How Retailers Can Use MOSAIC

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1 How Retailers Can Use MOSAIC What s the number one issue facing retailers today? How to keep current customers happy and how to find new prospects to grow the business. To help your retail clients meet the challenges of the new economy, they need to use the information they have on current clients to maintain an edge over the competition. Key questions include: Who are your customers? What kinds of consumer goods and services do your retail customers purchase? What are their favorite television shows, places to vacation, opinions on social issues? What are good areas for expansion? Learning more about customers helps retailers position products and services to meet their customers needs. Applied Geographic Solutions (AGS) has a geodemographic tool called US MOSAIC which can help retailers identify, track and target customers and prospects. US MOSAIC is a leading neighborhood classification system with a wide array of linkages and applications. It is the ideal retail market analysis tool, able to yield abundant information about your retailers market. When MOSAIC is applied to the retailer s customer file, the cluster codes appended to every customer address define, group and describe the types or segments of customers. This creates a rich data source for analysis. With it the retailer can get accurate answers to the most essential questions about his customers, his products performance, site location and market performance. The MOSAIC system was created by AGS in partnership with Experian; MOSAIC is a global brand through the Experian organization and present in 19 markets worldwide. What Makes MOSAIC Different MOSAIC s segmentation system is comprised of: 60 neighborhood types (clusters) 12 Social groups - larger groups created by combining highly similar clusters. Social groups are used to develop broader and more manageable target groups 14 Global groups Groups of consumers with similar demographic, lifestyle and consumer preference characteristics in over 20 countries Available at the ZIP+4, ZIP, Block Group and Census Tract levels with distributions for counties, DMAs (Designated Market Areas) and MSAs (Metropolitan Statistical Areas). All geo-demographic segmentation systems start with the same basic information: U.S. Census data and current-year population estimates extrapolated from the census data. MOSAIC s population estimates and projections are developed by AGS. In addition, MOSAIC adds detailed consumer data that is built right into the MOSAIC model, providing a rich and finely tuned analysis. See the document Building MOSAIC for more detailed information on how the product is built. Page 1 of 15

2 How MOSAIC is Unique Because a rich array of consumer data are added from the start, they help determine and define MOSAIC s cluster compositions. Consumer data that is used to build the MOSAIC model include: Automobile purchases Behavioral data Self-reported data from panels and sweepstakes Household demographics and behavioral data MOSAIC s ability to link disparate sources of data in order to add depth and insight to the retailer s analysis is one of its primary advantages. MOSAIC has direct links to additional comprehensive, detailed consumer data sources including several leading syndicated consumer surveys, Experian s INSOURCE SM database and Global MOSAIC, a system of clusters that can be applied across 20 countries. Understanding Regional Influence Another advantage that US MOSAIC s model offers over other segmentation systems is its emphasis on ancestral, cultural and regional data. As a result, MOSAIC can pinpoint the predominant cultural and regional characteristics that have a strong influence on consumer purchasing behaviors in a targeted geographic area. Such characteristics are clearly reflected in MOSAIC s cluster descriptions. MOSAIC s culturally sensitive segmentation helps the retailer truly understand his customers and the influence that unique cultural differences can have on their purchase and media preferences. See the MOSAIC Type Descriptions sheets for fully detailed descriptions of each MOSAIC cluster. Market Analysis Through reports, bar graphs and maps, MOSAIC creates a comprehensive profile of the retailer s customers by answering four core market questions: Who are the customers? What are they like? Where are they and more just like them located? How best to reach them? WHO: MOSAIC identifies the core demographic characteristics of the retailer s customer base age, occupation and income, education level, gender, race or ethnicity, average household size, home ownership and more. WHAT: It s not enough to know the customers demographics. Lifestyle characteristics such as attitudes and values, product usage, brand preferences and media habits also heavily influence consumer-purchasing behavior. Page 2 of 15

