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Copyright © 2011 The Nielsen Company. Confidential and proprietary.Copyright © 2012 The Nielsen Company. Confidential and proprietary. Growing Sales Through Segmentation and Local Market Strategies Peter Greene SVP, Durables Strategies March 11, 2012
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Copyright © 2011 The Nielsen Company. Confidential and proprietary. Copyright © 2012 The Nielsen Company. Confidential and proprietary. AGENDA Overview of Nielsen Overview of Segmentation Segmentation in Action Summary Q & A
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Copyright © 2011 The Nielsen Company. Confidential and proprietary. Copyright © 2012 The Nielsen Company. Confidential and proprietary. WHO WE ARE Nielsen is the world’s leading provider of marketing information, audience measurement, and business media products and services.
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Copyright © 2011 The Nielsen Company. Confidential and proprietary. Copyright © 2012 The Nielsen Company. Confidential and proprietary. More than 34,000 employees in over 100 countries…
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Copyright © 2011 The Nielsen Company. Confidential and proprietary. Copyright © 2012 The Nielsen Company. Confidential and proprietary. We transform raw data into strategic insights and tailor-made recommendations. We analyze and advise about complex sales and marketing issues for winning business decisions. Nielsen measures markets, media and consumer behavior across industries and around the world. We integrate information from across our business. WHAT WE DO
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Copyright © 2011 The Nielsen Company. Confidential and proprietary. Copyright © 2012 The Nielsen Company. Confidential and proprietary. AGENDA Overview of Nielsen Overview of Segmentation Segmentation in Action Summary Q & A
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Copyright © 2011 The Nielsen Company. Confidential and proprietary. Copyright © 2012 The Nielsen Company. Confidential and proprietary. UNDERSTAND YOUR CUSTOMERS seg·men·ta·tion [seg-muh n-tey-shuh n] A marketing technique which allows you to define and divide the marketplace into clearly identifiable groups sharing similar characteristics, needs, wants or demands.
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Copyright © 2011 The Nielsen Company. Confidential and proprietary. Copyright © 2012 The Nielsen Company. Confidential and proprietary. FIND YOUR BEST CUSTOMERS ZIP CODE 23219 BY COMMUNITY BY CHANNEL
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Copyright © 2011 The Nielsen Company. Confidential and proprietary. Copyright © 2012 The Nielsen Company. Confidential and proprietary. CONNECT YOUR PRODUCTS TO PEOPLE & PLACES Evaluating Opportunity; Creative Messaging, Channel Planning Market & Distribution Planning; Local Media Assortment; Promotion & Merchandise mix Your Products People Places
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Copyright © 2011 The Nielsen Company. Confidential and proprietary. Copyright © 2012 The Nielsen Company. Confidential and proprietary. CONSUMER SEGMENTATION LOCAL MARKET SOLUTIONS MEDIA STRATEGY MAXIMIZE THE VALUE TO YOUR ORGANIZATION Strategic Planning & Research Customer Relationship ManagementNational Media Strategy Local Market Promotion Product Distribution Channel Management
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Copyright © 2011 The Nielsen Company. Confidential and proprietary. Copyright © 2012 The Nielsen Company. Confidential and proprietary. TRANSFORM YOUR BUSINESS VIEW ASSESS PLAN MEASURE
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Copyright © 2011 The Nielsen Company. Confidential and proprietary. Copyright © 2012 The Nielsen Company. Confidential and proprietary. BEFORE AFTER CONSUMER GROUPS CONSUMER GROUPS CONSUMER GROUPS CONSUMER GROUPS PRODUCTPROMOTIONPLACEPRICE We help companies understand & find consumer who want to buy. How will you take Action? How will you Measure Success? CONSUMER GROUPS PRODUCT PROMOTIONPLACE PRICE
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Copyright © 2011 The Nielsen Company. Confidential and proprietary. Copyright © 2012 The Nielsen Company. Confidential and proprietary. New Product Design Expected Buyer Analysis (New Products) Share of Market/Wallet Consumer Experience Store Clustering Messaging/ Communication Agency Collaboration Media Mix Ad Effectiveness Site Selection Site Typing Network Optimization Market Holding Capacity Channel Optimization M & A Assessment Category Analysis CAPTURING OPPORTUNITY WITH ACTIONABLE RETAIL SOLUTIONS We help companies understand & find consumer who want to buy. CONSUMER GROUPS PRODUCT PROMOTION PLACE PRICE
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Copyright © 2011 The Nielsen Company. Confidential and proprietary. Copyright © 2012 The Nielsen Company. Confidential and proprietary. AGENDA Overview of Nielsen Overview of Segmentation Segmentation in Action Summary Q & A
