Transcript Shopper Insight Report

Shopper Insight Report- Beer Category
HGCA and VCR² Kent Business School Report
Contents
• Providing Shopper Insights
• Objectives
• Data Sharing Restrictions
• Executive Summary
• Analysis
• Appendix
Health Warning!
• The dunnhumby data offers unparalleled breadth and depth
but it does not tell us why shoppers behave the way they
do
• Further research is warranted in order to understand the
purchasing drivers (e.g. attitudes, perceptions, motivations)
before changes are made to the marketing mix (product,
price, place, promotion) or resources are deployed for the
development of new products
Providing Shopper Insights
Providing Shopper Insights
• Collaboration between HGCA and the Centre for Value
Chain Research at Kent Business School since 2005
• Sponsorship of PhD students
• Access to panel of 1.4 million supermarket shoppers
• Provide generic and tailor made insight reports for the
industry free of charge
Centre for Value Chain Research
Objectives
Objectives
• Provide an overview of shopper behaviour and
shopper segmentation for Beer products
• Identify opportunities for market/product development
• Highlight potential areas for further research
• Demonstrate the breadth and depth of shopper
insight that is available to farmers and small food
producers
Data Sharing Restrictions
Data Sharing Restrictions
This information is supplied by Kent Business School on
the strict understanding that recipients use it exclusively as
part of their own marketing and product development
activities. Under no circumstances should the information
provided be shared with third parties, without our prior
consent. Failure to comply with these requirements will
result in the organisations involved being denied further
(subsidized) access to the dunnhumby data and may
jeopardise this service provision for farmers and small food
producers in the future.
Executive Summary
Executive Summary
• The category appeals largely to Young Families, with differences
observed when looked at the different types of beer. Regional
differences are mainly observed when local products are considered
but this would deserved further analysis before concluding on the
performance of such products.
• Cross shop analysis reveals that premium products are only a
occasional purchase for beer consumers who have bought it along with
other beer products. Barrier to repeat purchase other than price should
be considered as this may generate increase in sales.
Analysis
Composition of Beer Category
Composition of Beer Category
• Ales and Stouts
• Lager
• Premium Beer Bottles
• Premium Beer Cans
• Regional Beers
Analysis
Shopper Segmentation
Shopper Segmentation
• Shopper profiles are presented in index form, with 100 representing the
average for all supermarket shoppers
• Over-indexing segments purchase a disproportionately high share – they
find them appealing
• Under-indexing segments purchase a disproportionately low share – they
find them less appealing.
• In looking for potential target segments (those which are under or over
performing) attention is drawn to those which over-index or under-index
by at least 10%
• Further segmentation, by geo-demographics and detailed lifestyle can
be provided upon request
Lifestage segmentation: Beer – total
(12 wks to 27 Jul 08)
Looked in general the Beer category appeals the
most to Young Families and does not attract as
much Pensioners
140
120
100
80
60
40
20
0
Beer Total
Older Adults
Source © dunnhum by 2008
Older Families
Young Adults
Young Families
Pensioners
Mixed
Lifestyle segmentation: Beer – total
(12 wks to 27 Jul 08)
Finer foods shoppers seem to be the most
attracted by beers
120
100
80
60
40
20
0
Beer Total
Convenience
Source © dunnhum by 2008
Finer Foods
Healthy
Mainstream
Price Sensitive
Traditional
Regional segmentation: Beer – total
(12 wks to 27 Jul 08)
Regional differences are not so pronounced, East
England slightly over perform the other regions
whilst London and Northern Ireland are the worst
performing regions
120
100
80
60
40
20
0
Beer Total
Northern Ireland
Borders
Southern
Wales and the West
Yorkshire
Central Scotland
Lancashire
London
Midlands
North East
Northern Scotland
South West
Source © dunnhum by 2008
East England
Lifestage segmentation: Beer – Ales, Stout
and Lager (12 wks to 27 Jul 08)
Young families over index over the different
subgroups
140
120
100
80
60
40
20
0
Ales And Stout
Older Adults
Older Families
Lager
Young Adults
Source: © dunnhum by 2008
Pensioners prefer Ales and Stout in comparison
to Lager and Regional Beer
Regional Beers
Young Families
Pensioners
Mixed
Lifestyle segmentation: Ales, Stout and
Lager (12 wks to 27 Jul 08)
Lager seem to have an equal appeal to all
lifestyles whilst less appealing to Traditional
shoppers
160
140
120
100
80
60
40
20
0
Ales And Stout
Convenience
Source: © dunnhum by 2008
Lager
Finer Foods
Healthy
Regional Beers
Mainstream
Finer Foods and Healthy shoppers interested in
Regional beers
Price Sensitive
Traditional
Regional segmentation: Ale, Stout and
Lager (12 wks to 27 Jul 08)
160
140
120
100
80
60
40
20
0
Northern Ireland
Ales And Stout
Borders
Lancashire
London
Southern
Lager
Wales and the West
Yorkshire
Regional Beers
Central Scotland
East England
Midlands
North East
Northern Scotland
South West
Source: © dunnhum by 2008
Regional beers have bee grouped all together so many regions tend
to over index die to their local products, however Northern Ireland is
the worst performer there which means they may be opportunity to
launch a product with regional attribute
Lifestage segmentation: Premium Beer(12
wks to 27 Jul 08)
140
120
100
80
60
40
20
0
Premium Bitter Cans
Older Adults
Older Families
Premiumbitter Bottle
Young Adults
Young Families
Pensioners
Source: © dunnhum by 2008
Cans appeal more to Older Adults than Bottles whilst the opposite is
observed for Young Families.
