Marketing Analytics Section 1

Questions and Answers

What is the formula for calculating the break-even point?

Break even = Total Fixed Costs / Contribution Margin per Unit (correct)

Break even = Total Variable Costs / Contribution Margin per Unit

Break even = Contribution Margin per Unit / Total Fixed Costs

Break even = Contribution Margin per Unit * Total Fixed Costs

Which of the following is NOT a characteristic of fixed costs?

They are incurred regardless of production volume.

They remain constant regardless of the sales level.

They vary proportionally with changes in sales volume. (correct)

They include expenses like rent and salaries.

In the context of regression analysis, what does the term 'B1' represent?

The value of the independent variable.

The slope of the regression line. (correct)

The value of the dependent variable.

The intercept of the regression line.

Which of the following is NOT a benefit of using regression analysis?

Determining the impact of marketing campaigns on specific target groups. Signup and view all the answers

What is the primary purpose of marketing mix models?

Measuring the impact of marketing campaigns on the 4 Ps. Signup and view all the answers

What does ROAS measure?

The short-term performance of a marketing campaign. Signup and view all the answers

Which type of chart is most suitable for visualizing the proportion of each customer segment within the total population?

Pie Chart Signup and view all the answers

What is the primary purpose of using perceptual charts in marketing?

Visualizing customer perceptions of brands or products to identify clusters. Signup and view all the answers

Which of the following is NOT a step in goal planning for marketing campaigns?

Analyzing customer data to identify purchasing patterns. Signup and view all the answers

Study Notes

Types of Marketing Analytics

Descriptive Analytics: examines past data for insights, a common forerunner to predictive or prescriptive analysis
Key questions in Descriptive Analytics:
Alerts: "What actions are needed?"
Query/Drill Down: "What exactly is the problem?"
Ad-hoc: "How many, how often, where?"
Standard Report: "What happened?"
Business Metrics: evaluate performance against goals, such as efficiency and revenue
Data Analysis Process:
Data Required: extracted from reports or databases
Data Collection: ensures accuracy and cleanliness
Data Analysis: utilizes statistical techniques for pattern identification
Data Presentation: communicates findings through charts and graphs
Predictive Analytics: forecasts future brand trajectory and potential client lifespan
Key questions in Predictive Analytics:
Optimization: "What is the best that can happen?"
Predictive: "What will happen next?"
Randomized: "What if we try this?"
Statistical Analysis: "Why is this happening?"

Marketing Plan

Objectives:
5 C's: customer analysis, company assessment, competitor research, collaborator evaluation, context understanding
Strategy
Segmentation, Targeting, Positioning
SWOT and PEST Analysis:
SWOT: internal analysis
PEST: external analysis (Political, Economic, Social, Technological)
Tactics:
4 P's: Product, Price, Place, Promotion

Brand Personality and Architecture

Brand Personality:
Characteristics attributed to a brand
Consistency across messaging, images, and campaigns
Emotional connection with the target audience
Brand Architecture:
1. Brand Core
1. Brand Personality
1. Emotional Benefits
1. Product Benefits
1. Product Attributes

Customer Lifetime Value (CLV)

CLV: a metric in predictive analysis for estimating the total value a customer brings over their relationship
Uses of CLV in Marketing:
Customer Segmentation and Targeting: identifies high-value customers for targeted marketing strategies
Customer Relationship Management (CRM): shapes CRM strategies to enhance customer experience and retention
Product Development and Service Enhancement: influences product development based on insights from high CLV customers
Forecasting and Long-Term Planning: aids in strategic business decisions regarding growth and expansion

Break Even Analysis

Formula: Break even = Total Fixed Costs / Contribution Margin per Unit
Total Fixed Costs: costs that do not vary with sales level or marketing scope
Contribution Margin per Unit: revenue from each sale contributing to covering fixed costs and profit

Charts and Graphs

Graphs/Scatter Plots: visualize relationships between two variables to identify clusters
Bar Charts: compare frequency or distribution of categories within a dataset
Pie Charts: illustrate the proportion of each cluster within the total population
Frequency Tables: tabular representation of the distribution of values within a dataset
Contingency Tables: show the relationship between two categorical variables
Perceptual Charts: visualize customer perceptions of brands or products to identify clusters

Description

This quiz covers the first section of marketing analytics, including descriptive analytics and business metrics. It explores how to examine past data for insights and evaluate performance against goals.