If you’re in the travel or its allied businesses, take heart – tourism is a bright spot for the leisure industry that is expected to shine even in the first quarter of 2010.
BUT, that’s just half of our story. Truth be told, the home leisure market as well provides a substantial base for enterprising individuals and/or companies out there.

How is this so? Consider these:

• around 57% are planning to spend much more/a little more leisure time at home (than
  do this outside of home)
• in the midst of future plans to spend more leisure time at homebecause of the global
  economic recession, THERE is a segment (a third of the population or 32%) that is
  expected to consider traveling in the near term.

These were emerged in the 1,000 base survey conducted by Synergy Business Consultancy in August?September 2009 amongst the ABCDEs in Metro Manila.

The Leisure Market

Leisure travel, owing possibly to its aspirational nature (a measure that one has ‘arrived’ if one is able to do so), seems to be resilient despite the continued tightness in the economy. More people are expected to travel in the next 6 months, whether overseas or domestic.

Overseas travelers are expected to almost triple from 5% to 14% in the next 6 months.  Popular locations are mainly within Asia, followed by Middle East, the US and Europe.

On the local side, more are expected to travel domestically (28%) – thanks possibly to the Tourism industry’s promotion of our beaches, historical spots and other tourist attractions. Like international travel, new travelers are expected to hit the road in the coming months – about half (13% of total ) of those who foresee traveling soon (the 28% of total planning to prospectively travel domestically).

The OFW families are expected to contribute to this bump in domestic travel for leisure. Who would complain? Domestic travel provides a more affordable travel experience for families of those who have worked painstakingly overseas. Implicit to this, such provides an opportunity to explore ‘our very own’ space and locations, which is aligned with the government’s thrusts.

So, if you’re in the airline and other alternative transportation companies, travel agencies, merchandising businesses (posters, streamers, billboards, etc.), PR agencies, and other related businesses, try to tickle that leisure bug fancy, whet the appetite of these potential leisure
travelers, paint the ‘moments’ that can be treasured by this type of traveler to trigger that ‘yes’ to your booking or inquiry. The latent demand is up for the taking by your business endeavors.

Home Market

In contrast, the home market also provides opportunities for enterprising individuals and companies to take advantage of leisure time at home. The study showed that malling/window shopping, eating out and going out with barkada on gimmicks/nightoutswill soften in the nearterm
(around 3?5 percentage points, considered to be significant, statistically?speaking). SO, if you’re into food/beverage ventures, non?food products and services, here are some questions that if you say ‘yes’ to, may be business ideas for you to consider:

• are you into providing affordable leisure alternatives for those who stay at home? The idea is that cash outlay should not be more expensive to alternatives considered outside of home. If there are gadgets required, how cost effective are you vs. those offered in the market?
• can your beverage or food product be something that can be consumed while engaging in these leisure activities at home? If yes, try aligning your messages towards compatibility of your products/services to whatever leisure activity this may be. The idea is to create new or reinforce this consumption occasion in line with your product (or service)
• can your product/service be an ‘enabler’ for bonding moments at home? This could be affordable ‘enablers’ for families to engage in at home.

These are some thought starters or support to probably what some of you have been brewing or developing already. Try to test it and see whether you have a relevant activity, product or service for this latent demand at home.

Considering Typhoon Ondoy’s effects, there is a higher likelihood for leisure activities to be put in the back burner in order to pave the way to more basic needs/items. But who says one cannot uplift one’s leisure time even if this were spent at home? Your ideas are your only limitations.

Creativity is the name of the game.

*****

Article contributed by: Germaine A. Reyes, Managing Director, Synergy Business
Consultancy, celebrating its 10th year in the market research industry. Visit
www.synergy.ph.

