CPC Campaigns – Relation between Budget and CTRs

We are going to talk about the relation between Campaign Budget and CTR in CPC digital advertising, even though budget shouldn’t affect CTRs in an ideal world. The above data is for a CPC campaign. The details of the campaign metrics are mentioned in the table above. If you observe in the above data, the …

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Three Pillars of Demand Generation

Demand Generation is a set of activities that communicates relevant messages to appropriate audience and get them excited and interested about a company's products and services with an intention to convert the prospect into a qualified lead and then into a customer. The goal of demand generation is to develop the key prospect or customer …

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E-commerce Marketing Touchpoints, Channels, Funnels and Attribution

Rarely will a buyer click your advertisement, fill in the details, read a blog post, then purchase your product in one single continuous journey; the journey is just not that linear. Customers evolve w.r.t. their awareness, trial, usage and brand/product loyalty across time and across devices and platforms. Therefore, how you want to develop a touchpoint …

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How to split your marketing budget between customer acquisition and retention activities?

In any industry, customer acquisition and customer retention don't increase indefinitely as marketing spend continues to increase. One hits a ceiling (depending on industry to industry) even though marketing spends continue to increase. This brings an entrepreneur or a marketing leader to an important question: how can one determine the optimal way to split marketing …

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Are You Losing Money By Calculating Margins Wrong?

I spent time on Friday helping a client update spreadsheets and Excel reports that used an incorrect formula to calculate the margin on bids for construction jobs. While this particular client was looking for a margin of 25%, he was actually getting one closer to 20%. On a $100,000.00 bid, that can be the difference …

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Calculating Distributor or Dealer ROI

This is a post that is written on gyaanokplease.blogspot.com and the link to the original article is here. I just cannot emphasize enough about how well this article has been written and hence I've included even some of the comments. Thanks to gyaanokplease for this post. So probably the first thing that your distributor/dealer/stockist is …

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Economic value to the customer (EVC)

Economic value to the customer is simply the purchase price that customers should be willing to pay for your product, given the price they are currently paying for the reference product and the added functionality and diminished costs provided by your product. Start with the purchase price of the reference product and then add improvements …

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Overview of the Marketing Budget of a Brand

The marketing budget of an FMCG brand typically comprises of the following elements: 1. Above The Line (ATL) budget 2. Below The Line (BTL) budget The ATL budget broadly comprises of two components: the media budget and the production budget. Media budget is the actual money that is spent on advertising the brand in conventional …

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Importance of question sequence in MR questionnaire design

One of the most important aspects in designing a market research (MR) questionnaire is the sequence of the questions. Each question that you ask poses a potential danger to sensitize or condition the respondent, and thereby bias the respondent in the subsequent questions. One example is that asking a question like ‘Have you heard of Brand …

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Analysis of New Triers, Repeaters, and Lapsers of a Brand – ecommerce and fmcg

At any period of time, the consumer base of a brand is comprised of two sets of buyers:  New Triers, and Repeat Purchasers. The terms are self-explanatory. To put it simply, Repeat Purchasers are consumers (or households) who repeated the purchase of the brand, and New Triers are consumers (or households) who bought the brand …

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How Price Undercutting happens via Wholesale Trade?

Wikipedia defines price undercutting as: 'Price cutting, or undercutting, is a sales technique that reduces the retail prices to a level low enough to eliminate competition'. It is obvious that price under-cutting happens mostly to boost volume sales. This article is about how undercutting works in the context of Indian FMCG. Brief Overview of the …

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Entertainment in Television Advertisements

As I mentioned in earlier blog posts, to communicate something to a recipient one has to command the recipient’s attention and then be relevant to the recipient. Communication:  Command Attention (Clutter breaking) ->  Be Relevant This holds true even for communication among two individuals or two groups of people or for television commercials (TVCs). For the …

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Choice based Conjoint (CBC) and Brand Price TradeOff (BPTO)

Choice based Conjoint Choice based Conjoint (CBC) is a research technique based on the observation that consumers always choose products among a set of products in the marketplace, and a simulation of it is the closest to the real consumer behaviour. CBC is a technique wherein the respondent is shown a set of concepts (with …

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The Modern Trade Consumer in India

With increased exposure to global brands, latest internet communications, and desire for better lifestyle, the consumers today are looking to use the global, trendy, life-style oriented products and are demanding more in terms of the shopping experience, simplicity, quality products, and value. The evolution of Modern Trade is just meeting the demands of these consumers …

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Wholesale market in India

Wholesellers are none but middlemen who buy products from distributors (wholesale/retail) and sell them to retailers. In most cases, the retailers come to the wholesellers to buy products to replenish their stock. However, wholesellers may also sell to end consumers, but such sales are minimal. In the Indian FMCG market, we have broadly two types of wholesellers: 1. …

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CENTURYPLY’s latest Gorilla TVC

CENTURYPLY is undoubtedly one of the major furniture brands in India. Century Plyboard stayed away from TV advertising from the last four years, before it came back on TV with its new TVC on the World Anger Day - 28th Aug, 2012. In this blog post, we shall evaluate this TVC from Century Plyboard and understand if …

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CDM launches a new TVC before Friendship Day

For years, Cadbury Dairy Milk (CDM), India's favorite chocolate brand, has been trying to be the symbol of celebration and expression of every sweet moment in your lives. In continuation of its pursuit, Cadbury Dairy Milk celebrates the beginning of new friendships with its latest TVC, ‘nayi dosti ka shubh aarambh’. The TVC showcases the first magical moments …

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AdStock GRPs

AdStock is a simple mathematical model of how advertising builds and decays. It is invented by Simon Broadbent as he studied Milward Brown’s ad awareness data. AdStock helps to: Optimize your advertisement scheduling Used in marketing-mix modelling to come up with advertising ROIs, etc. Helps you decide when to be off-air and when to be …

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Lucky Goldstar (LG) India

LG stands for Lucky Goldstar - the product of a merger of two South Korean commodities businesses - but over the decades with a steady stream of innovative consumer electronics and home appliances, consumers concurred with the conglomerate's backronym that Life is Good. LG Home Appliances (HA), the arm of the Korean giant, which makes …

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Television Advertisements – Clutter breakthrough and Brand Relevance

Before reading this article, just close your eyes zeroing your mind for a moment and recollect three television advertisements. Write down a few details of each of the television advertisements you could recollect. Of all the numerous advertisements I’ve watched, I could recollect only three advertisements: The old Nescafe advertisement The recent Flipkart’s advertisement of …

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