Burtch. Salaries for Marketing Research Professionals October 2013

The Burtch Works Study Salaries for Marketing Research Professionals October 2013 Burtch Works Executive Recruiting Linda Burtch, Managing Director Karla Ahern & Naomi Keller, Executive Recruiters

TABLE OF CONTENTS Section 1: Introduction... 3 Study Objective... 4 About Burtch Works... 4 Why the Burtch Works Study is Unprecedented... 5 Section 2: Study Design... 6 The Sample... 7 Identifying Marketing Research Professionals... 7 Completeness and Age of Data... 7 Segmentations of Marketing Research Professionals... 8 Section 3: Marketing Research Professionals: Who They Are... 11 Overview... 12 Years of Experience of Marketing Research Professionals... 13 Education of Marketing Research Professionals... 14 Gender of Marketing Research Professionals... 15 Section 4: Marketing Research Professionals: What They Earn... 16 Overview... 17 Compensation by Job Level... 18 Compensation by Education... 20 Compensation by Region... 23 Compensation by Industry... 26 Section 5: Special Report: Salary Increases of Marketing Research Professionals.. 30 Overview... 31 Base Salary Change by Job Level... 32 Section 6: Summary... 33 Summary of Key Findings... 34 Section 7: Appendix... 35 Glossary of Terms... 36 Burtch Works Executive Recruiting, 1560 Sherman Avenue, Suite 1005, Evanston, IL 60201 Contact: 847-440-8555 www.burtchworks.com info@burtchworks.com Social Media: www.linkedin.com/company/burtch-works www.twitter.com/burtchworks www.facebook.com/burtchworks www.lindaburtch.blogspot.com Survey design consulting services provided by: Fred Crandall, Ph.D., Managing Director, Eastwood Group Partners, Ltd. 2013, Burtch Works LLC. Unauthorized reproduction is strictly prohibited. Opinions reflect judgment at time of publication and are subject to change. 2013, Burtch Works LLC, Reproduction Prohibited THE BURTCH WORKS STUDY 2

Section 1 INTRODUCTION 2013, Burtch Works LLC, Reproduction Prohibited THE BURTCH WORKS STUDY 3

Study Objective The purpose of this report is to provide up-to-date information on the compensation of Marketing Research professionals. Marketing Research professionals are individuals who conduct either primary or secondary research to better understand consumer and/or business needs. Individuals who work within this industry are typically employed in one of three types of companies: supplier/vendor; client-side; or advertising agencies. Although there have been reports that provide salary information, Burtch Works takes advantage of the up-to-date data it has for 1,916 Marketing Research professionals in the U.S. to report who they are, how much they earn, and how their pay varies with years of experience, education, geography, and industry. About Burtch Works Burtch Works Executive Recruiting is a team of recruiters with decades of experience placing quantitative and Marketing Research professionals. They have relationships with thousands of professionals and with hundreds of companies that employ them to develop consumer and shopper insights. Burtch Works is therefore able to provide unparalleled insight into the hiring and compensation of Marketing Research professionals. Linda Burtch, the Managing Director of Burtch Works, has 30 years of experience recruiting in quantitative marketing and knows the space and the talent thoroughly. Linda has been a member of the Board of Directors of the Chicago Chapter of the American Statistical Association and recently finished a term as the Board s President. She has also been a frequent speaker on analytics and Marketing Research career topics at luncheons, conferences, corporate gatherings and webinars, and her recently published Burtch Works Study on compensation of Big Data professionals has been cited widely. Linda has maintained a blog for many years, writing on topics of importance to the analytics community, in addition to maintaining a strong social network presence to share what she learns from leaders in this community. Naomi Keller and Karla Ahern are the leaders of Burtch Works Marketing Research practice. Both recruiters have firsthand experience in the Marketing Research industry. Ms. Keller started her career running a research lab at Georgetown University examining the intersection of adolescent development and the juvenile justice system, and related policies. She went on to hold various roles within Marketing Research. At Ipsos, she focused on global brand and advertising research for Fortune 100 companies, and at Knowledge Networks, she contributed to government, academic, and corporate research projects. Most recently, Ms. Keller was an Associate Vice President of Business Development at Knowledge Networks, now owned by GfK. Ms. Ahern started her career on-site at Quaker as a project manager for IRI. She then moved to Knowledge Networks, where she focused on a number of custom research initiatives spanning media, CPG, and pharmaceuticals. After the firm s acquisition of Dimestore Media, Ms. Ahern led business development of their digital media ad effectiveness practice in the Midwest. Immediately before joining Burtch Works, she was an Account Executive with Kinetic Social selling mobile, social, and display properties into advertising agencies. Keller and Ahern are published monthly as guest columnists for the American Marketing Association s Marketing News, discussing topics related to recruiting and retaining Marketing Research talent, and offering career advice for Marketing Researchers. 2013, Burtch Works LLC, Reproduction Prohibited THE BURTCH WORKS STUDY 4

