Not just what they want, but why they want it: Traditional market research to deep customer insights

Purpose This paper explores advantages and disadvantages of both traditional market research and deep customer insight methods in order to lay the platform for revealing how a relationship between these two domains could be optimised during firm-based innovation. Design/methodology/approach The paper reports on an empirical research study conducted with thirteen Australian based firms engaged in a design-led approach to innovation. Firms were facilitated through a design-led approach where the process of gathering deep customer insights was isolated and investigated further in comparison to traditional market research methods. Findings Results show that deep customer insight methods are able to provide fresh, non-obvious ways of understanding customer needs, problems and behaviours that can become the foundation of new business opportunities. Findings concluded that deep customer insights methods provide the critical layer to understand why customers do and don’t engage with businesses. Revealing why was not accessible in traditional market research methods. Research limitations/implications The theoretical outcome of this study is a complementary methods matrix, providing guidance on appropriate implementation of research methods in accordance with a project’s timeline to optimise the complementation of traditional market research methods with design-led customer engagement methods. Practical implications Deep customer insight methods provide fresh, non-obvious ways of understanding customer needs, problems and behaviours that can become the foundation of new business opportunities. It is hoped that those in a position of data collection are encouraged to experiment and use deep customer insight methods to connect with their customers on a meaningful level and translate these insights into value. Originality/value This paper provides original value to a new understanding how design techniques can be applied to compliment and strengthen existing market research strategies. This is crucial in an era where business competition hinges on a subtle and often intimate understanding of customer needs and behaviours.

Informing methods for preparing public health overviews of reviews: a comparison of public health overviews with Cochrane Overviews published between 1999 and 2014

Background: Overviews of systematic reviews (SRs) are useful for public health policy; however there is an absence of Cochrane Overviews covering public health (PH) topics. Objectives: We sought to analyze the methodological approaches used in existing Cochrane Overviews and Protocols for overviews (primarily clinical in nature), and compare these to the methods and approaches used in PH overviews (non-Cochrane). The intent was to identify issues that would be relevant for undertaking Cochrane overviews. Methods: We conducted a descriptive analysis of overviews published between 1999 and 2014. We searched the Cochrane Database of Systematic Reviews for Cochrane Protocols for overviews and Cochrane Overviews, and the HealthEvidence.org for PH overviews. The primary characteristics of the overviews and elements of the methodology were extracted and compared. Results: A total of 61 overviews of SRs were included in our analysis; specifically, this included 21 Cochrane Protocols for overviews, 15 Cochrane Overviews, and 27 non-Cochrane PH overviews. Amongst the overviews, the most significant differences are that PH overviews (non-Cochrane) tend to: include earlier and more reviews, greater number of participants, allow lower levels of evidence, use assessment tools other than AMSTAR (A Measurement Tool to Assess Systematic Reviews, i.e. a tool for assessing quality of SRs), not assess quality of evidence in reviews, search more databases overall, specify search limits including English-only reviews, and not consider recent primary studies for inclusion. Some of these differences clearly related to quality, however many relate to the nuances of PH interventions. Conclusions: The methodology in Cochrane overviews and PH overviews varies widely. Future PH overviews may benefit from the Cochrane methodology but the Cochrane approach requires modification to accommodate PH research methodology. Additionally, the use of databases that pre-screen and quality assess relevant PH systematic reviews may help expedite the search process.

Improved residential electricity demand management through analysis of the customer perspective

Peak electricity demand requires substantial investment to update transmission, distribution and generation infrastructure. A successful community peak demand reduction project was examined to identify residential consumer motivational and contextual factors involved in their decision to adopt/not adopt interventions. Energy professionals actively worked to achieve community 'peer' membership and by becoming a trusted information source, facilitated voluntary home energy assessment requests from over 80% of the residential community. By combining and tailoring interventions to the specific needs and motivations of individual householders and the community, interventions promoting energy conservation and efficiency can be effective in achieving sustained reduction in peak demand.

