Brand Planning : 15 Profiting from the 80 20 Rule of Thumb

The purpose of this paper is to show that the '80-20 Rule of Thumb' is neither '80-20' nor a 'Rule of Thumb' but a regular feature of buying that is determined by the purchase frequency distribution. As a result, what is true of brand profitability at the household level is not true of profitability for the brand as a whole, In fact, to grow a brand's profits requires allocating marketing support to attract less profitable as well as more profitable
households.

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