mmnpl 2009 webinar 11210 final
TRANSCRIPT
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Introducing the Presenters
• Char Partelow, Senior Vice President, Consumer and Shopper Insights Information Resources, Inc.
• Aaron Reid, Chief Behavioral Scientist Sentient Decision Science
• Julie Hall, EVP/Partner Schneider Associates
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Survey MethodologySurvey Methodology
• Conducted an online survey of 1,125 respondents age 18+ who are primary household shoppers, or share in shopping decisions for one of the following categories:– Grocery shopping– Personal and beauty care shopping– Technology shopping– Toy shopping
• Final respondent count was census-balanced based on the following demographic markers:– Gender– Age– Income– Geographic region
• Conducted in October 2009
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History of MMNPL SurveyHistory of MMNPL Survey
• Conducted annually since 2002 to identify the most memorable product launches of the year among 50 new product launches selected.
• Survey measures new product awareness and purchase, identifies trends influencing consumer behavior, sources of new product information and media habits.
• Serves as early indicator of market trends.
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MMNPL Media CoverageMMNPL Media Coverage
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Schneider Associates, IRI and Sentient Schneider Associates, IRI and Sentient Decision Science bring together expertise in Decision Science bring together expertise in product launch from ideation through product launch from ideation through execution. Our launch diagnostic is an execution. Our launch diagnostic is an assessment tool that helps companies fine assessment tool that helps companies fine tune launch planning for success.tune launch planning for success.
The process includes:The process includes:
- Category Insight Research- Category Insight Research- Consumer Panel Polling- Consumer Panel Polling- Launch Strategy Diagnostic- Launch Strategy Diagnostic
How the MMNPL Team How the MMNPL Team Works TogetherWorks Together
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Marketing TrendsMarketing Trends
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Migration MarketingMigration Marketing™™
The Case for Migration Marketing™:
• 2009 saw a stock market crash, plummeting home values, increase in layoffs, the fall of major corporations and banks, plus government bailouts.• Customers scrutinized purchasing decisions, creating recession opportunities for marketers to create value at the low and high end of their product offerings.
• A new trend of Migration Marketing™ emerged, where marketers migrate to new market segments, but will likely migrate back to their normal consumer base.
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Migration MarketingMigration Marketing™™
• For many fast food companies this meant introducing premium products that balanced a need for cost savings/value with a desire to indulge.
• Comfort/fast food penetrated mind share among consumers, but health consciousness and a focus on good quality food remained.
• The KFC Grilled Chicken, McDonald’s McCafe, and McDonald’s Angus Deluxe all fit into the Migration Marketing™ trend – and all made the Top Ten of MMNPL.
• Migration Marketing™ helps to make trading up or down more palatable.
Small Indulgences
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Key DataKey Data
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72.5
98.4 98.7 96.784.4
101.3113.4
134.8
170.6
2000 2001 2002 2003 2004 2005 2006 2007 2008
UPC Competition has accelerated
SOURCE: IRI
New CPG UPCs Introduced per Year (in thousands)
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1,054 991 973
1,3611,521
1,752 1,699 1,749 1,795
2000 2001 2002 2003 2004 2005 2006 2007 2008
New Brand Competition has also accelerated
SOURCE: IRI New Product Pacesetters Reports
# of New CPG Brands Introduced per Year
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0%10%20%30%40%50%60%70%80%
2006 2007 2008 2009
Did not recall any new product
%69
41%35%
51% of survey respondents could not remember 51% of survey respondents could not remember a single new product launched in 2009 – not a single new product launched in 2009 – not great great but an 18% improvement over 2008 where the but an 18% improvement over 2008 where the election/financial crisis distracted.election/financial crisis distracted.
51%
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93% of respondents could not name a single new 93% of respondents could not name a single new product from the top 50 new product launch list product from the top 50 new product launch list compiled by Schneider Associates, Sentient Decision compiled by Schneider Associates, Sentient Decision Science and IRI.Science and IRI.
70%
75%
0%
20%
40%
60%
80%
100%
120%
2002 2003 2004 2005 2006 2007 2008 2009
Unable to name a single product on the top 50 list
96%
77%81%
57%56%50%
33%
93%
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Social Media becoming more Social Media becoming more importantimportant
Almost everyone watches something online (80%).
In 2009, 12% report using at least one major social media site (Facebook, Twitter, MySpace) as a source of information for new products.
Tivo/DVR usage has nearly doubled from last year (38% vs. 22%).
Twitter users see Twitter as a highly influential source of information (56%) – they also frequently visit Web sites after seeing commercials (44%).
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How Consumers Learn About How Consumers Learn About New ProductsNew Products
0102030405060708090
2005 2006 2007 2008 2009
TV Coupon Sample
The most influential sources of new product information are: - free samples (92%)- recommendations from family & friends (81%)- coupons (71%)
Television, the most widely used source, rated as less influential (46%).
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Multiple Data SourcesMultiple Data Sources
The average consumer seeks out 5 media sources (up from 3 sources in 2002) to find a new product.
