The document outlines a 5-step process for selecting target markets: 1) Identify targeting strategy, 2) Determine segmentation variables, 3) Develop profiles, 4) Evaluate segments, 5) Select markets. Key variables include demographics, geography, psychographics, and behavior. The process involves profiling segments, estimating sales potential and costs, and selecting markets that are attractive and fit the company's capabilities. Sales forecasts use methods like executive judgment, surveys, time series analysis of trends, cycles, and seasons.
MARKET SEGMENTATION, POSITIONING AND TARGETINGNGANG PEREZ
Modern companies understand the fact that they cannot appeal to all buyers in the market or at least not to all buyers in the same way. Do you know why? The Christians say Jesus Christ died for the World, yet not everyone in the same World believes in him. Then what more of Companies? See! Let me you tell the truth, not every distraction requires your attention. When you understand this as a marketing management student your perception about appealing to customers will change. The reason is because you cannot satisfy everybody. In pidgin we say “you born pikin but you no born yi heart”. Meaning people will always have their own way of reasoning and you cannot control them. Believe me when I say so. As a business man, you will need to find your own share (market segment) and satisfy them. Not everybody will like your product. Just take it like that.
Therefore, you should be able to understand that there are numerous buyers in the market and they are too widely scattered. These buyers are varied in their needs and buying practices. Also, the companies themselves vary widely in their abilities to serve different segments of the market. In such a scenario, the companies must design customer-driven marketing strategies that build the right relationships with the right customers.
Segmentation, Targeting, positioning, differentiation, bases of segmentation, advantages of segmentation, types of targeting, Steps in Segmentation, Targeting, and Positioning
MARKET SEGMENTATION, POSITIONING AND TARGETINGNGANG PEREZ
Modern companies understand the fact that they cannot appeal to all buyers in the market or at least not to all buyers in the same way. Do you know why? The Christians say Jesus Christ died for the World, yet not everyone in the same World believes in him. Then what more of Companies? See! Let me you tell the truth, not every distraction requires your attention. When you understand this as a marketing management student your perception about appealing to customers will change. The reason is because you cannot satisfy everybody. In pidgin we say “you born pikin but you no born yi heart”. Meaning people will always have their own way of reasoning and you cannot control them. Believe me when I say so. As a business man, you will need to find your own share (market segment) and satisfy them. Not everybody will like your product. Just take it like that.
Therefore, you should be able to understand that there are numerous buyers in the market and they are too widely scattered. These buyers are varied in their needs and buying practices. Also, the companies themselves vary widely in their abilities to serve different segments of the market. In such a scenario, the companies must design customer-driven marketing strategies that build the right relationships with the right customers.
Segmentation, Targeting, positioning, differentiation, bases of segmentation, advantages of segmentation, types of targeting, Steps in Segmentation, Targeting, and Positioning
Generate greater customer satisfaction
• Create savings
• To identify strategic opportunities and niches
• Increase marketing effectiveness
• Allocation of marketing budget
• Adjustment of product to the market need
• To estimate the level of sales in the market
• To overcome competition effectively
• To develop effective marketing programmers
• To contribute towards achieving company goals
• To develop marketing activities
Market Segmentation - Five Essential CriteriaMBA & Company
Market segmentation is practised by most businesses in one form or another, as a way of streamlining their marketing strategy by dividing broad-based target markets into specific groups of consumers, and devising marketing methods that will appeal to each group. =
Market coverage strategy is determined by the external and internal factors. Accordingly, the market coverage strategy includes: concentrated marketing strategy, undifferentiated marketing strategy, and differentiated marketing strategy. It is for the company to decide whether the whole market has to be covered with a single marketing mix or does different markets need a separate marketing mix.
