Marketing Intelligence & Planning

Reaching and influencing consumers in the prescription medicine market : Table of Contents

Julia Peters, Deon Nel, Stewart Adam — Sat Oct 10 08:00:17 BST 2009

Abstract:
Purpose – Celebrex became the first of a new class of drugs known as COX-2 selective non-steroidal anti-inflammatory drugs. It improves treatment for arthritis sufferers without compromising the protective lining of the stomach. The purpose of this paper is to illustrate how direct-to-consumer advertising (DTCA) of prescription medicines can be used to rebuild faith in the cyclooxygenase-2 (COX-2) product category. Design/methodology/approach – The case is developed using published sources and no input is required from company representatives. The presentation style follows the classic comprehensive case format used in postgraduate teaching programmes. Findings – Business executives and strategic marketing students would benefit from a discussion on how external environmental factors can suddenly impose a review of marketing strategy. The reader learns how management addresses the business dilemma using DTCA. Research limitations/implications – A blockbuster rival drug Vioxx is withdrawn due to cardiovascular (CV) health safety concerns. A resulting dominant market situation soon becomes a business dilemma. The Federal Drug Administration calls for a “black box” warning label on Celebrex, the most serious type of warning. Practical implications – The implications are that having a product in a class of its own is not enough. It highlights the need to communicate to different audiences, to both the medical profession and the end-user. Getting doctors to recommend the medicine and pulling the product through the channel by stimulating patient demand after a health scare are paramount. Originality/value – This is the first pharmaceutical business case where the withdrawal of a rival product leaves the dominant competitor in a monopoly situation. Contrary to expectation, market share plummets despite the absence of competition.

The beer market and advertising expenditure : Table of Contents

Kari Heimonen, Outi Uusitalo — Sat Oct 10 08:00:17 BST 2009

Abstract:
Purpose – The purpose of this paper is to examine the impacts of advertising expenditure on brands' market shares, utilizing a novel four-week advertising-sales data from the highly competitive oligopolistic Finnish beer market in which price competition among the homogeneous larger-type beer brands is not allowed during the period of the study. Design/methodology/approach – Competition is modelled using the Lanchester model. The impacts of advertising on market shares are estimated using the impulse-response functions from vector autoregression, and the full information maximum likelihood and advertising elasticities. Findings – Some new insights into beer market dynamics are obtained. First, the impacts of advertising are not similar across brands. Second, overspills of advertising impacts across brands are detected. Third, the reactions to competitors' advertising attacks are mild. Originality/value – The paper utilizes four-week brand-level data on the market shares of the leading beer brands in Finland and the brands' advertising expenditure. During the period of the data, price competition is not allowed, which creates a unique opportunity to study the impacts of advertising on the market shares of brands.

Low-income consumers' reactions to low-involvement products : Table of Contents

Ayantunji Gbadamosi — Sat Oct 10 08:00:17 BST 2009

Abstract:
Purpose – The purpose of this paper is to explore the attitudes and behaviour of low-income women consumers in respect of low-involvement grocery products. Design/methodology/approach – One focus group and 30 in-depth interviews on the subject-matter are conducted with low-income women in Salford (Northwest England). Given the nature of the topic and the target respondents involved, the subjects are recruited through the use of purposive and snowballing sampling methods. Findings – The findings suggest that low-income women consumers' purchases of low-involvement grocery products are based on habit. They do not show strong loyalty to brands of these products, and do not perceive price as an indication of their quality. Their key motivation underlying their purchases of these products is value-for-money. Also they are very sensitive to sales promotional stimuli, albeit in varying degrees according to the respective attractiveness of these tools. However, while they indicate a positive attitude towards buy-one-get-one-free (BOGOF), free samples, discount and coupons, BOGOF stands out as their best preference; but they are not positively inclined towards gifts and competition. Originality/value – The paper explores the motivation, attitudes and behaviour of a special group of consumers (low-income women) in respect of low-involvement grocery products. It indicates the directions of their sensitivity in terms of marketing stimuli. Hence, it will be valuable for marketing decision making towards providing this group of consumers with the utmost satisfaction needed in this increasingly complex marketing environment.

