55 Segments revealing the underlying diversity of the rapidly evolving Australian marketplace
geoSmart is a proven and powerful segmentation that assigns all Australian consumers & households to one of 55 segments and 11 groups. geoSmart has been built to maximize differences in socioeconomic status, wallet size, spending patterns, family mix, media consumption, behavioural response and multicultural influences.
why we use socioeconomic status & family orientation
The two most powerful drivers of why different types of people choose to live in particular places are Family Orientation and Socioeconomic Status...
Family Orientation discriminates between family areas where there are kids, mortgages & large houses and non-family areas where young and older independent singles & couples choose to live. Family Orientation taps into lifecycle stage which is a key driver of needs across most categories.
Socioeconomic Status (SES) represents the combined effect of educational attainment, occupational status & income and is a key driver of the spending power and quality of purchases made by people to meet their needs. SES drives the price/quality trade-off that is often the most critical factor in brand positioning.
While psychographics influence consumer behaviour at the individual level, they tend to be overpowered in geospatial data by more powerful factors like spending power, cultural influences and established household expenditure patterns, which are all integral to geoSmart’s construction.
geoSmart is a highly flexible segmentation system, providing powerful solutions for...
- Database enhancement to better understand the types of customers & how they behave.
- Selecting customers for campaigns using lookalike targeting.
- Creating tailored messaging using psychological & lifestyle profiling.
- Profiling websites & call centre visitors and purchasers by tagging them in real time.
- Media planning using data available from EMMA & CMV.
- Wallet size estimation using RDA’s household expenditure profiles.
- Gap analysis & market penetration to work out the best areas for business development.
- Profiling channel usage to improve channel mix.
- Planning retail networks by locating stores or branches where target segments shop.
- Profiling lapsed & newly acquired customers to better understand competitive dynamics in the market.
what’s in the geoSmart segments?
geoSmart incorporates the latest Census, population growth, household expenditure & economic patterns, usage of financial services, lifestyle and discretionary spending power. Through the wealth of Census data, geoSmart taps into cultural diversity and emphasizes differentials in key lifecycle stages across multicultural groups.
cultural diversity & the aging population
We are currently witnessing a dramatic shift in the multicultural character of Australian consumers. Most recently, migrants from North & South Asia have had a substantial impact on the character of areas across the country, particularly in Sydney & Melbourne but also to a lesser extent across metropolitan Australia. Recent migrants from a diversity of multicultural backgrounds tend to be younger, while much of the growing boomer & retiree population is caucasian. Thus cultural diversity and lifecycle changes are intertwined as factors in the new Australian marketplace.
geoSmart is optimised to differentiate across the emerging multicultural landscape with 23 of the 55 geoSmart segments having a distinctive multicultural flavour to their character.
geoSmart: 55 Segments in 11 Groups
finding your target geoSmart segments
The key to effective use of geoSmart is finding your best target segments. These are usually the big spenders in your category & aligned to your brand positioning.
You can find your best target geoSmart segments by...
- Profiling your customer database through RDA Research’s tagging websites
- Profiling your retail footprint
- Using RDA’s household expenditure profiles
- Using media planning systems like EMMA (Ipsos) or CMV (Nielsen)
- Using the detailed profiling available for geoSmart to work out which segments to target
geoSmart targets audience groups with distinctive lifestyles & propensities