The Burtch Works staff have relationships with almost 8,000 Marketing Research professionals, many of whom Burtch Works has kept in close touch throughout their careers often beginning when they completed college. Burtch Works staff maintain this regular contact by phone, e-mail and networking events. In this way, Burtch Works has compiled extensive information about professionals compensation and the factors that influence it, such as their education, years of experience and industry of employment. Why the Burtch Works Study is Unprecedented The Burtch Works Study is different from any other compensation survey because: This study focuses solely on the compensation of Marketing Research professionals, and the results are not confounded with trends in the compensation of other professionals, such as those in marketing or business analytics. Burtch Works assiduously excluded data about the compensation of these other professionals from the data used to derive the results reported here. Burtch Works data comes from speaking with Marketing Research professionals about their current jobs. This approach differs from the traditional approach used for salary surveys, which is to obtain compensation data from human resources departments, which often provide salary band data. Moreover, job titles of Marketing Research professionals are sometimes ambiguous and vary across firms, so that HR departments sometimes do not provide salary data for the correct jobs. Another important advantage of the data collection process used by Burtch Works staff is that they are able to obtain information not often provided by human resources departments but which influences compensation, such as education and geography. Finally, because of their knowledge of the Marketing Research profession, recruiters are able to recognize implausible information and then to obtain corrections or clarifications. Burtch Works shows how compensation varies by region, industry, and education. Burtch Works developed a categorization of jobs based on years of experience and employer type (client or supplier side) and then assigned each professional to one of these job levels. This is typically done for compensation surveys. However, because Burtch Works has data for so many Marketing Research professionals, there are many in each job level, and it can show how compensation varies by region, industry, and education for each job level. The 8,000 Marketing Research professionals with whom Burtch Works has relationships work at more than 550 firms that include large multinational corporations, start-ups, management consulting firms, advertising agencies, niche quantitative firms, and research organizations. Burtch Works communicates with the hiring managers and human resources specialists of these companies who are staffing Marketing Research positions, staying abreast of job requirements and hiring practices. 2013, Burtch Works LLC, Reproduction Prohibited THE BURTCH WORKS STUDY 5

Section 2 STUDY DESIGN 2013, Burtch Works LLC, Reproduction Prohibited THE BURTCH WORKS STUDY 6

The Sample The sample consists of 1,916 of the nearly 8,000 Marketing Research professionals with whom Burtch Works has relationships. All of these 1,916 professionals have the education, skills and job responsibilities typical of Marketing Research professionals. Additionally, for each one, Burtch Works has complete data about compensation and also about attributes of the job and professional on which compensation depends. Finally, for each professional in the sample, the data available were obtained in a conversation that occurred no more than 31 months ago. Identifying Marketing Research Professionals Burtch Works looked at the job responsibilities, education, and functional area or specialty of quantitative and qualitative professionals to identify those who are Marketing Research professionals. To be classified as a Marketing Research professional, one s job responsibilities must require involvement in conducting primary or secondary research to identify consumer or business preferences or needs. In primary research, individuals work on consumer and/or shopper surveys to better understand the groups needs and motives. This may cover anything from upstream white space marketplace analysis and segmentations, to downstream ad or brand tracking and shelfspace design. In secondary research, individuals often work with syndicated data sources. Within this sample, individuals work on the supplier/vendor side, client/corporate side or at an advertising agency. Professionals within Marketing Research may or may not have an advanced degree. Typical advanced degrees include M.B.A s or M.M.R s (Master s in Marketing Research). Marketing Research professionals also may have Ph.D. s in the social sciences such as Psychology, Sociology, or perhaps Political Science. Burtch Works speaks with professionals in a variety of functional areas and specialties. The Marketing Research professionals generally fall into several areas of qualitative and quantitative research including consumer insights, category management, media/audience research, shopper insights, and syndicated data. An individual may fall into one or more of the aforementioned areas. For this study, individuals with deep analytical skills such as marketing scientists, or expertise in analytics management or business intelligence were excluded, because these are not skill sets of traditional Marketing Researchers. Completeness and Age of Data Burtch Works included a professional in the sample only if it had complete data for the professional. This includes compensation data base salary, bonus eligibility and last bonus received -- but also knowledge of a professional s years of experience, region of the U.S. where the professional lives, industry of employment, education, and gender. Burtch Works required all of these data so that it can describe the current population of Marketing Research professionals and show how their compensation varies with their attributes and those of their jobs. 2013, Burtch Works LLC, Reproduction Prohibited THE BURTCH WORKS STUDY 7

Additionally, Burtch Works included a professional in the sample only if the data available was obtained in the last 31 months, which is typical of compensation surveys. Each of the 1,916 professionals in the sample spoke with a Burtch Works recruiter during the 31 months ending July, 2013, many within the last year. These conversations were a result of executing searches for clients. Segmentations of Marketing Research Professionals Burtch Works segmented Marketing Research professionals to investigate how their compensation varies with demographic attributes and job characteristics. Some of these segmentations are straightforward, such as segmentations by education, region, and industry of employment. However, Burtch Works also divided the professionals into eight categories based on the type of organization employing the professional and the professional s years of experience. Job titles below are simply examples of common titles, and can vary greatly by organization, particularly among suppliers. Figure 1. Definition of Supplier Side Job Levels Supplier Side Level Level 1 Level 2 Level 3 Typical Job Title Research Analyst Research or Project Manager Project Director Senior Research Manager Senior Research or Project Director Account Manager or Executive Senior Director Associate Vice President Vice President Group Director Figure 2. Definition of Client Side Job Levels Client Side Level Level 1 Level 2 Level 3 Level 4 Level 5 Typical Job Title Analyst Senior Analyst Associate Manager Manager Consultant Senior Manager Senior Consultant Associate Director Director Senior Director Vice President Typical Years of Experience 0-4 years 4-9 years 10+ years Typical Years of Experience 0-4 years 5-8 years 9-14 years 15-24 years 25+ years 2013, Burtch Works LLC, Reproduction Prohibited THE BURTCH WORKS STUDY 8

