Magnit and Romir Join Forces in Customer Research

Krasnodar, Russia (September 17, 2020): Magnit Retail Company and Romir Research Holding combine their customer data processing technologies — the first experience in simultaneous real-time processing of analytical and retail data in the Russian market.

In order to ensure effective targeted marketing and communication offers for the customers, it is important today to have a clear understanding of the actual profile of the target audience and behavioral patterns of specific customer groups depending on various conditions and parameters.

This is what determines the effectiveness of any message in situations where the objective shifts fr om complete coverage to assured delivery and correct choice of message and time for communication with the end customer.

Therefore, the primary goal of cooperation between Romir and Magnit will be to determine the profile of real customers and identify the intricacies of consumer sentiment. At its core, the partnership utilizes two technologies: the Chain’s Data Management Platform (DMP) and Romir’s Consumer Scan Panel, with the DMP aggregating databases containing information about real customers taken from the research panel.

The technological partnership between Romir and Magnit via the DMP will allow brands and advertising agencies to browse extensive customer analytics and get a real picture of their target audience, as well as compose the most suitable message and choose the most appropriate time for communication.

Magnit’s DMP is a distributed self-service platform providing marketing professionals with access to anonymized structured data on various audiences served by the Chain and the platform’s partners. Today, the platform accumulates information about 60 million active customers of Magnit and its partners. Users may establish customer segments based on over a hundred behavioral attributes and several thousand product categories, as well as upload required target audiences directly to popular advertising platforms (Mail.ru, Yandex, Facebook, GPMD).

Romir’s Consumer Scan Panel is built on consumption data from 40,000 Russians across 15,000 households in 220 cities with a population of over 10 thousand people, which represents shopping and consumer behavior of Russia’s urban population. Members of the panel scan QR codes from receipts, fill out questionnaires, and participate in online surveys. The panel’s database accumulates scanned data in real time.

This information allows studying both at-home and out-of-home consumption of the customer and gain insights regarding expenses on products as well as services. One of the distinctive features of Romir’s Consumer Scan Panel is that it collects information about the households’ spending on services, which enables a deeper analysis of consumers’ profiles and behavioral patterns of audiences targeted by the brands, and allows studying the services market. In addition to differentiation based on categories and brands, customer data provided by the DMP may be broken down by sales channels, specific chains, and even large stores, depending on the requirements of the business.

“Collaboration between Magnit and Romir’s data systems via the DMP will enable users to get data to build marketing communications to target audiences identified based not on claimed data, but on actual consumer behavior backed by real receipts from real customers. This will enable Magnit to increase the effectiveness of its own marketing campaigns and provide the market players — brands and advertising agencies — with a tool to accurately set up their customer communications,” —says Fabian Schaefer, Magnit’s Director of Analytics and Data Management.

“Our goal is to create and develop new markets, since we can clearly see new opportunities constantly emerging around our established line of business. We are ready and willing to integrate third-party technologies and harness the resulting synergy,” — comments Andrey Milekhin, President and Co-Founder of Romir Research Holding and Mile Group, Doctor of Sociology, Vice-President of Gallup International.

Within the framework of the new partnership, Magnit’s audiences are automatically combined with those of members of Romir’s consumer panel, which allows the partners to offer advertising agencies and brands a new set of tools for integrated (data-driven) marketing, including:

1. Analytical snapshots for a given audience with greater depth thanks to the combined data from two technological platforms;

2. Real-time and predictive measurements of audience targeting accuracy for a specific brand;

3. Measurements of advertising campaign effectiveness across all channels and its impact on sales;

4. Measurements of customers’ and consumers’ perception of a brand;

5. Additional surveys and research for any audience categories, etc.

Since Magnit launched its DMP in December 2019, the data recorded by the retailer and its partners has already been used in over 200 advertising campaigns, with all the leading advertising holdings joining the platform. The DMP allows increasing the targeting accuracy for advertising campaigns 2 to 5 times, and the sales uplift per contact may reach 5 to 15%. The largest FMCG brands are already moving away from isolated application of disparate data in standalone campaigns and toward developing their own data and media strategies utilizing the new capabilities offered by the Chain’s DMP. Magnit is also actively using the platform, including for the purposes of its own marketing, wh ere it is used to support new openings, project launches, and the Company’s own promo campaigns. The technology allows the members of the platform to run joint projects like, for example, collaborative customer loyalty forecasting and management.

Magnit and Romir join forces in customer research