Philips Lighting is a global market leader with recognized expertise in the development, manufacturing & application of innovative (LED) lighting solutions. In the US Philips Lighting aspires to optimize their online sales of lighting bulbs, luminaires and connected lights by improving traffic to and conversion on Philips branded pages on e-tailer properties. To inform decisions on this optimization challenge, Philips was in need to increase their understanding on the customer decision journey and path to purchase.
The idea of the customer experience is gaining importance in today’s highly competitive market. And rightly so… it’s all about getting a detailed and comprehensive picture of the customer experience for competitive advantage. This is typically done through customer journey mapping, touchpoint analysis and an examination of the ecosystem in which the experience takes place.
Customer journey mapping - research objectives and research design
Philips Lighting commissioned the project with InSites Consulting in order to:
- increase e-commerce penetration in the category
- understand multichannel behavior
- optimize traffic to product pages
- increase conversion on product pages
InSites Consulting gathered and integrated multiple sources of data, to identify and map customer journeys for Philips Lighting. Participants were requested to complete a traditional usage and attitude survey, where they could state What people think they do.
In addition to declared data, InSites Consulting generated an additional stream of behavioral data. In the next research phase, they asked the participants to complete a shopper mission. Next to its twin - the behaviorally triggered research approach - a mission based approach is a common mode of understanding the digital consumer journey. To track What people really do, InSites Consulting asked the participants to install Wakoopa passive metering technology on their devices. The Wakoopa technology yielded behavioral data, the full digital footprint of online consumer behavior. Among this data was a collection of the websites visited, search terms used on web and e-tailer search engines and app usage.
In order to ask What people remember, panelists ultimately were probed to describe the shopping mission they just conducted. This revealed a qualitative story on their shopper mission and evaluation.
By combining all three perspectives, InSites was able to reveal discrepancies between stated and actual behavior ultimately leading to a more profound understanding of the shopper mission.
“We made insights more actionable by adding Wakoopa behavioral data” – Annelies Verhaeghe, Managing Partner of InSites Consulting
An important driver for InSites Consulting to apply passive metering technology, was to improve the participant experience. InSites Consulting found that consumers trust behavioral data collection as roughly thirty percent of participants agreed to install Wakoopa passive meters on their PC, tablet and smartphone in addition to being asked to complete questionnaires (n=3589). The market research industry is perfectly placed to be a trusted party for data integration.
Ultimately twelve percent completed the mission, of which the majority did the mission well (seven percent). The installation to completion conversion rate is on the lower end of the typical bandwidth for behavioral based research (40-60%), which implies that research participants require some more education about how to complete behavioral data based research.
(Big) data meets opinion (data)
InSites experienced a steep yet successful learning curve in the integration and analysis of multiple streams of data. The application of passive metering technology generated over one million records of behavioral data for about five hundred research participants on top of the U&A and day in the life data. To scrub and structure the behavioral data and integrate it with the declared data, a signification time investment was done by the data scientist team to expand their competencies to analyze multiple sources of data.
Eight different journeys
The insights gleaned from the data analysis resulted in the construction of eight distinct customer journeys across search engines, comparison websites, e-tailer properties including Philips Lighting branded product pages, product reviews and more. The insights were powerful to inform optimization decisions in information availability, trade marketing channels and advertising.
The power of discrepancies - reviews on e-tailer product pages
44% of research participants claimed that reviews on e-tailer properties are a main driver for buying lightbulbs. In only 7% of observations, tracked through the Wakoopa passive metering technology, research participants actually clicked on reviews to read them.
Most of the visited e-tailers have reviews. From the research, InSites Consulting conclude that people decide on which e-tailer to visit based on the availability of reviews. So reviews are important as an e-tailer to get into the consumer’s consideration set. However, the results also indicate that Philips Lighting shouldn’t really invest in more reviews for the lightbulb category.
The research also revealed actionable insights on search terms used by different customer segments. ‘Practical’ lighting customers predominantly use feature specific search terms, such as “outdoors”, “sensors”, “led” or “100W”. ‘Social’ lighting customers are more prone to search for “dimmable”, “color”, “65W” or “small”.
This case study was presented during the Quirks event in New York in February 2016. Please find the full presentation here. Read more about customer journey mapping using behavioral data on the Wakoopa blog.
About InSites Consulting
From the start of InSites Consulting in 1997 until today, there has been only one constant: InSites Consulting is continuously pushing the boundaries of marketing research for deeper engagement, more inspiration, and longer-lasting impact. Learn more about our innovative thinking, global market impact, global capabilities and company culture on our website.
Founded in 2007 in Amsterdam, Wakoopa is the world's leading supplier of passive metering technologies. Wakoopa unlocks high quality behavioral data. Together with online access panels and market research companies we establish user centric behavioral datasets. This data fuels innovative research designs such as consumer journey studies and audience profiling.