Industry / Company

Travel

A Segmentation Fix Helps Map A Route To Big Savings.

Travel Brand - Salvaged Segmentation Saves $400K and 4-Months

CHALLENGE

  • Client embarking on major brand strategy renewal starting with better target audience choices
  • Existing segmentation study not actionable because Brand’s users and loyalists were spread fairly evenly across six segments
  • Client planning to re-run segmentation (from scratch) at a cost of ≈$400K and 4 months

SOLUTION

  • LPA (1 person) determined that existing segmentation sorted category participants based largely on variables not directly linked to brand choice (e.g., types of travel experiences and destinations)
  • LPA squeezed more juice out of the existing segmentation by bringing entire population back into one group and re-running model using variables directly related to brand choice and market share

RESULTS

  • Client was able to use their existing segmentation (re-worked by LPA in partnership with the original research firm)
  • Updated model highly actionable and enabled global alignment
  • Saved client approximately $400K and 4 months vs. original “start from scratch” plan

Client Feedback

“LPA’s [work] was incredibly well done. So rich and thoughtful.”

— CMO Travel Industry