3 WHERE: Geographic location can tell a lot more about customers than whether they live in an urban or rural setting. Geography is intricately related to cultural and regional influences, which play a prominent role in shaping consumers purchasing behaviors. MOSAIC puts the geographic, regional and cultural factors of location together with key demographic characteristics to create informative cluster labels: Cluster C05 Mid-market Enterprise Cluster B02 Affluent Urban Professionals Cluster J03 Struggling City Centers MOSAIC incorporates other variables that capture the importance of location such as population density, distance to shopping areas and urban centers. HOW: Once a retailer knows the who, what and where about his customers, the next step is to determine the best media channel to reach them. Lifestyle attributes indicate which clusters prefer watching television, listening to the radio, reading newspapers or magazines, or surfing the web. Syndicated survey data is also highly useful for evaluating the retailer s position vis-à-vis competitors, or to get a better feel for the market or category as a whole. MOSAIC Links MOSAIC s ability to link disparate sources of data in order to add depth and insight to the retailer s analysis is one of its primary advantages. MOSAIC is linked to several national research firms syndicated lifestyle surveys and attitudinal research surveys: Mediamark Research Inc., Scarborough Study of Local Markets, and Nielsen Media Research*. Each of the surveys conducted by these research firms provides specific information about consumer media use and preferences, purchasing behaviors and lifestyle habits. Some of the surveys even identify specific programs, radio stations and/or publication titles each cluster type turns to most frequently. Such enlightening data are invaluable to market analysis and planning, even to the development of effective advertising and direct mail messages. In addition, as stated earlier, US MOSAIC is also linked to Experian INSOURCE SM database and Global MOSAIC. Although data from the sources mentioned above can be very useful, it is important for retailers to know that any database they have or want to purchase can be coded with MOSAIC clusters. The retailer simply has to request MOSAIC in order to have this done. *NOTE: There is a brief description of each of these research firms and their surveys at the end of this document. Time Series and Trend Analysis MOSAIC is very useful for trend analysis. Retailers can examine and compare specific product or market performance by individual clusters over time. Analysis of several years of data can give retailers insight on the rise and fall of a product or market trend. In addition to trend analysis, MOSAIC analysis can be used to assist with marketing decision-making. MOSAIC analysis can assess consumers response to specific Page 3 of 15

4 marketing strategies such as price changes or a promotional campaign. MOSAIC enables the retailer to assess the market as a whole, for a few specific clusters, or by cluster to cluster. Even more so, MOSAIC analysis of the retailer s core clusters can serve as an early warning system. For example, performance reports of core clusters at the local level can alert retailers quickly to an adverse sales or market changes. Retailers can immediately take appropriate remedial marketing action. Consumer response to promotions, coupons, rebates or specific ads can be determined per cluster. MOSAIC analysis can even assess the status of a retailer s market share, at a defined point in time or as a trend, in response to competitors marketing strategies Customer Analysis And the Customer Is? The MOSAIC system segments the retailer s customer database into neighborhood lifestyle clusters. Each customer record is assigned to one of MOSAIC s 60 clusters. Each cluster represents a distinct consumer market segment in the United States comprised of households with similar demographics, lifestyles, and consumer behavior. The clusters with the greatest number of customers are identified. Then the clusters are grouped according to similarity of demographics, consumption characteristics and lifestyles to form custom target groups. Target groups allow marketing strategies and actions to be more clearly focused. Customer Performance When a retailer has a good understanding of who his customers are he can add transactional data to the analysis to find out how his customers are performing. He can rank customer clusters by dollar amounts, volumes sold, frequency of visits to the store or site, product preferences and brand. He can identify subsets of customers within segments that perform differently from the overall segment. MOSAIC can answer any number of customer performance questions. Does the retailer s largest customer segment represent his most profitable customers? What are the defining characteristics of his most profitable customers? How large a segment of his customer base is weighed down by least profitable customers? Following is an example of MOSAIC in actual application. Case Study The Challenge A department store retailer used MOSAIC to develop a profile of the customers who shopped at his stores in a tri-state area. The retailer was confident that he knew his customer base pretty well. But he wanted to confirm his assumptions. Page 4 of 15

