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Articles we or others have written that are of interest to people in our space

Reaching automotive consumers online

We recently completed a study on how automotive dealers reach consumers online.

After looking at 2,400 search results from 148 different website builders in 20 markets across 12 brands, we discovered two companies performed significantly better than their competitors with over a third of the top placement results being from their clients. This is significant since 42% of all clicks on a Google search page is on the first listed result.

Download the report here

Filed under: Automotive, Market Research , , ,

Which cars get speeding tickets?

A yearlong study identifies the vehicle whose drivers get ticketed the most. The research suggests that what you drive may indicate how you drive.

Drivers of Hummer SUVs were 4.63 times more likely to get a traffic ticket than the average driver, concludes a yearlong study by a company that helps insurers identify risks.

ISO Quality Planning, the San Francisco company that studied the records of 1.7 million drivers, compiled a list of ticket magnets that confirmed some long-held notions: Owners of the 507-horsepower Mercedes-Benz CLS63 AMG and similarly muscular CLK63 AMG received outsized numbers of tickets, as did the generally young owners of the relatively inexpensive Scion tC, xB and xA, and the Audi A4 sports sedan.

But also on that most-ticketed list were the Subaru Outback and the Toyota Camry Solara and Matrix, three cars not known for great speed or expressing the rebellious nature of their owners. Meanwhile, the Chevrolet Tahoe and Suburban, virtually identical mechanically to their General Motors sibling Hummer, appeared on the least-ticketed list.

Sharing the bottom of the list? Buicks, minivans and pickups.

Analysts at ISO Quality Planning were more than willing to pile on.

“The sense of power that Hummer drivers derive from their vehicle may be directly correlated with the number of violations they incur,” said Raj Bhat, the president of ISO Quality Planning. “Or perhaps Hummer drivers, by virtue of their driving position, are less likely to notice road hazards, signs, pedestrians and other drivers.”

What ISO Quality Planning believed the data show about Toyota drivers was unclear from its news release.

Insurance claims data generally back up ISO Quality Planning’s findings. Ratings information from State Farm, for instance, advises Hummer owners to expect to pay significantly higher than standard premiums for liability. Likewise, Scion owners typically face much higher than standard rates for comprehensive and collision insurance.

Most-ticketed                   *Rate                    Least-ticketed                   *Rate

Hummer H2/H3                463%                     Jaguar XJ sedan               11%

Scion tC                                 460%                     Chevrolet Suburban       16%

Scion XB                                403%                     Chevrolet Tahoe              21%

*Violations per 100,000 miles driven, expressed as percentage of average.

From MSN

Filed under: Automotive, Information, Market Research , ,

Bad weather = good memory?

After yesterday’s post on memory we heard about this one from the Journal of Experimental Social Psychology:

“Can bad weather improve your memory? An unobtrusive field study of natural mood effects on real-life memory.”

Psychologists have known for some time that mood can have an effect on memory: for example, we’re more likely to remember events that are consistent with our current state of mind, and a bad mood is known to reduce the likelihood of people recalling false memories.

In the latter case, the theory is that a bad mood triggers a more sceptical, careful mode of processing, in contrast to the less vigilant, conceptual thinking style that characterises a good mood. Now Joseph Forgas and colleagues have taken this line of work out of the lab and into the real world, showing how the weather can affect our memory via its effects on our mood.

The researchers employed the help of a newsagents shop in Sydney and tested the ability of 73 shoppers to recall ten objects, including a piggy savings jar and toy cars, that were placed around the counter. The shoppers were quizzed after they left the store, with half of them tested on rainy, cloudy days and the others tested on bright, sunny days.

A mood questionnaire confirmed that the shoppers tested on rainy days were in a worse mood than those tested on a sunny day. And the memory test showed the rainy-day shoppers correctly identified three times as many items as the participants tested on a sunny day. Moreover, the rainy-day shoppers were less likely to have false memories for objects that hadn’t been around the counter.

“This finding suggests that some allowance for such mood effects could be incorporated in applied domains such as legal, forensic, counselling and clinical practice,” the researchers said.

A possible methodological flaw is that the rainy-day shoppers might have spent longer in the store, but a follow-up study showed that shoppers spent no longer in the shop on rainy days relative to sunny days.

This appears to be the latest example of an emerging trend among memory researchers to take their work out of the lab – just last year, researchers at Goldsmith’s College performed an experiment at the London Dungeons to examine the effect of fear on eye-witness memory.

Filed under: Market Research, Science , , , ,

Customer satisfaction memory reverses over time

Using vacations as an example, new research shows our memory reverses over time:

If you vacations starts out great and finishes horribly, you are more likely to remember it as terrible right after you return. No surprises there.

