In a perfect world, we would have the best information available at our fingertips when making decisions. But, that’s often not the case. While information is more accessible now than at any other time in history, it’s not always the right information. Missing or bad information could mean big mistakes when developing or measuring marketing campaigns. So, to mitigate the risk of missing the mark, many companies explore custom market research. But, accurate, actionable custom research requires knowledge, experience, and dedicated personnel to complete.
Steve Jobs was a genius. He could envision and bring to market revolutionary products that set the standards in their industries. He was also known for relying on his intuition over market research. Due to the success of Apple, many people subscribe to this logic and opt-out of conducting market research. But there was only one Steve Jobs. The marketplace is littered with failed products and services that seemed like a good idea to their creators and were rushed to market only to find that no one asked for or needed them. Complicating matters further is an unprecedented demographic shift towards multiculturalism that is changing the composition of the U.S. consumer market. In business, intuition can be useful, but it needs to be optimized by market research, especially when attempting to tap into diverse markets. If you’re not advising your clients to conduct market research, you are doing them a disservice as they don’t have the facts to make informed decisions about their marketing strategy.
In 1954, Darrell Huff called out the dangers of misrepresenting statistical data in his book How to Lie With Statistics. I don’t know how big a problem bad survey data and misinformation was in the 1950s but if you fast forward to 2019, social media and 24-hour news cycles have created an explosion of content that purports to be factual. Chances are, a percentage of it is not, which is what I want to talk about.
“A rising tide raises all ships.” We’ve all heard that expression and many companies are hoping it’s true as the U.S. economy experiences the lowest unemployment rate and the longest period of growth in U.S. history. Under such circumstances, we could reasonably expect all our ships to be riding high, right? Not quite. In fact, many companies are struggling and wondering why they’re not experiencing the growth they believe they should be. As a consumer insights company that works across multiple verticals and consumer segments, we have a good vantage point from which to observe the rise and fall of the tides and the individual ships trying to stay afloat. Take a closer look and ask yourself these questions:
As a market research company with a robust multicultural practice, we’re often asked about how to market to Asian Americans. Often, clients have heard that Asian Americans are wealthier and better educated than other groups and they want to tap into these appealing consumers. However, when we walk them through the different country of origin groups and languages spoken, they’re often surprised by the variety and complexity within this market. One way to simplify the discussion is to look at shared cultural values and craft messages that can be adapted to various subgroups within the Asian American community.
With the success of Crazy Rich Asians many brand managers will decide that it’s finally time to start paying attention to this often-overlooked segment. They will find, however, that unlike the U.S. Hispanic or African American markets, there is little consensus as to how to market to Asian Americans. The problem begins with the moniker. Asian Americans are less likely to identify with a pan-Asian identity & more likely to identify with their countries of origin. This is partly due to the more recent immigration status of the majority of Asian Americans (59% are foreign born as compared to 34% for Hispanics) and the dearth of Asian American role models and cultural touchstones in popular media.
ThinkNow conducted a national survey of 1,291 Americans aged 18-64 across various ethnic groups. We asked them about their interest in starting businesses, industries chosen, revenue goals, motivations, barriers and utilization of support services. The results are both eye-opening and potentially concerning. Overall, we found that the desire to start new businesses, revenue goals for those businesses and challenges experienced by their founders are not evenly distributed by gender and ethnicity.
Every entrepreneur has his or her reasons for starting a business. As noted in our recent Entrepreneurship In America 2018 report, the “why” ranges from the pursuit of greater independence to leaving behind a family legacy. For me, as co-founder of ThinkNow, I knew there was a better way to gather meaningful insights on hard-to-reach audiences but needed the freedom to do it. The challenges I faced in starting a business, however, are specific to me. It would be a mistake to assume that my experience is reflective of those had by entrepreneurs of different social, ethnic, gender or geographic groups.
Women and Minorities Report Greater Obstacles to Starting Businesses Historically, small businesses in the U.S. have fueled the economic engine by supplying a steady stream of new jobs. However, in recent years, new business birth rates have slowed prompting the Kaufman Foundation to declare that startup rates are “half of what they were a decade ago.” This is surprising because the U.S. is seen as a global leader in entrepreneurship. Americans have created whole new industries from scratch through the courage, determination and skill of generations of risk takers. Is America at risk of losing this status? Perhaps, but why? It’s difficult to pinpoint the exact reasons for the overall decline in entrepreneurship in America.