Dictionary

Term
Definitions
Taxonomy
  • The VELUX taxonomy is a way of structuring and organizing our target groups globally. It contains a target group hierarchy, a segmentation model and an opportunity framework, which enables us to identify opportunities and thereby support the growth of the business.
Strategic objectives
  • The purpose of strategic marketing and sales objectives is to give initial strategic direction for the sales & marketing process.
  • They are based on and linked to the strategic objectives used by VMG today (our common goals).
  • They should be measurable and actionable.
The VELUX Customer journey
  • The VELUX Customer journey reflects the marketing funnel an end-user passes through when considering and/or buying a VELUX product.
  • By mapping the relevant touchpoints within the four marketing phases (Awareness, Consideration, Decision & Advocacy) it is possible to operationalize effective marketing with segment specific KPIs, key messages, channels and content.
Project types
Project types
  • The type of project in which VELUX products and services are relevant to be incorporated.
Loft conversion
  • Changing the space in your loft/attic from general loft/storage into a liveable space e.g. bedroom/playroom/studio.
Conservatory
  • The installation of a room with mostly glass/Perspex roof on to the outside of your house - usually an external door remains between the existing living space and conservatory.
Renovation
  • Significant structural improvements to an existing property which changes the inside layout e.g. a barn conversion.
Refurbishment
  • Making improvements to your property which keeps the existing layout but changes fixtures and fittings e.g. new flooring, new tiling or surfaces, Kitchen or Bathroom replacement.
Redecoration
  • Adding on an area to your property for use as an extra liveable space e.g. a kitchen/dining room/playroom.
New window only
  • Installation of a window in a wall or roof where there was not previously one but not doing any other renovation or refurbishment at the same time.
Extension
  • Adding on an area to your property for use as an extra liveable space e.g. a kitchen/dining room/playroom.
New build
  • Building a new house from scratch – by this we mean you purchased the plot and a house was built to your specification OR Conversion of non-habitable building into a home, e.g. barn conversion.
Replacement
  • Replacement only:
    • Replacing an existing window in a wall or roof, but not doing any other renovation or refurbishment at the same time.
  • Replacement+:
    • Replacing an existing window in a wall or roof, AND at the same time creating one or more new holes in the roof for 1 or more new roof windows.
Accessories
  • Is defined as the situation where end users purchase products and accessories for existing VELUX products or purchase VELUX services designed for existing products. The timing of the add-on purchase can vary in time from after the first purchase when realizing a need e.g. awning blinds.
Strategic KPIs
Strategic KPIs
  • The purpose of the Strategic KPIs is to measure our performance on the strategic objectives. 
  • KPIs should be global in nature.
  • It should be possible to link the strategic KPIs to the operational KPIs.
Brand Awareness
  • Awareness measures how many end-users who know of the VELUX brand.
  • Measures how known we are among end-users in order to identify the starting point for when end-users enter the customer journey.
Reputation/pulse
  • Reputation is the sum of all perceptions that a person (or target group) has of a company, person or city. How people perceive a company affects how they act towards it. People who like a company are more likely to buy, recommend and work for that company.
  • Informs us on whether target groups within primary demand and commercial enablement trust us and if they consider us
Preference
  • The degree to which end-users (or primary demand) would choose VELUX products if they were to install a roof window tomorrow.
  • Informs on whether target groups within primary demand and commercial enablement and with different needs prefer VELUX, and thus provides insight on whether we stand out from our competitors.
Net Promotor Score
  • Net Promoter Score (NPS) is a customer loyalty metric, measured by the customers’ likelihood of recommending VELUX brand or products to friends and colleagues. It is calculated by subtracting detractors from promoters.
  • Measures the likelihood of target groups within primary demand and commercial enablement recommending VELUX products to others.
Penetration
  • TBD by the Growth project.
Market share
  • Sales companies’ best estimates of VELUX, Altaterra and competitors’ share of total sales volume of inhabited and uninhabited (cold room) roof windows and skylights. The market shares estimate includes both online and offline sales.
ROMI
  • Return on Marketing Investment is a metric for measuring the effectiveness on marketing investment.
Operational KPIs
Operational KPIs
  • An operational KPI is a measurable value that is used in the planning and in the operational performance measurement that demonstrates how effectively a marketing activity is helping to achieve key business objectives. We use KPIs at multiple levels to evaluate their success at reaching targets.
End-user lead
  • A person on who has willingly given us their personal information, including: Name, Surname, e-mail address, type of project (which caused interest in VELUX), and stage in the VELUX Customer journey. They are not qualified leads as they have not yet shown to be certain about what they are looking for, and hence are not yet ready to make a purchase.
Qualified lead
  • A lead which has been identified to be ready to purchase a product. This can be due to having gone through a guide (e.g. via e-mail), having outlined a budget, knowing their exact needs, and understanding the product portfolio they are navigating in.
Influencer
  • A person who is likely to actively influence others toward having a more positive view of the VELUX brand and its products. Differs from advocates by actively communicating positively about the VELUX brand or its products, e.g. via social media.
