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This study aims to independently test the predictive validity of the Persuasion Principles Index (PPI) for video advertisements for low-involvement products with a measure of in-market sales effectiveness. This study follows the inaugural test conducted by Armstrong et al. (2016) for print advertisements for high-involvement utilitarian products with a measure of advertising recall.

The method was in line with that developed by Armstrong et al. (2016) for rating advertisements and assessing the reliability of ratings. Consensus PPI scores were calculated for a data set of 242 matched pairs of television advertisements. For each pair, the authors determined whether the advertisement that better adhered to the persuasion principles performed better in-market.

Consensus PPI scores predicted the more sales effective television advertisement for 55% (confidence interval (CI) = 49%, 61%) of the 242 pairs. This result is no better than chance and much weaker than the result from the initial validation study, which found that the consensus PPI scores predicted the more recalled print advertisement for 74.5% (CI = 66%, 83%) of 96 pairs.

This study replicated the application of the PPI as per Armstrong’s guidelines and extended validity testing to a different set of advertising conditions. Findings indicate that better adherence to the persuasion principles produces only a weak, positive effect for predicting the performance of television advertisements for low-involvement products. A research agenda that flows from the results is discussed.

The authors suggest that the PPI in its present form is best used to predict advertising performance under conditions as per the inaugural validation test (Armstrong et al., 2016).

Advertisers will require compelling evidence of the PPI’s predictive accuracy to adopt the tool for pre-testing advertising. This study is the first independent test of the predictive validity of the PPI and its generalisability across advertising conditions. Another contribution of this study is the assessment of Armstrong’s advice to remove unreliable ratings. The authors show that this procedure, surprisingly, does not improve the predictive accuracy of the PPI.

The purpose is to review literature on sports season ticket subscriptions to distil current knowledge and guide future research and practice.

A systematic literature review is conducted of research on sports season tickets, a long-established and innovative subscription category.

In-depth examination of 28 papers showed a focus on drivers of satisfaction, churn and renewal causes, and product utilisation rates. Subscription markets typically involve many “solely loyal” consumers, most purchasing one or two subscriptions in a category. From reduced barriers to entry and exit to “curated” subscriptions, subscription marketing is changing very quickly. Sports marketers build relationships with subscribers using behavioural data, tier benefits to distinguish between casual and subscribing customers, and create recall and scarcity around key aspects of subscription to combat churn and increase utilisation.

Scarce research on subscription marketing practices remains the primary limitation. Existing research suggests that strong connections between subscriber and organisation, heavy product utilisation and/or strong barriers to switching drive customer satisfaction and retention.

Rapid expansion of subscription products should reduce “excess loyalty”, meaning that subscription models' main benefit will be limited to reoccurring revenue. Exceptions occur when consumers are heavily connected to the product or have little provider choice, so allocate their category buying exclusively. New subscription products face myriad challenges. Guidance on effective subscription marketing from sports marketing research and practice is outlined.

By combining research on market structure, marketing empirical generalisations and subscription marketing, this paper guides future research and practice.

This article has been withdrawn as it was published elsewhere and accidentally duplicated. The original article can be seen here: 10.1108/EUM0000000001540. When citing the article, please cite: Byron Sharp, (1991), “Marketing Orientation: More than Just Customer Focus”, International Marketing Review, Vol. 8 Iss: 4.

Brand extension, the use of an existing brand name on a new product, is an exceedingly popular marketing tactic as companies attempt to economise on new product launches and managers attempt to improve short run sales results. Review and analysis of current marketing research concludes that popular claims for general benefits of the practice are contradicted both by marketplace evidence and logical argument. Directions of future research to determine whether any specific conditions exist where brand extension might be an appropriate brand management tactic are outlined.

Examines the inherent risks of brand extension alongside empirical evidence of the success rates of brand extensions compared with brand‐name product launches. Concludes that the brand extension is justifiable only when it can be clearly shown to enhance the success of a new product launch and existing brand equity. Puts forward a number of rules for the appropriate use of brand extension.