If your vacation starts poorly, but finishes on a high note you remember it as great upon your return. Also not suprising.

But if we ask you about the two vacations after a while your memory reverses. You are now more likely to remember the vacation that started great as great and the one that started poorly as terrible.

What does this mean – well – if you are designing consumer experiences (and you have to chose – we hope no company operates this way, but) the first experience your customer has with your brand should be better than the following experiences as the first affects how they talk about you for years to come to a greater extent than how subsequent experiences turn out. First impressions count – they really do.

From the upcoming issue of Journal of Consumer Research:

In the study, authors Nicole Votolato Montgomery (College of William and Mary) and H. Rao Unnava (Ohio State University) set out to broaden our understanding of how people evaluate past sequences of events, such as vacations.

“How consumers arrive at an overall retrospective evaluation of such experiences that contain a variety of distinct incidents is important to understand because it not only reflects consumers’ enjoyment of the experience, but it also impacts a consumer’s intent to purchase similar experiences in the future,” write the authors.

In two studies, researchers had participants read scenarios detailing a recent 7-day vacation that included numerous events. Some read about a vacation that started awfully and ended up fantastic, and others read the opposite scenario. Participants were asked to indicate how likely they were to purchase a similar vacation, how much they would pay, and which events they recalled.

Much depended on when people were asked to evaluate an experience, the authors discovered. When asked to assess an experience immediately following it, participants based their evaluations on the events that occurred at the end of the experience, because they were better able to remember the final events. After a period of time had elapsed, people weighted early events more heavily because they couldn’t remember final events as well.

“Consumers exhibit a preference for experiences that improve over time versus worsen over time when evaluations are assessed immediately, and they prefer the reverse when evaluations are assessed following a delay,” write the authors.

“Our findings suggest that marketers may engineer experiences to maximize customer enjoyment by improving the most memorable events. For long-term customer enjoyment, marketers should attempt to make consumers’ initial experiences with a service or product very positive,” conclude the authors.

Paper: Nicole Votolato Montgomery and H. Rao Unnava. “Temporal Sequence Effects: A Memory Framework.” Journal of Consumer Research: June 2009.

Filed under: Market Research, Marketing, Science , , ,

How much evidence does it take? Climate change irreversible for 1,000 years according to NOAA

From ScienceDaily:

A new scientific study led by the National Oceanic and Atmospheric Administration reaches a powerful conclusion about the climate change caused by future increases of carbon dioxide: to a large extent, there’s no going back.

The pioneering study, led by NOAA senior scientist Susan Solomon, shows how changes in surface temperature, rainfall, and sea level are largely irreversible for more than 1,000 years after carbon dioxide (CO2) emissions are completely stopped. The findings appear during the week of January 26 in the Proceedings of the National Academy of Sciences.

“Our study convinced us that current choices regarding carbon dioxide emissions will have legacies that will irreversibly change the planet,” said Solomon, who is based at NOAA’s Earth System Research Laboratory in Boulder, Colo.

“It has long been known that some of the carbon dioxide emitted by human activities stays in the atmosphere for thousands of years,” Solomon said. “But the new study advances the understanding of how this affects the climate system.”

The study examines the consequences of allowing CO2 to build up to several different peak levels beyond present-day concentrations of 385 parts per million and then completely halting the emissions after the peak. The authors found that the scientific evidence is strong enough to quantify some irreversible climate impacts, including rainfall changes in certain key regions, and global sea level rise.

Update: Ways to start the reversal from Wired: Scientist Rank Global Cooling Hacks

Filed under: Information, Science , , ,

Personal health records online

We have written about this topic before here. This now from Manhattan Research:

Consumer demand for accessing personal health records (PHR) online is now at more than 70 million Americans, according to Cybercitizen Health™ v8.0, the latest consumer study and strategic advisory service from pharmaceutical and healthcare market research company Manhattan Research. Despite significant interest in this type of service, only 7 million U.S. adults actually use PHRs.

Compelling offerings from vendors ranging from Google, WebMD, and Microsoft to multiple insurers and employers have sparked buzz around PHR in the past year. But for average consumers not motivated by a serious illness, significant barriers such as privacy concerns, lack of understanding, and doubts to PHR efficiency hinder adoption.

“Despite the rapidly increasing supply of PHR platforms, consumer adoption of PHRs is unlikely to show significant growth in the absence of major physician participation,” said Erika S. Fishman, Director of Research at Manhattan Research. “Education and awareness building will be critical in establishing the need for a PHR in the mind of American consumers. In a time when our country has not made health IT and electronic medical records a priority, it is understandable why consumers may not see the value in putting in the effort to keep a PHR on their own, unless they are highly motivated to do so because of an illness.”

