PERSONALIZATION AT SCALE - IRI · Improve Audience Targeting for Your CPG Campaigns Webinar. December 2018. PERSONALIZATION AT SCALE. IRI Media Center of Excellence

Improve Audience Targeting for Your CPG Campaigns Webinar

December 2018

PERSONALIZATION AT SCALE

IRI Media Center of Excellence

© 2018 Information Resources Inc. (IRI). Confidential and Proprietary. 2

Today’s Presenters

Jennifer PelinoSVP, Advertisers and Agencies, Media Center of Excellence

Mike EllgassEVP, Technology and Retail Media Platforms, Media Center of Excellence


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I am SO Frustrated AND Annoyed!


The Amount Of Retargeting that Occurs is Bothersome, so Much That Consumers are Unsubscribing to Retailer Programs Not Providing Strong Personalization


Consumers Provide Enough Digital Signals to Let These Advertisers Know Who and What is Important to Them….Who is Listening???


Advertisers Should Get Some Credit, They Are Getting Better, However Consumers are Really Demanding…Sally, an Animal Lover and Avid Facebook User, Gets a Sponsored Ad for Dog Food…

But her actual cash register receipt shows

she is a cat owner


Digital Has Changed Everything, Most Importantly Consumer Expectations

Dominance of Few Social Platform

Omni-Channel Marketing

HyperPersonalization

UltraLocalization

RetailerData Monetization

Increased Importance of e-commerce for CPG

Changing Regulatory and

Privacy Compliance

Direct to Consumer Rise – Smaller Brands

Real Time Responsiveness and Consumer Experience is Table Stakes


PERSONAL MAGICAL

SIMPLE EMPATHETIC

one three

two four

Use Data and Human-Driven Insights to Provide Consumers With What They Desire: Better Advertising Experiences


WHAT ARE MARKETERS TO DO?


Manufacturers and Retailers Must Personalize the Experience for Each Shopper Across the Entire Path to Purchase

Know your key consumers and shoppers

Understand what they are looking for in products & message

Engage shoppers when, where & how it matters most

Deliveragainst needs & wants at the right time, channel & message

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There are Many Ways to Find Audiences, The Key is to Find The Best Data Quality Audiences

Address these factors:

1. Source and collection technique 2. Techniques & validation methods of propensity or look-alike models 3. Comprehension of recency, frequency and consistency

1


Consumers Don’t Remember the Details of Habitual Behaviors and When Asked What They Buy, or How Much, People Often Get it Wrong

Claimed they bought in past 6 months

Actually bought in past 6 months

Bought Natural/Organic

Bought Conventional

40%Research shows that claimed purchase is

reported incorrectly as often as 40% of the time.

FEELINGS HABITUAL BEHAVIORSA

BIL

ITY

TO

REC

ALL

LOW

HIGH

2


Total Millennials GenX YoungerBoomers

OlderBoomers

14% 26% 14% 10% 0%

7% 11% 5% 5% 4%Smartphone/Tablet

Desktop/Laptop

Consumers are Tapping Online Resources to Research Ways to Use the Products They are Going to Buy

Source: IRI 2018 Fresh Digital Survey

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In-store Personalization Execution Provides Many Ways to Connect with Consumers with Integrated Messaging Being Best-in-Class

EDUCATION

PERSONALIZED NUTRITION

VALUE

CONSUMER ENGAGEMENT

PERSONALIZED SOLUTIONS

CONVENIENCE

SPECIALTY STATIONS

PACKAGINGMEAL KITS

INTEGRATED MESSAGING

4


THE KEYS TO SUCCESS


1.5x more likely to buy salty snacks

2x more likely to buy non-chocolate

Source: IRI ShopperSights 6.5 | Target HH 200k+ | IRI ShopperSights Consumer Network Panel, DMAs

• 36-65 years• 1 child• Caucasian• Likes Baking Recipes• Frequents Movie Theater

Purchase-Based Targeting Is Accurate. It Picks Up Small Signals That Demographic, Contextual and Other Behavioral Data Doesn’t

• 36-65 years• 1 child• Caucasian• Likes Baking Recipes• Frequents Movie Theater


Purchase-based Targeting Alone Far Exceeds Other Targeting Tactics

100

26

18

17

37

PBT done by 84.51

PBT done elsewhere

CONTEXTUAL

DEMOGRAPHIC

OTHER

PBTPBT

Behavioral

Contextual

Demographic

Other

Audiences Based on Purchase Behavior Are the Most Effective Way to Grow Your Brand

Indexed $/HH Uplift

Traditional Good Better Best

Demographic

Contextual

Behavioral

Purchase-Based

Life-stage data collected by the census

Online behavior data (clicks, views) collected by

cookies

Purchase propensity

data collected by surveys,

search history, etc.

Household-level

transaction data collected

passively through

loyalty cards

Purchase propensity data

collected by surveys, search

history, etc.

Product Uplift Increases Over 3x–4xby Using Purchase-based Targeting


PBT Works With Other Data to Build Out a Consumer/People Driven Spine, Providing A Stronger Base for Reaching Considered Consumers with Right Message

Accuracy

Accuracy


Your Targeting Strategy Should Be Centered Around Your Objective to Drive Acquisition, Retention or Both

What is your primary campaign objective?

