© 2015 Mintel Group Ltd. All Rights Reserved. Confidential to Mintel.Mintel may repurpose or distribute any content derived from syndicated Mintel resources, even if originally compiled per customer request, always subject to preserving the confidentiality of the customer.

The Basics of Market Research Brian O’Connor – March 2017

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Overview of Mintel Ireland

Why do market research?

Secondary and Primary research

Things to avoid when designing questionnaires

Sampling and respondent breakdown

How Mintel do it

Some recent Mintel findings

Summary

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Mintel Systems

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Where does Mintel fit in?

• Issue: Difficult to resource local sectoral market research reports for Ireland

Resource Issue

• Solution: Our Mintel research reports will provide you with Irish (ROI & NI) market size, forecasts, innovations and trends data.

Mintel Research Reports • Benefit: Ready made

material to help support the public with projects, research papers, business plans or preparing for interviews – Ensures the public are up to speed with latest market trends.

Provide reliable, unbiased overview of the market place

Helping you save time researching – provides quick overview of a market!!

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Irish Report Home Page – Layout

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2016 Irish Report Titles

Sector Title

Food Consumer Snacking HabitsFood Fruit & Vegetables Food BreadFood CheeseFood Artisan FoodFood Deil and Hot Foods Counters

Food Yogurt

Food Meat & Meat SubstitutesFood Chocolate ConfectionaryFood Ready MealsFood Healthy Eating

Drink Whiskey and Dark RumDrink BeerDrink Soft Drinks

   

Leisure Hotels

Leisure Technology and Irish TourismLeisure Events TourismLeisure TV Viewing Habits Leisure The Night Out – Entertaining Out-of-Home

 Sector  Titles

Retail Beauty Retailing

Retail Automotive Retailing

Retail Discounters

Retail Mobile and Broadband Providers

Retail Clothing Retailing

Retail Grocery Retailing - Brand vs. Own-label

Finance Savings

Finance Mortgages

Finance Car Insurance

Finance Payment methods – Online vs. Offline

Finance Current Accounts

   

Technology Apps and Applications

Technology Online & Mobile Retailing

Technology Social Networking

Special    Attitudes to Advertising

Special Exercise and Fitness

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2017 Irish Report Titles

Sector Title

Food Children’s Eating Habits

Food Chilled vs. frozen - Consumer Preferences

Food Sports Nutrition

Food Cheese

Food Menu and ingredient insights

Food Quick service restaurants & takeaways

Food Free-from foods

Food Milk & Cream

Food Poultry & Poultry Substitutes

Food Ice-cream & Desserts

Food Artisan Food – Attitudes to Provenance

Drink Wine

Drink Beer & Cider

Drink Soft Drinks

   

Leisure The Night In

Leisure Gaming (consoles, mobiles, etc)

Leisure Domestic vs. Overseas Tourism

 Sector  Titles

Retail Beauty & Personal Care

Retail Automotive Retailing

Retail Convenience Store Retailing

Retail Coffee & sandwich shops

Retail Supermarket Retailing 

Finance Savings & Retirement Planning

Finance Current Accounts & Brand Loyalty

Finance Personal Loans

Finance Mortgages

Finance Car Insurance

 Finance Online & Mobile Banking

Special   Brexit - One year later

Special Healthy Lifestyles (Sugar & smoking focus)

Special Pets

Technology Online and Mobile Retailing

Technology Social Networking

Technology Mobile Phones

Technology Attitudes to Advertising

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Analyst Insights – Across 13 different Sectors

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EVERY DAY AT MINTELEveryday at Mintel

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© 2013 Mintel Group Ltd. All Rights Reserved. Confidential to Mintel

Why conduct market research?

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Why conduct market research?

“There is nothing so terrible as activity without insight.”

- Johann Wolfgang von Goethe

“People who ignore research are as dangerous as generals who ignore decodes of enemy signals”

- David Ogilvy

“When the customer comes first, the customer will last.”

- Robert Half

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© 2013 Mintel Group Ltd. All Rights Reserved. Confidential to Mintel

How can we sell to customers if we don’t understand who they are, what they want or

why they want it?

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Understanding customers is paramount!

Who are your customers? What age are they? Gender? Affluence? Martial status? Who do we target our product at?WhoWhat do they want? What need/ desire will your product/ service fulfil? Why do they need it? How can we adopt our approach to best fit what they need? WhatWhere do our customers live? Where is the best place to position ourselves for them to buy? When will the buy? How can we position ourselves to be in the ideal place/ time to target them?

