Create target groups from a chart

Overview

Select to create target groups using a chart that plots the segments based on their customer percent composition; volumetric composition, or penetration; and index. These three chart options provide an easy way for you to interpret the data in your customer profile and help you select the appropriate segments to add to your target groups. Use this option to identify your Core, Developmental, and Niche target groups based on a target profile you have created using Create Profiles in Business Analyst.

In addition to a target profile, you will also need a base profile that will be used to calculate the index for each segment. In most cases, the base profile you select should be the geographic area from where you draw close to 100 percent of your customers. If your customers come from all over the United States, then it would be best to select the United States as the base for your customer profile. The United States base should also be used for any survey profiles, since the survey profiles are all nationally based. The index for a segment is calculated by dividing the segment's percent composition in the customer profile by the same segment's percent composition in the base profile and multiplying by 100. An index of 100 is average because the percent composition of the customer profile for that segment is exactly the same as the percent composition of the base profile for that segment. A segment with an index of 250 means that the customers in this segment are 2.5 times more likely to be in the customer profile than they are to be in the base profile. Segments with above average indices are performing better than expected based on the pool of customers from which they are being drawn.

Input prerequisites

A target profile and a base profile.

There are three chart options that can be used to create target groups.

Profile bar chart

The first chart type is the Profile Bar chart (formerly Profile comparison bar chart). The Profile Bar chart displays all 66 Tapestry segments as bars on a chart, where the length of each bar varies based on the value of the customer profile index for each segment, and the width of the bar can vary based on percent composition or percent penetration of the customer profile for each segment. The center of the bar chart is always set to 100, since an index of 100 is average. Segments with indices that are greater than 100 are displayed to the right of center and segments with indices below average are displayed to the left of center on the bar chart. By selecting the segments to the right of center with longer, thicker bars, you will be selecting segments that have relatively higher indices and higher composition or penetration into the market.

Steps:

1. Create new subgroups in your target group by clicking the new target group button.
New subgroups can be Core, Development or Niche.
2. Select the bars as indicated in the blue box in the image below.
3. Click the right arrow to bring them into the subgroup.
Click Properties to view more options for this chart. Click the Percent Composition radio button for people or households in a segment as a percent of the overall profile. The sum of the percent composition of Tapestry segments in a profile will be 100 percent. Click the Percent Penetration radio button for people or households in a segment in a target profile compared to the people or households in a segment of the base profile.

Game plan chart

The second chart type is a Four Quadrant (Game plan) chart. The Game Plan chart displays all 66 Tapestry segments as points on an x,y chart where the y-axis value represents the index of each segment and the x-axis value represents the percent composition of the segment. This chart is divided into quadrants where the default center line values are automatically set based on the values in the chart. By manually adjusting the center line values on this chart, you can adjust which segments fall into each of the four quadrants on the chart. Use this chart to easily identify and select Core, Developmental, and Niche customers based on where they fall in the chart.

Steps:

1. Create new subgroups in your target group by clicking the new target group button.
New subgroups can be Core, Development or Niche.
2. Select the points as indicated in the blue box in the image below.
3. Click the right arrow to bring them into the subgroup.
Click Properties to view more options for this chart. Click the 'Index' & '%Composition' radio button for people or households in a segment as a percent of the overall profile. The sum of the percent composition of Tapestry segments in a profile will be 100 percent. Click the 'Index' & '%Composition Volume' radio button for total volume for each segment as a percent of the total volume for the whole profile. Click the 'Index Volume' & '%Composition Volume' radio button for the average volume of each segment compared to the average volume of the overall profile.

Multi-Profile bar chart

The last chart type option is a Multi-Profile Bar chart (formerly Trendline chart). The Multi-Profile Bar chart is the same as the Profile Bar chart except it allows you to display trend lines for up to four additional profiles on top of the bar chart. Use this option if you have selected more than one profile to use in determining which segments to add to your target groups.

In the image below, HH has cable TV available in neighborhood is profile 1 and San Diego County (HH) is profile 2. The profiles are displayed alphabetically.

Steps:

1. Create new subgroups in your target group by clicking the new target group button.
New subgroups can be Core, Development or Niche.
2. Select the points as indicated in the blue box in the image below.
3. Click the right arrow to bring them into the subgroup.
Click the Show trendlines button to display a line for each target profile selected on the previous page.
Click the Properties button to change the active profile displayed as bars and other profiles displayed as trendlines. Properties also allows you to view more options for this chart.

Under the Colors & Visibililty tab, you can change the default colors for bars and trendlines in the Color options section. The Active profile section displays the profile as bars in the Multi-Profile bar chart. Click the check boxes in the Trend Lines visibility section to turn the trendlines for profiles you have selected in the previous window on and off.

Chart options

The three charts have a number of options that can be accessed by right-clicking the mouse and selecting the desired option. The Profile Bar chart and Multi-Profile Bar chart can be sorted by Index, Percent Composition, by Group ID based on the target groups you selected on the prior screen, and by Segment ID. For these two charts, you also have the option to add and position the legend. For the Four Quadrant (Game Plan) chart, the Sorting and Legend options do not apply, but the Reset Axes Position option applies and allows you to reset the axes' values to their original default values.

Properties for the three charts, including display colors and labels, can be set by right-clicking the chart you want to change and clicking Properties. You can reset the colors used to identify each of the target groups for all three charts by double-clicking the TargetID and selecting a basic color from the palette or by creating custom colors. Create custom colors by clicking Define Custom Colors. You can create a custom color by clicking your mouse in the color spectrum box and then clicking in the right slider section to set the darkness or lightness. The color created will be displayed in the Color|Solid box and can be added to your Custom colors by clicking Add to Custom Colors.

On the Misc. tab, you can define the quadrant labels on the Four Quadrant (Game plan) chart, you can select to show the segment labels on the bar charts, and you can change the width of the trend lines on a Multi-profile Bar chart. Only options that are applicable to the chart being modified can be changed.

On the Scaling tab, you can adjust the scaling on the bar width of the bar charts. You can choose Percent Composition or Percent Penetration or choose to remove scaling altogether, which means all bars will have the same width.

Learn more about creating target groups.