Segmentation
Market and consumer segmentation is a core foundational knowledge requirement for achieving and building sustainable brand growth. At NOVERNA we consider segmentation work as the cornerstone for identifying the appropriate customer audiences for brands and delivering the right products , services and experiences to them in the right way, at the optimal time-point and through the most effective channels.
Strategic Segmentation
Since 2004, we have engaged with engagements and brands in more than 60 segmentations projects internationally, spanning a wide range of industry sectors. Our Segment Locator methodology uses the most advanced analytical techniques to derive at truly unique and actionable market segments and to answer vital strategic and marketing inquiries such as:
- Which are the key segments of the market and what is their relative size and worth?
- What are their needs and who is currently serving them?
- What is the potential in serving the segments we want?
- Where can we reach them?
- What and how should we communicate to them?
Meaningful and Realistic Segmentation
A common mistake in market segmentation is forcing segments into old frameworks. This can lead to ineffective decisions and investments.
Our NOVERNA approach is unbiased, focusing on identifying relevant segments based on industry and brand specifics. We use advanced statistical modeling to determine key dimensions for each segment, including:
- Demographics – factoring in age, gender, social class, region, education, wealth levels
- Consumer needs – including current and future requirements and expectations
- Brand selection drivers – considering product or service related, pricing, customer servicing, emotional and image related aspects
- Usage and attitudes drivers – based on current usage patterns and prevailing attitudes
- Product categories – based on usage of specific products and services
- Psychographics – focusing on the broader personal dispositions of consumers
Actionable Segmentation
Our segmentation work is unique in providing actionable segmentation perspectives and roadmaps for our clients’ brands. To achieve this we actively engage with our clients in an interactive process in order to build on our strategic and realistic segmentation outputs. This involves:
- On-going discussions and brain-storming on the key segmentor variables
- Engaging in an iterative process of deriving market segments
- Prioritizing customer segments to align with overall brand growth and revenue growth strategy
- Aligning approaches to target customer segments with the over-arching values of the brand and customer strategy
- Mapping strategies for specific customer segments to the internal departmental level, thus creating ownership of specific action points required to satisfy and reach each customer segment’s needs
- Ultimately defining and mapping customer strategy in the medium to long-term