Consumer Insights and Marketing

Consumer Insights……. Probably an oft stated phrase from the Marketer’s dossier. Consumer Insight is an integral part of a research based approach to identify the stated needs of consumers. These needs are then translated into appropriate consumer propositions. There are myriad examples of the application of consumer insights into the development of innovative solutions. Some of the well known examples in the Indian context include

· Shampoo in sachet packs – To provide convenience and a lower price point to the consumer. While the concept was started to serve the needs of Rural and lower SEC households, the concept has also been widely accepted by other demographic segments
· Vegetable Atta Noodles to suit the Indian palette and requirement for a healthier snack
· The Nokia mobile phone with a torch light facility
· The Future Group’s positioning of Big Bazaar as a choice shopping destination for all SEC segments. As stated by ‘Kishore Biyani’ in his book ‘It happened in India’, the store layout was conceived to provide a retail environment that doesn’t end up intimidating the common man.

It is apparent that consumer insight generation process is a must for any progressive organization. However, at this juncture, I am left wondering as I try to answer this….. ‘Is Consumer Insights a pre-requisite for every Marketing decision making process??’ I wish to debate this point by from the context of the innovation cycle and product category specific dynamics.

Traditionally, Consumer insights driven product propositions are aimed at carrying out continuous innovations with incremental product benefits. Marginal but constant improvements to products can provide incremental consumer satisfaction and value. Most consumer goods companies operate on this tenet and have remained successful in harnessing Consumer Insight info for product enhancement.

However, there are certain industries/ product categories that are characterized by what are called discontinuous or disruptive innovations. Categories, where a breakthrough technological discovery or product innovation results in an altogether new consumer proposition. Let me quote certain examples
· Mobile handsets with touchscreen applications
· 3D television
· Nike Air Max shoes

There can always be supporting arguments that would portray the above innovations as derivatives of consumer insights. For example, there is always a need for sleeker and smarter functioning phones; a wholesome TV watching experience; a comfortable shoe etc. However, these are generic insights which can be extrapolated in multiple directions. Hence, it would be wrong to classify these innovations as outcomes of specific consumer insights.

Typically in Tech intensive sectors, the technology leads the way and determines what is needed for the consumer. Eventually with a combination of innovative marketing and superior product performance, a successful offer gets enmeshed with the consumer’s lifestyle. So while consumer goods are reactive by nature, hi-tech offers are predictive.

Is there a way to move on to the realm of predictive product offering for consumer goods. Just a few suggestions as food for thought from my side
· Razors with in-built pre-shave accessories
· Facewash that don’t require water (similar concept like Hand sanitisers)
· Dissolvable handwashes that also operate as Air freshners in the washroom
· After Shave creams