Mixed
Lifestyle segmentation: Premium Beer (12
wks to 27 Jul 08)
180
160
140
120
100
80
60
40
20
0
Premium Bitter Cans
Convenience
Finer Foods
Premiumbitter Bottle
Healthy
Mainstream
Source: © dunnhum by 2008
Finer food and Healthy are orienting their
purchases towards Premium beer products.
Price Sensitive
Traditional
Regional segmentation: Premium Beer(12
wks to 27 Jul 08)
The performance of regions varies greatly
depending on the format of the product, however it
is important to note that products may not match
in both groups
160
140
120
100
80
60
40
20
0
Premium Bitter Cans
Premiumbitter Bottle
Northern Ireland
Borders
Southern
Wales and the West
Yorkshire
Central Scotland
Lancashire
London
Midlands
North East
Northern Scotland
South West
Source: © dunnhum by 2008
East England
Analysis
Cross Shop Analysis
Cross Shop Analysis
Over performing segments:
Young families
Convenience
Premium Bitter
Cans
Lager
2,858,340
0
0
185,430
0
Premiumbitt
er Bottle
Ales And
Stout
0
220,320
Over performing segments:
Pensioners
Traditional
Northern Scotland
0
224,110
54,650
215,830
35,290
Premium beer consumers
are buying different types
of beer
0
229,010
225,810
Over performing segments:
Young families
Finer foods
East England
1.23% of total customers
Conclusion
Conclusions






There are always opportunities for suppliers and retailers who are a)
willing to look and b) able to make changes in order to exploit consumer
demand that is not met by the existing offer
Analysis reveals that different subgroup appeals to specific customers.
Increase in the number of customers resulting form a larger distribution of
products has produced an incline in volume sales
Lager still leads the whole category, generating the highest volume of
sales.
Consistently over-indexing shopper segments (young families, and finer
foods shoppers) are good targets for increasing purchase frequency.
Consistently under-indexing shopper segments (young adults, and price
sensitive shoppers) represent potential customers that may be appealed
in the category by special offers and marketing activities.
Appendix
the dunnhumby data
• 2yrs of weekly supermarket purchases
• 1.4 million shoppers
• Representative of 40% of UK households
• Over 30,000 food products
• Segmented by;
• Lifestage (young adults, young families, older families, older adults,
pensioners)
• Lifestyle (Up-market, Mid-Market and Less Affluent shoppers)
• Region (13 TV advertising regions)
The dunnhumby data: Lifestage
Segmentation
Lifestage segment
%
shoppers
Age & family
Young Adults
16%
Adults aged 20-39
with no children
Older Adults
14%
Adults aged 40-59
with no children
Young families 15%
Adults with all
children under 10
Older families
16%
Adults with one or
more child over 10
9%
Adults over 60
with no children
Pensioners
Mixed
28%
Multigenerational
households
The dunnhumby data: Lifestyle
Segmentation
Lifestyle segment
Finer Foods
Healthy
Convenience
Price Sensitive
Mainstream
Traditional
%
shoppers
17%
Key Characteristics
time conscious, enjoy luxury products
and are willing to experiment
22%
interested in organic, environmental
benefits, low fat/sugar and calorie
conscious
regard food as fuel, are busy and rely
heavily on the microwave
16%
look primarily for value and rely on staple
foods
9%
26%
10%
have broad tastes, favour established
brands and are influenced by the needs of
children
enjoy the art of cooking but rely on a
fixed shopping list so less likely to buy on
impulse
The dunnhumby data: Regional
Segmentation
ISBA (TV advertising) regions
• North Scotland – STV North (Aberdeen, Dundee)
• Central Scotland – STV Central (Glasgow,
Edinburgh)
• Borders – Border Television
• North East – Tyne Tees Television
• North West/ Lancashire – Granada Television
• Northern Ireland - UTV
• Yorkshire – Yorkshire Television
• Midlands – Carlton Central
• East England – Anglia Television
• London – LWT
• Wales and the West – HTV Wales & HTV West
• South and South East – Meridian Broadcasting
• South West – Carlton West Country
The dunnhumby data: Regional
Segmentation
Region
%
shoppers
Region
%
shoppers
London
20%
Scotland
9%
Midlands
15%
Yorkshire
8%
Southern England
11%
South West
4%
Lancashire (NW)
10%
North East
3%
East of England
9%
Northern Ireland
3%
Wales & the West
9%
Contact Details: HGCA
• For further Information about how your business can obtain more
information like this please contact:
Rachael Arding
HGCA Market Development Project Executive
Email: [email protected]
Telephone: 020 7520 3930
Contact Details: VCR² and Kent Business
School
• For further information about the Centre for Value
Chain Research at Kent Business School, please
contact:
Melanie Felgate
Centre for Value Chain Research, Kent Business School,
University of Kent, Canterbury, CT27PE
Email: [email protected]
Tel: 01227824766
Website: www.kent.ac.uk/kbs/cvcr
Contact Details: VCR² and Kent Business
School
• For further information about the Centre for Value
Chain Research at Kent Business School, please
contact:
Professor Andrew Fearne
Centre for Food Chain Research, Kent Business School,
University of Kent, Canterbury, CT27PE
Email: [email protected]
Tel: 01227824840
Website: www.kent.ac.uk/kbs/cvcr
Thank you