A look at various market prioritisation techniques and a customised solution

1. Market Prioritisation Different perspectives

2. Dictated by marketing objective Grow Market Share Defend Market Share

3. Dictated by marketing objective and market position Grow Market Share Defend Market Share Market Leader Market Challenger

4. Dictated by marketing objective and market position Grow Market Share Defend Market Share Market Leader

5. Possible approaches Market Leader Grow Market Share

6. Market strategy 1 – Drive growth by converting non users Look at two axis – size of market vs penetration of brand Market Leader Grow Market Share Large Population markets Low brand/ category penetration Small Population markets Low brand/ category penetration Large Population markets High brand/ category penetration Small Population markets High brand/ category penetration

7. Market strategy 1– Drive growth by converting non users Look at two axis – size of market vs penetration of brand Priority 1 Markets Large Population Low penetration Priority 2 Markets Small Population Low penetration Priority 3 Markets Large Population High Penetration Priority 4 Markets Small Population High Penetration Market Leader Grow Market Share Large Population markets Low brand/ category penetration Small Population markets Low brand/ category penetration 1 2 Note P2 and 3 markets can be interchangeable depending on expected growth volumes/ value from the respective clusters of markets Large Population markets High brand/ category penetration Small Population markets High brand/ category penetration 4 3

8. Market strategy 2 – Drive growth by increasing frequency of consumption Look at two axis – size of market vs penetration of brand Market Leader Grow Market Share Large Population markets Low brand/ category penetration Small Population markets Low brand/ category penetration Large Population markets High brand/ category penetration Small Population markets High brand/ category penetration

9. Market strategy 2 – Drive growth by increasing frequency of consumption Look at two axis – size of market vs penetration of brand Priority 1 Markets Large Population High penetration Priority 2 Markets Small Population High penetration Priority 3 Markets Large Population Low Penetration Priority 4 Markets Small Population Low Penetration Market Leader Grow Market Share Large Population markets Low brand/ category penetration Small Population markets Low brand/ category penetration Large Population markets High brand/ category penetration Small Population markets High brand/ category penetration

10. Possible approaches Market Leader Defend Market Share

11. Market strategy 1 – Defend MS by defending large contributing markets Look at two axis – size of market vs Relative Market Size of brand RMS = % Market Share of the brand % Market Share of the biggest competitive brand (Note : RMS to be compared with national RMS of the leader Eg., if All India RMS = 1.2, then all markets having RMS>1.2 will be High RMS markets) Market Leader Defend Market Share Large brand contribution markets High RMS Small brand contribution markets High RMS Large brand contribution markets Low RMS Small brand contribution markets Low RMS

12. Market strategy 1 – Defend MS by defending large contributing markets Look at two axis – size of market vs Relative Market Size of brand Priority 1 Markets Large Contribution Low RMS Priority 2 Markets Large Contribution High RMS Priority 3 Markets Small contribution Low RMS Priority 4 Markets Small Contribution High RMS Market Leader Defend Market Share Large brand contribution markets High RMS Small brand contribution markets High RMS Large brand contribution markets Low RMS Small brand contribution markets Low RMS

13. Market strategy 2 – Defend MS by defending higher competition markets Look at two axis – size of market vs Relative Market Size of brand RMS = % Market Share of the brand % Market Share of the biggest competitive brand (Note : RMS to be compared with national RMS of the leader Eg., if All India RMS = 1.2, then all markets having RMS>1.2 will be High RMS markets) Market Leader Defend Market Share Large brand contribution markets High RMS Small brand contribution markets High RMS Large brand contribution markets Low RMS Small brand contribution markets Low RMS

14. Market strategy 2 – Defend MS by defending large contributing markets Look at two axis – size of market vs Relative Market Size of brand Priority 1 Markets Large Contribution Low RMS Priority 2 Markets Small Contribution Low RMS Priority 3 Markets Large contribution High RMS Priority 4 Markets Small Contribution High RMS Market Leader Defend Market Share Large brand contribution markets High RMS Small brand contribution markets High RMS Large brand contribution markets Low RMS Small brand contribution markets Low RMS

15. Dictated by marketing objective and market position Grow Market Share Defend Market Share Market Challenger

16. Possible approaches Market Challenger Grow Market Share

17. Possible approaches Internal Highest sales contributing markets Highest contribution to sales growth markets Fastest growing markets External Weakest competition markets (lowest contribution to growth) Weakest competition markets (lowest contribution to sales)

18. Market strategy 1 – Grow MS by focusing on highest sales contributing markets Look at two axis – size of market for brand sales vs brand sales growth Large brand contribution markets High growth Small brand contribution markets High growth Market Challenger Large brand contribution markets Low growth Small brand contribution markets Low growth Grow Market Share

19. Market strategy 1 – Grow MS by focusing on highest sales contributing markets Look at two axis – size of market for brand sales vs brand sales growth Priority 1 Markets Large Contribution High growth Priority 2 Markets Large Contribution Low growth Priority 3 Markets Low contribution High growth Priority 4 Markets Low Contribution Low growth Large brand contribution markets High growth Small brand contribution markets High growth Market Challenger Large brand contribution markets Low growth Small brand contribution markets Low growth Grow Market Share

