Much has been written about insights.
But how does a marketer or agency build an insights function that delivers results on behalf of the organization time and time again? The answer to that question is now over, as Eliabeth Oates’ new book More Than Just Interesting is available.
The Mercer Island Group team was lucky enough to collaborate with Elizabeth during her time leading the insights function at Ulta Beauty. At one key moment we helped the Ulta Beauty team find and select an all-star cast of agencies to help define the future retail experience. During the onboarding, these fine agencies heard from a virtual all-star lineup of heavy hitting consumer marketing experts like Mary Dillon, Dave Kimbell, Prama Bhatt and Shelley Haus (whom we all lost way too soon). The presenters were the marketing equivalent of the 1927 Yankees. And commanding everyone’s attention during that onboarding was Elizabeth Oates, as she brought the agencies up to speed on a mountain of consumer insights, trends and knowledge that her team had uncovered.
Now, with her new book, everyone has a roadmap for building an insights function that can deliver immense benefits to an organization.
I caught up with Eliabeth recently and discussed her new book, along with a number of other topics….
Now that you’ve written and published this (incredibly helpful) book, what might you have left out? Or would you change anything now that you see it in print?
Elizabeth: First of all, I’d love to start with thank you. Thank you for this exciting dialogue. I am so very passionate about sharing what I’ve learned: it’s a chance for me to ‘pay it forward’ while also doing something that I love!
There is so much to think about and know when you are building a culture of consumer centricity – there’s no way it could all fit in one book. (I am not sure if I’m excited or terrified by the fact that I may have just talked myself into a ‘Volume 2’!) If Volume 2 were to ever be published, it would be important to add a few things. And they each boil down to the unique context surrounding any Insights team:
- The context of the business: How you approach Insights for a business that is ready and willing to make consumer-centric choices is very different from a business with a history of ‘gut’ decisions.
- The context of the environment: I talk in chapter four about knowing the culture in which your consumers are living, as well as the competitors. However, if I had a chance to add more, I’d really focus on how the Insights function needs to function differently in a highly competitive environment versus a space where the business is the first mover.
I’m sure many companies have never considered setting up an insights function with the thoroughness and discipline that you describe. What advice do you have for an executive that is trying to sell management on the idea of a professional insights function?
Elizabeth: This is an important question. Insights is often part of the overhead budget for many organizations – and will likely be placed there for organizations just starting an Insights function. Thus, it’s critical to showcase the value the business gets – and to do so we have to think about Insights as an investment. An investment in the future. You could set up the conversation in one of these ways:
- We want to win market share: So, we must invest in understanding how consumers decide between alternative choices (and thus invest in insights).
- We want to grow in the future: So, we must invest in looking through the windshield to understand what’s ahead of us (and thus invest in insights/foresights).
- We want to save money: So, we must invest in understanding what parts of our value equation are not providing value to consumers (and thus invest in insights).
- We want to expand to a new category/marketplace: So, we must invest in understanding what drives consumer choice in those spaces (and thus invest in insights).
Elizabeth presenting on Insights and the business
What are some companies and brands that really “get it”? How is it reflected in their activities?
Elizabeth: I love this question. 100% I’m in for celebrating consumer centricity! One of my favorites is LEGO. From a customer experience standpoint, LEGO has doubled down on physical store experiences. If you are a fan of LEGO, when you travel to a new city anywhere across the globe, you have a reason to stop in. The brand you love has created a unique, memorable experience that you can only have in that city. (The LEGO version of the Sagrada Familia in Barcelona was both unique to that location and a reason to visit!). And (not but), they also have built products and experiences that recognize the generations of fans they have… from a fan standpoint you can find products you love if you are 9 years old or 99 years old. If you love princesses or intergalactic space travel. LEGO provides products and experiences that showcase they both know their consumer and also know what drives their business. From an outsider’s point-of-view, it’s a win-win.
But I think there are also examples of consumer centricity that are not always obvious in a customer-facing way. Sometimes not taking the wrong action is the right thing for the business and the right thing for the customer… but a customer doesn’t see it. When I was working at General Mills we heard from our customers that a Progresso-branded frozen soup product was good in theory but not in practice. Based on consumer input, the team decided not to launch it. Most consumers will never know that they were in the minds of the product team, but this decision allowed the food scientists and brand marketers to focus on a product that would be meaningful to consumers. Hidden from sight, but also a choice that balanced the desires of consumers with the needs of the business.
Both cases reflect consumer-centric decision making and should be celebrated, repeated and copied!
One of my favorite books for new executives is Michael Watkins The First 90 Days. What should a new insights lead do in the first 30, 60 and 90 days managing an insights function?
Elizabeth: I, too, am a huge fan of this book! I came to know it because the first person to hire me into a management role gave me an audio copy on CDs. I listened to and from work during my first 90 days in management. But back to the question…
In the first 30 days, the focus of an Insights leader either new to role or building the function should be about understanding the business and context. Asking questions about how decisions are made within the business will be important for understanding how to impact those decisions in the future. And, knowing the category, competitive set, consumer and culture surrounding your business will create a foundation from which to drive impact.
Within the first 60 days, the development of partnerships will be absolutely key. Insights teams are not impactful in a vacuum: action requires alignment with partners. Creating strong relationships sets the stage for communication, dialogue, and most significantly, trust. Trust is critical for insights being used because Insights professionals often have to challenge the status quo or recommend change.
The 90 day mark should come with the mark of a vision. Having a vision provides direction – a clear, well-defined path forward. A good vision drives aspiration for members of the Insights team to have more impact and play an important role in the business. A good vision also elevates the insights function for those outside of the direct team. It can be a process to define and refine a vision, so start earlier than day 60. But plan to have a first, ready-to-share draft by day 90.
