[Research];[Vietnam consumer confidence & spending]

34
Market research top-line No.2 – April - 2009 Vietnam consumer confidence & spending Country of origin association ESOMAR Beijing conference HIGHLIGHTS: Free & easy market feedbacks Qualitative research techniques

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Transcript of [Research];[Vietnam consumer confidence & spending]

Page 1: [Research];[Vietnam consumer confidence & spending]

Market research top-line No.2 – April - 2009

Vietnam consumer confidence & spending

Country of origin association

ESOMAR Beijing conference

HIGHLIGHTS:

Free & easy market feedbacks

Qualitative research techniques

Page 2: [Research];[Vietnam consumer confidence & spending]

About

Viettrack is a monthly market research top-line developed by FTAresearch & consultant Vietnam in conjunction with ESOMAR (WorldResearch Association with over 5,000 members across 100 countries).

Viettrack aims to: Provide snapshots on Vietnam consumers based on panel of 2,000 Vietnamese

consumers across 6 key cities (HCMC, Hanoi, Danang, Cantho, Haiphong, Nhatrang) Explain market research terms, usage, application, methodologies for Vietnam

market Introduce new developments in market research worldwide and Asia Pacific region. Interact with marketers in Vietnam on approach and direction for a most effective

and value for investment usage of market research. Eventually, this would helpreduce marketing failures and expand the research industry in Vietnam

Viettrack is a monthly market research top-line developed by FTAresearch & consultant Vietnam in conjunction with ESOMAR (WorldResearch Association with over 5,000 members across 100 countries).

Viettrack aims to: Provide snapshots on Vietnam consumers based on panel of 2,000 Vietnamese

consumers across 6 key cities (HCMC, Hanoi, Danang, Cantho, Haiphong, Nhatrang) Explain market research terms, usage, application, methodologies for Vietnam

market Introduce new developments in market research worldwide and Asia Pacific region. Interact with marketers in Vietnam on approach and direction for a most effective

and value for investment usage of market research. Eventually, this would helpreduce marketing failures and expand the research industry in Vietnam

Page 3: [Research];[Vietnam consumer confidence & spending]

Market research top-line

Figures of the monthFigures of the month

Page 4: [Research];[Vietnam consumer confidence & spending]

FIGURES OF THE MONTH

22

25

10

7

8

7

11

35

38

45

41

43

53

39

43

37

45

52

49

40

50

Less Same More

Food & Drink

Healthcare

Education

Transportation

%

9

47

44Better

Same

Worse

April 2009 sees an even more positive signal toward economicrecovery expectation as well as consumers’ confidence andspending.

FTA Viettrack panel - April 2009

22

25

10

7

8

7

11

35

38

45

41

43

53

39

43

37

45

52

49

40

50

Less Same More

Transportation

Communication

Shopping

Entertainment

Q. Against last month, are your spending on the followings…more, less or the same?

Q. Against last month, what do you think of the Vietnam economy ‘s improvement : better, worse or the same?

9

47

44Better

Same

Worse

Page 5: [Research];[Vietnam consumer confidence & spending]

FIGURES OF THE MONTH

%FOOD AUTOMOTIVECLOTHING TECHNOLOGY ENTERTAINMENTBEVERAGE EDUCATION

Vietnam

USA

Korea

Thailand

37

24

16

36

7

30

62

10

5

11

74

17

8

62

24

14

6

14

24

12

6

16

65

16

5

71

18

9

6

12

16

14

16

12

38

24

10

21

14

11

22

22

16

22

16

26

35

81

11

12

19

12

8

17

15

12

10

13

41

74

10

21

14

11

22

22

16

22

16

26

35

81

7

15

16

17

17

20

21

24

25

35

40

69

Vietnam brand as a country of origin does have strength in basicproducts while USA is consistently strong across categories.

FTA Viettrack panel - April 2009

Q. Which of the countries of origin that you could choose to buy their brands /products?

Base on total samples

Thailand

Italy

England

France

China

Singapore

Other Europeans

Japan

Australia 37

24

16

36

7

30

62

10

5

11

74

17

8

62

24

14

6

14

24

12

6

16

65

16

5

71

18

9

6

12

16

14

16

12

38

24

10

21

14

11

22

22

16

22

16

26

35

81

11

12

19

12

8

17

15

12

10

13

41

74

10

21

14

11

22

22

16

22

16

26

35

81

7

15

16

17

17

20

21

24

25

35

40

69

Page 6: [Research];[Vietnam consumer confidence & spending]

4

12

12

13

14

15

17

23

30

38

42

72

FIGURES OF THE MONTH

%Vietnam

USA

Korea

Thailand

9

22

12

9

11

22

27

23

21

27

37

88

9

13

19

8

12

15

6

9

9

10

49

80

48

27

16

41

65

28

5

9

5

9

84

15

5

75

29

13

19

9

5

7

6

16

72

11

2

83

19

5

9

7

6

9

18

11

39

22

5

16

11

10

26

16

41

10

7

49

79

37

FOOD AUTOMOTIVECLOTHING TECHNOLOGY ENTERTAINMENTBEVERAGE EDUCATION

USA (and Japan) brands remains the strongest, from HCMCconsumers’ perspective.

4

12

12

13

14

15

17

23

30

38

42

72

FTA Viettrack panel - April 2009

Q. Which of the countries of origin that you choose to buy their brands of … products?

Base on those in HCMC only

Thailand

Italy

China

France

England

Singapore

Other Europeans

Japan

Australia 9

22

12

9

11

22

27

23

21

27

37

88

9

13

19

8

12

15

6

9

9

10

49

80

48

27

16

41

65

28

5

9

5

9

84

15

5

75

29

13

19

9

5

7

6

16

72

11

2

83

19

5

9

7

6

9

18

11

39

22

5

16

11

10

26

16

41

10

7

49

79

37

Page 7: [Research];[Vietnam consumer confidence & spending]

FIGURES OF THE MONTH

%Vietnam

USA

England

Korea

13

15

17

20

22

24

27

28

30

34

36

62

12

8

13

18

18

16

21

22

22

26

31

67

15

11

12

11

18

18

17

22

19

22

24

62

16

6

11

19

17

28

13

35

14

56

54

20

13

5

9

39

15

17

21

25

17

33

52

26

10

12

7

47

17

15

24

23

15

29

35

28

15

7

21

19

13

17

25

23

31

46

53

30

FOOD AUTOMOTIVECLOTHING TECHNOLOGY ENTERTAINMENTBEVERAGE EDUCATION

In Ha Noi, France, England and Korea brands are more preferredthan Japan ones.

