This document discusses moving market research from a cost center to a knowledge center. It argues that the rise of social media requires a new model called Research 2.0 where all company stakeholders collaborate in an online brand community. Such communities allow closer contact with customers, generate more useful insights for decision-making, and reduce surveying costs. When research is positioned at the center of the organization through an online community, it can provide benefits like customer-driven innovation, brand advocacy, and aligning the company around customers. This transition moves research from being separated from the organization to integrating it as a knowledge center that drives business value.

1. A-HA!
Moving research from a cost centre
to a knowledge centre
Esomar Beijing , April 2009
Peter Harris

2. Pictures adapted from
Ivory Tower Syndrome
Tone Deafness
Corporate Disconnect
Cost Centre
Walls Of Separation

3. The War Is On

4. “Marketers need to know what is
relevant to their consumer today and
not what was relevant in 2008… and
then focus on the critical things that
will appeal to consumers at this time”
Helen Farquhar, McDonalds
Australia Director of Marketing

5. The Old Way

6. One Way Dialogue

7. Little buy-in or shared learning among stakeholders

9. What Happened, Why Now!

10. Social Media Happened

11. Creating an explosion in online conversations

12. From Passive Consumption to Active Participation

13. We need a new model
Research 2.0

14. Research Evolved

15. Who should lead and
manage the conversation?

16. Accountants

18. Our Competitors Are Transforming

19. “More than 60% of Fortune 1000
companies will connect to or host a
form of online community by 2010.”
Gartner.com, October 6th 2008

20. Brand Communities
Adidas insiders
Chrysler Listens
Ambrielle Team
Generation Benz

21. “50% of companies that start an
online community will fail to establish
a mutual purpose ultimately eroding
customer and company value”
Gartner.com, October 6th 2008

22. We Need To Step Up

23. The New Way

24. All departments of A private branded online Your communities
company can engage and community is a dialogue focused conversations with your
benefit from the on improving your offering brand
community
Marketing Innovation
Research Retail
Brand
Strategic
Sales
Planning
Brand Community
Customer
HR
Service

25. What is a Market Research Online Community?
“Private, branded, online space, where 100‟s
or 1000‟s of invited consumers or prospects
regularly spend time generating ideas, offering
advice to you and to one another, sharing
experiences and feelings, discussing trends,
and helping you figure out your marketing
and business issues.”

26. 37% of members contribute weekly and 89% contribute
monthly - Communispace 2008

27. Over 80% of people say they are willing to participate in
online company communities
Your Source; Australians 18+; online users

28. Willingness spans a variety of areas
Interacting with Having a direct
other community impact on the
members company Getting a behind-
48% the-scenes look at
58% the company
61%
Interacting with
company decision
What would be makers
of interest if you 49%
joined a brand Giving input on Previewing/Input on new
community? advertising/marketing product's/services
campaigns before anyone else
68% 84%
Other
4%
Your Source; Australians 18+; online users; say they are willing to
participate in company online communities

29. The research findings from an
online community can be more
useful for decision making than
other research for the following
reasons:

30. Reason # 1: Knowledge is built quickly

31. Reason # 2: More debate between members +
richer quality of response

32. Reason # 3: Closer consumer contact among
stakeholders

33. Reason # 4: Reduced surveying costs

34. More Than Research
Market & Customer Insight Customer-Driven Innovation Brand Advocacy

35. Cost Centre Knowledge Centre
Sales
Knowledge Retail
Marketing
GAP
The Customer Your Company
HR Research
Customer
Community
Customer
Service Innovation
PR
Pictures adapted from: Pictures adapted from:

36. Designed to eliminate
wasted time and energy

37. Demonstrated ROI
„The Business Case For Online Communities‟ presentation developed by Mzinga and authored by Don Tapscott (Author of
Wikinomics), Barry Libert (Author, We Are Smarter Than Me‟), Aaron Strout (VP New Media at Mzinga), Slide sourced to Mukund
Mohan, Best Engaging Communities
http://www.slideshare.net/whatidiscover/the-business-case-for-online-communities-presentation

38. Marketing 2.0

39. Takeaways
1. Online communities help companies and their employees join the
conversation, literally
2. Online communities need to become the centralised hub for
business decision making, where all stakeholders collaborate in an
iterative manner, managed and led by market researchers
3. Putting an online community at the centre of your organisational
decision making is the key to getting closer to consumers and
therefore delivering competitive advantage
4. Online communities provide additional benefits of customer
collaboration and brand advocacy
5. Online communities refocus and realign the organisation around
the customer

40. Once this is in place and working
efficiently, it will ensure that
research moves from being a
cost centre to a knowledge centre
and business will take notice

41. Cost Centre Knowledge Centre
Walls Of Separation
Sales
Corporate Disconnect
Ivory Tower Syndrome
Marketing
Retail
Tone Deafness
HR Research
Customer
Community
Customer
Service Innovation
PR
Pictures adapted from

42. A-HA!
Moving research from a cost centre
to a knowledge centre
I would like to thank all those who shared their insights, ideas and contributed
in the making of this presentation @michaelbatistic, @armano, @ronnestam,
@gartner, @mzinga and Helen Farquhar
I have tried to source images and ideas where available. If I have missed anything, let me
know and I‟ll update sources where applicable.