1. Market Analysis

2. Market = GeographicTarget Market= Population Segment andGeographic Area

3. Focus on Geo. Targets- Media Allocation- Creative Thrusts

4. Research Tools Nielsen Simmons BPI SRDS BDI CDI 2/14/11 4

5. Research Tools Nielsen SCANTRACK = info for food, grocery and general merchandise. Nielsen PROCISION = info for health and beauty aids 2/14/11 5

6. Research Tools Simmons Market Research Bureau (SMRB) = info on 800 brands by usage and geography. Mediamark Research, Inc. (MRI) = Competing company with similar data 2/14/11 6

7. Research Tools BPI = Buying Power Index From Sales & Marketing Management’s Survey of Buying Power Helps predict sales potential Population Disposable Income Retail Sales 2/14/11 7

8. Research Tools Standard Rate and Data Service (SRDS) Media rates Market Data Population Households Disposable Income USA/Regions/States 2/14/11 8

9. Research Tools BDI CDI 2/14/11 9

10. Research Tools Brand Development Index =% Brand’s US Sales in Market x 100 % US Population in Market 2/14/11 10

11. Research Tools Category Development Index =% Category US Sales in Mkt x 100 % US Population in Market 2/14/11 11

12. Research Tools BDIgreater than 100 CDIgreater than 100 Suggest receptive markets 2/14/11 12

13. Research Tools Philly accounts for 1.25% brand’s sales and 1% USA population. BDI = 1.25 x 100 1.00 Index = 125 2/14/11 13

14. Research Tools NY accounts for 3.00% brand sales and 4% USA population BDI = 3.00 x 100 4.00 Index =75 2/14/11 14

15. Research Tools Why would index be low? Distribution Local Promo Support Right Target 2/14/11 15

16. Research Tools Higher BDI than CDI is good if both are 100+ Means brand is strong 2/14/11 16

17. Research Tools Lower BDI than CDI Means competition is stronger 2/14/11 17

18. Implications High BDI & High CDI = Increase Media Spending to Protect Share of Market 2/14/11 18

19. Implications High BDI & Low CDI = Maintain Media Budget (Unless Competition Increases SOV/Media Weight) 2/14/11 19

20. Implications Low BDI & High CDI = Investment Spendingto Capitalize on Opportunity DMA’s Added weight Promos/Distribution 2/14/11 20

21. Implications Low BDI & Low CDI = Limited Media Support due to ROI 2/14/11 21

22. Research Tools Demographics & Psychographics Choice III (Simmons/MRI) PRIZM (Claritas, Inc) ACORN (Caci Systems, Inc) Lifestyle Market Analyst Sourcebook of Zip Code Demographics 2/14/11 22

23. Product/Brand Analysis The More MATURE a brand is… The More Strategic Focus shifts from Physical Qualities to Intangibles From “contains x, y or z” to “ a name you can trust!” 2/14/11 23

24. Product/Brand Analysis Customers Perception IS Reality The Essence of the Brand Ex: Cadillac = Prestigious, Classy, $$ but…it’s what old folks drive Overcome that with younger actors, celebs, active lifestyle…Build or rebuild the brand 2/14/11 24

25. Product/Brand Analysis Brand Loyalty is Goal Process = Awareness – Advertising Media Acceptance – Attributes (Copy) Preference - Functions Insistence - Benefits - Personality 2/14/11 25

26. A Brand Personality Framework Sincerity Down-to-earth Family-oriented Honest Sincere Wholesome Cheerful Excitement Daring Trendy Exciting Imaginative Unique Up-to-date Competence Reliable Hard-working Intelligent Successful Confident Sophistication Upper-class Glamorous Charming Feminine Smooth Ruggedness Outdoorsy Masculine Western Tough Rugged

27. Brand Personality Categories are not absolute: Take ten other brands and create a word that fits their personality or place them into: Sincerity - Sophistication Excitement - Ruggedness Competence 2/14/11 27

28. Competitive Analysis Start with the other 3 P’s Price Higher/Lower Why? Ingredients Market Promo Elasticity 2/14/11 28

29. Competitive Analysis Place Distribution Greater than or less than Types of Outlets Placement of Retail Quality of channels Wholesalers Jobbers/agents retailers 2/14/11 29

30. Competitive Analysis Promotion Ad Budget Mass Media (CMR – Competitive Media Report or LNA – Leading National Advertisers) PR Social Digital Message – Tone Sales Promo Coupons/Incentives/Discounts/POP 2/14/11 30

31. Competitive Analysis Product Comparisons Perceptual Mapping - Image Where brand is in Consumers Mind Four Quadrants High/Low Physical/Functional/Psychological Limited to two dimensions Purely Judgmental but…. Perception IS Reality! 2/14/11 31