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Rajkumar Venkatesan Marketing Mix Vodka Industry.

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Presentation on theme: "Rajkumar Venkatesan Marketing Mix Vodka Industry."— Presentation transcript:

1 Rajkumar Venkatesan Marketing Mix Vodka Industry

2 Rajkumar Venkatesan Effect of Marketing Mix - Industry Does sales increase with a price increase?

3 Rajkumar Venkatesan Except Grey Goose No Brand Changes Tier

4 Rajkumar Venkatesan The Best Sellers

5 Rajkumar Venkatesan Change in Sales is More Relevant

6 Rajkumar Venkatesan Unit Sales and Price – Skol

7 Rajkumar Venkatesan Unit Sales and Price - Smirnoff

8 Rajkumar Venkatesan Marketing Mix Models - Comparison Advertising Regression Characteristic PricePrintBroadcastOutdoorAdj. R2 Unit Sales-0.0460.02 0.0060.98 Change in Sales0.02 -0.003-0.010.14 Add Brand Tier-0.020.015-0.003-0.0120.17 Add Competition-0.040.015-0.003-0.0130.19 Price Coefficients are more sensitive than Advertising

9 Rajkumar Venkatesan Print and Outdoor Advertising OutdoorPrint Outdoor1 Print0.531 Advertising Regression Characteristic PricePrint & Outdoor BroadcastAdj. R2 Print & Outdoor -0.040.005-0.0090.13

10 Rajkumar Venkatesan Price Elasticity Price Elasticity = [Change in sales/Change in Price] * [Price/Sales] Price Elasticity = Coefficient of price when ln(sales) is regressed on ln(price)

11 Rajkumar Venkatesan Print Ads

12 Rajkumar Venkatesan TV Ads – Newer Trend

13 Rajkumar Venkatesan Marketing Mix Models - Summary High R-Squares can be misleading Change in sales better than level of sales Evaluate relationships among the independent variables Competition, new entrants, brand equity have an influence on a brand’s price and advertising elasticity Give thought to handling missing values.


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