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Measuring sales performance
Javier Marcos, Monica Franco and Peter Kerr, Warc Best Practice, March 2013, pp. 48-49
Many organisations fail to realise that the complexities of sales performance measures go beyond the gathering and reporting of data and a number of factors can make it problematic.
Many organisations fail to realise that the complexities of sales performance measures go beyond the gathering and reporting of data and a number of factors can make it problematic. The measures should not focus solely on financial indicators, yet stakeholder demands can often lead to organisations implementing a number of measures without recognising the limitations they might have. Using evidence-based principles, this article offers some key guidelines for implementing sales performance measurement systems to help ensure that the measures ultimately result in improved performance.
Packaging and in-market impact: Uncovering the drivers of success
Scott Young, Research on Warc, Perception Research Services International, January 2013
This article looks at the key factors impacting the in-market performance of new packaging for products.
This article looks at the key factors impacting the in-market performance of new packaging for products. Three dynamics in conjunction with a new packaging system can dramatically impact shopper behaviour beyond that predicted by pre-testing: "soft" rollouts (where new and old packaging design occupy the same shelf), in-store support, and changes in pricing and/or quantity. These issues lead to several principles for optimising the rollout of new packaging systems, which will also lead to more accurate predictions from pre-testing research, as well as stronger in-market measurement.
Why big company sales and marketing is wrong for startups
Chris Grannell, Market Leader, Quarter 1, 2013, pp. 20-21
Ambitious startups should resist emulating the sales and marketing practices of established companies if they want to succeed in new markets.
Ambitious startups should resist emulating the sales and marketing practices of established companies if they want to succeed in new markets. Copying big firms leads startup managers to make wholly inappropriate assertions, such as 'get it right before we ship', 'make sure it looks the part', and 'build awareness to support the sales process'. These can lead startups into what Steve Blank calls a 'death spiral', throwing good money after bad. Startups should listen to customers and listen to them early - and if possible, they should involve consumers in co-creating the product.
The Chinese Golden Weeks in fast growth cities: National shopping holidays key to sustained sales lift
Research on Warc, WPP, 2012
This report examines the purchasing attitudes and behaviours of consumers in China's fastest growing cities - Tier 2 and Tier 3 - during the shopping festivals of the Golden Weeks: Spring Festival or Chinese New Year, and also Labor Day in the spring and National Day in the autumn.
This report examines the purchasing attitudes and behaviours of consumers in China's fastest growing cities - Tier 2 and Tier 3 - during the shopping festivals of the Golden Weeks: Spring Festival or Chinese New Year, and also Labor Day in the spring and National Day in the autumn. The report considers the growing impact of Lower Tier cities and the rising importance of brands, looking at what people buy during Golden Weeks, where and how they shop. Case studies are included that focus on three families who are followed during their Golden Week shopping cycles. The report summarises with best practice suggestions for brand owners and retailers to most effectively communicate during these periods, making particular use of in-store properties.
Ad agencies: Partners or suppliers?
Derek Day, Market Leader, Quarter 1, 2012, pp. 44-46
Agencies have always liked to think of themselves as partners but how realistic is this? For an industry supposedly at the fulcrum of capitalist enterprise, the advertising business displays few outward signs of commerciality.
Agencies have always liked to think of themselves as partners but how realistic is this? For an industry supposedly at the fulcrum of capitalist enterprise, the advertising business displays few outward signs of commerciality. Clients were asked for their views on what agencies and planners bring to the business. The view seems to be that agencies do not understand the dynamics of business or realities of commerce. Burt's Bees, the US personal care brand, is profiled to demonstrate its business-oriented approach to brand strategy - without an agency. Cambrian, which works in step-down mental health care, demonstrated strong internal messaging which came from the brand itself. Suggestions for what both marketers and agencies can do to be more commercial are offered - if this is what's wanted.
Are you pushing your customers around?
Kamil Michlewski, Market Leader, Quarter 1, 2012, pp. 57-57
This article considers the customer journey relating to three groups: customers, companies and consultancies.
