2. Using Panel to understand Consumers
Source : AC Nielsen Insight
3. Understanding Consumers - Purchasing Behavior
House Hold Panel data – period to period volume
changes
Understand volumetric data – delivers basic
measures
Source : AC Nielsen Insight
4. Household Panel
Data collection
after shopping
trip
Purchase
recording
Store /
Channel
Purchase
Habits and
Demographic
groups
Buyers study
Quantification
and Design of
strategies
Source : AC Nielsen Insight
5. H O U S E H O L D PA N E L
Quantification of composition or brand volume
Consumer Purchase behavior
Shopping Habits
Demographics
Attitudes and opinions
• C o l l e c t s C o n s u m e r s h o p p i n g a n d p u rc h a s e d a t a
f ro m a l l o u t l e t c h a n n e l s
• G e o g ra p h i c a l l y d i s p e rs e d a n d d e m o g ra p h i c a l l y
b a l a n c e d
• S a m p l e p ro f i l e m a t c h e s t h e p o p u l a t i o n c l o s e r
• P ro j e c t e d t o C e n s u s e s t i m a t e s – u p d a t e d –
p o p u l a t i o n c h a n g e s
Source : AC Nielsen Insight
6. Date of purchase.
Age and sex of primary and secondary shopper.
Store name.
Usage of frequent shopper cards.
Complete item description through UPC dictionary.
For each UPC, the number of units, price paid, and deals used.
Dealing – specified by the panellist as manufacturer coupon, store
coupon, store sale, or other.
Source of the coupon – at home, at the register, elsewhere in the
store.
Total shopping trip purchase amount.
Method of payment – cash, cheque, credit card, or debit card.
P U R C H A S E I N F O R M AT I O N
Source : AC Nielsen Insight
7. PA N E L DATA
Who are your buyers?
How often do they buy?
Where do they shop?
Are they loyal to your brand?
How do they respond to your marketing efforts?
Why behind why? Why did sales increase? To which
competitor did my brand lose share? What caused my
shares to decline? – Purchase Frequency or Purchase
Size?
Source : AC Nielsen Insight
8. K E Y M E A S U R E S
Penetration
• Number of HH
purchasing the
product at least
once during the
time period.
Buying rate
• Average volume
purchased by
buyers during
the given time
period.
Purchase
Frequency
• Average
number of
times each
buyer purchases
the brand
during the given
time period.
Purchase Size
• Average
purchase
volume
purchased each
time the
product is
bought.
Source : AC Nielsen Insight
9. B E H AV I O U R A L M E A S U R E S
Deal Propensity
•Percentage of Brand
volume sold that a
panelist reported ‘On
Deal’.
•E.g.: Manufacturer
coupons, Store
coupons, Store Deals
Repeat rate
• Percentage of
buyers that make
2 or more
purchases during
a given time
period
Purchase Cycle
•Purchase cycle only
considers the
number of purchase
occasions among
repeat buyers (in
number of days) and
gives a feel for the
consumer usage rate
of the product
Brand Loyalty
• It represents the
percentage of
category volume
purchases among
item buyers who
are satisfied by
that item.
Source : AC Nielsen Insight
10.
11. F R A G R A N C E I N D U S T RY – C U S TO M E R R E S E A R C H
Pe o p l e s ta r t s t o u s e f ra g ra n c e a t a g e 1 0 , w i t h 1 2 %
s t a r t i n g b e l o w 1 0 , i n c l u d i n g B o d y s p ray
5 8 % o f re s p o n d e n t s c l a i m e d t o u s e f ra g ra n c e o n a d a i l y
b a s i s ( To t a l s a m p l e o f 2 0 0 0 a d u l t s )
8 2 % ( 4 o u t o f 5 ) c l a i m e d t o u s e f ra g ra n c e “ fo r
t h e m s e l v e s ”
O n a v e ra g e , p e o p l e w e a r a fa v o r i t e f ra g ra n c e fo r t h re e
y e a rs
Source : Key Fragrance findings from the Premium Market Report 2011, Fragrance foundation
12. R E A S O N S F O R S W I TC H I N G TO A D I F F E R E N T F R A G R A N C E
Source : Key Fragrance findings from the Premium Market Report 2011, Fragrance foundation
Change of mood (71%)
Special occasion (54%)
Change of season (28%)
Friend’s recommendation (16%)
Popularity of scent (10%)
No particular reason (15%)
In choosing to buy,
53% would tend to try a new brand
47% would buy their favorite brand
13. W H AT A R E C U S TO M E R S LO O K I N G F O R I N A F R A G R A N C E
Source : Key Fragrance findings from the Premium Market Report 2011, Fragrance foundation
Long lasting scent
Makes me feel attractive (esp. under-25s)
One that others comment on (esp. under-
25s)
Makes me feel seductive (esp. 25-49s)
Changes or enhances the mood
