Everything you need to know about Restech! (Research Technology)
Businesses need to understand their consumers. However, navigating customer information in today’s digital world is challenging. Various technologies have emerged to manage the growing customer data, and ResTech, short for research technologies, is the next step.
What Is ResTech? ResTech is a collective term for tools that help businesses target, find, and understand essential consumer data to develop effective strategies. Given the increasing online interactions with brands, ResTech can take many forms, from AB Testing & Optimization to Social Media Listening and Analytics, enabling businesses to gather detailed customer insights.
Traditional Research vs. ResTech Traditional research methods often lack technological reach and are limited in scope. Businesses typically gather consumer opinions through direct contacts, such as surveys, interviews, focus groups, or polls, relying on customers’ willingness to share information.
ResTech, however, captures the constant interactions or reactions consumers have with brands. It collects and organizes this data, providing businesses with actionable insights.
In 2022, a successful business strategy requires both traditional research methods and ResTech. Recognizing this, many traditional research companies are merging with ResTech businesses. For example, Talkwalker acquired Nielsen Social, Ipsos acquired Synthesio, and Brandwatch acquired Qriously. Combining conventional methods with innovative approaches helps create the optimal solution.
Reliability Traditional research can be disruptive, often making customers hyperaware and leading to unreliable data. ResTech, by contrast, observes customers in their natural online environments, gathering more authentic and reliable data.
Timing Traditional research is usually conducted after customer interactions, relying on retrospective feedback. This can lead to inaccuracies due to memory lapses. ResTech, by monitoring behavior throughout the customer journey, provides a comprehensive data set, showing how opinions and actions evolve.
Originality Traditional research methods, like surveys and polls, limit innovation as they restrict customer feedback to specific questions. ResTech, on the other hand, collects diverse data, allowing brands to identify areas for improvement and innovation.
ResTech Landscape The ResTech landscape is diverse, with various methods to acquire and interpret data. It is divided into four major categories:
- Market Research Agencies & Consultancies: These are often outsourced by companies for broader insights and guidance. MRAs use in-house teams to create customized tools and collect data, while consulting firms utilize various agencies to oversee data collection.
- Market Research Platforms: These tools gather information about consumer behavior. Full Stack Survey Platforms and Agile Research platforms help design and implement surveys, providing quick insights. Specific CX, UX, and Employee Experience platforms analyze interactions to identify strong and weak points.
- Analytics & Visualization: These tools identify and present key points for businesses. Text Analytics and Social Media Listening convert interactions into quantitative data. Sentiment Analysis and Content Categorization evaluate qualitative information, while Dashboard and Visualization platforms display data clearly.
- Sample & Fielding: These platforms help find and manage research audiences. Global and Regional Audience platforms provide broad or specialized data. Market Makers and DMP/Identity platforms optimize research resources and objectives.
A Holistic View Traditional methods are not obsolete but should be integrated with ResTech. As businesses transform their strategies to include online presence, combining traditional research with ResTech provides a more transparent and valuable customer profile.
Future of ResTech The future of ResTech is promising. It addresses the increasing volume of customer data, accelerated by the Covid-19 pandemic, where online interactions surged. While traditional research struggles to keep pace, ResTech continues to innovate, helping businesses thrive with big data.