New From NPD
High Definition Video Player Report Series - two new reportsMarket HD video players and HD video content more effectively to consumers who may be confused by the competing HD-DVD and Blu-Ray formats. These two reports — the Device Awareness, Purchase Intent, & Penetration Report and the Device Ownership
and Usage Report — provide critical details about what's happening in the market. MORE
Kids and Consumer Electronics Europe - New consumer perspectiveGet the most comprehensive consumer information about how consumer electronics are penetrating the lives of kids in the U.K., France, and Germany. This report delivers the detail companies need to understand ownership, penetration, and usage of CE products by children ages four to 14. MORE
Automotive Hard Parts Consumer StudyWhich parts are being purchased? How does retail service affect purchasing decisions? How are parts installed? NPD went straight to consumers to explore hard parts purchasing behavior. Equipped with this report hard parts installers, manufacturers, and retailers can get a clear view of the consumer and strengthen their marketing efforts. MORE
Grilling in AmericaThis exclusive report delivers new insight into American consumers' grilling habits. Based on data from an array of NPD information products, it details grilling behavior, including the foods grilled, how grilled foods are prepared, and what other foods are consumed at meals featuring grilled foods. MORE
Next-generation system wars - competition is heating up!With all the new gaming systems vying for consumer attention, the next-generation console- and portable-system wars are underway
. . . and competition is heating up. The Next Generation System Functionality & Usage Report identifies the early adopters and those who will be next in line to purchase these new systems, delving deep into consumer attitudes and behavior and exploring purchase intent. MORE
Insights Mission
HomeAsk The Researchers
Have a question about NPD’s research methods? Let us know. Send a question to your NPD account representative, or directly to our Chief Research Officer, Steve Coffey, at steve_coffey@npd.com. We’ll get back to you straight away – and you may see your question in a future Research Edition of NPD Insights.
For this edition, we surveyed some of the research scientists across NPD for the questions they address most frequently.
Question: Why does NPD calibrate consumer data? Why isn't the data closer to "reality" without being calibrated?
Answer: Many, but not all, of NPD’s consumer databases benefit from calibration. Calibration is the process by which we systematically adjust the consumer-derived market and brand size estimates based on actual point-of-sale data that we receive from retail partners. Since consumer recall is by its nature imperfect, we adjust the consumer estimates to match the point-of-sale data each month wherever we can, to ensure that we are delivering the most accurate view of the marketplace possible.
Question: Why do you do "upgrades"?
Answer: We constantly work to provide the most accurate and trendable data possible in order to give our clients the best-available view of the marketplace. As part of this continuous effort, we have formally adopted a policy of periodic data upgrades. These upgrades allow us to systematically address marketplace or methodology changes, ensuring that clients have the best information at hand when making critical business decisions. Some examples of events that may trigger an upgrade include:
- Additions to the sample of POS retail partners
- Improvements in research methodology (i.e., projection system enhancements)
- Changes to the definition of channels/addition of channels
By incorporating these changes in a planned and careful manner, the stability and reliability of our market information is not compromised and our clients can more proactively manage their use of the information. It is, of course, a trade off – we understand that changes to the data may require adjustments to our clients’ internal reporting documents. But NPD's position is that we are committed to ensuring that our clients continuously receive the best possible estimates that we are able to provide.
Our commitment to our clients is to communicate upgrade plans as early as possible and identify key changes to the data prior to the upgrade’s release. We are also committed to working with our clients to disseminate information about the possible impact and implications of the changes throughout their organizations.
Question: Your POS data does not match my internal data. Why?
Answer: Several conditions may result in NPD’s POS databases not matching other frequently used databases. More often than not, this is a function of differences in the definitions of what is included, how data is classified, and estimation techniques.
- The defined retail universe must be aligned. Most of NPD’s POS databases are built to represent sales from a precisely defined channel. Department stores, the mass channel, and electronics superstores are examples of channels. A common definition of the channel is essential if alignment is to be expected.
- While the retailer participation rates within the NPD channels are typically very high, NPD makes estimates or projections to cover non-participating retailers within the defined channels. If another data source is being compared to NPD’s POS data, and if it has the same channel definition, differences in projection techniques or even the amount of projection will result in overall differences.
- The category definition may be different. NPD has developed product hierarchies and category definitions over the years that have evolved with inputs from manufacturers and retailers. What is included or excluded from a defined category may be different across data sources.
- NPD classifies POS data received from retailers at an item level, assigning brand, feature, and category characteristics. A client’s internal database may utilize a different reporting format and classify items differently.