2017: An Exciting Time for Research Suppliers and Clients Alike

1)   Marketing spending will continue to move mobile.

As ad spending continues to target Millennial and Centennial consumers, the focus will be on mobile and video – where these generations are plugged in constantly. These types of advertisements require us to rethink current models of ad testing and incorporate newer technology that can track and monitor how the younger generations respond to advertising on mobile devices.

Location-based marketing will likely see a huge increase this year. Consumers, especially younger consumers, have developed the ability to effectively ignore marketing that does not directly apply to them. Successful brands and retailers will incentivize engagement with brands through personalized marketing that catch the consumer in their immediate reality (time and place). Consumers appreciate the personalized touch of location-based coupons and sale announcements. Continuing to understand how consumers use mobile while in stores or while out walking around will be a big focus of experience-based research this year, which leads to our next trend.

2)   Brands will increase efforts to measure the experiencing-self of consumers.

As brands increase efforts to measure the experiencing- self of consumers along with the remembering-self of consumers that has traditionally been measured, integrating the two becomes critical. Research methodologies like monitoring and ethnography need to be paired with data from survey research to better understand the full picture of what is going on with consumers.

3)   The new shopping landscape is “buy anything, anywhere.”

Consumers want immediacy and they want everything custom tailored. Older retail models that don’t buy into anytime anywhere are severely challenged in the new marketplace.

The new three-dimensional structure of buying channels requires a more robust research initiative into the various ways people consume in the “buy anything, anywhere” age. Consumers do price comparisons in stores, and then buy online. Conversely, some consumers decide on purchases online and have groceries delivered or have their goods delivered to their car curbside at Target.

4)   Big data keeps getting bigger.

Storage is cheap; processing is cheap – so cheap in fact that companies are able to house and store massive amounts of data for very little cost. Data collection devices have increased the pace of data creation, IBM estimates 90% of the data in world has been created in the last 2 years. Every transaction, every event imaginable is being logged and recorded. The silos between the data are being destroyed and with the adoption of Hadoop and NoSQL databases, storing, accessing, and combining vast amounts of data while still challenging is a tractable problem.

Big Data represents an enormous challenge for market research, which is historically based on comparably smaller, point of time data sets. While Big Data is certainly a disruptor that the industry is fully aware of, it also represents a tremendous opportunity for researchers to incorporate real insights from huge datasets with a wealth of information. When this information is shared, incorporating this performance data into research initiatives not only provides deeper context, but a more well-rounded story.

5)   As video consumption increases, so does ad spending.

Every statistic about video consumption is on the rise and shows no sign of slowing. YouTube boasts that partner revenue and the number of channels earning six figures on YouTube are up 50% year over year. Hulu, Netflix, and Amazon Prime continue to create compelling content that competes with the traditional networks.

Sure, video is important to consumers, but it’s also key for marketers and advertisers. The Online Publishers Association reports that four of five Internet users recall watching a video ad on a website they visited in the last 30 days. The majority of senior executives state they’d rather watch a video than read written text, according to Forbes Insight. Measuring engagement with video, particularly on mobile devices, is key to understanding its effectiveness on the target audience.

This year looks to be an exciting time for research suppliers and clients alike. As consumers expect a more tailored experience what they watch and how they shop both online and in store, the research providing deep insights into the consumer world will need to be flexible, customizable, and focused on the experiencing-self of customers. Continuing to find new ways to incorporate new technology while creating a cohesive story from a full range of research offerings is now more important than ever.  That’s why we work directly with business owners and their marketing teams to ensure that your business is seen, heard and relevant! 

January Client News

2016 was a great year for Bachman Auto Group!  Steve and Teresa Bachman, along with her son Ryan, and other family members successfully operate Bachman Chevy, Bachman Subaru and Bachman Volkswagen.  (As well as other companies like their Business Elite division.)  bachman-group-logo

If you live in Louisville, you’ve undoubtedly watched Teresa on TV countless times and can probably hear the jingle in your head right now….BACHMAN MAKES THE DIFFERENCE!

There are many factors in the success of their business.  First is the way Steve and Teresa treat their employees.  Many, many of their employees have happily worked at Bachman for more than a decade.  This directly carries over to how the Bachmans, and as importantly, their employees, treat their customers.  Their referral and repeat business is extremely strong and effective.

working-on-tv-adFinally, if you read my e-mails monthly, you know that I always try to incorporate the importance of consistency in advertising.   Bachman Auto Group always ranks #1 in their territories for many reasons, but consistency in their advertising is one very important reason.

Case Study: Relationship of Digital Video Viewership and TV Programming

Nielsen found…

The growing popularity of digital video finds more and more Americans watching TV content on desktops, smartphones and tablets. This change in how content is consumed has advertisers and agencies paying closer attention to the relationship between digital video viewership and traditional TV programming, and examining how emerging synergies between the two can be used to improve brand-building opportunities and boost campaign effectiveness.

YouTube commissioned a Nielsen study to explore the relationship between YouTube engagement and TV program viewership, and whether or not there is a direct correlation in viewing habits. Nielsen’s analysis revealed that there is in fact a positive connection between both YouTube views, uploaded TV content on YouTube and TV reach.

Key findings revealed a statistically significant relationship between TV reach and higher YouTube engagement among persons 18-years of age and older. The more people watched TV program content on YouTube, the more likely they were to tune into that show on linear TV. And conversely, YouTube viewership rose as TV program reach increased.

As digital video viewership continues to grow on platforms such as YouTube, advertisers, agencies and TV programmers have an opportunity to leverage the connection between digital views and TV audiences. This presents a valuable means to communicate brand messages to a wider audience, at the same time grow audience share.

Select this link for access to the entire case study.

Research Roundup – TV

Is TV Still the Dominant Video Viewing Medium?

Turner Broadcasting and Horizon Media partnered with marketing-analytics company MarketShare, which meta-analyzed thousands of marketing optimizations used by major advertisers from 2009 to 2014.

MarketShare’s analysis found that TV advertising effectiveness has remained steady during that time period and outperforms digital and offline channels at driving key performance metrics like sales and new accounts.

Among the study’s key findings on TV advertising:

  • MarketShare analyzed advertising performance across industry and media outlets like television, online display, paid search, print and radio advertising and found that TV has the highest efficiency at achieving key performance indicators, or KPIs, like sales and new accounts. When comparing performance at similar spending levels, TV averaged four times the sales lift of digital.
  • TV has maintained its effectiveness at driving advertiser KPIs over the last five years. In a study using data from a luxury automaker, TV was the only medium to maintain its effectiveness.
  • TV marketers can optimize their spend by leveraging data sources, including high-frequency consumer interactions like website visits and inbound calls, to improve TV advertising performance.
  • Premium online video from broadcast networks out-performs video content from other publishers.

The study found that “TV is the giant megaphone,” said Isaac Weber, VP of Strategy at MarketShare. “When you want to get a message out, that’s still really the most powerful means to do it. The way that people view and consume television has changed … but I think the question is less about what has changed with television and more about what are some of the underlying issues with some of these other vehicles.”

 

Source: Jason Lynch: AdWeek