Focus on “Data and Decision-making” – Rx for manufacturers

Relevant data is possibly the only renewable source the planet has to offer today. It is profusely

available and critical to understanding the world around us. That said, making sense of the abundant

data requires systematic effort and research.

Consider the manufacturing industry in India as a case in point. Companies across segments- be it in

the field of automotive, medical, energy, automation or any other- are operating in an environment of

uncertain economy, changing standards and dynamic requirements.

Car makers like Ford, building technology content in vehicles, specifically focus on design with the

end-user in mind. Through its extensive research, Ford identified the need for a sensor that can

automatically detect the driver’s elevated stress levels in a patch of heavy traffic and block all

incoming phone calls until the congestion dissipates. Great solution based on an understanding of

driver behaviour!

3M’s constant focus on customer preferences makes them a customer-centric and one of the most

innovative companies in the world. One of their fundamental strategies was to get close to

customers and understand their needs.

3M started life by selling inferior form of sandpaper and the only way they could generate sales was

by getting close to the customers and demonstrating their products to them. This helped them to

understand customer’s needs better.

From the success of the initial approach, 3M found that if they offered customers what they

wanted/needed, these customers will be loyal to their company.

Utilizing inputs from the customer to design your products remain a critical factor to innovation and

growth going forward. Philip Kotler, marketing guru, in his book, “Kotler on Marketing: How to Create,

Win, and Dominate Markets”, discusses what a business has to do to be successful. He writes, “The

premium will go to those companies that invent new ways to create, communicate and deliver value to

their target markets”.

Knowledge is power, and the more power you have, the stronger your business will be. So, below are

some of the reasons why businesses should really conduct market research and use data for better

decision-making.

To understand the blue oceans (untapped or uncontested market place) in the market To stay abreast of how competition is carrying out its strategies To offer superior levels of customer service

To transform my current business model to the one that leads to higher growth To adopt innovative ways to conduct business

Businesses must emphatically build their business and customer strategies based on knowledge and

insights gained through market research.

In my role as a research professional, I have come across companies leveraging market intelligence

in the following areas:-

Product/Service launch Brand Perceptions Advertising programs/Messaging

Service Improvements Move into unfamiliar territories Distribution effectiveness

Consumer behaviour in new markets Competitor monitoring

Prayag believes that manufacturers need to find recourse to the current slowdown and the only way

out of the woods for manufacturers will be – get closer to the customer like never before. Also see

more info @ http://www.prayag.com