Asia Research Email Newsletter June 2014 | Page 2

COVER STORY But while Singapore has done well to attract multinationals to establish their centres of excellence (including research) to Singapore, the supply side of research has grown a lot faster than the demand side. Some feel that the industry will not be able to support so many players, but just like other industries, the market research business will always find a way of “sorting itself out”. Nehal Medh, the Managing Director of the custom research division of GfK, comments, “some agencies will exit, close down, or merge with others, but we will continue to see the fresh entry of more boutiques. The real challenge is for existing businesses to understand these ‘shifting sands’ and re-position themselves sharply for sustained business viability.” Competition is certainly keeping the supply side on its toes. Jon Foged, Managing Director of TNS Singapore, comments, “the ecosystem (of market research) now consists of the big agencies, management consultancies, online panel providers, and the client’s internal teams. In such an environment, agencies need to sharpen their focus more than ever to support the client’s business decision-making.” While boutique research firms have been increasing their market share, some feel that they will not be able to meet the challenge of scalability that regional clients in Singapore will need. Nehal Medh from GfK comments, “without an international network and the vagaries of fieldwork quality in offline markets, they (the boutiques) may run the risk of being marginalised.” Paula Kant, CEO of Insight Asia, expects more agencies to come to Singapore, but argues that boutique agencies can flourish by either tapping into the resources of third-party suppliers or by developing their own network. Indeed, even the larger agencies are increasingly using third parties for data collection. Paula argues, “the success factor will be real insights – what keeps a client happy and keeps them coming back are insights and original thinking.” The level of competition and the choice s the clients now have has put pressure on margins, but the extent to which the Singapore market is “price driven” has been hotly debated over the years. While some sectors (e.g. Government and fieldwork services) are often very price-driven, there are many areas for research companies to find points of differentiation. Some of this has been in the form of product innovation and the development of proprietary research solutions, but many of the industry players agree that customisation is very important in adding value. Jon Foged from TNS Singapore comments, “our business solutions have been developed and refined by some of the gurus in the industry and proven by thousands of studies all over the world. They are the foundation of our expertise and the basis from which we develop customised approaches tailored to client needs.” Nehal Medh from GfK also feels that customisation is key: “black box solutions are not the answer, but instead the solution is in (analytical) frameworks. No single technique is capable of solving the increasingly complex reality of today’s markets”. Paula Kant from Insight Asia adds, “the tools can never replace the thinking. The tools facilitate and support the thinking, (combined with) the passionate and creative approach to research.” Opportunities in Jakarta, Indonesia with BDRC Asia Time for change! Director / Associate Director (Qualitative): Project Managers : At least 8 years qualitative research experience Local researchers with 2-5 years of (including focus group moderation), Bahasa Indonesia qualitative or quantitative agency side speaker (local), track record of key account development research experience With an annual revenue of over USD 40 million, the BDRC Group is the UK’s largest independently owned market research consultancy with offices in London, Singapore, Jakarta, Beijing, and Sydney A winner of many industry awards (including for Employee Benefits), BDRC excels in providing client organisations innovative research solutions based on a thorough understanding of their business and marketing issues. With access to a range of proprietary research solutions and a dedicated team of enthusiastic researchers, the BDRC Group makes a real difference to client’s marketing strategies and business development To apply for the exciting opportunities in Jakarta, please contact in strict confidence: Piers Lee, Managing Director, BDRC Asia Email: [email protected] 2 ASIA RESEARCH | JUNE 2014 www.asia-research.net