For more such innovative content on management studies, join WeSchool PGDM-DLP Program: http://bit.ly/ZEcPAc
Generate greater customer satisfaction
• Create savings
• To identify strategic opportunities and niches
• Increase marketing effectiveness
• Allocation of marketing budget
• Adjustment of product to the market need
• To estimate the level of sales in the market
• To overcome competition effectively
• To develop effective marketing programmers
• To contribute towards achieving company goals
• To develop marketing activities
Market Segmentation - Five Essential CriteriaMBA & Company
Market segmentation is practised by most businesses in one form or another, as a way of streamlining their marketing strategy by dividing broad-based target markets into specific groups of consumers, and devising marketing methods that will appeal to each group. =
Market coverage strategy is determined by the external and internal factors. Accordingly, the market coverage strategy includes: concentrated marketing strategy, undifferentiated marketing strategy, and differentiated marketing strategy. It is for the company to decide whether the whole market has to be covered with a single marketing mix or does different markets need a separate marketing mix.
For more such innovative content on management studies, join WeSchool PGDM-DLP Program: http://bit.ly/ZEcPAc
Lorem Ipsum is simply dummy text of the printing and typesetting industry. Lorem Ipsum has been the industry's standard dummy text ever since the 1500s, when an unknown printer took a galley of type and scrambled it to make a type specimen book. It has survived not only five centuries, but also the leap into electronic typesetting, remaining essentially unchanged. It was popularised in the 1960s with the release of Letraset sheets containing Lorem Ipsum passages, and more recently with desktop publishing software like Aldus PageMaker including versions of Lorem Ipsum.It is a long established fact that a reader will be distracted by the readable content of a page when looking at its layout. The point of using Lorem Ipsum is that it has a more-or-less normal distribution of letters, as opposed to using 'Content here, content here', making it look like readable English. Many desktop publishing packages and web page editors now use Lorem Ipsum as their default model text, and a search for 'lorem ipsum' will uncover many web sites still in their infancy. Various versions have evolved over the years, sometimes by accident, sometimes on purpose (injected humour and the like).
New product dedisions provide a dear path to the business. New product development
astep by step process. A Complete idea is required behind new product.
1 1deal Generation: The development of a product starts with the concept and idea.
The remaining process is depending on that idea.
2 Screening of Idea: This step is cruial to ensure that unsuitable ideas, for whatever
reason, are rejected as soon as possible. Ideas need to be considered objectively,
ideally by a group or committee.
3. Concept Development and Testing: After having an idea, next is the sreening
stage. The idea should now convert into concept. It has depth information which can
be visualizing by the consumer.
4. Anaysis of business: After finalization of concept, a business case needs to be kept
algTStogether to consider whether the new service /product will be gainful.
2665.Product Development If the nev product is approved, it will be approved to the
2marketing and technical development step.
6. Test Marketing: Market testing (test marketing or) is different to consumer testing.
in that it introduces the product that follows proposed plan of marketing.
od7. Commercialization: When the concept has been tested and developed, final
0decisions are required to move the product to its introduction into the market.
8. Launch: A detailed plan of launch is required for this step. This is the important
stage for success of a product
New Drug Development
So In present business atmosphere, it is more important to take smart decisions for
business. Innovative approaches and new products can put an organization on proper
pathway and to make a big success if appropriately analyzed and executed. Make it simpler
(Fig.2.1).0
Following parameters should keep in mind for a better decision:
Analyzing existing service and product portfolio frequently.
Knowing the position of functions of business, projects of departments and
initiatives.
Understanding the distribution of funds and assessing efficiency.
Having understanding of market for new opportunities and possible competition.
2.B PRODUCT BRANDING, PACKAGING AND LABELLING DECİSIONs
2.8.1 Branding
Branding has its existence from ancient era. According to Nilson (2000), the first example
of branding is found in the oil lamps' manufacture on the Greek islands thousands of years
back. Brand elements are name, sign, term, symbol, design or distinguishing characteristics.
Brand is not only a graphical design or a logo; it is the unique identity of the product.
