Shifting Insights : From Reactive to Proactive

Michael Wagstaff • 3 October 2024

How things have change 40 years on

When I began my journey in the market research industry 40 years ago, we were largely focused on looking back. Our job was to gather data, interpret it and explain what had already happened. We would run surveys, conduct interviews, and facilitate focus groups, collecting responses that described past behaviours, preferences, and attitudes. This data was static and often retrospective. We analysed it diligently, drawing insights from neatly structured datasets to explain why things had happened the way they had.


Fast forward to today, and the world of insights has evolved dramatically. Where once our focus was squarely on the past, we are now increasingly tasked with predicting the future.


A transformative shift

Modern insight generation has shifted from being reactive to proactive. Today, we look forward, using the wealth of data at our disposal not just to explain what has occurred but to anticipate what is coming next. This shift has been driven by several significant changes in the tools, techniques, and data streams we now rely on.


One of the most transformative developments has been the explosion of data. In the early days, we dealt with relatively limited datasets. These were often confined to consumer responses to survey questions, and our challenge was to interpret those responses within the boundaries of a few key variables. The data was usually structured, neatly organised into rows and columns.


But now, data pours in from an ever-expanding range of sources. We no longer rely solely on what consumers tell us; we observe what they do. From transactional data and social media behaviour to geolocation data and even interactions captured by smart devices, we are surrounded by a constant flow of information.


This vast influx of data has enabled us to move from explaining past behaviour to forecasting future trends.


Old meets new

Traditionally, we relied on well-established statistical techniques like regression analysis and predictive modelling to uncover patterns in historical data. These techniques are still at the heart of what we do but today, we enhance them by integrating machine learning to get the best of both worlds – the rigour of proven statistical models and the adaptability of AI-driven insights.


Predictive models allow us to make sense of complex patterns across multiple datasets, helping brands identify trends that might not be immediately apparent. For example, a marketing team that once relied solely on past sales data to forecast demand can now build models that incorporate social media sentiment, user reviews and CRM data, allowing for a more dynamic and accurate prediction of consumer behaviour.


Let’s take a couple of real world examples to explain what we mean: imagine you’re launching a new product. Traditionally, you would forecast sales based on historical data from similar products, perhaps factoring in seasonality or economic conditions. While useful, this approach can miss emerging signals. By blending predictive modelling with machine learning, you can feed real-time data, such as how consumers are interacting with your brand on social media or shifts in competitor behaviour, into your model. As a result, your forecasts become more nuanced and responsive, helping you allocate marketing spend more effectively and optimise inventory levels.


Another example is customer segmentation. Previously, segmentation was often based on demographic or transactional data, which, while insightful, could be somewhat static. Today, we can build personas using behavioural data from multiple sources – such as website clicks, purchase history, and customer service interactions – to create highly granular segments that are constantly evolving. This allows brands to identify micro-trends among specific consumer groups and tailor their marketing efforts with unprecedented precision.


The challenge of integration

Of course, this shift hasn’t come without its challenges. More data doesn’t automatically mean better insights. In fact, the sheer volume of information we now have at our disposal can be overwhelming. The real skill lies in integrating and synthesising this data into a coherent narrative that provides actionable insights.


This is where modern tools such as predictive analytics and natural language processing have become invaluable. These technologies allow us to cut through the noise, identify the key drivers of consumer behaviour and forecast emerging trends.


However, the rise of predictive modelling does not mean we’ve abandoned the fundamentals of understanding human behaviour. Far from it. The essence of our work remains the same – to understand people, their motivations, their fears and their desires. What has changed is our ability to forecast how these motivations and desires will manifest in future behaviours. Where we once conducted focus groups to ask consumers directly about their intentions, we now use predictive models to analyse their actual behaviour and forecast their future actions.


The future

As we look to the future, it’s clear that the role of the insights professional will continue to evolve. The rise of AI and machine learning has blurred the lines between traditional market research and data science. Today, an insights professional needs to be as comfortable with coding and algorithms as they are with focus groups and surveys.


The future will probably  demand even more integration of disparate data sources, from social listening and behavioural tracking to biometrics and beyond.

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