Marketing Decisions Should Be Consumer-Driven

For more information:
Maripat Blankenheim 608/232-6539 maripat.blankenheim@cunamutual.com
Rick Uhlmann 608/231-8940 rick.uhlmann@cunamutual.com

Nov. 6, 2007

Marketing Decisions Should Be Consumer-Driven
CUNA Mutual Analyst Provides Insights To Largest Direct Marketing Conference

MADISON, Wis. – Today’s consumer-driven economy demands that marketing strategies reflect consumers’ motivations, needs and what triggers their reason to purchase. Dave Griffith, director of consumer analytics at CUNA Mutual Group, delivered that message to a room of marketing professionals at the Direct Marketing Association’s national conference in New York City.

Along with Mark Graham, chief innovation officer with Yankelovich Research, Griffith discussed the importance of leveraging insights around consumer attitudes as a powerful tool to create relevance when engaging with consumers.

“Consumer values, attitudes and behaviors should be significant elements in developing any marketing plan that hopes to connect with consumers,” said Griffith. “Too often marketers fall short in understanding why consumers are buying and what events are triggering that behavior. The use of traditional demographics is fine, but your strategy won’t fundamentally change until you better understand the motivations.”

Graham said getting to know consumers and how they make purchasing decisions requires an in-depth look at how lifestyles have changed, resulting in what he terms an inside-out world where busy consumers are concerned with taking care of themselves more than previous generations. Additionally, they’re taking risks to exert their own individuality. A few curious statistics he shared bear this out.

According to the International Spa Association, there were 8,734 day spas in the United States in 2004, up from 4,389 in 2002, which accounted for $5.4 billion in revenue.
The increasing amount of stress and time constraints is creating a wave of new products and channels that give people relief from their busy lives
A recent New York Times article said “many young people in the workplace are finding that quitting their jobs is becoming the satisfying new alternative to the standard, entry-level vacation,” as two weeks doesn’t provide adequate down time.

Griffith said that through needs-based segmentation analysis, marketers are able to identify and study specific groups to determine their motivations and create a rich portrait of the customers within each segment. He noted CUNA Mutual is in the development phase of creating its own behavioral and attitudinal driven segmentation. This will be used to fuel product development and create more relevant messaging strategies.

CUNA Mutual Group is the leading provider of financial products and services to credit unions and their members worldwide. More information on the company is available at www.cunamutual.com.