Think of synergy in terms of a bond, whether you think of a chemical bond or a human relationship bond, the desired result is a mutually beneficial bonding. When we bring our marketing and advertising divisions together to talk about the newest product rollout, we want to promote good communication and healthy attitudes. The reason being, when good communication is used to deliver a message coupled with a healthy attitude, the impact of the delivery is much more effective and residual. In turn, the receiver will respond with a genuine comment that directly relates to the topic being discussed, thereby good synergy is formed and an instant brainstorming session of productive ideas is created

Another example of good use of synergy in business is through the relationships you foster with the affiliates of your organization. Let’s suppose you own a car wash business, and you constantly have to reorder soap. The price you pay is too high in your opinion and it takes two days for delivery. Now there is another soap distributor who has just moved into the area who is slightly smaller, but would like to do business with the car wash. This supplier will give you the same soap at a 25% discount if you display a sign at the car wash that advertises his soap. This is a no-brainer, since soap is a primary expense in your business, you would be happy to cut your cost by 25%. In addition the new supplier can advertise his new product at no cost to him. Once again, this is an example of synergy working for both owners of each business. They combined their locations and services and the result was a superior arrangement for both of them.

The importance of concentrating on forming strong synergy amongst areas of operation in business is directly related to maximizing productivity and efficiency. The better synergy two elements have together, the more productive and efficient those operations will run. The more efficient and productive an operation is run, the more profits will result.

From Article of : By Ryan M. Hoback
http://www.motivatedentrepreneur.com/articles/The_use_of_synergy_in_business.shtml

Please state your market research question or brand marketing question relating to market research. Kindly provide perspective on why a question is being posed for us to respond more precisely.

Coming recently from a market research conference in Singapore, it was refreshing to note some of the trends that should potentially be on the watchlist of market research practitioners in order to stay ahead. There were talks about new media in light of the 2.0 era, how this is being researched and how brands are further poised to get into these. Most interesting of all was the opening presentation delivered from the UK via Skype on the futureskills needed by leaders in order to eventually succeed in this ever-becoming uncertain, chaotic world. This leftus in the audience reflecting on whether we are actually preparing ourselves for this.

Yet, despite this seemingly future frames of reference for market research,came a question from a global agency representative in market research. It came during a panel discussion amongst the market research buyers (a.k.a. “The Client”) from iconic global manufacturing and services companies such as Unilever, Nokia, Visa, et. al. The question was, “what is insight for you and how do you define this? What do you expect insight to be from suppliers like us?” Simple. Relevant. But quite unexpected considering the future was being tackledin the conference,yet, unabashedly a basic question such as this is being posed by someone from a long-time market research company.

What indeed is insight from a market research standpoint? The answer is not as simple as describing what a zebra looks like. But let me begin by defining what it isn’t.

Insights are not findings. Findings are the specific information found about consumers on the “who”, “what”, “where”, “when”, or “how things are consumed or done by consumers” and“why things are being done by consumers”. The research findings from the latter two essentially translate these into a “what”. Findings aretherefore information that provide an idea on these 5Ws and H. But, they should not be confused as insights.

Have you ever found yourself in a market research presentation that left you asking, “so, what essentially did this research tell me on what I should do?” Sure, the presentor showed the significant percentages that were either technically-derived, statistically-tested or analyzed through some state-of-the art techniques. It gave you new information but you’re still left puzzled with what to do with such information. Insight is therefore not about citing significant percentages or dazzling you with graphs and chartsthat leave you confused or dazed. They, too, end up being a “what”.

Stepping back, Kohler, a well-known psychologist, defined insight as “a structural understanding of the functional interdependenceof moments as an intrinsically required whole of meaning.”Insight in other words is the interpretation of or putting meaning on the relationship of several pieces of information. The usual pitfall is the interpretationof a single piece of information, looking at things in isolation. Insighting is often done by looking at those set of words, patterns, findings in the context of a bigger thing or the whole. More importantly, the ability to link these together is helped by the collective effect of one’s experience and exposure to various things in order to further have an understanding of the “whys” behind the words and patterns and how it is like out there in the marketing arena.

Caveat is that insights provided in one case (i.e., based on information gathered at a time) may have already been the focus and/or researched on by another. A ‘eureka’ or insightful moment for one may no longer be for another if they have already had the opportunity to conduct a research study on this.

The future and decisions on this future need to be managed. Information is necessary, but that alone cannot help a company develop plans and programs as information cannot be taken in isolation. Only through generating insights – which takes into account the holistic view that information has meaning in, in the context in which it is presented – can one move forward into the relative unknown with eyes wide open, increasing the company’s chances for success in its endeavors.