Burtch Works divided the U.S. into these five regions: Northeast Southeast Midwest Mountain West Coast These regions are defined as Figure 3 shows below: Figure 3. U.S. Geographic Regions WEST COAST NORTHEAST MOUNTAIN MIDWEST SOUTHEAST Note: The Northeast included areas of Virginia within 50 miles of Washington, DC, and the Midwest included areas of Pennsylvania within 75 miles of Pittsburgh. 2013, Burtch Works LLC, Reproduction Prohibited THE BURTCH WORKS STUDY 9

The firms for which professionals work were divided into these ten industries: Consumer Packaged Goods Retail Financial Services Healthcare/Pharmaceuticals Technology/Telecommunications Media/Entertainment Advertising & Marketing Services Consulting Marketing Research Supplier Other (e.g. hospitality, industrial) Finally, each professional was in one of these five education categories: No college degree Bachelor s degree Master s degree M.B.A. Ph.D. 2013, Burtch Works LLC, Reproduction Prohibited THE BURTCH WORKS STUDY 10

Section 3 MARKETING RESEARCH PROFESSIONALS: WHO THEY ARE 2013, Burtch Works LLC, Reproduction Prohibited THE BURTCH WORKS STUDY 11

Overview Marketing Research professionals are young. Seven out of ten of them have no more than 15 years of experience. Marketing Research professionals are nearly evenly split between male and female; 47% are female. Nearly all Marketing Research professionals have a Bachelor s degree. 56% also hold a Master s degree or Ph.D. 2013, Burtch Works LLC, Reproduction Prohibited THE BURTCH WORKS STUDY 12

Number of Professionals Years of Experience of Marketing Research Professionals Most Marketing Research professionals are young: the median years of experience is 11. Seven out of ten Marketing Research professionals have no more than 15 years of experience. There are several reasons for these results: Marketing Research is a growing field and has been frequently quoted as one of the best or fastest growing positions in the U.S. 1 As professionals progress through their careers and develop skills, they may make choices that remove them from the Marketing Research profession (e.g. into brand marketing, strategy, or finance), in addition to the natural attrition of the workforce overall. Figure 4. Marketing Research Professionals by Years of Experience 600 500 400 Median: 11 years Mean: 12.5 years 300 200 100 0 0-5 6-10 11-15 16-20 21-25 26-30 31-35 36-40 40+ Years of Experience 1 Best Jobs in America 2012. CNN Money. http://money.cnn.com/pf/best-jobs/2012/snapshots/7.html 2013, Burtch Works LLC, Reproduction Prohibited THE BURTCH WORKS STUDY 13

Education of Marketing Research Professionals Nearly 99% of Marketing Research professionals have a Bachelor s degree, and 56% also hold an advanced degree. Over half of Master s degree holders, 62%, have a Master s of Business Administration, while the remaining professionals have an M.A., M.S., or M.M.R. degree. Figure 5. Distribution of Marketing Research Professionals by Education No Degree 1% Ph.D. 4% Bachelor's 43% Master's 52% M.B.A. 62% M.A., M.S., M.M.R. 38% 2013, Burtch Works LLC, Reproduction Prohibited THE BURTCH WORKS STUDY 14

Number of Professionals Gender of Marketing Research Professionals The distribution of men and women is relatively even: 47% of Marketing Research professionals are women and 53% are men. Distributions of male and female Marketing Researchers by years of experience were similar: women have an average of 12.3 years of experience, while men have an average of 12.6 years of experience. Male Marketing Researchers are somewhat more likely to have an advanced degree than their female colleagues: Figure 6. Gender of Marketing Research Professionals by Education 450 400 350 Male Female 300 250 200 150 100 50 0 No degree Bachelor's Master's M.B.A. Ph.D. Education 2013, Burtch Works LLC, Reproduction Prohibited THE BURTCH WORKS STUDY 15

Section 4 MARKETING RESEARCH PROFESSIONALS: WHAT THEY EARN 2013, Burtch Works LLC, Reproduction Prohibited THE BURTCH WORKS STUDY 16

Overview Salaries and bonuses are greater for client side Marketing Researchers than for those working for suppliers. Salaries are higher for Marketing Research professionals with advanced degrees, and the relationship between salaries and education is apparent even among professionals who have been working for many years. Firms on the West Coast pay the highest salaries to supplier side professionals. Firms in the Midwest, Northeast and on the West Coast pay the highest salaries to client side Marketing Researchers. Among suppliers, advertising/marketing services and consulting firms pay higher salaries than traditional Marketing Research suppliers. Among client side firms, CPG, healthcare/ pharmaceutical, and tech/telecom companies pay the highest salaries. 2013, Burtch Works LLC, Reproduction Prohibited THE BURTCH WORKS STUDY 17