FTA Viettrack panel - April 2009

Q. Which of the countries of origin that you choose to buy their brands of … products/ services?

Base on those in HANOI only

France

Italy

Singapore

Other Europeans

Japan

China

Thailand

Australia 13

15

17

20

22

24

27

28

30

34

36

62

12

8

13

18

18

16

21

22

22

26

31

67

15

11

12

11

18

18

17

22

19

22

24

62

16

6

11

19

17

28

13

35

14

56

54

20

13

5

9

39

15

17

21

25

17

33

52

26

10

12

7

47

17

15

24

23

15

29

35

28

15

7

21

19

13

17

25

23

31

46

53

30

Page 8: [Research];[Vietnam consumer confidence & spending]

FIGURES OF THE MONTH

%

0 20 40 60 80

Vietnam

USA

Europe

Australia

Korea

Japan

China

Nice design

Good after-sales service

Suitable to Vietnamese people

Cheap price

Suit my pocket

Suitable for me

International standard

Fashionable

Credible/ guaranteed quality

From Vietnamese consumer perception, country associations differ vastly

FTA Viettrack panel - April 2009Q. Which of the following countries of origin that suit the statement “…”?

0 20 40 60 80

Vietnam

USA

Europe

Australia

Korea

Japan

China

Durable

Safety in use

Unique

Sophisticated

Easy to use

High-tech

Friendly to environment

Widely available

Good quality

High class

Page 9: [Research];[Vietnam consumer confidence & spending]

Vietnam

USA Australia

Japan

Good quality

High-tech

Easy to use

Safety in use

Durable

Guaranteedquality

International standard

Suitable to myself

Suit my pocket

Cheap priceSuitable to Vietnamesepeople

Good after-sales service

0

0.2

FIGURES OF THE MONTH

Perceptual map reveals strength of Vietnam in “suitability” dimension butstill considered “cheap”.

Europe

Korea

ChinaSingaporeThailand

High class

Widely available

Friendly to environment

High-tech

Sophisticated

Unique

Fashionable

Suitable to Vietnamesepeople

Nice design

-0.4

-0.2

0

-0.6 -0.4 -0.2 -1E-15 0.2 0.4 0.6 0.8 1

FTA Viettrack panel - April 2009Q. Which of the following countries of origin that suit the statement “…”?

Page 10: [Research];[Vietnam consumer confidence & spending]

3

7

7

9

13

16

17

28 %

FIGURES OF THE MONTH

At shopping center, supermarkets

At buildings, towers

Intersection, traffic corner

Shopping centers are best source for outdoor billboard

3

7

7

9

13

16

17

28

FTA Viettrack panel - April 2009

Q. Where is the place of hanging billboard that is most memorable to you?

Intersection, traffic corner

Along the streets

At bus station

Cinema

Ads on bus’ body

Train station, airport

Page 11: [Research];[Vietnam consumer confidence & spending]

16

84

Yes

No

%

10

10

15

25

40

FIGURES OF THE MONTH

RECEIVING SPAM SMSTHROUGH MOBILE PHONE

REACTION TOWARDS SPAM SMS

Read the SMS then delete

At least 10% are still receptive to SMS advertising

16

84

Yes

No

10

10

15

25

40

FTA Viettrack panel - April 2009

Q. Do you usually receive spam SMS through mobile phone ?

Q. What is your reactions towards the spam SMS?

Read the SMS then leave it in the inbox with no reply

Delete right away when receiving the SMS

Read the SMS and reply

Read the SMS and forward to my friends

Page 12: [Research];[Vietnam consumer confidence & spending]

3

14

15

20

22

38

40

60

62

59

%

FIGURES OF THE MONTH

Music

Ringtone

Wallpapers

Games

Music, ringtone & wallpapers are top downloaded items to mobile phonescurrently.

3

14

15

20

22

38

40

60

62

59

FTA Viettrack panel - April 2009

Q. What do you usually download to your mobile phone?

Games

Screensavers

Emotional icons

Logo

Greeting cards

News

No Download

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8378

70

60 60 5855

5

12 11

58

6966 65

33

9

0

1053

92

Aware Most liking

FIGURES OF THE MONTH

Cocacola happiness factory emerges as top appealing TVC this month.

8378

70

60 60 5855

5

12 11

58

6966 65

33

9

0

1053

92

Q. Which TVC are you aware of and like the most?FTA Viettrack panel - April 2009

Coca-ColaHappiness

Factory

Điện thoạiLG KP175

LuxSuper Rich

Nước rửachén

Sunlight

Nóng trongngười, uốngSensa Cools

LCD PlasmaLG

“Lead to theedge”

Clean &Clear

Tinh chấttrà xanh

Không Độchai thủy

tinh

Cuộc sốngngọt ngào

cùngAlpenliebe

LifebuoyCậu bé ra

đườngmang

nhiều vitrùng trên

người

Em béuống

Lavie, thành thiênthần

Page 14: [Research];[Vietnam consumer confidence & spending]

Market research top-line

Market research explainedMarket research explained

Page 15: [Research];[Vietnam consumer confidence & spending]

QUALITATIVE RESEARCH

Companies wanted to know more than just what people were buying; they also wanted to know why.Quantitative research could measure ’How many people buy soap' but with the growing importance of brands,

companies wanted to know more. They wanted to ask ‘Why do people buy brand X soap? And'How can we convince more people to buy our soap brand?'.

