HERE'S WHAT'S NEXT...
Uncovering New Business Growth: And It’s Not From Where You Think
by Heide Hays, EVP, Head of Business Intelligence
Heide Hays, EVP, Head of Business Intelligence
October 27, 2020 • 3 min read
Creative work in our industry has long been driven by a desire to reach a particular group of people, whether it’s a specific age, ethnic background, gender, or economic status.
Many marketing strategists continue to allow their own preconceptions, instead of data, guide how they define the preferences and affinities of a target audience.
When it comes to advertising, so many brands like to focus their messages on generational targets – for example, “We want to target Millennials,” or “Gen Z will be all over this.” Conventional wisdom would have marketers believe they know what will work based on what they know about society and culture. But at Deutsch LA, we turn that on its head, by letting the data fall out and seeing what it shows us first.
One such example: a client came to us with a request – they wanted to target a younger audience. But they were also looking for growth in pricing and in volume. As a legacy wine brand, they wanted to appeal to younger consumers and to capitalize on their buying power. But how to find the right younger audience – or audience overall – was the question. Our approach was to determine what audience would drive that desired growth, and then see if, in fact, it was younger. We conducted a Business Opportunity Analysis (BOA), our proprietary custom application to identify audiences based on where we see the greatest growth potential. It allowed us to figure out, out of all segments of people, which particular one has the highest likelihood of buying this specific brand.
Through our BOA we were able to understand where our greatest opportunity was. While it wasn’t all a younger audience, it was about 10 years younger than the client's current consumer. We also determined that this audience’s awareness of the client was only half that of the overall population. In addition, because of their lack of awareness, they had questions about key brand attributes that could be easily solved with communications.
This kind of growth planning starts and ends with business intelligence, and allows brands to gain four specific advantages:
- It helps us understand consumers’ mindsets. Learning what they believe in and how they behave, as humans first – not just category buyers - lets us connect and talk to them in the right way.
- We are able to determine their drivers of motivation. What has the greatest impact on their purchase decisions? Do they care about the brand? What the brand stands for? And specifically, we learned what topics and language are most motivating in communications.
- It helps us uncover subsegments and build audience architectures. Being thoughtful in how we create our messaging in broad reach channels, down to more focused digital and addressable platforms, helps us to identify more nuanced audiences that fall out of the broader audience, e.g, families, singles, new consumers.
- We can develop actionable audiences. We link these proprietary audience segments to other syndicated datasets so that we can build on audience understanding, as well as enable our media, strategy, and client partners to use them for planning and buying purposes.
Because they can deliver insights that are more attitudinal and behavioral, data points tell a better story about who the brand could appeal to most. And most importantly, they tells us why. From these learnings, our strategy team and creatives can apply their special lenses to the marketing approach.
By letting the data lead, it shows us where the opportunities are, and with whom, as opposed to what we think they are. This enables us to properly define audiences, and better equip brands for sourcing future business growth. At Deutsch LA, that’s how we keep our clients in the lead, too.
HERE’S WHAT’S NEXT…
How We Pivoted to Help Brands Produce Some of Their Most Important Work
by Diego de la Maza, Deutsch LA Head of Production
3 min read