5 The Objectives In a weak economy, the retailer felt it imperative to make the most of each store s relationship with each customer. He wanted to target each customer segment, but he knew that a one-size-fits-all promotional campaign would not be effective. Once he knew more about the types of customers he served he could determine the kind of promotional campaign that would be most effective with each segment. The Solution MOSAIC confirmed most of the retailer s assumptions. A US MOSAIC Profile Report showed that in the overall customer base, low to middle incomes were the norm, a high school degree was the predominant level of education achieved and household size averaged six, with three to four school-aged children. However, the analysis uncovered a surprise for the retailer a small but growing customer segment. The retailer s customer base was comprised of four predominant clusters as follows (ranked from largest to smallest, based on old MOSAIC cluster descriptions): I45: Lower-income, rural, blue-collar families with children D24: Lower mid-income families in suburbs and small towns D21: Suburban, upper mid-income, blue collar families F31: Low income, well-educated, young singles in apartments To evaluate each cluster s performance, in terms of dollars and number of purchases per visit, the retailer provided transactional store data to the analysis to combine with the cluster data. This step showed that the retailer s largest customer cluster I45: Lowerincome, rural, blue-collar families with children was not the most profitable. Although this cluster shopped frequently, the average amount of its purchases was small. However, cluster D24: Lower mid-income families in suburbs and small towns was performing well. The Results The retailer concluded that the low-income customers in the I45 cluster were not likely to increase their average purchase amounts, especially in a weak economy. However, customers in the D24 cluster could probably be enticed into the store more often and encouraged to increase their average purchase amount per visit. Cluster D21 shopped less frequently, about once a month, but had higher than average purchase amounts per visit. This was definitely a profitable customer segment to draw into the store more frequently. The surprise segment was Cluster F31: Low income, well-educated, young singles in apartments. The retailer had not known that this group was part of his customer base. Although small, the segment was growing and a close look at the demographics in his market areas convinced the retailer that he could capture more of this segment. The retailer added syndicated survey data to the segmentation analysis to discover the media channels each customer segment preferred, particularly clusters D21 and D24. The reports that generated this data were the Demographic (Profile Ranking) Reports and the Lifestyle (Profile Ranking) Reports. These reports rank a series of demographic profiles, product and lifestyle profiles against a custom target group. This ranking revealed the characteristics that occurred at above-average rates in the retailer s target market neighborhoods. Page 5 of 15

6 Analysis showed that these clusters D21 and D24 had similar tastes in television shows and the publications they read. The retailer applied the insights about media use to develop distinct target marketing campaigns which would strongly appeal to each customer segment. PRODUCT ANALYSIS What are they buying? MOSAIC lays a fertile base for product analysis, too. When a retailer aligns his stores transactional data of product sales (in dollars and/or units) with customer clusters, the relationship between the customers, product demand and merchandise mix can be explored. Is the merchandise mix suited to each store s customer base? What are the defining characteristics of customer segments by product? Which customer segments perform best by product when measured in volume and in revenue? Which customer segments are underserved? Which products are under-promoted? The retailer can also ask and answer pertinent questions about product performance: What degree of market penetration does a specific product have? Which products are the best performers in the market? What is the demand or potential per product? How is a product performing in comparison with its potential? Is product pricing competitive? Lifestyle (Profile Ranking) Reports list the top clusters in each target with a product index and percent composition. A written description provides a picture of the lifestyle of that target. Top indexing behaviors are listed for a quick snapshot of the demographics, lifestyles and media usage of the group. The addition of syndicated survey data, custom research data or third party data to product analysis can shed light on untapped niche markets or customer segments. Because syndicated surveys span many years and ask the same questions in a consistent manner over the years, their data can be used to assess trends. For example, the data can point to a new trend that is starting or a current trend that is waning. Case Study The Challenge A sporting goods manufacturer requested a US MOSAIC Lifestyle Analysis to assess product performance of its line of winter sports equipment, specifically downhill skis, cross-country skis and snowboards, in the northeast region. Page 6 of 15

