Spørgsmål Flashcards
Def. of Market Share?
The proportion of sales obtained by a brand in comparison to the whole category.
Def. of Penetration?
The proportion of people that bought your brand at least once in the given time period.
Def. of Average Purchase Frequency (APF)?
The number of times, on average, your buyers have bought the brand.
Def. of Category Buying Rate (CBR)?
The number of times, on average, your buyers have bought from the category.
Def. of Share of Category Requirement (SCR)?
The proportion of the overall category purchases done by your buyers that has been ‘devoted’ to your brand.
Def. of Sole Loyalty?
The proportion of brand buyers who only bought your brand in the given time period.
Positive reinforcement?
Using a positive stimulus to encourage the same behaviour again.
e.g. loyalty programs
Negative reinforcement?
Encourages a behaviour by a negative reinforcer (or stimulus).
e.g. parking ticket
Operant conditioning?
Learning through trial and error.
e. g. 2 for 1 items promotion (positive)
e. g. Being charged 15cents for a plastic bag (negative)
Classical conditioning?
Learning through repetition.
e.g. Celebrity endorsement of a brand.
Which 5 element represents a good empirical generalisation?
Scope, Precision, Parsimony, Usefulness, Link with theory
Which important aspects of buying behaviour does the NBD-Dirichlet model describe?
How often people buy and which brands people buy.
Double Jeopardy?
Small brands suffer twice Smaller brands (lower market share) have fewer buyers (lower penetration), and are bought less often (lower APF).
Natural monopoly effect?
Big brands attract more lighter category users.
Penetration = høj til lav.
APF = høj til lav.
CBR = lav til høj.
Duplication of Purchase Law?
Brands share customers!
A brand share more customers with larger brands, and less customers with smaller brands.
Partitioning?
Brands share more or less customers with one another than expected to for their size.
3 areas of storage? (memory)?
- Sensory
- Short term
- Long term
3 processes (memory)?
- Encoding = putting information into storage.
- Maintenance = Keep information in memory
- Retrieval = Recollect information that is already used or known in your memory (cue based).
Brand Salience?
The probability of the brand to be thought of in buying situations
–> Predict future behaviour (more important than attitude).
3 important factors in measuring Brand Salience?
- It should contain a range of attributes (cues used to think of brands).
- It should measure recall relative to competitors.
- It should focus on retrieval rather than evaluations of a brand.
Attitude?
Change over time
Influence bahaviour
Reflect past behaviour
Attitude Measures?
- Attributes (e.g. taste nice, good value)
- Satisfaction level
- Loyalty
Pattern within attitude?
- Bigger brands gain higher scores -> more users
- Recent users are more likely to express an attitude towards a brand.
- We act first and then we think -> Behaviour drives attitudes.
Main task of marketing?
Make brand salient -> Top-of-mind -> Mass marketing (penetration).
Be mental and physical available.
3 Types of segmentation?
- Market/Category segmentation
- Stock-keeping-unit (SKU) -> Functional differences
- Brand-User segmentation
Expect for a growing brand?
Increased acquisition & Normal level of defection
Measure satisfaction in 2 ways?
- Objective measures = Evaluate service quality (mystery shoppers)
(most appropiate, realistic) - Subjective measures = Evaluate satisfaction scores by doing surveys
How do satisfaction scores vary?
- Between industries -> vary a little (6.0-8.6)
- Between brands -> not much at all
How do collection methods affect satisfaction scores?
- Face-to-face tends to score more positive
- Phone surveys slightly less
- Mail/internet give lowest result
WOM?
Person-to-person communication
-> Giver and receiver
List the four mental availability metrics
- Mental Market Share
- Associative Penetration
- Associative Network Size
- Share of Mind
Two implications of DoP
- If DoP holds, there will also be Double Jeopardy
- Brands competes “heads-on”
Explain cognitive theories and behaviorist theories?
Cognitive theories focus on WHY
Behaviorist theories focus on WHAT and HOW OFTEN we buy stuff.
List the 3 forms of loyalty?
Attitudinal = attitude towards a brand Share = Same as SCR Tenure = The length of time a person can be considered a buyer of a brand.
List and describe four empirical laws of shopping?
- Mental and physical availability
- Limited time
- Many short trips
- Purchase goals
Key implications of the research by Kennedy & Ehrenberg?
- There is no segmentation on brand-user level.
- Therefore you have to target all customers in the category.
- This is done by mass marketing
- Important to make your brand mental and physical available.
List 2 internal and 2 external triggers to explain why someone would give you a WOM recommendation?
Internal:
- Personal interest
- Altruism
External:
- Advertising
- To stimulate discussion
