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Futuring Tools and the Futures of

               Market Research
Robert Moran April 19, 2012
It’s a VUCA World




                    The future will be more discontinuous with the past.
                                                                           2
Creative Disruption:
The 6Ds That Will Change Commerce (and eventually MR)

 Disruption Ethos    “Blur Group Raises $2M To Disrupt How Marketers Pick Creatives
                     For Campaigns”

 Disintermediation   Remember “travel agents”? “Process gatekeepers” beware.


 Digitization        Book stores, music stores, cameras, libraries, paper maps, cash…


 Dematerialization   Smaller products. Less material.
                     Often shifting focus to experience around product.

 Democratization     Crowdsourcing, crowdfunding, DEWmocracy, “Rateocracy”,
                     customer in charge in a radically transparent world.

 DIY                 Niche products, the maker movement, and eventually 3D printing



                                                                                        3
Foresight Tools for Thinking About the Futures


  Futures Cone
   Now




            Potential




                                                      Plausible   Possible
                                           Probable



         Copyright 2000:
         Joseph Voros
                                       Preferable
                           Potential




                                                                             4
The Importance of STEEP in Plural Futures


  • Social
  • Technological
  • Economic
  • Ecological
  • Political




                                            5
The Incremental Approach
                                Alternative
                                Future



          Alternative                         Future
          Future



                                                 Alternative
                                                 Future




                           Alternative
  Today                    Future


                                                               6
The Stretch Scenario Approach
Exploring futures via two greatest uncertainties




                                      Uncertainty 2
          Alternative Future A                        Alternative Future B



                   Uncertainty 1




          Alternative Future C                        Alternative Future D




                                                                             7
Putting these tools to work…




                               8
Market Research Futures Shock. A Sampler.

                                         2011                                    2021
  Moving Beyond the Survey
                             80% of global research spending is        The survey will not die, but
                             currently dedicated to quantitative,      research will move beyond
                             survey-based, research                    the survey to social media
                             (ESOMAR, 2010)                            listening, observational and
                                                                       co-creative (MROCs) tools.
                                                                       Established competitors will
                                                                       struggle through this transition.


  Growing Emerging Markets   Two thirds of all traditional marketing   Research spending will shift
                             research is conducted in the five         toward the emerging economies
                             aging industrial democracies of the       and firms that have strong
                             United States (30%), the United           research capacity in the
                             Kingdom (11%), Germany (9%),              emerging economies will
                             France (9%) and Japan (6%)                grow more rapidly.
                             (ESOMAR, 2010).
                                                                       ―…the next decade will…mark
                                                                       the definitive breakthrough of the
                                                                       global middle class, and demand
                                                                       from this group will be among the
                                                                       crucial economic factors of world
                                                                       economy‖ – Copenhagen
                                                                       Institute for Futures Studies        9
5 MegaTrends Shaping the Futures of Our Industry



 • Data Abundance                            ―Rateocracy‖, social media, ―lifestreaming‖, IoT

 • Asking-Observing Shift                    ―listening posts‖ and feedback loops

 • Democratization                           UGC, co-creation, predictive markets

 • Convergence                               domain, tool and data

 • Strategic Imperative                      evolving value in a data-abundant world




                                                                http://www.futureofinsight.com/interviews/                         10
                          http://www.greenbookblog.org/2011/02/21/lead-up-to-the-iir-tdmr-interview-with-robert-moran-of-strategyone/
Abundance and the Deindustrialization of Research
                                                                 Function
                 Collecting                                                              Filtering
                                                          Data acquisition costs drop


                 Looking                                                                 Looking
                                                            Temporal focus shifts
                 Backward                                                                Forward




                                                                    Form
                 Economies                                                               Customized
                 of Sale                                   Data acquisition costs drop
                                                                                         Service


                 Command                                                                 Consultative,
                 and Control                                  Temporal focus shifts
                                                                                         Learning Based
                 Pyramid



                                        Now                                                Future

―As an industry, we’re often criticized for our lack of
insight and an overreliance on an industrialised
view of research.―
                       Mike Cooke, ESOMAR: 2009                                                           11
One Plausible Evolutionary Path
                                                                                                                                                 Anticipatory


