Pressley, Milton M. (2002) Research in Advertising.

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Pressley, Milton M. (2002) Research in Advertising.

  1. 1. Chapter 15 Research in Advertising <ul><li>PowerPoint by </li></ul><ul><li>Milton M. Pressley </li></ul><ul><li>University of New Orleans Assisted by D. Carter </li></ul>
  2. 2. Chapter Objectives <ul><li>To Understand: </li></ul><ul><ul><li>How advertisers use research </li></ul></ul><ul><ul><li>The role of the account planner </li></ul></ul><ul><ul><li>Anthropology, sociology, and psychology, in relation to advertising </li></ul></ul><ul><ul><li>Values and lifestyle and life-stage research </li></ul></ul><ul><ul><li>Research steps in advertising </li></ul></ul><ul><ul><li>Types of advertising research </li></ul></ul>
  3. 3. <ul><li>Research used most often: </li></ul><ul><ul><li>To help identify consumers </li></ul></ul><ul><ul><li>To help look for new ideas in products or services </li></ul></ul><ul><ul><li>To help improve what is offered in product or services </li></ul></ul><ul><ul><li>To help pinpoint causes of special problems </li></ul></ul><ul><ul><li>To monitor activities </li></ul></ul><ul><ul><li>To help in communications development </li></ul></ul><ul><ul><li>To study promotional tools </li></ul></ul>Research is an Informational Tool
  4. 4. <ul><li>Best to use research to design a product to meet consumers’ tastes </li></ul><ul><li>People shouldn’t always follow the findings of a research study </li></ul><ul><ul><li>Especially true for flawed studies </li></ul></ul>The Right Kind of Research
  5. 5. Research Goals <ul><li>Research is designed to answer questions that are of importance to marketers and advertisers. Types of research include: </li></ul><ul><li>1). Product. </li></ul><ul><li>2). Consumer. </li></ul><ul><li>3). Advertising strategy. </li></ul><ul><li>4). Message research. </li></ul>
  6. 6. <ul><li>Respondents believe research surveys serve a useful purpose and provide opportunities for feedback on products and services </li></ul><ul><li>Shorter interviews are better and incentives possibly help </li></ul><ul><li>Disclosing the length of the survey up front actually hurts </li></ul><ul><li>Refusal rates are higher among African Americans and Hispanics </li></ul>Public Attitude Toward Survey Research
  7. 7. Research is an Informational Tool <ul><li>Research is and should be used to help improve an advertiser’s effectiveness and profitability by staying in touch with the consumer. </li></ul><ul><li>Research is most often used in the following ways: </li></ul><ul><ul><li>To help identify consumers. </li></ul></ul><ul><ul><li>To help look for new ideas in products or services. </li></ul></ul><ul><ul><li>To help improve what is offered in product or services. </li></ul></ul><ul><ul><li>To help pinpoint causes of special problems. </li></ul></ul><ul><ul><li>To monitor activities. </li></ul></ul><ul><ul><li>To help in communications development. </li></ul></ul><ul><ul><li>To study promotional tools. </li></ul></ul>
  8. 8. The Right Kind of Research <ul><li>What kind of research and how much research are always legitimate questions. </li></ul><ul><ul><li>The classic case of the Edsel demonstrated that research was used to make people believe something that wasn’t true. </li></ul></ul><ul><ul><li>Coca-Cola is often cited as a company that used overkill and overreliance on research when they designed the ill-fated New Coke. </li></ul></ul><ul><ul><li>Roper Research concludes that people shouldn’t always follow the findings of a research study, whether it be a consumer products study or a political campaign. </li></ul></ul>
  9. 9. Public Attitude Toward Survey Research <ul><li>Research shows that respondents believe that research surveys serve a useful purpose. </li></ul><ul><ul><li>Surveys often provide an opportunity for feedback on products and services. </li></ul></ul><ul><ul><li>Refusal rates (often as high as 30-40 percent) demonstrate that often respondents do not want to answer surveys. </li></ul></ul><ul><ul><li>Shorter interviews and incentives improve the likelihood of response. </li></ul></ul><ul><li>Telemarketing calls often coincide with and confuse honest research attempts. The number of telemarketing calls is on the increase. </li></ul><ul><ul><li>Respondents in one survey averaged 28 telemarketing calls per year. </li></ul></ul><ul><ul><li>Over half of all respondents in the survey claimed to screen calls on their answering machines to suppress telemarketing efforts. </li></ul></ul><ul><ul><li>Refusal to participate in research requests are highest among African-American and Hispanic consumers. </li></ul></ul>
  10. 10. <ul><li>Advances in computer technology and software now allow researchers to manipulate large amounts of data </li></ul><ul><li>Only a small portion of advertisers is measured this way </li></ul><ul><li>The use of advanced analytics is expanding among research firms, clients, and agencies </li></ul>Advanced Analytics
