Case Study Insights: Retail Marketing
How to Make Tangible, Through Semantic Data, the Mechanics of Price Perception and Consumer Purchase Decisions, at Both Market and Brand Levels?
Retailers today are noticing a gap between the prices they set and consumer perceptions of these prices.
Our client entrusted Synomia to identify the determinants of price perception and the factors influencing it, with the goal of designing new marketing, communication, and in-store strategies.
To achieve this, we aggregated all available web data on our marketing data platform (including forum conversations, blog comments, consumer review sites, etc.) as well as all exit survey verbatims from the retailer, to uncover powerful insights.
Key Points of Our Collaboration
- Mapping of consumer thought processes regarding price perception.
- – Objective definition of price and expensiveness criteria by data. -Translation of these criteria into the perception of prices of different brands.
- Identification and breakdown of price perception mechanisms at each stage of the customer journey.
- Creation of a forward-looking and innovative marketing strategy to better understand customer expectations.
- Formulation of a comprehensive action plan to align with consumer-favored values.
Data Facts
To address these challenges, we identified 32 insights derived from data (data facts) to characterize consumers’ price perception.
The five key insights are :
- Hierarchy of price perception criteria in the decision-making process across different retailers.
- Mind map of price perception mechanisms among consumers.
- In-depth analysis of all criteria, understanding consumer motivations.
- Identification and analysis of weighting factors, integral to the customer journey.
- 12 action levers to implement for the retailer (in-store, in shopper loyalty, on its website, etc.).
Plus 27 other insights…
Identification of 17 price perception criteria and ranking their importance based on the number of mentions in the data.
Overview of the themes related to consumer price perception :
Explanation:
Using the Synomia platform, we semi-automatically identified the above themes and detected all mentions of these themes in conversations to obtain a fully objective view of consumer price perception. For instance, the criterion « Promotional Techniques » is ranked 3rd because it is the third most mentioned in the entire dataset analyzed.
Mapping of consumer thought processes on price perception.
Overview of conversation distribution:
Explanation:
We graphically represented the distribution of all conversations (blogs, forums, social media, etc.) on price perception in retail stores, as well as the connections between them.
Benchmark: price perception by retailer and product type
Influence of brand on retailers’ price attractiveness:
Explanation:
We quantified the association between brands and their various product types with consumer sentiment (attractive price vs. prohibitive price) through a sentiment analysis.
Detailed customer journey outlining activation levers to drive purchases
Typology of criteria integral to price perception
Explanation:
For each stage of the customer journey, we leverage data to uncover the integral criteria that must be considered by the retailer.
Data-driven detailed roadmap for an innovative marketing strategy
Explanation:
By leveraging the insights from the various data facts, we create a detailed, data-driven roadmap. Marketing teams can promptly implement these recommendations across different channels, including in-store, direct marketing efforts, and customer service.