Motivation research, as qualitative research is also known, is not about asking direct questions.Lt is about observing and listening to people in an environment that encourages enquiry andunderstanding, such as a group discussion or in depth interview. lf direct questioning were usedthe answers may be meaningless as people may answer in a particular way either because they

do something unconsciously or because of social pressure. For instance, most people claim not to beinfluenced by advertising, even though it can be proven that they are. Therefore, it would be pointless asking'Did you buy product X because of advertising?'. An open-ended, flexible, interactive approach will yield farbetter understanding of people's attitudes and behavior. This enables organizations, for example, to developeffective marketing strategies or social policy strategy

WHEN IS QUALITATIVE RESEARCH USED? Here are some examples of when qualitative research might be used: To investigate the underlying reasons for consumer behavior when direct questioning methods are not

appropriate because the person may be unaware, unable to articulate or reluctant to admit e.g. 'Why do youprefer a petrol car to a diesel car?'

To make an initial investigation of a market, category of product, or concept before proceeding to a quantitativesurvey. This initial work can provide leads or suggest questions which will be helpful in the design of aquantitative survey

To explore a new market or little known area To provide more perspective and better understanding where conventional research has failed e.g. 'Why do you

prefer to give a child a packed lunch for school? To provide a stimulus to creativity, for instance to produce copy leads or find realistic consumer language that

will resonate e.g. 'squeak clean', tingling fresh', 'pamper yourself'..

Qualitative market research developed out of behavioral sciences — sociology, anthropology and particularly psychology in the l950s.

RESEARCH EXPLAINED

Most people claimnot to be influencedby advertising, eventhough it can beproven that they are

Companies wanted to know more than just what people were buying; they also wanted to know why.Quantitative research could measure ’How many people buy soap' but with the growing importance of brands,

companies wanted to know more. They wanted to ask ‘Why do people buy brand X soap? And'How can we convince more people to buy our soap brand?'.

Motivation research, as qualitative research is also known, is not about asking direct questions.Lt is about observing and listening to people in an environment that encourages enquiry andunderstanding, such as a group discussion or in depth interview. lf direct questioning were usedthe answers may be meaningless as people may answer in a particular way either because they

do something unconsciously or because of social pressure. For instance, most people claim not to beinfluenced by advertising, even though it can be proven that they are. Therefore, it would be pointless asking'Did you buy product X because of advertising?'. An open-ended, flexible, interactive approach will yield farbetter understanding of people's attitudes and behavior. This enables organizations, for example, to developeffective marketing strategies or social policy strategy

WHEN IS QUALITATIVE RESEARCH USED? Here are some examples of when qualitative research might be used: To investigate the underlying reasons for consumer behavior when direct questioning methods are not

appropriate because the person may be unaware, unable to articulate or reluctant to admit e.g. 'Why do youprefer a petrol car to a diesel car?'

To make an initial investigation of a market, category of product, or concept before proceeding to a quantitativesurvey. This initial work can provide leads or suggest questions which will be helpful in the design of aquantitative survey

To explore a new market or little known area To provide more perspective and better understanding where conventional research has failed e.g. 'Why do you

prefer to give a child a packed lunch for school? To provide a stimulus to creativity, for instance to produce copy leads or find realistic consumer language that

will resonate e.g. 'squeak clean', tingling fresh', 'pamper yourself'..

Page 16: [Research];[Vietnam consumer confidence & spending]

IN DEPTH INTERVIEW

ln many ways, it is the commercial equivalent of the psychiatric interview. The idea is to encourage therespondent to talk at length on a subject eg red wine. A broad approach at the start generally leads intoideas, often by association. ln this way, the respondent will often admit attitudes or behaviour which wouldnever have been revealed using more formal methods eg; “I never drink wine as I don't know which winegoes with which food'.

The in depth interview requires experience and skill to build a rapport with the respondent. The interviewer'srole is passive and neutral; they have to probe and gently encourage the flow of conversation. There is nostandard questionnaire but a clear briefing ensures the interviewer is focused on the objective. The researcherusually records the respondents reactions and summaries these, adding quotes from the interview session.

Respondents are generally pre—recruited (except in the case of ’cold‘ store interviews) and the interviews maytake place anywhere from the respondent’s home to a central location such as a hotel or public hallln depth interviews are suitable for intimate, personal subjects, which would not normally be discussed withingroup situations. However, they can involve more than one person and could, for example, involve couples orfamilies.

SUMMARY: IN DEPTH INTERVIEWS ?.

In depth interviews cprne in all shapes and sizes. The approach may be disciplined but the interview itself is never standard.

RESEARCH EXPLAINED

ln many ways, it is the commercial equivalent of the psychiatric interview. The idea is to encourage therespondent to talk at length on a subject eg red wine. A broad approach at the start generally leads intoideas, often by association. ln this way, the respondent will often admit attitudes or behaviour which wouldnever have been revealed using more formal methods eg; “I never drink wine as I don't know which winegoes with which food'.

The in depth interview requires experience and skill to build a rapport with the respondent. The interviewer'srole is passive and neutral; they have to probe and gently encourage the flow of conversation. There is nostandard questionnaire but a clear briefing ensures the interviewer is focused on the objective. The researcherusually records the respondents reactions and summaries these, adding quotes from the interview session.

Respondents are generally pre—recruited (except in the case of ’cold‘ store interviews) and the interviews maytake place anywhere from the respondent’s home to a central location such as a hotel or public hallln depth interviews are suitable for intimate, personal subjects, which would not normally be discussed withingroup situations. However, they can involve more than one person and could, for example, involve couples orfamilies.

SUMMARY: IN DEPTH INTERVIEWS ?.

What Intimate, personal interviewsWhen Broad market studies, sensitive subjectsWhy use it Interactive, flexible. Detailed information and

many non-verbal signsWhy not Very small samples, slow, expensives

The in depth interview requires experience and skill to build a rapport with the respondent.

Page 17: [Research];[Vietnam consumer confidence & spending]

FOCUS GROUPS

A small group of people (six to 10) is invited to a neutral location to discuss a particular topic eg estate cars.Selection of the group is critical as is the role of the moderator, The moderator has to be able to lead anddirect the discussion but appear passive. The individual has to be highly experienced, possibly a psychologistor sociologist, to ensure that personalities (including their ovvn) do not influence the result. Focus groups areoften used as a first approach in research. Organisations may have certain intuitions or ideas but want to testthese out. Group discussions are a relatively inexpensive way of validating those ideas.

The principles are very similar to in depth interviews, with three main exceptions:ln group discussions, people tend to lose their inhibitions as the discussion warms up and they become morerelaxed. People talk more and are less reserved in what they say (rather like at a party So they often revealattitudes or motives which they would never have done in more formal circumstances.

