VALS System

Presented By:
Atul Agarwal
Balu K Thomas
Dhiraj Bhabhulgaonkar
INTRODUCTION
VALS™ is a consulting and consumer research service.
VALS consulting provides clients with tailored marketing
strategies for targeting, positioning, and communications
—real-world, real-time, actionable strategies.

VALS is the acronym for "Values, Attitudes and Lifestyles“.

VALS™ is a marketing and consulting tool that helps

businesses worldwide develop and execute more effective
strategies. The system identifies current and future
opportunities by segmenting the consumer marketplace
on the basis of the personality traits that drive consumer
behaviour. VALS applies in all phases of the marketing
process, from new-product development and entry-stage
targeting to communications strategy and advertising.
History
Original VALS system was built by consumer futurist
Arnold Mitchell in 1970`s
VALS was formally inaugurated as an SRI International
product in 1978 and was cited by Advertising Age as
"one of the ten top market research breakthroughs of
the 1980s.“
In 1989, VALS was redefined to maximize its ability to
predict consumer behavior.
VALS is a system for grouping consumers according to
psychological and sociological theories in order to
predict their behaviour in the purchase decision
process.
Customers can be grouped in 3
categories:
1. need-directed -consumers who make purchases
based solely on need.
2. outer-directed -consumers who make purchases
based on their perceptions of the way others view
them.
3.  inner-directed -consumers who make purchases out
of some inner need.
VALS Framework
Main Dimensions of the segmentation Framework

Primary Motivation Resources

 An individual's primary
motivation determines what in
particular about the self or the
world is the meaningful core
that governs his or her activities
 Consumers are inspired by one
of three primary motivations:
ideals, achievement, and self-
expression.
 Different levels of resources
enhance or constrain a person's
expression of his or her primary
motivation.
 Energy, self-confidence,
intellectualism, novelty seeking,
innovativeness, impulsiveness,
leadership, and vanity play a
critical role
Thinkers/Believers
Thinkers tend to be well educated  and actively seek out
information in the decision-making process. They are well-
informed about world and national events and are alert to
opportunities to broaden their knowledge.

Thinkers are conservative, practical consumers; they look for

durability, functionality, and value in the products that they buy.

Believers are conservative, conventional people with

concrete beliefs based on traditional, established codes:
family, religion,  community, and the nation. As consumers,
Believers are predictable; they choose familiar products and
established brands. They favor U.S. products and are
generally loyal customers.
Achievers/Strivers
Achievers are motivated by the desire for achievement,
Achievers have goal-oriented lifestyles and a deep
commitment to career and family. 
Image is important to Achievers; they favour
established, prestige products and services that
demonstrate success to their peers. Because of their
busy lives, they are often interested in a variety of
time-saving devices.

Strivers are trendy and fun loving. Because they are

motivated by achievement, Strivers are concerned
about the opinions and approval of others. Money
defines success for Strivers. They favor stylish
products .
Experiencers/Makers
Experiencers are avid consumers and spend a
comparatively high proportion of their income on
fashion, entertainment, and socializing. Their
purchases reflect the emphasis that they place on
looking good and having "cool" stuff.

Makers express themselves and experience the world

by working on it—building a house, raising children,
fixing a car, or canning vegetables—and have enough
skill and energy to carry out their projects successfully.
Makers are practical people who have constructive
skills and value self-sufficiency.
VALS SURVEY
The purpose of the VALS™ survey is to identify the
VALS type of the person taking the survey
 To find out about a person's product ownership,
media preferences, hobbies, additional demographics,
or attitudes
The VALS Survey questionnaire consists of 35 attitude
and four demographic questions
The current VALS Survey questionnaire is the third
version based on this kind of extensive empirical
research.
Applications of VALS
New Product Development

Positioning

Communication

Geolocation

Policy
Innovation : New Product Development

VALS™ consultants facilitate successful product launches and help

avoid costly mistakes
Understanding the needs of various consumer groups guides new-
product and services development.
Applications:
 Ideation
 Entry-Stage Targeting
 Concept Testing
 Focus Groups
 Features and Benefits
 Business Partnerships
 Distribution Channel
Eg : A European luxury automobile manufacturer used VALS to identify online,
mobile applications that would appeal to affluent, early-adopter consumers
within the next five years
Targeting: Positioning
Identify which market opportunities are strongest. 
Relating features and benefits to distinct segment needs clarifies
strategies for targeting and expansion.
Applications:
 Competitive Analysis
 Brand Differentiation
 Target Selection
 Proprietary Research
 Linking of Data Sets
 Customer Retention
Eg : A Japanese auto manufacturer repositioned its product line in
the United States by using VALS to understand target consumer
perceptions of its product mix better. The resulting advertising
campaign, based on VALS, increased sales 60% in six months.
Communications: Channel Planning

 Understanding what motivates consumers illuminates

how to speak to them in ways that will initiate action.
Applications:
 Value Proposition
 Brand Personality
 Creative Develoment
 Channel Planning
 Media Placement
Eg: A large pension plan provider to the United States
conducted a custom research survey of its participants,
incorporating VALS to identify which of its participants it
could service electronically
Policy
Federal, state, and local governments and other policy makers can
use VALS™ to understand consumer acceptance of and resistance to
current and future policy: Nonprofit organizations can benefit by
better understanding contributors and volunteers.
Applications:
 Segmentation
 Thought-Leader Identification
 Campaign Ideation
 Theme Development
 Communications Design
 Donor Outreach
 Public Relation.
VALS helped a State Department of Conservation increase
residential recycling of bottles and cans through its custom research
study.
VALS Benefits

Gain a fresh perspective by getting "into the heads" of

your customers.

Create richly textured consumer profiles or personas.

Understand the distinct communications styles of

your best targets.