Compensation by Job Level Figure 7 shows the proportions of Marketing Research professionals working for suppliers and client side firms and, for each type of firm, the median base salary and the proportion of professionals eligible for a bonus. For each supplier and client side job level, figures 8 and 9 show the distribution of base salaries, the proportion of professionals eligible for a bonus, and, among those eligible for a bonus, the median and mean bonus target. Figures 10 and 11 show how much median and mean base salary increases with level for supplier and client side professionals. Marketing Research professionals working among client side firms earn more than those who are employed by research suppliers. Not surprisingly, compensation also depends on job level. 58% of the professionals are currently working for suppliers, and their median base salary is $80,000. The median base salary of the 42% employed in client side positions is $108,000. Only 43% of supplier side professionals are eligible for bonuses, while 61% of client side professionals are eligible for bonuses. At both suppliers and client side firms, median base salary increases significantly with level. For example, among suppliers, the median base salary of professionals at level 3 is twice that of those at level 1. At both suppliers and client side firms, the bonus targets increase by level: the bonuses paid to professionals at level 3 or above are at least three times those paid to level 1 professionals and at least twice those paid to level 2 professionals. Figure 7. Distribution of Supplier and Client Side Marketing Research Professionals Median Base Salary $108,000 Bonus Eligible 61% Client Side 42% Supplier Side 58% Median Base Salary $80,000 Bonus Eligible 43% 2013, Burtch Works LLC, Reproduction Prohibited THE BURTCH WORKS STUDY 18

Figure 8. Compensation of Supplier Side Professionals by Job Level Supplier Side Base Salary Bonus Target Bonus Job Level N 25% Median Mean 75% Eligible Median Mean Level 1 143 $44,500 $52,000 $56,586 $65,000 29.4% $5,000 $6,109 Level 2 409 $58,000 $70,000 $73,470 $82,500 36.4% $8,000 $11,800 Level 3 558 $82,125 $105,000 $110,435 $130,000 50.7% $15,600 $23,644 Note: Please refer back to page 8 for definitions of each job level. Figure 9. Compensation of Client Side Professionals by Job Level Client Side Base Salary Bonus Target Bonus Job Level N 25% Median Mean 75% Eligible Median Mean Level 1 136 $60,750 $73,500 $75,438 $87,250 42.7% $7,275 $9,390 Level 2 347 $85,000 $100,000 $102,127 $114,000 57.9% $14,550 $16,777 Level 3 182 $111,250 $125,000 $125,799 $139,500 68.1% $20,000 $22,616 Level 4 119 $133,000 $145,000 $146,677 $156,000 78.2% $34,750 $36,617 Level 5* 22 $164,000 $185,000 $195,952 $230,000 86.4% $51,250 $69,741 *Due to a smaller sample size, Level 5 results should be interpreted directionally throughout. Note: Please refer back to page 8 for definitions of each job level. Figure 10. Median and Mean Base Salaries of Supplier Side Professionals by Job Level $200,000 $180,000 $160,000 Figure 11. Median and Mean Base Salaries of Client Side Professionals by Job Level $200,000 $180,000 $160,000 $140,000 $120,000 Median Mean $140,000 $120,000 $100,000 $100,000 $80,000 $80,000 $60,000 $60,000 $40,000 $40,000 $20,000 $20,000 $0 Level 1 Level 2 Level 3 $0 Level 1 Level 2 Level 3 Level 4 Level 5 2013, Burtch Works LLC, Reproduction Prohibited THE BURTCH WORKS STUDY 19

Compensation by Education Figures 12 through 15 show the distributions of the base salaries of Marketing Research professionals by education, controlling for job level. At suppliers, base salary varies significantly with education regardless of job level. A Marketing Research professional at a supplier who holds an M.B.A. or other Master s degree has a base salary that is likely to be at least 10% greater than the base salary of a professional with a Bachelor s degree. At all job levels at client side firms, base salary increases with education, but the relationship is strongest among more junior professionals, those at levels 1 and 2. It is possible that at the more senior level, other factors such as management skills and leadership ability have a stronger relationship with salary than formal education. The sample includes relatively few professionals with Ph.D. s (only 4% of the entire sample), so we have not reported salaries by job level for professionals with Ph.D. s, except for those at job level 3 at suppliers. These professionals do make considerably more than their colleagues with less education at job level 3 at suppliers. 2013, Burtch Works LLC, Reproduction Prohibited THE BURTCH WORKS STUDY 20

