Transcript SEL Research

SEL Consumer Research
Chris Gaebler
October 7, 2002
~Page 1
SEA/SEL
President
Consumer Business Council
Chair
Product Management
Cons. Segment Mktg
CSMO
Affluent/ CE Alphas
Channel Asset Mng
Sales President
VNPC
SVP
HEPD
SVP
PMPD
SVP
CE Betas
Zoomers
Family
Gen Y
Zoomers
Strategic
Planning
E&W
Cluster
Marketing
Planner
Cluster
Marketing
Planner
DINKs & Y.P/ SoHo
B2B/SoHo
Cluster
Marketing
Planner
Cluster
Marketing
Planner
Cluster
Marketing
Planner
Sales Promotion Management
Promo,
Merch, &
Internet
CE Betas
Beta Champion
& 9 Promos
Knowledge Management
Channel Organization
Media
StudiOne
DINKS/Y.P
ITPD
SVP
Demand Creation Management
Affluent/CE Alphas
Gen Y/ Families
DIPD
SVP
SCM
Promo,
Merch, &
Internet
Product
Planning
&
SCM
CRM Operations
Product
Planning
&
SCM
Promo,
Merch, &
Internet
Promo,
Merch, &
Internet
Product
Planning
&
SCM
~Page 2
Product
Planning
&
SCM
Promo,
Merch, &
Internet
Product
Planning
&
SCM
Marketing Strategy & Intelligence Group Members


Chris Gaebler (Director)
Cary Meyers (Senior Manager)


Kevin Murakami (Senior Manager)



Custom Consumer Research
Segment & Market Intelligence Analysis
New product development for intelligence needs
Miguel Lazatin (Manager)

Segment Intelligence Analysis



Business Intelligence Dashboard
Kwon Lee (Supervisor)


E.g. IMR, NPD, CSMD Monthly Reports, etc.
data management
Neha Patel (Supervisor)

Research analyst
~Page 3
SEA FY02 CE Diagram
- Sales Turnaround
(FY01: Restructuring
FY02: Sales Growth Strategy)
- Suitable Profits Even With Zero Sales Growth
Marketing
CTQ 1
Innovation
(Diamond Plan)
Business
Selection & Focus
Review / Eliminate Loss
Businesses
Enhance customer
Focus (CRM)
Expand e-Service
Business
Measurement Metrics
(Scorecard / KPI)
SSS
Leadership
Competencies
Customer-Focused
Creative,
Entrepreneurial
Culture
*Inventory D/S: FY’01 3 mos. COGS Average
FY’02 1 mo. COGS
SOAR Project
Global Supply
Chain Management
Rationalization of
Existing Assets
Become Profitable
Develop New Businesses
Deliver valued products &
services in a way that satisfies
customers
SGA Reduction
Optimize Common
Functions
Service Transformation
Logistics Innovation
One Day Close
Strengthen Infrastructure
/ e-tization
Improve Asset
Utilization
CTQ 2
VOC
Support Symphony
Project
Inventory Reduction
Continuous ROI
Evaluation
SONY Executive Mgmt
Customers
U.S. Initiated
New Business
Strategic MDF
“Being Sony”Campaign
Customer
Non-Cons AVIT
Segment Marketing
Incubate Value-Added
Businesses
VOC Integration
New Business
On-line Service Business
Demand Creation
Expand e-Commerce
Business
Develop
Operational
Excellence
CTQ 3
~Page 4
** After MDF Reclass
Business Planning - CE Diagram
Insights & Metrics / Segment Growth / Optimized Investments
Marketing Metrics
(Consumer Segment)
•
Quarterly life-stage segment
Sales (Share) Reports
•
Control Market Testing: Ad
Spending
Present FY2001
• Campaign effectiveness
Marketing Mix Optimization
And
Marketing Planning
• Manage and report on
Purchase Process Study
• Improve consumer purchase
intent data from annual to
quarterly
Customer
3-D Business Analysis
and
Strategic Development
• 3D Marketing Analysis:
product, channel,
consumer
• Define process for understanding
• Develop a marketing mix
impact of macro-economic
model and process
factors on SEL
• Provide structure for segment
forecasting model and process
• Issue 3-D CSMD Mgmt
Reports
• Distributed Content
• Marketing
effectiveness
Programs Not
• SOHO, Alpha metrics plan
Measured
• SEL/CEG Research
• Develop SEL Research
• Improve quality of current
Budget
Strategy
sales
data
from
NPD,
IMR,
uncoordinated
IDC,
EIA
• Quality of POS data
• Consolidate Budgets for FY
• Identify and qualify
is limited and
2003
potential vendor for retail
segment data is
direct inputs (POS)
unavailable
• Negotiate contracts for
• Solicit industry interest,
competitors and retailers
Pan-Division/ segment
projects
Improve quality of SEL sales
data;
POS Consortium
Formulate SEL (CEG)
Research Strategy
& Budget
•Segment Teams
•Product Mgmt
•CRM
•Sales Teams
•Corporate
Planning
•CE Industry
FY2002
• Marketing
Programs
Measured
• Develop prototype of
•
SEL/CEG Research
Dashboard
• Improve quality of internal EIA & Budget
NPD Data Processing
coordinated
• Corporate reporting; improved
• Quality of POS data
quality across SEL
is high and
segment data is
• SEL-plus distribution of
syndicated data
available
Product Sales (& share)
Data processing;
Syndicated Market Research
Collection and Distribution
~Page 5
New marketing strategy drives new research
objectives