                                                                                                                              Co-Creative
                                                                                                                                                 Anticipatory


                                                                                           Observational
                                                                                                                                  UGC
                                                                                                                                                • Focus shifts from
                                                                                                                                                  mapping current
             Data Collection—Asking (Survey)                                                                                                      opinion to anticipating
                                                                          Listening           Neurological   Behavioral                           future behaviors and
                                                                                                                              • Collaborative     alternative futures
                                                                          2008-                                                 co-creation     • Mass simulation
                                                                                                                              • User-             gaming*
 Face to Face Telephone              Online         Geomobile                                                                   generated       • MROC Delphi panels*
                                                                        • Move away         • Track          • CRM
                                                                                                                                content
                                                                          from the survey neurological         software                         • Strategic Foresight
                                                                                                                                (UGC)
                                                                          instrument          response       • Big data                         • Agent-based
                                                                          as the main                                         • Insights
                                                                                            • fMRI           • Experimental                       computational
                                                      • Mobile surveys    research vehicle                                      communities
 • Face to Face • Telephone    • Online surveys                                             • Eye-tracking     marketing                          modeling
                                                                                                                                (MROCs) will
   surveys        surveys      • Prompted by          • Location-based • Dramatic shift       and other                                         • Predictive markets
                                                                                                             • Geotracking      dominate
                • Vertically     declining telephone research             from Intrusive,     biological
                                                                          interrogatory                      • Clickstreams   • Creation
                  integrated     survey participation • Augmented                             response
                                                                          research, to                                          of ―design
                  data           rates and online       Reality                               monitoring
                                                                          passive, listening-                                   communities‖
                  collection     technology
                                                      • ―Lifestreaming‖
                  systems      • Data becomes                             based research
                                 abundant and                           • Social media
                                 inexpensive                              research
                               • Shift to                               • ―Listening posts‖
                                 ―convenience                           • MROCS
                                 samples‖                               • Text analytics
                                                                        • ―Rateocracy‖
                                                                                                                                                                        12
A brief tour of MR futures…




                              13
―Any useful statement about the futures should appear to be ridiculous.‖

                                                                  -Jim Dator




                                                                               14
22 Plausible Futures Scenarios
Socially Driven Scenarios         Technology Driven Scenarios       Economically Drive Scenarios


The Incredible Shrinking Survey   Geo-Timed Feedback                Dispersive Convergence

Do Not Disturb                    Rapid In-Market Experimentation   Lilliput

Back to the Future                Iterative Insight Streaming       E-Agency

What was privacy?                 Portal Power                      Global Depth

Power to the People               Let’s Play a Game                 Need for Speed

From Value to Values              Limbic                            Space Invaders

Tribal Rituals                    Nano-Targeting                    Anticipation

Epidemiology




                                                                                                   16
Three Futures


                      Definition                                                Signals

                      Co-creative design communities replace traditional
                      market research. These are either open (and
                      massive) or closed and proprietary. Project directors     DEWmocracy, My Starbucks Idea,
Power to the People   become community managers and engagement                  HYVE’s Innovation communities
                      becomes the core concern.                                 http://www.hyve.de/ , Ideascale


                      All key consumer data is integrated on a single online
                      interface. The portal becomes the most important
                      ―real estate‖ in market research. The portal provider     Nunwood’s Fizz Dashboards and Fizz
Portal Power          becomes market research’s landlord. Corporate             Library, Clarabridge, Salesforce.com ,
                      insights departments and CMOs guard these portals         CRM-CEM software companies
                      jealously.