Advocate
  • A person who upon request will recommend or speak positively of the VELUX group and/or its products – based on personal experience. Differs from an influencer by not actively recommending, but rather responding positively when asked.
Segmentation
Segmentation model
  • VELUX segmentation model is a multi dimensional matrix that breaks down a specific target group into segments using different criteria.
End user segmentation model
  • The EU segmentation model is a three dimensional matrix that breaks down the target group EU into segments using four project types, three demographic life stages & four marketing phases based upon the VELUX customer journey.
  • And this segmentation model drives decisions on content, channels and touch-points to create sharper and better briefs to advertising and media agencies.
Opportunity framework
Opportunity framework
  • The opportunity framework is a matrix combining target groups and projects types in order to identify and access sales and marketing opportunities and point out how to leverage these opportunities.
Box model
Primary demand
  • Target groups with a home or a building in which VELUX products could be the source of better living environments. Decision makers on product and brand choice and final purchaser.
Commercial enablement
  • Target groups that are in a position to influence Primary Demand purchase by affecting the choice of brand and products.
Business environment
  • Societal, technological and legislative influencers that directly or indirectly affect Primary Demand and Commercial Enablers as well as the VELUX Group’s general opportunities and challenges in the market place.
Target group
Target group
  • A VELUX target group is any group or individual who can affect or is affected by the achievements of the organisation’s business goals and objectives.
Target group hierarchy
  • The target group hierarchy visualises the most important target groups for the VELUX business. The target groups have been placed according to the primary role they play in the customer journey. The intention is to enable us to identify who we should service with what (material/communication/approach).
End-users
  • End-users drive the primary demand of VELUX solutions. They can be VELUX customers or they can be potential new customers. The end-user target group covers all age groups and all income groups.
Homeowner
  • People owning their own home and in a position to decide on renovation, replacement or new build of their home.
Tenants
  • People renting their home.
Building owners
  • Building owners drive the primary demand of VELUX solutions by building or owning dwellings with a potential for VELUX solutions. They can be VELUX customers or they can be potential new customers.
Housing associations
  • A legal entity which owns or manages real estate, consisting of one or more residential buildings.
  • The housing association might be membership-based, with membership granted by way of a share purchase in the cooperative, or a non-profit making organisation that provides low-cost social housing for people in need of a home.
  • Although independent these are in some countries regulated by the state and receive public funding.
Commercial building
  • Major private companies focused on building or renovating own premises.
Public building
  • State and municipalities building and renovating public premises e.g. schools, hospitals.
Developers
  • Developers are companies who buy land, build or have builders build residential or commercial buildings, and in some cases sell the buildings for a profit. They create, imagine, control and orchestrate the process of development from the beginning to end. Developers work with many different counterparts along each step of this process, including architects, city planners, engineers, contractors, lawyers, real estate agents and more.
PHB/Professional House Builders
  • Companies designing, producing and selling finished single-family houses according to client’s designs or according to own design for resale directly to end-users or companies.
  • Production takes place either as prefab in factories or traditional build on site.
Project developers
  • Companies who undertake large building projects. They orchestrate the process of development from the beginning to end.
  • Project developers work with many different counterparts along each step of this process, including architects, city planners, engineers, contractors, lawyers, finance institutes, real estate agents and more.
Installers
  • Installers are skilled craftsmen that advise on, sell and/or install VELUX solutions. The installer is a commercial enabler that is in a position to specify or un-specify VELUX solutions. The installer might be an employee or a business owner.
Carpenter
  • A craftsman or a construction worker specialised in construction. Either as a hands-on craftsman and/or as the one in charge of drawing up the tenders.
Roofers
  • A roofer is a craftsman or a construction worker specialised in roof construction. Either as a hands-on craftsman performing the installation and/or as the one in charge of drawing up the tenders.
Contractors/Sub-contractors
  • A company consisting of a diverse group of construction skills, e.g. carpenters/roofers. Sub-contractors are specialised in specific tasks for developers on large building projects.
Remodelers
  • A company specialised in total make-overs of existing residential buildings. In particular in the US.
Technical schools
  • Training and education of carpenters and roofers, typically in a 3-4 year period including paid externships.
Dealers
  • A person or a company who distributes and sells VELUX products. The dealer might have a physical shop with stock and display of products and/or an online shop.
Builders’ merchant
  • A home improvement supplier focused on servicing and selling tools and construction products to installers in the home construction industry.
DIY
  • A retailer selling home improvement tools, construction products and services to the public as well as to professionals.
Décor
  • Shops or professionals specialising in services and sales within interior decoration; e.g. wallpaper, fabrics, curtains and blinds.
E-dealers
  • Online retailers selling home improvement tools, construction products and services to the public as well as to professionals on purely digital platforms.
  • An e-dealer might also be a retailer specialized in selling blinds online.
Windows speciality retailers
  • Awaiting input from Chan
Specifiers
  • Specifiers are advisors for end-users, building owners, developers and installers. Specifiers cover designers, architects and engineers who are in a position to specify or un-specify products from the VELUX product portfolio.
Residential architects
  • A residential architect is someone who plans and designs end-users’ homes in a new build as well as a renovation context. They strive to optimise living conditions while keeping projects as aesthetically compelling as financially possible.
