What is Sei-katsu-sha Data-Driven Marketing?

Feb. 22, 2019
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Creating value and building ecosystems for sei-katsu-sha

The Hakuhodo DY Group’s Sei-katsu-sha Data-Driven Marketing has supported over 200 clients to date. In this article, Tetsuya Waida, Director of Hakuhodo’s Global Data Marketing Department, explains exactly what Sei-Katsu-Sha Data-Driven Marketing is and how we serve our global clients’ needs in this age of data.

From the digital to the data age

Sei-katsu-sha’s experiences in various facets of their everyday lives are changing as a result of digitalization and technology. As all manner of services are provided on mobile devices, voice recognition, face recognition, and services that use electronic payment have penetrated our lives at a level we are not aware of.

In the business world, too, numerous companies are pursuing digital transformation, and it has become common for companies to fundamentally change the way they operate and undertake marketing.

This current of social change is indicative of the fact that all kinds of phenomena in the world are being turned into data. With the advance of the Internet of things, problems such as burgeoning volumes of data and privacy issues are becoming more critical, and the impact on and importance to business of data utilization are increasing markedly. It is no exaggeration to say that beyond simply using data for the company’s benefit, the value and use of data from sei-katsu-sha centered perspectives and the building of ecosystems are new challenges that need to be addressed.

The Hakuhodo DY Group’s Sei-katsu-sha Data-Driven Marketing

In anticipation of these sei-katsu-sha changes, we began work on Sei-katsu-sha Data-Driven Marketing several years ago. Since then, we have supported the marketing of companies by building our Sei-katsu-sha Data Management Platform (Sei-katsu-sha DMP) and other initiatives. In 1981, Hakuhodo established the Hakuhodo Institute of Life and Living (HILL), a think tank specializing in sei-katsu-sha research. We see individuals not merely as consumers, but holistically as “sei-katsu-sha,” or people that live lives that include behaviors and feelings rooted in latent desires and values toward products, purchasing and every aspect of their lifestyles. This way of looking at them has been the Hakuhodo DY Group’s DNA from long before people started talking about data and IDs. Living, learning, working, playing, loving, nurturing, eating, and clothing themselves: sei-katsu-sha carry out myriads of different behaviors. Today, Sei-katsu-sha Data-Driven Marketing helps us gain a deeper understanding of those sei-katsu-sha using data and technology.

In implementing data-driven marketing, it is essential to integrate and utilize a company’s own data, which understands the company’s customers deeply, and market data, which gives a bird’s-eye view of the market as a whole. We build the necessary marketing infrastructure for this by linking and integrating our proprietary Sei-katsu-sha DMP and the company’s data platform. Our Sei-katsu-sha DMP is an ID-based database that integrates purchasing data, TV viewing logs, web logs, identifiers for advertising, and other data, such as search data and survey data. In addition, external sei-katsu-sha data obtainable from the Hakuhodo DY Group’s Data Exchange Platform—a system for safely exchanging consumer data possessed by various data holders—can be added and linked to the company’s customer databases. We also use k-Statistics and Data Fusion Technology to anonymize personal information and integrate the data.

In the case of global and Asian marketing, data usage and media environments vary from country to country, so we identify usable data and partners and customize in accordance with client needs.

Asia, where a wave of digitalization is surging

Hakuhodo conducts a relatively large amount of its business in Asia. When we introduce the changes in the market environment taking place in Asia, first and foremost, the surging wave of digitalization is a major premise. Asia’s populations are younger and adopt new services like social media, electronic payment, e-commerce, sharing services and QR codes extremely rapidly, using them to full benefit. Put another way, data-driven marketing may be even more effective in Asia than it is in Japan. We need to come to grips with the situation, and identify the right balance between country-specific and horizontal executions, undertaking horizontal global executions, such as a uniform brand message, while localizing for the culture and environment of each region.

In addition, we build data-driven marketing environments and infrastructure that respond to the speed of Asia by linking the client’s existing systems and organization to platform owners with vast databases, like Google, Facebook, Alibaba and Tencent, putting together marketing technology stacks according to the cloud services and tools available in the specific country. Teams built around a core of staff familiar with each country, with additional consulting, strategy, systems, data science, media and other specialists, come together and start working rapidly.

Hakuhodo’s global data-driven marketing

By identifying the types, quality and volume of data needed for the specific country or market environment, and not only integrating and analyzing it, but using it to gain market and customer insights, leading to strategies and tactics, we are building and honing our Sei-katsu-sha Data-Driven Marketing track record.

In the future, we will see all manner of domains connecting with each other as data infrastructure—from things to cities, e-commerce, online merges offline, self-driving and connected cars, and smart homes and smart cities, to name a few. Since this will happen the world over, we at the Hakuhodo DY Group aim to create value for sei-katsu-sha and build ecosystems that fuse data, technology and creativity.

Tetsuya Waida
Director, Global Data Marketing Department, Hakuhodo Inc.
Working in line with Hakuhodo’s sei-katsu-sha-centered philosophy, Waida is in charge of strategic planning, management, business development, innovation, and global development in marketing domains driven by digital and data. He provides top-line marketing support to corporate clients in such areas as digital transformations, data analysis, DMP applications, data infrastructure construction, and organization development—with a particular focus on the automotive, IT, precision machine, electronics, EC, and cosmetics sectors. He also has in-depth knowledge of overseas operations and technology trends in China, India and the rest of Asia. He served as a jury member at the APAC Effie Awards 2018 and other overseas awards in the marketing effectiveness and digital marketing categories.
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