Re-examining online customer experience to include purchase frequency and perceived risk

This research examines the important emerging area of online customer experience (OCE) using data collected from an online survey of frequent and infrequent online shoppers. The study examines a model of antecedents for cognitive and affective experiential states and their influence on outcomes, such as online shopping satisfaction and repurchase intentions. The model also examines the relationships between perceived risk, trust, satisfaction and repurchase intentions. Theoretically, the study provides a broader understanding of OCE, through insights into two shopper segments identified as being important in e-retailing. For managers, the study highlights areas of OCE and their implications for ongoing management of the online channel.

Customer-driven innovation: Digital channels and community

This study investigates the role of digital channels in community-led businesses by exploring two case study companies, Uber and Airbnb. At present, these community-led businesses are disrupting traditional industries by connecting with customers via digital channels and facilitating transactions between two parties. A deductive structured qualitative content analysis approach utilising a predetermined categorization matrix was implemented to decipher the digital channels used by both companies. The results discovered that both company’s digital channels push the customer to their core channel, allowing, customers to create their own physical, largely self-governed communities. However, little research exists which explores and analyses the role of digital channels in forming community-led businesses. Therefore, this paper aims to instigate future research and discussion in this emerging area by concluding with future research agendas.

Customer agility, smart shopping apps and their implications: Customer relationship management systems in the digital age

This thesis examines the complementarities and vulnerabilities of customer connectivity that contemporary firms achieved through ubiquitous digital technologies. Taking the example of deployment of smart shopping apps to connect with consumers in the context of Australian retail, the study examines how such customer connectivity positively influences firm performances through firm's customer agility whilst creating implications for firms' digital business strategy through altered customer cognitions. Employing Oliver's (1977) Expectation Confirmation Theory, this study empirically tests a conceptual model involving digital connectivity, digital expectations, experiences and satisfaction of the customers who uses smart shopping apps in Australian consumer retail.

Integration of Opinion Mining into customer analysis model

This research proposes a multi-dimensional model for Opinion Mining, which integrates customers' characteristics and their opinions about products (or services). Customer opinions are valuable for companies to deliver right products or services to their customers. This research presents a comprehensive framework to evaluate opinions' orientation based on products' hierarchy attributes. It also provides an alternative way to obtain opinion summaries for different groups of customers and different categories of produces.

From ‘free’ to fee: Acceptability of airline ancillary fees and the effects on customer behavior

Businesses in various consumer service industries have begun to unbundle their service offerings by introducing numerous fees for products and services that were previously provided as “free.” Anecdotal evidence in the media indicates that these fees cause widespread public displeasure, frustration, and outrage. This paper develops a framework of fee acceptability, negative emotions, and dysfunctional customer behavior, which is tested using data from the airline industry. Findings identify the strongest effects on betrayal in the case of baggage fees, followed by charges for comfort. Also, betrayal has a direct effect on complaining, whereas anger mediates the relationship between betrayal and negative word of mouth.

Quality in group service encounters: A theoretical exploration of the concept of a simultaneous multi‐customer co‐creation process

Purpose The purpose of this paper is to explore the concept of service quality for settings where several customers are involved in the joint creation and consumption of a service. The approach is to provide first insights into the implications of a simultaneous multi‐customer integration on service quality. Design/methodology/approach This conceptual paper undertakes a thorough review of the relevant literature before developing a conceptual model regarding service co‐creation and service quality in customer groups. Findings Group service encounters must be set up carefully to account for the dynamics (social activity) in a customer group and skill set and capabilities (task activity) of each of the individual participants involved in a group service experience. Research limitations/implications Future research should undertake empirical studies to validate and/or modify the suggested model presented in this contribution. Practical implications Managers of service firms should be made aware of the implications and the underlying factors of group services in order to create and manage a group experience successfully. Particular attention should be given to those factors that can be influenced by service providers in managing encounters with multiple customers. Originality/value This article introduces a new conceptual approach for service encounters with groups of customers in a proposed service quality model. In particular, the paper focuses on integrating the impact of customers' co‐creation activities on service quality in a multiple‐actor model.