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Copyright © 2011 The Nielsen Company. Confidential and proprietary. Copyright © 2012 The Nielsen Company. Confidential and proprietary. Who is Today’s Housewares Consumer? Distribution By PRIZM Segment Housewares Consumer
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Copyright © 2011 The Nielsen Company. Confidential and proprietary. Copyright © 2012 The Nielsen Company. Confidential and proprietary. 1- Upper Crust 4 – Young Digerati 21 – Gray Power 7 – Money & Brains 57 - Old Milltowns 27 – Middleburg Managers About PRIZM
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Copyright © 2011 The Nielsen Company. Confidential and proprietary. Copyright © 2012 The Nielsen Company. Confidential and proprietary. About Life Stage Groups Social GroupHH CountPercent Midlife Success14,596,49912.57 Mainstream Families13,660,00111.76 Striving Singles12,465,43110.73 Cautious Couples12,179,38110.49 Sustaining Seniors11,971,22510.31 Young Achievers11,606,1459.99 Conservative Classics10,722,9859.23 Young Accumulators9,277,9187.99 Affluent Empty Nests8,003,4156.89 Sustaining Families7,255,1266.25 Accumulated Wealth4,398,4913.79 Total116,136,617100.00
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Copyright © 2011 The Nielsen Company. Confidential and proprietary. Copyright © 2012 The Nielsen Company. Confidential and proprietary. Title of Presentation About Life Stage Groups
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Copyright © 2011 The Nielsen Company. Confidential and proprietary. Copyright © 2012 The Nielsen Company. Confidential and proprietary. Who is Today’s Housewares Consumer? Distribution By PRIZM Life Stage Group Housewares Consumer
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Copyright © 2011 The Nielsen Company. Confidential and proprietary. Copyright © 2012 The Nielsen Company. Confidential and proprietary. Housewares Purchasers Vary by Category Distribution By PRIZM Life stage Group
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Copyright © 2011 The Nielsen Company. Confidential and proprietary. Copyright © 2012 The Nielsen Company. Confidential and proprietary. New Product Design Expected Buyer Analysis (New Products) Share of Market/Wallet Consumer Experience Store Clustering CAPTURING OPPORTUNITY WITH ACTIONABLE RETAIL SOLUTIONS We help companies understand & find consumer who want to buy. CONSUMER GROUPS PRODUCT PROMOTIONPLACE PRICE
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Copyright © 2011 The Nielsen Company. Confidential and proprietary. Copyright © 2012 The Nielsen Company. Confidential and proprietary. Hair Styling Appliance And Accessory Consumers Distribution By PRIZM Life Stage Group Hair Styling & Accessory Consumers
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Copyright © 2011 The Nielsen Company. Confidential and proprietary. Copyright © 2012 The Nielsen Company. Confidential and proprietary. Hair Styling Appliance And Accessory Consumers vs. Conair Distribution By PRIZM Life Stage Group Hair Styling Appliance & Accessory Consumers Conair Consumers
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Copyright © 2011 The Nielsen Company. Confidential and proprietary. Copyright © 2012 The Nielsen Company. Confidential and proprietary. Hair Styling Appliance And Accessory Consumers vs. Private Label Distribution By PRIZM Life Stage Group Hair Styling Appliance & Accessory Consumers Private Label Consumers
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Copyright © 2011 The Nielsen Company. Confidential and proprietary. Copyright © 2012 The Nielsen Company. Confidential and proprietary. CAPTURING OPPORTUNITY WITH ACTIONABLE RETAIL SOLUTIONS We help companies understand & find consumer who want to buy. CONSUMER GROUPS PRODUCT PLACE PRICE Messaging/ Communication Agency Collaboration Media Mix Ad Effectiveness PROMOTION
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Copyright © 2011 The Nielsen Company. Confidential and proprietary. Copyright © 2012 The Nielsen Company. Confidential and proprietary. Total Coffee And Tea Maker Consumers Distribution By PRIZM Life Stage Group Coffee & Tea Maker Consumers
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Copyright © 2011 The Nielsen Company. Confidential and proprietary. Copyright © 2012 The Nielsen Company. Confidential and proprietary. Coffee & Tea Maker Consumers vs. Keurig Consumers Distribution By PRIZM Life Stage Group Coffee & Tea Maker Consumers Keurig Consumers
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Copyright © 2011 The Nielsen Company. Confidential and proprietary. Copyright © 2012 The Nielsen Company. Confidential and proprietary. Keurig Consumers Distribution By PRIZM Segment Keurig Consumers