The group dynamic means that a whole range of ideas can flow from one persons small comment. This makesfocus groups particulary suitable for exploratory work such as reactions to product, packages, advertising andwebsite designs as the group is likely to come up with a wide range of comments and ideas.Group discussions are more relevant when the subject matter is products or services normally enjoyed in asocial context eg alcoholic drinks, food, eating out, holidays.SUMMARY: FOCUS GROUP.

Focus groups, or group discussions, are a popular rnethod of carrying out qualitative research as they can provide deep..understanding about peoples behaviour and attitudes.

RESEARCH EXPLAINED

Focus group areoften used afirst approach inresearch

A small group of people (six to 10) is invited to a neutral location to discuss a particular topic eg estate cars.Selection of the group is critical as is the role of the moderator, The moderator has to be able to lead anddirect the discussion but appear passive. The individual has to be highly experienced, possibly a psychologistor sociologist, to ensure that personalities (including their ovvn) do not influence the result. Focus groups areoften used as a first approach in research. Organisations may have certain intuitions or ideas but want to testthese out. Group discussions are a relatively inexpensive way of validating those ideas.

The principles are very similar to in depth interviews, with three main exceptions:ln group discussions, people tend to lose their inhibitions as the discussion warms up and they become morerelaxed. People talk more and are less reserved in what they say (rather like at a party So they often revealattitudes or motives which they would never have done in more formal circumstances.

The group dynamic means that a whole range of ideas can flow from one persons small comment. This makesfocus groups particulary suitable for exploratory work such as reactions to product, packages, advertising andwebsite designs as the group is likely to come up with a wide range of comments and ideas.Group discussions are more relevant when the subject matter is products or services normally enjoyed in asocial context eg alcoholic drinks, food, eating out, holidays.SUMMARY: FOCUS GROUP. What Group of six to 10 peoples with an experienced moderators

When Broad market studies, creative development, ideas needing unconsciousthought

Why use it Fast, interactive, flexible, inexpensive and specific

Why not Group represents a small sample, requires good recruitment, cannot forecastprecise business result

Focus group areoften used afirst approach inresearch

Page 18: [Research];[Vietnam consumer confidence & spending]

PROJECTIVE TECHNIQUES

People are social beings who like to interact; we constantly project our own image on to others. Individualsbelong to a certain group or community and typically have a strong self image, but to create that image we relyon the perception of others as well as our own ideas. Projective techniques use a number of different methodsincluding; Giving respondents vague or incomplete sketches, or sentences, which they are asked to complete Asking respondents to describe a person's feelings towards a product or brand Asking respondents to imagine people who use a specific product and how they might react to a situation Asking respondents to create a shopping list of products that fit together.

.This research method is effective in surfacing people's views as unwittingly the respondent will project his ownideas, feelings and attitudes. The market researcher is able in this way to break down defensive barriers whichmay hide real feelings and attitudes about goods and services. This is particularly useful if the answers wouldembarrassing or don't quite fit the individual's own self image — eg woman's guilt about not being a good cook,senior business person's embarrassment at not being computer literate, or vegetarian who likes to buy leathergoods. Projective techniques can be used in both in depth interviews and focus groups. They work particularlywell in the latter as the technique encourages people to let down unconscious barriers.SUMMARY: PROJECTIVE TECHNIQUES.

Projective techniques are based on psychology and attempt to reproduce the projections people make in real life.

RESEARCH EXPLAINED

People are social beings who like to interact; we constantly project our own image on to others. Individualsbelong to a certain group or community and typically have a strong self image, but to create that image we relyon the perception of others as well as our own ideas. Projective techniques use a number of different methodsincluding; Giving respondents vague or incomplete sketches, or sentences, which they are asked to complete Asking respondents to describe a person's feelings towards a product or brand Asking respondents to imagine people who use a specific product and how they might react to a situation Asking respondents to create a shopping list of products that fit together.

.This research method is effective in surfacing people's views as unwittingly the respondent will project his ownideas, feelings and attitudes. The market researcher is able in this way to break down defensive barriers whichmay hide real feelings and attitudes about goods and services. This is particularly useful if the answers wouldembarrassing or don't quite fit the individual's own self image — eg woman's guilt about not being a good cook,senior business person's embarrassment at not being computer literate, or vegetarian who likes to buy leathergoods. Projective techniques can be used in both in depth interviews and focus groups. They work particularlywell in the latter as the technique encourages people to let down unconscious barriers.SUMMARY: PROJECTIVE TECHNIQUES.

What Psychological technique based on projecting as social image

When To understand attitudes and opinions which may be difficult to express, or forsocially sensitive subjective

Why use it Good for difficult issue

Why not Participant can unconsciously affect result by not lowering their barriers,Result may be difficult to interpret

Page 19: [Research];[Vietnam consumer confidence & spending]

OTHER QUALITATIVE TECHNIQUES

ANTHROPOLOGICAL TECHNIQUESEthnography research defines the anthropologist's fieldwork. These researchers are investigators, sharing thedaily life of a specific social group and trying to understand its social dynamics. They totally immersethemselves in a culture - observing, listening, smelling and tasting. Their minds and senses are open,discovering every aspect of that life and comparing it to other social environments.

Nowadays an anthropologist not only works among small, primitive populations but also in New York, Paris,London, Rio, Shanghai or Moscow Market research is following this academic trend, which has led toethnographic studies being increasingly used as a qualitative technique.

How does this work in real life? Ethnographic research is based on the idea of going into the field and livingthe real local life. For research this means living in a home and sharing daily life with a family. For example,the researcher can spend time with different members of the family, go shopping with them, talk to them,observe how they cook and what they eat, watch TV with them and observe interaction between them.

This methodology can also be applied in social venues including pubs, dance halls, rock concertsentertainment or shopping centres, schools or sports clubs. it is an excellent way of understanding childrenand teenagers, who might be reluctant to tell adults what they really think.

A good anthropologic approach makes it possible to take a totally fresh approach and avoid old categories ofclassification.

As marketing becomes more sophisticated and societies morediverse and complex, new types of qualitative market researchare developing.