By Germaine A. Reyes

Article published in Adobo Magazine November/December 2009 issue

There is a reason celebrity endorsers get paid big bucks. There are consumerswho are pre-disposed towards buying products endorsed by celebrities.  But before you sign, seal and deliver that contract with a celebrity, it helps to know that not all products arewell-suited to this strategy.  OR, more importantly, not all celebrity endorser types are highly credible.

In a recent study conducted by Synergy Business Consultancy, among 1,000  males  and females in Metro Manila, aged 15-60 years, from all socio-economic classes, close to 7 in 10 purchased a product because of a celebrity endorser.  Now, that is potent!
Most popular among those attuned to celebrity endorsers is the personal care category. Around 61 percent(or 41 percent of total) of those who buy into the idea of celebrity endorsement claimed to have bought personal care products.  It was noted that this share is much higher than the personal care category’s ad spend share in the first half of 2009 (which was just at 21 percent).
Yet, the buying extent borne by celebrities for personal care was so much higher vs. the other categories.

The above doesn’t mean that consumers do not find other product categoriesto be appropriate for celebrity endorsement.Other than personal care, food, beverage, clothing and fashion, there are others (e.g., Pharmaceuticals) that consumers can see using this approach, to open them to brand messages.

Does economic class matter?  Are there differences in openness by age?
Interestingly, females and young adults aremore significantly pre-disposedtowards purchasing productsendorsed by celebrities.   This points to these demographic sets’inherent need  for “modeling” compared to their male counterpart or more mature segments in society.

Deciding which celebrity to use?  It’s worthconsidering three types: (1)those who go through rigorous training in fields such as sports or medicine (or other professions); (2) those with certain known regimen to earn their keep (e.g., beauty queens, news anchors, models); or(3)a commonly known formula, those who are always in the limelight/media (film actors/actresses).  These are the ones deemed to be highly credible in product endorsements.

Unless it is for specific product types, take care in using politicians and socialites. Consumers may be wary of politicians’ intent in an ad (i.e., may be construed as exposure for the coming elections).As for socialites, are they using the product to create empathy?  Otherwise, their appropriateness is questionable.

On the“who’s who” end, Manny Pacquiao still commands the highest “vote” for most credible endorser. (However, this study did not measure wear-out, so it is uncertain whether yet anotherendorsement will have the same added value to a brand as the Pacman’s previous ones.)

When a celebrity’s profession demands a regimen or discipline, there are indications that it can outweigh any controversy surrounding him.  Such are the cases of Vicky Belo, Ruffa Gutierrez, James Yap, Korina Sanchez and Dr. Calayan who, despite their high-profile issues, are all in the consumer’s list of top 10 credible endorsers.

So if your product category is not mentioned, you can stillconsider a celebrity endorser, depending on your brand’s marketing and advertising objectives.  For example, if you need to create immediate awarenessfor your brand, because it—or the category—is new in the marketOR if you want to “borrow” thecelebrity’s credibility, because his image will link well with the equity that you want for your brand, then you may consider this approach.

In any case, it’s always good to do a post-ad test to measure the strength of your campaign,and yourendorser’s effectiveness.  Ask yourself: Did headd value? Or did the consumers entirely forget your brand and just remember the celebrity?
Only then will you know who got more out of the endorsement: your brand or your celebrity.

Gadgets, Appliances are the New Bling Bling

By Germaine A. Reyes
Article published in BusinessWorld, Wealth Manager Section, December 21, 2009

There’s only one spoiler in this article and it is this: If you’re a struggling business enterprise with sales going downhill, you may be in a business with bearish future prospects.  But take heart, communication gadgets and appliances would continue to sell well even in these difficult times.

But don’t get too excited yet. First, we have to know why this is so.

Results of a survey of 1,000 respondents conducted in August-September 2009 by Synergy Business Consultancy, a market research consulting firm, showed that Filipino families, with or without a member working abroad (that is, an overseas Filipino worker or OFW), are expected to hold back on major investments and spending up until the first quarter of 2010. This is not surprising, given the impact of the global and domestic economic slump.

