-Marketing models: multivariate statistics and
marketing
BMO-21306 analytics)
SUMMARY ADVANCED
MARKETING
Summary: Advanced Management and Marketing (Marketing Models:
Multivariate statistics and marketing analytics)
,AMM Marketing Chapter 1: Introduction
• Model:
o Simplified representation of what’s happening
o Build to understand the world
o To make predictions
o Still cover CH 8 ANOVA Analysis!!
Perhaps needed; introductory book statistics. (MAT-15303, MAT15-402 – A. Field Discovering statistics
using SPSS.
• The holistic market concept:
o The key to achieve organizational goals is being more effective than competitors in
creating, delivering, and communicating superior customer value to your target market.
(also includes CSR)
• Business unit strategic planning
o Planning at various levels (e.g. corporate, business, business unit, product)
o Implementing in organization
o Controlling (via feedback mechanisms)
o Strategy with regards to marketing concerns the product planning (logical!) (closer to
market)
o Strategic marketing: what do customers value?
o Tactical marketing: what products are needed to fulfil the customers value?
Marketing is all about: what do customers perceive to be of value? (your product)
Identifying competition Is about product, price, place.
o Differentiating
▪ Creating tangible or intangible differences on one or more attributers between
a focal offering and its main competitors ]
▪ The decisions of the consumer determines the competitors of that product
(company)
▪ There are different levels/dimensions of competition!!
Generic level: e.g. I need to drink. All drinks are competitors
, Product form competition: diet coke, or zero coke
Product category competition: soft drinks Fanta of Coke
Generic competition: Beverages (coffee, water, juices)
Budget competition: vacation, video rentals, new car, etc.
o Positioning
▪ A set of strategies a firm develops to differentiate its offerings in the minds of
its target customers (their perception). Successful positioning will result in the
offering occupying a distinct, important, and sustainable position in the minds
of the target customer (their perception)
Identifying competitors using consumer behaviour data:
• Brand-Switching analysis
o Consumer judgement
o Switching from current situation to future situations. Represents competitiveness.
, • Expected count: Future market share/ total x current market share/ total x total
o 64/180 x 54/180 x 180 = 19.2
• Standardise the values: (O – E)/ √𝐸
o (49 – 19.2)/ √19.2 = 6.8
• The diagonal: tells the marketer that customer loyalty is high! (the values represent the
customer that will stay with that brand in the future)
Negative values: the expected number was higher than the actual number!
Positive values: the expected number was lower than the actual number