                                                                                Mechanical Turk, Victors & Spoils,
                      Market research firms are replaced by individual e-       guru.com, honestly.com, Angie’s List
                      lancers. Market researchers are hired based on their
                      online competency scores at honestly.com or by their      Headline: ―Blur Group Raises $2M To
E-Agency                                                                        Disrupt How Marketers Pick Creatives
                      ―whuffie‖ rating on future reputational currency sites.
                                                                                For Campaigns‖
Three potential outcomes for the traditional
marketing research industry:



     Transcendence                  Convergence                  Stagnation
  • Traditional MR repositions   • Collision of marketing     • Traditional marketing
    itself at center of wider      research, management         research refuses to evolve,
    insights industry              consulting, social media     preferring to stay with
                                   analytics, data mining,      questioning rather than
  • Traditional MR absorbs         and software                 observing tools
    and integrates tools
    and knowledge from           • Produces a synthesis       • Continues to execute
    wider industry, placing        of tools and blurring        tactical research projects
    itself at the top of           of roles                     while wider insights
    the strategic insights                                      industry passes it by
    value chain                  • Convergence is
                                   forced on traditional
                                   MR industry and
                                   adjustment is difficult


                                                                                              18
NextGen Insights Firms Will
o Harness mobile (in the moment) research
o Moving from gatekeeper to guide
o Make the leap from the Asking to the Observing Era
o Master ―listening‖
o Build insight communities (MROCs)

o Triangulate: Pull insights from multiple data streams
o Transition from projects to consultative retainers
o Build ethnographic capacity at a global level for the global middle class
o Master data visualization
o Leverage 24-7 global clock
o Develop foresight capacity




                                                                              19
The best way to predict the future is to make it.




                                                    20

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Presentation at Market Research in the Mobile World Conference

