Chapter The effectiveness of marketing tools in a consumer goods market in Italy during the Great Recession (2010-2015)

In the case of markets characterized by a stationary primary demand, the relevant dimension for measuring a company’s success is represented by market shares. The paper aims to build and comment on a model that gauges the competitive effects of marketing maneuvers on market shares, with reference to...

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Main Authors: Tassinari, Giorgio, Panarello, Demetrio
格式: Online
语言:英语
出版: Firenze University Press 2022
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author Tassinari, Giorgio
Panarello, Demetrio
author_browse Panarello, Demetrio
Tassinari, Giorgio
author_facet Tassinari, Giorgio
Panarello, Demetrio
author_sort Tassinari, Giorgio
collection Directory of Open Access Books
description In the case of markets characterized by a stationary primary demand, the relevant dimension for measuring a company’s success is represented by market shares. The paper aims to build and comment on a model that gauges the competitive effects of marketing maneuvers on market shares, with reference to tea-based beverages in Italy in the period November 2010 – October 2015. This analysis will be instrumental in establishing the effectiveness of marketing policies based on promotions or advertising. We estimate such a model on weekly data provided by IRI Infoscan and Nielsen, involving the top five brands in the Italian market. After a descriptive analysis and a stationarity test, we estimate a Multinomial Logit model, making use of the Seemingly Unrelated Regressions method. The results allow us to identify the effectiveness of each brand’s marketing policies. Moreover, they enable us to derive the matrices of direct and cross elasticities of brands’ market shares with respect to the main marketing tools (price, promotions, distribution, advertising investments) and to compare basic and average market shares. Based on these results, it is therefore possible to identify the market’s competitive structure, revealing the most incisive factors to be price and weighted distribution, while advertising investments are significant in only a few cases and elasticities are remarkably low. The competitive structure appears to be of a horizontal type (i.e., cross elasticities do not vary greatly).
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spelling doab-20.500.12854ir-825812022-06-02T04:13:30Z Chapter The effectiveness of marketing tools in a consumer goods market in Italy during the Great Recession (2010-2015) Tassinari, Giorgio Panarello, Demetrio Stationary demand Market shares Competitive structure Multinomial Logit Seemingly Unrelated Regressions In the case of markets characterized by a stationary primary demand, the relevant dimension for measuring a company’s success is represented by market shares. The paper aims to build and comment on a model that gauges the competitive effects of marketing maneuvers on market shares, with reference to tea-based beverages in Italy in the period November 2010 – October 2015. This analysis will be instrumental in establishing the effectiveness of marketing policies based on promotions or advertising. We estimate such a model on weekly data provided by IRI Infoscan and Nielsen, involving the top five brands in the Italian market. After a descriptive analysis and a stationarity test, we estimate a Multinomial Logit model, making use of the Seemingly Unrelated Regressions method. The results allow us to identify the effectiveness of each brand’s marketing policies. Moreover, they enable us to derive the matrices of direct and cross elasticities of brands’ market shares with respect to the main marketing tools (price, promotions, distribution, advertising investments) and to compare basic and average market shares. Based on these results, it is therefore possible to identify the market’s competitive structure, revealing the most incisive factors to be price and weighted distribution, while advertising investments are significant in only a few cases and elasticities are remarkably low. The competitive structure appears to be of a horizontal type (i.e., cross elasticities do not vary greatly). 2022-06-02T04:13:29Z 2022-06-02T04:13:29Z 2022-06-01T12:21:09Z 2021 chapter ONIX_20220601_9788855184618_563 2704-5846 https://library.oapen.org/handle/20.500.12657/56378 9788855184618 https://directory.doabooks.org/handle/20.500.12854/82581 eng Proceedings e report open access image/jpeg Attribution 4.0 International https://library.oapen.org/bitstream/20.500.12657/56378/1/26238.pdf Firenze University Press 10.36253/978-88-5518-461-8.20 10.36253/978-88-5518-461-8.20 2ec4474d-93b1-4cfa-b313-9c6019b51b1a 9788855184618 6 Florence open access
spellingShingle Stationary demand
Market shares
Competitive structure
Multinomial Logit
Seemingly Unrelated Regressions
Tassinari, Giorgio
Panarello, Demetrio
Chapter The effectiveness of marketing tools in a consumer goods market in Italy during the Great Recession (2010-2015)
title Chapter The effectiveness of marketing tools in a consumer goods market in Italy during the Great Recession (2010-2015)
title_full Chapter The effectiveness of marketing tools in a consumer goods market in Italy during the Great Recession (2010-2015)
title_fullStr Chapter The effectiveness of marketing tools in a consumer goods market in Italy during the Great Recession (2010-2015)
title_full_unstemmed Chapter The effectiveness of marketing tools in a consumer goods market in Italy during the Great Recession (2010-2015)
title_short Chapter The effectiveness of marketing tools in a consumer goods market in Italy during the Great Recession (2010-2015)
title_sort chapter the effectiveness of marketing tools in a consumer goods market in italy during the great recession 2010 2015
topic Stationary demand
Market shares
Competitive structure
Multinomial Logit
Seemingly Unrelated Regressions
topic_facet Stationary demand
Market shares
Competitive structure
Multinomial Logit
Seemingly Unrelated Regressions
url ONIX_20220601_9788855184618_563
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