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BRIEF SEGMENTATION GUIDE

Duncan Stark

Business Development Consultant

+44 (0) 208 433 4243

duncan.stark@kantarmedia.com

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OUR APPROACH&TIPS FOR SUCCESS

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OUR APPROACHTWO AREAS OF EXPERTISE

TGI Originating Segmentation

Linking Existing Segmentation to TGI

Strategic (eg new markets)

Multiple Applications (eg comms, npd)

Typically Financial Services, Leisure,

Travel

Typically FMCG, Telcos, Electronics,

Pharma, Govt

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• Establish objectives of the segmentation• Establish the desired segmentation criteria (‘themes’)• Establish feasibility: are TGI statements likely to provide relevant discrimination?• Build on existing knowledge…

OUR APPROACH – TGI ORIGINATING SEGMENTATIONPRIOR TO BEGINNING…

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PRIOR TO BEGINNING THE SEGMENTATION…. ….MUST ENSURE BUY-IN FROM KEY STAKEHOLDERS

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PRIOR TO BEGINNING THE SEGMENTATION….….THE UNIVERSE MUST BE CONSIDERED CAREFULLY

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Discovery PhaseConduct audit of existing data sources including TGI to identify key themes and areas to explore

Summarise these variables in workable Dimensions (Factor Analysis) Groups the IVs in a robust and reliable way, potentially allowing new themes to be uncovered

Create detailed Profiles of resulting segmentsUsing the breadth of TGI data to deliver in-depth profiles of identified target segments.

This is highly insightful, reliable and actionable (given the common language that TGI is to creative agencies and media planners)

Run the Segmentation (Cluster Analysis)Partitions the market into a number of different segments, each has specific attitudinal and behavioural characteristics that will distinguish them from the rest. Each group will however be statistically similar in

internal make-up, enabling tailored targeting

Identification of the main criteria of SegmentationThen select the most appropriate Input Variables (IVs) from TGI to reflect these criteria

OUR APPROACHTYPICAL WORKFLOW

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• Communication of the results to inspire and generate actions• Keep the research agency involved even post-delivery• Regular updating

OUR APPROACHONCE THE SEGMENTS HAVE BEEN PROFILED

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ONCE THE SEGMENTS HAVE BEEN PROFILED….….THE SIGNIFICANCE OF NAMING SEGMENTS

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SUCCESSWHAT DOES SUCCESS LOOK LIKE?

There are of course the ‘bread and butter’ rules of segmentation. To make them: intuitively correct,

replicable, identifiable, differentiated propositions, meaningful from a targetting perspective

Success is seeing it integrated into everyday decision-making and

strategy

Success is when people are using the segmentation; when

actions are driven by what you’ve learned; when your

people are using the names of the segments all the time; and media buys are orchestrated

by the segments

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FAILUREWHAT DOES FAILURE LOOK LIKE?

When it sits on a shelf and people go about their business

as usual

Something that look like an expensive academic exercise; inaction, no one

does anything with it

If I didn’t do anything to build consumer empathy, I

would feel like I failed

Misunderstanding of the limitations; the

segmentation is not always the answer to questions, in

particular when the question behind them is

different

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LINKING EXISTING SEGMENTATION TO TGIOUR PREFERRED APPROACH

Identify TGI variables to add to / harmonise with the ad hoc survey

Discriminant analysis identifies a) which variables best classify TGI

respondents into client segments and b) a mathematical model to compute “best

fit”

This model or algorithm is applied at a respondent level (i.e. line by line) with

every respondent being allocated to the best fit segment

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A customised TGI database is created with the segments appended

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TURNING OUTPUTS INTO ACTION

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TURNING OUTPUTS INTO ACTIONA RANGE OF OUTPUT FORMATS

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• Reanimation Workshop• Golden Questions / Intranet Modules• Inspiring creative materials (top-trumps, voxpops, etc)• Provision of Database (linked to TGI)

TURNING OUTPUTS INTO ACTIONEMBEDDING THE SEGMENTATION TO ENSURE SUCCESS

“I feel I now really understand who our segments are as people”

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REANIMATION WORKSHOPBRINGING DATA TO LIFE

• Conventional presentations are helpful but have limitations• Reanimation workshop attempts to bring the research to life

• Live session involving all key stakeholders• Engaging for non-researchers• ‘On the fly’ analysis via TGI database allows hypotheses to be tested

but ensures that researchers remain in control• Minimises stereotyping• Handouts, stimulus material (eg swag bags, mood boards) used to

inspire and make more memorable• Fun and engaging way to digest results and drive the insight through

the organisation

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