Case study. Why is segmentation based on purchase behaviour superior for encouraging customer loyalty to segmentation based on demographic.

Sie lieu cheie com en help RETAILING VIEW Using Customer Data at Kroger Kreger is the largest superma bet retalar in the United States, with more than $70 bill in a fie als ne Sirth larges: retailer in the word. Its impression status's largely the result of a strategic decision it made so tu da Omelie advantage ty to acting and analyzing cus: tomer cata. then to use : Udodate to mareses custom ar sulting firm nuray 72001 Since then the partners have developed a joint venture a led Dunnhumbs ! that is responsible for converting all the data that Kragers cc ects from its customers when they sa panyalty cards or enter their phone numbers at the poin:-o sa irto te.can Similar temast Sut markets, Kragers primary com munication tool is a Week yinen aptitule featuring sale Category-mariage REFACT nomir ata products to cure in the Dunnhuby USA analyzes the products dual cortowe buy customers cirear, and space is located Nunnhimb, USA has se ding to the importance of at the same time to make escntent and promotion hius. cron rom employees prostrategry wedal promo ir 1992 to more thar Liis offered by Senden and the 1,000 today margin rcger du de adverit put thaylare por predictors c sales spp apte:14). trediterin Dunahur by USA ana yes enable kregento Copa By anal,zing which tome customer purchase in each better segrentat on scheme based on actual purchase tip Cunhmby USA har bear able to prove this method behavia atter then demcsaphic. With the analyses ardircrease the effectiveness of the weekly roular. In far Kroger can Identity customer seqrrents have a ticular, the purchase dato dentifes comblementary pro newtomahy, like to cok, une tain frecuenth. Such ucts such that drey prompte these of other tempor precies mentation capabiltles na citly hel Rioger Fxample, when somers pull ose sed cell roast beef appeal appropriately to cucinmers, encouraging their they alac tend in punase ather de meats cheese, mus- but they also erable better decisions about mayonnaie, arcia of creanwhead. Bul wlien they buy deli turkey they dort buy the art 1. Thus 1) is, and promotional dans roast beef sa better can eate to the circular, because it wil tend to picge the purchase of other tema Surte Dhiyo wd, Ley, and Detachuran "Aking-baty de weils 5 million loyal sustorarmailings to their pogaras ngWorking Parentesi per that frequent shopper cardfc durs eve y quarter These mail. Batuced Refalon no.tece of Sopex Tue merecer ings ofter promotions in orodics that customers 41,201): ans loh Rich, Dunch USA Contoh to plotales Behar Mhit Layal Customer the incinnad mally buy, as well as or products that Krocar presti, ENJE 31.2012 would like, based on its a 1alyses ct whatsir ar customer buy 5, for instance i Kroger congrcdict that a customer Is par clar uning Carell, Eased on the purchase of hot DISCUSSION QUESTION dogs Kellogg's Cxo Krispies and 8 31 of animal crack Widgemontation based on ers it can provide that family with a wulan for milk Retail as trequently segment the rate: calls for Eypertorror encouragingarstome gly to segment 5 based on CADRES cemographic variables such as age om, and educator