Tuesday February 23, 2010
Micro-targeting Drives Retail Growth
New York — Consumer Packaged Goods (CPG) companies are micro-targeting consumers to grow brands and business, research shows.
According to The Nielsen Co., niche consumer brands and companies with small consumer sets are digging deeper into their data to more effectively reach their target audience.
Nielsen cites five steps to the targeted approach: Determine the objective for undertaking research; build a detailed database about the target demographic; create a compelling message to engage the right consumers; determine where best to reach consumers; and measure results and improve.
Companies reportedly drove 15 to 20 percent annual growth by revising marketing activity, and in some cases discovered their target groups were not what they originally expected, the study finds.