MARKETING METRICS

MARKETING METRICS

Andrea Pelaez Martinez

Instructional goals

This course is essential for anyone aspiring to excel in a leadership role within the marketing field. The increasing competitive pressure combined with the availability of new technologies enables firms to measure performance more accurately than ever. Hence, new business intelligence and analytics methods have been developed to measure marketing performance through brand-new metrics. As a result of this new managerial landscape, and because of the ever-increasing amount of data (also known as the marketing big data environment), new measures have been developed to support marketing decisions within the broader framework of the company performance measurement. This process requires accountability skills and awareness of the metrics and performance quintessence: “If you don’t measure, you can’t manage, and maybe not even understand.” *Attendance is mandatory and essential to properly prepare for the exam. COURSE OBJECTIVES: The course is aimed at providing a broad range of theories, models, methods, techniques, and specific metrics to measure and evaluate marketing performance. All these elements provide the tools to correctly define investments and their returns, and ultimately the marketing contribution to company’s value creation. The main teaching objectives are: • To create student familiarity with marketing performance metrics, and with the causal relationships that make such metrics valid and reliable to manage marketing effectively. • To analyze, discuss, and experience the process through which marketing management affects company’s competitiveness and value creation. • To analyze, discuss, and experience marketing decision-making from a dynamic point of view that includes both resource allocation and investment returns. Achieving these objectives overall enables students to develop the ability to design, execute and manage a broad range of metrics useful to measure and evaluate marketing performance. At the same time, it improves the ability to understand and manage marketing processes, as characterized by specific performance metrics.

Intended learning outcomes

• Knowledge and understanding: The student - by participating in the lectures and practical activities of the course - will have developed the ability to understand the links between the value generated for the customer, the breadth and quality of market relations. Knowledge and understanding will be assessed based on participation in lessons and a final written test. In particular: detailed study of the chapters of the manual referable to the thematic modules and consultation of the slides prepared by the teacher and enabled for the understanding and acquisition of “individualized” knowledge. In addition, business case studies, testimonials and numerous application examples shared with passive and active learning processes. • Ability to apply knowledge and understanding: This ability is developed through small group and plenary analyzes of real cases, to which are added the testimonies of top representatives of the business community conducted in ways that facilitate interaction and participation. The student - acquiring the correct tools and method - will be able to interpret, apply and present the reference interpretative models, but also develop practical projects. At the end of the course there will be a written test. • Independent judgment: Using the methodologies acquired during the course, the student will have acquired skills in analyzing problems and identifying the information necessary for their solution. Specifically, critical thinking, problem solving, self-management, teamwork, relationship and communication skills will be adequately developed, which enhances and makes the disciplinary skills more usable. • Communication skills: At the end of the course the student will be able to master, with adequate terminological precision, the technical-economic vocabulary of the subject of marketing. By participating in the various activities of the course - lessons with classroom discussions, simulated process, written tests, workshops - the student will learn to put these communication skills into practice in different contexts, adapting the vocabulary using the reference interlocutor, thus acquiring additional rhetorical and argumentative skills, essential for one's professional career. • Learning skills: The technical-economic knowledge acquired during the course will allow the student to understand and interpret independently: the design and management of marketing processes including quantitative and qualitative analysis methodologies and techniques, the classification and operational management of all the main marketing phenomena. Consequently, the student will have developed a solid knowledge of the fundamental aspects of the subject that will allow him to continue to deepen the topics addressed independently and to undertake the various post-graduate professional training courses.

Course Contents

• Relationship between marketing metrics and broader measures for value creation, based on the idea of balance performance measurement (Balanced Scorecard). • Market demand metrics. • Mechanisms, methods, and techniques needed to evaluate and measure marketing performance. • Competition metrics. • Customer and brand equity metrics. • Product, price, distribution and sales force metrics, coupled with metrics for communication, digital marketing, and social media communication. • Innovation metrics.

