1. Strategic Marketing Final Project Measuring customer perceived value toward burgers - by using value map Group Nine Advisor: 蔡燿全老師 Members: R66981219 蘇伶雅 R66981243 林俊偉 R66984039 林珍伶 R66984055 鍾雅莉 R66984097 楊凱婷 1

2. Agenda Abstract Introduction Literature Review Research Method Research Analysis & Result Conclusion Outline 2

3. Abstract Result and suggestions for local brand Value Map: survey questionnaire with 55 responses Taiwan fast food industry: 10 burgers from 5 fast food restaurants. 3

4. Introduction (1/2) Research Motives - Fast food restaurants competition in Taiwan - Product perspective : - Value Mapping BrandsMcDonald’sKFC MOS Burger Burger King 丹丹 Burger Others Store number 347124121422356 4

5. Ratio of fast food brands' store number 5

6. Motivation Glenn B. Voss, A. Parasuraman, Dhruv Grewal (1998). The role of Price, Performance, and Expectation in Determing Satisfaction in Service Exchange, The Journal of Marketing, 62(4), pp.46-61. Why Value Mapping? Performance expectation Perceived performance Price-Performance consistency 6

7. Research Objective - Know the difference between 丹丹 Burger’s product and others - Discover the room for improvement - Provide suggestions based on previous studies Introduction (2/2) V.S. 7

8. Glenn B. Voss, A. Parasuraman, Dhruv Grewal (1998). The role of Price, Performance, and Expectation in Determing Satisfaction in Service Exchange, The Journal of Marketing, 62(4), pp.46-61. Indrajit Sinha, Wayne S. DeSarbo (1998). An Integrated Approach toward the Spatial Modeling of Perceived Customer Value, Journal of Marketing Research, 35(2), pp.236-249. Wolfgang Ulaga, Samir Chacour (2001). Measuring Customer Perceived Value in Business Markets, Industrial Marketing Management, 30(1), pp.525-540. Literature Review 8

9. Research Method 9

10.  Theoretical Background  Measurement Methodology  Pilot Questionnaire  Sample Demographics 10

11. Theoretical Background Customer value Customer value management lately has grown into a major focus in contemporary marketing Evidence Management of the customer perceived value Significant relationship with market share gains 11 Indrajit Sinha, Wayne S. DeSarbo (1998). An Integrated Approach toward the Spatial Modeling of Perceived Customer Value, Journal of Marketing Research, 35(2), pp.236-249.

12. Theoretical Background Status quo Corporations should comprehend their present performance of customer value creation before initiating the way of improvement. Measurement Methodology We take value map as a measurement methodology to evaluate the customer value 12

13. Relative Performance Relative Price Customer Value Value Map 13 Measurement Methodology

14. Relative Performance Relative Price Customer Value Value Map Relative Performance Def: The overall performance ratings based on evaluations of product features and the scale is from 0 to 100. Def: The overall performance ratings based on evaluations of product features and the scale is from 0 to 100. Relative Performance= Product’s Performance Rating Average Performance Rating × 100 14 Measurement Methodology

15. It is difficult to infer the attractiveness of the price in absolute dollars. Here we create the relative price as the following formula. It is difficult to infer the attractiveness of the price in absolute dollars. Here we create the relative price as the following formula. Relative Performance Relative Price Customer Value Value Map Relative Price= Product’s Price Average Price × 100 Relative Price Relative Price= 15

16. Measurement Methodology Relative Performance Relative Price Customer Value Value Map Customer Value We can determine whether products are above or below average in performance and price measuring the difference between relative performance and relative By Customer Value = Relative Performance – Relative Price 16

17. Measurement Methodology Relative Performance Relative Price Customer Value Value Map Relative Performance 0 100 Relative Price A CD B Figure1. Value Map 17

18. Pilot Questionnaire 1.Fast Food Industry 2.Product: Burger 1.Fast Food Industry 2.Product: Burger Q1. Which one you can think of first when it comes to fast food restaurant? Q1. Which one you can think of first when it comes to fast food restaurant? Q2. Previous question continued, “Which burger you can think of first in that restaurant?” Q2. Previous question continued, “Which burger you can think of first in that restaurant?” We randomly picked up 13 participants with age from 20 to 30 We randomly picked up 13 participants with age from 20 to 30 18

19. Pilot Questionnaire Fast Food Restaurant MCDONALDKFC MOS BURGER BURGER KING 丹丹 Burger 大麥克 勁辣雞腿堡 麥香魚堡 卡啦雞腿堡 烙烤雞腿堡 海洋珍珠堡 燒肉雞腿堡 華堡 鮮脆雞腿堡 烤雞堡 Figure2. The result of the pilot questionnaire 19

20. Figure3. Questionnaire 20 10. 烤雞堡 分數 : __________________

21. Sample Demographics In fast food industry, the target customers are mainly from the age 16 to 22 and 25 to 44( Pollster 2009). We picked up 63 potential participants with the age from 20 to 30 In total, 63 questionnaires were sent, 55 responses were received, resulting in a response rate of 87.3 percent. 21

22. Research Analysis & Result 22

23. Research Analysis Relative Performance = Relative Price = Product’s Performance Rating Average Performance Rating × 100 Product’s Price Average Price × 100 23

24. Research Analysis- Results No.Burger Actual Performance Relative Performance Actual PriceRelative Price 1 大麥克 73.8494.7879110.80 2 勁辣雞腿堡 81.73104.9079110.80 3 麥香魚 68.9888.5475105.19 4 咔啦雞腿堡 83.91107.7080112.20 5 烙烤雞腿堡 79.95102.6280112.20 6 華堡 78.24100.4299138.85 7 海洋珍珠堡 81.55104.677098.18 8 燒肉珍珠堡 80.04102.746591.16 9 鮮脆雞腿堡 76.3197.954968.72 10 烤雞堡 74.5495.683751.89 Average77.90910071.3100 Figure 4. Relative performance and relative price 24

25. Value Map Relative price Relative Performance Figure 5. Price-Performance Value Map 25

26. Conclusion Improve quality Increase price In the short run Franchising Marketing strategy In the long run Wolfgang Ulaga, Samir Chacour (2001). Measuring Customer Perceived Value in Business Markets, Industrial Marketing Management, 30(1), pp.525-540. 26

27. Thank You 27