It goes without saying that the best relationships are based on quality two-way interactions.  Any relationship counsellor will tell you that good quality communication is the bedrock of a sound relationship, and that a series of one-way, unreciprocated communications does not a sound relationship make.

So why do so many marketers continue to have such one-way relationships with their consumers?  What’s to gain from generating a more circular relationship?  In a word: COMMITMENT.  Commitment is felt when people feel emotionally committed to a given behaviour, be it their marriage or brand of car.  Marketers often use the word interchangeably with the concept of ‘loyalty’, but this is incorrect – loyalty is behavioural, and studying what people do in order to predict what they do next can be woefully inaccurate, especially in some categories. 

By contrast, commitment is an emotional feeling as well as a rational one, and as such is generally a more robust measure on which to base research insights.  We have found time and time again that building customer commitment to a brand is a beneficial marketing objective – because committed consumers need less persuading to repurchase your brand; are more resistant to competitive claims; are less likely to accept alternatives when their usual choice is unavailable; are less price sensitive than the uncommitted - are more willing to pay premium; have more positive attitudes about “their” brand or product than do uncommitted consumers; satisfy a greater share of their “category” requirements with the brand or product to which they are committed; and stay with the brand for longer - they have a greater life-time value.  Basing customer research on isolated factors such as satisfaction and ‘likelihood to buy’ misses much of the picture – as does database analysis which only has behavioural data to go on.  It’s vital to know what and how consumers think as well as what they do.

Of course, the drivers of commitment vary between categories, and even from brand to brand, and consumer to consumer.  But there are consistencies worth noting – we’re all human, after all. These have been identified by a number of market researchers, often working independently, who have collectively conducted over 50,000 interviews throughout Europe and the United States and consistently found the same result – consumers are yearning for simplicity, values, clarity, help, attention, reliability and consistency from their brands. 

But this is not a prescription for tweaking brands – there is now so much more at stake now that the ever-more-savvy consumers are starting to exercise a few brain cells, and are demanding substance behind the style – good labour practices, environmentally-sound manufacturing, prompt replies to requests, quality products and honest pricing and promotions. Consumers are saying they don’t always want the cheapest price – just consistency and respect – don’t gouge ‘em, and don’t bribe ’em – it’s spelt r-e-s-p-e-c-t, to quote Aretha Franklin.

So how to go about this within interactive marketing?  How can research play a part? 

The first step is to realise that interactive marketing enables you to listen to customers and respond to their needs accordingly – the “quality two-way communications” that drive strong relationships.  “Mass customisation” was a great buzzword a few years back, but often put into the “too hard” category, especially in a market the size of New Zealand.  But the need hasn’t gone away, and if consumer insights can be built into as many aspects of the design and supply process as is possible, then savings, increased profits, and increased customer commitment will usually ensue – because you can concentrate on delivering what customers want; rather than trying to convince them that your idea is right, and that a healthy dose of advertising will suffice to make them realise that.

This doesn’t just mean surveying however – broadly speaking, there are three types of information to be gained from interactive marketing:

1. Behavioural: Let’s watch…what are they doing?
2. Attitudinal: Let’s ask … what are they thinking?
3. Deductive: Let’s think … what can we deduce?

The following are three key steps to take with the above in mind…

Step One: Review all your customer touch-points…

Take the time to identify all the ways in which your customers interact with your brand, and for each touch-point, ask “What insights can this channel offer me?  How best can those insights be gathered and interpreted?”

Here are a few to get you thinking…

• Loyalty Programmes
• Consumer registrations
• Data from Debit / Credit cards
• Syndicated databases
• Website traffic data
• Point of Sale data
• Personalised delivery services
• Mail order catalogues
• Call Centre / Customer service records
• Customer Information / demographics analytics
• Customer Acquisition analytics
• Customer / Prospect research
• Invoices / delivery notes
• Interactive Television
• Direct Marketing
• Catalogues
• Home/Business delivery
• Channel Profitability
• Channel & Product Affinity

Step Two: Identify what you need to ASK, of whom and how

For each of the touch-points you identify, further questioning will highlight that many of these offer a selection of excellent customer feedback opportunities.  Just asking is a great way to start.  For example…

• e-mail and pop-up questionnaires (just one question can be enough!);
• in-store questioning (e.g. while a purchase is being wrapped);
• call-centre surveys (while they’re on the line…);
• omnibus surveys (a cost-effective way of asking small numbers of questions of many people, quickly and simply);
• exit surveys (when customers leave a place, a service or a brand); 
• catalogues (what’s selling, to who, when and why – also a great spot for short questionnaires); 
•  registrations (why not add 5 questions to that registration form?); 
• bills and invoices (at least let people have their say while you’re demanding money!).

These techniques all have their pros and cons, but even those which are restricted in terms of their true scientific validity can still offer a lot in terms of trends and especially as early-warning systems.  Carefully integrating customer-questioning within a selection of these formats, and setting up efficient tracking and reporting systems, can effectively give you an ‘ear to the ground’ in near-real-time – a huge commercial advantage in some sectors.  Additionally, asking customers their opinions can open up a powerful dialogue with them, and demonstrates that you respect their views such much that you have integrated them into your daily business management. 

Caution must be taken however, to ensure

1. that the questions are in fact asking what you think they should be asking (grab any passing market researcher for that);
2. that the exercise ‘hits the right note’ as a relationship-building exercise in itself (drop the researcher now and pick up a copywriter).

Step Three: Identify what can be learnt just by WATCHING

A great many customer insights can be gained simply by observing and tracking how consumers interact with you, particularly through specialised technology such as the following:

• interactive promotions (what are they clicking on, what’s grabbing their fancy or leaving them cold?);
• website traffic analysis (e.g. what search-terms are people using to find you; what click-streams are most likely to end in purchases; plus a lot more);
• Google News Alerts (set-up Google to send you daily links to subjects of interest as they hit the news);
• Trendspotters (try Springwise or Trendspotters.com to keep alert to trends and new business opportunities which could hit New Zealand).

In closing, the main theme should now be clear – stop looking solely at sales data and similar company-focused KPIs, and broaden your horizons to increase your customer-focus. But remember, integrating customer feedback and observations into so many aspects of your operations not only raises the intelligence you have to operate with, but it also raises the onus to actually act on that intelligence.

Jonathan Dodd