Figure 12. Base Salary of Supplier Side Professionals by Job Level and Education Base Salary Job Level Education N 25% Median Mean 75% Bachelor's 77 $42,500 $48,000 $53,320 $60,000 Supplier Side, Master's 38 $50,000 $55,000 $58,477 $64,750 Level 1 M.B.A. 23 $50,000 $65,000 $62,565 $72,000 Ph.D. 4 - - - - Supplier Side, Level 2 Supplier Side, Level 3 Bachelor's 238 $55,000 $66,750 $69,466 $78,750 Master's 74 $60,000 $70,000 $77,416 $88,750 M.B.A. 83 $64,000 $75,000 $80,980 $92,000 Ph.D. 10 - - - - Bachelor's 244 $75,000 $97,750 $103,562 $121,250 Master's 103 $90,000 $114,000 $114,519 $135,000 M.B.A. 170 $87,000 $109,500 $114,374 $135,000 Ph.D. 30 $105,250 $121,000 $127,853 $147,750 Note: Individuals with no degrees were excluded due to small sample size. Figure 13. Median Base Salary of Supplier Side Professionals by Job Level and Education $160,000 $140,000 $120,000 $100,000 $80,000 $60,000 $40,000 $20,000 $0 Level 1 Level 2 Level 3 Bachelor's Master's M.B.A. 2013, Burtch Works LLC, Reproduction Prohibited THE BURTCH WORKS STUDY 21

Figure 14. Base Salary of Client Side Professionals by Job Level and Education Base Salary Job Level Education N 25% Median Mean 75% Bachelor's 58 $57,250 $66,500 $70,224 $83,500 Client Side, Master's 32 $68,750 $76,000 $76,781 $85,500 Level 1 M.B.A. 43 $67,500 $75,000 $80,477 $94,000 Ph.D. 2 - - - - Client Side, Level 2 Client Side, Level 3 Client Side, Level 4 Bachelor's 117 $79,000 $92,500 $100,711 $107,000 Master's 77 $85,000 $98,000 $101,263 $115,000 M.B.A. 140 $95,000 $103,500 $104,055 $116,250 Ph.D. 10 - - - - Bachelor's 47 $110,500 $125,000 $123,809 $139,000 Master's 38 $110,000 $120,000 $124,184 $135,000 M.B.A. 88 $116,750 $128,500 $127,209 $140,000 Ph.D. 6 - - - - Bachelor's 32 $125,750 $137,500 $136,483 $150,000 Master's 21 $135,000 $145,000 $149,337 $172,000 M.B.A. 56 $135,000 $148,500 $149,816 $155,250 Ph.D. 9 - - - - Note: Individuals with no degrees and at Level 5 were excluded due to small sample size. Figure 15. Median Base Salary of Client Side Professionals by Job Level and Education $160,000 $140,000 $120,000 $100,000 $80,000 $60,000 $40,000 $20,000 $0 Level 1 Level 2 Level 3 Level 4 Bachelor's Master's M.B.A. 2013, Burtch Works LLC, Reproduction Prohibited THE BURTCH WORKS STUDY 22

Compensation by Region Figures 16 through 19 show the distributions of the base salaries of Marketing Research professionals by region, controlling for job level. Among suppliers, regardless of job level, Marketing Research professionals at firms on the West Coast have the highest median base salary. The difference in median base salary ranges from $500 to $5,000. Among client side firms, Marketing Research professionals at levels 1 and 2 are paid the most by West Coast firms. As job level increases, however, client side firms in the Midwest and Northeast pay salaries similar to those paid by West Coast firms. The regional differences in salaries are not enough to compensate for the regional differences in costs of living, such as the cost of housing and taxes. 2013, Burtch Works LLC, Reproduction Prohibited THE BURTCH WORKS STUDY 23

Figure 16. Base Salary of Supplier Side Professionals by Job Level and Region Base Salary Job Level Region N 25% Median Mean 75% Northeast 44 $43,750 $50,000 $54,693 $64,250 Southeast 9 - - - - Supplier Side, Midwest 69 $42,500 $55,000 $57,770 $65,000 Level 1 Mountain 5 - - - - West Coast 16 $50,000 $55,500 $58,969 $70,500 Supplier Side, Level 2 Supplier Side, Level 3 Northeast 128 $61,000 $70,000 $76,173 $87,000 Southeast 23 $55,000 $70,000 $73,174 $90,000 Midwest 204 $55,000 $68,000 $71,075 $80,000 Mountain 9 - - - - West Coast 44 $60,000 $71,500 $78,266 $84,375 Northeast 151 $89,500 $105,000 $117,019 $138,000 Southeast 46 $80,000 $96,250 $100,967 $120,000 Midwest 266 $75,000 $100,500 $106,240 $127,250 Mountain 27 $92,500 $110,000 $112,815 $125,000 West Coast 68 $98,000 $115,000 $117,687 $135,250 Figure 17. Median Base Salary of Supplier Side Professionals by Job Level and Region $160,000 $140,000 $120,000 $100,000 $80,000 $60,000 $40,000 $20,000 $0 Level 1 Level 2 Level 3 West Coast Mountain Midwest Southeast Northeast 2013, Burtch Works LLC, Reproduction Prohibited THE BURTCH WORKS STUDY 24