Where/ When

Why would customers choose us over our rivals? What features or qualities would make us more desirable? Why do we stand out? What can we do to make ourselves the first choice to customers?

Why

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© 2013 Mintel Group Ltd. All Rights Reserved. Confidential to Mintel

Secondary & Primary research

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Secondary Research is the first port of call

The first thing you should do is check to see if someone has collected the information you need before hand.

Time & Cost effective.

Extensive data already exists.

Basis of future primary research.

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© 2013 Mintel Group Ltd. All Rights Reserved. Confidential to Mintel

Some key sources of secondary research

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Some drawbacks of secondary research

While secondary research is a fine foundation for discovering what direction to take your business in, there are drawbacks

Time lag of data.

How specific the data is to your needs.

Accuracy of data/ potential for bias.

Data definitions.

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Primary research has many advantages

After consulting as much secondary are as possible it is then time to consider primary research

Specific to your needs.

Greater control over the direction of the research.

Can be as wide ranging as you need it to be.

Your competitors do not have access to the information.

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… but also has pitfalls

While primary research offers greater control and level of specification it does present some issues to SMEs

Cost.

Time cost.

Issues with bias.

Inexperience in collecting data.

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Types of primary research

Observational

Postal survey

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Types of primary research

Telephone

Face-to-face

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Types of primary research

Focus group

Online survey

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Mintel conduct all consumer research for Ireland online

As of January 2012 all commissioned consumer research for Mintel Ireland reports have been conducted online.

Toluna in partnership with other providers provide Mintel with qualitative bulletin board software.

This allows the creation of Internet-based, ‘virtual’ venues where participants recruited from Mintel’s online surveys gather and engage in interactive, text-based discussions lead by Mintel.

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© 2013 Mintel Group Ltd. All Rights Reserved. Confidential to Mintel

There are a few online survey providers that can be used for free (or cheaply).

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Bias is something researchers must ALWAYS be mindful of

A person or a company can have bias that can influence the outcomes of research – many times without even

knowing it.

Confirmation - researcher forms a hypothesis or belief and uses respondents’ information to confirm that belief, filtering out data that might not support their view.

Cultural bias - judging another culture solely by the values and standards of one's own culture.

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Bias is something researchers must ALWAYS be mindful of

A person or a company can have bias that can influence the outcomes of research – many times without even

knowing it.

Question-order - One question can influence answers to subsequent questions.

Leading questions and wording – Wording questions in a way to evoke a certain response – either positively or negatively

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Even we sometimes can fall victim to bias….

In a 2011 survey we asked consumers a question using the phrase ‘junk mail’.

‘Junk mail’ is a loaded phrase with negative connotations.

‘Direct mail’ is a more neutral term that does not evoke the same negativity. This is the term used in all subsequent surveys.

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© 2013 Mintel Group Ltd. All Rights Reserved. Confidential to Mintel

Some things to avoid when designing a questionnaire

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Question wording to avoid misinterpretation or bias

“On a scale of 1-10 just how bad do you think the Brexit will be for the Irish economy?”

Assumes the respondent feels negatively about the Brexit. Assumes the respondent understands what the Brexit is.

“On a scale of 1-10 (1 being very negative, 10 being very positive) how do you feel the UK leaving the European Union will effect the Irish economy?”

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Be weary of time scales

“Have you ever had a barbeque?”

Respondents could answer ‘yes’ even if they have only ever being to one BBQ and that was 10 years ago. You would want the opinions of someone who had recent experience. Also are we seeking people who have hosted or attended a BBQ? Or Both?

“Have you hosted a barbeque in the last 12 months?”

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Also in some circumstances be weary of the time of year you are doing your research

“Which of the following types of wine have you bought in the last 3 months? Please select all that apply”-Still red wine-Still white wine-Sparkling wine (eg cava, prosecco, etc)

Sales of sparkling wine in the UK increased 500% the Friday before Christmas in 2016, and increased again before Valentines days 2017. Results may vary depending on the survey being conducted in February 2017 and May 2017.

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Do not make assumptions about ownership or usage. Always give respondents a ‘none’ or ‘don’t know’ option

“Which of the following types of mortgage do you currently have on your house?”

Assumes the respondent has a mortgage, and they may not. Assumes they have a house rather than a flat or other type of living accommodationIdeally a question like this would follow an initial question establishing ownership of a mortgage first.

“Q1. Do you or your partner currently have a mortgage on any property?Q2. You have indicated you currently have a mortgage. Please select which type.”

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Avoid industry terms or complex acronyms.

