optimal strategix group: an introduction · 2013-11-08 · strategy and consumer research 13 •...

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Optimal Strategix Group: An Introduction

November 6, 2013

1


Topics for discussion

Introductions

What is market research?

How do PhDs fit in?

Who is OSG?

What makes us unique?

Our methodology

Advanced Analytics

Examples

Opportunities

A peek at OSG’s culture

2


Introductions

Alyssa Klein, PhD – Director, Delivery Services

Satya Varagoor, PhD – Head of Operations

Denise Houser – Director of HR

Julie DiPopolo, PhD – Project Manager, Advanced Analytics

3


Alyssa Klein, PhD

Background

BA in English, Nonfiction Writing (2001: UPenn)

PhD in Communication (2011: Annenberg)

Previous Experience

Medical Publishing (1999-2002)

• Gained interest in pharmaceutical industry through writing and editing for advertising agencies, pharmaceutical companies, and industry publications

Research Experience (2002-2006)

• Various health-related research teams (NIDA, CECCR, etc)

• Methods TA

Dissertation

Advisor: Joe Cappella

Evaluating dimensions of messages exchanged in online support groups for breast cancer patients (and potential effects, though there weren’t many !)

4


My market research journey…

@Futures

Nielsen

OSG

5

Modeling decision making behavior –

understanding how patient and product

characteristics lead to physician’s

prescribing choices (mostly forecasting)

Forecasting in pharma, but also exposure

to the “machine” that is Nielsen – power of

data, data, data!

Innovation! Helping companies design

new products or more effectively market

their existing products by understanding

the unmet needs of their customers

At some

point, I just

needed to

see what

research

could do in

the “real”

world….


Topics for Discussion

Introductions


How do PhDs fit in?

Who is OSG?


Our methodology

Advanced Analytics

Examples

Opportunities


6



Market research is any organized effort to gather information about customer’s needs and preferences

• Many forms (primary, secondary data)

• Many types (qualitative, quantitative)

• Many objectives (health of current brands? development of future brands? Who are my customers?)

7


How do PhDs fit in?

The goals of most market research projects are very similar to academic research in the social sciences – we are trying to understand how people are behaving and why

Academic research, introduced into the marketing world, became the father of market research

• Therefore, the process is quite similar – just faster!

• However, the applications are quite different

We need people who have the rigorous research methods and analytical skills to drive design, analysis, and interpretation of our research projects

8


A few current examples of projects…

A client wants to design a patient “rewards” program to help encourage compliance. What are the potential benefits that would be most appealing and motivating to patients?

A client wants to understand which product features will be best received by the target audience. What levels of safety and efficacy do they need to hit in order to be successful in the marketplace?

A client wants to more effectively communicate to its customers about their various brands. Who are the segments in their customer base and what messages will be most motivating to each of them?

A client wants to understand how to most effectively spend the dollars they have to sponsor medical education opportunities for physicians as they prepare to launch a new drug. What are the biggest gaps in what’s available today?

9



Introductions


How do PhDs fit in?

Who is OSG?


Our methodology

Advanced Analytics

Examples

Opportunities


10


Who is OSG?

OSG is a Strategic Marketing Consulting and Analytics Firm with Global Resources and World Class Clients

Primary offices in Newtown, PA and Bangalore, India

Additional offices around the country/globe

11


We create value for our clients by focusing on the customer & building a fact base to drive strategic decision making and guide activation efforts

What are the future sources of growth for business?

How attainable are the identified growth prospects?

What are the hypotheses for accessing growth? Can business satisfy requirements?

Opportunity Assessment

How does the market segment?

Which segments should we target?

What value proposition will create appeal & a sustainable competitive advantage with target(s)

Growth Strategy

What customer experience will deliver value proposition?

• Offering (Product & Service)

• Brand/Communication

• Channel

• Pricing

Go-To-Market Strategy

Empirical Customer & Market Insights

Value Identification Determine Growth

Potential

Value Creation Design Strategy To Realize

Opportunity

Value Delivery Define Go-To-Market Approach

To Capture Growth

12


OSG: Leading publications for thought leadership in marketing strategy and consumer research

13

• OSG’s senior

management have

served as expert

witnesses in high-

profile US

corporate law

cases (e.g., Apple

& Samsung patent

case) thanks to

their expertise in

market research

• OSG’s leadership

has been featured

in numerous

business

magazines in

recognition of their

depth of knowledge

in consumer

marketing

• OSG shares how

CMOs work with

CIOs to leverage

organizational data

to provide holistic

customer insight

• OSG outlines a

comprehensive

approach to

understanding

customer sentiment

and drivers of

purchase behavior

Chief Marketer,

Sept 7 2012

HBR

Nov 9 2012

Forbes

August 16 2012

Forbes

July 18 2012


ASEMAPSM informs a spectrum of business questions

Satisfaction & Loyalty

Pricing Segments &

Targeting

Messaging &

Positioning Innovation

Customer Choice

• Which

messages

resonate

best?