By American Marketing Association, Brand can be defined as name, term, sign, symbol
or design, or a combination of them intended to identijy the goods and services of one seller or
group of sellers and to diferentiate them from those of other sellersa54
Branding is a process, where a company generates loyalty among consumers in the
market. Brands are designed with a motive to communicate customers the reason for the
existence of their product. Brand should have a strong connection with customers;
Market segmentation is the practice of dividing your target market into approachable groups. Market segmentation creates subsets of a market based on demographics, needs, priorities, common interests, and other psychographic or behavioral criteria used to better understand the target audience. Splitting up an audience in this way allows for more precisely targeted marketing and personalized content.
This presentation covers the following Aspects:
• Market-types of market
• Market segmentation
• Market segmentation strategies
• Target market strategies
• Positioning and its strategies
This presentation gives a clear definition of what is segmentation. Various examples have been taken to provide a better understanding of Segmentation with particular reference to financial services and products.
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[Note: This is a partial preview. To download this presentation, visit:
https://www.oeconsulting.com.sg/training-presentations]
Sustainability has become an increasingly critical topic as the world recognizes the need to protect our planet and its resources for future generations. Sustainability means meeting our current needs without compromising the ability of future generations to meet theirs. It involves long-term planning and consideration of the consequences of our actions. The goal is to create strategies that ensure the long-term viability of People, Planet, and Profit.
Leading companies such as Nike, Toyota, and Siemens are prioritizing sustainable innovation in their business models, setting an example for others to follow. In this Sustainability training presentation, you will learn key concepts, principles, and practices of sustainability applicable across industries. This training aims to create awareness and educate employees, senior executives, consultants, and other key stakeholders, including investors, policymakers, and supply chain partners, on the importance and implementation of sustainability.
LEARNING OBJECTIVES
1. Develop a comprehensive understanding of the fundamental principles and concepts that form the foundation of sustainability within corporate environments.
2. Explore the sustainability implementation model, focusing on effective measures and reporting strategies to track and communicate sustainability efforts.
3. Identify and define best practices and critical success factors essential for achieving sustainability goals within organizations.
CONTENTS
1. Introduction and Key Concepts of Sustainability
2. Principles and Practices of Sustainability
3. Measures and Reporting in Sustainability
4. Sustainability Implementation & Best Practices
To download the complete presentation, visit: https://www.oeconsulting.com.sg/training-presentations
Discover the innovative and creative projects that highlight my journey throu...dylandmeas
Discover the innovative and creative projects that highlight my journey through Full Sail University. Below, you’ll find a collection of my work showcasing my skills and expertise in digital marketing, event planning, and media production.
Explore our most comprehensive guide on lookback analysis at SafePaaS, covering access governance and how it can transform modern ERP audits. Browse now!
"𝑩𝑬𝑮𝑼𝑵 𝑾𝑰𝑻𝑯 𝑻𝑱 𝑰𝑺 𝑯𝑨𝑳𝑭 𝑫𝑶𝑵𝑬"
𝐓𝐉 𝐂𝐨𝐦𝐬 (𝐓𝐉 𝐂𝐨𝐦𝐦𝐮𝐧𝐢𝐜𝐚𝐭𝐢𝐨𝐧𝐬) is a professional event agency that includes experts in the event-organizing market in Vietnam, Korea, and ASEAN countries. We provide unlimited types of events from Music concerts, Fan meetings, and Culture festivals to Corporate events, Internal company events, Golf tournaments, MICE events, and Exhibitions.
𝐓𝐉 𝐂𝐨𝐦𝐬 provides unlimited package services including such as Event organizing, Event planning, Event production, Manpower, PR marketing, Design 2D/3D, VIP protocols, Interpreter agency, etc.
