Topic 16, In-Store and Online Retailer Audiences
One of your customers has in-store, and online, high-end t-shirts retail stores in several cities throughout the east coast (specifically in Los Angeles, San Diego, and San Francisco).
In 4 months, the company is launching a new product line. They would like to cross-sell to their existing customer base and new potential customers that have similar characteristics as their current customers.
As you upload the customer database directly from your client’s CRM, you realize the following:
– 30% of the customers are between 18-24 years old.
– 64% of the customers are between 25-34 years old.
– 6% of the customers are between 35-44 years old.
– 59% are women.
– 41% are men.
– 66% are college educated and above.
– 78% are married.
You finalize analyzing the customer base and found this additional information:
– They are married, city-dwellers between ages of 25-34, predominantly female who are interested in shopping and fashion.
– They are tech-savvy and primarily use iPhones to make online purchases.
– 2/3 of the customer base is from Los Angeles.
– 75% of women from the current customer base make on average one online purchase for apparel a month.
Knowing this information, what strategies would you do next? Select all that apply. Choose ALL answers that apply.
A . Build a new core/saved audience based on married women who are interested in high-end fashion brands.
B . Build a similar audience of 1% based on the current customer base for Los Angeles, San Francisco, and San Diego.
C . You should invest more than 50% of your budget in Los Angeles.
D . Run conversion ads to the website for the new product launch to women.
Answer: A,B,C
Explanation:
It seems like the majority of the customer database are married women, between ages 25-34, who live in Los Angeles, and like fashion and shopping.
You should use this information as a baseline to build your next core audience. You should also build a similar audience based on this new information on the three cities where the
stores are at: Los Angeles, San Francisco, and San Diego.
More than 66% of the customer base is in Los Angeles, so you should definitely allocate more than 50% of your budget to this market. Unless the case said it wanted to grow specific areas, you need to allocate budget according to the data in your analysis.