  • 1. Futuring Tools and the Futures of Market Research Robert Moran April 19, 2012
  • 2. It’s a VUCA World The future will be more discontinuous with the past. 2
  • 3. Creative Disruption: The 6Ds That Will Change Commerce (and eventually MR) Disruption Ethos “Blur Group Raises $2M To Disrupt How Marketers Pick Creatives For Campaigns” Disintermediation Remember “travel agents”? “Process gatekeepers” beware. Digitization Book stores, music stores, cameras, libraries, paper maps, cash… Dematerialization Smaller products. Less material. Often shifting focus to experience around product. Democratization Crowdsourcing, crowdfunding, DEWmocracy, “Rateocracy”, customer in charge in a radically transparent world. DIY Niche products, the maker movement, and eventually 3D printing 3
  • 4. Foresight Tools for Thinking About the Futures Futures Cone Now Potential Plausible Possible Probable Copyright 2000: Joseph Voros Preferable Potential 4
  • 5. The Importance of STEEP in Plural Futures • Social • Technological • Economic • Ecological • Political 5
  • 6. The Incremental Approach Alternative Future Alternative Future Future Alternative Future Alternative Today Future 6
  • 7. The Stretch Scenario Approach Exploring futures via two greatest uncertainties Uncertainty 2 Alternative Future A Alternative Future B Uncertainty 1 Alternative Future C Alternative Future D 7
  • 8. Putting these tools to work… 8
  • 9. Market Research Futures Shock. A Sampler. 2011 2021 Moving Beyond the Survey 80% of global research spending is The survey will not die, but currently dedicated to quantitative, research will move beyond survey-based, research the survey to social media (ESOMAR, 2010) listening, observational and co-creative (MROCs) tools. Established competitors will struggle through this transition. Growing Emerging Markets Two thirds of all traditional marketing Research spending will shift research is conducted in the five toward the emerging economies aging industrial democracies of the and firms that have strong United States (30%), the United research capacity in the Kingdom (11%), Germany (9%), emerging economies will France (9%) and Japan (6%) grow more rapidly. (ESOMAR, 2010). ―…the next decade will…mark the definitive breakthrough of the global middle class, and demand from this group will be among the crucial economic factors of world economy‖ – Copenhagen Institute for Futures Studies 9
  • 10. 5 MegaTrends Shaping the Futures of Our Industry • Data Abundance ―Rateocracy‖, social media, ―lifestreaming‖, IoT • Asking-Observing Shift ―listening posts‖ and feedback loops • Democratization UGC, co-creation, predictive markets • Convergence domain, tool and data • Strategic Imperative evolving value in a data-abundant world http://www.futureofinsight.com/interviews/ 10 http://www.greenbookblog.org/2011/02/21/lead-up-to-the-iir-tdmr-interview-with-robert-moran-of-strategyone/
  • 11. Abundance and the Deindustrialization of Research Function Collecting Filtering Data acquisition costs drop Looking Looking Temporal focus shifts Backward Forward Form Economies Customized of Sale Data acquisition costs drop Service Command Consultative, and Control Temporal focus shifts Learning Based Pyramid Now Future ―As an industry, we’re often criticized for our lack of insight and an overreliance on an industrialised view of research.― Mike Cooke, ESOMAR: 2009 11
  • 12. One Plausible Evolutionary Path Anticipatory Co-Creative Anticipatory Observational UGC • Focus shifts from mapping current Data Collection—Asking (Survey) opinion to anticipating Listening Neurological Behavioral future behaviors and • Collaborative alternative futures 2008- co-creation • Mass simulation • User- gaming* Face to Face Telephone Online Geomobile generated • MROC Delphi panels* • Move away • Track • CRM content from the survey neurological software • Strategic Foresight (UGC) instrument response • Big data • Agent-based as the main • Insights • fMRI • Experimental computational • Mobile surveys research vehicle communities • Face to Face • Telephone • Online surveys • Eye-tracking marketing modeling (MROCs) will surveys surveys • Prompted by • Location-based • Dramatic shift and other • Predictive markets • Geotracking dominate • Vertically declining telephone research from Intrusive, biological interrogatory • Clickstreams • Creation integrated survey participation • Augmented response research, to of ―design data rates and online Reality monitoring passive, listening- communities‖ collection technology • ―Lifestreaming‖ systems • Data becomes based research abundant and • Social media inexpensive research • Shift to • ―Listening posts‖ ―convenience • MROCS samples‖ • Text analytics • ―Rateocracy‖ 12
  • 13. A brief tour of MR futures… 13
  • 14. ―Any useful statement about the futures should appear to be ridiculous.‖ -Jim Dator 14
  • 15. 22 Plausible Futures Scenarios
  • 16. Socially Driven Scenarios Technology Driven Scenarios Economically Drive Scenarios The Incredible Shrinking Survey Geo-Timed Feedback Dispersive Convergence Do Not Disturb Rapid In-Market Experimentation Lilliput Back to the Future Iterative Insight Streaming E-Agency What was privacy? Portal Power Global Depth Power to the People Let’s Play a Game Need for Speed From Value to Values Limbic Space Invaders Tribal Rituals Nano-Targeting Anticipation Epidemiology 16
  • 17. Three Futures Definition Signals Co-creative design communities replace traditional market research. These are either open (and massive) or closed and proprietary. Project directors DEWmocracy, My Starbucks Idea, Power to the People become community managers and engagement HYVE’s Innovation communities becomes the core concern. http://www.hyve.de/ , Ideascale All key consumer data is integrated on a single online interface. The portal becomes the most important ―real estate‖ in market research. The portal provider Nunwood’s Fizz Dashboards and Fizz Portal Power becomes market research’s landlord. Corporate Library, Clarabridge, Salesforce.com , insights departments and CMOs guard these portals CRM-CEM software companies jealously. Mechanical Turk, Victors & Spoils, Market research firms are replaced by individual e- guru.com, honestly.com, Angie’s List lancers. Market researchers are hired based on their online competency scores at honestly.com or by their Headline: ―Blur Group Raises $2M To E-Agency Disrupt How Marketers Pick Creatives ―whuffie‖ rating on future reputational currency sites. For Campaigns‖
  • 18. Three potential outcomes for the traditional marketing research industry: Transcendence Convergence Stagnation • Traditional MR repositions • Collision of marketing • Traditional marketing itself at center of wider research, management research refuses to evolve, insights industry consulting, social media preferring to stay with analytics, data mining, questioning rather than • Traditional MR absorbs and software observing tools and integrates tools and knowledge from • Produces a synthesis • Continues to execute wider industry, placing of tools and blurring tactical research projects itself at the top of of roles while wider insights the strategic insights industry passes it by value chain • Convergence is forced on traditional MR industry and adjustment is difficult 18
  • 19. NextGen Insights Firms Will o Harness mobile (in the moment) research o Moving from gatekeeper to guide o Make the leap from the Asking to the Observing Era o Master ―listening‖ o Build insight communities (MROCs) o Triangulate: Pull insights from multiple data streams o Transition from projects to consultative retainers o Build ethnographic capacity at a global level for the global middle class o Master data visualization o Leverage 24-7 global clock o Develop foresight capacity 19
  • 20. The best way to predict the future is to make it. 20

