Brand Development Index (BDI) assignment PDF

Preview

Summary

Brand Development Index (BDI) homework for marketing companying regional performance when introducing a new product...

Description

METRICS ASSIGNMENT AND WORKSHEET BRAND DEVELOPMENT INDEX (BDI)

1.Calculate the BDI for Hawaiian Punch Iced Tea in the regions across Canada:

Region

Hawaiian Punch Iced Tea (% of Sales)

Canadian Population %[1]

BDI Calculation

Atlantic

8.3%

6.7%

124

Quebec

25%

22.9%

109

Ontario

39.7%

38.5%

103

West

27%

31.9%

85

2. How is Hawaiian Punch Iced Tea performing in each of the regions? Hawaiian Punch Iced Tea is underperforming in the West Region; the sales of the region is not proportional to its population (market size). Hence it has not penetrated the market as well as the other regional markets. Quebec and Ontario are performing moderately well, holding a slightly higher representation in total national sales relative to their market size. Hawaiian Punch Iced Tea has properly penetrated the Atlantic regional market, where the market is out consuming the product compared to the national market consumption. 3. Which region(s) should Hawaiian Punch focus on to develop sales? Give examples of how sales could be improved in these areas? The focus would depend on the company’s strategy. If the company adopts a defensive marketing strategy,it will allocate a higher % of their ad/marketing budget to the Atlantic region, as the product is already more popular and it will want to protect its market share. However, given that Quebec, Ontario and the West represent 93% of the country's population, it would make more sense to focus on market size and potential gains. It might be a good idea to distribute their marketing budget proportionally to the market size, but do it smartly by benchmarking and staying true to the growth strategy of the company. The company would also need to investigate and analyse the contributing factors (internal & external) that may have limited penetration into the West and Ontario/Quebec regions as (well as the rest of the country) and understand its financial burden. The general advice is not to forgo larger markets but to conduct due diligence prior to execution....