Sports events - Golf competitions/billiards competitions/company sports events: dynamic and challenging
⭐ 𝐅𝐞𝐚𝐭𝐮𝐫𝐞𝐝 𝐩𝐫𝐨𝐣𝐞𝐜𝐭𝐬:
➢ 2024 BAEKHYUN [Lonsdaleite] IN HO CHI MINH
➢ SUPER JUNIOR-L.S.S. THE SHOW : Th3ee Guys in HO CHI MINH
➢FreenBecky 1st Fan Meeting in Vietnam
➢CHILDREN ART EXHIBITION 2024: BEYOND BARRIERS
➢ WOW K-Music Festival 2023
➢ Winner [CROSS] Tour in HCM
➢ Super Show 9 in HCM with Super Junior
➢ HCMC - Gyeongsangbuk-do Culture and Tourism Festival
➢ Korean Vietnam Partnership - Fair with LG
➢ Korean President visits Samsung Electronics R&D Center
➢ Vietnam Food Expo with Lotte Wellfood
"𝐄𝐯𝐞𝐫𝐲 𝐞𝐯𝐞𝐧𝐭 𝐢𝐬 𝐚 𝐬𝐭𝐨𝐫𝐲, 𝐚 𝐬𝐩𝐞𝐜𝐢𝐚𝐥 𝐣𝐨𝐮𝐫𝐧𝐞𝐲. 𝐖𝐞 𝐚𝐥𝐰𝐚𝐲𝐬 𝐛𝐞𝐥𝐢𝐞𝐯𝐞 𝐭𝐡𝐚𝐭 𝐬𝐡𝐨𝐫𝐭𝐥𝐲 𝐲𝐨𝐮 𝐰𝐢𝐥𝐥 𝐛𝐞 𝐚 𝐩𝐚𝐫𝐭 𝐨𝐟 𝐨𝐮𝐫 𝐬𝐭𝐨𝐫𝐢𝐞𝐬."
Taurus Zodiac Sign_ Personality Traits and Sign Dates.pptxmy Pandit
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Improving profitability for small businessBen Wann
In this comprehensive presentation, we will explore strategies and practical tips for enhancing profitability in small businesses. Tailored to meet the unique challenges faced by small enterprises, this session covers various aspects that directly impact the bottom line. Attendees will learn how to optimize operational efficiency, manage expenses, and increase revenue through innovative marketing and customer engagement techniques.
Business Valuation Principles for EntrepreneursBen Wann
This insightful presentation is designed to equip entrepreneurs with the essential knowledge and tools needed to accurately value their businesses. Understanding business valuation is crucial for making informed decisions, whether you're seeking investment, planning to sell, or simply want to gauge your company's worth.
RMD24 | Debunking the non-endemic revenue myth Marvin Vacquier Droop | First ...BBPMedia1
Marvin neemt je in deze presentatie mee in de voordelen van non-endemic advertising op retail media netwerken. Hij brengt ook de uitdagingen in beeld die de markt op dit moment heeft op het gebied van retail media voor niet-leveranciers.
Retail media wordt gezien als het nieuwe advertising-medium en ook mediabureaus richten massaal retail media-afdelingen op. Merken die niet in de betreffende winkel liggen staan ook nog niet in de rij om op de retail media netwerken te adverteren. Marvin belicht de uitdagingen die er zijn om echt aansluiting te vinden op die markt van non-endemic advertising.
Cracking the Workplace Discipline Code Main.pptxWorkforce Group
Cultivating and maintaining discipline within teams is a critical differentiator for successful organisations.
Forward-thinking leaders and business managers understand the impact that discipline has on organisational success. A disciplined workforce operates with clarity, focus, and a shared understanding of expectations, ultimately driving better results, optimising productivity, and facilitating seamless collaboration.
Although discipline is not a one-size-fits-all approach, it can help create a work environment that encourages personal growth and accountability rather than solely relying on punitive measures.
In this deck, you will learn the significance of workplace discipline for organisational success. You’ll also learn
• Four (4) workplace discipline methods you should consider
• The best and most practical approach to implementing workplace discipline.
• Three (3) key tips to maintain a disciplined workplace.
