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Consumer Panel Data Analysis
WeSch
T h e C O L O G N E
Using Panel to understand Consumers
Source : AC Nielsen Insight
Understanding Consumers - Purchasing Behavior
House Hold Panel data – period to period volume
changes
Understand volumetric data – delivers basic
measures
Source : AC Nielsen Insight
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
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
 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
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
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
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
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
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
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
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
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.
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.
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.
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.
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.
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 *
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

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Consumer panel data analysis

  • 1. Consumer Panel Data Analysis WeSch T h e C O L O G N E
  • 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