  11. 11. <ul><li>Task is to determine who buys specific brands . . . and why </li></ul><ul><li>Usually responsible for all research </li></ul>Strategic or Account Planners
  12. 12. Account Planners <ul><li>A British concept of research that has become fundamental for many worldwide agencies. </li></ul><ul><ul><li>This concept required a restructuring of the research department. </li></ul></ul><ul><ul><li>The account planner is often called a strategic or marketing planner. </li></ul></ul><ul><ul><ul><li>Their task was to discern not just who buys specific brands but why. </li></ul></ul></ul><ul><ul><ul><li>The account planners are usually responsible for all research including: </li></ul></ul></ul><ul><ul><ul><ul><li>1]. Quantitative research. </li></ul></ul></ul></ul><ul><ul><ul><ul><li>2]. Qualitative research. </li></ul></ul></ul></ul>
  13. 13. Account Planning Premise <ul><li>A client hires an advertising agency to interpret its brand to its target audience. </li></ul><ul><li>The account planner is charged with understanding the target audience and then representing this audience throughout the entire advertising development process. </li></ul><ul><li>Account planning is more focused and productive than traditional research. </li></ul><ul><li>During creative development, account planners act as sounding boards for the creative team. They research the advertising before production begins. </li></ul>
  14. 14. Activities <ul><li>The account planner works with both account management and creative, covering most research functions. </li></ul><ul><li>The planner is considered to be the team’s spokesperson for the consumer and an interpreter of available research. </li></ul><ul><li>All parties must speak the language of the consumer for the system to work. </li></ul>
  15. 15. <ul><li>A futurist function at the agency appears similar to that of an account planner </li></ul>Agency Futurist Departments vs. Account Planners
  16. 16. What Kind of Research is Needed?
  17. 17. Research Structure <ul><li>The research structure has changed in modern times because of the following: </li></ul><ul><ul><li>The tremendous increase in new products. </li></ul></ul><ul><ul><li>The high cost of shelf space. </li></ul></ul><ul><ul><li>The expansion of retailer control over the distribution system. </li></ul></ul><ul><ul><li>Changing media habits. </li></ul></ul><ul><ul><li>Overload of information. </li></ul></ul><ul><ul><li>The bewildering array of communication choices. </li></ul></ul>
  18. 18. Anthropology and Advertising <ul><li>Marketers use anthropologists to study the emotional connection between products and consumer values. </li></ul><ul><ul><li>Cameras can be used to record consumer behavior. </li></ul></ul><ul><ul><li>Videos can give marketers a clearer idea of what consumers think and feel. </li></ul></ul><ul><li>Anthropologists study consumers’ interactions with products around them. </li></ul><ul><ul><li>Usage and behavior patterns emerge from these studies. </li></ul></ul><ul><li>Anthropologists have found that certain needs and activities are common to people the world over. </li></ul><ul><ul><li>Subcultures are studied. </li></ul></ul><ul><ul><li>Languages are analyzed. </li></ul></ul>
  19. 19. Sociology and Advertising <ul><li>Sociology examines the structure and function of organized behavior systems. </li></ul><ul><ul><li>The sociologist studies groups and their influence on, and interaction with, the individual. </li></ul></ul><ul><ul><li>Sociological research is used to predict the profitability of a product purchase by various consumer groups. </li></ul></ul>
  20. 20. Social Class and Stratification <ul><li>We are a society that is clustered into classes determined by such criteria aswealth, income, occupation, education, achievement, and seniority. </li></ul><ul><ul><li>We sense where we fit into this pattern. </li></ul></ul><ul><ul><li>We generally conform to the standards of our class. </li></ul></ul><ul><li>Advertisers know that people generally favor the classes directly above their own. </li></ul><ul><li>Social-class structure helps to explain why demographic categories sometimes fail to provide helpful information about consumers. </li></ul><ul><ul><li>People of the same income are often in different classes. </li></ul></ul><ul><ul><li>No single variable accurately predicts consumer purchases. </li></ul></ul>
  21. 21. Trend watching <ul><li>Trends come in all forms of media and advertising. </li></ul><ul><li>Fads, on the other hand, do not last long. </li></ul><ul><ul><li>Trends are a product of society. </li></ul></ul><ul><li>Macro trends are about the “big issues” (how we define happiness, for example). </li></ul><ul><ul><li>Macro trends come from the way people think. </li></ul></ul><ul><li>Micro trends are the detail of the bigger picture. </li></ul><ul><ul><li>They are the tangible manifestations of the macro trends. </li></ul></ul><ul><ul><li>One micro trend popular at present is retro nostalgia . </li></ul></ul><ul><li>Young people are more likely to set trends (even though not all youth are trendsetters). </li></ul><ul><ul><li>The most comfortable on the cutting edge are early adopters, innovators, etc. </li></ul></ul>
