Slowly but surely, New York seems to be getting back to normal. At least it appeared that way to me during an April weekend spent traipsing around the City That Never Sleeps prior to the annual Advertising Research Foundation (ARF) conference at the New York Hilton.


The throngs of tourists have returned to Times Square, Yankee fans are heckling the opposition (if you can use that word to describe the Tampa Bay Devil Rays), and the same electronics stores that have been "going out of business" for the better part of a decade are still offering great deals.

Perhaps one of the surest signs that the city is ready to move on: commercial exploitation of 9/11. Every crummy little souvenir shop I poked my head into was stuffed to the gills with items bearing the initials FDNY. I guess I can understand putting those forever-poignant letters on baseball caps - wear the hat, pay a tribute - but embroidering them on sweatpants?

I also wondered what to think of the vendors who lined Fulton Street near Ground Zero selling identical sets of grainy color snapshots of the post-attack devastation. Some keepsake.

After visiting the observation platform and surveying the seemingly endless patchwork of heartbreaking poems, notes, photos, and other tributes to loved ones and total strangers alike, I was ready to focus on trivial things like marketing research.

Show was busy

The number of exhibitors at the ARF seemed to be down a bit this year, but the show floor was always busy (thanks, as always, to those of you who visited our booth) and the conference events I sat in on were well-attended.

My favorite session was a forum titled "How Research Pays Back." The talk was moderated by Bob Berger, vice president of consumer and market insights at Seagrams Spirits and Wine Group, who spoke about how his organization has reengineered the consumer insight function. He was followed by Jim Figura, vice president, consumer research, at Colgate-Palmolive, who gave way to Barry Shepard, vice president of Starkist Seafood Marketing, Heinz North America, and Susan Ashley, group vice president, global sales and service, The ARS Group.

It was energizing to hear Figura speak about the importance of consumer insights to Colgate and how they play a key role in the company's drive to capture shoppers' attention with a constant stream of new products. The drive seems to be working: 60 percent of Colgate's business in the U.S. comes from new products launched within the last five years, Figura said. And 80 percent of the firm's new products build volume after their first year on the market.

Opportunities for innovation

Product development is really about using consumer insights to uncover opportunities for innovation, a process Figura termed "finding the obvious." For example, consumers said dishwashing was a necessary but dull task. So why not liven it up a bit? Hence the Palmolive Spring Sensations line of dishwashing liquid. It's really just nice-smelling dish soap but that's exactly why the line is so popular. After all, if you have to wash dishes, why not be surrounded by a pleasant fragrance?

Technology certainly plays a role in helping Colgate develop innovative products. For example, it makes new and different packaging possible - witness the animal figures floating in bottles of Softsoap Rainforest liquid hand soap. But while getting the figures into the soap containers was a technological marvel, Figura said, that's not what Colgate is selling. Rather, it's "selling fun." In other words, if there's a little fun involved in washing their hands, perhaps kids won't have to be dragged to the sink when it's time to clean up for dinner.

Of course, any firm can strive for innovation, but if that goal isn't supported throughout the company, new ideas never get off the drawing board. Figura said the commitment to innovation and belief in the value of consumer insights extends to Colgate senior management.

Figura offered a few other choice bits of advice during his presentation:


  • Do not launch sub-optimal products, even if a lot of work has been put into them. Colgate has killed products that didn't live up to consumer expectations. The products may be new and different and the concept may have tested extremely well, but if the resulting product doesn't cut it, don't risk marketing it. A series of disappointing experiences with a company's brands can dissuade consumers from future trial.
  • The marketing research function has to be flexible. It can't be viewed as a roadblock to the product development process.
  • Consumers respond to signals - the goal is to make products that communicate relevant benefits.
  • In Colgate-Palmolive's experience, ideation should be done quickly. Concepts should be readied in weeks instead of months.
  • It's crucial to integrate the supply chain in new product efforts - an obvious point, but one Colgate learned the hard way: Figura told of the company having to fly 747s full of its 2in1 toothpaste from England to stock key U.S. suppliers.
  • Encourage cross-category sharing of information, thinking, consumer insights, etc. An idea that works in one product area may also have applications in others.

Definite impact

Though they took different routes, Berger, Figura, and Shepard all made a similar point: when done right and backed up with company-wide commitment, marketing research (a.k.a. consumer insights) can have a definite impact on a company's bottom line. If you talk to your consumers, uncover their needs, and deliver products that truly meet those needs, you won't have to search for ROI. The evidence will be right there in your monthly sales figures.