7 The Solution The retailer developed a profile of his customers using MOSAIC to identify the predominant clusters of his customer base. Next the clusters were grouped by similarities in demographics and lifestyles to create several custom target groups. Using transactional data from the last three years, the three product categories were ranked first by sales volume; then brands within each product group were ranked by sales performance. Transactional sales data, by dollar and units sold, were integrated with the cluster data to determine which target group had purchased any of the three winter sports products in the past three years. Now the retailer knew which target group preferred which product category downhill skis, cross-country skis or snowboards. To assess market coverage in the Northeast for each product category and the brands within each, the retailer requested a Market Potential Index Report (MPI) from the MOSAIC analysis. This report created an index of the degree of likelihood that each cluster target group would have interest in the product. The Results A Market Potential Index (MPI) was developed for each of the three product categories downhill skis, cross-country skis or snowboards and the index for each was converted into a map which clearly showed areas of high potential. (In this case, high potential would be areas with low product penetration and a high concentration of the target groups). The map showed pockets of overlap between low product penetration and high concentrations of the target customer groups. These pockets became the retailer s targeted markets. Additional reports used in this analysis were the Target Group Reports, which showed the count and percent composition for each neighborhood of total households and population in each area. In this report, neighborhoods are ranked and subtotaled by target group. The report also includes the penetration of key age segments for the neighborhood, especially useful information for products under analysis. Target Group Maps provide a graphic representation of the Target Group Reports. On the maps, each target group is represented by a different shade of color or fill pattern. The maps show the retailer where to find specific customer target neighborhoods (tracts, ZIPs) within a market. CROSS-SELL What else could they buy? One profitable use of product analysis is to identify products appropriate for cross-sell. Financial institutions use this approach often targeting customers with a certain level of savings to buy CDs or clients with life insurance to invest in disability or long-term care insurance. Book stores also practice cross-sell, both online and via direct mail, alerting customers to new books in genres similar to previous purchases. In fact, cross-sell is applicable to any type of retail product. Page 7 of 15

8 Cross-sell is a sound strategy for increasing sales, but only if the products being promoted are appropriate to the targeted customer segments. How can the retailer know what products and which customers are suitable for cross-sell? US MOSAIC, of course! Combining customer analysis and product analysis, both enhanced with transactional data, creates highly effective cross-sell programs. Syndicated survey data and custom research data fine-tune cross-sell planning by providing highly specific information about the types of products financial, electronic, appliance, automobile, computer, etc. and brands the customer already uses; those in which he is interested but has not yet purchased; and even those he plans to purchase within the next three, six or twelve months. Case Study The Challenge A financial planning service wanted to increase product cross-sells in some of its customer segments. An earlier US MOSAIC analysis had already identified the clusters in its customer database and combined them, as appropriate, into custom target groups. The financial planning service added transactional sales data by product to the analysis to answer two questions: What products are appropriate and popular among each customer segment? What products are appropriate but underrepresented among each customer segment? Once the financial planning service had these answers, it decided which products it would promote in a cross-sell campaign. The analysis showed that the popular products were whole life insurance, disability insurance and IRAs. Underrepresented products included money market accounts. The Objectives For this initial campaign the financial planning service decided to target only its two most profitable target groups. Based on its knowledge of the lifestyles and preferences of these two groups, the service s marketing department developed product promotional materials that addressed the preferences, lifestyles and purchasing behaviors for each group with suggested products. The Solution US MOSAIC Target Cluster Report shows only the clusters that meet predetermined criteria, such as financial planning products already owned. This report is especially useful in creating the custom target groupings of the US MOSAIC clusters for targeting media and promotions. Custom Target Group Index Bar Charts provided a visual identification of the clusters included in the target groups and their aggregate performance levels. A one-page summary of each target group listed the top clusters in each with a product index and percent composition. A written description of the lifestyles of each target group was provided as well. Page 8 of 15

