Penetration imperative
penetration · market penetration
The penetration imperative is the strategic consequence of the empirical marketing laws: brands grow almost always by recruiting more buyers, not by making existing buyers purchase more often or more loyally. Penetration, the share of households or firms buying the brand at least once, explains most of the difference between large and small brands. In practice this means targeting the whole category buyer, including light and occasional buyers, and being reachable for people who barely know the brand. Retention is not unimportant, but the arithmetic of the laws shows acquisition is the engine while loyalty largely moves along with it.
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- Byron Sharp (2010)
- Les Binet & Peter Field (2013)
Machine-written definition; editorial curation in progress.