Posts Tagged ‘segmentation’

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Posted January 15, 2010 at 5:58 pm
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Pet owner dependence on the veterinarian is a significant indicator of spending behavior.

In January 2009, Trone® reported the results of a consumer study that identified six unique segments of pet owners. These attitudinally and behaviorally based groups displayed distinctly different relationships with their pets which were reflected in their pet-related spending.

As a follow-up, in December 2009, Trone launched another pet owner survey utilizing our opinions@trone database and infrastructure. This study, while confirming the findings of the previous work, uncovered interesting new information about the relationship between pet owners and veterinarians. The degree to which pet owners are dependent on the veterinarian is also a strong predictor of spending behaviors. And, it is not limited to spending exclusively done in the clinic.

Of the 945 pet owners surveyed (559 dog owners and 386 cat owners), 43% of dog and 34% of cat owners were deemed to be veterinarian dependent. Many of the behaviors distinguishing this group were definitional. As you would expect, owners who are veterinarian dependent are appreciably more likely to take their pet to the veterinarian two or more times a year. And they expect to spend significantly more on veterinary services over the lifetime of their pet than do their non-vet-dependent counterparts.

Veterinarian-dependent pet owners and their non-dependent counterparts share many common attributes.

Not surprisingly, dependence on a veterinarian is somewhat income driven. The vet-dependent group was 72% more likely to have an HHI over $75,000. But, households with incomes greater than $75,000 were less than 23% of the sample. Trust in the veterinarian and concern for the pet are even less likely than income to explain the dependence. 95% of the vet-dependent audience indicated a high level of trust in their veterinarian’s recommendations which was mirrored by the 90% of non-vet-dependent respondents who also trust their vet. The study included a number of measures of concern about their pets. On most of the questions there were only marginal differences demonstrated by the two groups. For example, when asked about the importance of protecting their pets from common parasites (fleas, ticks and heartworm), agreement numbers didn’t vary as much as 10% for the two groups.

The level of engagement differences between veterinarian-dependent and non-vet-dependent pet owners is evident in a range of behaviors.

While both groups have modified their pet-related spending as a result of the economic downturn, the veterinarian-dependent group has widened the spending gap. They’ve reduced their already higher spending levels less than the non-vet-dependent segment.

The vet-dependent group demonstrates a higher degree of product brand loyalty. They are 22% more likely to agree with the statement that they shop the stores that carry the brands they like rather than buying the brands that the store they like carries than their non-vet-dependent counterparts. As a result of this attitude, they are much more likely to shop the breadth of available outlets, including online. The sole exception is mass merchants which attract more non-vet-dependent customers in all categories from food (77% v. 56%) to flea and tick medications (43% v. 22%).

Veterinarian-dependent owners are also much more likely to have consulted with their veterinarian on purchases made outside the clinic. For example, they are more than three times as likely to have sought input on non-prescription food choices. And, they are more likely to act on the input they receive. 62% of vet-dependent pet owners have changed a basic product (i.e. food, shampoo, flea/tick treatment, etc.) in the past two years based on advice they received from their vet while only 11% of the non-vet-dependent group has taken such actions.

The challenge for marketers is to influence the influencer.

The challenge for marketers is leveraging the power of this highly influential veterinary group. In some cases the need is obvious. If a product is sold through the vet channel, some degree of engagement is necessary to achieve shelf space. But, taking the relationship beyond the basics and making your brand the preferred and hopefully, recommended choice is key. For products not sold within the veterinary channel the challenge is even greater. How do you engage the veterinarian to speak well of your brand? Must you rely on the pet owner to broach the subject or can your product interject itself into the conversation via the veterinarian? To answer these and the myriad of other questions that arise requires a unique understanding of the brand, the target, the influencer and the environment in which they interact.

If you are interested in connecting with pet owners, email Kimberly, our pet team lead.

Find out more about how we talk to pet owners»

Posted November 16, 2009 at 12:44 pm
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Should you be talking to the Data Darling?

In the latest Trone(R) panel survey, fielded October 2009, six distinct mom segments emerged. As marketers develop communications, it is critical to recognize the differences in the groups and how they use and value brand information.

First of all, there are many universal truths about moms. They are moms and just as one would expect they put their children first. Moms see themselves first and foremost as protectors (85%) and providers (80%) with teacher as the next highest (75%). When it comes to safety, moms are skeptical. For example, only 15% feel that products are safe and that the government does a good job at monitoring the safety of products. Most all moms love natural products, but the added expense is a hindrance.

With that being said, the differences in Moms are just as interesting as their similarities and skepticisms.

 

Fashionistas

They are twice as likely as their counterparts to be influenced by brand name when it comes to children’s purchases. Not surprisingly, they are less focused on product durability, especially in clothing. But they are a loyal group, displaying a brand loyalty 30–40% higher across all categories than their counterparts. They are by far the most “me-centric,” admitting to spending too much money on themselves.

 

Intellectuals

The distinguishing characteristic of this group is their self-description. They are notably more likely to describe themselves as outgoing, aggressive, creative and smart. They do share some attributes with Fashionistas like valuing brand names, but they find their product decision more important. They use the presence of children in the home to buy more or bigger things: homes, cars, cameras, etc.

