Marketing


Segmentation: A tool for local authorities?


Waste Awareness Wales have launched a waste and recycling segmentation model that aims to become an essential tool for local authority waste and recycling marketing development. Dan Finch explains how it was developed and its practical uses.


Dan Finch National campaigns officer Waste Awareness Wales


I


N THIS climate of cuts, local authorities must be even smarter when trying to communicate and engage with their residents. Expensive campaigns that use catch-all marketing tactics are simply not possible or desirable anymore.


Having achieved the 52% recycling target


as a nation, Wales must now look beyond awareness raising to long term behaviour change in order to accomplish the next goal; 58% by 2015-16. The key to that success will be to develop


marketing strategies with clearly defined target markets, using cost effective tactics that resonate with audiences. An essential tool to help achieve this is the Wales wide waste and recycling segmentation model developed by Waste Awareness Wales. Recently launched at a meeting in Builth


Wells, attended by Welsh local authorities, the segmentation model is an invaluable information source that will help inform marketing campaigns and tactics. Waste Awareness Wales is a Welsh


government funded organisation that aims to support local authorities with help and guidance on waste and recycling issues, particularly focused on marketing and communications.


Segmentation In its widest sense, segmentation is a type of marketing strategy that involves dividing a broad target market into subsets of consumers who have common needs, and then developing and implementing strategies to target their needs using communication channels that are best suited to reach them. In this case, the segmentation model has


been developed so local authorities can better understand their residents’ attitudes and behaviour towards waste and recycling


and to engage with them using the marketing channels and messaging they are most likely to respond to. By adopting this


method, campaigns will have less ‘wastage’ and with dwindling budgets, acutely felt by marketers across the public sector, using the little money they have to make the biggest impact is essential, and this tool goes a long way to achieving this.


Developing the model WAW worked with two companies, both experts in their respective fields. CACI and Resource Futures. CACI supplies geodemographic and


lifestyle characteristic on the UK population and have developed the Acorn segmentation at full postcode and household level. Resource Futures is an independent


environmental consultancy business that focuses on high quality collection and expert analysis and interpretation of data to guide their customers in the efficient use of material resources and on the delivery of innovative behaviour change programmes. On the face of it, our brief was deceptively


simple; to amalgamate the Acorn data with WRAP’s annual 3Rs tracker survey results, and while the process to achieve this by overlaying the data was complex, the results for the end user are simple and clear with a focus on practical use. Acorn has been developed using a range of


data sources including open data, freedom of information responses, lifestyle information, private sector databases, CACI datasets and the Census. It describes what consumers within a specific neighbourhood earn and buy, where they shop, what communication channels they engage with and so on. WRAP’s 3Rs tracker survey is an annual


consumer survey that explores behaviour and attitudes towards waste and recycling in Wales and other nations in the UK.


Introducing the segments The model divides the Welsh population into ten segments, each one representing a different section of the populace. The information provided on each


segment is split into two parts, one detailing ‘facts and figures’, the other ‘insight and implementation’. The facts and figures elements show general


geodemographic and lifestyle information such as type of housing and ownership, age, life-stage, preferred communication channels, newspapers and magazines, occupation, income, favoured supermarket and so on. It also reveals recycling specific information


The best way to communicate is by face-to-face engagement via door step communication


6 November 7 2013


behaviour such as what proportion put recyclable items in the general rubbish and what proportion contaminate recycling, plus where the segment looks for information about recycling such as council websites, newspapers, social media etc.


Finally, it


details information describing recycling attitudes and effectiveness relative to other segments; such as effort, volume, materials, food waste etc. The second element provides more insight


and ideas on strategic implementation into marketing strategies, suggesting what campaigns to consider but also, more importantly, discusses in detail what type of marketing methods should be used to best reach the segment and what types of messages can be used so they are most likely to be engaged. To illustrate this, if we look at one segment,


‘terraced families’, highly prominent in the Welsh Valleys, we discover that food waste collection among this group is low, we can also determine that the best way to communicate is by face-to-face engagement via door step conversations, but delve a little deeper and the information tells us that they are also likely to respond to leaflets/samples picked up in-store, consequently supermarket road shows to complement other activities, such as door stepping, direct mail or telephone calls might also be effective. Further, details of the direction and


messages the campaign could use are also suggested; “with competence levels ranging from ‘recycling unaware’ to ‘trying their best’, the main messages these residents need are clear instructions about what, when and how to recycle.” Local authorities know their residents and


so some of this information may be obvious, but in reality, the nuances are often ignored and a homogenised approach to marketing is frequently used, as a result, marketing campaigns suffer, never really connecting effectively. Using the segmentation model allows strategies to really target residents. It provides a detailed picture of attitudes


towards waste and recycling that will allow authorities to underpin the strategic direction of marketing campaigns.


Segment location The geographic location of each segment is essential knowledge. Detailed maps, providing


www. r e c y c l i n gwa s t ewo r l d . c o . u k


ward level information on the propensity of the segments


are also provided. This element helps define the campaign further. Combined with local knowledge, it will


dictate what wards to target; for example when doing leaflet drops, door stepping, road show and advertising such as billboards or on telephone boxes. Authorities access this data via the DataUnit’s infobase Cymru online portal.


Further applications The segmentation model is a practical tool that can really help LAs achieve targets. But it shouldn’t be limited to the


departments responsible for waste and recycling. The insight the model provides could be used by other council departments seeking further understanding of residents when developing marketing strategies. Some LAs are also looking at how this


data can be used with customer relationship management (CRM) systems employed by their contact centres. There are huge benefits to be gained


from the extra layers of understanding the segmentation provides when communicating with residents, for example, providing contact centre staff with specific and accurate information about residents waste and recycling behaviour can determine what messages are communicated during contact, e.g. food waste avoidance advice, to recycling contamination etc. WAW will be using the tool directly to


develop marketing strategies for projects with Torfaen Council on the roll-out of a new plastics and carton recycling service and Neath Port Talbot Council with a paper and card campaign; among others. As campaigns are implemented and


evaluated it will allow us to gain greater insight into the segments and their behaviour allowing us to reconsider approaches in light of changing attitudes and behaviours. The model will continue to evolve and change in harmony with changes to the 3Rs tracker and Acorn data to continue to be an essential tool for local authority marketing.


RWW • www.wasteawarenesswales.org.uk Recycling & WA S T E W O R L D


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