• How are we

perceived in

the market?

• How can we

convey our

value?

• Which

dimensions of

the customer

experience

determine

customer

loyalty?

• How satisfied

are our

customers?

• What

elements of

customer

choice

contribute to

the price they

are willing to

pay?

• How do we

price to

optimize

profit and

capture

value?

• What

features are

most

important to

customers?

• What unmet

needs exist?

• How do

customers

make purchase

decisions?

• Which

customers

should we

target that are

most

attractive?

Value Proposition Validation

Competitive Intelligence

• How are

competitors

performing in

the market?

• What are our

competitive

alternatives?

• How do we

differentiate

in the

market?

• What do

customers

value that

we can

address?

14


The Adaptive Self-explicated Method (ASEMAP℠) offers a more efficient and accurate approach to gaining insight

Efficiency

Accuracy

Insight

• Each respondent is modeled in real time • Results are available soon after field, since modeling doesn’t require aggregate data • Results tracked while project is in field – partial results can be provided • Smaller samples can be used – in total, or to profile sub-groups • Including more attributes does not require greater sample size • Can be used as a module in qualitative research

• Best-in-class predictive accuracy • Adaptive software focuses respondents on attributes of their individual greatest interest, maintaining their

interest and involvement • Greater respondent engagement improves data quality with no increase in questionnaire length

• Include all relevant choice drivers, as ASEMAP can include more attributes and levels than standard methods, and can consist of product characteristics as well as functional and emotional benefits sough

• Determine which drivers are most important, as ASEMAP generates greater differentiation among attributes • Needs-based segmentation can be done since each respondent is modeled individually

15


ASEMAP℠ - Adaptive Conjoint Trade-Off Exercise in practice Market Need

1. Review and Sort

2. Rank

3. Trade-off

4. Validation (optional)

1

2

3

4

16


Methodology: ASEMAPSM – Adaptive Conjoint Trade-off Exercise

Optimal Strategix Group uses a unique methodology (ASEMAP℠) to derive a true understanding of the importance of the many factors of the offer that influence customer decisions.

ASEMAP℠ is a conjoint methodology that is proven to perform best at understanding customer decision making in the real world.

The rich understanding of the customer is complimented by the addition of demographic, behavioral, perceptual and attitudinal data . This added context allows for more specific recommendations for growth.

• In ASEMAP℠, every respondent reviews all the stimuli in providing their preferences for drivers, providing more robust, detailed and actionable insights.

• Each respondent performs trade-offs between adaptively selected pairs of attributes, answering the question “Which one is more important to you? By how much more?”

• The smart algorithm adapts to responses given, and shows the pairs needed

1. Rank

2. Sort

3. Trade-off

4. Validate

17


ASEMAP℠ > Methodology Key Step > Adaptive Pair-Wise Comparisons

In ASEMAP℠, questions are asked using an adaptive self-explicated trade-off methodology

Every respondent reviews all the stimuli in providing their preferences for drivers of equity, providing more robust, detailed and actionable insights

Each respondent performs trade-offs between adaptively selected pairs of attributes, answering the question “Which one is more important to you? By how much more?” (see screenshot below)

The smart algorithm adapts to responses given, and shows the pairs needed

Which of the requirements below is more important to you when choosing a canine oncology drug? By how much more?

The length of the bar represents how important each benefit is to you. If, for example, one message is twice as important

to you as the other, click on the blue bar at it’s right edge and drag it to make it twice as long as the other.