 

Affectionates

Maybe the most traditional of all the moms, they do distinguish themselves in many ways by what they are not. They are not brand or retail loyal. They are not trusting of nearly all sources of information on raising children, especially published information in blogs or magazines. She is also the least likely to see herself as her child’s best friend. But she is the most likely to see herself as friendly and approachable (Affectionates 93% v. total sample 74%) and kind and sincere (100% v. 79%).

 

Relationship mom

The name says it all. This mom scored the highest on every descriptor of their relationship from provider 99% to best friend 51%. They put tremendous stock in family opinions on raising their children. They display the highest retail loyalty of any group but put the least stock in brands. However, they are no more likely than the others to have switched brands as a result of the economy, but they are more than 30% more likely to stick with their new brand relationship.

 

Worriers

Scoring lowest on all aspects of relationship with their children (49% v. 65%), this group was much more worried about their children than any other segment. From their children’s behavior, academics to future decision making they are doubly concerned than the average of all other groups. Not only are they worried about their children, their anxiety crosses over to their relationship with their spouses and long-term finances.

 

Data Darlings

She loves information and is appreciative of all resources, especially on the subject of raising children. She is a marketer’s dream in that she values company websites (49% v. 29%) as well as articles so much more than other groups. Not surprisingly, they give advertisers more credit for understanding their needs. They share the propensity with the Affectionate mom to be less brand and retail loyal. Along with the Fashionista, the Data Darling is the most engaged with the internet, participating in social networks and blogs.

The survey revealed that a fifth of all moms are Data Darlings and are viewed by peers as a key source for brand information. Her value to marketers is invaluable.

Trone has found low bounce rates to be one way to evaluate the Data Darlings’ appreciation of meaningful online information. This fall, Trone designed and developed a website for Healthtex children’s clothing. The brand was virtually unknown to today’s mothers. The site was designed to educate this missing generation of young mothers on the attributes of a brand their mothers knew and loved. A link to Walmart allowed moms to purchase the clothing. The results were astounding. Moms stayed and absorbed information with an unheard-of 2.9% bounce rate from the site (The average for a product site is 13–15%). Visit the site for yourself.

Healthtex Website - Home

 

Find out more about how we talk to mom»

 

Posted May 21, 2009 at 5:01 pm by Will Spivey
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denverI’m writing this on a cross country flight.  While I don’t exactly relish the “pleasures” of commercial air travel these days, when I fly coast to coast I’m always struck by the vastness of our nation.  What’s interesting is how making this trip during the day versus at night impacts my thinking.

During the day I look out the window and I’m struck by the vastness of the space, and but how much open space we have to enjoy in the country.  From 35,000 feet, during the day the landscape is dominated by natural features – mountains and lakes and plains and canyons.  But at night, the real opportunity we marketers have becomes apparent.  At night I’m always dazzled by the seemingly never-ending string of lights below.  I realize that each light is a home or a business – in essence each light is somebody’s customer.  The possibility presented by all these lights is nearly limitless.

So why is it, amid the vastness of the opportunity that is the American consumer, that marketers still feel compelled to shout their messages, as loudly possible, to as many people as possible?  With consumers taking control of their media consumption like never before these marketers just get lost in the din.  And it doesn’t have to be that way. 

Just look at the lights.  There’s so much opportunity.  But to win requires focus.  Pick your fights carefully.  You can’t beat everyone.  And if you try to mean too much to too many you’ll end up meaning nothing to everyone.   Segment your market. Pick your fight, and unmass your message.  It’s a big country.  To compete and win you need to make it as small as you can.

Posted January 16, 2009 at 5:45 pm by Jamie Walsh
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Over a year ago, I started to hear a little buzz about Twitter.  You heard how it’s cutting edge and the next horizon in social networking, but I wasn’t really buying into it and thought it would fizzle like so many other networks with soooo much promise. 

Now here I sit with the hype getting louder and more frequent, which is making me think is Twitter the real next big thing?  We are all witnessing the flocks of people who have either already dumped or considering dumping MySpace for Facebook.  Next year could we witness the same thing so people can Tweet? 

In our recent Online Behavior Study, we found out that about 12% of those surveyed update their status on Twitter.  A large number of those respondents fell into one segment, Technological Drivers.  Interestingly enough, this is also the segment that drives much of the user-generated content on the web through blogs, wikis, message boards, etc.

 Now this is where Twitter becomes very important and why brands need to be aware of their Tweet presence.  Twitter is quickly becoming one of the strongest centers of influence for social platforms and user-generated content.  In an instant, 1/3 of Technological Drivers can be exposed to experiences from their peers as its happening making word-of-mouth spawn quicker than it ever has before.  Within hours a bad brand experience can be subject to thousands of tweets and the subject of even more blog posts.  And we know once the blogosphere catches on, it becomes fodder for news sources.