AcquisitionDrive penetration by bringing

buyers into the brand

RetentionDrive purchases among existing buyers (i.e., buy rate) or guard against losing

existing brand buyers

New Brand Penetration

Brand Extension

Purchase Occasions

Dollars Per Occasion

Vs.


Category GrowthNew Brand Penetration

Recommended PBT Strategy: Identify category non-buyers who are strong prospects to drive offline sales

Recommended Targeting Tactics:• Lifestyles• Product attributes (e.g., health & wellness)• Complimentary products/Basket co-purchased

products

Acquisition

Acquire new buyers for the brand by increasing the size of the category

Primary Media Strategy: • Campaign: National• Channel(s): Programmatic, Social• Reach: High• Frequency: High• Message: Benefits of category products (health,

value, family, etc.); $1.00 off coupon


Brand GrowthBrand Extension

Acquisition

Recommended PBT Strategy: Identify existing or former parent brand buyers to tap into a potential source of new penetration

Recommended Targeting Tactics:• Low Share-of-Requirements / Switchers• Heavy brand buyers• Light brand / heavy category buyers

Reach your existing or former buyers to drive penetration to your new brand

Primary Media Strategy: • Campaign: National, Shopper• Channel(s): Programmatic, Social• Reach: Low• Frequency: Low/Medium• Message: Incremental benefit/difference of new

product compared to existing; free sample


PromotionPurchase Occasions

Recommended PBT Strategy: Identify households who should make a purchase soon, have fluctuating engagement, are engaged out-of-store, or who have price sensitivity

Recommended Targeting Tactics:• Purchase Cycle• Decreasers / Increasers• Owned Media

Primary Media Strategy: • Campaign: National + Shopper• Channel: Programmatic, Social, CRM• Reach: Precise / Low• Frequency: Low• Message: Highlight the value of the brand;

$1.00 off coupon

Drive trips and spend on the brand by offering a digital promotion

Retention

Last Purchase

Expected Next Purchase

Early Cycle Late Cycle Off Cycle

Average Purchase Cycle

Advertiser sends confirmation creative

Advertiser sends reminder creative

Advertiser sends lapser creative


BundlingDollars Per Occasion

Recommended PBT Strategy: Identify households who purchase the brand, but spend less than they should or could

Recommended Targeting Tactics:• Light / Medium Buyers• Low / Medium Share-of-Requirements• Price Sensitive

Primary Media Strategy: • Campaign: National + Shopper• Channel: Programmatic, Social, CRM• Reach: Low / Medium• Frequency: Low• Message: Bundle and save on brand

purchases; better value than other brands; buy 2 get 1 coupon

Drive brand spend by offering promotions on multiple unit purchases

Retention


RETAIL Cross-PurchasePurchase Occasions

Retention

Recommended PBT Strategy: Identify households who purchase the brand/category/portfolio, or who purchase complimentary products

Recommended Targeting Tactics:• Basket co-purchased products• Complimentary products• Portfolio buyers

Primary Media Strategy: • Campaign: National + Shopper• Channel: Programmatic, Social• Reach: Precise / Low• Frequency: Low• Message: Highlight the full spectrum of the

portfolio, or how products pair well with others across the store; mix & match 5 and save $ coupon

Drive trips to the brand by encouraging cross-portfolio or cross-category purchasing

Summer Grillers

Winter Holiday Hosts

Super Bowl Hosts


IRI PERSONALIZATION


IRI Purchase-Based Audiences are the Strongest Available We Are Always Committed to Activating the Right Households With the Right Message in the Right Channel

SCALE Larger non-modeled audience segments than any other CPG data provider, built from the industry's largest loyalty card dataset

QUALITY & TRANSPARENCY Higher quality audience segments, with the visibility into the exact number and percentage of actual buying HHs and where our data Is derived

FLEXIBILITY & OPENNESSCustom audiences created and pushed to your media partners, including Facebook, within days


IRI Purchase Based Audiences Come From A Trusted Source, Retailer Loyalty Cards, Where Consumers Exchange Their Information for Effective AdvertisingAll IRI Audiences Are Anonymized With No Personally Identifiable Information (PII)

Source: 84.51°, IRI Growth SummitAvionos, The 2018 Consumer Expectations Report

Usage Rights Consumer Agreement Excerpt:“Based on my purchase history and browsing behavior on RETAILER websites and mobile apps, you may share my information to help make advertising and offers I already see on other websites, mobile apps and digital channels more relevant to me. Please note that RETAILER will not share my name, contact information or purchase history with these websites, mobile apps and digital channel.”

81%Of consumers are

comfortable exchanging their private information

with grocery stores for relevant

personalized offers


Data Enables Breadth and Depth of Coverage with 350MM Cards and 107MM Unique Households

Purchase Behavior: 350MM Retailer Loyalty Cards Identity Graph: 126MM Households• Retailer data extends back 27 months

• Refreshed every 7 days • Quality Data as 87% of All Transactions captured on card

+ more!

