Transparency is dead. Long live transparency!

Editor’s Note: We seem to be developing a bit of an unofficial series here, or at least a theme, on the topic of the impact of new technology players in MR on some of the core value propositions of traditional research such as transparency, data quality, and business impact. Recent posts by Jeffrey Henning, Ray Poynter, Edward Appleton, Neal Cole, Reg Baker, and now today’s post by Jason Anderson are all part of a virtual dialogue on this issue that has taken shape here on GreenBook Blog.

Obviously this is an important topic and one that we’re just beginning to get a handle on, but the shape of the debate seems to be emerging. My take is that as non-traditional data sources continue to play a larger role in informing business decisions we’re rapidly moving towards a cusp about our identity as an industry related to pragmatism vs. values. The two don’t have to be mutually exclusive, but there certainly will be some trade-offs necessary to integrate the two. What seems guaranteed is that future success of the research industry will be dependent on finding a way to transition to a new business model that will reconcile these imperatives in the light of a new paradigm.

Here is Jason’s point of view on the issue. Enjoy!

By Jason Anderson

Reg Baker clarified some of his earlier musings on Reg’s Law this morning — in particular, he highlighted the cultural conflict between traditional market research methodologies and the Silicon Valley-style technology-driven competitive environment. Having worked in both, I felt these observations were spot on: traditional research is more closely aligned with academia, and technology companies are more aligned with the applied sciences. This should not be surprising.

The implications are more subtle, but rather significant:

• Competitive advantage in traditional research is driven by professional relationships, because there are no fundamentally large barriers to entry for new participants. There are no industry standard boards to conform with, no multi-million-dollar investments necessary to get started. Salesmanship is driven by the experience and quality of the people offering services.
• Competitive advantage in technology comes from establishing an official or de facto standard or platform. Establishing these platforms requires capital, relatively large engineering teams, and intellectual property protection.

Jumping forward 10 years: if you believe that technology companies will become major participants in the research economy, then you must also believe that transparency in how these companies do things will be much less than you are accustomed to.

Nowhere is this more obvious than comparing the conferences and trade shows that dominate each respective sector:

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