MarketingManagement.pdf

■ Market share can fluctuate for many minor reasons:For example, market share can

be affected by whether a large sale occurs on the last day of the month or at the

beginning of the next month. Not all shifts in market share have marketing sig-

nificance.^23

Managers must carefully interpret market-share movements by product line, cus-

tomer type, region, and other breakdowns. A useful way to analyze market-share move-

ments is in terms of four components:

Overall

market 
 Customer  Customer  Customer  Price

share penetration loyalty selectivity selectivity

where:

■ Customer penetrationis the percentage of all customers who buy from the company.

■ Customer loyaltyis the purchases from the company by its customers expressed as

a percentage of their total purchases from all suppliers of the same products.

■ Customer selectivityis the size of the average customer purchase from the com-

pany expressed as a percentage of the size of the average customer purchase

from an average company.

■ Price selectivityis the average price charged by the company expressed as a per-

centage of the average price charged by all companies.

part five

Managing and

Delivering Marketing

(^698) Programs
Types of Marketing Control
TABLE 6.6
Type of Prime Purpose of
Control Responsibility Control Approaches