The world of search engine optimization (SEO) is buzzing with discussions after Google confirmed that around 2,500 leaked internal documents related to its Search feature are indeed authentic. The revelation has sparked significant concerns within the SEO community. The leaked documents were initially reported by SEO experts Rand Fishkin and Mike King, igniting widespread analysis and discourse. For More Info:- https://news.arihantwebtech.com/search-disrupted-googles-leaked-documents-rock-the-seo-world/
What are the main advantages of using HR recruiter services.pdfHumanResourceDimensi1
HR recruiter services offer top talents to companies according to their specific needs. They handle all recruitment tasks from job posting to onboarding and help companies concentrate on their business growth. With their expertise and years of experience, they streamline the hiring process and save time and resources for the company.
Falcon stands out as a top-tier P2P Invoice Discounting platform in India, bridging esteemed blue-chip companies and eager investors. Our goal is to transform the investment landscape in India by establishing a comprehensive destination for borrowers and investors with diverse profiles and needs, all while minimizing risk. What sets Falcon apart is the elimination of intermediaries such as commercial banks and depository institutions, allowing investors to enjoy higher yields.
Enterprise Excellence is Inclusive Excellence.pdfKaiNexus
Enterprise excellence and inclusive excellence are closely linked, and real-world challenges have shown that both are essential to the success of any organization. To achieve enterprise excellence, organizations must focus on improving their operations and processes while creating an inclusive environment that engages everyone. In this interactive session, the facilitator will highlight commonly established business practices and how they limit our ability to engage everyone every day. More importantly, though, participants will likely gain increased awareness of what we can do differently to maximize enterprise excellence through deliberate inclusion.
What is Enterprise Excellence?
Enterprise Excellence is a holistic approach that's aimed at achieving world-class performance across all aspects of the organization.
What might I learn?
A way to engage all in creating Inclusive Excellence. Lessons from the US military and their parallels to the story of Harry Potter. How belt systems and CI teams can destroy inclusive practices. How leadership language invites people to the party. There are three things leaders can do to engage everyone every day: maximizing psychological safety to create environments where folks learn, contribute, and challenge the status quo.
Who might benefit? Anyone and everyone leading folks from the shop floor to top floor.
Dr. William Harvey is a seasoned Operations Leader with extensive experience in chemical processing, manufacturing, and operations management. At Michelman, he currently oversees multiple sites, leading teams in strategic planning and coaching/practicing continuous improvement. William is set to start his eighth year of teaching at the University of Cincinnati where he teaches marketing, finance, and management. William holds various certifications in change management, quality, leadership, operational excellence, team building, and DiSC, among others.
RMD24 | Retail media: hoe zet je dit in als je geen AH of Unilever bent? Heid...BBPMedia1
Grote partijen zijn al een tijdje onderweg met retail media. Ondertussen worden in dit domein ook de kansen zichtbaar voor andere spelers in de markt. Maar met die kansen ontstaan ook vragen: Zelf retail media worden of erop adverteren? In welke fase van de funnel past het en hoe integreer je het in een mediaplan? Wat is nu precies het verschil met marketplaces en Programmatic ads? In dit half uur beslechten we de dilemma's en krijg je antwoorden op wanneer het voor jou tijd is om de volgende stap te zetten.
2. MARKETS
A market is a group of
individuals and/or
organizations that have a
desire or need for products in
a product class and have the
ability, willingness, and
authority to purchase those
products.
4. MARKETS
• Consumer Market consists of purchasers and household
members who intend to consume or benefit from the
purchased products and do not buy products to make a
profit.
• Also known as business-to-consumer (B2C) markets
5. MARKETS
• A Business Market consists of individuals or groups that
purchase a specific kind of product for one of three
purposes: resale, direct use in producing other products, or
use in daily operations.
• Also known as business-to-business (B2B) markets and can
be sub-classified into producer, reseller, government, and
institution markets
6. TARGET MARKET
SELECTION PROCESS
• Selecting a target market is the first of two major
components of developing a marketing strategy.
