Principle: Be True to Thy Brand

Hannah Latimer , Lauren Rubis, Tricia Fallo, and Zoe Christopher, Emily Schleider

Chapter 4How marketing communication

works

How Does Marketing Communication Work?• Effective Advertising:• A message to a consumer about a brand

• Gets attention and provides information and entertainment

• Purposeful: creates a response

How Does Marketing Communication Work?

• The Mass Communication Approach: • Mass Communication is a process • One-way communication

---->Noise---->(S) (M) (C)

(M) (R)Source/Sender→Coded Message-->Channel-->Decoded Message--

>Receiver(The Advertiser) (The Agency) (Media)

(Interpretation) (Target Audience)

←--- Feedback←--

How Does Marketing Communication Work?Advertising as mass communication

Noise: External

(S) (M) (Media Mix) (Receiver)Advertiser→ Encoding → Channels→ Consumer Response(Objectives) (By Agency)

Noise: Internal

<-- ----Feedback←------

How Does Marketing Communication Work?● Interactive Communication

○ Two-way communication■ Integrated Marketing Communication■ Helps create long term relationships

○ Feedback: customers responses through dialogue.

○ The internet has affected the way companies receive feedback. ■ Hashtags

Making an Ad Effective

● Traditional Approaches○ AIDA: attention, interest, desire, and action○ Think/Feel/Do○ Domains

Making an Ad Effective● Perception: the process by which we receive

information through our five senses and assign meaning to it. ○ Exposure○ Selection + Attention○ Interest○ Relevance○ Curiosity○ Awareness○ Recognition

Making an Ad Effective● Affective responses mirror our feelings about

something○ something that stimulates wants, touches the

emotions, establishes a mood, creates liking, and elicits feelings.

○ Both positive and negative■ Wants + Desires■ Excitement■ Feelings■ Liking■ Resonance

Making an Ad Effective● Cognition: how consumers search for and

respond to information, as well as how they learn and understand something.○ Need○ Cognitive learning○ Comprehension ○ Differentiation ○ Recall

Making an Ad Effective● Association: the technique of communicating

through symbolism○ Symbolic meaning○ Conditioned learning○ Transformation

Making an Ad Effective● Persuasion: the conscious intent on the part of

the source to influence or motivate the receiver of a message to believe or do something○ Motivation○ Influence○ Involvement ○ Engagement○ Conviction○ Preference + Intention○ Loyalty○ Credibility

Making an Ad effective● Behavioral Response: An action of some kind

(direct or indirect)○ Mental Rehearsal○ Trial○ Buying○ Contacting○ Advocating + Referrals○ Prevention

Quantitative Research• Quantitative Research: delivers

numerical data regarding the market• Provides information on reactions to

advertising and motivation to purchase (purchase intent)

• Characteristics of quantitative research:

1. Large sample sizes (100-1000 people)

2. Random sampling (surveys and sales studies)

Chapter 5This chapter challenges you to think about

what brands do to accomplish their business objectives and in what ways they reach out to

their audiences

Consumer Behavior- How individuals or groups select, purchase, use of dispose of products as well as the needs and wants that motivate these behaviors

How to segment consumers and a target marketo Purchasers or Customerso Userso Influences

Influences on Consumer Decision MakingCulture/Social Influences:• Every culture has certain norms and cultural values

Advertisers must understand the cultural values of their audience

Social class- the position you occupy within your society

Influences on Consumer Decision MakingPsychological Influence

This looks at things such as, Their state of mind Needs and wants Attitudes Thoughts Thinking patterns Motivations

Segmenting Consumer Groups

Types of Segmentation Demographic Segmentation- divides the market using characteristics such as,

gender, age ethnicity and income Life Change Segmentation- based on the particular stage in the consumer’s

life cycle. This includes categories such as children, college students, single mothers with children and senior citizens living alone

Geographic Segmentation- Uses location as a defining variable because consumers needs vary depending on where they live. For instance, someone who lives in a colder climate will need to purchase more sweaters and jackets than someone living in a warmer climate

Psychographic Segmentation- Is based on how people spend their money, their patterns of work and leisure activities, their lifestyles and attitudes

Behavioral Segmentation- Divides people into groups based on product category and brand usage

Values and Benefits-Based Segmentation-Reflects consumer’s value system, for instance how spiritual they are, as well as their needs or problems. The idea is that people buy different products for different benefits.

