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  • 1. Principle: Be True to Thy Brand Hannah Latimer , Lauren Rubis, Tricia Fallo, and Zoe Christopher, Emily Schleider
  • 2. Chapter 4 How marketing communication works
  • 3. 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
  • 4. How Does Marketing Communication Work? • The Mass Communication Approach: • Mass Communication is a process • One-way communication (S) ---->Noise----> (M) (C) (M) (R) Source/Sender→Coded Message-->Channel-->Decoded Message->Receiver (The Advertiser) Audience) (The Agency) (Media) (Interpretation) ←--- (Target Feedback←--
  • 5. How Does Marketing Communication Work?  Advertising as mass communication Noise: External (S) (Receiver) Advertiser→ Encoding → (Objectives) (By Agency) (M) (Media Mix) Channels→ Consumer Response Noise: Internal <-- ----Feedback←------
  • 6. 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
  • 7. Making an Ad Effective ● Traditional Approaches ○ AIDA: attention, interest, desire, and action ○ Think/Feel/Do ○ Domains
  • 8. 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
  • 9. 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
  • 10. 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
  • 11. Making an Ad Effective ● Association: the technique of communicating through symbolism ○ Symbolic meaning ○ Conditioned learning ○ Transformation
  • 12. 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
  • 13. Making an Ad effective ● Behavioral Response: An action of some kind (direct or indirect) ○ Mental Rehearsal ○ Trial ○ Buying ○ Contacting ○ Advocating + Referrals ○ Prevention
  • 14. 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)
  • 15. Chapter 5 This chapter challenges you to think about what brands do to accomplish their business objectives and in what ways they reach out to their audiences
  • 16.  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 market o Purchasers or Customers o Users o Influences
  • 17. Influences on Consumer Decision Making  Culture/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
  • 18. Influences on Consumer Decision Making  Psychological Influence  This looks at things such as,  Their state of mind  Needs and wants  Attitudes  Thoughts  Thinking patterns  Motivations
  • 19. 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.
  • 20. Demographics Includes  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
  • 21.  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
  • 22. I Am Expressive I Am At Capacity I Am Down to Earth I Measure Twice I Am Driven I Am Rock Steady I Am Sophisticated I Am Devoted
  • 23. Sociodemographics  Seniors  Dinkies  Guppies  Skippies  Slackers  bling bling  ruppies
  • 24.  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%”
  • 25.  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
  • 26. Consumer Decision Making  Process: 1. Need recognition 2. Information search 3. Evaluation of alternatives 4. Purchase decision 5. Post- purchase evaluation  low involvement decisions vs. high involvement
  • 27.  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 time/involves contracts  quality = very important long
  • 28.  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
  • 29. Chapter 6 Strategic Research
  • 30. 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
  • 31.  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.
  • 32. Quantitative Research  Assigned 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
  • 33. Qualitative Research  Moves 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
  • 34. 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
  • 35. Experimental Research  Designed using formal hypothesistesting 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
  • 36. The Uses of Research  Agencies 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
  • 37. The use of research in marketing communication planning Market information Brand Information Consumer insight research Message development research Media research Advertising or IMC Plan Evaluation Research
  • 38. 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
  • 39. Consumer Insight Research  Goal 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?
  • 40. Media Research  Begins 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
  • 41. 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
  • 42. 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
  • 43. 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
  • 44. 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.
  • 45. 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.
  • 46. Interactive Communication  Defined 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
  • 47. 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.
  • 48. 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)
  • 49. 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
  • 50. 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
  • 51. 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
  • 52. 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
  • 53. 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
  • 54. 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?)
  • 55. The Behavior Facet: Act/Do  The 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.

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