Media Plan – Exercise 7 – Category and Brand Development Indexes (CDI & BDI) – Flashcards

Unlock all answers in this set

Unlock answers
question
Markets accounts for varying levels of sales that often are not in direct proportion to the population that market represents.
answer
The CDI and BDI identify specific markets that account for heavy usage of a product/brand, and if the advertiser intends to target the campaign toward the heavy user, these index numbers help identify those markets for the advertiser.
question
BDI and CDI can be calculated for any given geographic area, although you will probably see media markets most frequently.
answer
By convention, both CDI and BDI are rounded to whole numbers.
question
Indexes above 100, indicates above average sales for the category
answer
CDI and BDI are only one set of criteria that are used in marketing decisions about which markets deserve additional advertising weight
question
Scenario 1: High CDI and High BDI
answer
Represents a market where both the category and the brand are doing very well and, therefore, is a promising market. Often these markets are singled out for added media emphasis.
question
Scenario 2: High CDI and Low BDI
answer
A market where the brand is doing poorly compared to the category. This market might be seen as one where there is room for the brand to grow. However, some research must be done to find out the reasons for the poor showing of the brand and subsequently, marketing or advertising must address the problem.
question
Scenario 3: Low CDI and High BDI
answer
A market where even though the brand is doing well, the product category is showing lower potential. This is a situation where the reasons for the poor showing of the category must be investigated. If the category has been showing continuous decline, then it might not be worth the added investment to advertise the brand even though it might be doing well. However, if the category will remain constant or can be rejuvenated, then advertising for the brand may be worth the investment. The advertising message might need to encourage product category usage rather than brand usage exclusively.
question
Scenario 4: Low CDI and Low BDI
answer
On first glance is a no-win situation. When both the product category and brand are languishing, additional advertising investment must be based on compelling reasons
Get an explanation on any task
Get unstuck with the help of our AI assistant in seconds
New