Reference Books

Required book: Bendle, N., Farris, P. W., Pfeifer, P., & Reibstein, D. (2021). Key Marketing Metrics (3rd ed.). Pearson International Content. https://bookshelf.vitalsource.com/books/9781292360881 Students should purchase the case studies from Harvard Business Publishing Education at a link that will be shared at the beginning of the semester ( Aproximate cost: 20£ A list of further readings is suggested to students keen to deepen their knowledge by building an advanced background in metrics and measurement processes: • Aguinis, H., Edwards, J. R., & Bradley, K. J. (2016). “Improving Our Understanding of Moderation and Mediation in Strategic Management Research”, Organizational Research Methods, 1-21. • Baron, R. M., & Kenny, D. A. (1986). “The moderator–mediator variable distinction in social psychological research: Conceptual, strategic, and statistical considerations”, Journal of Personality and Social Psychology, 51(6), 1173-1182. • Brand Valuation. Neil Bendle Blog: https://neilbendle.com/popular-marketing- metrics/brand-valuation-progress-but-lots-more-needed/ • Chandon, P. (2003). Note on measuring brand awareness, brand image, brand equity and brand value (pp. 1-12). Fontainebleau: Insead. • Churchill, Gilbert A., Jr, "A Paradigm for Developing Better Measures of Marketing Constructs", o Journal of Marketing Research, 16:1 (1979:Feb.) p.64 . • Dolan, R. J. (1998). Note on Low-Tech Marketing Math. • Edwards J.R., Bagozzi R.P., On the Nature and Direction of Relationships Between Constructs and Measures, Pshicological Methods, 2000, vol. 5, n°2, pp.155-174 • Katsikeas, Constantine S., Neil A. Morgan, Leonidas C. Leonidou, and G. Tomas M. Hult. "Assessing performance outcomes in marketing." Journal of Marketing 80, no. 2 (2016): 1-20. • Mintz, Ofer, Timothy J. Gilbride, Peter Lenk, and Imran S. Currim. "The right metrics for marketing-mix decisions." International Journal of Research in Marketing 38, no. 1 (2021): 32-49. • Netzer, O. Using Social Media Data to Track the Effectiveness of a Communication Campaign, HBSPD • Ofek, E. Customer Lifetime Value versus Customer Lifetime Return on Investment, HBSPD 9-515- 049 • Pirouz, R., Bendle, N., & Taneem, K. (2011). Online metrics: what are you measuring and why. HBSPD • Popky, L.J.. Identify the marketing metrics that actually matter, HBR • Rust, Roland T., William Rand, Ming-Hui Huang, Andrew T. Stephen, Gillian Brooks, and Timur Chabuk. "Real-time brand reputation tracking using social media." Journal of Marketing 85, no. 4 (2021): 21-43 • Stanko, M.A. &Fleming, M. Marketing Metrics: Note for Marketing Managers, HBSPD – W14327

Teaching Methods

Frontal lessons, HBSP case studies, class discussions, and formative assessment via online games such as Kahoot.

