Insight

With insight We are referring to a deep and clear understanding of a situation, behaviour or problem that is not immediately obvious and which may reveal significant patterns, trends or relationships of interest. These are essential as they enable us to make more strategic decisions by providing us with….

Marketing insights

Behaviour, needs and motivation are the key areas of interest in marketing when it comes to consumers. Insights in this area help to develop more effective strategies by taking these factors into account.

All this data may come from sources such as market research, sales analysis, customer feedback and market trends.

The relationship between data and insights

Data can tell us that one product sells better than another, or in which month sales are lower, but it cannot, in itself, provide an explanation. To do so, we need a relevant analysis to transform this data into useful knowledge – insights.

Types of insights:

• Descriptions: are based on the analysis of historical data to to describe what has happened.

For example, a descriptive analysis may show that sales increased by 20% during a specific advertising campaign.

• Diagnostics: They go a step further than descriptive texts by exploring the causes behind the data.

Using the previous example, a diagnostic insight might reveal that the 20% increase in sales was due to precise segmentation of the target audience and to a claim which resonated with their needs.

• Prescriptive: they recommend shares specific measures based on the data and analyses carried out.

For example, once it has been established that a campaign was successful, a prescriptive insight might suggest launching a similar campaign in other geographical regions to replicate that success.

• Predictive: they use statistical models and algorithms to to anticipate future trends and behaviours.

A predictive insight could forecast that sales of a product will increase during a specific season, based on historical patterns and current market factors.

Assessing the usefulness of an insight

To determine whether an insight is useful, several key criteria must be met:

• Relevance: It must be direct applicable to the specific problem or situation. A relevant insight addresses the business’s needs and can be translated into practical actions.

• Accuracy: It must be based on accurate and reliable data. Accurate insights come from analysis rigorous and of high quality.

• Enforceability: You must provide a clear guidance on what steps to take. An actionable insight offers specific and practical recommendations.

• Impact: It must have the potential to generate a positive impact significant within the organisation. A high-impact insight can lead to notable improvements in operational efficiency, marketing performance or customer satisfaction.

• Temporality: It must be timely and relevant at the time of its implementation. Timely insights enable organisations to respond quickly to market trends and changes.

An example of when an insight is not useful, as opposed to when it is.

We have chosen the criterion of temporality to illustrate this.

In light of the insight: «Coat sales rise significantly in the north-eastern United States between October and December.»

An early roll-out would be beneficial (implementing in October, as this would make the most of the period of high demand) compared with a late roll-out (implementing in December, by which time the benefit would have been lost).