DemographicsIncludes

Age: Baby Boomers, Generation X, Generation Y Gender: Men and Women buy different things Education, Occupation, Income Income: Discretionary Income Race:

Hispanics- 15% African Americans- 13%Asians-5%

Religion: Certain religions forbid certain things

Psychographics more effective than demographics

Attitude advertising can establish, change, reinforce,

replace difficult to change attitude

Lifestyles surveys introduce consumer to producer patterns correspond with a set of products MindBase/Monitor database categories

I Am Expressive

I Am Down to Earth

I Am Driven

I Am Sophisticated

I Am At Capacity

I Measure Twice

I Am Rock Steady

I Am Devoted

Sociodemographics

Seniors

Dinkies

Guppies

Skippies

Slackers

bling bling

ruppies

Behavior factor to describe consumer/product category

relationship impulse buying vs. thoughtful search

Brand usage & experience measured by quantity (light, medium, heavy) “20% buy 80%”

Innovation & adoption how willing consumers are to try new things adoption process innovators = 25% of population risks early adopters…

are involved in unusual activities and level of activity will greatly affect others

weak social contacts high media users

no set adoption patterns

Trends and Fads

Consumer Decision MakingProcess:

1. Need recognition

2. Information search

3. Evaluation of alternatives

4. Purchase decision

5. Post- purchase evaluation

low involvement decisions vs. high involvement

Brand decision varies with type of product and buying situation

Influences on B2B decisions buying for rational, informational, or

quantitative reasons many people involved in the process based on specifications to potential suppliers may take a while, but usually in place for a

long time/involves contracts quality = very important

Targeting using specific communication strategies to match

the audiences needs and wants

Profiling description of target audience to sound like

someone you know using demographics and psychographics start with most important/broad characteristic,

and narrow it down behavioral profiling (Internet use) microprofiling (usually politics) ethical issues

Chapter 6Strategic Research

How to find consumer insights

know + listen = understand

“What do we need to know in order to make an informed decision?”

types of research: Market research Consumer research Advertising research Strategic research

Secondary Research Government organizations Trade associations Secondary research suppliers Internet

BrandEra.com Forrester.com Cluetrain.com

Primary Research Large scale surveys Simmons Market Research Bureau Mediamark Research, Inc.

Quantitative ResearchAssigned to accurately count something or predict

Must follow scientific procedures for accuracy

Problems associated with quantitative research (affects data): Void between consumers and survey questions Some people may not be able to formulate their opinions to

choose an answer Consumers respond based on how they think they should respond

Qualitative ResearchMoves beyond the limitations of

consumer responses to preplanned questions.

Provides insight into how consumers behave and why

Methods include: Observation, ethnographic studies, in-depth interviews, and case studies Focus on in-depth insight as opposed to

large sample sizes and scientific predictions Important for probing and gaining an

understanding of consumers

Qualitative Research “Research is more than numbers”

Used in the early stages of developing a brand communication plan

Problems with Qualitative research: Research can not be applied to the larger population (gathered by

small groups)

Answers the question “why” and generates hypotheses to be tested by future quantitative methods

Experimental Research

Designed using formal hypothesis-testing techniques comparing different message treatments and human reaction Aim to control all factors except those

being tested If there is a change in the results, it

can be concluded that the those tested were the cause of this change

Uses of experimental research: Test marketing factors and

advertising appeal

The Uses of ResearchAgencies use research to make strategic decisions

Rarely conduct this research (done by separate research companies)

The need for research-based information in advertising has increased Consumers are more demanding Fragmented markets

The use of research in marketing communication planning

Market information

Brand Information

Consumer insight research

Media research

Message development

research

Advertising or IMC Plan

Evaluation Research

Market Information

Marketing research: “formal research used by the marketing department for strategic planning”

Market research: “research used to gather information about a particular market” Includes everything a planner

can uncover about the consumer’s view of the brand

Consumer Insight ResearchGoal is to “puzzle out a key consumer insight

that will help move the target audience to respond to the message”

Gain further insight on consumer Why buy a product? Why not buy a product?