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Copyright © 2011 The Nielsen Company. Confidential and proprietary. Copyright © 2012 The Nielsen Company. Confidential and proprietary. DEMOGRAPHIC SNAPSHOT Age 45-64 Second (small) city urbanicity, homeowners without kids Mostly white collar employment Upscale incomes with median of $82,500 White, Black and Asian Mix Graduate + education levels PSYCHOGRAPHICS Will buy on credit rather than wait Willing to pay more for top quality electronics Many products don’t perform as well as ads claim Buy based on quality, not price Will pay more for a brand I trust MEDIA CONSUMPTION Watch CNN, MSNBC, Bloomberg, HSN, golf & tennis events Read Sunset, Coastal Living, Kiplinger’s, daily/weekend newspaper, Architectural Digest, Travel & Leisure, More & AARP Listen to classical, jazz & news radio, THEIR LIVES Second City Society 1.45M Households DESCRIPTION The residents of these satellite cities tend to be prosperous professionals who decorate their homes with multiple computers, big screen TVs, and an impressive collection of wines. They tend to enjoy cultural activities, from reading books to attending theater and dance productions. Love to vacation overseas in Spain, Portugal, Australia, Italy & go on cruises Shop at Neiman Marcus, Saks Fifth Ave, Thomasville, Talbots, Ethan Allen, Crate & Barrel, Eddie Bauer & Bloomingdales Order from Gevalia, Land’s End, LL Bean, Zappos & Orbitz Belong to country clubs and enjoy golfing, sailing, bicycling and playing tennis
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Copyright © 2011 The Nielsen Company. Confidential and proprietary. Copyright © 2012 The Nielsen Company. Confidential and proprietary. CAPTURING OPPORTUNITY WITH ACTIONABLE RETAIL SOLUTIONS We help companies understand & find consumer who want to buy. CONSUMER GROUPS PRODUCT PRICE PROMOTION Site Selection Site Typing Network Optimization Market Holding Capacity Channel Optimization M & A Assessment PLACE
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Copyright © 2011 The Nielsen Company. Confidential and proprietary. Copyright © 2012 The Nielsen Company. Confidential and proprietary. Razor Trimmer Appliance & Accessory Consumers Distribution By PRIZM Life Stage Group Razor Trimmer Appliance & Accessory Consumers
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Copyright © 2011 The Nielsen Company. Confidential and proprietary. Copyright © 2012 The Nielsen Company. Confidential and proprietary. Razor Trimmer Appliance & Accessory Consumers vs. Braun Distribution By PRIZM Life Stage Group Razor Trimmer Appliance & Accessory Consumers Braun Consumers
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Copyright © 2011 The Nielsen Company. Confidential and proprietary. Copyright © 2012 The Nielsen Company. Confidential and proprietary. Braun Consumers Northeastern NJ by ZIP by Target Location (2.5 mile radius)
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Copyright © 2011 The Nielsen Company. Confidential and proprietary. Copyright © 2012 The Nielsen Company. Confidential and proprietary. Category Analysis CAPTURING OPPORTUNITY WITH ACTIONABLE RETAIL SOLUTIONS We help companies understand & find consumer who want to buy. CONSUMER GROUPS PRODUCT PROMOTIONPLACE PRICE
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Copyright © 2011 The Nielsen Company. Confidential and proprietary. Copyright © 2012 The Nielsen Company. Confidential and proprietary. AGENDA Overview of Nielsen Overview of Segmentation Segmentation in Action Summary Q & A
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Copyright © 2011 The Nielsen Company. Confidential and proprietary. Copyright © 2012 The Nielsen Company. Confidential and proprietary. SUMMARY _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ – _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ – _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ – _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ Housewares attracts a diverse consumer base Segmentation is innovation –Demographics are insufficient in today’s marketplace –Understanding geo-demographics, psychographics and lifestyles is critical to a company’s success –The better you know the consumer, the better the chance you have of influencing their purchase decisions Identifying your best consumers and connecting with them on their terms is the key to growth
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Copyright © 2011 The Nielsen Company. Confidential and proprietary. Copyright © 2012 The Nielsen Company. Confidential and proprietary. ROBUST INFORMATION, DEEPER INSIGHTS AND INNOVATIVE SOLUTIONS
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Copyright © 2011 The Nielsen Company. Confidential and proprietary.Copyright © 2012 The Nielsen Company. Confidential and proprietary. Growing Sales Through Segmentation and Local Market Strategies Peter Greene SVP, Durables Strategies March 11, 2012 For More Information about PRIZM and please visit www.mybestsegments.com
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