Defending DIY in Retail Segmentation

16 Jun 2015

Is there a difference between consumer demands and the demands of our consumer?

Damn right there is.

One is what our customers expect us to deliver.  It’s the quality product, the outstanding service.  It’s the doing what we said we’d do.

The other is a picture of the pressures faced by people that buy from us.  It’s the knowing what drives them, inspires them, what keeps them up at night. And it’s using that understanding to solve whatever challenge we can.

Responding to consumer demands is part of persuading our customers to buy more. Understanding the demands of our consumer is about convincing them to buy from us in the first place.

We don’t know about you, but we know where my clients spend most of their money.  Customer acquisition, hands down.

You’d think driving more sales by understanding who’s buying would be the bread and butter of Australian retailers. Certainly all the retail conferences we’ve ever been to, here and overseas, talk segmentationmodelling and targeted offers.  And, truthfully, there are only so many times we can hear the (awesome) Netflix examples before we have to ask, is that really what we’re doing in Australia?

Our sense is that it’s a different story on the shop floor.  When we survey retailers about segmentation, the words they use are ‘it’s difficultconfusing’ and ‘hard to do.  At best, it’s ‘I know that we need to do it, I just don’t know how to get started.

In good Australian fashion, perhaps there’s a DIY solution.  A good do-it-yourself segmentation could be all the nudge you need to trial different messages to different audiences and – voilà – more sales.

If you think the demands of your customer are worth knowing – and that you’ll get more sales out of it – then check out our 4 and a half steps to make DIY segmentation easy.  We hope they give you the nudge you need to give it go.

Bold Discovery is continually testing the Australian and US markets, uncovering emerging trends in consumer behaviour. If you want to understand your customers better than ever before, give Bold Discovery a call +61 03 9005 7330.