Thursday, June 19, 2008

Have you been to Costco lately?

I think all marketers or researchers of consumer goods should be required to visit Costco (or Sam’s or BJ’s Club Stores) at least once a quarter. It is a fascinating place to do observational research. If you are interested in a particular product category, and just hang out in that aisle a while, you can learn a lot. The more expensive the item, the more you can learn.

Last night, I was in the small appliance aisle, where they had two different power toothbrushes for sale: Sonicare and Oral-B. This is actually a bonus for a researcher, because Costco typically only carries one brand of an item. Here I got to see real consumers making side-by-side comparisons. In a short amount of time, I observed a handful of purchases. The first thing I noticed is that this type of purchase is usually a dual decision. It was almost always a couple making the decision. Somewhat eavesdropping on their conversations, I was learning a lot. They were discussing the pros and cons of both brands. And a pro to one, was a con to the other. It was also clear that many of them had already researched the category, but had opted to come to Costco to make the actual purchase.

Now I know this is not a representative sample, and it is only observational data. But, if I was writing a survey on power toothbrushes, what I learned at Costco last night would have helped me craft a much better survey.

3 comments:

Gregory Kohs said...

Ken, as a fellow marketing researcher, you wouldn't want to watch my wife and I at BJ's with our daughter.

We get the exact same items every time we go there -- grapefruit, bananas, toilet paper, cereal, paper towels, and a few others.

But all of our extra time is spent eyeballing the various big-ticket items that we fantasize about, but have no intention of actually purchasing -- the big-screen HD television, the mountain bikes, the backyard shed (even though we live in a townhouse with no outside property). We would cause quite a bit of confusion for an ethnographic researcher!

Welcome to the blog world. I'm trying to get my own blog "Inside Market Research" back on track, with at least a monthly post.

Gregory Kohs said...

Damn, that should have read "wife and me". I hate that you can't edit your own comments on Blogger.

Ken Roberts said...

Hi Gregory,

Thanks for your note. I am sure there are many dreamers shopping at the club stores. The people I was observing actually made a purchase (or at least put the item in their cart). I should probably add "apparent purchase" as part of the criteria for this observational research.

Ken