The Test Drive

American Demographics, Oct 1, 2002

Byline: ALISON STEIN WELLNER

Ethnographic research claims to offer companies two primary benefits: a more in-depth and honest look at consumers, and a behind-the-scenes peek into consumers' lives - supposed "nuggets" of data that yield rich insights that other forms of research cannot.

But are these nuggets really the key to marketing magic or just fool's gold? Can ethnographic research really reveal details about a market segment? And can ethnographic methodologies actually uncover information that would raise the eyebrows of marketing execs swimming in a sea of quantitative and qualitative data?

Because the technique isn't cheap - depending on the size and scope of a project, costs are typically in the $20,000 to $300,000 ballpark - and the results are highly proprietary, it's difficult to answer these questions, and to know exactly what to expect from an ethnographic study. That's why American Demographics decided to take ethnographic techniques out for a test drive of our own. We asked three firms that specialize in this type of research to explore one product: lipstick. The rationale for this choice of subject: Lipstick is a product that nearly everyone has had experience with in some way; it's a product in a mature industry and it's a product that's easily found in a female consumer's everyday routine.

We charged each research firm with the same broad but simple task: Tell us how women really feel about lipstick and how they use it, and uncover for us untapped business opportunities in the women's lipstick market. Our goal was to see how different companies would approach this task and to discover whether they'd come up with similar results.

Of course, since this was just a test run, and American Demographics isn't actually in the lipstick business, we proved to be a difficult client. We didn't provide qualitative or quantitative research on our product and we weren't able to discuss our position in the market, our current target market or even our business goals - all standard fare for a typical ethnographic research project. Without specific research objectives, each company took its own approach to the "lipstick" question.

The outcome: Each firm came up with markedly similar results even though the ethnographies were conducted across a fairly small sample of women in different parts of the country. Considering that a major concern in the use of the ethnographic method with a small sample size - it's possible to get in-depth information from the 10 weirdest women in America, which would be useless to a company interested in a mass market - the similarities are striking. Also, the findings passed the "smell test" from an industry expert.

"The research is completely valid," says Sharon Garment, a veteran of the cosmetics industry, now a consultant, and most recently vice president of global product development at Estee Lauder.

To Garment, the findings weren't all that different from what she has heard from other focus groups and quantitative surveys. However, each report did reveal at least one small idea that piqued her interest - ideas that if brought to market, might have the potential to become "seminal" in the makeup arena. (Three such example are noted with an asterisk in the text that follows.)

The main finding from our test drive: Ethnographic research can indeed reveal a few golden nuggets of insight - but you still may have to pan through a lot of fool's gold to get to them.

RADAR COMMUNICATIONS

Radar Communications, a Boulder, Colo.-based firm specializing in ethnographic research, decided to explore the emotional drivers behind lipstick use. The results could then be used to create new products or to inform marketing communications.

Radar completed a study of 40 women who live throughout the U.S., ranging in age from 19 to 55. Ethnographers were in the field for one-and-a-half months, spending 12 to 15 hours with each subject.

"We set out to discover what's working about their lives, what isn't, where they want to be, what they want to do and what they might want or need in order to live a full life," according to the report. This study was the foundation for American Demographics' lipstick project, for which Radar culled a sample of 10 from the original group and interviewed them thoroughly on their usage of the product.

FINDINGS

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There's a deep connection between looking good and feeling good. Lipstick manufacturers should focus on this connection, both in marketing and product design.

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Feeling good and looking good are about feeling capable and confident, alive and energized, and wanting to get attention and to get complimented. Women are less likely to equate feeling good and looking good with feeling sexy or good about their bodies, feeling creative, feeling content or feeling respected.

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There's interest in lipstick that's good for you. Ideas include taking properties from other lip and skin products, such as lip balm, sunscreen, moisturizers and vitamin E sources.