9 Analysis of transactional data for the two target groups determined which products each customer already had purchased and which products would be promoted for cross-sell. Next the customers in the two target groups were divided according to the products they already had. The Results The cross-sell campaign was highly successful. Customers were pleased with the individual attention and the specific product recommendations directed toward them. A good percentage of the targeted customers decided to act on the recommendations. Others requested consultations about different products than the ones promoted in the campaign and several sales resulted. The campaign returned an exceptional ROI. The success of campaign encouraged the financial planning service to apply the same crosssell targeting model to other customer clusters. SITE LOCATION ANALYSIS Hungry for some fast food? Want a cup of gourmet coffee? Looking for an outlet of your favorite video rental store? Even if you aren t, at this moment thousands of consumers are. MOSAIC can help a retailer zoom in on the prime locations to capitalize on consumer demands. Surprisingly, many retailers are not aware of the power of MOSAIC for site location and market performance analysis but MOSAIC can help retailers avoid costly mistakes. MOSAIC can provide predictive information about a site s potential for growth or sales. It can provide insight into the demographic trends influencing the market area. By first developing a profile of the retailer s most profitable customer segments, MOSAIC can then identify sites with high concentrations of prospective customers who match that profile. And it can assess the likelihood that consumers already in the new market will become the retailer s customers. MOSAIC is not only useful for site location. It provides an accurate assessment of the market performance of current sites, too: What is a market s performance compared to the retailer s stores in other markets? What is a market s performance compared to the competition? What is the market s potential? Is the location measuring up to its potential? What factors are undercutting a site s location from reaching its full potential? MOSAIC is a great preventive measure, too. Assessing a store s performance on its transactional data alone can be misleading even if sales are steady and new customers are coming in. A MOSAIC Lifestyle Analysis of each store s customer base can uncover overlap of service, the dreaded cannibalization, in which two or more of the retailer s stores are competing for the same customers. Once cannibalization has been discovered, MOSAIC can provide corrective action. A MOSAIC analysis look at product performance at each store and develop a merchandise mix that will help each store perform up to its potential, without sharing customers. Page 9 of 15

10 Just as important as spotting opportunities for market growth is the task of spotting a market heading into decline. Change is inevitable but MOSAIC analysis can help the retailers spot and respond to market changes early on. For example, if important demographic or lifestyle changes are taking place in the retailer s market, the predominant characteristics of that market may no longer fit his best customer profile. In that case, the retailer has some decisions to make. Should he close the site? Is the site currently generating enough revenue to warrant keeping it open? How long should the site be in operation? Case Study The Challenge During a strong consumer market, demand for a particular brand of frozen yogurt products soared. But when the economy slowed down, then stalled, the retailer of the frozen yogurt products needed to cut expenses by closing some of his frozen yogurt stands. The retailer wanted to save stores in market areas where sales were strong, of course, but he also wanted to stay in markets where his most profitable customer segments were growing. The Objectives The retailer s goal was not just to identify those markets currently performing well. He wanted to predict which markets would remain strong performers or would grow stronger in the years ahead. The Solution To determine these projections, the retailer analyzed the demographics of the population around each site and at each radius. MOSAIC s estimates of current population and fiveyear projections of population were assessed for each market. MOSAIC also provided estimates of the rate of population growth or decline in each market over the next five years. This data was cross-referenced with growth estimates of the specific demographic characteristics that defined his most profitable customers. This enabled the retailer to identify areas where those influential demographic characteristics were expected to grow over the next five years. The Results The knowledge gathered from the different components of the analysis put the retailer in a strong position for strategic planning. Now he can confidently make decisions about which stores to close immediately; which stores can afford to remain open for the near future, despite declining population; and which stores he can expect to be high performers within the next five years. TARGET MARKETING Target marketing is so much more than sending direct mailers to the mail house for a mass mail campaign. In reality it can be a sophisticated and accurate planning tool for today s markets and tomorrow s. Target marketing assisted by MOSAIC can address many crucial objectives: Page 10 of 15

