Design a Marketing Experiment Sample

• Introduction
In this report, I want to design a marketing experiment for Sabana Fried Chicken
that really famous in Java Island, Indonesia. The campaign highlight is to sell a
rich taste of fried chicken with affordable prices. With the growing of fast food
order in Indonesia, especially during the Covid-19 pandemic, the owner want to
expand their business of franchise for family business and without prejudice to
Government's health protocols. And for the experiment will be a before-after
design experiment, not going for full factorial, because it will be difficult to
quantity impact if several parameters are simultaneously changed.
• Experiment Design
In this experiment, the independent variable is increased advertising in the form of
online advertising campaign via Go Food or Grab-food. The dependent variable
observed here is sales.
The experiment will be run in Malang City, East Java and the control market
observed will be Surabaya City, East Java. The test control market is taken in areas
that are mostly inhabited by students or young people who really like fast food,
especially fried chicken. Since those two cities are similar in population of students
or young people, the sample size would be statistically significant.
Since it is a before-after design experiment, sales will be recorded for both control
and test market for a four months from March-June, during the first "study from
home" period (for the before stage). The experiment will be run for the next four
months from July to October, the continuation of "study from home" period (for
the after stage). The change in sales during the experiment will be then used to
calculate the lift in sales.
The experiment adheres to three rules of causality, first: the change in the
marketing mix produces change in intention to buy the product, second: no
increase in marketing mix, third: time sequence. For the first action is to
manipulation in price and then inquiry of intention. However, it can not be
ascertain that external factors will not influence customers to buy their product.
• Anticipated Issues
Fried chicken is a common fast food and is consumed any time, especially for
students or young people. A rich taste of fried chicken with affordable prices is
very much in demand. That's way Sabana Fried Chicken is looking for a gap by
selling fried chicken at a fairly affordable prices and served their product from the
best quality ingredients, especially their flavor.
Not only because fried chicken is easy to find anywhere, but also because fried
chicken is everyone's favorite food, Sabana Fried Chicken has chosen to focus
running a franchise business that is more flexible in terms of revenue sharing. And
because their business is facing the Covid-19 pandemic, they are looking for
suitable advertising (online advertising) to keep selling and hope not to lose
customers. So then, both the before and during experiment results are collected
during the "study from home" period from March to October.
If the field implementation is executed anywhere between November to February,
after the Covid-19 pandemic is over, might see the dampening in the impact due to
the survival seasonality involved. Any other external factor during implementation
such as a new competitor entering the market or decrease in prices from
competitors could adversely affect the field results, especially during the Covid-19
pandemic.
The above mentioned issues might have an adverse impact on the sales, however
the experiment will still demonstrate the impact of online advertising on sales via
Go Food or Grab-food. The seasonality and external factors notwithstanding, the
experiment will provide a fair guideline on whether to go ahead with nationwide
marketing campaign. The lift in sales would also provide a concreate idea on the
appropriate amount of spending on the campaign.
• Experiment Adaptation
Another version of the experiment can be through a web experimentation.
Because Sabana Fried Chicken is well known by people on the Java Island and has
collaborated with online delivery services, creating a web to better introduce their
products is a very powerful way and can be run simultaneously with a franchise
business.
In this case Sabana Fried Chicken can invited people through any island in
Indonesia and thus analyze the results for different markets. They could test any
different menu that provide fried chicken with many flavor. On top of that, the
target of the brand and consequently of this experiment consist of people that have
access and using the internet for daily basis.
Pros and cons need to be taken into account when deciding which experiment to
choose from. One thing is certain, in this report I recommended this experiment
adaptation would offer the optimal combination for their market.
• Sources
http://sabana.co.id/