“Have you bought any ready meals in the last month with the following types of packaging?-Rigid box-Skinpack-Blister Card”

The average joe may not understand industry terms. Use simple terms in questions and provide examples when possible (eg familiar brand names, etc). Sometimes it may actually be best (when possible) to present respondents with pictures of products.

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Keep question options and layouts simple

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© 2013 Mintel Group Ltd. All Rights Reserved. Confidential to Mintel

Sampling and demographics

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Choosing sample and size of sample

When surveying consumers with a quantitative study, there needs to be a reasonable sample size.

It is impossible to interview everyone in a country/ region, so researchers will select a representative sample of the population.

Unless specifically required most surveys will use a random sample. For example, if you are seeking only to survey parents, consumers without children will be exempt.

The smaller the sample size the less representative it becomes.

Mintel samples 2,000 for All-Ireland in its surveys.

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Quotas can be used to insure fairness and representation

Age & Gender % Social Grade %

All Adults 100.0 AB 0.22All Men 50.9 C1 0.29All Women 49.1 C2 0.1916-19 Men 3.9 DE 0.2416-19 Women 3.7 F 0.0620-24 Men 4.1

20-24 Women 3.9

25-34 Men 10.8 Region %

25-34 Women 11.7 City of Dublin 2835-44 Men 11.9 Munster 26

35-44 Women 12.3 Leinster (e xcluding city of Dublin) 24

45-54 Men 8.8 Connacht 16

45-54 Women 8.9 Ulster (excluding Northern Ireland counties) 6

55-64 Men 5.555-64 Women 5.665+ Men 4.165+ Women 4.8

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What demographic data do you want to collect?

Gender LocationAge

Work status Marital status

Social class Household income

No. of children Internet usage

Device ownership

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Cross-tabs

Collecting demographic data allows for meaningful interpretation of survey data.

  Bought for drinking at home (including at someone

else's)

Bought in pubs/bars/ restaurants etc

Have not bought

  % % %

       

All 38 17 57

       

Gender:      

Men 43 18 53

Women 34 17 61

       

Age group:      

18-24 35 19 57

25-34 35 20 59

35-44 30 16 65

45-54 46 16 53

55+ 41 15 56

Base: 650 NI internet users aged 18+Source: Toluna/Mintel

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© 2013 Mintel Group Ltd. All Rights Reserved. Confidential to Mintel

Mintel Ireland – Methodology

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Structure of a Mintel Ireland Report

Report StructureOverview

Executive SummaryIssues and Insights

The Market – What you need to knowMarket Drivers

Market Size and ForecastCompanies and Innovations – What you need to know

Company AnalysisInnovations

The Consumer – What you need to knowThe Consumer – Usage

The Consumer – Behaviour The Consumer – Attitudes

Appendix

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Putting Together a BriefNeed to outline what shall be covered in a report.

Sales Manager / writer contact clients and ask for input on key reports themes, suggestions for questions to be asked on surveys.

Consult with wider Irish production team and UK counterparts for ideas to examine in reports.

Listing sources that will be used for completion of market size estimates, consumer data used.

A key focus at this stage is defining what exactly shall be measured in the report and how this shall be done.

mintel.com43

First things first: Deciding on the report schedule for the year ahead.

Client Input is Key

Consulting clients:

“A TV habits reports would be quite useful. What types of programmes are consumers watching?”

-Agency Client

“We want to know more about consumer usage of offline and online payment methods.”

-Financial Client

“We need something that looks at snacking habits. What types of food consumers snack on and how often.”

-Food Client

Consulting market specialists and trade sources for ideas on growth/ important areas.

Some reports are annual, repeated each year.

Some requests aren’t feasible.

Alignment with other Mintel markets.

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Example of Key Themes

Who are the key retailers operating in the NI and RoI clothing market? – What retailers are excelling in the market? Which types of outlets do consumers prefer to shop with?How is online shopping faring in IoI? – Is there much of a market for clothes shopping online? Are consumers still wary of shopping online? Is the online market taking off? Is the process of returning clothes bought online deterring consumers from shopping online?What behaviour do consumers exhibit when returning clothing? – What are the key motivations for returning clothing? How can online retailers reach out to consumers more?What is the consumer satisfaction with clothes purchased? Are consumers returning the clothes they have bought? What are the key reasons that consumers are returning their clothes for?What impacts how consumers dress? – Are consumers influenced to dress a certain way? Are magazines or in-store models impacting style? Do consumers look to friends or family for fashion advice?