Sony’s new consumer marketing strategy, the “Diamond Plan”, added a
consumer focus to SONY’s marketing, which has been mostly product
focused.
While SONY has collected a tremendous amount of data, most of the
research has supported the product-focused look at the marketplace.
With our new marketing strategy, our approach to research should
accommodate product, consumer, and channel marketing needs
Product
Channel
Consumer
Research
Research
Research

50M units
Supply Chain Management
20K floors
281M people
Demand Chain Management
~Page 6
Building a Segment-Led Plan
Source of Business:
 281M people
 $723B spend on Ent.
 $66B spend on CE
Affluent
Products & volume
Allocation of Investment
 2% sales = $187M
 8 segments
 return on growth
Mediums
&
Message
Mediums
&
Message
CE Alphas - Early Adopters
Products & volume
<25
Mediums
Gen Y
&
Message Products & volume
25-34
Mediums
DINKS/Young Pros &
Products & volume
Message
35-54
Families
Products & volume
Mediums
&
Message
CE Betas - In-market/store buying
Products & volume
Marketing plans:
 target sweet spots
 target touchpoints
 most relevant value
proposition
B2B
SOHO
Products & volume
55+
Zoomers
Mediums
&
Products & volume Message
Mediums
&
Message
Mediums
&
Message
~Page 7
Market Insights
Increase Demand
Consumer Segment Research *
Uses &
Attitudes
Study
• What drives
• Quantify size and potential value of each segment
• Understand key information affecting their CE and leisure spending
281M Consumers
8 target segments
Purchase Process
Awareness
each
segment to
CE funnel?
MEL, Recall, Understanding
Consideration
Interest
Relevance
Price Elasticity,
Step up
Intent
promos, switching
Purchase
50M units
Post-Purchase
Service
Purchase
Process
Analysis
• What drives
customers
through each
phase of
funnel?
• What are the
key hurdles?
attachments, churn
satisfaction. levels
* See Appendix for more information on each type of program
~Page 8
Syndicated and Primary Research Vendors
FY 2002 Syndicated Research
Current Syndicated Data Services
Prim ary Use
Consumer Electronics Association Membership
Consumer Electronics industry sales and market share information (sell-in)
NPD Intellect
Consumer electronics industry sales and market share information (sell-through)
International Data Corporation (IDC)
Computer industry sales and share information (sell-in); industry analysis
Gartner/Dataquest
Computer industry sales and share information (sell-in); industry analysis
PTR- Ad Fax
Regional advertising spending by channel partner (e.g. Sunday circular)
IMR
Customer segment data (measure Diamond Plan activity)
Jupiter
Online market information
Forrester
Technology usage information (Technographics); industry analysis
The Yankee Group
Technology usage information (4 surveys); industry analysis
Marketing Leadership Council
Marketing Best Practices
Lexis-Nexis
Article searches
MRI
Media consumption data
Proprietary Studies
Prim ary Use
Milw ard Brow n Intelliquest
Purchase Process, by category, by segment
Hall and Partners
Campaign Effectiveness Research
Retail partners
Ad Spending Test (Families Segment in Salt Lake City and Minneapolis)
ReVerb
Young Professionals lifestyle research - ethnographic panel
Various vendors (a potential opportunity to consolidate)
Segment and Product specific focus groups
~Page 9
Product and Segment Sales Performance
1. Product performance: continue to use POS data to measure
product sales.
 NPD (Techworld) contract
 IDC, others
2. Segment performance: use consumer panels to measure
performance
3. Long-term goal: POS + consumer data
 Build an industry consortium to get POS data crossed with
direct consumer behavior profiling
 This will allow for the purchase “modeling” that will become
our addiction.
~Page 10
Consumer Metrics – POS Consortium

