1. Laura Clayton Research Team Sport England October 2007 1 Market Segmentation What it is and what does it tell me?

2. 2 Contents 1.How the segments were produced 2.An overview of the segment model 3.What the segments tell you

3. 3 Background to Segmentation: Why we did it Segmentation provides us with information on who our customers are and importantly what they want in terms of sport and active recreation provision. It shows us how sports and active recreation participation sit within the context of a total lifestyle and lifecycles, providing us with a better understanding of the barriers and motivations towards sport and active recreation provision. Segmentation will allow us to target our customers more effectively, develop initiatives programmes which fit better with the needs of our customers and create more successful communication plans.

4. 4 Developing the Segmentation Model Sport England, together with the consultants, Experian Business Strategies, produced the segmentation model The key data sources were Taking Part and Active People Key demographic information from these surveys were inputted into a mathematical model.These demographics were used as the basis to explain sports and active recreation behaviour and attitudes. Further data was added from Experian databases. This included information on media consumption, health and fitness level and affluence. Other sources such as hospital episode indices and the British Crime Survey were also added.

5. 5 A B C D This is the final sports market segment model. It is further explained on the next slide. Size of circle = total percentage in English adult population

6. 6 Explaining the Sports Market Segment Model In total there are nineteen segments. The size of the circle represents the proportion of the English population in that segment. For example segments 6 and 19 are relatively large and segment 16 relatively small. The segments are divided into four Supergroups A-D, Supergroup A is 18-24 year olds and Supergroup D 65 +. This allows us to compare segments with others in their age group The horizontal line shows the proportion of all adults regularly taking part in sport and active recreation (21%). It shows that about half the segments are below the national average. The chart also shows the importance of age with a sharp decrease in activity as people get older. It also demonstrates the impact of gender. For example the female equivalent of segment 1 is segment 3, which has a much lower participation rate. The chart also shows the impact of social deprivation, as indicated by segment 10, which has much lower participation rates than other segments in its Supergroup. The next slide outlines the nineteen segments

7. 7 The nineteen segments

8. 8 Segmentation - What it tells you: Who are the sporty types and who are those not doing any sport The segments tell us who are the people already reaching 3x30, those that are doing nothing and those that could be doing more Source: Active People Survey, Oct 2005 to Oct 2006; Ipsos MORI Who are these people?

9. 9 Segmentation - What it tells you: The sports and active recreation that people take part in and therefore what they are more likely to take part in The segments provide information on sports and active recreation that segments take part in. From this you can conclude which sporting interventions are more or less likely to be successful. This data is available at four levels: Individual sport (e.g. indoor football, outdoor swimming) Broader sport groupings (e.g. martial arts, sailing) Sports grouping according to where the sports are played (e.g. water, winter) Sports grouping according to how the sports are played (e.g. individual activities, social activities)

10. 10 Segmentation - What it tells you: It explains barriers and motivations towards sport, contributing to the development of more effective programmes The segments provide information on why people participate and what would make them participate more For many segments they take part because of the children But for many segments a lack of childcare is also a barrier

11. 11 Segmentation - What it tells you: Where to find your segments Not all the segments will be found in the same place. They will need to be offered various sports and active recreation packages While some will be found at sports clubs There will be more here … And even more don’t do it at all

12. 12 Building up the segment profiles Variable01020304 Reasons for doing sporting activity - totals To keep fit138123150113 To lose weight77101176188 To take children21353081 To meet with friends235189131132 To train/take part in competition280195125116 To improve performance35522011788 Just enjoy it163153133122 To help with injury/disability217252 An index table was used to identify what characteristics made a segment unique. An index of 100 is the average among the total English population. An index above 100 means that the characteristic is more important for that segment than for others in the population. Conversely an index of less than a 100 means that the characteristic is less important. For example in the index table opposite, segment 1’s index for taking part to meet friends is 235. This means they are more likely to take part because of this reason than other segments. However the index for taking part because of children is 21. This means compared to other segments in the population, this is not really an issue for segment one. The type of characteristics pulled out by the index tables are illustrated in the next three slides, which outline three segments

