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Presentation to AdSchool peeps in Melbourne - How the decision sciences are basically backing up what we've always thought is right, but couldn't prove in the boardroom.

Presentation to AdSchool peeps in Melbourne - How the decision sciences are basically backing up what we've always thought is right, but couldn't prove in the boardroom.

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    AdSchool Presentation AdSchool Presentation Presentation Transcript

    • TBWA WHY SCIENCE IS TAKING US OF ADVERTISING “DUH” SCIENCE HARNESSING THE POWER OF SCIENCE TO PROVE STUFF WE KIND OF KNEW ALREADY Tuesday, 15 April 14
    • TBWA AGENDASTANDING ON THE SHOULDERS OF GIANTS Tuesday, 15 April 14
    • TBWA COMPANIES USED TO TRUST US AS GUARDIANS OF THEIR BRANDS Tuesday, 15 April 14
    • TBWA WE ARE WIRED FOR SELF-DECEPTION There’s always a difference between owner-run businesses, where the decision maker is allowed to be subjective... ...and shareholder owned businesses, where the decision maker has to justify their decisions The types of businesses who are able to take leaps of irrationality achieve amazing success MEET EARNST DICHTER THE FATHER OF MOTIVATIONAL RESEARCH You don’t need to make your cars faster... ...if you make the spring under the accelerator stronger, it will feel faster Tuesday, 15 April 14
    • TBWA TODAY, THINGS HAVE CHANGED Most CEOs believe we live in “marketing la-la- land” Tuesday, 15 April 14
    • TBWA BUSINESS IS ALL ABOUT THE SPREADSHEET If something comes out of a spreadsheet, it’s an easy decision to defend No one ever loses their job for behaving “rationally” Tuesday, 15 April 14
    • TBWA THE RISE OF SPREADSHEET THINKING Business prioritises objective, rational, economic value over psychological, intangible value ”Eurostar spent £6bn to make the journey time slightly shorter. For a tiny fraction of that, they could have installed free wifi and massively improved peoples’experience” - Rory Sutherland, Vice Chairman, Ogilvy Tuesday, 15 April 14
    • TBWA ART VS SCIENCE There’s the rational, logical stuff of business... ...and then there’s the fluffy, creative, intuitive stuff of advertising Tuesday, 15 April 14
    • We know there’s more to persuasion than information and logic... Tuesday, 15 April 14
    • TBWA HUMAN DECISION-MAKING IS FAR FROM RATIONAL Branded paracetamol reduces pain more effectively... ...than non-branded paracetamol Tuesday, 15 April 14
    • TBWA OUR EXPERIENCE OF PRODUCTS IS FAR FROM RATIONAL This tastes like chocolate So does this [even when it’s vanilla with food dye] Tuesday, 15 April 14
    • ...but we’ve never been able to codify this stuff We’re playing a game without really knowing the rules Tuesday, 15 April 14
    • Enter neuroscience The communications industry is flooded with experts, each spruking their own take on “neuromarketing”... ...and clients love it Tuesday, 15 April 14
    • But, beware “neuro-bunk” Even the scientists don’t really know what’s going on yet The amygdala - a part of the brain that controls anger - is also responsible for lust and attraction The brain is too complex to find a silver bullet for marketing Source: Beware Neuro-Bunk, Molly Crocket, TED, 2012 Tuesday, 15 April 14
    • TBWA Tuesday, 15 April 14
    • So far, science isn’t telling us much that Bernbach didn’t know in the 50’s It’s actually backing up what we’ve always intuitively believed is right... Tuesday, 15 April 14