RESEARCH EXPLAINED

ANTHROPOLOGICAL TECHNIQUESEthnography research defines the anthropologist's fieldwork. These researchers are investigators, sharing thedaily life of a specific social group and trying to understand its social dynamics. They totally immersethemselves in a culture - observing, listening, smelling and tasting. Their minds and senses are open,discovering every aspect of that life and comparing it to other social environments.

Nowadays an anthropologist not only works among small, primitive populations but also in New York, Paris,London, Rio, Shanghai or Moscow Market research is following this academic trend, which has led toethnographic studies being increasingly used as a qualitative technique.

How does this work in real life? Ethnographic research is based on the idea of going into the field and livingthe real local life. For research this means living in a home and sharing daily life with a family. For example,the researcher can spend time with different members of the family, go shopping with them, talk to them,observe how they cook and what they eat, watch TV with them and observe interaction between them.

This methodology can also be applied in social venues including pubs, dance halls, rock concertsentertainment or shopping centres, schools or sports clubs. it is an excellent way of understanding childrenand teenagers, who might be reluctant to tell adults what they really think.

A good anthropologic approach makes it possible to take a totally fresh approach and avoid old categories ofclassification.

Page 20: [Research];[Vietnam consumer confidence & spending]

SEMIOTICS

These are read and interpreted by consumers in relation td the cultural context in which they are used. It aimsto understand what a brand is actually saying about itself, and how this relates to the (changing) culture inwhich it is being marketed.

The researcher uses semiotic techniques to understand context. Why do people get a specific message froman advertisement, packaging, logo or brand name? And what tactics must a marketer apply when thecompany wants to change the way people think about a brand or a product? For example, the use of hiphop music in an advertisement sends a very different message to Jazz music.

The use of semiotic knowledge and techniques is crucial in today’s world full of multi media images. It is acomplex methodology which requires skill and experience.

.

Semiotics is the science of interpreting signs and symbols (which includes words, pictures and music) all categorised inmarket research jargon as 'texts.'

RESEARCH EXPLAINED

These are read and interpreted by consumers in relation td the cultural context in which they are used. It aimsto understand what a brand is actually saying about itself, and how this relates to the (changing) culture inwhich it is being marketed.

The researcher uses semiotic techniques to understand context. Why do people get a specific message froman advertisement, packaging, logo or brand name? And what tactics must a marketer apply when thecompany wants to change the way people think about a brand or a product? For example, the use of hiphop music in an advertisement sends a very different message to Jazz music.

The use of semiotic knowledge and techniques is crucial in today’s world full of multi media images. It is acomplex methodology which requires skill and experience.

.

<< The researcher uses semiotic techniques te understand context. >>

Page 21: [Research];[Vietnam consumer confidence & spending]

TREND RESEARCH

Fashion is something that appears suddenly with a bang and vanishes just as dramatically. What you wore orused last year, is ridiculous this year; that is fashion logic.

Trend logic is exactly the opposite. Trends are long term patterns that affect social and consumer attitudes.They reflect deep values and ideas. Strong or mega trends could last for 10, 15, or even 20 years. Each ofthem consists of a number of smaller or micro trends that could last three to five years. All trends have acounter—trend. A counter-trend does not invalidate a trend - to the contrary, it confirms it.

A trend starts as a small manifestation within a limited group of people. Next, these trend setters discover 'aninnovation' and adopt it. As a third step, the trend comes closer to mass consumption, but it still needssomeone to build a bridge between the mass and the limited early adopters. Finally, if this is a genuinetrend, a considerable group of people are drawn into it. This is the moment in which a trend isestablished.

Researchers who can spot trends and, moreover, understand the logic are able to anticipate the future. Thefaster they can identify a trend, the more business opportunities they will attract.

No magic is involved, it is a matter of following culture movements, and this demands hard and systematicwork.

.

Trends are different from fashion. The main difference is duration and bonding powers.

RESEARCH EXPLAINED

Fashion is something that appears suddenly with a bang and vanishes just as dramatically. What you wore orused last year, is ridiculous this year; that is fashion logic.

Trend logic is exactly the opposite. Trends are long term patterns that affect social and consumer attitudes.They reflect deep values and ideas. Strong or mega trends could last for 10, 15, or even 20 years. Each ofthem consists of a number of smaller or micro trends that could last three to five years. All trends have acounter—trend. A counter-trend does not invalidate a trend - to the contrary, it confirms it.

A trend starts as a small manifestation within a limited group of people. Next, these trend setters discover 'aninnovation' and adopt it. As a third step, the trend comes closer to mass consumption, but it still needssomeone to build a bridge between the mass and the limited early adopters. Finally, if this is a genuinetrend, a considerable group of people are drawn into it. This is the moment in which a trend isestablished.

Researchers who can spot trends and, moreover, understand the logic are able to anticipate the future. Thefaster they can identify a trend, the more business opportunities they will attract.

No magic is involved, it is a matter of following culture movements, and this demands hard and systematicwork.

.

Page 22: [Research];[Vietnam consumer confidence & spending]

Market research top-line

ESOMAR research conferenceBeijing - April - 2009ESOMAR research conferenceBeijing - April - 2009

Page 23: [Research];[Vietnam consumer confidence & spending]

April 6, 2009 This year's Esomar Asia Pacific conference takes place in Beijing. In

comparison to Shanghai, this city is very orderly. Taxi drivers from the airportstay in their lane, red lights mean stop and one-way streets are, well, oneway.

In Shanghai, which I visited a couple of years ago, such rules were merelyoptional extras. Even the street hustlers are different here - no Rolex watcheswere on sale; instead, I was offered socks. Maybe it's a sign of austerity ormaybe I just look like someone in need of new socks. After a 12-hour flight,it's difficult to tell.

RESEARCH TRENDS

April 6, 2009 This year's Esomar Asia Pacific conference takes place in Beijing. In

comparison to Shanghai, this city is very orderly. Taxi drivers from the airportstay in their lane, red lights mean stop and one-way streets are, well, oneway.

In Shanghai, which I visited a couple of years ago, such rules were merelyoptional extras. Even the street hustlers are different here - no Rolex watcheswere on sale; instead, I was offered socks. Maybe it's a sign of austerity ormaybe I just look like someone in need of new socks. After a 12-hour flight,it's difficult to tell.