Beyond 90 days Insights professionals can continue to build their personal skillset and the talent among their teams by leveraging nine core skills needed for Insights professionals. (Can I shamelessly plug Chapter 4 of my new book? 😊) These nine skills are important whether you are early in your career, looking to get to the next level, training others or recruiting to grow your team. The first 90 days are a critical springboard to long-term success. And (not but), learning, success and personal growth must continue throughout your tenure and career.
We often work with advertising and media agencies of all sizes and shapes. Should these service organizations have insight departments?
Elizabeth: Is this a trick question, Steve? Ha ha ha. I laugh because I want to say “100%, absolutely!” but the real answer is more complicated.
The real truth is that everyone, no matter their role (including agency-side or client-side), needs to have access to consumer insights. Access is the first step, and often a dedicated team focused on collecting and distilling insights can ensure that happens. However, access, alone, can leave holders of the information saying things like “wow that is really interesting.” If you know me, you know that interesting is the one word that makes me cringe. Teams, organizations and individuals all have responsibility to act based on the insights – that’s what makes an organization truly consumer-centric. So beyond access, the desire and ability to act is truly the difference maker. Insights teams can ‘own’ pushing action. They can serve as an unbiased third-party that balances the needs of the business with the needs of the customer. Insights teams are often the best at navigating that balance – and thus why having a team dedicated is beneficial.
So to answer your question, a team dedicated to and specialized in insights can be a meaningful investment for agencies and client-side teams alike.
Would your recommendations for these agencies be any different than those for a client-side company?
Elizabeth: Agencies have both the benefit and burden of being one step away from the business: they are asked to impact the business without taking ownership. That delicate balance means that understanding consumers is even more important. Thus, my recommendation for agencies is to double-down on insights in order to influence their partners to make consumer-centric choices.
But of course that comes with a nuance. If your client-side team has an insights function, work closely with them. Lean in to what they know – client-side Insights teams balance the needs of the business and the needs of the customer every day. They are squarely focused on it. Leaning in is a chance to move faster and save money because you don’t have to rediscover insights. And (not but), the best agencies can also help client-side team insights functions. Agencies often benefit from unique data sources and unfiltered points of view. Therefore, the best, most impactful scenario is the two working together in harmony to go further, faster.
New CMOs are appointed every day. What advice would you give to a new CMO about the need for an insights function? How should they get started?
Elizabeth: A highly functioning, trusted Insights team will be a new CMO’s best friend. As a new CMO, ask your Insights team the following questions:
– Who is the customer of our business? (demographically AND psychographically) How is our customer the same or different than consumers in the category, in total?
– What makes our customers choose us? What makes consumers in the category choose our competitors?
– Why do our customers care about our category? Why do they care about our business?
– And importantly(!!), can you take me in the field to meet our customers? Can you help me see our business through our customers’ eyes? CMOs need to build empathy for their customers. They are making choices to benefit their customers, not themselves.
Once these foundational questions are addressed, you need to pair business strategy with the consumer insights needed to push (or challenge) that strategy. What actions do you want to take and what knowledge gaps do you have in order to make consumer-centric choices regarding those actions?
Work with your Insights team to create an insights plan to impact your choices. You won’t regret it. I promise.
What should an insight professional read?
Elizabeth: Yes to everything… a broad spectrum of industry reports, macroeconomic papers, the transcripts of their customer service calls/customer feedback surveys, my book (another shameless plug), the social feeds of their company and competitors, and more. There is no single source that will give an Insights professional everything they need. And because consumers are always changing, so are the sources of information. So, if you want to be the best Insights professional you can, read about your customer from all points of view (industry-level to individual-level). Listen to what they are telling you, directly, through 1:1 channels and also to what they are not telling by observing and building empathy.
Knowing what you know today, what advice would you give to 30-year old Elizabeth?
Elizabeth: 30-year old Elizabeth was talented and passionate. I hope she’s still part of me and my approach to tackling every day. She found a way to combine what she loved with a talent that she had. And I would tell anyone that if you can find that intersection, you’ll do great work at a job you love. But what would I tell her, specifically? I’d tell her that challenges will never go away. Challenges will keep coming at you, throughout your entire career. Don’t let those challenges deflate you – because every one will teach you how to better (better being more efficiently, more effectively and in a way that you can develop yourself and your team) approach the next. If you let them, challenges can be a gift.
Elizabeth Oates is a 20-year insights veteran who has proven experience building insights functions to drive business impact. She’s created consumer centricity centers of excellence, dramatically grown topline revenue for multi-billion-dollar retailers, driven innovation for products and experiences and redefined the strategic roles of consumer-based functions to maximize impact. Her experience includes important roles at Ulta Beauty, General Mills, Kohl’s Department Stores and American Family Insurance. Oates serves as a thought-leader for future-proofing the enterprise and the industry, recently penning a book titled “More Than Just Interesting: How to Build an Insights Function for Impact”. She is a two-time Boston Marathon qualifier, ultramarathoner and St. Jude Children’s Research Hospital Hero.
Steve Boehler, founder, and partner at Mercer Island Group has led consulting teams on behalf of clients as diverse as Ulta Beauty, Microsoft, UScellular, Nintendo, Kaiser Permanente, Holland America Line, Stop & Shop, Qualcomm, Brooks Running, and numerous others. He founded MIG after serving as a division president in a Fortune 100 when he was only 32. Earlier in his career, Steve Boehler cut his teeth with a decade in Brand Management at Procter & Gamble, leading brands like Tide, Pringles, and Jif.
