Value Segmentation

Purpose

Make Value Segmentation assignments to all card identified shoppers in the timeframe of the report.

When this report is defined with the TIME selection of complete quarter

  • the report is automatically re-run at time progresses whenever a new Quarter is complete
  • any shopper groups saved from the report will be re-run with the new Quarter so they stay current, automatically

Instance

A Quarter (3 month timeframe).

Data is Limited to..
  • TIME – all the days in the selected quarter
  • PRODuct – all items purchased
  • GEOGraphy – all stores selling in the quarter
  • SHOPpers – all card_id identified transactions where the card_id is mapped to a hh_id in the householding table.
  • Decision Metric is Dollars = list price plus tax paid less markdown amount applied

Rows

The segments

  • Diamond – the top 1% of shoppers based on the segmentation metric of total store spending.
  • Ruby – the next 4% of shoppers
  • Pearl – the next 10% of shoppers
  • Opal – the next 20% of shoppers
  • Quartz – the remaining shoppers

Columns/Metrics

  • #HH – Count of distinct households assigned to the segment.
  • %HH – Count of distinct households assigned to the segment expressed as a percent of the total.
  • Cume %HH – Cumulative percentage.
  • $ – Total dollar spend for the households in the segment in the timeframe of the report.  Dollar spend is the taken from the transaction log as the List Amount + Tax Amount – Markdown Amount.
  • % of $ – the Total Dollar Spend expressed as a percentage of the total.
  • Cume % of $ – Cumulative Total Dollar Spend
  • $/HH – The average dollar spend per household in the segment.
  • $/Trip – The average dollar spend per trip, or transaction.
  • Trips/Week – The average number of times a household in the segment makes a shopping trip in a week.
  • % of of Total Discounts – The discount (markdown) dollars used by this segment, expressed as a percentage of the total discount dollars used.
  • Basket Discount % – The average percentage discount realized per transaction.
  • Use of Discounts Index – 100 * (% of discounts used by the segment) / (% of households in the segment), where 100 would represent a “fair share” use of discounts.
  • Discount $ – The sum of discount  (markdown) dollars used by the segment.
  • Value Index – 100 * (% dollar spend by the segment) / (% of households in the segment), where 100 would represent a “fair share” of dollar spend.