Data Sources

Data Breakdown – 107MM Unique Households – 85% of U.S. HH’s

Geographical & Channel Coverage Breakdown

All 50 States 95% of All DMAs

49% ACV 61% ACV 18% ACV 6% ACV (800 Stores)

Grocery Drug Club Convenience


IRI Assurance Statements

1 | IRI purchase data is sourced either through a panel we own or directly from the retailers who are responsible for managing their loyalty programs to ensure consumer consent.

2 | Loyalty programs are widely regarded as one of the more transparent value exchanges between a consumer and a data provider.

3 | IRI works closely with these retailers to ensure that data is collected lawfully and with the data subject’s consent when required.

4 | IRI honors all opt outs provided to us by our retailer partners when we build audiences.

5 | IRI does maintain pseudonymous and/or aggregated shopper data but never holds the “key” to the pseudonymous data we process, hence cannot directly re-identify any individuals or households in our data.


Balancing Precision and Reach in Your Execution is Paramount


We Are Building Increasingly Sophisticated Audiences Based On Purchase Behavior, Media Engagement, and Third Party Data

IRI Audiences

Partner Audiences

Client-Specific Audiences

Audience Development

Purchase-Cycle Location Intelligence Owned Media

In-Flight Conversion Health & Wellness Custom

QU

ALITY REAC

H

PREC

ISIO

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IRI and Geoscape® Acculturation AudiencesPrecisely Target Specific Ethnic GroupsThrough IRI’s partnership with Geoscape, IRI clients can more effectively reach households of Hispanic and Asian ethnicities based upon verified CPG purchase behavior across major product categories

Bi-Cultural Hispanic

Unacculturated Asian

Unacculturated Hispanic

Acculturated Hispanic - Mexican Food Purchasers

Acculturated Asian

Acculturated Hispanic

Bi-Cultural Asian

Key Benefits• Target specific ethnicities• Cater messaging to match lifestyles


IRI In-Flight Campaign Conversion Feed Increases Relevance, Efficiency and Performance

Link weekly purchase data to ad exposures to optimize message, media placements and frequency during campaigns

Pre-

Cam

paig

nW

eek

1W

eek

2

Buyers of Brand X in the past 52 weeks

Buyers of Brand X in the past week

Buyers of Brand X in the past week

Exposed / Bought During Campaign Exposed / Did Not Purchase Yet

Weekly Exposure

Data

Buy Rate Messaging / Low Frequency Penetration Messaging / High FrequencyEtc…


Leverage Your Highest Performing Audiences and Map their Digital Journey With IRI Audience Planning

Heavier Engagers on Pinterest

Highest Indexing products in Basket – Cleaning Products

Exercise 2-3 days a week and enjoy walking

Buzzfeed, Moviefone, UberFacts - top content curator

Engagement spiking from 4-5pm and again from 8-9pm

Interest in Gardening/Parenting Products

Highest Performing Audience Group


HOW CAN YOU ACCESS THE IRI DATA SET?


IRI Audiences Are Available Where You Need ThemThrough our onboarding partnerships, IRI has ProScores , Verified Lifestyle and Partner Audiences Available in Syndication and can push Verified and Custom audiences just about anywhere


IRI’s Audience Architecture Team Specializes in Consulting and Developing the Right Audience and Providing a Process for Ease of Access to IRI Audiences

Use our Concierge Service by contacting IRI directly and we will do the rest: [email protected]

Request a demonstration of our Self Service Platform Audience Builder

Look for our Syndicated Audiences which are distributed in All Major DMPs as well as on-boarders like LiveRamp

Check with your Agency and DMP partner and see if they have direct access

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2

3

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Create, Size and SaveDifferent Audiences

Share, Modify and Combine Audiences

Export Audiences to Your Media Channels


NO TIME LIKE THE PRESENT…

START OPTIMIZING YOUR CAMPAIGNS NOW


WITHIN 3 BUSINESS DAYS OF SUBMISSION, YOU WILL UNDERSTAND:

Get Started: Understand the Size of Your Audience Target, Built Upon Purchase-Based Targeting

Within the next two days, look for an email from IRI. Along with a link to this recording and the slides, that email will include this link where you can submit a request to get the sizing of the audience target for your brand/s (up to three).

Audience Sizing for 100% Verified Brand Buyer Audience

Audience Sizing for Projected Brand Buying Audiences (ProScores)

Audience Sizing for Complete Audience

www.IRIworldwide.com/AudiencesWebinar

http://www.iriworldwide.com/AudiencesWebinar


QUESTIONS & ANSWERS

© 2018 Information Resources Inc. (IRI). Confidential and Proprietary. 41© 2018 Information Resources Inc. (IRI).

Confidential and Proprietary. 41

FOR MORE INFORMATION,CONTACT US…

Jennifer [email protected]

Mike [email protected]

mailto:[email protected]

mailto:[email protected]

Documents

PERSONALIZATION AT SCALE - IRI · Improve Audience Targeting for Your CPG Campaigns Webinar. December 2018. PERSONALIZATION AT SCALE. IRI Media Center of Excellence