not?

When a new version of a product is released, consumers often perceive it as being better than its predecessor. This can be seen in technology, from smartphones to video game consoles. 

Research studies show consumers have difficulty passing up on a product labeled new, improved, or revised, even if it isn’t objectively better than its previous version. 

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So why do consumers think updates and revised products are better than their previous versions? It is due to a combination of consumer psychology and behavior.

Consumers no longer make decisions solely based on rationality, as evidenced by the financial crisis and a wealth of research. The leader in this space, Daniel Kahneman, has presented his groundbreaking book, “Thinking, Fast and Slow.” The book explains how our minds possess two distinct methods of thinking, which he calls System 1 and System 2 thinking.

Kahneman’s work on the System 1 and System 2 thinking models helps explain why people make certain decisions about purchasing updated products. System 1 is instinctive, fast, and emotional, while System 2 is logical, slow, and analytical. In many cases, people are drawn to updated products due to the former type of thinking, which means they are likely to be swayed by the allure of what appears to be a shiny, new object. 

People often assume new versions of products and services are better, even if the improvements are insignificant.

One study by the University of Michigan found that people are more likely to choose new products than old ones, even when the products are identical. The researchers also found that people are willing to pay more for products labeled as new than those labeled as old.

Another study published in the Journal of Consumer Research found that consumers are more likely to choose products labeled as new or improved than those not labeled in this way. The researchers found that consumers associate these labels with innovation and quality and are more likely to be attracted to them.

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This behavior is further explained by Kahneman’s distinction between “fast” and “slow” thinking. Fast thinking is the instinctive, automatic response to the perceived differences between old and new products. Slow thinking involves more deliberation, where consumers compare the cost of the new product against the benefit it provides.

Market research into what consumers want and need has revealed that people tend to view these new versions as more desirable because they offer additional features or more convenient use than earlier versions. 

How high technology product developers and marketers make decisions regarding updates. 

If you’ve ever agonized over the perfect time to replace your mobile device with a shiny new model, then you can appreciate the difficult decisions technology developers and marketers have to make when planning their product updates. 

To assist planners of high-tech consumer products in making these kinds of decisions, V. “Seenu” Srinivasan, a distinguished professor at Stanford GSB, and Sang-Hoon Kim, an assistant professor at Seoul National University, created a mathematical model which forecasts the sales pattern of a new version of an existing product. 

In an article titled “What Makes Consumers Want to Buy the Latest Model?” Srinivasan describes the model as simple, saying it is based on how much the benefits of a new product (compared to an old one) outweigh any obstacles that may inhibit a customer from upgrading. For instance, the probability of a customer buying a new laptop will increase if it is much better than their existing one and the upgrade is easy and not overly expensive. The obstacles taken into consideration for this model include not just the financial, procedural, and psychological costs of upgrading but also a consumer’s expectations on how soon future technology improvements will occur, the customer’s level of innovativeness, and the customer’s existing opinion of the product.

As anticipated, if the gains of upgrading outweigh any perceived drawbacks, it is more probable that the consumer will upgrade in a specific month.

Exploring such an analysis in the actual world is far more complex and expensive. For some products such as laptops, printers, and cell phones, Srinivasan states, their new versions come out so quickly that some technical supervisors think there needs more time for this kind of market exploration.

But educators are enthusiastic as the model is an imaginative blend of two prevailing methodologies in marketing science: conjoint analysis and hazard rate modeling. Conjoint analysis, which includes asking a sample of customers from the goal market how essential they consider various features to be, has been applied for some time to determine which group of product features to offer. However, since conjoint analysis provides a static snapshot of the marketplace at a specified moment, it does not provide the sorts of answers linked to product upgrades. It requires the inclusion of hazard rate modeling, traditionally used to compute the time discrepancy between a product’s initial purchase and future replacement purchases.

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The importance of Market research in product development.

The idea of buying something new and improved can be seen in many industries, from food or beverages to technology and streaming services. Smartphone companies typically announce a new version of their device every year or two, even though the updates are relatively minor. Similarly, streaming services offer different packages with additional features or added content. In all cases, the companies use this lure of new to boost their sales and keep customers interested in their products.

When it comes to developing high-tech products, market research plays an important role. Companies must carefully evaluate consumer preferences, pricing strategies, and other factors to ensure their product is attractive to customers and has the potential for long-term success. Market research also helps companies predict when to introduce a new version of an existing product. By understanding consumer behavior, companies can make informed decisions about when to launch a revised product that will maximize its success.

Ultimately, combining consumer psychology and behavior helps explain why consumers find updates and revised products more attractive. As marketers plan out their product releases and try to find the best ways to reach consumers, understanding these factors is essential for success.

Take a deep dive into Gen Z’s psychology, behavior, preferences, beliefs, and attitudes. Download our exhaustive guide to understand and engage with this target segment.

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Data visualization analysts are crucial in helping organizations use and interpret data effectively. Using their technical and visual design skills, they can effectively transform complex data sets into easy-to-understand visuals that tell a powerful story. 

Data visualization specialists use graphs, charts, maps, and diagrams to communicate insights and provide decision-makers with the actionable information they need, positively impacting their bottom line. 

Hassen Morad leads the data team at our Americas office, and his primary focus is to build and maintain our data infrastructure. Hassen is passionate about helping brands deliver innovative products, services, and solutions through informed decision-making. 

