1. Reducing Risk - Putting Market Research to Work Julie Luers, FSMPS Director of Marketing HGA Architects & Engineers

2. Goals for Today  An overview on the basics -- types and applications of market research  Provide helpful resources  Give YOU the opportunity to see first-hand the power of research

3. What is Market Research?  The process of using data to link the customer to the marketer.  Information that is used to identify and define marketing opportunities and problems.  Market research will reduce, not eliminate risk in decision making.

4. Why Conduct Market Research? It’s good business: –Financially  New business costs between 10-20% of initial fee  Repeat business costs between 1.5- 2.5% of project fee  Firms that use research grow 3 to 10 times faster and are up to 2 times more profitable. –Competitively  41% research potential clients  38% research competition & business leads  28% research emerging markets and new market positions

5. Types of Research  Macro vs. Micro –International or National markets vs. local markets –Industries vs. targeted clients  Long-term vs. immediate –Strategic planning vs. proposal information

6. Types of Research  Primary research: data you gather specifically to respond to your information needs.  Secondary research: data that has been gathered for another purpose, but is applicable to your needs.

7. Research Methodologies  Primary data collection methodologies –Telephone –Mail –E-mail –Personal Interview –Focus Groups  Secondary data collection methodologies –Literature search –Internet search

8. How Do You Use Research?  Strategic market analysis and trends  Firm positioning and perception –Brand awareness –Competitor analysis  Prospecting  Client Satisfaction

9. How to Use Research  Strategic Market Analysis and Trends –General state of the economy –Legislation pending that will affect your market –Current trends –Demand and future demand (service or facility type) based on demographics, financing

10. How to Use Research  Firm positioning, brand awareness –Primary research  Phone interviews with past, current and prospective clients  Debrief with clients, following up after submitting proposals –Secondary research  Industry trends; compare what you’re doing with published articles on industry trends. Are you keeping up?

11. How to Use Research  Competitor Analysis –Primary research  Debrief clients following proposals  Talk w/ colleagues –Secondary research  Competitor’s web sites  Read press releases and articles published by competition

12. Research Data Sources  Primary data sources: –Interview current or prospective clients –Proprietary surveys –Observation  Secondary data sources: –Professional/Trade Organizations –Market Forecasts –E.D. Agencies –Government Agencies –Social Media

13. Research Data Sources  Information sources have not changed; the access to the information has...  Technology has created access to information to the point of overload  Web based searches do not necessarily save you time, and the source of information may not necessarily be credible or current - know your source

14. How to Use Research  Prospecting and client analysis  New clients  Existing clients

15. Research Resources  Strategic Analysis and Market Trends  www.mckinsey.com/insights www.mckinsey.com/insights  www.forbes.com/cmo-network www.forbes.com/cmo-network  www.census.gov www.census.gov –Public Libraries  www.nypl.org/research (New York City Public Library) www.nypl.org/research  www.jjhill.org (James J. Hill Library, Saint Paul, MN) www.jjhill.org

16. Research Resources  Strategic Market Analysis and Trends –Higher Education: Society for College & University Planners - www.scup.orgwww.scup.org –K-12 & Post-secondary: American School & University magazine - www.asumag.comwww.asumag.com –Healthcare: Modern Healthcare magazine - www.modernhealthcare.com www.modernhealthcare.com –Corporate: CoreNet Global - www.corenetglobal.org www.corenetglobal.org

17. Research Resources  Strategic Market Analysis –Real Estate Advisory Firms  www.colliers.com www.colliers.com  www.joneslanglasalle.com www.joneslanglasalle.com  www.marcusmillichap.com www.marcusmillichap.com  www.cassidyturley.com www.cassidyturley.com  www.cbre.com www.cbre.com  www.cushmanwakefield.com www.cushmanwakefield.com

18. Research Resources  Geographic Expansion –www.citymayors.com (City Mayors)www.citymayors.com The largest US cities: Nine cities with more than one million people New York City and Los Angeles grow fastest By Tann vom Hove and Josh J Fecht Introduction to largest US citiesIntroduction to largest US cities | Largest US cities 1 to 100 | Largest US cities 101 to 200 | Fastest growing US cities | The fastest shrinking US cities | Historical ranking of America's largest cities | These are some of the results of the 2012 survey by the US Census Bureau. Largest US cities 1 to 100Largest US cities 101 to 200Fastest growing US citiesThe fastest shrinking US citiesHistorical ranking of America's largest cities

19. Research Resources Project Leads –Subscription databases such as the McGraw Hill network and Onvia  www.onvia.com www.onvia.com –Consultants, vendors, other partners –News / Google alerts –Your personal network

20. Research Resources  Client Satisfaction / Branding Studies –Pre/post proposal debrief meetings –Post occupancy evaluation surveys –Survey to clients, potential clients, vendors, strategic partners to measure brand perception and awareness

21. The Research Project  When can we do our own research? –Secondary research –Debriefing sessions with prospective or current clients  When do we need to work with an outside consultant? –Large scale perception and satisfaction studies –Studies where confidentiality is key

23. The Research Experience Let’s Try It: Over the next 20 minutes, you’ll use both primary and secondary resources to experience market research in action, studying and analyzing one of the following topics:  New market analysis  Positioning for the proposal

24. Assignment #1  Your firm has expertise in student housing market. Your Principals feel they can leverage this expertise in the condo / apartment market.  Assignment: Conduct a brief market analysis to support this move or show evidence that it may not be the best time to invest.

25. Assignment #2  You are submitting a proposal for the Regional Sports Stadium at the Rochester Community and Technical College  Assignment: Find information about the selection team – members are from RCTC, the City of Rochester, Lourdes High School, and the Rochester Amateur Sports Commission. What information about this team could be helpful in your proposal response?

26. Wrap Up  Were you able to see the potential value in the research?  What challenges did you encounter in this assignment other than the time constraint?  What great resources did you find that you intend to bookmark?

27. Q / A Thanks for your time and attention. If you have additional questions, I can be reached at Jluers@hga.com Jluers@hga.com