Client Need

VeSync’s brands, Levoit and Cosori, were already making waves in the smart home and kitchen appliance markets. But as the competition heated up, VeSync asked a crucial question: how can we better connect with our customers? Both brands needed more than just demographic or behavioral insights—they needed to understand the core needs that drive consumer choices and loyalty.

The stakes were high. For Levoit, it meant ensuring their air purifiers and other home comfort appliances met the emotional and functional demands of a health-conscious audience. For Cosori, it was about creating kitchen appliances that seamlessly fit into the routines and aspirations of home cooks across the country.

Methodology: Needs-Based Segmentation

We recommended a needs-based segmentation approach, a method designed to go beyond surface-level characteristics like age or income. By uncovering the deep, functional, and emotional needs of customers, this method allows brands to deliver precisely what their audiences are looking for—products that make life better.

We recommended an integrated approach to this needs-based segmentation:

• Quantitative: Surveys of over 2,000 U.S. consumers per study captured the nuanced needs of the small kitchen appliance and home comfort appliance market. Using advanced analytics, including MaxDiff trade-offs, we identified distinct segments for each brand, each defined by their unique drivers and barriers to purchase.

• Qualitative: To bring these segments to life, we conducted digital autoethnographies. Respondents shared video diaries of their homes and routines, giving us a window into their daily lives. This phase revealed not just what they needed, but why they needed it.

Results

The results were a game-changer for VeSync. By focusing on the customer segments that mattered most, Levoit and Cosori refined their marketing, product development, and go-to-market strategies.

And the impact? An impressive 24% year-over-year revenue increase.