Empowering ROI by Connecting Psychographics & Programmatic
Pat Pellegrini, President & CEO of Simmons Research and Graeme Hutton SVP, Universal McCann
June 12, 2017
What are consumer psychographics and why are they important in marketing?
Consumer psychographics are “…the study and classification of people according to their attitudes, aspirations, and other psychological criteria…”
Psychographics explain the “why” of brand usage better than any other attributes like demos. Psychographics predict brand use. Using these variables increases ROI lift versus media optimization alone.
The Conceptualization of Holistic Psychographics™
Many current psychographics available in the market are product specific and therefore not holistic in relation to modern psychological testing and theory. We reviewed a number of psychographic measures, including Simmons’ standard scales as well as those that are well validated or heavily used by clients – for example, OCEAN and Brand Love
Scored Simmons’ NCS with Value Signals Via a Re-contact study,
conducted initial evaluation of Simmons’ standard measures as well as these new, additional attributes.
Developing Holistic Psychographics
Value Signals Enable Deep Psychology in Marketing
What is the psychological content on the screen and in the viewer, and how do they interact?
Key Points
- 265 words distilled from all of the psychological words in the English language
- First psychological link between these four dimensions
The Product/Brand — The Media Environment — The Ad — The Individual ↵ - Enables ROI lift and increases predictive power in fusion and lookalike models
- Developed by Bill Harvey and RMT
Psychological Triggers Evoke Connection to Motivations
- Storyteller designs content to appeal to that motivation.
- Storyteller, if sophisticated, also selects context to appeal to that motivation.
Showing the right content, within the right context, driven by consumer psychographics, helps brands tell a compelling story!
How can we better drive ROI via creative & context?
Psychographics on PEOPLE → Audience → Metatags on CONTENT → Ad
Simmons Validation of Value Signals
- All 25k Simmons respondents scored with Value Signals, based on program viewing questions
- Used to fuse Simmons respondents with Symphony Advanced Media video data
- Increased predictive power on models of brand usage when included in Holistic Psychographics approach
Statistical Approach and Initial Findings
GOAL: Develop segmentation that targets likely brad user more efficiently than demos alone.
- Examined 3830 brands and TV shows via iterative regression on 569 psychographic attributes and 265 Value Signals.
- Focused on variables that were predictive of brand choice at 95% confidence interval.
- Scored all respondents on likelihood to use brand.
Predictive power is 344% greater than targeting on demos alone.
Predictive Power Across Categories
Case Study – Luxury Cars
Demos (current Users)
Competitors show similar demographics, particularly on age, income, education and kids at home.
Attitudes and Value Signals that Predict Client Brand Owners
Increases explanatory power by 220%. the model explains 22% of what goes into picking the client brand, compared to 9.8% for demos alone.
Psychographic Overlap
The top attitudes for Client Brand are not predictive for competitors.
Value Signals Overlap
Some Value Signals move in the opposite direction for competitors
Sizing the Opportunity
Likely Client Brand Shoppers represent almost 40% of the US adults population; almost 30% of this segment also shops at Competitor 2.
Attitudes and Value Signals that predict Client Brand Owners
Holistic Psychographics approach increases explanatory power by 301%. The model explains 19% of what goes into picking the client brand, compared to 6% for demos alone.
Selecting the right mix of psychographics will impact ROI
Changes in likelihood of Chevy GEO brand usage when
adding new psychographics to your consumer target
Introducing Simmons Holistic Psychographics
Standard Path Setting Quantified Objectives
- Understand category/brand psychology & motivations→
- Decide strategy/identify probable most sales responsive target→
- Create ads with the right psychological triggers→
- Select media based on target and resonance→
Holistic Psychographics & Precision Targeting:
Key Takeaways
- Holistic Psychographics and Value Signals will lift ROI by their increase in targeting predictivity
- Creative briefs which identify memes that drive people to and away from a brand, and media buys that match message to content and creative, will further increase ROI
- Programmatic and precision marketing technologies enable media targeting to generate much higher levels of salient efficiency and effectiveness.