Figure 18. Base Salary of Client Side Professionals by Job Level and Region Base Salary Job Level Region N 25% Median Mean 75% Northeast 26 $62,750 $73,500 $75,942 $82,250 Southeast 17 $55,000 $69,000 $66,838 $80,000 Client Side, Midwest 73 $60,000 $70,000 $73,983 $87,000 Level 1 Mountain 7 - - - - West Coast 13 $75,000 $78,000 $90,615 $95,000 Client Side, Level 2 Client Side, Level 3 Client Side, Level 4 Northeast 72 $85,000 $100,000 $99,156 $115,000 Southeast 59 $90,000 $97,000 $98,831 $105,000 Midwest 162 $85,000 $99,800 $104,953 $114,500 Mountain 15 $83,000 $95,000 $96,200 $103,000 West Coast 37 $95,000 $103,000 $104,391 $115,000 Northeast 43 $110,000 $128,000 $125,302 $140,000 Southeast 29 $100,000 $110,000 $115,897 $127,000 Midwest 78 $120,000 $130,000 $129,848 $140,000 Mountain 7 - - - - West Coast 24 $117,000 $123,500 $124,571 $133,274 Northeast 35 $135,000 $148,000 $148,377 $160,000 Southeast 15 $102,500 $123,000 $127,429 $147,500 Midwest 43 $139,000 $150,000 $150,258 $160,000 Mountain 8 - - - - West Coast 18 $140,000 $150,000 $157,941 $164,000 Note: Individuals at Level 5 were excluded due to small sample size. Figure 19. Median Base Salary of Client Side Professionals by Job Level and Region $160,000 $140,000 $120,000 $100,000 $80,000 $60,000 $40,000 $20,000 $0 Level 1 Level 2 Level 3 Level 4 West Coast Mountain Midwest Southeast Northeast 2013, Burtch Works LLC, Reproduction Prohibited THE BURTCH WORKS STUDY 25

Compensation by Industry Figures 20 through 23 show distributions of base salaries of Marketing Research professionals by industry, controlling for job level. Among suppliers, consulting and marketing services firms (advertising, media planning and buying, and marketing analysis firms) pay the highest salaries, on average. For example, the median salary of professionals at level 3 at consulting and marketing services firms is more than $30,000 more than the median salary of level 3 professionals at traditional suppliers. Among client side firms, higher salaries are paid by CPG, healthcare/pharmaceuticals, and technology/telecom companies. Lower salaries are paid by retail, financial services, and media companies. 2013, Burtch Works LLC, Reproduction Prohibited THE BURTCH WORKS STUDY 26

Figure 20. Base Salary of Supplier Side Professionals by Job Level and Industry Base Salary Job Level Industry N 25% Median Mean 75% Advertising/Mktg Services 5 - - - - Supplier Side, Consulting 4 - - - - Level 1 Marketing Research Supplier 78 $44,250 $50,000 $54,508 $62,000 Supplier Side, Level 2 Supplier Side, Level 3 Advertising/Mktg Services 23 $67,000 $80,000 $89,070 $102,500 Consulting 7 - - - - Marketing Research Supplier 271 $56,750 $68,000 $70,590 $80,000 Advertising/Mktg Services 23 $103,000 $130,000 $134,174 $162,500 Consulting 10 $106,250 $129,500 $122,500 $135,750 Marketing Research Supplier 311 $78,000 $98,000 $105,648 $125,000 Figure 21. Median Base Salary of Supplier Side Professionals by Job Level and Industry $160,000 $140,000 $120,000 $100,000 $80,000 $60,000 $40,000 $20,000 $0 Level 1 Level 2 Level 3 Advertising/Marketing Svcs. Consulting Marketing Research Supplier 2013, Burtch Works LLC, Reproduction Prohibited THE BURTCH WORKS STUDY 27

Figure 22. Base Salary of Client Side Professionals by Job Level and Industry Base Salary Job Level Industry N 25% Median Mean 75% CPG 40 $67,500 $76,500 $78,663 $94,000 Financial Services 4 - - - - Healthcare/Pharma 13 $67,000 $80,000 $77,923 $90,000 Client Side, Media/Entertainment 9 - - - - Level 1 Retail 26 $63,500 $70,000 $73,096 $79,750 Tech/Telecom 19 $64,000 $77,000 $80,553 $91,000 Other 7 - - - - Client Side, Level 2 Client Side, Level 3 Client Side, Level 4 CPG 150 $90,000 $100,500 $108,887 $120,000 Financial Services 28 $82,750 $95,000 $93,750 $100,000 Healthcare/Pharma 29 $100,000 $110,000 $111,759 $115,000 Media/Entertainment 17 $80,000 $90,000 $93,029 $105,000 Retail 45 $78,000 $95,000 $94,018 $105,000 Tech/Telecom 33 $85,000 $104,000 $99,227 $117,000 Other 16 $80,750 $93,750 $90,969 $101,500 CPG 88 $120,000 $130,000 $132,150 $145,000 Financial Services 6 - - - - Healthcare/Pharma 15 $107,500 $120,000 $119,433 $129,000 Media/Entertainment 12 $87,250 $106,000 $109,892 $130,675 Retail 20 $109,500 $122,500 $122,250 $134,250 Tech/Telecom 22 $112,000 $127,500 $125,727 $135,000 Other 4 - - - - CPG 45 $142,000 $150,000 $154,198 $165,000 Financial Services 5 - - - - Healthcare/Pharma 13 $145,000 $150,000 $154,192 $170,000 Media/Entertainment 9 - - - - Retail 10 $133,500 $140,000 $141,007 $151,750 Tech/Telecom 16 $133,000 $150,000 $156,000 $176,000 Other. - - - - Note: Individuals at Level 5 were excluded because of small sample size. 2013, Burtch Works LLC, Reproduction Prohibited THE BURTCH WORKS STUDY 28