• Marketers may employ several methods for target market
selection, generally they follow a five-step process.
8. STEP 1 IDENTIFY THE
APPROPRIATE TARGETING
STRATEGY
• A target market is a group of people or organizations for
which a business creates and maintains a marketing mix
specifically designed to satisfy the needs of group members.
• The marketing strategy used to select a target market is
affected by target market characteristics.
9. STEP 1 IDENTIFY THE
APPROPRIATE TARGETING
STRATEGY
• Undifferentiated Targeting Strategy
• A strategy in which an organization designs a single marketing
mix and directs it at the entire market for a particular product
• Assumes that all customers in the target market have similar
needs, and thus the organization can satisfy most customers
with a single marketing mix with little or no variation.
10. STEP 1 IDENTIFY THE
APPROPRIATE TARGETING
STRATEGY
• Undifferentiated Targeting Strategy
• Effective under two conditions: First a large proportion of
customers in a total market must have similar needs for the
product, a situation termed a homogenous market
• Second, the organization must have the resources to develop a
single marketing mix that satisfies customers’ needs in a large
portion of a total market
11.
12. STEP 1 IDENTIFY THE
APPROPRIATE TARGETING
STRATEGY
Concentrated Targeting Strategy through Market
segmentation
› Sometimes, a market maybe comprised of individuals or
organizations with diverse product needs is called a
heterogeneous market. For this type of market, market
segmentation is the best approach. It is the process of
dividing a total market into groups with relatively similar
product needs to design a marketing mix that matches those
needs.
13. STEP 1 IDENTIFY THE
APPROPRIATE TARGETING
STRATEGY
Concentrated Targeting Strategy through Market
segmentation
› A market segment consist of individuals, groups, or
segments that consist of people or organizations with
relatively similar product needs.
› The rationale for segmenting heterogeneous markets is that a
company will be most successful in developing a satisfying
marketing mix for a portion of a total market whose needs
are similar.
14. STEP 1 IDENTIFY THE
APPROPRIATE TARGETING
STRATEGY
• Concentrated Targeting Strategy through Market
segmentation
• When an organization directs its marketing efforts towards a
single market segment using one marketing mix, it is using
concentrated targeting strategy.
15.
16. STEP 1 IDENTIFY THE
APPROPRIATE TARGETING
STRATEGY
• Differentiated Targeting Strategy through market
segmentation
• A strategy in which an organization targets two or more
segments by developing a marketing mix for each segment.
• A benefit of a differentiated approach is that a firm may
increase sales within the total market because its marketing
mixes are aimed at more customers.
17.
18. STEP 2: DETERMINE WHICH
SEGMENTATION VARIABLES
TO USE
• Segmentation variables are characteristics of individuals,
groups, or organizations, used to divide a market into
segments.
19. STEP 2: DETERMINE WHICH
SEGMENTATION VARIABLES
TO USE
Demographic Variables
› Age
› Gender
› Race
› Ethnicity
› Income
› Education
› Occupation
› Family size, family life cycle
› Religion
› Social class
20. STEP 2: DETERMINE WHICH
SEGMENTATION VARIABLES
TO USE
Geographic variables
› Region
› Urban, suburban or rural
› City size
› Country size
› Market density – number of potential customers within a unit
of land area
› Climate
› Terrain
› Micromarketing – an approach to market segmentation in
which organizations focus precise marketing efforts on very
small geographic markets
21. STEP 2: DETERMINE WHICH
SEGMENTATION VARIABLES
TO USE
• Psychographic variables
• Personality attributes
• Motives
• Lifestyles
22. STEP 2: DETERMINE WHICH
SEGMENTATION VARIABLES
TO USE
• Behavioristic variables
• Volume usage
• End use
• Benefit expectations
• Brand loyalty
• Price sensitivity
24. STEP 3 – DEVELOP MARKET
SEGMENT PROFILES
• A market segment profile describes the similarities among
potential customers within a segment and explains the
differences among people and organizations in different
segments.