Filed under: Information, Innovation , , , ,

iPhone games take longer to develop

If the development time for iPhone mobile games is any indication, the entire industry may be shifting to a longer cycle. According to Game Developer Research, a significant percentage of developers reported spending 4-6 months bringing a game to market instead of the 1-3 month cycle which had been more common previously for the iPhone.

The types of games being worked on for iPhones may also help to predict what will be popular in the overall mobile game industry.

The Game Developer Research Survey noted that developers are working on the following game types:

  • Puzzle and word games: 53%
  • Strategy games: 15%
  • Adventure games with story lines: 21%

Game Developer Research Release

Filed under: Competitive Intelligence, Innovation, Market Research , , ,

Why computers can’t kill Post-Its

From Forbes:

MIT researchers argue that computers need to become as easy to use as those yellow sticky notes.

Office workers are like electricity: When they want to get something done, they follow the path of least resistance.

Which is why, say researchers at MIT, the Post-it note continues to flourish on every surface of the contemporary office, despite all those expensive computers ready and willing to help.

David Karger helps lead a group at MIT exploring the way people work with computers. A recent paper from his team chronicled the attraction of “information scraps” like Post-Its, which, says Karger, are actually near-perfect data base tools. They’re accessible and easy to use, and they take advantage of the brain’s facility to remember an object’s location in the three-dimensional world.

All goals, he adds, to which a well-designed computer program should aspire. “A lot of people spend a lot of time trying to figure out cool new things for computers to do,” Karger says. “What’s more interesting to me is figuring out how to get the computer out of the way.”

Full article

Filed under: Information, Innovation, Science , , , , ,

Is your tomato tagged?

Someday all our products will be tagged with RFIDs and we will be able to leave a store without taking out giving our purchases to the sales clerk or producing a form of payment. The state of adoption of this technology has been slow:

From ABI

For years, RFID suppliers have been touting their new technology as the replacement for bar codes. The promise has been enhanced ability to monitor and manage warehousing and inventory.Yet target clients have been slow to adopt RFID because of the cost.

According to ABI Research, consumers goods manufacturers are poised to invest in these systems – in large part because Wal-Mart has made RFID systems a mandatory part of doing business.

ABI Research analysts also predict a 20% growth in the market for intelligent tags, readers and related software systems between 2008 and 2013.

Here’s where retail consumer goods manufacturers stand when it comes to shifting inventory tracking to RFID:

  • Not Using AND Have Never Piloted/ Evaluated 43.2%
  • Not Using BUT Have Piloted/ Evaluated 13.5%
  • System Installed 21.7%
  • System Installed AND Piloting/ Evaluating Additional Applications 5.4%

Filed under: Innovation, Market Research, Science , , ,

Staples and VISA headed in the wrong direction

We buy a lot of office supplies at Staples. As a result we sometimes get mail-in-rebates. Here is the problem – after a couple of weeks after submitting for the last mail-in-rebate we received a rebate envelope from Staples expecting the usual check.

Inside however was a plastic credit card with VISA’s logo on it. The letter enclosed explained that this was our rebate (for the royal sum of $10) and that we could use the card everywhere VISA is accepted. That’s great, but….

The card balance cannot be replenished, it is made of plastic and will eventually add to the landfills and Staples and VISA give us a moment at the register when we have to explain to the cashier that they should please process the card for $10 of our purchase and we will pay the rest in either cash or with another card. Hands up for how many people think that will not be a smooth operation in most stores!?

What we would love to know is what the reasoning behind this change in refund set-up is? Did VISA pay Staples to get exposure, did someone think consumers are inconvenienced by taking the usual check to the bank, or why on earth would you not make the card replenishable either online or in Staples stores? Why not add discounts to the card if used at Staples, etc. It seems many opportunities are not addressed and we are just left with more plastic in our wallets and an increased likelihood that the rebate will not be taken advantage of as we bail on dealing with using this inconvenient card.

Filed under: Innovation, Marketing , , , ,

Twitter

  • Any Cymfony users on this Saturday afternoon - I need an assist ;-) 2 days ago
  • It kills me when ppl on a plane carry on way too many small bags and then has the attendants deal with fitting them in the overhead bins 4 days ago
  • Green Focus RS at @ford seems to have become the new meet me here point at #sema 4 days ago
  • Last day at sema, @ford had well executed stand the rest of the majors less so. Much smaller show than past years though. 4 days ago
  • RT @8of12: Chinese web site gives me an error message that says "For compatibility purposes you must use IE" Danish Bank does the same FAIL 4 days ago

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