11 Determine what percentages of available marketing resources should be allocated to each customer target group Plan and place advertising programs that will ensure the highest reach across the specified target groups Develop creative messages and marketing strategies that will appeal to each target group Tailor direct marketing programs to reach specific target groups Delivering the right message to the right market Target marketing is the culmination of MOSAIC Lifestyle Analysis. When customer segments are defined, product usage determined and media preferences identified, it s an easy step to reach targeted customers with persuasive creative and compelling advertisements. Effective target marketing campaigns can be launched via television, radio and/or print publications, billboards, direct mail or Internet sites, whatever your customers preferred media channel. For a retailer to reach his best prospects he needs to know more than the who, what, where and how of his most profitable customers. He needs to have lists that ensure a good match between the prospects and his best customer profile. US MOSAIC makes this possible, too. Experian s INSOURCE database, reports data on approximately 215 million consumers in 110 million households across the United States, is MOSAICcoded. That means every customer record in the database is assigned to a cluster that reflects that customer s demographics and lifestyle. The last step of any effective target marketing campaign is to track responses to it by criteria that are clearly defined before the campaign is launched. Measurement criteria are usually dollars saved, rate of response, ROI, but they can be any other factor that is pertinent to the analysis, as long as they are measurable. Case Study The Challenge An automobile manufacturer wanted to find out what types of customers represented his most profitable customers for a new sporty hybrid vehicle. Early market tests had indicated that several distinct types of customers would find the car appealing. Now the manufacturer wanted to know which type of customers had actually bought the car in its first six months on the market. He would use that information to build a highly specific target marketing campaign to find prospects with the same characteristics. The Solution The manufacturer applied MOSAIC analysis to his national customer base to identify which MOSAIC clusters were represented among his customers, then ranked each cluster from largest to smallest across several variables age, income, education level, average family size and geographic region and sales. The analysis showed that two significantly different cluster segments represented the manufacturer s most profitable customers. The two clusters were: B12 Upper-mid-income singles & couples in growth-city houses or apartments Page 11 of 15

12 A04 Empty-nest, high-income, suburban couples These two clusters had popped in the early market tests, too. The manufacturer used MOSAIC to identify market areas across the United States with high concentrations of both clusters. By analyzing syndicated survey data included in MOSAIC, the manufacturer found which media channels were best to reach prospects in both clusters. Clearly, print and television were two important avenues but the Internet was a strong preference for both groups, too. However, separate creative had to be tailored to the widely divergent tastes of each cluster. The syndicated survey data in MOSAIC also identified specific television shows, publication titles and Internet sites preferred by each group. This knowledge was used to develop highly customized ads and direct mailers for each cluster. The manufacturer applied the MOSAIC analysis results to the list selection process to get a list with the highest possible match rate for each group. The Results The in-depth MOSAIC analysis paid off. The response rate from the direct mail campaigns was high, confirming that the retailer had used the right lists and hit the right targets. COMPETITIVE ANALYSIS Whatever MOSAIC can do for your customer s market analysis it can accomplish for an analysis of the retailer s competition. Segmentation can identify who the competitors are in the market and where they are located. It can assess competitors market share how much of the market they have and share of wallet the proportion of overall spending of the retailer s customers that goes to the competitor. Knowledge is power. Just as MOSAIC can be applied to answer the retailer s concerns about market growth, responsiveness and performance, it can be applied to assess those same factors for the retailer s competition. This gives your retail customers the competitive edge! MAPPING Whether the analysis is straightforward or complex, for long-term or short-term planning, mapping is a powerful way to see the results. Mapping is the process of data visualization, that is, overlaying key data onto maps. With the use of color codes and symbols to represent regions, products, consumer segments, market share, competitive presence and/or other market variables, maps give a vivid and unarguable summary of what s happening in the retailer s market. Maps can even show correlations among different market variables. One powerful use of mapping is for site analysis or trade area analysis. This is the type of analysis that proved profitable with a national bookstore prior to its pre-holiday promotion. The trade areas around the stores were analyzed at the 5-, 10- and 20-mile Page 12 of 15

