How do you align consumer decision trees with store formats and shopper segments for pet food?

1 What is a consumer decision tree?

A consumer decision tree (CDT) is a graphical representation of the hierarchy of attributes and values that consumers use to make purchase decisions in a product category. For example, when buying pet food, consumers may first decide between dry or wet food, then between brands, then between flavors, and so on. A CDT helps you identify the most important factors that influence consumer choice and how they vary across different shopper segments and store formats.

2 How to create a consumer decision tree?

To create a CDT for pet food, you need to collect and analyze data from various sources, such as consumer surveys, focus groups, loyalty cards, sales data, and market research. You can use different methods to construct the CDT, such as hierarchical clustering, conjoint analysis, or decision tree analysis. The goal is to find the optimal way to group products and consumers based on their preferences and behaviors. A good CDT should be simple, accurate, and actionable.

3 How to align consumer decision trees with store formats?

Once you have a CDT for pet food, you can use it to align your category strategy with different store formats, such as supermarkets, convenience stores, online stores, or specialty stores. For example, you can use the CDT to determine the optimal product assortment, shelf space allocation, and price points for each store format. You can also use the CDT to tailor your merchandising and promotion tactics to the specific needs and expectations of each store format. For instance, you can use eye-catching displays, coupons, or cross-selling opportunities to attract and convert shoppers in different store formats.

4 How to align consumer decision trees with shopper segments?

Another way to use the CDT for pet food is to align your category strategy with different shopper segments, such as loyalists, switchers, value seekers, or premium seekers. For example, you can use the CDT to segment your customers based on their purchase frequency, spend, brand loyalty, or quality perception. You can also use the CDT to customize your communication and engagement strategies for each shopper segment. For example, you can use personalized messages, loyalty programs, or social media campaigns to build relationships and loyalty with different shopper segments.

5 How to test and update consumer decision trees?

A CDT for pet food is not a static tool, but a dynamic one that needs to be tested and updated regularly. Consumer preferences and behaviors can change over time due to various factors, such as new trends, competitors, or regulations. Therefore, you need to monitor and measure the performance of your category strategy based on the CDT and make adjustments as needed. You can use different metrics, such as sales, market share, profitability, or customer satisfaction, to evaluate the effectiveness of your CDT and identify areas for improvement.

6 How to learn from consumer decision tree examples?

One of the best ways to learn how to align consumer decision trees with store formats and shopper segments for pet food is to look at some examples from other product categories or markets. You can find many CDT examples online or in books or journals that illustrate how different retailers and manufacturers use CDTs to optimize their category management. You can also learn from your own experience or from your peers and mentors in the industry. By studying and applying CDT examples, you can gain valuable insights and best practices for your own category strategy.

7 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?