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Marketing Management Measuring and Forecasting Demand

Marketing Management Measuring and Forecasting Demand. Paul Dishman , Ph.D. Department of Business Management Marriott School of Management Brigham Young University Lecture 9. Common Metrics. Total Market Demand (Market Potential) Area Market Demand (Geographic Area Potential)

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Marketing Management Measuring and Forecasting Demand

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  1. Marketing ManagementMeasuring and Forecasting Demand Paul Dishman, Ph.D. Department of Business Management Marriott School of Management Brigham Young University Lecture 9

  2. Common Metrics • Total Market Demand • (Market Potential) • Area Market Demand • (Geographic Area Potential) • Actual Sales • Market Share

  3. Total Market Demand • Primary vs. Selective • Q = Total Market Demand • number of customers • purchase rate (purchase per period) • repurchase rate (repurchase per period) • purchase price / repurchase price ($1 / $2) QTMD = Ncust * [ (pur rate * $1) + (repur rate * $2) ] • Market Buildup Method

  4. Area Market Demand • Sales and Marketing Management’s “Survey of Buying Power” • Buying Power Index • Weighted Average

  5. Market Share • Industry Data • Questionable Accuracy • Private Research Firms • Same problem • Repetition Solves Induction Problem

  6. Forecasting • Survey of Buyer’s Intention • Sales force Research • Expert Opinion • Test Marketing • Time Series • Multivariate Analysis

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