Page 24: [Research];[Vietnam consumer confidence & spending]

In her keynote speech, Wendy Tso, Partner at Silver Group, China, encouraged the market research community tofocus on innovation, even in times of global economic downturn. After all, the two Chinese characters for 'crises'mean both 'danger' and 'opportunity'. One of her themes was the need to provide clients with more insights,actionable strategies, and a stronger involvement of the agency management with client's internal marketingdepartment.

The MR industry needs to development professionalism - in recent years too much focus was on lowering the costof fieldwork (not surprising given current budget restraints), with too little focus on providing knowledge and insightas the outcome of research, and equally not enough understanding of clients' business needs when planning MRprojects.

Her plea was for clients to (a) provide better briefs and (b) incorporate their MR agency teams more into their in-house division. Both sides should be willing to invest in long-term relationships. All very well, but somehow I can'thelp feeling I heard it all too often.

Her second theme was the failure of advertisers and MR to address the problem of ageing populations in manyAsian countries and encourage marketers to focus more on the 'silver market'.

With the under 50 market to shrink by over 100m over the next few years, it's important to understand that the 50+population segment in China will see spending power increase three-fold, that 85% are online users and that olderpeople increasingly travel, have free time and psychologically feel about ten years younger than they are. MR'schallenge is to find ways to develop more insight into this growing group and provide better segmentation studies ofthe silver group.

Her third theme briefly addressed the secrets of Asia's sustainable growth. Firstly, marketers have been successfulin introducing new products to keep the momentum going. Secondly the industry also started to cover lower tiermarkets, not just by broadening distribution but also by developing local brands.

But she also warned that the MR industry should not just focus on how to acquire new customers, and place moreemphasis on retention and loyalty - CRM today is apparently not always used successfully in Asia.

RESEARCH TRENDS

MR IN ASIA

In her keynote speech, Wendy Tso, Partner at Silver Group, China, encouraged the market research community tofocus on innovation, even in times of global economic downturn. After all, the two Chinese characters for 'crises'mean both 'danger' and 'opportunity'. One of her themes was the need to provide clients with more insights,actionable strategies, and a stronger involvement of the agency management with client's internal marketingdepartment.

The MR industry needs to development professionalism - in recent years too much focus was on lowering the costof fieldwork (not surprising given current budget restraints), with too little focus on providing knowledge and insightas the outcome of research, and equally not enough understanding of clients' business needs when planning MRprojects.

Her plea was for clients to (a) provide better briefs and (b) incorporate their MR agency teams more into their in-house division. Both sides should be willing to invest in long-term relationships. All very well, but somehow I can'thelp feeling I heard it all too often.

Her second theme was the failure of advertisers and MR to address the problem of ageing populations in manyAsian countries and encourage marketers to focus more on the 'silver market'.

With the under 50 market to shrink by over 100m over the next few years, it's important to understand that the 50+population segment in China will see spending power increase three-fold, that 85% are online users and that olderpeople increasingly travel, have free time and psychologically feel about ten years younger than they are. MR'schallenge is to find ways to develop more insight into this growing group and provide better segmentation studies ofthe silver group.

Her third theme briefly addressed the secrets of Asia's sustainable growth. Firstly, marketers have been successfulin introducing new products to keep the momentum going. Secondly the industry also started to cover lower tiermarkets, not just by broadening distribution but also by developing local brands.

But she also warned that the MR industry should not just focus on how to acquire new customers, and place moreemphasis on retention and loyalty - CRM today is apparently not always used successfully in Asia.

Page 25: [Research];[Vietnam consumer confidence & spending]

Opening the first main session, Rosalynn Tang (Research International, China) looked at what drives successfulinnovation in Asia. Companies often turn to MR in order reduce the risk associated with developing new products orservices. It's not always fool proof as such studies often predict failure for products that subsequently turn out to bevery successful (and vice versa).

Analysis of Research International's global innovation database isolates drivers for success. The authordistinguishes between renovation, that is simply refining an existing product or service to maintain its position in themarket and actual innovation, which represents a step-change by creating new consumer habits and meetingpreviously unmet (or unknown) needs.

Research International examined various drivers, such as uniqueness, relevance, likelihood of trial and excitement,the latter being a key driver. Only political correctness prevents me from dwelling on Rosalynn's references to'sexcitement', and nice girl vs. hot girl. Suffice to say that innovation that generates excitement boosts trial rates andencourages word of mouth promotion. In contrast, when it comes to successful product renovation, relevance isusually the main driver of success.

RI's findings suggest that excitement itself is a combination of relevance, uniqueness, and clarity. Identifyingrelevant yet differentiated benefits requires in-depth understanding of consumers. A qualitative study in Asianmarkets provided the guidelines for new product concepts that are likely to excite consumers and change buyinghabits, such as addressing individuals' existing needs (personal freedom, pleasure, enjoyment, personal growth,etc.) with benefits, which other products cannot deliver.

To predict the likely success (or failure) of innovation, the authors use three tests: the WHAT? Test to measureuniqueness and clarity; the WHY? Test, to measure relevance and the WOW? Test to measure excitement. Of course,passing these tests will not guarantee success but low scores on any of them is likely to diminish the chance ofsuccess.

RESEARCH TRENDS

INNOVATING FOR INNOVATION

Opening the first main session, Rosalynn Tang (Research International, China) looked at what drives successfulinnovation in Asia. Companies often turn to MR in order reduce the risk associated with developing new products orservices. It's not always fool proof as such studies often predict failure for products that subsequently turn out to bevery successful (and vice versa).

Analysis of Research International's global innovation database isolates drivers for success. The authordistinguishes between renovation, that is simply refining an existing product or service to maintain its position in themarket and actual innovation, which represents a step-change by creating new consumer habits and meetingpreviously unmet (or unknown) needs.

Research International examined various drivers, such as uniqueness, relevance, likelihood of trial and excitement,the latter being a key driver. Only political correctness prevents me from dwelling on Rosalynn's references to'sexcitement', and nice girl vs. hot girl. Suffice to say that innovation that generates excitement boosts trial rates andencourages word of mouth promotion. In contrast, when it comes to successful product renovation, relevance isusually the main driver of success.