Objective
 Merge details of POS data with consumer profile data
 Goal is to have some system in place for FY 03

Approach
 Work with potential research partners to identify a
methodology
 Developing consortium of retailers and manufacturers
that would participate
 Cost depends on a number of factors, including number
of initial participants and complexity of methodology
~Page 11
CE/IT Purchase Intent (Quarterly)

Objectives:


Methodology:



Gauge on-going consumer interest in our key product areas by
our four main life-stage segments.
Quarterly on-line survey with 10,000 completes.
Measure likelihood to purchase within the next 3 months on a 5
point scale.
Value to Business:


Will provide timely, updated information on the “hot consumer
products” for the coming 3 months by segment.
Possibility to do custom follow-up “purchase studies” to be able
to more accurately measure the conversion of our “intenders” to
“purchasers.”
~Page 12
Purchase Process

Objectives

Identify the bottlenecks in the context of the purchase process within
customer segment and product category

Discover what information sources are being used by potential customers in
the different stages of the purchase process and to understand the relative
value of various promotional activities.
Identify at what stage of the purchase process customers begin thinking
about brand.





Identify patterns in decision making, from need to purchase to
usage/servicing
Identify the best sources for different types of information needs
Determine the duration of the purchase cycle
Approach


There was a qualitative and quantitative phases of this project.
Results due mid-October 2002
~Page 13
Business Intelligence Dashboard

Objectives:


Methodology:




To provide senior management with timely delivery of market and consumer
segment data that can be tracked, monitored and actioned against.
Input: NPD, EIA, IMR, IDC, Hyperion
Output: Market share and segment analysis delivered via Dashboard
Frequency: Monthly and quarterly
Value to Business:


Will provide SEL with a synthesized view of disparate data sources (NPD,
EIA, IMR, Sony internal finance) and timely reporting of this market and
segment data for business decisions.
Possible performance management tool that will allow for tracking and
monitoring of key performance indicators (metrics) that are linked to
business targets.
~Page 14
Proposed Next Projects (list in development)

Uses & Attitudes Study

Objective: to obtain quantifiable metrics for tracking consumers’ usage and attitudes of
electronics, technology, and entertainment; specifically covering:





Product Ownership/Penetration
Product Application/Usage Behavior
Attitudes toward product categories/apps
Barriers to technology
Demographics (in addition to standard)
»
»
»
»
»

-
Purchase Intent
Price Elasticity
Brand Preference
Brand Perceptions
General Behavior
Wealth
Marriage
Family status
Second home ownership
Geography
-
Work status
Media habits
Gift buying
Spending
Ethnographic Panel Research

Purpose:


To richly understand the context each segment’s life as it relates to entertainment and technology and
how that evolves from year to year (longitudinal learning)
Specifically Covering:







How analog versus digital works in their lives (attitudes/use)
Understanding application/use of technology
Understanding new applications for segments
Entertainment spending
Product development exercises
Profiling the use of technology and entertainment in their lives
General lifestyle exploratory research.
~Page 15
Proposed Brand Equity Research

Objective: Understand the equity of brand Sony within our
product categories, and to understand the CE/IT marketplace
within which we compete



Approach: Quantitative research with owners and intenders
across key product categories to better understand, among
other areas




What does Sony mean within speakers, receivers, dvd, etc…
How does Sony compare to competitors in each?
Brand perceptions
Brand consideration
Purchase intent
Benefits: Will help in evaluating the role of various product
categories in shaping overall Sony perception/satisfaction
levels.
~Page 16
Consolidated online report library
*note: Method will follow 6/01
GVO
~Page
17 proposal
Research & Intelligence Objectives
1.
2.
3.
Measure performance by product, channel and consumer segment

Continue product and channel measurement research

Add tool to measure consumer segment P&L

Add greater capability to measure other performance metrics
Develop demand generation insights leading to demand chain management
capability

Link consumer intelligence to business decisions

Increase sales through better understanding of customer product usage
and buying behavior

Reduce/optimize judgemental costs and increase NITB: understand
marketing effectiveness and optimize marketing initiatives

Identify growth opportunities by segment and product category

Optimize marketing investment
Create integrated approach to conducting and using information

Establish process to initiate new research and disseminate information
~Page 18
Research & Intelligence Guidelines
1.
Link all research to business decisions
2.
Do not duplicate research efforts
3.
Prioritize research projects to match most critical intelligence
needs
4.
Look for efficiencies in combining needs which exist across all
product categories and segments - minimize one-off’s
5.
Use secondary or syndicated research that adequately suits
business needs whenever possible
~Page 19