Of those surveyed, shoes and clothes are items that are expected to be cut back on by most, with relatively fewer people cutting back on cell phone- and computer-related spending. This showed that Metro Manila consumers would rather be technologically-attuned than fashionable, and prioritize communication aids or devices now and in the next few months.

Preference for advanced technologies implies a significant reason to believe that people would settle with their old jeans and shirts in order to keep pace with advances in technology.  But it should be noted there are less OFW families (than non-OFW families) who would limit their purchase of clothes and shoes.  This signals that those who receive support from abroad would likely maintain being “in” even in these times.

Figure 1.
Net purchase increase/decrease across categories

Results also showed that OFW families who spent on large and small appliances and gadgets in the past six months are much more likely to spend on the same items up to the first quarter of next year than families who don’t have relatives working or living abroad.

In terms of financial investments, those surveyed said they made no major investments in the past six months.  But looking forward, they indicated they might buy educational plans — despite controversies surrounding these — with 6% expecting to purchase versus just 1% who did in the past 6 months.

Figure 2. Past and future purchases of appliances and purchase incidence of investment products

Thus, selective risk taking and subjective expenditures based on the real and felt needs of OFW families could be highly observed. Per the study, the OFW families are quite bullish about the Philippine economic situation but are tempered by their own family prospects, possibly given the uncertainties in work prospects/opportunities of their relatives abroad.  Thus, they still want to play it safe by prioritizing what are believed to be their essentials these days — which do not necessarily follow Maslow’s hierarchy of needs —  but those that keep them stay in touch with their relatives (communication tools, gadgets/devices), those that have impact on their household and day-to-day quality of life (small and large appliances) or potentially, to some, products that have lifelong implications on their loved ones’ future (education).

With these arise a question: are cellphones, computers, big and small appliances the new bling bling?  They could very well be.  With their new gadgets and large trendy appliances at hand, OFW families know they hold the ticket into the possibly a new definition of being “in fashion,” “in touch” and “in command” of their lives.

We would dare venture that, possibly, even those affected by Typhoon Ondoy would recover and bounce back to this state of prioritization especially with the help of their relatives working abroad, whose inner drive is to see a better future for their families.

Philippine Macro-Economic Indicators

• Philippine population and projections (NSO) www.census.gov.ph

• Foreign Direct Investment (Central Bank, DTI, NEDA)

• www.dti.gov.ph
• www.bsp.gov.ph
• www.neda.gov.ph

Business News

• Adobo Magazine www.adobomagazine.com

• BusinessWorld Online www.bworldonline.com

• Philippine Daily Inquirer www.inquirer.net

• Philippine Stock Market Index www.pse.org.ph

• Cocktales (by Victor Agustin) www.cocktales.ph

• Go Negosyo www.gonegosyo.net

Professional Organizations

• ESOMAR www.esomar.org

• PCCI www.philippinechamber.com

• Makati Business Club www.mbc.com.ph

• ANV Consulting www.anv-consulting.com

• Business Processing Association of the Philippines (BPA/P) www.bpap.org‘

Recommended books

• Five Minds For the Future by Dr. Howard Gardner

• How to think Like Leonardo da Vinci by Michael J. Gelb

• The Tipping Point by Malcolm Gladwell

• Blue Ocean Strategy by W. Chan Kim and Renee Mauborgne

• Think Like a Champion by Donald Trump‘

Technical-Related

• Sample size computation Survey System

• Testing for significance of two proportions www.answersresearch.com/proportions.php

We are a full-service marketing research consulting company.

We provide you with marketing-based, business solutions hoped to aid in business growth.

While we use traditional tools, we work with you to get a holistic view of your business and where our tools, research, expertise – and synergy – will be of help.

Suffice to say, we have seen our partners’ business grow and/or lead in the marketplace.

In other words, we provide market research that empowers you to make strategic decisions. From our insights that show the gap and/or opportunities in the market, we help you understand your business better and thereby help you make better, highly targeted business decisions and program development.

insight….

understanding…

opportunities.