Page 120 - Marketing Management
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Conducting Marketing



                                                                                    Research







           Good marketers need insights to help them interpret past performance as
           well as plan future activities. To make the best possible tactical decisions in the short run and
           strategic decisions in the long run, they need timely, accurate, and actionable information about
           consumers, competition, and their brands. Discovering a consumer insight and understanding
           its marketing implications can often lead to a successful product launch or spur the growth of
           a brand.

                     A series of novel consumer innovations through the years—including Kleenex facial tis-
                     sues, Kotex feminine napkins, and others—have transformed Kimberly-Clark from a
                     paper mill company to a consumer products powerhouse.Among the company’s recent
                     successes was Huggies Supreme Natural Fit, named one of the most successful new
                     product launches in 2007. Nearly three years of research and design were invested in
           the creation of the new diaper. After assembling a sample of new mothers from different parts of the
           country with different income backgrounds and ethnicities, Kimberly-Clark’s marketers conducted in-
           home interviews and placed motion-activated cameras in homes to learn about diaper-changing rou-
           tines. Seeing new moms constantly struggle to straighten a squirming baby’s legs when putting on a
           diaper led to the insight that the new diaper also needed to be shaped to better follow the curves of
           a baby’s body. Because mothers said they wanted their older babies to feel like they weren’t wearing
           a diaper, the new diaper also had to be thinner with a closer fit, so new polymers cut the width of the
           imbedded absorbent by 16 percent and stretch was added to the back waistband. When research
           also revealed that moms often used the cartoon graphics on another diaper to distract the baby
           during a diaper change, more active images of Disney-licensed Winnie the Pooh characters were
           added. The successful launch of the research-inspired innovation
           boosted Kimberly-Clark’s market share by one to two percentage  In this chapter, we review the steps in the marketing
           points and significantly contributed to the company’s $4 billion-plus  research process. We also consider how marketers can develop
           sales in diapers that year. 1                           effective metrics for measuring marketing productivity.







           The Marketing Research System


           Marketing managers often commission formal marketing studies of specific problems and opportu-
           nities. They may request a market survey, a product-preference test, a sales forecast by region, or an
           advertising evaluation. It’s the job of the marketing researcher to produce insight into the customer’s
           attitudes and buying behavior. Marketing insights provide diagnostic information about how and
           why we observe certain effects in the marketplace, and what that means to marketers. 2
              Good marketing insights often form the basis of successful marketing programs. When an ex-
           tensive consumer research study of U.S. retail shoppers by Walmart revealed that the store’s key
           competitive advantages were the functional benefit of “offers low prices” and the emotional benefit
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