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Understanding Diverse Consumers Through Data-Driven Approaches - Achieving Highly Granular Marketing with KeyExplorer

Written by Admin | 2024.10.10

No Data Utilization, No Capturing the Diverse and Changing Consumers

First, please tell us about the mission of the R&D Unit of the Integrated Channel Strategy Center to which you all belong.

Katsuto Tanaka (hereafter Tanaka) | The mission of the Integrated Channel Strategy Center is to accurately capture changes in consumer media behavior and provide solutions and planning tailored to client issues. Under this framework, the R&D Unit is responsible for preparing data to capture consumer behavior and values, as well as researching the application of the latest technologies, including generative AI.

Within the R&D Unit, you, Mr. Tanaka, are affiliated with the DC Analysis Group, while Ms. Handa and Mr. Yosano are members of the Data Infrastructure Development Group. Can you explain the responsibilities of each group?

Tanaka | ADK Group has a group company called Data Chemistry that provides a public DMP called DMP DC Catalyzer and the 3D Database for panel data. The DC Analysis Group is responsible for analyzing the data used there.

Junko Handa (hereafter Handa) | The Data Infrastructure Development Group handles the entire process of utilizing consumer data. Specifically, this includes everything from planning surveys for data acquisition to analyzing and making the data usable.

Tasukasa Yosano (hereafter Yosano) | Of all tasks, we focus most heavily on the planning, development, operation, maintenance, and promotion of our independent survey, the "ADK Consumer Comprehensive Survey."

Handa | In addition to the "ADK Consumer Comprehensive Survey," we are frequently asked to handle survey and analysis projects for other independent surveys and client work.

It seems that ADK Group is actively engaged in data utilization.

Tanaka | As customer touchpoints increase, no one can accurately grasp consumer behavior and values without utilizing data. In the past, during the era of mass consumption, it was possible to capture consumer behavior with a broad-brush approach. However, that is no longer feasible with today’s diversification of values and the rapid pace of change. In other words, we need to look at data that includes parts  mass communication cannot capture. By first understanding consumer behavior and values through data, we can gain an unbiased perspective. That's why ADK Group actively promotes data utilization.

Profiling 70 Clusters Completed in One Month

Could you tell us more about the "ADK Consumer Comprehensive Survey" mentioned earlier?

Handa | The "ADK Consumer Comprehensive Survey" is our proprietary survey aimed at shedding light on the reality of the target group at a deeper level by taking multiple perspectives, such as lifestyle, consumption behavior, and media contact. We conduct it once a year, with over 10,000 samples from people in their teens to seventies living in the Tokyo metropolitan area and Kansai region, and the survey includes about 1,000 questions in total.

That sounds like a copious survey.

Tanaka | While the goal is to shed light on the accurate picture of each target group, it is not easy to identify trends for specific targets based on the results of this survey, which includes a large number of questions. For this reason, we have created a tool called Target Scope. Based on survey results, we cluster consumers into six categories, such as "lifestyle values," "shopping consciousness," and "fashion," making it easier to capture target preferences and consumption trends.

Yosano | By the way, our Data Infrastructure Development Group is responsible for creating the Target Scope.

How many clusters are there?

Yosano | We create six to eight clusters for each of the six categories, separated by gender, resulting in about 70 clusters in total. I’m sure anyone with experience in similar tasks would agree, but profiling 70 clusters is usually time-consuming. However, once the raw data is ready, we complete the task in about a month.

Profiling 70 clusters in one month is quite efficient.

Yosano | Yes. We believe Nikkei Research's KeyExplorer, a text and data mining tool, plays a significant role in the improved efficiency. It is indispensable for creating a Target Scope

 

KeyExplorer Provides the Confidence to Say, “This Interpretation is Good!”

How do you utilize KeyExplorer?

Handa | We use the Feature Score Ranking function, which displays the characteristic response trends of the target in a ranking format.

Before adopting KeyExplorer, we used to generate aggregated results with 1,000 rows in Excel, which took days to read, and even after interpretation, we sometimes doubted if our interpretation was correct. Profiling does not have a definitive answer, so there is a problem in deciding when to say it feels right.

In that regard, the Feature Score Ranking displays the target group’s characteristics as numerical values called Feature Scores, allowing us to confidently profile the clusters. Now, when obtaining analysis results, we feel that KeyExplorer pats our back, saying, "This result is good!"


We also use KeyExplorer to interpret the results of our other surveys on luxury brands and client work, and it makes it easier to create materials as the key focal points are clearly highlighted.

Moreover, the ability to compare different items together is also beneficial. For example, KeyExplorer can show purchase quantities alongside brand image and concept, often earning high praise from our clients for its convincing results.

Yosano | Setting a clear goal for analysis is often challenging. The more you do it, the more you can refine the results. However, by utilizing KeyExplorer and gaining confidence in the results, we can stop the work when sufficient results are obtained. As a result, it also leads to speeding up our operations.

Have you encountered any difficulties while using KeyExplorer?

Handa | I don't recall having much trouble either with the introduction or the operation.

 

Yosano | I don't have any particular issues, either. Nikkei Research provided us with a converter that automatically converts data from survey companies for KeyExplorer, so data import is smooth.

A Silver Bullet for Companies Struggling with Data Utilization

How do you plan to use KeyExplorer in the future?

Tanaka | I am currently involved in developing an in-house data science education program. I am wondering if it’s possible to use KeyExplorer to analyze satisfaction survey results among individuals who have undergone education or training to continuously improve the curriculum.

Currently, only the Data Infrastructure Development Group uses KeyExplorer, but I believe there are many situations where data analysis can be made easier with its introduction. I want to actively communicate the benefits of this tool with my colleagues.

Can you tell us again about the benefits of using KeyExplorer?

Yosano | I believe the most significant benefit is the standardization of reading and analyzing large amounts of data from multiple perspectives. Standardization leads to time savings, quality assurance, and avoidance of risks associated with dependency on individual skills, which are all positive outcomes.


Handa | Today, web surveys are easy to conduct for quick data collection. However, many companies don't know what to do with the data they just collected. I would suggest to those companies to try KeyExplorer. The tool will enable anyone to analyze data without knowing how to conduct analysis.

Tanaka | Where tools can make tasks more manageable, we should utilize them and allocate the freed-up time to tasks requiring human thought, such as strategic planning and decision-making. I believe the value of using KeyExplorer lies in enabling such practices.

When faced with situations where staff are struggling because they are told by management, "Can't you do something with the data?" KeyExplorer can be useful. Even if the methods of data utilization are unclear, using KeyExplorer may lead to new discoveries. It's worth trying it out and moving forward with initiatives.


— Thank you very much.

What left a strong impression on us was hearing how pleased they were, saying, "It's hard to quantify, but the analysis time has been significantly reduced."
We would be delighted if ADK Marketing Solutions continues to utilize KeyExplorer for various data analyses in the future.