This article considers the customer journey relating to three groups: customers, companies and consultancies. Offering too many channels discourages customers from using any of them. To reap the rewards of the new interconnectedness, firms need to understand not only how many different channels their customers visit but how many channels they visit because they choose to and how many because they have to.
Shopper marketing: Retail in recession
Tim Eales, Admap, December 2011, pp. 36-37
In the continuing uncertain global economy, FMCG brands need to be more savvy in their price promotions and find new ways to stimulate purchase.
In the continuing uncertain global economy, FMCG brands need to be more savvy in their price promotions and find new ways to stimulate purchase. The trend to spend more carefully is likely to stay but in spite of this, the value on a shopping basket of everyday items increased during 2010 and continued to do so in 2011. This is for a number of reasons. In some countries, more people are choosing to stay home and cook instead of eating out, which adds to the value of the weekly supermarket shop. Equally, however, increases in sales tax rates and the price of many raw materials has also added to that basket value. But consumers are still planning more carefully and resisting the impulse purchase. A 'buy it at the best price when I need it' attitude is leading to changes in retail deals, as shoppers prefer single-item discounts rather than multi-buys.
Luxury in India: key drivers of a growing market
Pradeep Krishnatray and Himanshu Dandotiya, Warc Exclusive, MICA, November 2011
The luxury market is expanding rapidly in india on the back of economic deregulation, fast GDP growth, wealth (re)generation, increasing per capita consumption, and a growing young working population.
The luxury market is expanding rapidly in india on the back of economic deregulation, fast GDP growth, wealth (re)generation, increasing per capita consumption, and a growing young working population. The number of High Net-Worth Individuals in the country grew from 84,000 in the year 2008 to over 126 million in 2009 and communication media have put luxury in the public eye, along with the Bollywood movie industry and celebrity endorsements. There are infrastructure constraints, as luxury malls are rare and luxury neighbourhoods even more so. In the meantime, overseas luxury purchases by Indians will remain significant. The middle class is turning into 'masstige consumers' and the availability of easy consumer credit and loans have further accelerated luxury consumption in the country.
One: How Smart Business Drives an Ethical Brand
David Tiltman, Event Reports, AdAsia, November 2011
Duncan Goose, founder of UK brand One, spoke at AdAsia 2011 about the story and strategy behind the company, which exists to make money and then give it away to good causes.
Duncan Goose, founder of UK brand One, spoke at AdAsia 2011 about the story and strategy behind the company, which exists to make money and then give it away to good causes. This was based on the insights that consumers think environmental and ethical issues are important but won’t go out of their way to address them or make sacrifices for them but they will buy brands that they know will act morally on their behalf. Products are invested in exist to make a difference on behalf of consumers through their everyday purchases, and tend to be in high-turnover, low-differentiation categories. Partners gain a different kind of consumer, who will buy the same brand across multiple categories and spend more. However, Goose warned that for companies to make the move into this model was a slow process that requires everyone involved to agree with it.
Building new markets in India: insights from Unilever and Ford
David Tiltman, Event Reports, AdAsia, November 2011
Harish Manwani, Chairman of Hindustan Unilever, and Michael Boneham, MD of Ford India, spoke at AdAsia 2011 in New Delhi about the opportunities in India.
Harish Manwani, Chairman of Hindustan Unilever, and Michael Boneham, MD of Ford India, spoke at AdAsia 2011 in New Delhi about the opportunities in India. Manwani identified the challenges for Unilever in India, in the context of the corporation's global strategy, and these include the reognition that there isn't just one India, the competition around people who are new to a product category in more rural areas, and the need to create affordability. Solutions have come in the form of providing microfinance in communities, such as Unilever's Project Shakti. At Ford, Boneham has been globally focused on its 'One Ford' policy, which builds the company around the brand than a variety of marques. This is being done in emerging markets with an entry-level model, the Ford Figo, that aims to fulfil a consumer's expectations of a first car.
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