The challenges of internationalising national culture-based hand-crafted products : Table of Contents

Jesus Cambra-Fierro, Rosario Vazquez-Carrasco, Edgar Centeno — Sat Oct 10 08:00:17 BST 2009

Abstract:
Purpose – The purpose of this paper is to illustrate how small to medium-sized enterprise firms can develop internationalization processes successfully. Design/methodology/approach – A case study is used to illustrate the milestones of the global process. Findings – The paper finds that, although internationalization is a complicated task, the adequate management of resources allows firms to achieve their objectives. Originality/value – The paper takes as reference a national culture-based hand-crafted product, which is really difficult to internationalize.

Product placement in Bollywood movies : Table of Contents

Sukhbinder Barn — Sat Oct 10 08:00:17 BST 2009

Abstract:
Purpose – The purpose of this paper is to illustrate the way in which product and brand placement function in the Indian film industry. Design/methodology/approach – The case study is based on extensive field work conducted by the author in India, including interviews with many film industry figures. Findings – Product placement is pervasive in the Indian film industry, but there can be tension between the artistic goals of the film director and the commercial goals of the brand owner. Originality/value – As far as is known, this is the first case study to address product and brand placement in the Indian film industry. Since this is the largest film industry in the world, this represents an important contribution to understanding the interface between commercial interests and artistic direction.

Marketing theory and practice: the case of the Egg Card : Table of Contents

Nnamdi O. Madichie — Sat Oct 10 08:00:17 BST 2009

Abstract:
Purpose – The purpose of this paper is to review Egg Card's current marketing strategy, drawing on the recent media flurry over its disaffected customers. The paper also seeks to highlight the extent of Egg Card's contribution to the gap between marketing theory (i.e. marketing as an academic discipline) and practice (marketing in the real world) and to point out the implications this might have for the future of marketing as an academic discipline. Design/methodology/approach – The paper adopts a qualitative content analysis of academic, media, and other official company reports on the development of the gaps between marketing theory and practice. Findings – Egg Card's (post-acquisition by Citigroup since May 2007) first-mover response to the global economic downturn and ensuing credit-crunch epitomizes the entrenched disconnection between how marketing is taught as an academic discipline and how it plays out in the real world. Originality/value – The paper attempts to introduce a new concept – Jaymarketer – into the marketing literature in the hope that academics will become able to reconnect with the real world of marketing. Hopefully, this will set the stage for further research on how to bridge the dichotomies between marketing theory and marketing practice.

Emotional intelligence and marketing effectiveness : Table of Contents

N. Gladson Nwokah, Augustine I. Ahiauzu — Sat Oct 10 08:00:17 BST 2009

Abstract:
Purpose – While much empirical work has centered on marketing effectiveness, the generalizability of its relationship to emotional intelligence in the Nigerian context has been under-researched. The purpose of this paper is to assess the impact of emotional intelligence on the marketing effectiveness of the organization. Design/methodology/approach – A 31-item survey questionnaire is developed and 108 corporate organizations in Nigeria are selected from the 2007 edition of the Nigerian Stock Exchange Gazette as a sample for this study. Hand delivery survey is conducted from key informants in the organizations. Returned instruments are analyzed using non-parametric correlation through the use of the Statistical Package for Social Sciences. Findings – The results of the study validate the instruments on emotional intelligence and the earlier instruments for marketing effectiveness and find a strong association between emotional intelligence and marketing effectiveness of corporate organizations in the Nigerian context. The main finding is that emotional intelligence leads to marketing effectiveness in corporate organizations in Nigeria. Practical implications – The implications of the results are clear for scholars and managers. For managers, the paper has implications for the investigation of the link between emotional intelligence and marketing effectiveness of corporate organizations in Nigeria. In the first place, the paper provides a direct test of the applicability of a western paradigm to the Nigerian economic system different from other cultures. Originality/value – The paper significantly refines the body of knowledge concerning the impact of emotional intelligence on marketing effectiveness in the Nigerian context. It will, without doubt, contribute to the body of existing literature on emotional intelligence and marketing effectiveness.