The topline is where value goes to hide
An aggregate preference can tell you that two offers are equal. The segments underneath often tell you they are equal for opposite reasons, which completely changes what you should do about it.
Where to look
- Segment level preference. Which subgroups behave differently, and on which attributes.
- Switchers versus stayers. Who moved, from what, to what, and why.
- Price sensitivity curves by segment. One average elasticity usually hides two very different markets.
For an FMCG client, segment analysis revealed their pricing problem existed only in mid tier outlets in two states. A national repricing would have solved a problem three quarters of the market never had.