Dentsu Inc. Launches Development of "Weather Enhanced Marketing" Framework to Advance Advertising Marketing Using Weather Data from the Japan Weather Association

The text of the Dentsu Inc. news release distributed on December 11 is as follows.

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December 11, 2018

Dentsu Inc. (Headquarters: Minato-ku, Tokyo; President: Toshihiro Yamamoto) has commenced development of "Weather Enhanced Marketing," a framework that leverages meteorological data from the Japan Weather Association (Headquarters: Toshima-ku, Tokyo; Chairman: Hiroki Ishikawa) to advance advertising and marketing.

The significant impact of climate fluctuations on human behavior has long been discussed in various fundamental analyses and qualitative perspectives. Weather also exerts a major influence on advertising marketing, ranking as one of the factors that cannot be ignored, including its effect on media contact history and subsequent purchasing behavior.

Given this context, our company is collaborating with the Japan Meteorological Association to incorporate meteorological factors into marketing activities, aiming to realize more advanced advertising marketing.

Specifically, we will develop solutions by leveraging the Japan Meteorological Association's extensive historical weather data, analysis results based on that data, and the latest weather forecast data.

・Optimizing digital ad delivery materials by linking them to weather data
・Improving prediction accuracy by feeding historical weather data into AI-based advertising effectiveness prediction models
・Introducing planning tools that analyze optimal ad placement timing by considering weather data

Furthermore, together with the Japan Meteorological Association, we aim to realize "CPFR" (Collaborative Planning, Forecasting, and Replenishment), which predicts the supply-demand balance of products in the market and promotes the optimization of existing supply chains.
Advances in CPFR will enable consumers to purchase desired items at the right time within a balanced supply-demand environment. For supply chains, it will prevent issues such as shortages and price spikes due to poor harvests in agriculture and other production sectors, lost opportunities from product out-of-stocks, and increased inventory holding and disposal costs from overproduction.

Moving forward, we will integrate this weather data into our "People Driven Marketing" framework—an integrated marketing approach centered on people—to advance the sophistication of the PDCA cycle. This will contribute to creating new value for our client companies and to societal development.

*CPFR stands for Collaborative Planning, Forecasting, and Replenishment. It is an initiative where manufacturers (Production), distributors/wholesalers (Distribution), and retailers (Sales) mutually cooperate and collaborate to conduct "product planning and sales planning," "demand forecasting," and "inventory replenishment," aiming to achieve both preventing stockouts and reducing inventory.

 

＜Weather Enhanced Marketing Logo＞

＜CPFR Overview＞

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Dentsu Inc. News Release
http://www.dentsu.co.jp/news/release/2018/1211-009663.html