    • TBWA WHY SCIENCE IS TAKING US OF ADVERTISING “They [scientists] have to prove the obvious — and prove it again and again — to influence perceptions and policy.” - Unknown member of the scientific community Tuesday, 15 April 14
    • TBWA WHY SCIENCE IS TAKING US OF ADVERTISING “They [scientists] have to prove the obvious — and prove it again and again — to influence perceptions and policy.” - Unknown member of the scientific community This is what we need to do as marketers - influence the perceptions and policy of the bean counters! Tuesday, 15 April 14
    • TBWA THERE’S A LOT GOING ON IN OUR MINDS THAT WE’RE NOT AWARE OF Freud popularised the psychological distinction between the conscious and the unconscious minds nearly a century ago... Tuesday, 15 April 14
    • TBWA MOST OF THE BUSINESS OF LIFE HAPPENS QUITE UNCONSCIOUSLY Conscious mind [5%] Unconscious mind [95%] Drives almost all behaviour Tuesday, 15 April 14
    • TBWA WE LIVE IN A DELUSION We think the conscious mind is everything because it’s the voice in our heads Tuesday, 15 April 14
    • TBWA WE CREATE BELIEVABLE STORIES TO RATIONALISE WHY WE DO WHAT WE DO Tuesday, 15 April 14
    • TBWA RESEARCH ASKS PEOPLE TO REVEAL INSIGHTS THEY THEMSELVES DON’T KNOW Tuesday, 15 April 14
    • TBWA THIS IS WHERE THE OPPORTUNITY LIES FOR MARKETERS “In each of us there is another whom we don’t know” - Carl Jung Tuesday, 15 April 14
    • TBWA OUR MODERN SKULLS HOUSE STONE-AGE MINDS 3. Neocortex [the rational mind] The voice in our head that weighs up options, does calculations, imagines outcomes... 1. Reptilian brain [the physical brain] Drives our strongest, most basic instincts and primal urges 2. Limbic system [the emotional brain] Controls our emotions and memories The brain is an inelegant series of adhoc solutions heaped like ice cream scoops over millions of years of evolutionary design Our primitive brain and its workings hasn’t disappeared. It continues to act as the home of our unaware, emotional and intuitive thought processes The rational, thinking mind depends on the primitive, unconscious, emotional mind underneath Tuesday, 15 April 14
    • 2. Limbic system [the emotional brain] Controls our emotions and memories Limbic system assigns value to things by attaching emotional tags - this is how it encodes and recalls the value of things Hippocampus Encodes the details and facts of an experience, converting information into long term memory Amygdala Tags that event with a specific emotion. It imbues experiences with emotions, associating a feeling to a thing or event Tuesday, 15 April 14
    • Our brain values feelings more than logicHippocampus The hippocampus recognises the product as coke from its shape, colour, font and classic logo... Amygdala ...but it’s the amygdala that tells you “I like Coke” based on a lifetime of memories and emotions associated with Coke Tuesday, 15 April 14
    • TBWA DAMASIO’S DISCOVERY Damasio recalls a patient that damaged the part of his brain responsible for emotions...and became stuck in this endless loop of indecision about everything [even something as simple as which restaurant to go to] “A brain that can’t feel can’t make up its mind” Tuesday, 15 April 14
    • TBWA WHY SCIENCE IS TAKING US OF ADVERTISINGDUH Emotions drive our decision-making We make decisions primarily on emotions and then post- rationalise our decisions Injecting emotion into brands makes them more memorable and meaningful Tuesday, 15 April 14
    • TBWA DANIEL KAHNEMAN THERE ARE TWO MODES OF THOUGHT IN THE BRAIN Tuesday, 15 April 14
    • TBWA DANIEL KAHNEMAN THERE ARE TWO MODES OF THOUGHT IN THE BRAIN Fast, instinctive, emotional, unconscious thinking SYSTEM 1 Tuesday, 15 April 14
