The importance of marketing metrics to improve marketing efficiency : a case study of the South African franchise restaurant group Maxi's

Jordaan, Johannes Nicolaas (2012-12)

Thesis (MBA)--Stellenbosch University, 2012.


Marketing managers are increasingly being held accountable for measuring value adding related to marketing expenditure. The increasing trend of specialisation in the business environment has resulted in increasing efficiencies in work practices and therefore increased the knowledge associated with each function. It was the purpose of this study to demonstrate the fundamental need for marketing measurement and marketing metrics in the franchise restaurant business. It furthermore demonstrated the importance of the alignment of marketing metrics with marketing strategy. The study highlighted the necessity of aligning marketing metrics with the marketing strategies used by a South African franchise restaurant business. This study addressed the need for measuring marketing initiatives by applying marketing metrics as a method to measure the marketing effectiveness of Maxi’s, a SMME restaurant franchise group in South Africa. This study was based on exploratory research and the basis of collecting the data was by means of interviews, as well as documentary secondary data, therefore the data analysis followed both qualitative analysis and quantitative analysis approaches. The analysis showed that the main marketing activity of Maxi’s was the six weekly promotions on specific products. The promotions normally included a breakfast and a lunch special. Maxi’s made use of various advertising media to market the promotion campaigns, including television campaigns, billboards, print advertising in the form of table talkers and pamphlets and internet advertising. Maxi’s applied a number of marketing metrics to measure effectiveness of their marketing spent. The metrics recommended in this research report supplied them with a better range of metrics, in order to improve the effectiveness of their marketing measurement. This research report is of value to academic researchers and marketing professionals.

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