Media ResearchBegins with consumer research and questions

about media behavior

Goal is to activate consumer interest by reaching them through a medium that engages their interest

Gathers information about possible media tools that could be used to deliver a message

Evaluation Research

First level of evaluation is concept testing

All advertisements can be evaluated for their effectiveness before and after the campaign If used during the campaign,

it is to strengthen it

Common Research Methods

Quantitative Methods Survey research Door-to-door interviews Phone interviews Mail surveys Internet surveys

Qualitative methods In-depth interviews Focus groups Suggestions and comments Panels Observation research Ethnographic research diaries

Choosing a Research Method

Basic research criteria Validity: research actually measures what it says it measures Reliability: can run the same test again and get the same answer

Quantitative methods are useful for gathering data

Qualitative methods are better for uncovering reasons and motives

What is Advertising/Marketing Communication?

A form of communication, messages that are designed to have some type of impact.

Effective advertising is a message to a consumer about a brand.

It gets attention and provides information.

Mass Communication SMCR Model

Source: a sender who encodes a message, puts it into words and pictures

The message is presented through channels of communication (newspaper, radio, TV) and is interpreted by a receiver

Feedback is obtained by monitoring the response of the receiver.

Important because how the consumer responds to the message determines the effectiveness of the advertising.

Noise are things that interrupt the sending and receiving of the message such as a bad connection or words with unclear meanings.

Interactive CommunicationDefined as two way communication.

The source and receiver continuously change position as the message bounces back and forth. (Ping Pong)

The Internet changed communication (texting, Twitter, Facebook, hashtags, etc.)

Easier to receive feedback now

Traditional Approaches to Effective Advertising

AIDA- attention, interest, desire, action

Think/Feel/Do- motives people to think about the message, feel something about the brand, then try it or buy it

Domains- key effects are perception, learning, and persuasion. The idea is that the message can engage consumers’ perceptions, educate them, and persuade them all at the same time.

What Are The Facets of Impact?

Communication Objective, Consumer response, Factors that drive a response

Perception (See/Hear) Emotional Affective (Feel) Cognition (Think/Understand) Association (Connect) Persuasion (Believe) Behavior (Act/Do)

The Perception Facet (See/Hear)

Perception: the process by which we receive information through our five senses and assign meaning to it.

Successful advertisements have to be noticed.

Factors that drive a response: exposure, selection and attention, interest, relevance, curiosity, awareness, recognition

http://www.youtube.com/watch?v=LAIGPl_OeAg

The Emotional or Affective Facet (Feel)

Affective responses mirror our feelings about something.

These ads are meant to stimulate wants, touch emotions, establish a mood, create liking, and elicit feelings (+ or -)

Factors that drive the emotional/affective response: wants and desires, excitement, feelings, liking, resonance.

Axe Body Spray for Men

The Cognition Facet: Think/ Understand

Ads that make you stop and think

Cognition: refers to how consumers search for and respond to information, as well as how they learn and understand something

Factors: need, cognitive learning, comprehension differentiation, recall

The Association Facet: Connect

Association is the technique of communicating through symbolism

Its the process of learning to make symbolic connections between a brand and desirable characteristics, qualities, lifestyles, and situations

3 way process: (1) brand relates to (2) a quality that (3) customers value

The Association Facet: Connect Continued..

Factors that drive the Association Response: symbolism, conditioned learning ,transformation

Brand Linkage: reflects the degree to which the associations presented in the message are connected to the brand

Nike

The Persuasion Facet: Believe

Persuasion: creating or changing attitudes about something (Ex: Got Milk?)

When people are convinced of something their attitudes are expresses as beliefs

Factors: motivation, influence, involvement, engagement, conviction, preference and intention, loyalty, believability and credibility

Opinion Leaders: used to influence peoples attitudes and convince them of the “right” decision (celebrities in Got Milk?)

The Behavior Facet: Act/DoThe goal is to get people to act in various

ways, try or buy the brand, visit a store, call a toll-free-number etc.

Direct Action: represents an immediate response

Indirect Action: a delayed response to advertising

Factors: Mental Rehearsal, trial, buying, contacting, advocating and referrals, prevention.