Online Promotion Testing Linkage for Consumer Behavior Mapping
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Solution Overview
Problem
Current promotion optimization methods rely on backward-looking, aggregate historical data, which fails to account for unanticipated events and individual consumer behavior, leading to inefficient promotion strategies and potential long-term damage to brand equity.
Innovation Solution
Implement a forward-looking approach by administering test promotions on purposefully segmented subpopulations to gather actual revealed preferences, allowing for iterative testing and validation of promotion variables to optimize general public promotions effectively.
Engineering Contradictions & Design Principles
Engineering Contradiction Analysis
1Measurement precision
If backward-looking aggregate historical data is used for promotion optimization, then data collection is simple, but measurement precision and reliability of promotion效果 are poor
Solution Approach 1:
The patent segments the general consumer population into distinct subpopulations (e.g., heavy users, light users, non-users) and administers test promotions to each segment separately. This segmentation allows for precise measurement of promotion effects within each group while controlling for confounding variables, thereby improving measurement precision without requiring overly complex systems.
Solution Approach 2:
The patent implements preliminary action by conducting test promotions on segmented subpopulations before launching general promotions. This preliminary testing phase allows the system to gather data on consumer responses under controlled conditions, establish baseline metrics, and refine promotion strategies in advance, improving the reliability of promotion效果 measurement before full-scale implementation.
2Loss of information
If aggregate historical data is used, then testing time is short, but loss of information about individual consumer behavior occurs
Solution Approach 1:
By segmenting consumers into subpopulations rather than analyzing aggregate data, the patent preserves detailed information about individual consumer behavior patterns, preferences, and responses. Each segment's unique characteristics are maintained and analyzed separately, preventing information loss while enabling targeted promotion strategies that reflect actual consumer diversity.
Solution Approach 2:
The patent creates controlled copies of promotion scenarios across different subpopulations. By replicating test promotions across multiple segmented groups with known characteristics, the system can gather comprehensive behavioral information efficiently. This copying approach allows parallel data collection across segments, reducing overall testing time while maintaining detailed consumer behavior information.
3Reliability
If test promotions are administered to segmented subpopulations, then measurement precision improves, but device complexity increases
Solution Approach 1:
The patent divides the consumer population into distinct subpopulations based on observable characteristics and administers test promotions to each segment. This segmentation improves reliability by controlling for confounding variables and enabling more accurate attribution of promotion effects to specific consumer groups, while the segmentation itself provides a structured framework that manages system complexity.
Solution Approach 2:
The patent implements feedback mechanisms where results from test promotions on segmented subpopulations are systematically collected, analyzed, and used to refine promotion strategies. This feedback loop improves reliability by continuously validating assumptions and adjusting based on actual consumer responses, while the automated feedback processes help manage the complexity of coordinating multiple test groups.
4Productivity
If online promotion testing is conducted, then productivity increases, but harmful factors from population mismatch between online and in-store users arise
Solution Approach 1:
The patent applies local quality by selecting online subpopulations with specific characteristics that match the target in-store consumer demographic for each promotion test. Rather than using a generic online audience, the system tailors the online test population to reflect the local characteristics of the intended in-store audience, thereby reducing population mismatch errors while maintaining the speed benefits of online testing.
Data Source
AI summary
Methods and apparatus for improving the result of online promotion testing are disclosed. In one or more embodiments, base-lining is employed to improve the mapping between the online test promotion responses and projected in-store result. Alternatively or additionally, the test population responses may be adjusted to account for differences between the test population and the in store customer population.


