Wednesday, September 17, 2008

Chapter 6, Question 10

Established brands shares of market tend to exceed advertising shares of voice, where as un-established brands share of voice often their share of market. Using the concept of competitive interference as your point of departure, explain these relationships.
Established brands share of market exceeds share of voice as they are already established. Un-established need to build awareness by advertising to do so. SOV can be lower for established businesses as the customer is aware of the established company, and competitive interference is less of an issue.

1 comment:

Jim D. said...

Your reply is right on!

A brand’s advertising must compete for the consumer’s recall with the advertising from competitive brands, a situation of potential competitive interference.

Unfamiliar brands compete in an environment of advertising clutter are at a competitive disadvantage vs. established brands. SOV becomes more important in this case.