Notas do Editor

  1. 5 Megatrends will shape our industry over the next ten years.The first is data abundance. Data is no longer scarce.The next is the seismic shift from asking to observing.The third is the democratization of research – a future where the consumer co-createsThe fourth is convergence on multiple layers. Industry convergence as new entrants join our space, the convergence of tools not traditionally thought of as research tools, and the convergence of data streams.The fifth is the need for the industry to ascend the data, information, knowledge, insight, foresight, strategy pyramid.
  2. Critical to understanding the process of scenario development is the so-called “Futures Cone”. As you can see, the further out in time we look, the greater the number of possible futures. The key is to identify plausible futures first, analyze the implications of these futures , select a range of preferred futures, and work toward those while reducing the likelihood of undesirable futures.
  3. 5 Megatrends will shape our industry over the next ten years.The first is data abundance. Data is no longer scarce.The next is the seismic shift from asking to observing.The third is the democratization of research – a future where the consumer co-createsThe fourth is convergence on multiple layers. Industry convergence as new entrants join our space, the convergence of tools not traditionally thought of as research tools, and the convergence of data streams.The fifth is the need for the industry to ascend the data, information, knowledge, insight, foresight, strategy pyramid.
  4. 5 Megatrends will shape our industry over the next ten years.The first is data abundance. Data is no longer scarce.The next is the seismic shift from asking to observing.The third is the democratization of research – a future where the consumer co-createsThe fourth is convergence on multiple layers. Industry convergence as new entrants join our space, the convergence of tools not traditionally thought of as research tools, and the convergence of data streams.The fifth is the need for the industry to ascend the data, information, knowledge, insight, foresight, strategy pyramid.
  5. First, as a sampler there are the dynamic duo of moving beyond the survey and moving beyond the developed world.Today…80% of the work we do is survey based. That won’t last.And, two thirds of all market research is conducted in the developed world. That won’t last either. The Copenhagen Institute for Futures Studies lists trend 5 as the rise of the global middle class. The what and where of market research is going to change. Ten years from now the winners will have successfully navigated their firms beyond a dependence on surveys in the developed world.
  6. 5 Megatrends will shape our industry over the next ten years.The first is data abundance. Data is no longer scarce.The next is the seismic shift from asking to observing.The third is the democratization of research – a future where the consumer co-createsThe fourth is convergence on multiple layers. Industry convergence as new entrants join our space, the convergence of tools not traditionally thought of as research tools, and the convergence of data streams.The fifth is the need for the industry to ascend the data, information, knowledge, insight, foresight, strategy pyramid.
  7. Let’s first look at the baseline forecast.The baseline forecast is our best estimate.Based on my research, interviews and writing I believe that market research will evolve along a four era continuum. There will be overlap in these eras.The first era, which we are exiting is the Asking era dominated by the survey. We were all acculturated in this era. That itself is a red flag.The next era will be the observational era dominated by data scraping, data mining, social media analytics, and lots of behavioural data.This will eventually give way to the co-creative era of research, as consumers demand ever greater input into the products we sell them and as marketers begin to develop community around co-creation.And this in turn will give way to the anticipatory era of market research. This era will be defined by games as research, by ubiquitous predictive markets, and by MROCs as Delphi panels.
  8. Some of these scenarios will not surprise.Others will seem far fetched.I’m going to cite Dator’s Law now:“Any useful statement about the futures should appear to be ridiculous.”
  9. So, let’s take a look at some plausible futures scenarios that I have developed in my research…
  10. The implications are clear.NextGen insights firms will.
  11. It’s a tall order.But, remember, the best way to predict the future is to make it.!Thank you