F R A G R A N C E T Y P E S A N D P R O P E N S I T I E S
Trend towards fresh, clean, flowery, fruity, citrus
Trend away from marine, herbal, musky, spicy, woody
Under-18s prefer citrus notes
Under-25s prefer fruity and flowery notes
35-45s and over like musky notes
14. P U R C H A S E D E C I S I O N M A K I N G A N D B E H AV I O U R
25-49s know what they want but also tend to buy on impulse
Under-25s tend to explore different scents and brands
Three out of five customers were more likely to buy a fragrance samples in
a magazine (foil pouch samples preferred)
Three out of four customers say that when they find a fragrance they really
like, they tell their friends about it
Customers claimed to spend more on fragrance for themselves than on
fragrance as a gift
Customers on average buy 4 fragrances a year
Under-25s like the shopping experience to include great music, rich
surroundings and good-looking consultants
25-49s prefer to shop for fragrance without being bothered
Source : Key Fragrance findings from the Premium Market Report 2011, Fragrance foundation
15. S T R AT E G I E S
T RY I N G B E F O R E B U Y I N G
S I G N AT U R E F R A G R A N C E
C E L E B R I T Y A D V E R T I S I N G
P R E S S A D V E R T I S I N G
“Word travels fast.” Nearly 3 in 4,
when they find a fragrance
they really like, they tell their friends
about it.
16. T RY I N G B E F O R E B U Y I N G
Customers never buy a fragrance without trying it first.
Under 24 were the most insistent on trying before buying.
Consumers selects fragrance for the smell.
S t ra t e g y :
Given the large number of new and existing brands vying for people’s
attention on-shelf, we can provide more opportunities to test and sample brands
for WeSch product.
If customers have the opportunity to try a fragrance, they are more
likely to buy it.
17. S I G N AT U R E F R A G R A N C E
Customers wore more than 1 fragrance depending on mood or occasion.
Under 24 more likely to wear one special fragrance all the time.
S t ra t e g y :
Demographic needs are to be taken into consideration. Introduction of
variants and fragrance collections, for the customers who wore more than 1
fragrance will drive the repeat purchase. Further, one signature brand can be
introduced to cater the under 24 customers.
Bringing out a collection injects newness and interest into a
brand with the added bonus of securing additional shelf space and visibility
in-store.
18. C E L E B R I T Y A D V E R T I S I N G
Customers are more likely to buy a product endorsed by their favorite celebrity.
Customers tend to ask for the brand quoting that particular celebrity.
Customers show increased attitude of reliability when endorsed by a celebrity.
S t ra t e g y :
Celebrity advertising creates multiplier effect. Successful Brand =
Effective product * Distinctive identity * Added values.
It influences customer decisions. It bestow special attributes upon a
product that it may lack otherwise.
19. P R E S S A D V E R T I S I N G
In 2010, three out of the five top advertised brands were new fragrances.
In men’s fragrance, new brands tended to rely more on editorial than
advertising.
In women’s fragrance, new brands tended to rely more on health care and
lifestyle magazines.
S t ra t e g y :
Decisions need to be taken while considering Press Advertising:
Categories : Dailies, National Press, Lifestyle Magazines and Business reviews ;
Quality of coverage : Full Feature, Editorial with Photo, Mention with Photo and
Editorial Only ; Position of coverage : Front Cover, Contents Page, First Half of
Publication - Facing Page, First Half of Publication -Non-facing Page, Second Half
of Publication -Facing Page, Second Half of Publication -Non-facing Page.
20. R E F E R E N C E S
• G re e n b e rg Ke n , V P M a r ke t i n g , A C N i e l s e n
H o m e s c a n , U S , A C N i e l s e n I n s i g h t : U s i n g Pa n e l s t o
U n d e rs t a n d t h e C o n s u m e r.
• M y m a r ke t m o n i t o r. c o m | E xa m p l e re p o r t o n P re s s
A d v e r t i s i n g . p d f
• F ra g ra n c e fo u n d a t i o n . o rg . u k | Ke y F ra g ra n c e F i n d i n g s
f ro m T h e P re m i u m M a r ke t Re p o r t 2 0 1 0 / 1 1 *
21. Fragrance is more than just perfume, it is a part of
lifestyle and daily routine.
THANK YOU!
Abdul Rahim Shah
Abbas Mithaiwala
Baleshwar Srivatsava
Vidhyalakshmi K
Vinay vittal Patil