Many service organisations seek to grow by selling additional different products to their existing customers. Many managers are evaluated on the level of customer loyalty in terms of cross‐product holdings – for example, the average number of bank products or insurance policies held per customer. The purpose of this paper is to provide managers and researchers with some contextual knowledge and norms concerning “cross‐category” loyalty.

In order to compare the levels of loyalty for competing brands, five relevant loyalty metrics were used in the analysis, with data sourced from two service industries, banking and insurance.

The results show little variation in loyalty scores between competing brands, and what variation there is can be explained by historic factors, without reference to CRM strategies. This suggests that investments into CRM and cross‐selling initiatives seem to have less effect on loyalty metrics than many marketing textbooks and CRM advocates have assumed.

Marketers should be very cautious of setting ambitious goals for increasing loyalty to their brand at a cross‐category level.

Very few research papers have explored the issue of cross‐category loyalty. This is despite the value of the specific loyalty metrics as key performance indicators in service industries such as banking and insurance.

Over the last 30 years a range of empirical generalisations has been developed about the performance of competitive brands in frequently purchased product categories. These generalisations have been based mainly on European and US data, and this paper addresses the question of whether they also hold in Australia and New Zealand. We examined consumer panel data from four different markets (supermarkets, department stores and retail fuel in Australia and retail fuel in New Zealand) and found similar patterns to those in Europe and the USA, although there were some minor exceptions, and also some interesting variations between markets. Our results suggest that there is much that Australasian marketers can learn from using models such as the Dirichlet, which was developed in the Northern hemisphere, to identify norms and exceptions in their own markets.

In this article which is based on a marketing analysis of Michael Porter′s definition of competitive strategies, the confusion present in marketing and strategic management texts as to the definitions of the three strategies of low cost, differentiation and focus is noted. The idea that using price to differentiate means a firm is using a low cost strategy is dismissed and the value of a definition of focus strategy as merely some degree of extreme differentiation is questioned. New definitions of the three strategies are proposed which are based upon the idea that firms react to, and take actions which influence, the structure of the market in which they operate. They influence market structure through determining the market′s proximity level ‐the minimum level of marketplace performance which a firm must reach in order to compete across the broad marketplace. If a firm has the ability to reach this level and go further to excel in the provision of one or more benefits, it can implement a differentiation strategy. Alternatively, it can attempt to lift the market′s proximity level or partake in imitative activity, which reduces the potential bases for differentiation in the market, a low cost strategy (only sensible for the firm with the lowest costs of production). If a firm lacks the ability to reach the proximity level, it must seek segments which do not require reaching proximity in order to serve them, a focus strategy.

As the wine industry globally is pushed towards a marketing orientation, what does this mean for companies and their managers and owners? Distinction should be made between market orientation and marketing orientation. Market orientation places the customer at the top of the organisational chart, yet in the wine industry the customer can be very fickle. As such it does not encapsulate the marketing concept of the matching process – it is not a marketing orientation. The true marketing orientation has evolved from a realisation of the inadequacies of production and sales orientation. Marketing orientation should give equal weight to customer demands and to company requirements. It must choose its markets and manage its own productive capabilities in order to achieve its goals in pursuit of a strategic policy. In the wine industry in particular, it is imperative for management that customer and company needs and wants should be correctly balanced.

This paper aims to reflect on the generalisability of the predictive validity test of the Persuasion Principles Index (PPI) conducted by Armstrong et al. (2016).

Different aspects of the test are considered, such as the sample of ads, the dependent variable and the comparability of the methods used to predict effectiveness, in terms of how relevant these are to real-world advertising testing.

The sample of ads and the testing procedure may have contributed to the success of the PPI predictions over the other copy-testing methods. The sample of print ads does not bear a close resemblance to current advertising. The competing copy tests do not represent modern advertising copy testing.

More research is needed to test the validity of the principles and the predictive accuracy of the PPI across a range of conditions (e.g. different ads, media, products and cultures). Testing against advertising sales effectiveness would be the ideal next step.

It certainly seems the index method has the potential to help advertisers make better decisions regarding what executions to support, for high-involvement products at least. Given the accessibility of the software, it should be easy and cost effective for advertisers to trial the PPI.

This commentary directs researchers to the real-world conditions under which advertising pre-tests need to be evaluated.