Retailer segmentation study
Our client (a major high street retailer) wished to re-examine their market, following a number of changes. The objectives were to:
- Identify customer segments and evaluate a hierarchy of needs for each group
- To determine key axes of differentiation between retailers
- To examine the potential effect of changes in the retail offering
- To evaluate opportunities for development
The client had already identified a set of ‘needs’ that customers in their market required, but wanted to understand how the different retailers were viewed in terms of these needs and how this influenced choice of store.
We used our STATEGIST approach for this study combining:
Using modelling techniques, we were able to deliver our client a model which gave indications of likely retailer share if particular store attributes were improved / changed. This was used strategically for long term development of a very successful retail brand and also tactically in individual towns and cities to help stores counter particular competitive threats. It was also used to effectively target specific groups of customers to improve the offering to them.