 So what do brands need to do?  Marketers need to make sure that they proactively understand the pulse and noise around their industry and brand itself.  Then brands need to react to ensure that they are delivering the proper messages and experiences that they want associated with their brand to ensure that they are not the next victim of Twitter.

 Now how many of you are running to Twitter right now to see what all the hype is about?

Posted January 14, 2009 at 2:44 pm
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472281_95782724Technology is changing faster than people can grasp. You almost cannot go a day without hearing about online destinations such as Facebook, MySpace or Twitter or hearing about mobile devices and the 3G network. Seemingly, it’s all too easy for older generations to say, “Oh, that’s for the young people.” But actually technology adaptation and someone’s online behavior have very little to do with age.

Trone, Inc. recently (December 2008) conducted a nationwide survey of over 2,600 consumers about their attitudes and behaviors regarding internet usage, social media and mobile devices. Trone also wanted to understand people’s likelihood of actively participating on emerging Web 2.0 platforms and whether or not they were contributors or consumers of information posted on blogs, wikis, social bookmarking and networking.

Through the research, Trone identified six segments of users online. Surprising to some, the segments are fairly independent demographic characteristics of age, children at home, ethnicity, education and income level and more identifiable by behaviors and interactions with technology. The segments are defined as:

  • Social Expressionists (18%)
  • Technological Drivers (10%)
  • Savvy Users (15%)
  • Convenient Users (18%)
  • Information Supplementers (20%)
  • Technological Minimalists (19%)

The most notable insight out of the segmentation is that online behaviors parallel an individual’s offline world. For instance, the Social Expressionists were identified through psychographic data as the most extroverted segment. 50% of this group was a member of one or more social networks that they visit multiple times a week. The prime reason this group uses technology is to connect and maintain their social life through activities such as texting, email, social networking and photo sharing.

Social Expressionists are a contrast to the Technological Drivers, who are the most active online, especially with emerging technologies. Offline, Technological Drivers have a general thirst for new information and the exchange of information. Web 2.0-friendly properties allow this to happen on a grander scale. This segment helps create conversation and dialogue online through blogs, wikis, bookmarking, virtual communities and message boards. They also have a greater likelihood to establish and maintain relationships with individuals solely online.

As we move into 2009 and further into the digital age, marketers must become even more diligent at evolving their traditional segments as media becomes even more fragmented. The industry must also accept that we can no longer define our target as one generalization, but rather micro-targets that shape our messaging, media spend and tactics to create brand connections.

Posted January 5, 2009 at 8:03 pm
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Why most marketers aren’t connecting with today’s mom.

Take a look at any advertising targeted to moms and you’ll quickly notice a familiar cast of characters. The Soccer Mom. The Super Mom. The Career Mom. And yes, even June Cleaver. It’s the safe and easy route. But is it working? We thought maybe we should ask moms. We did, and we found that Mom is tired of being typecast and we’ve got some work to do to reconnect with her. Using our Trone Brand Connections Panel, we heard from over 1,500 moms across the U.S. who currently have a child 18 or under in the home. When it comes to advertising, the results were clear:

  • 74% of moms do not find advertising useful
  • 86% of moms think advertisers don’t understand what it’s like to be a mom
  • 86% of moms think advertisers don’t understand their problems

Usefulness of Advertising to Moms

To really understand today’s mom, Trone developed and fielded an online segmentation study. The study revealed that what really differentiates moms are not their demographics, but their attitudes and motivations. Motivations and Attitudes Everyone values time and money. We discovered moms value those two resources in very different ways. Using a variety of questions about time and money, we learned that moms fell into three core motivational segments: Moms who focus on “me first,” “kids first” and “information first.” While they’re all motivated to some degree by all three, they have a primary motivation that rises to the top of the list. Within these three motivational segments, exists six attitudinal segments, two in each.

What Motivates Moms

What Motivates Moms

“Me First” Moms

Fashionistas – “Appearance is everything to me…clothes, my home, my car” • They don’t like to drive cars more than five years old and their child’s image is important to them

Cool Influencers – “I’m very sociable, trendy and enjoy recommending things to all my friends” • They often provide health and fashion advice and are often the first to try new products

“Kids First” Moms

Relationship Moms – “I can adapt to whatever my children need” • They’re good at wearing many different hats • If they had an extra two hours a day they’d spend it with their family

Affectionate Reliables – “My children are so dear to me” • They are very conscious of what their kids wear and what they eat

“Information First” Moms

Worrier Moms – “Life is overwhelming and kids have taken over” • They’re stressed by everything: from taking care of kids to their own relationship

Answer Seekers – “I’m on the lookout for helpful information wherever I can find it” • They are plugged in to multiple sources of media: tv, radio, internet and more • If they had an extra two hours, they’d spend time with friends or on a hobby

Connecting the dots If you want to create relevant and believable brand experiences for moms, you need to figure out how your brand connects with what she truly values. It’s not enough to save her time and money. “Me First” moms are interested in brands that are trend savvy. “Kids First” moms will resonate with brands that reflect their values. And “Information First” moms are looking for brands that offer solutions. Use that as a first step to evaluate how your brand can start making more authentic brand connections.