The formula to calculate the Brand Development Index (BDI) is:
\[ BDI = \frac{MBS}{MP} \times 100 \]
Where:
BDI, short for Brand Development Index, is a measure of the relative strength of a brand in a specific market compared to the percentage of the population in that market. It helps marketers and businesses understand how well a brand is performing in a particular market segment. A BDI greater than 100 indicates that the brand has a higher market share relative to the population in that market, while a BDI less than 100 indicates a lower market share.
Let's consider an example:
Using the formula to calculate the Brand Development Index (BDI):
\[ BDI = \frac{40}{35} \times 100 = 114.29 \]
This means that the brand has a BDI of 114.29, indicating that the brand is performing above average in that market segment compared to the population.