To maximize strategies and improve targeted market success, businesses and marketing experts must first understand its Brand Development Index (BDI) and Category Development Index (CDI). BDI gauges a brand’s relative success in a certain market against its whole market strength. Strong brand performance in a given region shown by a high BDI points to successful local marketing and brand recognition. On the other hand, a low BDI points up areas where the brand falls short, indicating areas needing work.
Consider Diet Coke for example. Analyzing BDI and CDI across U.S. states allows Coca-Cola to identify areas where Diet Coke lags and where it is performing well. According to research by food writer Elise DeVoe, “the states with the lowest per capita consumption of Diet Coke are Vermont, Maine, New Hampshire, Rhode Island, and Massachusetts, with consumption rates ranging from 3.8 to 4.6 gallons per capita.” Understanding this information allows Coca-Cola to look into why Diet Coke is less commonly consumed in these areas and modify its marketing plans to better appeal to North Eastern consumers. Whether that means adjusting their marketing strategy to a more aggressive campaign and flooding the market or doing consumer research and understanding a new advertising approach that appeals more to the audience, they now have the opportunity to fill in gaps in sale.
Coca-Cola can maximize resources, customize marketing plans to fit local tastes, and finally provide superior commercial results by using BDI and CDI. Knowing these indicators helps businesses to maximize return on investment, prioritize initiatives, guarantee a more focused and effective method of market growth, and so control efforts.