RI's findings suggest that excitement itself is a combination of relevance, uniqueness, and clarity. Identifyingrelevant yet differentiated benefits requires in-depth understanding of consumers. A qualitative study in Asianmarkets provided the guidelines for new product concepts that are likely to excite consumers and change buyinghabits, such as addressing individuals' existing needs (personal freedom, pleasure, enjoyment, personal growth,etc.) with benefits, which other products cannot deliver.

To predict the likely success (or failure) of innovation, the authors use three tests: the WHAT? Test to measureuniqueness and clarity; the WHY? Test, to measure relevance and the WOW? Test to measure excitement. Of course,passing these tests will not guarantee success but low scores on any of them is likely to diminish the chance ofsuccess.

Page 26: [Research];[Vietnam consumer confidence & spending]

Ray Poynter (The Future Place UK) and Peter Cape (Survey Sampling China) proceeded to explain what Research 2.0means to consumers in the Asia-Pacific region. I have to admit I'm not completely sure what it means to consumersin Europe or America either. To start with, there are no standard definitions for Web 2.0 or Research 2.0.

But, as Web 2.0 has become increasingly accepted as describing phenomena such as social networking and usergenerated content, Research 2.0 today broadly refers to a world were the 'command and control' concept (theresearcher is in charge) has shifted toward a more collaborative relationship between research professional andrespondent. Research 2.0 includes both passive measures (e.g. monitoring conversations on blogs) and activeinvolvement, where the researcher uses new tools to engage directly with respondents.

To test the benefits of online research communities as an authentic voice of the customer, Survey Sampling set upparallel panels in Australia, New Zealand, China, and Japan - all with approx 100 reasonably savvy online/socialnetwork users. Communities included forums, polls and two levels of discussion - one initiated by the researchers ormoderators, the other driven by respondents.

The project worked well (successful recruitment, good retention rates, multi-lingual moderating etc) and findingswere analysed using Geert Hofstede's Cultural Dimensions. Despite some differences, there were many similaritiesbetween the four communities. The authors admitted that it is too early to draw any definitive conclusions, given thelimited scope of their test, but the reaction of one respondent - "I prefer a forum to a normal survey because I canexpress my views" - should give MR professionals some food for thought.

Quite right so, but there was a distinct uneasiness in the audience about Ray's assertion that representativeness (akey issue with online panels) has died a long time ago. Maybe there is a pay-off between representativeness and thekind of deeper insight that a smaller online community can provide.

RESEARCH TRENDS

RESEARCH 2.0

Ray Poynter (The Future Place UK) and Peter Cape (Survey Sampling China) proceeded to explain what Research 2.0means to consumers in the Asia-Pacific region. I have to admit I'm not completely sure what it means to consumersin Europe or America either. To start with, there are no standard definitions for Web 2.0 or Research 2.0.

But, as Web 2.0 has become increasingly accepted as describing phenomena such as social networking and usergenerated content, Research 2.0 today broadly refers to a world were the 'command and control' concept (theresearcher is in charge) has shifted toward a more collaborative relationship between research professional andrespondent. Research 2.0 includes both passive measures (e.g. monitoring conversations on blogs) and activeinvolvement, where the researcher uses new tools to engage directly with respondents.

To test the benefits of online research communities as an authentic voice of the customer, Survey Sampling set upparallel panels in Australia, New Zealand, China, and Japan - all with approx 100 reasonably savvy online/socialnetwork users. Communities included forums, polls and two levels of discussion - one initiated by the researchers ormoderators, the other driven by respondents.

The project worked well (successful recruitment, good retention rates, multi-lingual moderating etc) and findingswere analysed using Geert Hofstede's Cultural Dimensions. Despite some differences, there were many similaritiesbetween the four communities. The authors admitted that it is too early to draw any definitive conclusions, given thelimited scope of their test, but the reaction of one respondent - "I prefer a forum to a normal survey because I canexpress my views" - should give MR professionals some food for thought.

Quite right so, but there was a distinct uneasiness in the audience about Ray's assertion that representativeness (akey issue with online panels) has died a long time ago. Maybe there is a pay-off between representativeness and thekind of deeper insight that a smaller online community can provide.

Page 27: [Research];[Vietnam consumer confidence & spending]

Adapting globally-set research practises and objectives to local conditions is never easy, which was a challenge metby Frank Landeck (GfK China) and Pei Jiu (Motorola China) in the opening session of the afternoon.

Standardisation is required to make data compatible across markets but local peculiarities need to be considered.They identified six critical disciplines for success: communication, project management, people, and project staffinglevels, quality control, account management and innovation.

Accommodating different cultural values of Western (or German) researchers and Chinese project managers can attimes be challenging. As Frank Landeck put it: Germans tend to be very focused and direct - Chinese MRprofessionals tend to be more thoughtful and searching.

RESEARCH TRENDS

ACTING GLOBAL, THINKING LOCAL

Page 28: [Research];[Vietnam consumer confidence & spending]

Maiko Kawaguchi and Alexander Murray (Intage, Japan) addressed the gap that's often found between reportedattitude and actual shopper behaviour in Japan. As an example, they used the Japanese beverage market, the mostcompetitive drinks market in Asia (only three brands of beer, for example, have a share of more than one percent).

Purchasing data is collected via an Intage panel using personal scanners, combined with attitudinal data fromsupplementary studies. New brand entries need to be successful in the early stages, otherwise retailers will quicklypull the brand off the shelves. This early stage (where half of all panels who eventually buy the new product within12 months have tried the brand) is three weeks for tea and four weeks for beer.

The panel was then segmented in those that try new products (further segmented by the speed of their trial and thedegree of repeat purchase) and 'refusniks'. Using this segmentation enabled Intage to indentify the extent to whichspecific segments contribute to total purchase volume.

RESEARCH TRENDS

SHOPPER BEHAVIOUR

Maiko Kawaguchi and Alexander Murray (Intage, Japan) addressed the gap that's often found between reportedattitude and actual shopper behaviour in Japan. As an example, they used the Japanese beverage market, the mostcompetitive drinks market in Asia (only three brands of beer, for example, have a share of more than one percent).

