I felt something was off.Changing decision-makingTowards the "question."
This document summarizes the fundamental questions underlying the "unease" that often arises in the workplace, and approaches to resolving them.
XICA is building a system that transforms the very structure of corporate decision-making.
However, many transformations begin with identifying a single "discrepancy" on the ground.
The answer you arrive at to that question will serve as the starting point for generating a solid next decision.
Voices from the field,The question behind it
Please select from the options below that best reflects the issues or intuitive feelings of unease you are experiencing on-site.
We will organize the "questions that truly need to be addressed" hidden beneath the surface and present approaches to solving them.
Further refine
The numbers on the management screen are improving. Sales and profits don't move in the same direction.
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Voices from the field:"The CPA on the management screen has improved. However, acquisitions have plateaued."
questionHow much does advertising as a whole contribute to sales?
An approach to unraveling this question MMM Advertising effectiveness measurement and budget allocation
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Voices from the field:"When you add up the results for each media outlet, it exceeds the actual number of acquisitions."
questionWhen duplication is removed, how much does each initiative contribute to sales?
An approach to unraveling this question MMM Advertising effectiveness measurement and budget allocation
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Voices from the field:"If we run promotional campaigns, sales will increase, but we won't make any profit."
questionOf the sales generated through promotional activities, how much remains as profit?
An approach to unraveling this question RGM Optimizing pricing and promotions
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Voices from the field:"Sales are increasing, but profit margins are decreasing."
questionWhich of the following factors—pricing, promotions, or product mix—is driving the increase in sales while simultaneously lowering profit margins?
An approach to unraveling this question RGM Optimizing pricing and promotions
We have the survey scores and the number of reviews. But we don't know what factors influence a buyer's decision.
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Voices from the field:"The survey scores are high. Even so, it's not selling."
questionWhy doesn't a high rating translate into purchases?
An approach to unraveling this question CMM Brand selection and purchasing decision factors
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Voices from the field:"We created the features that many people wanted. But when we released it, it didn't sell."
questionWhat separates a "I want it" response from an actual purchase?
An approach to unraveling this question CMM Brand selection and purchasing decision factors
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Voices from the field:"We've had extensive discussions internally about what differentiates us from our competitors. But we don't know what factors influence our customers' choices."
questionWhat factors determine a buyer's choice when comparing a product to its competitors?
An approach to unraveling this question CMM Brand selection and purchasing decision factors
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Voices from the field:"I'm cutting them down by M1 and F1. Even among people of the same age, some will be moved by it, and others won't."
questionIf we categorize customers not by age or gender, but by their reasons for choosing, how would they be grouped?
An approach to unraveling this question CMM Brand selection and purchasing decision factors
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Voices from the field:"We're not being chosen by young people. We don't know what resonates with them."
questionWhat criteria do young people use when choosing brands?
An approach to unraveling this question CMM Brand selection and purchasing decision factors
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Voices from the field:"I'm counting the reviews, but I haven't read the content."
questionWhat are the reasons behind the words in customer reviews?
An approach to unraveling this question TREND SNS analysis and consumer insights
I have the number of members and the number of purchases. However, I won't know who stays and who leaves until after they've left.
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Voices from the field:"The number of members is increasing, but sales are not."
questionOf the increased number of members, which group continues to make purchases?
An approach to unraveling this question CRM Segment design and customer retention
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Voices from the field:"I don't understand why people who buy something once don't come back."
questionWhere do people diverge between those who proceed to make a second purchase and those who don't?
An approach to unraveling this question CRM Segment design and customer retention
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Voices from the field:"I only realized it after the contract was canceled."
questionWhat behavioral changes are observed before cancellation?
An approach to unraveling this question CRM Segment design and customer retention
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Voices from the field:"I don't understand the difference between customers who buy for a long time and those who stop buying."
questionCustomers who continue to buy for a long time, and customers who stop buying. Where do their post-purchase behaviors diverge?
An approach to unraveling this question CRM Segment design and customer retention
There are many things you can move. Ultimately, the choice comes down to experience and intuition.
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Voices from the field:"Nobody knows what will happen to sales if we stop advertising. That's why we can't reduce it."
questionWhen and by how much will sales change if advertising is reduced?
An approach to unraveling this question MMM Advertising effectiveness measurement and budget allocation
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Voices from the field:"You won't know which one works best until you try them."
questionWhich proposal will most influence whose purchase?
An approach to unraveling this question CMM Brand selection and purchasing decision factors
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Voices from the field:"When we raised prices by 5% across the board, only our main products stopped selling."
questionHow different are the reactions to price increases for each product?
An approach to unraveling this question RGM Optimizing pricing and promotions
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Voices from the field:"When we introduced the value pack, the regular size decreased."
questionHow much of the sales of a new product will it take away from the company's existing products?
An approach to unraveling this question RGM Optimizing pricing and promotions
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Voices from the field:"Price increases are unavoidable. But no one can decide how much to raise them."
questionHow do sales volume and profits change for each price increase?