• A profile may cover aspects such as demographic
characteristics, geographic factors, product benefits sought,
lifestyles, brand preferences, and usage rates.
25. STEP 3 – DEVELOP MARKET
SEGMENT PROFILES
• Marketers use market segment profiles to assess the degree
to which their products fit potential customers’ product
needs.
26. STEP 4 – EVALUATE RELEVANT
MARKET SEGMENTS
• After analyzing the market segment profiles, a marketer
should be able to narrow his or her focus to several
promising segments that warrant further analysis.
27. STEP 4 – EVALUATE RELEVANT
MARKET SEGMENTS
• Sales Estimates
• Market potential – total amount of a product that customers
will purchase within a specified period at a specific level of
industry-wide marketing activity.
• Company sales potential – maximum percentage share of a
market than an individual firm within an industry can expect to
capture for a specific product.
28. STEP 4 – EVALUATE RELEVANT
MARKET SEGMENTS
• Sales Estimates
• Two general approaches that measure company sales potential
are breakdown and buildup.
• Breakdown – marketing manager first develops a general
economic forecast for a specific period
• Buildup – marketing managers begins by estimating how
much of a product a potential buyer in a specific area will
purchase
29. STEP 4 – EVALUATE RELEVANT
MARKET SEGMENTS
• Competitive Assessment
A market segment that initially seems attractive, but it will also be
attractive for other companies.
• Cost Estimates
• To fulfill the needs of a target segment, an organization must
develop and maintain a marketing mix that precisely meets the
wants and needs of that segment, which can be expensive.
30. STEP 5 – SELECT SPECIFIC
TARGET MARKETS
• Selecting appropriate target markets is important to an
organization’s effective adoption and use of the marketing
concept philosophy.
• Identifying the right target market is the key to
implementing a successful marketing strategy.
• Failure to do so can lead to low sales, high costs, and severe
financial losses.
31. DEVELOPING SALES
FORECASTS
• Sales Forecast – the amount of a product a company
expects to sell during a specific period at a specified level of
marketing activities.
• Executive judgment – forecasting method based on the
intuition of one or more executives
• Customer forecasting survey – a survey of customers
regarding the types and quantities of products they intend to
buy during a specific period
32. DEVELOPING SALES
FORECASTS
• Sales Forecast
• Sales Force forecasting survey – firm’s salespeople estimate
anticipated sales in their territories for a specific period.
• Expert forecasting survey – hires professionals to help
prepare the sales forecast.
• Delphi method – experts create initial forecasts, submit them
to the company for averaging, and have the results returned to
them so they can make individual refined forecasts.
33. DEVELOPING SALES
FORECASTS
• Time Series Analysis
• The forecaster uses the firm’s historical sales data to discover
a pattern or patterns in sales over time.
34. TIME SERIES ANALYSIS
• Trend Analysis
• Focuses on aggregate sales data, such as company’s annual
sales figures, covering a period of many years to determine
whether annual sales are generally rising, falling, or staying
about the same
35. TIME SERIES ANALYSIS
• Cycle Analysis
• Analyzes sales figures for a three- to five-year period to
ascertain whether sales fluctuate in a consistent, periodic
manner
36. TIME SERIES ANALYSIS
• Seasonal analysis
• Study daily, weekly, or monthly sales figures to evaluate the
degree to which seasonal factors, such as climate and holiday
activities influence sales
37. TIME SERIES ANALYSIS
• Random factor analysis
• Forecaster attempts to attribute erratic sales variations to
random, nonrecurring events, such as a regional power failure,
a natural disaster, or political unrest in a foreign market
38. REGRESSION ANALYSIS
• Uses historical sales data.
• Seeks to find a relationship between past sales and one or
more variables, such as population, per capita income, or
gross domestic product.
39. MARKET TESTS
• Involves making a product available to buyers in one or
more test areas and measuring purchases and consumer
responses to the product, distribution, promotion, and price.