    • TBWA DANIEL KAHNEMAN THERE ARE TWO MODES OF THOUGHT IN THE BRAIN SYSTEM 1 Slower, more deliberate, reflective, logical thinking SYSTEM 2 Tuesday, 15 April 14
    • TBWA DANIEL KAHNEMAN THERE ARE TWO MODES OF THOUGHT IN THE BRAIN The emotional part of your brain has a LOT more bandwidth - always perceiving, interpreting, learning unconsciously... ...doesn’t provide a clear and objective view of the world, but rather works to edit, filter and interpret it SYSTEM 1 10,999,9960 BIT SYSTEM 2 Tuesday, 15 April 14
    • TBWA DANIEL KAHNEMAN THERE ARE TWO MODES OF THOUGHT IN THE BRAIN SYSTEM 1 10,999,9960 BIT The logical part has less bandwidth and takes more energy to use - we avoid using it where possible SYSTEM 2 40 BIT Tuesday, 15 April 14
    • TBWA DANIEL KAHNEMAN THERE ARE TWO MODES OF THOUGHT IN THE BRAIN SYSTEM 1 10,999,9960 BIT SYSTEM 2 40 BIT Filter, feel and act first with the emotional, intuitive System 1... ...cross-check / post-rationalise decisions afterwards with System 2 [if at all] Tuesday, 15 April 14
    • TBWA SO BASICALLY... Tuesday, 15 April 14
    • TBWA OUR BIGGEST CHALLENGE: OVERCOMING HOMER’S INDIFFERENCE It’s System 1 that shapes and interprets the way we perceive the world If we want to reach people, it’s our older, more primal, more emotional nature we need to connect with Tuesday, 15 April 14
    • TBWA EVOKE AN EMOTIONAL RESPONSE “Just move me dude” - Dan Weiden Tuesday, 15 April 14
    • TBWA UNEARTH AND TAP INTO GENUINE TRUTHS AND TENSIONS Cultural truth: beauty today is manufactured. Dove believes in real beauty. Cultural truth: facebook has given us acquaintances not real friends Tuesday, 15 April 14
    • “STOP INTERRUPTING WHAT PEOPLE ARE INTERESTED IN AND BE WHAT PEOPLE ARE INTERESTED IN” - LEE CLOW BE PART OF WHAT INTERESTS PEOPLE Tuesday, 15 April 14
    • TBWA WRITING ADS FOR SYSTEM 1 Samsung: Product, tech, features, specs, specs and more specs Apple: A story about peoples’ passion for learning Tuesday, 15 April 14
    • TBWA HOW PEOPLE CONSUME ADVERTISING Tuesday, 15 April 14
    • TBWA HOW PEOPLE CONSUME ADVERTISING PROBABLY MORE LIKE THIS Half-closed eyes Half paying attention Less-than-half-caring System 1, not System 2 Sub-conscious, not conscious Tuesday, 15 April 14
    • TBWA WRITING ADS FOR SYSTEM 1 IMPLICIT COMMUNICATION Most advertising works on an implicit, subconscious level Ads create networks of associations in the brain through visuals, sounds, symbols, music, gestures, context and a host of other things [Designed for System 2] [Designed for System 1] Associations Associations Tuesday, 15 April 14
    • TBWA WRITING ADS FOR SYSTEM 1 SONY BRAVIA Associations Spectacular Vivid colours Mesmerising Implicit out-take Simply the best Worth paying more for Desire Tuesday, 15 April 14
    • TBWA WRITING ADS FOR SYSTEM 1 SONY BRAVIA Associations Spectacular Vivid colours Mesmerising Implicit out-take Simply the best Worth paying more for Desire Tuesday, 15 April 14
    • TBWA LIKE HOMER, WE FAVOUR THE PATH OF LEAST RESISTANCE Cognitively and behaviourally! Tuesday, 15 April 14
    • TBWA HEURISTICS UNCONSCIOUS RULES OF THUMB There’s always a difference between owner-run businesses, where the decision maker is allowed to be subjective... ...and shareholder owned businesses, where the decision maker has to justify their decisions The types of businesses who are able to take leaps of irrationality achieve amazing success A simple rule of thumb or algorithm that’s used to perform complex operations Fast, efficient and undemanding Sometimes better than rationality Contextual - determined by environment situation Often operate beneath conscious awareness Social and contagious Have a disproportionate effect on everything Perception Value and costs Decision making Behaviour ^ To nail a high 5, watch the other guy’s elbow Tuesday, 15 April 14