Figure 23. Median Base Salary of Client Side Professionals by Job Level and Industry $160,000 $140,000 $120,000 $100,000 $80,000 $60,000 $40,000 $20,000 $0 Level 1 Level 2 Level 3 Level 4 CPG Healthcare/Pharma Media/Entertainment Retail Tech/Telecom 2013, Burtch Works LLC, Reproduction Prohibited THE BURTCH WORKS STUDY 29

Section 5 SPECIAL REPORT: SALARY INCREASES OF MARKETING RESEARCH PROFESSIONALS WHO CHANGE JOBS 2013, Burtch Works LLC, Reproduction Prohibited THE BURTCH WORKS STUDY 30

Number of Professionals Overview In the Burtch Works sample of Marketing Research professionals, there are 184 who have changed jobs in the last 31 months ending July, 2013, enabling Burtch Works to measure how much the salaries of Marketing Research professionals change when they change jobs. Figure 24 shows the distribution of salary changes. The median salary increase for Marketing Research professionals is 11.1%; the mean increase is 14.0%. Salary increases vary from 0% to 62%, but a large majority, 65%, are between 1% and 15%. Figure 24. Number of Marketing Research Job Changes by Percentage Change in Base Salary 60 50 40 Median: 11.1% Mean: 14.0% 30 20 10 0 0% 1-5% 6-10% 11-15% 16-20% 21-25% 26-30% 31-35% 36-40% 41-45% 46-50% >50% Base Salary Increase 2013, Burtch Works LLC, Reproduction Prohibited THE BURTCH WORKS STUDY 31

Base Salary Change by Job Level For Marketing Research professionals who change jobs, Figure 25 shows the median percentage increase in base salary by new job level (if job level changed when a professional changed jobs, the level of the new job is used): Percentage salary increases are far larger for professionals at junior levels. The median increase for a professional in a level 1 job at a supplier is 15.4% and 13.1% for professionals at level 1 at a client side firm. At more senior job levels at client side firms, dollar increases can be larger than junior levels, but the percentage increase is lower, only about 6% for levels 3 and 4. Figure 25. Median Percentage Salary Increase by Job Level 20% 18% 16% 14% 12% 10% 8% 6% 4% 2% 0% Supplier 1 Supplier 2 Supplier 3 Client 1 Client 2 Client 3 Client 4 Note: Individuals at Client Level 5 were excluded because of small sample size. 2013, Burtch Works LLC, Reproduction Prohibited THE BURTCH WORKS STUDY 32

Section 6 SUMMARY 2013, Burtch Works LLC, Reproduction Prohibited THE BURTCH WORKS STUDY 33

Summary of Key Findings In recent years, companies have steadily increased the resources they invest to develop an understanding of their customers, and tailored their operations so that they are more consumercentric. In all industries, Marketing Research professionals are integral in helping companies better understand their customers and their marketplace, and these individuals have even joined the executive ranks at many companies. As a result, there has been an increased demand for Marketing Research professionals. The Burtch Works Study has described Marketing Research professionals and provided current information about their compensation and how it varies with education, years of experience, region, and industry of employment. Key findings include: Marketing Research professionals are generally young; 7 out of 10 professionals have no more than 15 years of experience. 47% of Marketing Research professionals are female, and 53% are male. Nearly all Marketing Research professionals have a Bachelor s degree; 56% also hold an advanced degree. Individuals with graduate degrees earn higher salaries, particularly among suppliers. Salaries and bonuses are greater for Marketing Researchers at client side firms than for those working for suppliers, and they increase significantly with job level. Among client side firms, those in the consumer packaged goods, healthcare/ pharmaceutical, and technology/telecom industries pay higher salaries to Marketing Research professionals than other client side firms. Among suppliers, firms in the advertising or marketing services and consulting industries pay higher salaries than traditional Marketing Research suppliers. West Coast, Northeast, and Midwest firms consistently offer the highest salaries. For additional information about our executive recruiting services, don t hesitate to contact us: Burtch Works LLC 1560 Sherman Ave Suite 1005 Evanston, IL 60201 Call: 847-440-8555 General Email: info@burtchworks.com Follow us on: LinkedIn Twitter Facebook Naomi Keller, Executive Recruiter Call: 847-440-8565 General Email: nkeller@burtchworks.com LinkedIn: www.linkedin.com/in/naomikeller Karla Ahern, Executive Recruiter Call: 847-440-8564 General Email: kahern@burtchworks.com LinkedIn: www.linkedin.com/in/karlaahern 2013, Burtch Works LLC, Reproduction Prohibited THE BURTCH WORKS STUDY 34

Section 7 APPENDIX 2013, Burtch Works LLC, Reproduction Prohibited THE BURTCH WORKS STUDY 35

