Estate segmentation driving film programming, ranging, pricing & on & offline promotional activity

Brief

Vue cinemas was looking to improve the relevance of promotional offers, ranging and film programming for individual cinemas by building a detailed understanding of the occasion based behaviours behind why we go to the cinema.

The strong desire to move away from generic brand led POS and promotional offers to a highly targeted approach based on an improved understanding of customers would improve the customer experience and allow cinema segmentation led activity. This takes into account each individual cinema’s location and helps deliver more relevant on and offline activity at both a national and highly localised level. The new customer segments based on visitor occasions will be infused into future marketing, ranging, pricing and promotions.

Action

Each cinema’s geographic catchment was sized by the percentage of population matching each segment around the cinema location. Analysis of online and promotional activated bookings enabled an understanding of the proximity of existing visitors and the distance they would travel to each cinema. By mapping the behavioural customer segments to the UK population, we were able to identify, for each location, the percentage split of population by VUE customer segments and percentage split of existing customers by segment.

Future online promotional activity could then be driven at both an individual visitor level and also at an aggregated cinema segmentation level that pools cinemas with very similar profiles for marketing activation.

The overlay of competitive cinemas added a further depth by showing the locations were VUE is winning against individual competitors at each cinema location.

A bespoke cinema and customer segmentation model was derived which enabled the comparison of population and of existing customers.

Result

This segmentation now illustrates where VUE is currently strong and provides recommendations on where there are segments with high population opportunity but low customer coverage.

This ability to identify the relevancy of population cinema behaviour and preferences to each cinema helps to drive marketing strategy by giving:

  • A clear view of which segments are best to target by cinema
  • Ability to identify cinemas with similar population profiles to enable quick and effective marketing activation
  • Ability to see big picture, embed marketing strategy at both a national and local level (eg. online promotions, TV, radio, outdoor advertising etc).
  • Cinema estate segmentation led activity will now improve targeting, inform both on and off line strategy and highlight pricing and promotional activity. In turn, this will help:
  • Optimise pricing and film programming
  • Uncover cost efficiencies through channel and estate optimisation
  • Eliminate wastage on POS and promotional material
  • Define relevancy of customer segments by cinema for quicker activation and performance tracking
  • Provide the basis to track the impact of local competition
  • Move away from generic brand led POS & promotional offers to a highly targeted approach based on an improved understand of customers

    https://www.myvue.com/cinema