During a recent interview, he led us into the world of data visualization to give us an inside view of what it looks like to decode complex data sets, the tools he uses, how he ensures precision and accuracy, and what keeps him ticking. 

Tell us about your Senior Data Visualization Analyst role at Kadence Americas.

I lead the data team at our Americas office, and my main focus is to build and maintain our data infrastructure. I work with various tools, including Google Sheets/Excel, AWS, Outsystems, Tableau, and others. Most of my day-to-day is focused on supporting active projects, while a portion is devoted to longer-term developments. I especially enjoy working on the latter with my co-workers in the data team – Bridgette and Vinny – as we seek to develop innovative client offerings in areas like data science and app development.

What inspired you to pursue a career in data visualization?

I entered the data space almost six years ago and was immediately drawn to the impact of the visual medium. Not only can visualization be an effective tool for relaying data insights- it can also create them. Merging technical and aesthetic considerations can be a fascinating balance when visualization extends beyond more basic tried and tested forms like bar charts and histograms- though those require expertise to be effective as well! One visualization series that was especially inspiring to me was a series by Nadieh Bremer on the relocation of homeless across the US for the Guardian newspaper. I was mesmerized by how beautifully she told this story through her visualizations, and I still am blown away by it when I see it today. She’s one of many incredibly talented data viz professionals I look up to for inspiration.

Describe a challenging project you have worked on involving data visualization.

When building my portfolio of personal projects years back, one project that was a little tricky to get off the ground was an analysis of mail theft data in my neighborhood. I submitted a FOIA request to the USPS on mail theft in Irvine, CA, and they sent me printed pages of the data I requested and refused to send a digital file. So I had to do quite a bit of work digitizing all those records myself by scanning these pages, and thankfully I was successful in the end. This experience taught me that cleaning data could extend beyond the digital world. I produced a map in Mapbox where users could zoom into a particular area and view the number and type of mail-related thefts over five years.

How do you ensure accuracy and precision in data visualization? What strategies have you employed to increase data analysis and visualization efficiency?

While the presenter’s perspective will likely shape any presentation of data, it’s crucial to abide by basic common sense design principles to ensure an honest representation of data. It is embarrassing to present a visualization of data with clear errors. I critically examine the data I work with to avoid falling into this trap, though it’s always helpful to have a second pair of eyes if possible. In terms of efficiency, I’ll use some of the more user-friendly visualization tools (like DataWrapper) to create a visualization quickly.

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How do you balance technology and design skills when creating data visualizations?

I don’t consider myself the artistic type, so I let the practical objective of a project guide my design choices. Often I’ll seek inspiration from other works that present data effectively and excitingly. An aesthetically appealing design plays a role in a visualization’s effectiveness, so I consciously work to produce works pleasing to the eye- though not every visualization can or should be an artistic masterpiece!

What tools and programs are you most comfortable with in data visualization?

I’ve used several visualization tools throughout the years, spanning a range of customization. Initially, I started with Python visualization libraries like Matplotlib and Altair, which require coding and are sufficient for producing most charts. I then shifted to more ‘plug and play’ tools like DataWrapper and Tableau, where I could import a properly structured dataset and create visualizations using that UI. Tableau was especially useful given the amount of community adoption since I could learn from others’ work and ask questions to active users if I was stuck creating a chart feature.

Describe when you identified an insight or pattern in data analysis or visualization.

My first personal data visualization project was analyzing a dataset of US birth names over the last 100 years. It was fascinating to dig through that and discover patterns of how specific names gained popularity. I enjoyed the discovery process as I created these visualizations and the additional inquiries and questions this process sparked. I hope to revisit this project in the future.

What techniques do you use to interpret complex data sets?

Thankfully the datasets I work with most days are simple. However, if tasked with investigating a complex data set, I break down the data cleaning process into manageable sections to make it digestible. That might involve removing records with critical data missing or collecting data from another source to merge with the original file. I enjoy the in-depth data detective work that’s required occasionally. Remember that the grunt work needed to clean complex data sets is critical to extracting real benefit, as insights are only as solid as the data they’re based upon.

How do you stay current with the changing trends and data visualization techniques?

It’s essential to keep one’s finger on the pulse of this field as tools and techniques are advancing rapidly. I’m on several email lists of individuals and organizations that share interesting visualization content, such as the Data Visualization Society. I also follow leaders on social media and occasionally attend data viz conferences.

How do you develop data visualizations that effectively convey a message?

I view the visualization I’m creating through the lens of my target audience during the design process, which is a more difficult task than some might imagine. I’ll usually share a preview of a visualization I’m working on to get feedback on certain design elements or to check if the message I’m relaying is instantly clear. Frequently, the feedback I receive results in meaningful changes to the final output.

What have you found to be the most rewarding aspect of data visualization?

In my opinion, the most rewarding part is seeing that visualization is understood easily and allows the viewer to form a clear understanding of the topic.

What do you like to do in your free time?

I play soccer regularly and am a major fan of Arsenal. I also like to cook for my family, and when I have the time, I enjoy diving into classical academic works in the social sciences.

How has Kadence International helped shape your career?

Kadence was my first full-time job in the data space. I’m grateful to work with leadership and a team that trusts me greatly, and I recommend this company to anyone looking for a career in the market research field.