Retail Industry Intelligence Report

INDUSTRY INTELLIGENCE REPORT:

RETAIL

PREPARED BY

TrueDataTM always tells a story.

Target

Kohl’s

Sam’s Club

The Home Depot

Best Buy

TrueData, a leading provider of mobile audience data and analytics, performed an industry analysis* on five of the top retailers that compares users’ demographics, their propensity to own certain apps more than others, and the types of devices that those users own.

Below we’ve summarized a few overall insights: 1

2

3

There are key patterns that emerge in the gender and ages of the users among the retailers Some interesting matches in user demographics can be seen between retailers that we wouldn’t naturally think would be similar An analysis of the type of category of apps that each user group has reveals potential areas of targeting growth *U.S. and Android data only

HOW DO USERS COMPARE ACROSS TOP RETAIL APPS?

Gender

U.S. Census

(MALE VS FEMALE)

49%

The Home Depot

70%

30%

66%

34%

Home Depot and Best Buy more than double Kohl’s

51%

42% Kohl’s

English

Sam’s Club

58%

24%

and Target’s male user base

Best Buy

76%

24%

76%

Target

Language

Spanish

100%

75%

(ENGLISH VS SPANISH)

50%

Both Target and Sam's Club skew female, but Target

25%

over-indexes on Spanish

0%

speaking vs. Sam's Club U.S. Census

Kohl’s

Sam’s Club

Target

Best Buy

Age Range

The Home Depot

16%

under-indexing

11%

21%

best with under 34 year olds

14%

U.S. Census

24%

13%

skew older

4%

Target

Best Buy

22%

16%

while Home Depot and Kohl's

19%

17%

16%

17%

12%

10%

7%

17%

15%

Target and Best Buy do the

7%

12%

25%

13%

25% 6%

13%

13%

11% 24%

18-24

25-34

35-44

45-54

55-64

65+

TAKEAWAYS FROM TRUEDATA

Kohl’s

20%

21%

Sam’s Club

20%

The Home Depot

17% 29%

25%

21%

27%

Overall Retail industry skews older and

Additionally, Best Buy and Home

more female. There is opportunity, though.

Depot could target for look-alike

For example, Sam's Club and Kohl's could

audiences that are majority male

target a younger, Spanish speaking audience.

and between the ages of 35-54.

WHAT APPS DO USERS INDEX HIGHLY FOR?*

An index is an easy way to see which

JetBlue's consumers likely skew more

apps your users are more/less

tech/male given the overlap with the

likely to have compared to the U.S.

Home Depot and Best Buy audience

population Sam's Club and Target are the least

Best Buy and Home Depot audiences

correlated in a competitive category

highly correlated in different

suggesting loyal fan bases that need

categories allowing for complementary

competitive conquesting techniques

audiences and/or co-branding

to shift consumer behavior

opportunities

App Affinity Scale

Bottom 1/3

Target Target Kohl’s

Sam’s Club

13

7

10

15

7

8

9

11

10

12

The Home Depot

Best Buy

Sam’s Club

8

11

The Home Depot

7

8

9

Best Buy

6

10

9

19

GameStop

3

3

3

5

15

Macy’s

10

20

8

12

20

Zoosk

0

3

3

3

5

Bed Bath & Beyond

11

25

13

21

24

UPS Mobile

5

8

8

15

19

Walgreens

8

8

5

6

6

CVS / pharmacy

10

11

8

10

7

WingStop

7

0

0

9

17

Applebee’s

8

14

11

14

17

Fitbit Coach

9

12

7

0

9

JetBlue

5

6

0

9

10

Regal Cinemas

8

8

5

7

11

Mid 1/3

Top 1/3

Kohl’s

*Percentile rankings of app affinities shown in thirds

20

WHAT CATEGORIES OF APPS ARE USERS INSTALLING?

Percent of user base to install a specific app category

30

20

10

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Target

Apps

CATEGORIES

Kohl’s

Sam’s Club

The Home Depot

Best Buy

TAKEAWAYS FROM TRUEDATA Clear divergence of audiences. For example, Sam's Club audience skews heavily casual gaming against the Home Depot and Best Buy audiences. Those audiences then over index on Shopping and Entertainment compared to the Sam's Club Audience.

App-based audience targeting is a great way to target a specific user segment for customer acquisition.

WHAT KIND OF DEVICES DO RETAIL USERS HAVE?

Among Android devices, Verizon

50%

and AT&T maintain their market dominance in the Carrier market,

40%

but T-mobile does seem to be growing quickly and with the Sprint

30%

merger they could grow quicker

20%

Best Buy

Kohl’s

The Home Depot

Target

10%

0%

Sam’s Club

er

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llu

Ce

th

S

O

U

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ile

ob

M

Sp

T-

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&

AT

n

zo

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Ve

80%

Among Android devices Samsung clearly takes the lead by a big margin when compared to Motorola, LGE

60%

and a group of other smaller devices 40%

20%

0%

Best Buy

Kohl’s

The Home Depot

Target

Sam’s Club A RC

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Sa

WHERE DOES AMAZON FIT IN?

Below we show how Amazon - the 800-pound retail/utility gorilla fits into the mobile retail conversation. How each profiled app’s users are installing Amazon apps might reveal something interesting.

We can use the line chart below to see if any patterns emerge.

The Amazon Prime app is

Although Amazon Prime

Retailers may want to look to

the clear winner among the

is the winner here, it’s

their direct industry-specific

three Amazon apps with the

still barely in the top 1 ⁄ 3

competitors instead of

highest index values across

of all over indexing apps

immediately jumping to

all of the retailers

Amazon

Profiled Apps

TAKEAWAYS FROM TRUEDATA Doing a competitive analysis of your direct competitors may

App index

reveal areas of growth for

10

your brand that you hadn’t considering previously.

8

For example, Bed Bath & 6

Beyond may want to target audiences similar to Kohl‘s since Bed Bath & Beyond

4

users index highly with Kohl’s or Sam’s Club may want to

2

target gaming users since 25%+ over the type of apps on

0 Target

Kohl’s

Sam’s Club

The Home Depot

Best Buy

Sam’s Club’s users are gaming apps.

TRUEDATA’S RESEARCH METHODOLOGY

TrueData has a robust network of over 450+ apps where it captures deterministic data directly through server-to-server (S2S) or SDK integrations. TrueData’s data is never modeled or collected through the bid-stream – it is captured directly from users. While TrueData collects both U.S. and international data, the analytics are based on U.S. only data.

TrueData segments the data that it collects into several different categories in order to generate accurate and stable analytics: 1

2

3

DEMOGRAPHIC DATA

APP OWNERSHIP DATA (Android only)

DEVICE CHARACTERISTIC DATA

Gender Designation

Raw App Ownership

Manufacturer Designation

Age Designation

App Ownership Indexing

Carrier Designation

Language Designation

The following steps outline how TrueData accurately generates and scales these analytics from representative samples to the U.S. populus: 1. DATA COLLECTION - TrueData only collects 100% deterministic data from its network of apps through S2S and API.

2. DATA CLEANSING & NORMALIZATION - TrueData goes through several steps to remove overlapping data from different sources (i.e., one source says that a MAID is a female and another source says that it’s a male). In that case, TrueData will remove the data point all together and only generate analytics from data where there is consensus among the sources.

3. DATA SCALING - Once the data has been collected, cleansed and normalized, TrueData applies proprietary data science methods in order to scale the analytics from a representative sample to the general U.S. population.

If you have any questions regarding the data and insights presented here, or would like to request your own custom audience segment or industry analysis, please contact TrueData.