An approach to unraveling this question RGM Optimizing pricing and promotions
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Voices from the field:"It's trending on social media. It's hard to tell if it's just a passing fad or genuine."
questionWill a topic on social media become established or disappear?
An approach to unraveling this question TREND SNS analysis and consumer insights
There's a tangible sense of progress on the ground. But if you ask me why I can say that, I'm at a loss for an answer.
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Voices from the field:"The finance department asks me if TV commercials are really effective."
questionWhen separated from other factors, how much did TV commercials influence sales?
An approach to unraveling this question MMM Advertising effectiveness measurement and budget allocation
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Voices from the field:"We're reporting increased brand awareness. We can't explain how that translates to increased sales."
questionHow do changes in perception translate into purchases?
An approach to unraveling this question CMM Brand selection and purchasing decision factors
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Voices from the field:"Sales, marketing, and finance can't talk using the same numbers."
questionWhich metrics should be used to ensure that the effectiveness of sales promotions and discounts is consistent across departments?
An approach to unraveling this question RGM Optimizing pricing and promotions
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Voices from the field:"Our clients are asking for increased sales and rebates. Are our sales actually increasing as a result?"
questionHow much did special offers and rebates boost sales?
An approach to unraveling this question RGM Optimizing pricing and promotions
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Voices from the field:"We have a hypothesis. But we can't gather the voices of ordinary people to support it."
questionTo what extent do internal hypotheses and consumer feedback align?
An approach to unraveling this question TREND SNS analysis and consumer insights
We have all the data and analysis reports. Our strategy will return to the same old approach.
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Voices from the field:"Reports are issued every month. They don't provide a basis for changing the allocation for the next term."
questionBased on the effectiveness of each policy, how should we restructure the budget allocation for the next term?
An approach to unraveling this question MMM Advertising effectiveness measurement and budget allocation
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Voices from the field:"The budget remains the same as last year, even though the market and competitors have changed."
questionHow will next year's budget change to reflect changes in the market and competition?
An approach to unraveling this question MMM Advertising effectiveness measurement and budget allocation
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Voices from the field:"Even if we distribute coupons, it's always the same customers who take action."
questionWhat is the difference between customers who would have made a purchase without a coupon and those who were motivated by a coupon?
An approach to unraveling this question CRM Segment design and customer retention
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Voices from the field:"We have the customer data. We're sending the same message to everyone."
questionTo what extent can we segment our customers based on the purchase data we have?
An approach to unraveling this question CRM Segment design and customer retention
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Voices from the field:"We're lowering prices as our clients ask us to. Even when we sell, we're not making a profit."
questionWhat level of discount will allow us to make a profit?
An approach to unraveling this question RGM Optimizing pricing and promotions
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Voices from the field:"The only trending words that come up in planning meetings are ones everyone knows."
questionWhere are the changes that occurred before the words became universally known?
An approach to unraveling this question TREND SNS analysis and consumer insights
No voices yet fit this combination.
Approach to solving problems
Many challenges ultimately lead to specific problem-solving approaches. While these are collectively referred to as "data analysis," the questions they answer, the data they handle, and their outputs all differ.
| approach | Question to answer | Data to be used | Output | Detail page |
|---|---|---|---|---|
| MMM Advertising effectiveness measurement and budget allocation Unraveling the Investment Mechanism | Where and how much should investment be allocated to advertising and promotion? | KGIs such as sales, policy data, and external factor data. | The basis for budget allocation and the roadmap beyond it. | |
| CMM Brand selection and purchasing decision factors Unraveling the Customer Selection Mechanism | What factors influence a buyer's decision? | Consumer research data (designed and developed collaboratively) | A customer selection criteria model for comparing planning and appeal using the same standards. | |
| CRM Segment design and customer retention Customer data analysis | Why do customers stay, and why do they leave? | Purchase history and customer attributes | Touchpoint and action scenarios for each customer segment | |
| RGM Optimizing pricing and promotions Revenue Growth Management | How do price, promotions, and terms of trade affect profits? | Sales, promotion, and transaction data by SKU and distribution channel. | Criteria for determining price, promotion, and transaction terms from a profit perspective. | |
| TREND SNS analysis and consumer insights Consumer Trend Analysis | What is beginning to change among consumers? | The words of consumers gathered through social media and surveys | Supporting the approach to a project is the backing of consumer feedback. |
* The examples listed in the table are representative. In reality, methods and models are individually tailored to the situation, the question to be answered, and the available data.
Examples of initiatives
The answer leads to the next decision.
Once an answer is found to one question, the next decision begins from a more confident starting point. That answer is then carried over to the next. XICA calls this repetition a spiral.
The spiral doesn't begin after the entire company's systems are in place. It operates in the same way even within a single brand or a single area of responsibility. The scope of this spiral expands from brands to business units, and from business units to the entire company. The AI Decision Engine supports this expansion.
Making the spiral a part of the organizational structure
