Exploring Four New Consumer Segments

Consumer segmentation methodology in detail

Identifying the consumer segments

After extensive work with the Lifestyles survey dataset, Euromonitor identified a subset of questions which encapsulated and differentiated a wide range of consumer attitudes and behaviour within each of the 21 countries surveyed, using a top-down approach.

Euromonitor followed a 4-step approach to arrive at the final consumer segments:

Identify the markers of target segment

Euromonitor analysed the results of 2017 Lifestyles survey to define the four consumer segments and their habits across markets, by first defining the characteristics that all consumers within the segment share

Create and test target segments against key measures

Once an initial set of criteria was identified, the survey data were used to categorise respondents meeting all of the criteria. This initial segment was analysed for size and key behaviours. If the segment encompassed either too many consumers or too few, or if respondents within the segment did not have expected behaviours across key measures, then the criteria was adjusted and re-tested

Find the best fit criteria for segment identification

Absolute perfect fit was not attainable, but Euromonitor checked if more than 80% consumers in the defined target segment fit key measures and arrived at the criteria after several iterations by relying on intuition and data analysis.

Profile final consumer segments across survey topics to contextualise habits and preferences

After the segments were finalised, all of the other survey questions were compared to explore the habits and preferences of each consumer segment.