13. 13 Tim “Settling Down Males” Male, 26-35, professional (9% in England) A third more likely to be reaching the 3x30 level Twice as likely to take part because of the competitive element of sport Would do more sport if had more free time, but cheaper facilities is not a factor Football, team sports and golf appeal If don’t do sport it’s because they don’t have time not because they aren’t interested

14. 14 Roger and Joy “Early Retirement Couple” Mixed gender, 56 – 65 6% in England Average 3x30 Likely to participate in recreational walking, golf and aqua aerobics You might also catch them sailing Team sports are a not appealing Take part to help with injuries and to keep fit. They also just enjoy it. Many continue to train and compete If there was improved transport and better facilities they may go more often If they don’t do sport its because they aren’t interested

15. 15 Philip “Comfortable Mid-Life Male” Male, 46 - 55 8% in England A third more likely to reach the 3x30 Likes football and squash Twice as likely to have taken part in a competition Member of a sports club Takes part to compete but also to meet friends Would do more if he had more free time If he does not do it, its because he has not got the time

16. 16 Segmentation - What it tells you: Provides information on where sport and active recreation can fit into their lives Ben, 22, has recently graduated and is now working as a trainee accountant. Loving his single life, which is just an extension of university days, he is certainly in no hurry to settle down. His ‘work-hard, play-hard, drink-hard’ attitude to life sees him putting in long hours at the office, doing a lot of sport and enjoying plenty of socialising with friends. Currently renting with ex uni friends, he is contemplating the housing ladder, but will probably move back into the parental home. Whatever he chooses, little time is spent at home and Ben is not ready to ‘settle down’. Image and brand conscious, Ben tries to keep a healthy diet, but with little success. Post-work and post-exercise drinking and fast foods are almost daily regimes. The segments also provide information on other aspects of their lives apart from sport and active recreation. This will help you identify where sport can play a role and what the barriers may be. The example below is the life led by segment 1, Ben – the competitive male urbanite

17. 17 Segmentation – what it tells you: It provides information on the type of message the segments respond to, this can also be applied to how programmes are delivered The segments identify the tone and type of message that different segments are more likely to be receptive to. This can be applied to the style of programme offered. Below is an example of the some of the messages that Ben responds to: Individual Entertaining Stylish Dynamic Fresh Sociable

18. 18 Segmentation – what it tells you: the brands segments identify and aspire to While we will not usually be in the position to work with these businesses on sponsorship, they do tell us important information on the values segments identify with, what they aspire to and where you can find them. The example below are the brands that appeal to Ben

19. 19 Segmentation – What it tells you: The mediums segments respond to The profiles include information on the type of media different segments respond to. This is particularly useful if you are starting a new marketing campaign. It also includes information on local radio and newspaper consumption. Some of the types of media are listed below: TV Radio Internet Direct marketing Posters Newspapers Telephone

20. 20 Segmentation – what it tells you: How people reach decisions Deciding to take part in the sport and active recreation is often a decision not taken lightly. It is important to know how people make decisions if we are to influence them to take part. This information is provided be the segments. Below is a list of all the different decision making styles adopted by our segments. Experimental Accepting Adamant Perfectionist Inquiring Intuitive

21. 21 Pen Portraits: A key communication and partnership tool All of this information is summarised in the pen portraits which highlight the essence of each of the 19 segments. These should be your first point of call These are available from www.sportengland.org/research

22. 22 Index Tables: Providing more detailed information Variable01020304 Reasons for doing sporting activity - totals To keep fit138123150113 To lose weight77101176188 To take children21353081 To meet with friends235189131132 To train/take part in competition280195125116 To improve performance35522011788 Just enjoy it163153133122 The index tables provide a more detailed information on the segments than what is available through the pen portraits. They should be used if you decide to concentrate on particular segments The index tables compare the prevalence of certain attitudes, behaviours and motivations as compared to the national English average and to others in their supergroup or peer group. These are available along with an explanation on how to interpret them at www.sportengland.org/reserach www.sportengland.org/reserach