Value-based segmentation and data enrichment

The 18-49 age group is the most frequently used brand communication target group. However, this target group definition lacks features and characteristics that can help in forming a more precise brand communication style (e.g. personalised offers). Analysts of GfK’s Household Panel have decided to combine GfK’s value-based segmentation model with the large quantity of data available on the panel about the consumption habits of households.

_{Rita Csillag-Vella
director of customer relations
GfK}

Values define how people behave in general and influence shopper behaviour too. An in-depth analysis of the sets of values makes it possible to understand the motivations and behaviour of consumers, and to uncover the differences between various consumer groups. The value-based segmentation model of the GfK Consumer Life study identifies consumers that share the same values and puts them into groups. At a global level we identified 7 value types, and we used these in the Hungarian Household Panel survey, so that we can group households into the 7 categories.

Achievers: wealth, status, power and ambition are important for them. They attach great significance to achieving a social status and to show this to others. Their focus is on money, because they want to prove that they are successful and to buy things that can demonstrate their success.

Traditionalists: traditions, respecting elders, religious faith and cultural purity are important for them. They think the best way of life is the one that our parents and grandparents followed. In their world keeping the rules and accepting the norms prevail in every area.

Survivors: modesty, economising, hard work and simplicity characterise this group. They only earn as much money as it is enough to pay their bills. They want to live a simple life. They are happy where they are in society and culture; typically these are older households in small towns or villages.

Nurturers: stable personal relationships, helpfulness, protecting the family and friendship are of key importance for them. They help friends and rely on friends to do the same for them. The HOME is in the centre of their lives. Raising children is important for them and they like to invite friends over.

Hedonists: excitement, youthfulness and enjoying life are on the top of their list. They keep looking for adventures and risks. They feel young, they want to have a good time and they like to do this with friends if possible. Those who belong to this group are typically young city dwellers.

Social-rationalists: social responsibility, tolerance, equality and knowledge are important for them. It is them who want to save the world and they never forget that we aren’t the same. Culture, the environment and religion are important topics for them. Those who belong here tend to live in bigger families and they usually reside in the capital city.

Self-directed: freedom, self-confidence and credibility are their values. They value the freedom to act and think. They are interested in the world and go a long way to make sure that ethnic, religious and racial differences are respected. Typically they are younger families with small children from Budapest. //