Side Effects

Efficacy Onset

18


Eye Comfort

Vision Clarity

Long-Wearing

Cost

Rate the following on a scale of 1 to 5, where: 1= Not at All Important and 5= Very Important

33%

66%

60%

40%

30%

70%

Cost

Eye Comfort

Eye Comfort

Vision Clarity

Long-Wearing

Cost

Indicate the importance of each attribute in comparison to the other

More noise: Less variability of response

and differentiation

Greater Signal: High variability of response

and differentiation

Standard Approach OSG Approach

A differentiated and powerful approach: ASEMAP Trade-Offs determine the true magnitude of importance in a choice decision

19


RESULTS: What drives customer choice becomes apparent

This requires modeling how customers make choices and serves as the underpinning across the commercialization process

Concept Evaluation

Innovation Pipeline

Segmentation

Messaging/Positioning

Pricing

Customer Satisfaction

20


Outcome – Identify where the differentiated growth opportunities exist

In comparing the importance of Need Attributes against how well they are currently met in the market, the approach to growth can be revealed.

Areas where your organization leads competitors are green, where it lags are red (hypothetical)

The size of the bubble reflects the magnitude of the opportunity (hypothetical)

Maps can be created for each of the key stakeholders

This provides the foundation for offerings that address the customer experience

21

HIGH LOW

LO

W

HIG

H

Note: The above chart is for illustrative purposes only and demonstrates

possible output. It does not represent actual data or relationships.

Brand Evolution: Benefits are important; Unmet needs exist

Low ROI: Current treatments perform well and benefits are unimportant

Market Development: Benefits are unimportant/unmet needs exist

Att

rib

ute

Imp

ort

ance

Needs Addressed

Entry Ticket: Brands are not differentiated, Needs are satisfied by at least some brands


ASEMAP℠ Summary

ASEMAP℠ Adaptive Self-Explicated Method

The Adaptive Self-Explicated Method (ASEMAP℠) offers a simpler web-based approach for multi-attribute preference measurement

By using the power of interactive computer data collection, ASEMAP℠ allows for constant sum measurement of a large number of attribute importances

ASEMAP℠ produces greater variability in attribute importance relative to Adaptive Conjoint Analysis (ACA)

ASEMAP℠ provides a substantially higher predictive validity compared to ACA, Constant Sum and Maxdiff

Advantages

•Best in class predictive accuracy

•Considers higher amount of factors/attributes

•Superior results with lower sample sizes

•Entire sample responds to all attributes

Benefits

• Higher decision-making confidence

• Understand importance of all relevant choice drivers

• Specific views into profiles even with smaller samples

• More robust data set can be used for S/T/P and other analysis

22


Details About The OSG Approach

OSG recommends a proprietary conjoint methodology for certain engagements because it offers the following advantages:

This approach is more flexible, more accurate, and more respondent friendly as published in the AMA’s Journal of Marketing Research.

Allows for a larger set of benefits/attributes, and each attribute can have as many as 10 levels, creating a more actionable measure of customer preference.

It has been proven to be more accurate at predicting the choices customers make.

The approach was developed by thought leaders in the field of understanding customer decision making

It has been published in literature such as the AMA’s JMR

23


Julie DiPopolo, PhD

Background

BA in Psychology (2004: The Richard Stockton College of NJ)

PhD in Psychometrics (2011: Fordham University)

Previous Experience

Teaching (9/2008-5/2010)

• Statistics, Research Methods, Consumer Behavior

Nielsen BASES, PM&D (8/2010-9/2013)

• Supporting pharmaceutical team

• Segmentation Consultancy team

• Structural Equation Modeling team

Current Role at OSG (9/2013-current)

Project Manager on the Advanced Analytics team

24


Advanced Analytics

Analytics: using inferences based on data to drive decisions

This does not require a sophisticated statistical background (though it helps!)

Involves all phases of a study:

• Questionnaire development

• Design

• Data analysis

• Report presentation

Advanced Analytics at OSG:

Project management and execution

Research and development

• Best practices

• Innovative offerings and modeling solutions

• “Big data”

25



Introductions


How do PhDs fit in?

Who is OSG?


Our methodology

Advanced Analytics

Examples

Opportunities


26



Introductions


How do PhDs fit in?

Who is OSG?


Our methodology

Advanced Analytics

Examples

Opportunities


27


Opportunities

Analyst

Associate

Project Manager

Director

Contact Denise Houser for more information,

[email protected]

(P) 215-867-1917

28

mailto:[email protected]



Introductions


How do PhDs fit in?

Who is OSG?


Our methodology

Advanced Analytics

Examples

Opportunities


29


“We Love to Have Fun”

30


“We Love to Have Fun”

31

OSG Team

optimal strategix group: an introduction · 2013-11-08 · strategy and consumer research 13 •...

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