The questions that need answered

Setting about answering

them

Determining how they will be answered

mintel.com45

Irish Survey Quotas

RoI NITotal 1,350 650

Gender:    

Male 594 286

Female 756 364

     

Age group:    

18 - 24 176 85

25 - 34 243 117

35 - 44 311 150

45 - 54 284 137

55 - 64 230 111

65+ 108 52

RoI NITotal 1,350 650

Location:    

Urban 891 429

Rural 459 221

     

Work status:    

Employee full time 513 325

Employee part time

257 111

Self-employed 189 59

In full time education

176 46

Retired 216 111

Statistical confidence levels of + or – 2% or 3% can be applied to the data

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DAILY USAGE OF THE INTERNET, RoI, 2012-16

Internet usage grows year-on-year

  2012 2015 2016 % Point change

Base: internet users aged 16+

1,313 1,350 1,350  

  % % %  

         

Up to one hour 8 5 5 -3

1-3 hours 49 43 38 -11

4-6 hours 28 32 35 7

7+ hours 13 19 21 8

I use the internet, but not every day

1 1 1 -

Source: Toluna/Mintel

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Real-time Analytics

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CONSUMERS WHO OWN, OR HAVE ACCESS TO TECHNOLOGY SERVICES, RoI, SEPTEMBER 2015-AUGUST 2016

Smartphone ownership continues to grow

Base: 1,350 RoI internet users aged 16+Source: Toluna/Mintel

92 90 90

87 88 88

61 61 59

4339 40

29 27 25

0 0 00

20

40

60

80

100

Sep-15 Oct-15 Nov-15 Dec-15 Jan-16 Feb-16 Mar-16 Apr-16 May-16 Jun-16 Jul-16 Aug-16

%

PC/laptop Smartphone Tablet

Games console Basic mobile phone None of these*

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Average monthly data usage, RoI and UK (including NI), 2013-15

Data usage increases by leaps and bounds

Source: Ofcom/ComgregMintel

mintel.com50

Mintel has an internal team of desk researchers who monitor: government statistics, consumer and trade association statistics, manufacturer sponsored reports, annual company reports and accounts, press articles,and online databases.

These are extracted from 100’s of publications and websites, from both RoI and NI, and overseas.

Extensive library of Mintel’s reports produced since 1972 and added to each year by the 500+ reports which are produced annually.

Mintel ’s Market Size and Economic Database – a database containing all areas of consumer spend and retail sales as well as macroeconomic and demographic factors which impinge on consumer spending patterns, going back some 20 years.

Government sources are also vital to providing statistics and data to help in the production of reports, such as the CSO or Bord Bia.

Desk Research – Key to Understanding Markets and Consumers

mintel.com51

Check, Check Again … and Keep on Checking

Before Mintel publish anything it must be thoroughly checked in five steps:

FormattingFirst editQCProofSign off

Key to eliminating any mistakes, tightening up grammar and spelling and insuring that data is presented in the best possible way; being unbiased, accurate and as up-to-date as possible.

Once a report is published, it is available via our website to all clients.

A healthy sense of scepticism is important for market research!

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A little context

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Work and life pressures continue to squeeze the amount of time each day consumers can relax and eat.

Fast food needs to be faster

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More than ever, time-pressure is effecting how we eat and drink globally

of US consumers say they don’t often have the time to prepare/eat

healthy meals

30%of UK adults sometimes struggle to find time to eat as healthily as they

would like to

51%

Base: 1,148 UK internet users aged 16+ who are employed /  24,219 US adults aged 18+/ 1,350 RoI internet users aged 16+Source: The Working Life - UK - December 2015 / American Lifestyles 2014: Looking Forward - US - April 2014/ Healthy Eating – Ireland, December 2016

22%of RoI adults claim their busy lifestyle makes it hard to eat healthily.

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Mexico

Canada

United States

IrelandNorway

United Kingdom*

Australia

Sweden

PolandKorea

Germany

SpainBelgium

ItalyJapan

New Zealand

France

66 69 74 76 82 85 89 94 94 96105 106 109 114 117

130 135

Eatin

g (M

inut

es p

er d

ay)

There is a 1 hour and 9 minutes difference between daily mealtimes between Mexico and France

A cultural difference in what eating and drinking represents: refuelling and individualistic versus enjoyment and socialising

There is a big difference in average eating time around the world

Source: Secretariat estimates based on national and multinational time-use surveys (2006 where available) / OECD

Eating time on an average day in minutes (2006)

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of UK consumers say they would cook more if it were less time-consuming

Time pressure frustrates scratch cooking intentions

Base: 1,340 UK internet users aged 16+ who have/share responsibility for cooking in the home / 1,165 US internet users 18+ who are trying to lose/maintain weightSource: Consumer Attitudes Towards Cooking in the Home - UK - February 2014 / Dieting Trends - US, November 2014/ SuperValu Home Truths Report II - 2015

26%

20%of US consumers agree that planning and making healthy meals is too time consuming

37%of RoI consumers under-34 claim they don’t cook from scratch out of laziness.

