Planning Marketing Mix Strategies In The Presence Of Interaction Effects: Empirical And Equilibrium Analyses

PLANNING MARKETING-MIX STRATEGIES IN THE PRESENCE OF INTERACTION EFFECTS: EMPIRICAL AND EQUILIBRIUM ANALYSES

ABSTRACT
Companies spend millions of dollars on advertising to boost a brand’s image, while simultaneously spending millions of dollars on promotion that calls attention to price and erodes brand equity. This situation arises because both advertising and promotion are necessary to compete effectively in dynamic markets. Consequently, brand managers need to account for interactions between marketing activities and interactions among competing brands in determining the appropriate level of budget and its allocation to marketing activities. By recognizing interaction effects between activities, managers can consider inter-activity tradeoffs in planning the marketing mix strategies. On the other hand, by recognizing interactions with competitors, managers can incorporate strategic foresight in their planning, which requires them to look forward and reason backwards in making optimal decisions. Looking forward means that each brand manager anticipates how other competing brands are likely to make future decisions and then, by reasoning backwards, deduces one’s own optimal decisions in response to the best decisions to be made by all other brands. The joint consideration of interaction effects and strategic foresight in planning marketing-mix strategies is a challenging and open marketing problem, which motivates this paper.
In this paper, we develop a methodology for planning optimal marketing-mix in dynamic competitive markets, taking into account strategic foresight and interaction effects. To estimate and infer the existence of interaction effects, we design a Kalman filter that uses readily available
discrete-time market data to calibrate continuous-time marketing models of dynamic competition.
To develop optimal marketing-mix plans, we construct a computational algorithm for solving the nonlinear two-point boundary value problem associated with the derivation of equilibrium strategies.
We illustrate the application of this dual methodology by studying the dynamic Lanchester competition across five brands in the detergents markets, where each brand uses advertising and promotion to influence its own market share and the shares of competing brands. Empirically, we find that advertising and promotion not only affect the brand shares (own and competitors’), but also exert interaction effects, i.e., each activity amplifies or attenuates the effectiveness of the other activity. Moreover, if managers ignore these interaction effects, they are likely to believe that advertising and promotion are less effective than they actually are. Normatively, we find that large brands such as Tide and Wisk not only under-advertise, but also substantially over-spend on promotion. Thus, we provide support for the view that “escalation of promotion” may exist in some markets, a finding that Leeflang and Wittink (2001) attribute to managers’ lack of strategic foresight.
Finally, the generality of both the estimation method and computational algorithm enables managers to apply the proposed methodology to other market response models that reflect the marketing environment specific to their companies.

download

download jurnal

More about → Planning Marketing Mix Strategies In The Presence Of Interaction Effects: Empirical And Equilibrium Analyses

Pengaruh Kepuasan Konsumen Terhadap Kesetian Merek (Studi Kasus Restoran The Prime Steak & Ribs Surabaya)

Oleh :
Hatane Samuel
Foedjiawati
Staf Pengajar Fakultas Ekonomi Universitas Kristen Petra Surabaya

ABSTRAK
Penelitian Pengaruh Kepuasan Konsumen terhadap Kesetiaan Merek pada Restoran the Prime Steak & Ribs, kepuasan konsumen diukur melalui Attributes related to the product, Attributes related to the service, Attributes related to the purchase, kesetiaan merek diukur melalui habitual behaviour, switching cost, satisfaction, liking of the brand, dan commitment. Hasil penelitian mengungkapakan bahwa kepuasan konsumen di The Prime Steak & Ribs mendapat penilaian yang cenderung baik, beberapa atribut masih mempunyai variasi penilaian yang tinggi, dan terdapat hubungan pengaruh
positip yang signifikan antara kepuasan konsumen dengan kesetiaan merek, dengan demikian hasil penelitian mendukung konsep teori tentang kesetiaan merek.
Kata kunci: kepuasan, kesetiaan merek.

ABSTRACT
This is a research which observes the relationship between customer satisfaction and their loyalty to The Prime Steak & Ribs Restaurant. The customer satisfaction is measured through some attributes such as, attributes related to the product, attributes related to the service, and attributes related to the purchase. Meanwhile, the loyalty of its brand is measured through habitual behaviour, switching cost, satisfaction, liking of the brand and commitment. The result of the research reveals that customer satisfaction levels to The Prime Steak & Ribs Restaurant tends to be good. Some attributes still have a variety of high grade, and there is a positive causal influence that is significant between the customer satisfaction and the loyalty of the brand. Thus, the result of the research is relevant and at the same time supports the theory of brand loyalty.
Keywords: satisfaction, brand loyalty.

PENDAHULUAN
Masyarakat modern ditandai dengan aktivitas kerja yang tinggi serta adanya kesempatan yang sama untuk dapat bekerja bagi setiap orang yang mempunyai kompetensi tanpa diskriminasi. Aktivitas tersebut berdampak pada semakin banyak wanita pekerja atau karir yang menghabiskan waktu di luar rumah, sehingga kesulitan dalam menjalankan aktivitas sebagai ibu rumah tangga termasuk menyediakan makanan bagi keluarga.

Kelompok keluarga dengan ekonomi cukup, cenderung memilih makan di luar rumah dengan memilih tempat restoran atau cafe, selain cita rasanya lebih enak juga banyak sekali aneka menu yang ditawarkan, serta suasana yang menyenangkan. Surabaya sebagai kota metropolitan memiliki fasilitas untuk kondisi seperti yang disebutkan di atas. Bisnis makanan di Surabaya masih memberikan peluang bagi para pengusaha restoran.
The Prime Steak & Ribs salah satu badan usaha restoran membuka usahanya pada 11 November 2002 berlokasi di Jl. Manyar Kertoarjo 66, Surabaya. Awalnya restoran ini dibuka khusus untuk pelayanan undangan khusus (Soft Opening), akan tetapi dalam kurun waktu yang tidak lama kemudian (16 Desember 2003), dibuka untuk umum (Grand Opening). Restoran ini memiliki banyak pesaing lainnya, seperti:
Boncafe, Calvados, Prosteak yang sudah ada sebelumnya. Restoran ini mencoba masuk pada persaingan yang sudah ketat dengan merebut pangsa pasar yang sama dengan restoran lainnya di Surabaya. Berdasarkan hasil survey awal, ada fenomena bahwa konsumen restoran ini makin hari makin bertambah, dan terlihat ada kesetiaan dari pelanggannya dilihat dari frekuensi kunjungan mereka. Hal ini membuat peneliti ingin menganalisis tingkat kesetiaan pelanggan restoran ini berdasarkan tingkat kepuasan mereka. Hasil penelitian ini diharapkan dapat menjadi masukkan manajemen mengevaluasi keberhasilan dalam mengelolah restoran menghadapi pesaing yang makin ketat dan agresif.

Download jurnal

More about → Pengaruh Kepuasan Konsumen Terhadap Kesetian Merek (Studi Kasus Restoran The Prime Steak & Ribs Surabaya)