Driving Innovation: Lessons from Reckitt

In today's fast-evolving marketplace, innovation isn't just a buzzword; it's the cornerstone of staying relevant and competitive. For marketing research professionals, understanding the nuances of how innovation is identified, tested, and implemented can unlock untapped potential for delivering consumer-centric solutions. A recent conversation with Andrew Erlick, Scout and Scale Manager at Reckitt, and Gregg Archibald, a marketing research expert with Gen2 Advisors, sheds light on practical strategies and emerging tools that drive innovation in marketing and product development.

The Pillars of Innovation Data

Erlick highlights four critical data pillars that inform Reckitt’s approach to identifying innovative opportunities:

1. Behavioral Data Observing and measuring how consumers use products in real life. For example, Reckitt’s collaboration with Adrich allowed them to use sensor technology to measure things like product movement, usage amounts, and in-the-moment consumer interaction. This allows Reckitt to validate assumptions about product usage, such as how much toilet cleaner consumers actually use per application. These insights reveal discrepancies between recommended usage and real-world behavior, enabling adjustments to product design and marketing.

2. Innovation Perspective: Understanding the intellectual property (IP) landscape and the depth of R&D behind a product.

3. Commercial Perspective: Evaluating market size, growth potential, and sales performance using tools like Amazon and Nielsen analytics.

4. Social Media Listening and Online Reviews: Analyzing consumer conversations and feedback to gauge sentiment, identify trends, and uncover unmet needs.

By integrating these data points, Reckitt builds a comprehensive view of emerging opportunities, from small startups disrupting niche markets to innovations that align with existing corporate strategies.

Moving from Data to Action

Innovation isn't just about identifying trends; it’s about translating insights into actionable strategies. Behavioral data, in particular, plays a critical role in this process. For instance, understanding how and when consumers deviate from expected usage patterns helps identify pain points and opportunities for refinement. These findings are often validated through consumer testing to uncover deeper motivations and preferences.

This process exemplifies a balance between intuition honed through experience and data-backed decision-making. Erlick’s framework involves presenting a curated list of opportunities to executives quarterly, showcasing potential market fits based on robust consumer and commercial insights.

Collaboration Across Teams and Companies

Innovation thrives in a collaborative ecosystem. Erlick emphasizes the role of cross-functional collaboration between R&D, marketing research, and consumer insights teams. While R&D focuses on technical feasibility, marketing research provides the qualitative and quantitative data needed to understand consumer behavior and validate assumptions.

Behavioral data further bridges these efforts, offering a more dynamic and accurate representation of consumer interaction with products. By incorporating tools like Adrich’s sensors, Reckitt was able to test real-world usage scenarios, helping teams identify not just what consumers say they do, but what they actually do.

Piloting is the bridge between identifying an opportunity and proving its value. By starting small, validating assumptions in real-world scenarios, and adopting quickly, we can turn ideas into impactful solutions. A key element of my role focuses on creating collaboration opportunities between Reckitt and startups, combining the scale and resources of a large organization with the agility and creativity of entrepreneurial teams to fast-track innovation and deliver consumer-centric results.

Lessons for Marketing Research Professionals

For marketing research professionals, Reckitt’s approach offers valuable lessons:

1. Leverage Behavioral Insights: Real-world data on consumer behavior provides a ground truth that often differs from survey responses or stated preferences.

2. Adopt an Agile Mindset: Innovation often starts with small-scale pilot projects. Testing new ideas quickly and iterating based on consumer feedback can fast-track breakthroughs.

3. Think Beyond Competitors: While analyzing large competitors is important, focusing on smaller startups and niche players can uncover unique opportunities to fill gaps in the market.

4. Bridge Insights and Action: Collaboration between research, R&D, and marketing teams ensures that consumer insights are not only understood but acted upon effectively.

The Future of Innovation in Marketing Research

The conversation also highlights the growing importance of platforms like crowdfunding sites for validating consumer interest and gathering early-stage feedback. As Erlick notes, these platforms act as a proving ground for ideas, offering invaluable consumer insights before products even hit the market.

By adding behavioral data to the innovation process, marketing researchers gain an edge in understanding consumer habits, preferences, and challenges. This data-driven perspective enables companies to design products and experiences that resonate deeply with their audience.

As the landscape of consumer behavior continues to evolve, marketing researchers must adopt a proactive approach to innovation. By integrating diverse data sources, fostering cross-team collaboration, and staying attuned to emerging trends, marketing research professionals can not only keep pace but also lead the charge in delivering consumer-centric solutions.

Innovation isn’t a destination; it’s an ongoing journey. And for those willing to embrace it, the rewards are transformative.