Module 19 Measuring and Delivering Marketing Performance By: Dr Shahinaz Abdellatif Objective of this session 1. To examine how to design strategic control systems 2. To consider design decisions for marketing performance measurement The Control Process Setting standards of performance Specifying the necessary feedback data Obtaining the needed control data Evaluating feedback data -- explaining gap between actual and given standards of performance Taking corrective action 1- Setting standard for performance These standards derive largely from the objectives and strategies set forth at the SBU and individual product-market entry level. They generate a series of performance expectations for profitability (return on equity or return on assets managed), market share, and sales. At the product-market level, standards of performance include sales and market-share determinants such as per cent effective distribution, relative shelf-facings, awareness, consumers’ attitude change toward a given product attribute, customer satisfaction, and the extent of price parity. 2- Specify the necessary feedback data Analysts obtain feedback data from a variety of sources, including company accounting records and syndicated marketing information services such as Nielsen. The sales invoice or other transaction records, such as those produced by retailers’ point-of-sale systems, are the basic internal source of data because they provide a detailed record of each transaction and the basis for measuring profitability, sales, and various budget items. Another source, and typically the most expensive and time-consuming, involves undertaking one or more marketing research projects to obtain needed information. In-house research projects are apt to take longer and be more expensive than using an outside syndicated service. 3- Evaluating Feedback Data Management evaluates feedback data to find out whether there is any deviation from the plan, and if so why. Typically, m