Assessment Method

The assessment of the attending student will be structured as follows: 1. Continuous assessment (33% of the final grade, HBSP cases studies, teamwork): The cases, which will be discussed on the days indicated by the calendar, can be purchased from Harvard Business Publishing Education at a link that will be shared at the beginning of the semester: The report should be based on 2 case questions that will be published on the learn platform at least one week before the class discussion. Projects not sent on time will be subject to heavy minus. Each calendar-scheduled case study discussion session provides for the active involvement of all the teams. In particular, some teams will present the case (following the schedule and the instructions provided in advance by the TAs) and the others will be the discussants on the same case. Graded on a /30 scale, following the following deliverables and corresponding weights: • Slides (10%, 2.5% each case). • Oral presentation (15%, 7.5% each presentation) • Discussion (5%, average of participation points during case presentations) • Peer Evaluation (3%) The grade will be calculated using this formula: (Average Peer Evaluation /10) x Group Grade (slides + presentation +discussion) 2. Final written exam: 2/3 of the final grade For ATTENDANT students, the final exam will be only written and composed as follows: • 6 multiple choices: each worth 2 points • 3 true/false questions: each worth 1 point • 2 open questions: each worth 5 points • 1 exercise: worth 5 points Students with a grade below 18 in the final exam automatically fail the course, regardless of the score obtained in the continuous assessment The assessment of the EXEMPT or NOT-COMPLAINT students will be structured as follows: 1. Final written exam: 100% The written exam will be both a standard test and a case study to be “discussed” through a written report. The written exam will last 120 minutes. The topics included will be those covered in the slides and relevant book chapters indicated in the syllabus. Students cannot reject the grade obtained. Clarification Note. Students must actively participate in at least 70% of the lessons to be considered ATTENDANT. Classroom attendance is recorded via the BEACON system. If the minimum threshold of 70% is not met, students will be considered NOT-COMPLIANT students. In cases of impediments due to health conditions, work commitments, internships, or student-athlete status, students must request the exemption to the Graduate School Secretariat within the first week of the semester. If approved, they will be considered EXEMPT students, and the exemption applies to all the courses within that semester. During the semester examination session, students are assessed differently depending on their status (attending, exempted, non-compliant). During the examination sessions following the semester of delivery(retake sessions), ALL students are assessed only based on the final exam, which accounts for 100% of the overall final grade obtained. • First examination session period: May 11- 23, 2026 • Second examination session period: May 25- June 27, 2026 • First retake session: August 27 –September 5, 2026 • Second retake session: September 7 – 14, 2026 Final grades under 18/30 are automatically insufficient, and students must retake the NOT-COMPLAIN/EXEMPT final exam in a subsequent examination session.

Thesis assignment criteria

Motivation: Strong interest in marketing communication and social phenomena on the web. To get the thesis, the applicant must submit a written project including a research question, intended methodology, index and basic bibliography

Week 1

Course Vademecum: Presentation of the course. Introduction to Marketing Metrics & Corporate Perspective: Ontology, epistemology, methodology, and chronology of measurement and metrics. Corporate perspective on performance measurement and metrics: the balanced scorecard model Pillars of marketing performance measurement Material: Vademecum slides Bendle et al. (2021) Ch. 1 & slides

Week 2

Growth metrics: Market Share metrics How to discuss a case and rubrics. Material: Bendle et al. (2021) Ch. 2 & slides

Week 3

Customer profitability metrics: Market potential Customer vs. Acquisition Customer Lifetime Value (CLV) Material: Bendle et al. (2021) Ch. 5 & slides

Week 4

Product Management metrics: Trial, Repeat, Penetration, Volume Projections, Growth, & Cannibalization Case discussion Material: Bendle et al. (2021) Ch. 4 & slides HBSP coursepack

Week 5

Brand Management Metrics: Cognitive, Attitudinal, Behavioral, and Financial Perspectives. Material: Bendle et al. (2021) Ch. 4 & slides

Week 6

Pricing metrics: Company, Competitors, and Customer Perspectives. Case discussion Material: Bendle et al. (2021) Ch. 8-9 & slides HBSP coursepack

Week 7

Pricing metrics: Company, Competitors, and Customer Perspectives. Financial metrics: Net profit and return on sales (ROS), Return on investment (ROI), Economic profit (a.k.a. EVA®), Project metrics: payback, NPV, IRR, Marketing ROI (MROI or ROMI). Material: Bendle et al. (2021) Ch.8, 9,12 & slides

Week 8

Communication metrics Case discussion Material: Bendle et al. (2021) Ch.10 & slides HBSP coursepack

Week 9

Online media metrics Case discussion Material: Bendle et al. (2021) Ch.11 & slides HBSP coursepack

Week 10

Channel & Distribution metrics. Material: Bendle et al. (2021) Ch.7 & slides

Week 11

Sales Force Management metrics. case discussion. Material: Bendle et al. (2021) Ch.6 & slides HBSP coursepack

Week 12

System of metrics- Metrics integration. Class Wrap-up. Material: Slides