The paper “ Measuring and Interpreting Brand Performance" is a pathetic example of a case study on marketing. This research is about measuring and interpreting brand performance. It directly relates to consumer and buyer behavior. Several indicators have been used to determine the relationship between various brands with specific market aspects. Of the five brands under consideration, the main brand for analysis is the Snickers. The brand has been selected to show how it performs in relation to other brands. The research is divided into three main parts: brand performance, awareness & salience, and demographics & segmentation.
In the first section, there is an analysis of the types of markets. These are repertoires or subscriptions. Besides, there is the issue of enhancing consumer loyalty. In the second section, the point of concern is around the issue of salience and brand awareness. It is about the need and importance of ensuring a strong brand salience. There is also the issue of product re-branding in order to enhance market sales. This is through changing of key features of Snickers to facilitate increased penetration of the brand into the market. The third section of this research deals with the relationship between brands and demographic factors.
The brands under consideration are analyzed basing on various demographic factors. These include the marital status, the level of income per household and the gender of various consumers of the respective brands. The aim is to check on the trend of performance of various brands in relation to these changing variables. Various consumer profiles are assessed in relation to the performance of Snickers. After analyzing the trend apparent in the Snickers, the necessary adjustments in terms of marketing strategies are put in place.
This is aimed at improving the market performance of Snickers. Brand PerformanceThere are very many indicators to be discussed in relation to brand performance. To begin with, there exists a direct relationship between market share and the penetration rate. The higher the market share, the higher the rate of penetration (Solomon & Bamossy 2009, p. 33). This is explained by the fact that if a product can easily penetrate, then it is much easier for that brand to attract more consumers.
With regard to market share, the market share of the first two brands (Mars Bar & Kit Kat) is above average. Snickers’ market share is equivalent to the average performance of the market which is 20; while the last two brands (Twix and Nestle Gold) have market shares that are below average (16 and 6.5 respectively). A look at the penetration column reveals the same trend. Snickers’ penetration rate is above the average of the market; while the two brands above Snicker have market shares above the market average.
An analysis of the other indicators reveals a familiar trend of Snickers. The average purchase frequency, category buying rate and share of category requirements have one thing in common in relation to Snickers. The performance index for Snickers is slightly above the market average across the three indicators. It is only in the column of loyalty where the average score for Snickers is below the industry average. A repertoire market is characterized by solely few customers because buyers prefer to meet their requirements from many brands (Solomon & Bamossy 2009, p. 37).
This means that instead of customers being loyal to a single brand, they choose to commit themselves to a number of brands. On the other hand, the subscription market is characterized by super loyal customers. Customers in this market are devoted to a specific brand. By the use of performance metrics, there are substantial differences between a repertoire and a subscription market. In a repertoire market, apart from the fact that few buyers acquire these products; those who purchase are also less loyal. This aspect is measured by the average purchase frequency and share of category requirements.
When it comes to the subscription market, the buyers are many and very loyal. In a subscription market, average purchase frequency is expected to rank higher than the repertoire market (Solomon & Bamossy 2009, p. 29). From the discussion above, it will be appropriate to conclude that Snickers is operating in a repertoire market. This is because the percentage of buyers who are solely loyal is very low. Similarly, on average the frequency of purchase is very low. At this point, one thing to note is that buyers’ loyalty is subdivided among brands in the market.