DAY5_PERCEPTUAL MAPPING_Ankit Maheshwari

DAY 5 PERCEPTUAL MAPPING

MDS: MULTIDIMENSIONAL SCALING

WHY WOULD YOU WANT TO DO PERCEPTUAL MAPPING?

·         Perceptual maps help you understand what consumers think about your brand.

·         Perceptual maps help you understand what consumers think about your competitor’s brands.

·         Perceptual maps help you build an effective marketing strategy.

·         Maps help you build competitive strategy

·         Maps help you build communication strategy

·         Maps help you identify potential new products

·         Maps help you build brand strategy

WHAT A PERCEPTUAL MAP IS AND WHY WE SHOULD WANT?

1.       Determine which characteristics are best for company

2.       Survey your market

3.       Graph results

4.       Interpret the map

5.       Make changes in your marketing strategy

THERE ARE TWO METHODS OF PERCEPTUAL MAPING:

1.       OVERALL SCALING

2.       ATTRIBUTE BASED

  

ADVANTAGES  AND  DISADVANTAGES

                                                                                            Ref: http://relevantinsights.com/tag/perceptual-map

EXAMPLE:

·         Take any 6 products which you want to compare: here we take Coke, Pepsi, Slice, Maaza, MtDew, Sprite

·         Pair this 6 products so we get 15 pairs

·         Give them different Rating in 0-9 scale, 0 is less similar and 9 is similar

·         Collect all the responses and arrange in Excel (as shown in Figure)

·         Take the Average/10 value (as shown in fig.) and plot these values in matrix called as Distance Matrix

·         Create Text file whose format is shown in fig.: First three lines shows the title, number of objects and type of matrix, type of matrix is of two types based on number of 1’s and 0’s in the Distance Matrix.

·         Similarity matrix is selected when matrix contain maximum number of 1 in the diagonal and Dissimilarity matrix is selected when matrix contain maximum number of 0’s.

·         Spacing between words is not allowed and Save this file.

·         Open PERMAP software, load this file and start, you can see grouping according to the preferences.

“When detailed marketing research studies are done methodological problems can arise, but at least the information is coming directly from the consumer. There is an assortment of statistical procedures that can be used to convert the raw data collected in a survey into a perceptual map. Preference regression will produce ideal vectors. Multi-dimensional scaling will produce either ideal points or competitor positions. Factor analysis, discriminant analysis, cluster analysis, and logic analysis can also be used. Some techniques are constructed from perceived differences between products; others are constructed from perceived similarities. Still others are constructed from cross price elasticity of demand data from electronic scanners”

--ANKIT MAHESHWARI (TEAM G)