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What is Segmentation A process of looking at the audience or ‘market’ and seeking to identify distinct sub-groups (segments) that may have similar needs,

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Presentation on theme: "What is Segmentation A process of looking at the audience or ‘market’ and seeking to identify distinct sub-groups (segments) that may have similar needs,"— Presentation transcript:

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2 What is Segmentation A process of looking at the audience or ‘market’ and seeking to identify distinct sub-groups (segments) that may have similar needs, attitudes or behaviours. The aim of any segmentation should be to define a small number of groups so that: - All members of a particular group are as similar to each other as possible - They are as different from the other groups as possible.

3 Types of Segmentation Behavioural Divides people into different groups based on the way they respond to, use, or know of a product or service. Psychographic Divides people into different groups related to how a person thinks, feels, and behaves. Demographic Divides people into groups based on the way they respond to, use, or know of a product or service. Geographic Divides people into different groups related to how a person thinks, feels, and behaves. Geo-Demographic Combines demographics and geography into a segmentation. Identifies clusters of geographic areas that have similar demographic profiles.

4 Geodemographics Geodemographics has been defined as the ‘analysis of people by where they live’. It uses geography to help us draw general conclusions about the characteristics and behaviours of the people who live in them. Makes the assumption that similar people live in similar places, do similar things and have similar lifestyles ‘birds of a feather flock together’.

5 Geodemographic Segmentation http://booth.lse.ac.uk/ Charles Booth’s 1898-99 Poverty Map of London Webber and Craig (1976 & 78) Office of Population Censuses and Surveys (OPCS) commissioned three classifications based on the 1971 census. Key variables used included unemployment, students, two car households, industry sector, social class, age, migration, tenure, overseas immigration, overcrowding and household amenities Commercial sector saw potential benefits of area classification. The British Market Research Bureau (BMRB) restructured Webbers classification and renamed it ‘A Classification of Residential Neighbourhoods’ (ACORN). http://www.geog.leeds.ac.uk/people/old/d.vickers/d.vickers_ thesis_c2.pdf

6 Geodemographic Segmentation

7 Tools Available

8 Example Profiles using ACORN

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13 These are low income families living on traditional low-rise estates. Some have bought their council houses but most continue to rent. Estates will usually be either terraced or semi-detached. Two bedroom properties are more typical but the larger families may be housed in three bedroom properties. Either way there may be an element of overcrowding. On some estates there are high numbers of single parents while on others there are more elderly people, some with long-term illness. Incomes are low and unemployment relatively high. Jobs reflect the general lack of educational qualifications and are in factories, shops and other manual occupations. There are fewer cars than most other areas. Money is tight and shopping tends to focus on cheaper stores and catalogues. Visiting the pub, betting, football pools, bingo and the lottery are the principal leisure activities. These families share the twin disadvantages of educational under achievement and consequent lack of opportunity. They are struggling to get by in an otherwise affluent Britain. ACORN Group N: Struggling Families

14 Other Segmentation Tools Health ACORN Personicx Geo

15 Other Segmentation Tools P2 OAC

16 Case Study - Snack Right The Snack Right social marketing campaign was undertaken by the Cheshire and Merseyside Public Health Group (CHAMPS), to address a perceived need to reduce consumption of unhealthy snacks by pre-school children during the ‘danger period’ between the end of organised day care and teatime. Mosaic was used to build up a picture of the target population of families with young children in deprived areas. This knowledge of the relevant Mosaic segments informed the design and conduct of focus group work, and also helped to identify potential retail partners to involve in the campaign. www.nsms.org.uk/public/CSView.aspx?casestudy=37

17 Birds of a feather may not always flock together Most geodemographic tools have a large Census 2001 component Analysis of the profiles is usually based on probabilities, rather than hard data. They are not really intended to be used as a trend monitoring tools. Cannot quickly detect change Geodemographics, and segmentation tools in general, in themselves do not provide the answer. They are simply one of a range of tools and approaches that can be used to generate insight and health intelligence to support social marketing decisions. What geodemographics can not tell us.

18 Population health profiling - Understanding the characteristics of small geographical areas. - Mapping and visualisation. How do they add value? Targeting health interventions by identifying areas with excess expected prevalence/incidence etc. Social marketing and communications Measurement of health inequalities by: - Explaining variation in health determinants, outcomes or services. - Providing a more granular measure of health inequality. Support data linkage, and non-disclosable data sharing. As a base for generating additional insight - on top of the off-the- shelf descriptions.

19 Useful Links National social marketing centre: www.nsmcentre.org.ukwww.nsmcentre.org.uk APHO tech briefing 5: www.apho.org.uk/resource/item.aspx?RID=67914www.apho.org.uk/resource/item.aspx?RID=67914 Output Area Classification User Group: www.areaclassification.org.ukwww.areaclassification.org.uk CACI: www.caci.co.uk/acornwww.caci.co.uk/acorn Experian: www.business-strategies.co.ukwww.business-strategies.co.uk Acxiom: www.acxiom.co.uk/QuickLinkswww.acxiom.co.uk/QuickLinks Beacon & Dodsworth: www.beacon-dodsworth.co.ukwww.beacon-dodsworth.co.uk

20 Simon Orange, Public Health Information Analyst Yorkshire and Humber Public Health Observatory, spo500@york.ac.uk 01904 328225


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