Segmentation for a Consumer Products Company

Issue

A billion dollar consumer products company needed to improve its specialty retail channel strategy as this fragmented group accounted for approximately 40% of product sales.

Our Approach

ZS conducted qualitative interviews with a select group of the client’s specialty retailers to understand their needs, perceptions, interaction preferences, and account potential. Using this information, ZS designed and distributed a quantitative survey to the specialty retail channel yielding more than 1,000 respondents and used this data, along with the qualitative interview results, to segment the channel and design and implement a coverage approach.

Results

ZS worked with the client to segment their specialty retail channel and understand the value of each segment. Using this information, we helped the client consolidate partners and create a disciplined channel investment strategy. These changes led to annual revenue growth in the channel.