Chapter #2: Marketing Metrics & Marketing Profitability Flashcards
What 4 steps are required to track market performance and profitability?
- Market analysis (tools and data)
- MKT metrics (performance measures)
- MKT profits & MKT ROI
- Company and business investment/unit profits
Why is it important to track marketing metrics?
Is what we’re doing working?
List the financial metrics
Profit and profit contribution
Profit margin
ROI
What type of metric is “profit and profit contribution” categorised as?
Financial
What type of metric is “profit and margin” categorised as?
Financial
What type of metric is “ROI” categorised as?
Financial
What are two profit growth strategies?
Market growth strategy - bringing more customers into the market
Market share strategy - Market penetration
List the behavioural metrics
Sales
Market share
Market penetration
Purchase frequency
Share of category requirements (SCR)
Solely loyal customers (100% loyal)
Defection rate
Customer complaints & recommendations
What type of metric is “sales” categorised as?
Behavioural
What type of metric is “market share” categorised as?
Behavioural
What type of metric is “market penetration” categorised as?
Behavioural
What type of metric is “purchase frequency” categorised as?
Behavioural
What type of metric is “share of category requirements (SCR)” categorised as?
Behavioural
What type of metric is “solely loyal customers - 100% loyal” categorised as?
Behavioural
What type of metric is “defection rate” categorised as?
Behavioural
What type of metric is “customer complaints and recommendations” categorised as?
Behavioural
List the memory metrics
Brand awareness
Brand image associations
Mental availability
Attitude
Customer satisfaction and service quality
Intention to buy
What type of metric is “brand awareness” categorised as?
Memory
What type of metric is “brand image associations” categorised as?
Memory
What type of metric is “mental availability” categorised as?
Memory
What type of metric is “attitude” categorised as?
Memory
What type of metric is “customer satisfaction and service quality” categorised as?
Memory
What type of metric is “intention to buy” categorised as?
Memory
List the physical availability metrics
Number of distribution points
Hours of opening
Geographical coverage (distribution and delivery)
Number of display points in store
Number of shelves devoted to the brand
What type of metric is “number of distribution points” categorised as?
Physical Availability
What type of metric is “hours of opening” categorised as?
Physical Availability
What type of metric is “geographical coverage (distribution and delivery)” categorised as?
Physical Availability
What type of metric is “number of display points in store” categorised as?
Physical Availability
What type of metric is “number of shelves devoted to the brand” categorised as?
Physical Availability
Why do we track marketing activity metrics?
To measure and track the successfulness of the marketing strategies that are implemented (and measure ROI)
List the customer profile metrics
(used to define all the different buyers in a category - the target audience)
Age, gender, income
Who the buyers are
where they live
What media they consume
Where/when/how they shop
What type of metric is “age, gender, income” categorised as?
Customer Profile Metrics
What type of metric is “who the buyers are” categorised as?
Customer Profile Metrics
What type of metric is “where they live” categorised as?
Customer Profile Metrics
What type of metric is “what media they consume” categorised as?
Customer Profile Metrics
What type of metric is where/when/how they shop categorised as?
Customer Profile Metrics
Why are marketing benchmarks important?
So that we can measure the successfulness of initiatives relative to past success