Purchasing data is collected via an Intage panel using personal scanners, combined with attitudinal data fromsupplementary studies. New brand entries need to be successful in the early stages, otherwise retailers will quicklypull the brand off the shelves. This early stage (where half of all panels who eventually buy the new product within12 months have tried the brand) is three weeks for tea and four weeks for beer.

The panel was then segmented in those that try new products (further segmented by the speed of their trial and thedegree of repeat purchase) and 'refusniks'. Using this segmentation enabled Intage to indentify the extent to whichspecific segments contribute to total purchase volume.

Page 29: [Research];[Vietnam consumer confidence & spending]

I enjoyed Alison Dexter's and Bach Ngoc Hieu An's (TNS Vietnam) Bricolage session describing a new way to conductqualitative research for their clients. They looked at the growth of Pho (pronounced fur), a traditional Vietnamesebeef noodle soup. I can report that the correct way to prepare the broth requires beef bones to be cooked over nighton a coal fire and that the noodles should be a little dry and not stick to out fingers.

On a serious note - the authors used the complexity of preparing Pho as an interesting metaphor for the complexityexperienced when researching the ever changing and geographically diverse Vietnamese population.

It may have been a little short on specific results (client confidentiality, apparently) but focused everyone's attentionon the importance of social and cultural context for MR. It also reminded everyone, especially those from outside ofAsia, that the region is not one market but a much more complex mix and consumers are less direct in expressingopinions than in Western cultures. Caution is thus advised when using 'western' approaches to MR in Asia.

RESEARCH TRENDS

BRICOLAGE

I enjoyed Alison Dexter's and Bach Ngoc Hieu An's (TNS Vietnam) Bricolage session describing a new way to conductqualitative research for their clients. They looked at the growth of Pho (pronounced fur), a traditional Vietnamesebeef noodle soup. I can report that the correct way to prepare the broth requires beef bones to be cooked over nighton a coal fire and that the noodles should be a little dry and not stick to out fingers.

On a serious note - the authors used the complexity of preparing Pho as an interesting metaphor for the complexityexperienced when researching the ever changing and geographically diverse Vietnamese population.

It may have been a little short on specific results (client confidentiality, apparently) but focused everyone's attentionon the importance of social and cultural context for MR. It also reminded everyone, especially those from outside ofAsia, that the region is not one market but a much more complex mix and consumers are less direct in expressingopinions than in Western cultures. Caution is thus advised when using 'western' approaches to MR in Asia.

Page 30: [Research];[Vietnam consumer confidence & spending]

The day ended with a panel discussion on culture and business in China between Davide Quadrio, (DirectorBizArt/Arthub, China), Ian St-Maurice, McKinsey & Company, China), Shu-Chun Lai (Beijing New Music Ensemble)and Ou Ning (Artist and Curator, Hong Kong).

Art in recent years has become much more important and supported in China. The government, for one,acknowledges the important role that culture can play in shaping the image and branding of Chinese cities abroad.Major brands are increasingly willing to invest in sponsorship programmes by supporting a wide range of art eventsand festivals. Artists can play a role when brands need to promote intangible values.

Whilst it is true that today's Chinese consumers still look primarily for tangible brand differentiation, over the yearsthis will shift as tangible brand differentiation will decrease. Reliance on intangibles and emotional factors will giveart and artists new opportunities to help businesses develop their brands.

A long day in a dark conference room - luckily Luc Milbergue of Bordeaux-based Stratégir is serving some of his local

wine at his exhibition stand and, in order to provide full coverage of events, I better check it out.

RESEARCH TRENDS

CULTURE AND BUSINESS IN CHINA

The day ended with a panel discussion on culture and business in China between Davide Quadrio, (DirectorBizArt/Arthub, China), Ian St-Maurice, McKinsey & Company, China), Shu-Chun Lai (Beijing New Music Ensemble)and Ou Ning (Artist and Curator, Hong Kong).

Art in recent years has become much more important and supported in China. The government, for one,acknowledges the important role that culture can play in shaping the image and branding of Chinese cities abroad.Major brands are increasingly willing to invest in sponsorship programmes by supporting a wide range of art eventsand festivals. Artists can play a role when brands need to promote intangible values.

Whilst it is true that today's Chinese consumers still look primarily for tangible brand differentiation, over the yearsthis will shift as tangible brand differentiation will decrease. Reliance on intangibles and emotional factors will giveart and artists new opportunities to help businesses develop their brands.

A long day in a dark conference room - luckily Luc Milbergue of Bordeaux-based Stratégir is serving some of his local

wine at his exhibition stand and, in order to provide full coverage of events, I better check it out.

Page 31: [Research];[Vietnam consumer confidence & spending]

Market research top-line

Research interactive

Page 32: [Research];[Vietnam consumer confidence & spending]

Viettrack participation

To receive this free market research top-line on 15th dayevery month, please subscribe by emailing (your name,position, company, phone) to:

[email protected]

RESEARCH INTERACTIVE

To receive this free market research top-line on 15th dayevery month, please subscribe by emailing (your name,position, company, phone) to:

[email protected]

Page 33: [Research];[Vietnam consumer confidence & spending]

Viettrack participation

Interactive program 2009: If you have any relevant issues need to be addressed in our next month

Viettrack figures, please let us know.

If your issues are category related, we could provide information forfree, but if it is your own business related, then a minimal charge could beapplied.

Please contact FTA Viettrack manager for this offer and for any furtherinputs to our monthly Viettrack: Ms Phuong Anh

(083) 5142584 ext 133 or mobile at 0909 454 669 [email protected]

RESEARCH INTERACTIVE

Interactive program 2009: If you have any relevant issues need to be addressed in our next month

Viettrack figures, please let us know.

If your issues are category related, we could provide information forfree, but if it is your own business related, then a minimal charge could beapplied.

Please contact FTA Viettrack manager for this offer and for any furtherinputs to our monthly Viettrack: Ms Phuong Anh

(083) 5142584 ext 133 or mobile at 0909 454 669 [email protected]

Page 34: [Research];[Vietnam consumer confidence & spending]

Thank you & see you next month15th May 2009

Market research top-line

Thank you & see you next month15th May 2009

Help line: Ms Phuong Anh• (083) 5142584 ext 133• 0909 454 669• [email protected]