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MANAGING GLOBAL BRAND INVESTMENTS AT DHL Deutsche Post DHL implemented a customer-insight based approach using an operations research-based brand assessment tool, leading to a USD 1.32 billion increase in brand value over five years. This strategy resulted in a 38 percent return on investment and a 24 percent internal rate of return, while also significantly impacting DHL's overall strategy and organization
Q1. How was the purchase funnel framework used to understand brand performance at Step 1 of the application?
DHL’s
Global Brand Assessment Tool HIERARCHICAL PURCHASE PROCESS INSIGHTS FROM ANALYSIS OF THE FUNNEL: Identifies stregths and weakness of the brand across stages
It helps to identify stages that cause majority of leakage in the funnel It helps perform Competitor analysis. This can be done as
1.
Comparison with single strategic competitor
2.
Market Average
3.
Efficient line indicating best performance at each stage
Performance of DHL and TNT, the competitive benchmark in the UK. On comparison with DHL’s
strategic competitors, we can g
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o
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ht
s
:
Selected customers are equally aware of both brands i.e
brand awarness activities are paying of
f DHL sends more customers to the consideration stage as compared to TNT which indicates that customers are aware of the features, services and are likely to consider it as their service provider DHL fails to send as many customers to the usage stage
which is a crucial stage. Only 42% people have used DHL at least once DHL experiences the largest gap from TNT in the main provider stage. This indicates that customers do not trust DHL with a major chunk of their business. DHL is not able to nurture returning customers This further trickles to the Sole Provider stage, only 11%
of the total customers use DHL as the main provider compared to 16% for TNT. This stage includes brand loyal customers that are nurtured over time through high quality service. Overall, the funnel indicates that while DHL is able to
create awareness in the customers, it is unable to convert mind share to wallet share.
Q2. Design a brief survey that could be used to gather the information needed for Step 1. How would you form a representative sample of customers to send out the survey to –
for example, can you start with a list of all the customers that have purchased DHL’s
service in the past 5 years and pick a representative sample?
Survey Design: Assessing Customer Satisfaction and Brand Perception
Objective: To gather information about customer satisfaction, brand perception, and preferences regarding DHL's services. Survey Questions: Demographic Information:
Age: Gender: Location (Country/Region): Frequency of DHL service usage: Customer Satisfaction:
On a scale of 1 to 10, how satisfied are you with DHL's services? What factors contribute most to your satisfaction with DHL?
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Related Questions
CB Assignment 5 (Consumer Decision Making)
After watching the Consumer Decision Making Presentation, complete the
following spread sheet and indicate which brand is most likely to be selected
for each of the approaches below.
Smart Phones for Smart Phone Attitudes
Product
Attributes
Price
Good Reception
Screen Size
Camera Quality
Weight
Conjunctive:
Product
Attributes
For Conjunctive use a cutoff rating of 4.
For Disjunctive use a cutoff rating of 10.
Price
Good Reception
Screen Size
Camera Quality
Weight
Brand Selected=
Disjunctive:
Product
Attributes
Price
Good Reception
Screen Size
Importance
Rating
35
25
20
10
10
Camera Quality
Weight
Brand Selected=
A
6
8
8
4
6
35
25
20
10
10
Brand Scores
B
с
8
7
6
5
A
9
2
7
Minimum Rating =4 (on all attributes)
Importance
Ra
10
6
3
Brand Scores
Rating of 10 on ANY attribute
Importance
Rating
35
25
20
10
10
Brand Scores
C
A B
D
5
6
8
2
4
D
D
Lexicographic: Select Best Performer for Most Important Attribute
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What elements appear most critical to you? Why?
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Under Armour
Nike
Industry Key Success Factors
Weight
Rating
Wtd. Score
Rating
Wtd. Score
Innovative Product Design
Product Line Breadth
Brand Awareness / Reputation
Distribution Capabilities
Celebrity Endorsers
Geographic Market Coverage
TOTAL
1.0
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Delayed supplies
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Required;
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RISK MANAGEMENT IN PURCHASING/PROCUREMENT
CASE STUDY
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Stock outs
Delayed supplies
Inflation
Fuel prices continue to shoot up.
Required;
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CASE STUDY
A survey by Capgemini Research Institute found two-thirds (66%) of retail and consumer product organizations were changing their supply chain strategy following disruptions and shifts toward online shopping. Covid-19 was seen to be “a wake-up call” with over eight in 10 retail and consumer product organizations facing disruptions, and only 25% of retailers believing they had the agility needed to support “evolving business needs”. Over the years, disruptions have largely been caused by the Covid-19 that resulted in the closure of borders. This has been exacerbated by the Russian Invasion of Ukraine that started in February 2022. More challenges exist ahead with the current civil war in Sudan. These challenges expose retail and merchandise operations to several challenges, namely;
Stock outs
Delayed supplies
Inflation
Fuel prices continue to shoot up.
Required;
Question One
According to the case study, what do we consider to be…
arrow_forward
RISK MANAGEMENT IN PURCHASING/PROCUREMENT
CASE STUDY
A survey by Capgemini Research Institute found two-thirds (66%) of retail and consumer product organizations were changing their supply chain strategy following disruptions and shifts toward online shopping. Covid-19 was seen to be “a wake-up call” with over eight in 10 retail and consumer product organizations facing disruptions, and only 25% of retailers believing they had the agility needed to support “evolving business needs”. Over the years, disruptions have largely been caused by the Covid-19 that resulted in the closure of borders. This has been exacerbated by the Russian Invasion of Ukraine that started in February 2022. More challenges exist ahead with the current civil war in Sudan. These challenges expose retail and merchandise operations to several challenges, namely;
Stock outs
Delayed supplies
Inflation
Fuel prices continue to shoot up.
Required;
Question Three…
arrow_forward
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