Brand Performance Metrics (BPMs) are metrics used to appraise the performance of brands in a given market.

In general, they are based on the recorded data of individual consumers among various brands for a given product category, which in this question would be breakfast cereal products. Later on, marketers use these data as an indicator for the category as whole for further decision making. The measures are: market share, purchase rate, penetration and purchase frequency, share of category requirements, 100% loyal and duplication. The next section would interpret it one after one.
Kellogg's 1.400907 716 0.271236 087 Nestle' 1.030593 377 0.199537 851 Brekky 0.758446 798 0.146846 319 Carman's 0.511178 349 0.098971 555 Uncle Tobys 0.285594 218 0.055295 19 Sanitariu m 0.437048 243 0.084618 89 Lowan 0.389981 509 0.075506 086 Private labels 0.351151 454 0.067988 023 Category Total 5.1649016 64

Average Purchase Rate

Market Share Number of Buyers

1804 0.303244 243 4.619733 925

1350 0.226928 896 4.541481 481

1113 0.187090 267 4.053908 356

786 0.132123 046 3.868956 743

465 0.078164 397 3.653763 441

671 0.112792 066 3.874813 711

562 0.094469 659 4.128113 879

547 0.091948 227 3.819012 797

3918 0.6585980 84 7.8422664 62

Penetration Purchases Frequency

SCR

18237 0.456983 056 0.082534 88

14320 0.428142 458 0.055807 699

11950 0.377573 222 0.048579 593

8314 0.365768 583 0.027567 658

5103 0.332941 407 0.016137 166

7316 0.355385 457 0.022356 699

6381 0.363579 376 0.021011 935

5942 0.351565 13 0.018322 407

Aggregate SCR

100% loyal

Figure of Brand Performance Metrics about breakfast cereal products As we can see from the figure above, Kellogg has the highest number of all this calculation metrics following by Nestle, Brekky, Carman, Uncle Tobys, Sanitarium, Lowan and Private labels respectively. Purchase rate is the average of brand sales per shopper in the whole market. Its a bit more indicative of loyalty rather than market size, as it shows, per shopper, how many units of each brand is being sold. More popular brands potentially with more loyal buyers will have higher purchase rates than brands with fewer loyal buyers. Thus, in this case, Kelloggs is the most popular brand in the market. The next indicator would be market share, which the formula is the Period Total Purchases for the brand divided by the Period Total Purchases for the Category. A market itself is customers who are interested in a particular product. In addition, increases in market share lead to increase in earnings and profit margins. The company with the biggest market share is the market leader, and usually has the highest marketing expenditures. Kellogg, in this case must constantly survey the market because the competitors are consistently trying to capture share. To prevent any losing share, usually market leader has to keep on making innovation in their products. The reason is because, when there is a substitute to its product, the competitors would get easy to make progress. Move on to penetration rate, simple meaning is another size of measure. Penetration is the proportion of shoppers purchasing over the period. Often, managers must decide whether to seek sales growth by acquiring existing category users from their competitors or by expanding the total population of category users, attracting new customers to the market. Penetration metrics help

indicate which of these strategies would be most appropriate and help managers to monitor their success. These equations might also be calculated for usage instead of purchase. Moreover, purchase frequency rate is the average of brand sales per buyer in the whole market. This measure put a bit more point again on loyalty, as it shows per buyer how many units per brand are sold. Its more accurate regarding loyalty as it only considers those buyers who have definitely bought the brand concerned, whereas purchase rate look at shoppers in the whole market where those shoppers may not have even bought the brand in question. Furthermore, Share of Category Requirements is where every buyer who has bought brand X has their total purchases across all brands totalled; summing the category purchases across all buyers of the brand and dividing that by the period total of the brand. This is considered another loyalty measure, giving marketing managers an insight how dominant a preference the buyer has for their brand where the buyer is purchasing multiple brands. By seeing at the aggregate SCR, the index of each brand is pretty close which means that for one brand, the consumers always take other brands as their substitution. Last of all, 100% loyal is a proportion of total shoppers, who have purchased from only 1 brand in the whole market. This gives an indication of how many buyers in the market are loyal to brand X and have only bought that brand in the period. In Short, the higher market share and the penetration for a brand will help to gain more customers and purchase also. Therefore, it is important for marketers to know exactly what customer do really need and what products can satisfied the customer need before decide a marketing project such as sales promotion, advertising identifying and targeting the potential customers or maintain the old one customers. From what we learnt in previous UniSA marketing course, Double Jeopardy Law is bigger brand have more customers who purchase more often and smaller brand have fewer customers who purchase less often. This statement is supported by the fact that Kelloggs and Nestle have higher ratio of both market share and penetration rate shown that these brand sells more than Brekky and other brands. In addition, these brands have a larger customer base too. Asides from Double Jeopardy, there is Duplication of Purchase Law (DoP Law), which telling us that Brands share customers, because people are purchasing from a repertoire (more than one brand per category). We all know that light buyers are the highest proportion that gives income to the firm itself. General thinking, we realise that these type of buyers will buy another brand too sometimes, unpredictably. This statement could be reasonable, whether the customer would be attracted to cover of the product itself or the sales person can pursue the customer to buy the products. However, in real life, we can see that in the market big brand is more aggressive and it often captures customers from its other smaller brand of competitors. Thus, the major factor which influences the level of sharing among the different brands is the brand size and market share too. Furthermore, this theory would pinpoint that every brand is trying to get or steal other brands customer and block other brands entry into the cereal market. Usually, for big brands, we expected the repertoire to be bigger, this will help them to get or attract more customers from other brands, the reason is because bigger repertoire index have more number of brand preference and big brand generally have better brand awareness. However, as Brekky cereals lose his market share to Kellogg and Nestle, which this metrics are crucial factor to point out who is the market leader. Therefore, we as the market analysis for Brekky cereal would recommend increasing advertising and doing innovation to get unique or better taste preferences for customer. Another way is to grasp other brand customer by produce cereal that has similar taste with bigger brands, so customer could find substitute product that

perhaps it would be cheaper, as the data above shown that customer often seeks for substitute product.