Speaker: Tony Cardinale, Bravo, Oxygen, & Women at NBCU, NBC Universal
Tony begins by stating that the problem that they first encountered. There were hundreds of pieces of intelligence about consumers in the economic downturn, but they weren’t sure of the validity of the information. To replace the information they had about a demographic target and replaced it with more dynamic intelligence. They did mixed surveys and asked questions like how are you doing a year ago, how are you doing now, and how do you think you will be doing in year.
There were over 4,000 respondents to the questions and they created several segments. Based on the survey people were quoted as a 1, 2, and 3 depending on how optimistic they were about the recession. What they found out was that consumers that had digital cable were more recession-proof than those consumers who had satellite.
By utilizing the economy scales, marketers can send personalized messaging and offerings to consumers. Also, just like the scale 12 category scales were created including nightlife, style, food, etc. The tool allows to separate the categories and economy scales which helps companies understand if they have to create a new product line to reach the 1′s who are most at risk because of the recession or change their messaging.
Tony summarizes my mentioning that demographics and product usage history aren’t enough to efficiently target in this new economy and that there are measurable benefits to optimizing against a target that’s economy sensitive.
In the weeks leading up to The Market Research Event 2009, we’re going to be hearing from the speakers of The Market Research Event. This week we have Tony Cardinale, Bravo, Oxygen, & Women at NBCU, NBC Universal, who will be presenting “Segmentation reveals new ways to Connect Optimally with Consumers in an Economic Downturn,” in the Segmentation Track on Monday, October 19, 2009. To learn more about The Market Research Event, download the brochure here!
1. Tell us about a project you are working on or recently completed that you are proud of?
Cardinale: Very proud of the New Economics Planning Tool that we created in partnership with Simmons. The tool is a customized version of the syndicated Simmons National Consumer Study which is used at many media companies and media agencies. It allows a user to create segments of consumers based on their reaction to the economic downturn of the past year-plus. Some consumers are more resilient brand spenders and big-ticket spenders, either because their personal financial outlook remains positive or because they just highly value brands, or prioritize their plans to buy a home or take a vacation. Other consumers are looking to spend less overall, or spend less in specific categories. The tool is designed to isolate the consumers who are in each of these groups, category by category, allowing a marketer to add that layer of intel to their targeting process. It’s the only tool of its kind that we know of.
2. Think ahead 5 years, what major changes for MR/Consumer Insights do you see?
Cardinale: I’d love to see traditional age/sex targeting replaced or augmented by a real marketing industry focus on behavioral and/or attitudinal targets.
3. What inspired you to get in the field? What keeps you motivated?
Cardinale: I love tooling around with numbers to see what stories pop out of them. It’s my hobby. Knowing that there’s always something new and innovative to try just around the corner keeps me motivated.