The link between marketing instruments and customer perceptions

Measuring marketing effectiveness is a major challenge for marketing academics and practitioners. An investigation that uses dependence analysis to examine the link between objective marketing instruments and subjective customer perceptions of them is missing from existing approaches. In examining this link, the present article redresses this deficit. A conceptual model is developed in order to structure and explain the effects of instruments on perceptions for 3 marketing instrument categories (value, relationship, and brand). The links are analyzed in an empirical study with bank customers. Instruments are measured by using objective internal data. Perceptions are measured based on a customer survey. The relationships between instruments and perceptions are examined using regression analysis. Most of the effects of instruments on perceptions are significant, signaling that the activities conducted are perceived as intended. In particular, some interesting results become evident, such as the negative effect on relationship perceptions of follow-up calls subsequent to direct mail services.

Integrating customer orientation, employee compensation and performance management: A conceptual framework

Compensation systems are an essential tool to link corporate goals such as customer orientation with individual and organisational performance. While some authors demonstrate the positive effects of incorporating nonfinancial measures into the compensation system empirically, companies have encountered problems after linking pay to customer satisfaction. We argue that reasons for this can be attributed to the measurement of customer satisfaction as well as to the missing link between customer satisfaction and customer retention and profitability in theses cases. Hence, there is a strong need for the development of an holistic reward and performance measurement model enabling an organisation to identify cause-and-effect relationships when linking rewards to nonfinancial performance measures. We present a conceptual framework of a success chain driven reward system that enables organisations to systematically derive a customer-oriented reward strategy. In the context of performance evaluation, we propose to rely on integrated and multidimensional measurement methods.

The role of emotions in service customer decision-making

This chapter explains how customers make purchase decisions and how these decisions are influenced not only by the service marketer but also by the customers own emotions. While decision-making is described from the perspective of purchasing services rather than purchasing goods, we challenge the traditional notion that customers make informed, rational and well-thought-out decisions. Rather customers are often driven by subjective feelings such as emotions. We present evidence of how these emotions influence the behavior of customers, their attitudes and evaluation of the service, as well as final decision-making processes.

Book reviews: Kathy Bowrey.Law & Internet Cultures. Cambridge: Cambridge University Press, 2005.

What role does Australia play in debates over the regulation and governance of the Internet? Is it a hub? A node in the information grid? Or is it a mere cul–de–sac? Or are we mere road–kill, bush junk, on the information autobahn?

Investigating how customer insights inform strategy leading to brand differentiation in the retail sector

Using qualitative research with case studies of firms in the Australian retail sector, this thesis explores the link between brand differentiation, customer insights, and strategy development to deliver a unique customer experience. The research focus is how brand expression is driven by customer insights. Findings indicate that customer experience is made tangible by the strategic design and alignment of the brand's expression and is crucial to retail success. A significant practical outcome is the development of the Brand Differentiated Model. Created as a tool to potentially assist retailers develop brands from the 'inside out' and confront future disruptions.

Regulating unilateral supermarket misconduct as customer/acquirer of goods and services

Supermarkets in Australia may have substantial market power as buyers in wholesale markets for grocery products. They may also have substantial bargaining power in negotiating contracts with their suppliers of grocery products. The Competition and Consumer Act 2010 (Cth) (CCA) regulates misconduct by supermarkets as customer/acquirers in three ways. First, s 46(1) of the CCA prohibits the ‘taking advantage’ of buyer power for the purpose of damaging a competitor, preventing entry or deterring or preventing competitive conduct. Secondly, s 21 of the ACL prohibits unconscionable conduct in business–to–business transactions. Thirdly, Pt IVB of the CCA provides for the promulgation of mandatory and voluntary industry codes of conduct. Since 1 July 2015 the conduct of supermarkets as customer/acquirers has been regulated by the Food and Grocery Industry Code of Conduct. This article examines these three different approaches. It considers them against the background of the misconduct at issue in ACCC v Coles Supermarkets Australia Pty Ltd which the ACCC chose to litigate as an unconscionable conduct case, rather than a misuse of market power case. The article also considers the strengths and weaknesses of each of the three approaches and concludes that while the three approaches address different problems there is scope for overlap and all three should be retained for compete coverage.