Analytical Marketing EPGP 2018

Instructor – Srinivas Prakhya (E 204, Tel: 26993186,

sprakhya@iimb.ernet.in)

The course focuses on analytical methods that facilitate marketing decisions and
development of marketing strategy. One way to describe marketing is to consider
all activities that facilitate customer acquisition and retention and the idea of
value is central to these activities. The start point is a good situation analysis with
a view to delineating value exchange opportunities. Usually, this requires a good
understanding of the strategic aspects of segmentation, targeting, and
positioning. Further, an in-depth understanding of the consumer choice process
and the firm’s resources and skills is important. An analytical perspective often
helps in going beneath the surface and enabling enquiry into all relevant aspects.
This course will draw upon concepts from Marketing, Microeconomics,
Psychology, and Sociology and illustrate qualitative and quantitative analytical
methods in the context of consumer choice, market segmentation, targeting,
positioning, branding, pricing, and product line decisions.

The qualitative analytical methods illustrated in this course include observation,

ethnography, and semiotics. The quantitative methods include interdependence
techniques such as clustering, discriminant analysis, and multidimensional
scaling. Dependence techniques that are illustrated include multiple regression
and discrete choice models.

Applications and cases will be used to frame problems and to synthesize

learnings in the course. We will use qualitative and quantitative data intensive
cases in this course and participants are expected to learn from deep analysis of
data. Estimation issues will be discussed in the course and participants will need
to analyze data using the Marketing Engineering Excel add-in, Sawtooth for
conjoint, and SAS, or any data analysis tool.

Participants will be graded on three components: class participation, tests, group

project work. The tests will be closed book and will assess conceptual
understanding of marketing concepts and how analytical methods and
techniques are relevant in developing marketing strategies. The group project will
provide a platform to apply conceptual understanding to practical situations and
gain insights.
Reference Texts

1. Principles of Marketing Engineering – Lilien and Rangaswamy

2. Analyzing Multivariate Data – Carroll, Lattin, and Green

Supplementary articles and readings will be provided for specific topics.

Grading

Class Participation 10%

Case Presentation 10%

Tests 50%

Group Project 30%

Participants are required to submit a project proposal based on secondary

research after 6 sessions. The proposal will be discussed and a revised proposal
incorporating feedback is due midway through the course. The final project report
with analysis of primary data and conclusions is to be submitted at the end of the
course.

Group case presentations are also required.

Session Plan

Session 1 Introduction and Overview

Principles of Marketing Engineering – Chapter 1: The

Marketing Engineering Approach

Session 2 The Marketing Canvas

Case - Maxim in India

Session 3 The Marketing Canvas

Case - Maxim in India

Session 4 Segmentation, Targeting, & Positioning

Qualitative Research – Consumer Behaviour

Session 5 Segmentation, Targeting, & Positioning

Qualitative Research – Consumer Behaviour

Session 6 Segmentation, Targeting, & Positioning

Case - The Saffola Journey

Session 7 Analytical Methods Overview

Principles of Marketing Engineering

Session 8 Positioning

Case – Blackberry Pearl

Principles of Marketing Engineering – Chapter 4: Positioning

Session 9 Positioning

Case - The Infiniti G20 (Group 1 to lead)

Principles of Marketing Engineering – Chapter 4: Positioning

Session 10 Segmentation and Targeting

Clustering & Discriminant

Principles of Marketing Engineering – Chapter 3:

Segmentation and Targeting

Session 11 Segmentation and Targeting

Case - PDA (Group 2 to lead)

Principles of Marketing Engineering – Chapter 3:

Segmentation and Targeting
Session 12 Direct Marketing - Multiple Regression and Binary Logit,

Case – Bookbinders Book Club (Group 3 to lead)

Principles of Marketing Engineering – Chapter 3: Targeting

Individual Customers

Session 13 Direct Marketing - Multiple Regression and Binary Logit,

Case - Retail Credit Scoring for Auto Finance Ltd (Group 4

to lead)

Principles of Marketing Engineering – Chapter 3: Targeting

Individual Customers

Session 14 Consideration & Choice - Discrete Choice Models

Principles of Marketing Engineering – Chapter 2: Customer

Value Assessment and Valuing Customers

Session 15 Consideration & Choice - Discrete Choice Models

Principles of Marketing Engineering – Chapter 2: Customer

Value Assessment and Valuing Customers

Case – ABB Electric (Group 5 to lead)

Session 16 New Product Decisions, Conjoint Analysis

Principles of Marketing Engineering – Chapter 6: New

Product and Service Design

Session 17 New Product Decisions, Conjoint Analysis

Case – Estimating Demand for a New Air Travel Offering

(Group 6 to lead)

Principles of Marketing Engineering – Chapter 6: New

Product and Service Design
Session 18 New Product Forecasting Models
Principles of Marketing Engineering – Chapter 5:
Forecasting

Case – Zenith: Marketing Research for High Definition

Television

Session 19 Product Line Pricing

Principles of Marketing Engineering – Chapter 7: The

Marketing Mix

Session 20 Synthesis
Case – TBA