13 radii to determine who the bookstores customers are and how large a market area each store serves. These radii were indicated on a map of each store s market area. The analysis yielded an unexpected and very valuable insight the stores customers came from a 20-mile radius around the stores. The clusters that comprise the stores customer base were identified on the map in the area where they resided. With the map, the retailer could see where each cluster was in its market area and the type of clusters that predominated at the 5-, 10- and 20-mile radius. Armed with this detailed information the retailer developed a highly targeted pre-holiday promotional campaign. The result was a phenomenal increase in store traffic and sales increased accordingly. This strong response is even more astounding considering that the nation was in a recession at that time. Mapping is often the most effective way to build consensus on marketing strategies among the organization s key players. Not everyone can understand analysis results in spreadsheet format or has the time or need to go through detailed data. But, if it is important to have the understanding and support of others in the organization, maps are the surest technique for conveying analysis results clearly and objectively. THE MOSAIC MODEL MOSAIC is priced competitively. Licenses for Block Group level and above start at $20,000 annually. Annual licenses for ZIP+4 data start at $35,000 and up. Variables Included : Most recent census defined U.S. states, counties, census tracts, minor civil divisions (MCDs), places and block group totals. Postal defined ZIP codes and 4 digit ZIP codes. Geographic maintenance and correction updating. Current Census base counts (population, households, etc.). Census demographic estimates and projections for population, households, families, group quarters, and housing units are first and foremost in the initial development process. This is followed in a Top to Bottom method working from the U.S. to State to County to ZIP code to BGED (Block Group/ Enumeration District). Demography given special consideration are density, income, inferred income, age, race, sex, income, housing value, Wealth, and IPA aggregate credit data by geography. Various data from the Current Population Survey compiled by the U.S. Census Bureau. Latest State and County population estimates. Behavioral measures via research data including magazine purchase, credit card usage, mortgage and automotive purchasing behavior these are smoothed back assigned to geography. Page 13 of 15

14 The primary source for base counts (population and housing estimates) is the census. However, the census is not the only source of measurement. Subsequent source of estimates for small areas of geography are national list processors including Experian s INSOURCE. Geographic Levels Available: ZIP+4 ZIP Code Census Block Group Census Tract County (distributions) State (distributions) Metropolitan Statistical Area (MSA) (distributions) Data sources: Experian s INSOURCE SM database INSOURCE can be used for both enhancement and list services. The database combines data from approximately 215 million consumers in 110 million U.S. households. Data is compiled from hundreds of public and proprietary sources. Variables include: Individual/household demographics, property, telephone numbers, direct response/consumer response, summarized data statistics, area level data and segmentation tools. MOSAIC s global clustering system Global MOSAIC is the predominant segmentation system in the world. It is the number one segmentation system in Europe and Asia. Its clusters are applicable and consistent across over 20 countries Available links: Mediamark Research Inc. (MRI) An ongoing and comprehensive national syndicated survey of the adult U.S. population. The survey collects demographic, product usage, and media exposure data of U.S. adults ages 18 and above in the 48 contiguous states. For more information go to Scarborough Research Scarborough Research is a leader in consumer market research. Scarborough provides a syndicated study to print and electronic media, new media companies, outdoor media, sports teams and leagues, agencies, advertisers, and yellow pages on local, regional and national levels. Categories include local market consumer shopping patterns, demographics, media usage, and lifestyle activities. For more information go to Nielsen Media Research Conducts television audience research for the U.S. and Canada and provides ratings of estimated television audience size and composition for use by television Page 14 of 15

15 programmers and commercial advertisers. Nielsen also compiles information about competitive advertising expenditures and audience reach for print, radio and television and information about computer usage and the Internet. For more information go to Page 15 of 15