Claritas Launches Latest Version of Innovative Segmentation System

Market Wire, April, 2007

Claritas Inc., the premier provider of intelligent marketing information and target marketing services, announced today the introduction of ConneXions NE -- The New Evolution -- the latest and most advanced segmentation system available to the video, voice and data industries.

Based on nationwide surveys of more than 125,000 respondents, ConneXions NE classifies all U.S. households into 53 consumer segments within 10 lifestage groups to help telecommunications, Internet, cable and satellite companies better target their rapidly expanding services.

"Few industries are undergoing more change and competition than telecommunications," said Claritas Chief Operating Officer Keith Peterson. "Now, ConneXions NE provides companies with authoritative information about which consumers are using what technology, and when they want to acquire new technological products and services. Its creation is part of Claritas' long tradition of producing breakthrough segmentation systems for key industries."

Aside from its signature system, PRIZM® NE, Claritas also offers a system for the financial services industry called P$YCLE® NE.

Peterson said that the release of ConneXions NE, which replaces the existing, six-year-old ConneXions system, comes at a critical time in the converging industries of wireline and wireless telephony, cable television, satellite and Internet service providers.

"The emergence of groundbreaking new technologies such as Bluetooth®, BlackBerries®, video over cell phones and Internet access over power lines has created fierce competition among companies to identify the consumer segments most likely to respond to their evolving product offerings," he said.

Nearly a year in development, ConneXions NE differentiates households according to a unique behavioral driver called Technodoption(TM), which measures their tendency to adopt new technology equipment and services.

"With the addition of the Technodoption measure, we have that special behavioral ingredient to characterize and differentiate consumers better than any other segmentation system in the industry," Peterson said.

Directed by Dave Miller, Claritas' Senior Vice President for Data Research & Development, ConneXions NE was created using the largest database of household-level consumer records of any telecom segmentation system in the nation. Analysts evaluated nearly 2,000 behaviors of consumers from two syndicated surveys -- Claritas' Convergence Audit(TM), and Mediamark Research Inc.'s Survey of the American Consumer.

Miller said the Claritas development team used a proprietary process known as multivariate divisive partitioning to create the segments based on similarity in real-world, consumer behavior, such as cable TV usage, wireless Internet access, long-distance phone bills and ownership of MP3 players.

"The result is a powerful marketing tool that profiles consumers by their technology preferences, media usage rates, purchasing intent and switching behavior," said Miller.

At the top of the new system's rankings is the segment known as Technovators, which consists of the nation's earliest adopters. They are educated and affluent middle-aged couples with children who like to integrate new technology into their cushy lifestyles. They fill their suburban homes with wireless Internet devices, carry employer-provided laptops and indulge their children with video game consoles and MP3 players.

At the bottom of the scale is Last to Adopt, consisting of low-income seniors who use little technology other than a single TV set hooked up for basic cable and a radio playing adult standards. In between, are segments such as:

--  Bundled Burbs -- Upper middle income suburban families who have
    recently switched to bundled packages for cell phone, digital cable and
    broadband Internet services;
--  IM Nation -- Generations X and Y singles and couples who stay
    connected to friends and family with cell phones, sending text messages,
    photos and music; and,
--  Dial-Up Duos -- Midscale retirees who watch basic cable, use dial-up
    Internet access and recently acquired a cell phone "for emergencies."
    

About Claritas

Since 1971, San Diego-based Claritas has been the pre-eminent source of accurate, up-to-date marketing information about people, households and businesses within any geographic area in the United States. Its target marketing services are aimed at reducing the cost of customer acquisition and growing customer value. Claritas offers industry-leading consumer segmentation systems, consulting services and software applications for site analysis, advertising sales and customer targeting. Claritas is a division of the Nielsen Company (formerly VNU), a global information and media company with leading market positions and recognized brands in marketing information (ACNielsen), media information (Nielsen Media Research), business publications (Billboard, The Hollywood Reporter, Adweek) and trade shows. To learn more about Claritas and Nielsen products and services visit their web sites at www.claritas.com and www.nielsen.com .