Success requires focus

Case Kesko

Kesko is a major Finnish retail specialist operating in the Nordic and Baltic countries and Russia. Net sales by the Kesko Group totalled EUR 8,749 million in 2006. Kesko has approximately 2,000 stores engaged in chain operations in seven countries.

Success in the everyday consumer goods business requires the correct product portfolio and campaigns that are properly targeted. Kesko had two primary objectives: to enhance its ability to identify the products for which consumers have the greatest preference and to create messages that are noticed and bring results. Other objectives included the development of procedures for target setting and improving techniques for measuring the results achieved by campaigns. The sector of primary interest was food retailing.

Kesko contacted Analyse Solutions Finland (Analyse²). Analysis was carried out and Analyse² consumer-trend segmentation tool was customised to the meet Kesko’s specific needs. Analyse² identified factors associated with purchasing momtive among Kesko customers and grouped them into trend segments. This allows Kesko to connect specific consumer segments with particular types of products.

Impressive results

Following the adoption of Analyse² consumer-trend segmentation, the results achieved by Kesko’s campaigns have improved significantly. Campaign pull is up by 45% and the number of households purchasing products in promoted categories has increased more than fourfold. Development Manager Antti Syväniemi of K-Plus Ltd says "Analyse² has unique expertise in the segmentation of purchasing motives in the retail sector. Using the services they offer, we have much improved our understanding of consumer buying motives. Our skills in combining products with the needs of different consumer segments have been raised to an entirely new level. In all the campaigns where we have adopted Analyse² services, the results have been very visible, concrete and impressive."