Cannibalization

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Description of Cannibalization. Explanation.

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Definition Cannibalization. Description.


Cannibalization is a marketing term that refers to the decrease in sales (volume, revenue or market share) of an existing product due to the introduction of a new similar product offered by the same company. Also introducing new sales channels, such as the internet (E-Commerce), can cannibalize the existing channel sales, such as direct sales.


It has become a frequently occurring phenomena, due to the current trend of adding more and more variants of products and services for niche markets or special target groups. It is a major factor to consider in multi-channel strategies and product portfolio analysis.


Cannibalization Forum
  How to Investigate Cannibalization?
How can we analyze cannibalization? I have to compare two travel companies (TUI Travel and Thomas Cook) and analyze the cannibalization. I have to look at the E-commerce part, but what should I look for, so I can say something relevant about it? Just...
     
 

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Compare also: Bricks and Clicks  |  Profit Center  |  E-Business  |  E-Commerce  |  Disintermediation

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