20. Market strategy 2 – Grow MS by focusing on highest sales contributing markets Look at two axis – size of market for brand sales vs contribution to growth of brand sales Large brand contribution markets High growth contribution Small brand contribution markets High growth contribution Market Challenger Large brand contribution markets Low growth contribution Small brand contribution markets Low growth contribution Grow Market Share

21. Market strategy 2 – Grow MS by focusing on highest sales contributing markets Look at two axis – size of market for brand sales vs brand sales growth Priority 1 Markets Large Brand Contribution High growth contribution Priority 2 Markets Small Brand Contribution High growth contribution Priority 3 Markets Large Brand contribution Low growth contribution Priority 4 Markets Low Brand Contribution Low growth contribution Large brand contribution markets High growth contribution Small brand contribution markets High growth contribution Market Challenger Large brand contribution markets Low growth contribution Small brand contribution markets Low growth contribution Grow Market Share

22. Market strategy 3 – Grow MS by focusing on high growth markets Look at two axis – size of market for brand sales vs brand sales growth% Large brand contribution markets High growth % Small brand contribution markets High growth % Market Challenger Large brand contribution markets Low growth % Small brand contribution markets Low growth % Grow Market Share

23. Market strategy 3 – Grow MS by focusing on high growth markets Look at two axis – size of market for brand sales vs brand sales growth Priority 1 Markets Large Brand Contribution High growth % Priority 2 Markets Small Brand Contribution High growth % Priority 3 Markets Large Brand contribution Low growth % Priority 4 Markets Low Brand Contribution Low growth % Large brand contribution markets High growth % Small brand contribution markets High growth % Market Challenger Large brand contribution markets Low growth % Small brand contribution markets Low growth % Grow Market Share

24. Market strategy 4 – Grow MS by focusing on competitors weak markets Look at two axis – size of market for brand sales vs low competitor sales Large brand contribution markets Low competitor sales market Small brand contribution markets Low competitor sales market Market Challenger Large brand contribution markets High competitor sales markets Small brand contribution markets High competitor sales markets Grow Market Share

25. Market strategy 4 – Grow MS by focusing on competitors weak markets Look at two axis – size of market for brand sales vs low competitor sales Priority 1 Markets Large Brand Contribution Low competitor sales Priority 2 Markets Small Brand Contribution Low competitor sales Priority 3 Markets Large Brand contribution High competitor sales Priority 4 Markets Low Brand Contribution High competitor sales Large brand contribution markets Low competitor sales market Small brand contribution markets Low competitor sales market Market Challenger Large brand contribution markets High competitor sales markets Small brand contribution markets High competitor sales markets Grow Market Share

26. Market strategy 5 – Grow MS by focusing on competitors weak markets Look at two axis – size of market for brand sales growth vs low competitor growth Large brand growth contribution markets Low competitor growth market Small brand growth contribution markets Low competitor growth market Market Challenger Large brand growth contribution markets High competitor growth markets Small brand growth contribution markets High competitor growth markets Grow Market Share

27. Market strategy 4 – Grow MS by focusing on competitors weak markets Look at two axis – size of market for brand sales growth vs low competitor growth Priority 1 Markets Large Brand Growth Contribution Low competitor growth Priority 2 Markets Small Brand Growth Contribution Low competitor growth Priority 3 Markets Large Brand Growth Contribution High competitor growth Priority 4 Markets Low Brand Growth Contribution High competitor growth Large brand growth contribution markets Low competitor growth market Small brand growth contribution markets Low competitor growth market Market Challenger Large brand growth contribution markets High competitor growth markets Small brand growth contribution markets High competitor growth markets Grow Market Share

28. Other common prevalent methods

29. Other approaches CDI BDI BCG matrix I-Mark

30. CDI-BDI

31. CDI - BDI CDI - % of category sales coming from the market % population coming from the market BDI - % of brand sales coming from the market % population coming from the market Both parameters indicate the markets that give more than their fair share of sales to either the category or the brand

32. Market strategy : CDI & BDI Look at two axis – CDI & BDI Priority 1 Markets High CDI High BDI Priority 2 Markets Low CDI High BDI Priority 3 Markets High CDI Low BDI Priority 4 Markets Low CDI Low BDI High CDI High BDI Low CDI High BDI Note P2 and 3 markets can be interchangeable depending on the brand strategy – growth oriented or defense oriented High CDI Low BDI Low CDI Low BDI

33. BCG Matrix

34. BCG Matrix Look at three axis – Relative Market Size, Market Growth Rate and size of market

35. BCG Matrix Priority 1 Markets Stars High RMS, High Market Growth Priority 2 Markets Question Marks Low RMS, High Market Growth Priority 3 Markets Cash Cows High RMS, Low Market Growth Priority 4 Markets Dogs Low RMS, Low Market Growth

36. marK A multi – variable tool for Decision Making

37. Underlying philosophy No Market Prioritisation is bereft of emotional parameters A tool that takes decisions based on many parameters and not just two to three Makes Market Prioritisation decision basis finite combination of parameters in a logical scientific manner

38. Parameters considered Looks at three sets of parameters : Category Related, Brand Related and Market Related Further drills into parameters within each :

39. What the marketer needs to do… Input weights basis relevant parameters Input relevant sales data  Market Prioritisation

40. How it works… Normalises all the data points Assigns weights basis client discretion Arrives at the market prioritisation

41. Assign weights Input data Arrive at Market Priorities

42. For more details/ discussions… Write in to kjamuar@gmail.com