Glossary of Terms This section provides definitions of terms used in this report. Average. See Mean. Base Salary. An individual s gross annual wages, excluding variable or one-time compensation such as relocation assistance, sign-on bonuses, bonuses, and long-term incentive plan compensation. Bonus. Short-term variable compensation usually awarded annually, such as individual or company performance-based bonuses. This does not include long-term incentive plan compensation or awards of stock or stock options. Client-Side. Designation for a professional who works for a firm in the consumer packaged goods, financial services, healthcare/pharmaceutical, retail, technology/telecom, or other industries (see glossary entry for industry ). Client-side Marketing Research professionals in the Burtch Works sample have all been assigned to one of five levels: Level 1: Typically 0-4 years of relevant experience. See page 8 for common job titles. Level 2: Typically 5-8 years of relevant experience. See page 8 for common job titles. Level 3: Typically 9-14 years of relevant experience. See page 8 for common job titles. Level 4: Typically 15-24 years of relevant experience. See page 8 for common job titles. Level 5: Typically 25 or more years of relevant experience. See page 8 for common job titles. Geographic Region. One of five groups of states that together comprise the entire United States. These five groups of states Northeast, Southeast, Midwest, Mountain and West Coast are shown in Figure 3 on page 9. Industry. One of ten groups of firms employing most Marketing Research professionals. These nine industries are Advertising/Marketing Services, Consulting, Consumer Packaged Goods, Financial Services, Healthcare/Pharmaceuticals, Outsourcing, Retail, Tech/Telecom and Other. Advertising/Marketing Services: Firms that provide advertising, media planning and buying, and marketing analysis services to other firms. Consulting: Firms that include both large corporations and small boutiques that provide professional advice to the managers of other firms. Consumer Packaged Goods: Companies whose products are used up and replaced frequently, such as food and beverages, cleaning products, and toiletries. Financial Services: Banks, savings and loan associations, credit unions, credit card issuers, securities brokerages, investment advisors and insurance companies. Healthcare/Pharmaceuticals: Hospitals, clinics, physicians groups, and other healthcare providers, and medical device and pharmaceutical manufacturers. Marketing Research Supplier: Firms executing survey research ( primary Marketing Research) for other firms or collecting and syndicating data ( secondary Marketing Research). Media/Entertainment: Traditional publishing firms and television, or other media producers. Retail: Organizations that purchase goods from manufacturers for resale to consumers. Tech/Telecom: Telecommunications providers, such as phone companies, and firms providing technology products and services, such as manufacturers of computers, tablets, phones, and game players and also software publishers. 2013, Burtch Works LLC, Reproduction Prohibited THE BURTCH WORKS STUDY 36

Other: Companies not in the nine industries defined above, such as airline companies, distribution firms, and hospitality. Marketing Research Professionals. Individuals who conduct either primary or secondary research to better understand consumer and/or business needs. Master s. A Master of Arts, Master of Science, or other Master s degree other than a Master of Business Administration degree. M.B.A. Master of Business Administration degree. Mean. Also known as the average, it is the sum of a set of values divided by the number of values. For example, the mean of N salaries is the sum of the salaries divided by N. Median. The value obtained by ordering a set of values from smallest to largest and then taking the value in middle, or, if there are an even number of values, by taking the mean of the two values in the middle. For example, the median of N salaries is the salary for which there are as many salaries that are smaller as there are salaries that are larger. N. The number of observations in a sample, sub-sample or table cell. Salary Study. A study conducted to measure the distributions by salary of those in specific occupations. Traditionally, these studies have been executed by obtaining salary data from the human resources departments of firms employing professionals in those occupations rather than by interviewing those employees themselves. Supplier-Side. Designation for a professional who works for an organization in the advertising/ marketing services, consulting or Marketing Research supplier industries (see glossary entry for industry ). Supplier side Marketing Research professionals in the Burtch Works sample have all been assigned to one of three levels: Level 1: Typically 0-4 years of relevant experience. See page 8 for common job titles. Level 2: Typically 5-9 years of relevant experience. See page 8 for common job titles. Level 3: Typically 10 or more years of relevant experience. See page 8 for common job titles. 2013, Burtch Works LLC, Reproduction Prohibited THE BURTCH WORKS STUDY 37

ABOUT BURTCH WORKS Burtch Works is a specialized executive recruiting firm dedicated to placing highly qualified professionals in Marketing Research and insights roles nationwide. By maintaining contact with hundreds of staffers, hiring managers and human resources professionals, we are able to follow developing trends in the growing field of Marketing Research. In addition, we are continuously tracking talent movement and industry changes within the Marketing Research profession. Leveraging our massive and unique network, we can ensure that we find the best possible fit for both our candidates and our clients. Naomi Keller (left) and Karla Ahern (right) are leaders of the Burtch Works Marketing Research practice. Both recruiters have firsthand experience in the Marketing Research industry, at firms such as GfK, Ipsos, and Knowledge Networks. Keller and Ahern are published frequently, including contributions to the AMA s Marketing News. CONTACT US If your organization needs assistance in Marketing Research or insights recruitment, please email clients@burtchworks.com. If you are a job seeker, please email candidates@burtchworks.com. For general information, please call 847-440-8555. Follow us on: LinkedIn Twitter Facebook Blog 2013, Burtch Works LLC, Reproduction Prohibited THE BURTCH WORKS STUDY 38