Early adopters use 6 media sources.
Reduced-income respondents (44% of overall group) bought more new technology and grocery products, which might seem counterintuitive.
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The Top TenThe Top Ten
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Samsung LEDs & OFF Clip-Samsung LEDs & OFF Clip-onon
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T-Mobile Google G-1 T-Mobile Google G-1 PhonePhone
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Taco Bell Volcano Taco Bell Volcano NachosNachos
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McDonald’s Angus McDonald’s Angus DeluxeDeluxe
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Quizno’s TorpedoQuizno’s Torpedo
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RIM Blackberry StormRIM Blackberry Storm
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Snuggie!Snuggie!
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Beatles: Rock BandBeatles: Rock Band
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McDonald’s McCaféMcDonald’s McCafé
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McCafé Case StudyMcCafé Case Study
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KFC’s Grilled ChickenKFC’s Grilled Chicken
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KFC Case StudyKFC Case Study
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Consumer InsightsConsumer Insights
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Consumer InsightsConsumer Insights
Media multitasking – watching TV and surfing the Web – is the norm (66%), and 85% of multitaskers have searched for a product online after seeing one on TV.
People don’t mind TV commercials, but strongly dislike watching them online (76%).
Women recommend new products more than men (59% vs. 45%), and take more new product recommendations than men (60% vs. 47%).
Health attributes matter more to the younger and older groups.
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Consumer insightsConsumer insights
Trusted brands continue to be the most highly influential product attribute (70%), more so for early adopters (78%) and retirement aged people (75%).
McDonald’s Angus Burgers KFC Grilled Chicken
Automatic emotional associations with brand and automatic associations of value are related to new product trial.
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Consumer insightsConsumer insights
Reduced high fructose corn syrup (42%) and low salt content (34%) are tomorrow’s buzz topics.
“Made in the USA” labeling is less important than in past years, when foreign product recalls made headlines (30% vs. 48%).
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ConclusionsConclusions
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Trends to Look for in 2010Trends to Look for in 2010Four major trends to consider:
Migration Marketing™ - will it continue or will brands ‘migrate back’ towards core customer segments?
Media Integration – people will be accessing more and different media types simultaneously, while recent smart phone entries are only the beginning of a focus by marketers on enriching the mobile experience.
Product Simplicity – a continuing trend from last year in food products moving toward more natural, basic and healthy ingredients.
Product Specificity – more products per category have been launched each year with a focus on targeting highly specific customer needs.
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ConclusionsConclusions
With the proliferation of media multitasking, there is less attention given to any one source.
Trusted brand names continue to be influential, and television commercials are still a great source of information.
Sampling, recommendations, product trial and “free” offers motivate consumers to try and buy new products.
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ConclusionsConclusions
Immersion marketing is more important than ever to gain mind share.
Migration Marketing ™ assists trading up or trading down, and helps companies demonstrate value.
Social media and online media are gaining in popularity, making media more fragmented than ever before.
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Launch DiagnosticLaunch Diagnostic
Four-Part Launch Diagnostic Module:
1. Ten Question Launch Assessment Module
2. New consumer insight survey to
gather data centered on your product category.
3. Consumer purchasing/trends report on your
product category.
4. Media and public relations
research to identify
influencers in traditional and
social media who are central to your product category and
brand.
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Questions?Questions?
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Presenter Contact InformationPresenter Contact Information
• Char Partelow, Senior Vice President, Consumer and Shopper Insights Information Resources, Inc.E-mail: [email protected]: www.infores.comTwitter: @INFORES
• Aaron Reid, Chief Behavioral Scientist Sentient Decision ScienceE-mail: [email protected]: www.sentientdecisionscience.comTwitter: @SentientInsight
• Julie Hall, EVP/Partner Schneider AssociatesE-mail: [email protected]: www.schneiderpr.comTwitter: @JulieHallBoston
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Learn MoreLearn More
Visit our blog at www.mmnpl.com where you can download this presentation and the latest press release. Be sure to follow us on Twitter @MMNPL and become a fan on Facebook (search “Most Memorable”).
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Keep an eye out for upcoming Keep an eye out for upcoming Pacesetters 2010 Webinars Pacesetters 2010 Webinars from IRI, product launch from IRI, product launch
insights at MMNPL.com, and insights at MMNPL.com, and the latest in behavioral the latest in behavioral
research at research at www.sentientdecisionscience.cowww.sentientdecisionscience.co
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Looking AheadLooking Ahead
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Thank YouThank You
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MMNPL Product CriteriaMMNPL Product Criteria
What Makes a Most Memorable New Product Launch?
Product must satisfy three of the following criteria:
1. Launched between October 2008 and September 20092. Has national distribution 3. Employed an Integrated Marketing Campaign4. Had substantial media budget 5. Exhibited product innovation6. Experienced early sales7. Created word of mouth/buzz8. Addressed a need in the marketplace9. Created a new category 10. Fit into a current trend