    • TBWA SYSTEM 1 HEURISTICS AND COGNITIVE BIASES Tuesday, 15 April 14
    • TBWA FRAMING WE’RE INFLUENCED BY HOW THINGS ARE PRESENTED Objective: Increase consumption by dispelling pork’s fatty reputation Solution: Reframe it by tapping into a common heuristic - white meat is lean meat Source: Unconscious Branding Tuesday, 15 April 14
    • TBWA PROCESS ENDOWMENT Framing a task as one that’s already started makes people more likely to complete it Carwash customers who received pre-stamped cards were twice as likely to buy the additional eight Source: Decoded - The Science of Why We Buy Tuesday, 15 April 14
    • TBWA CERTAINTY The single best thing the London Underground did in terms of boosting satisfaction was putting dot matrix displays on the platforms Psychologically, what makes a wait annoying isn’t the duration but the degree of uncertainty Framing Certainty Immediacy Loss aversion Social norms Tangibility Source: Perception is Everything, Rory Sutherland TED Tuesday, 15 April 14
    • TBWA IMMEDIACY What if you could impulse save “in-the-moment” like you spend? Tuesday, 15 April 14
    • TBWA LOSS AVERSION US energy company Opower ran two versions of a campaign: save $200 vs lose $200... ...framing the value as a loss was much more motivating [and successful] than framing it as a gain Source: Decoded - The Science of Why We Buy Tuesday, 15 April 14
    • TBWA SOCIAL NORMS WHEN IN DOUBT, COPY OTHER PEOPLE Tuesday, 15 April 14
    • TBWA SOCIAL NORMS WHEN IN DOUBT, COPY OTHER PEOPLE “Help save the environment, please recycle your towel” - 35% response Source: Decoded - The Science of Why We Buy Tuesday, 15 April 14
    • TBWA SOCIAL NORMS WHEN IN DOUBT, COPY OTHER PEOPLE “Help save the environment, please recycle your towel” - 35% response “Most people recycle their towel” - 50% response Source: Decoded - The Science of Why We Buy Tuesday, 15 April 14
    • TBWA SOCIAL NORMS WHEN IN DOUBT, COPY OTHER PEOPLE “Help save the environment, please recycle your towel” - 35% response “Most people recycle their towel” - 50% response “Most people who stay in this hotel recycle their towel” - 75% response Source: Decoded - The Science of Why We Buy Tuesday, 15 April 14
    • TBWA SOCIAL NORMS WHEN IN DOUBT, COPY OTHER PEOPLE Why are people speeding? Young guys Why are young guys speeding on our roads? Because it’s socially acceptable How do we make speeding socially unacceptable for young guys? Insult the masculinity of young guys who speed Tuesday, 15 April 14
    • TBWA WHY SCIENCE IS TAKING US OF ADVERTISINGDUH Talk to the heart, not just the head Base your thinking in powerful truths and tensions Be part of what interests people Recognise the power of implicit communication Shift your focus from the explicit message to the out-take of the advertisement as a whole Tap into the mental shortcuts [heuristics] that people unconsciously use in life Tuesday, 15 April 14
    • TBWA WHY SCIENCE IS TAKING US OF ADVERTISINGOF COURSE, WE ALREADY KNEW THIS...BUT NOW WE’RE CLOSER TO PROVING IT https://www.youtube.com/watch?v=ZZCUkFDfe2Q Tuesday, 15 April 14
    • TBWA WHY SCIENCE IS TAKING US OF ADVERTISINGOF COURSE, WE ALREADY KNEW THIS...BUT NOW WE’RE CLOSER TO PROVING IT https://www.youtube.com/watch?v=ZZCUkFDfe2Q Tuesday, 15 April 14