Commercial architects
  • Commercial architects are trained architects, specialised in design of public and commercial buildings, typically large scale projects. They work closely with building constructors, engineers and other experts. Higher profile companies strive for visionary and innovative projects, and therefore use new technologies to create ambitious designs.
Municipality architects
  • Trained architects in public service, who make city planning and approve building plans for residential and commercial buildings in the local municipality.
Consulting engineers
  • Consulting engineers are companies or individuals who are trained as engineers to provide advice, guidance and direction on materials, structures, and systems while considering the limitations imposed by practicality, regulation, safety, and cost. Engineers specialise in construction and building performance calculations (comfort, energy, environment).
Interior designers
  • An interior designer masters the art of shaping the experience of an interior space, sometimes including the exterior, to achieve a healthier and more aesthetically pleasing environment for the user. It includes conceptual development, space planning, research, dialogue with stakeholders of a project and execution of the design.
Design & Architecture Universities
  • Education of future designers and architects on Bachelor and Master programmes.
Media
  • The media target groups impact our business by posting or publishing stories that affect our corporate reputation and brand awareness, either positively or negatively. It can serve as a channel for delivering messages related to products, business performance, social responsibility, legislative requirements, etc. – and as a means to getting closer to our customers through dialogue and digital interaction.
Journalist
  • A journalist is a person who collects, writes, or distributes news or other current information in general news media, business media, trade media, home decoration, lifestyle media and media entertainment (e.g. TV shows on remodelling).
  • A journalist can work with general issues or specialise in certain issues. Depending on the context, the term journalist may include various types of reporters, editors, editorial writers, columnists and visual journalists who use the medium of photography.
Social media influencers
  • Individuals posting on social media platforms to directly or indirectly influence or engage with an audience. It could be subject matter experts, bloggers, end-users, or others who use social media to advocate for a cause or build a community around themselves or a specific topic.
Political influencers
  • Political influencers impact our business by playing a role in the legislative process, as either legislators, authorities or stakeholders. The regulation in focus is mainly related to buildings, energy, sustainability and health.
Politicians
  • A politician is a person active in party politics, or a person holding or seeking office in government or parliament. Politicians propose, support and create laws or policies that govern the land or region and, by extension, its people. Politicians can work at local, national or federal levels, e.g. EU.
Authorities
  • Authorities have the right to exercise power given by the State or alike (in the form of government, judges, police officers, etc.). Civil servants e.g. prepare and implement decisions taken by the responsible government (e.g state, federal or regional government).
NGOs
  • NGOs are non-profit organisations oriented towards promoting a single or few issues (climate change, asthma etc.). Often strong in agenda setting capabilities and can create legitimacy to the importance of an agenda.
Business organisations
  • Business organisations represent member companies’ interests towards e.g. politicians and authorities. The scope of the organisations can vary from representing very sector specific issues to broader business agendas.
Partners
  • Partners impact our business by supplying us with knowledge or materials, by being strategic collaborators or by conducting research in a field of interest to the VELUX Group, e.g. daylight, energy research, indoor climate and health.
Suppliers
  • Suppliers provide raw materials to the production of our products, or knowledge and know-how as partners in development processes in specific competence/expert areas.
Academia
  • Academics influence our business by providing the scientific foundation for building standards and legislation related to daylight, energy and indoor climate. They also influence the innovation agenda in the building sector by choice of research direction.
  • The academia group can be divided in:
    • Academics in research institutes with strong ties to legislation
    • University researchers
    • University teachers
    • Academics doing applied research in companies
Employees
  • An employee is a person who works for the VELUX Group, hired to fulfill a specific job function. We are around 10,000 employees in around 40 countries, and many more locations where our interaction with local society plays an important role for our ability to attract and retain good and talented employees.
Potential
  • Potential employees have a profile relevant to the VELUX Group.
Existing
  • Existing employees work in Production, Sales and Support, e.g. as technicians, business-commerce, engineers, academics and hourly paid.
Alumni
  • Alumni are former employees of the VELUX Group.
Local society
  • Local society is the general public in areas where the VELUX Group has sales offices or production facilities and where the local reputation of the VELUX Group influences the ability to attract and retain existing employees.
Funnel stages
Awareness stage
  • In the awareness stage it is important for the VELUX group to make potential customers aware of our brand and products. The customer here does not necessarily have a need for VELUX products, but such a need may be created through creating awareness of the advantages of VELUX solutions.
Consideration stage
  • In the consideration stage the potential customer has some interest in VELUX solutions, but still need more information regarding what their specific needs are and which solutions fit with those. In this stage VELUX needs to feed potential customers with the right information at the right time.
Decision stage
  • In the decision stage the potential customer has enough information to make a purchase, it needs to be easy and feel secure to purchase the right VELUX solution or get in touch with the relevant professionals.
Advocacy stage
  • In the advocacy stage a satisfied customer will hopefully be willing to talk positively about VELUX when asked, some may even voluntarily spread their good experiences and influence others that way. The VELUX group could benefit from facilitating such communication in order to make it more visible to new potential customers.