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The interactivity of media such as social media and virtual reality offers consumers and brands new ways to connect.

…CONNECT

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Statistics

CLICK AND CONNECT

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Introduction: Social networking is becoming a bigger part of consumers’ online experiences

81%of British consumers have used a social network in the last three months

Social and Media Networks - UK, May 2016

83%of RoI consumers log on to Facebook regularly

Social Networking - Ireland, May 2016

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Statistics

CLICK AND CONNECT

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22%of Brazilian consumers have used social media websites to arrange activities with their friends

Brazilian Lifestyles 2015: Living Online - Brazil, April 2015

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VR offers new ways to explore the world

Source: Technology in Irish Tourism – Ireland, July 2016

16%Of Irish consumers would be keen to a virtual reality experience in a travel agent’s shop.

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Samsung has released a series of interactive virtual reality bedtime stories for kids and parents who are apart.

12 May 2016 - UK

Virtual Reality Stories “

”

of UK consumers are interested in using wearable technology for

virtual cultural experiences, such as a virtual museum

Wearable Technology - UK, December 2015

50%

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Aided in part by the rise in popularity of geo-location technology, we expect brands to increasingly help consumers decide what to buy, watch, do or eat, based upon pending timeframes from the next 30 minutes to the next 48 hours.

Right here, right now

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Openness to sharing location

29%Of UK Millennials would be happy to share their real time location with brands they like in exchange in order to receive nearby offers.

SOURCE: MINTEL DIGITAL ADVERTISING UK MARCH 2016

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SOURCE: MINTEL VISITOR ATTRACTIONS UK DECEMBER 2015, TECHNOLOGY AND IRISH TOURISM – IRELAND, JULY 2015

Off-peak offers

42%Of UK of consumers would be interested in visiting an historical or cultural attraction off-peak (e.g. weekdays, early mornings) if they got a discount.

16%Of RoI consumers not that deal sites such as Groupon are their first port of call when booking a holiday or short trip.

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SOURCE: MINTEL THE RESTAURANT DECISION-MAKING PROCESS US JULY 2015, FOODSERVICE – IRELAND, MAY 2014

Off-peak offers

39%Of US diners would be interested in trying a new restaurant if it lowered its prices during off-peak hours (eg 2-4pm).

32%Of RoI consumers select a foodservice outlet for meals because of a price promotion, money-off voucher or discount.

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Thanks to the simplicity and convenience they offer, people are set to embrace new payment methods such as contactless cards, smartphones and wearables in record numbers.

Seamless Spending

67

Autumn 2016: Apple Pay’s one-click payment services made available on any device using the Safari browser.

67

Financial connectivity grows

68

68

Financial connectivity grows

Autumn 2016: Vodafone Pay now allows users to make contactless payments from their Paypal account even when the phone is switched off or out of battery

69

69

Financial connectivity grows

Fitbit will launch a wearable device with NFC payment capabilities in 2017.

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SOURCE: VISA EUROPE, PAYMENT METHODS: ONLINE VS. OFFLINE - IRELAND - JULY 2016

Digital payments growth

3 billionContactless payments were recorded by Visa between 1 May 2015 and 30 April 2016.

42% of RoI consumers

note they are using

contactless payments

more in 2016 compared to

2015

71SOURCE: VISA EUROPE

In 2015 Visa Europe claimed that 2 million contactless transactions are carried out in Ireland each month.

One contactless transaction every second.

Contactless crazy

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SOURCE: MINTEL CONSUMER PAYMENT PREFERENCES UK OCTOBER 2015, PAYMENT METHODS: ONLINE VS. OFFLINE - IRELAND - JULY 2016

Appetite for digital payments

39%Of UK consumers believe that a cashless society is inevitable in the future.

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51%Of RoI consumers believe that a cashless society is inevitable in the future.

mintel.com73

Thank you for your attention.

Any questions?

mintel.com

© 2015 Mintel Group Ltd. All Rights Reserved. Confidential to Mintel.Mintel may repurpose or distribute any content derived from syndicated Mintel resources, even if originally compiled per customer request, always subject to preserving the confidentiality of the customer.

Brian O’ConnorSenior Consumer Analyst, Mintel IrelandTel: 028 90 241849Fax: 028 90 242597Email: boconnor@mintel.comTwitter: @mintelnews