  22. 22. Cohort Analysis <ul><li>Using cohort analysis, marketers can access consumers’ lifelong values and preferences, and develop strategies now for products they will use later in life. </li></ul><ul><ul><li>Cohorts are generations of people with the same birth years and core values. </li></ul></ul><ul><ul><li>Some researchers believe that the values formed by significant events between the ages of 13 and 20 endure throughout one’s life. </li></ul></ul><ul><ul><li>Cohort analysis not only studies demographics but adds the aspect of knowing the consumer’s past and present. </li></ul></ul>
  23. 23. Four cohort groups <ul><li>1]. Traditionalists. </li></ul><ul><li>2]. Transitioners. </li></ul><ul><li>3]. Challengers. </li></ul><ul><li>4]. Space-agers. </li></ul>
  24. 24. Exhibit 15.3: American Lifestyle Categories
  25. 25. <ul><li>Yaznkelovich’s Mindbase segments </li></ul><ul><ul><li>Up and Comers </li></ul></ul><ul><ul><li>Young Materialists </li></ul></ul><ul><ul><li>Stressed by Life </li></ul></ul><ul><ul><li>New Traditionalists </li></ul></ul><ul><ul><li>Family Limited </li></ul></ul><ul><ul><li>Detached Introverts </li></ul></ul><ul><ul><li>Renaissance Elders </li></ul></ul><ul><ul><li>Retired from Life </li></ul></ul>What Kind of Research is Needed? (continued)
  26. 26. <ul><li>Personal Drive Analysis </li></ul><ul><li>Value Segments of Global Youth </li></ul><ul><ul><li>Thrills and Chills </li></ul></ul><ul><ul><li>Resigned </li></ul></ul><ul><ul><li>World Savers </li></ul></ul><ul><ul><li>Quiet Achievers </li></ul></ul><ul><ul><li>Bootstrappers </li></ul></ul><ul><ul><li>Upholders </li></ul></ul>What Kind of Research is Needed? (continued)
  27. 27. <ul><li>Marketing Environment </li></ul>What Kind of Research is Needed? (continued)
  28. 28. Exhibit 15.4: Is there a connect or disconnect with the target with this message?
  29. 29. <ul><ul><li>Universal Product Code </li></ul></ul><ul><ul><li>Single-Source Data </li></ul></ul><ul><ul><li>Databases Marketers </li></ul></ul><ul><ul><li>Internet Data </li></ul></ul>What Kind of Research is Needed? (continued)
  30. 30. <ul><li>Advertising strategy development </li></ul><ul><li>Advertising execution development </li></ul><ul><li>Evaluating pretesting executions </li></ul><ul><li>Campaign evaluation </li></ul>The Series of Research Steps in Advertising
  31. 31. <ul><li>Translating Information into Strategy </li></ul><ul><li>Market, Product, Competitive and Consumer Research </li></ul>The Series of Research Steps in Advertising (continued)
  32. 32. Exhibit 15.6: Brand Trial/Awareness Rations: Strategic Options
  33. 33. <ul><li>Advertising Strategy or Message Research </li></ul><ul><li>Pretest Research </li></ul><ul><ul><li>Rough copy research </li></ul></ul><ul><ul><li>Finished copy research </li></ul></ul><ul><li>Campaign Evaluation Research </li></ul>The Series of Research Steps in Advertising (continued)
  34. 34. <ul><li>Forms of Testing </li></ul><ul><ul><li>Concept Testing </li></ul></ul><ul><ul><ul><li>Card concept test </li></ul></ul></ul><ul><ul><ul><li>Poster test </li></ul></ul></ul><ul><ul><ul><li>Layout test </li></ul></ul></ul><ul><ul><li>Finished Print Tests </li></ul></ul><ul><ul><li>Print Testing Example </li></ul></ul>Testing Creative Research
  35. 35. <ul><ul><li>Test Commercials </li></ul></ul><ul><ul><ul><li>Animatics </li></ul></ul></ul><ul><ul><ul><li>Photomatics </li></ul></ul></ul><ul><ul><ul><li>Liveamatics </li></ul></ul></ul><ul><ul><ul><li>Ripamatics </li></ul></ul></ul><ul><ul><li>Finished Commercial Testing </li></ul></ul><ul><ul><li>BBDO’s Emotional Testing </li></ul></ul>Testing Creative Research (continued)
  36. 36. Concept Testing Concept <ul><li>Creative concept testing can be defined as the target audience evaluation of (alternative) creative strategy. Tries to separate the good from the bad. </li></ul><ul><li>Types of tests might include: </li></ul><ul><li>1]. Card concept test --concepts (headline, body copy) are placed on a white card for review. </li></ul><ul><li>2]. Poster test --similar to the above but expands illustrations and copy and places them on a large poster instead of a white card. </li></ul><ul><li>3]. Layout test --shows rough copy of a print ad or artwork for a TV ad (more finished than a poster test). </li></ul><ul><li>4]. Finished Print Tests : </li></ul><ul><li>a). The Video Storyboard Test. </li></ul>
  37. 37. Test Commercials <ul><li>Animatics --this is artwork, either cartoons or realistic drawings. </li></ul><ul><li>Photomatics --photographs shot in sequence on film. </li></ul><ul><li>Livematics --filming or taping live talent and is very close to a finished commercial. </li></ul><ul><li>Ripamatics --made of footage from other commercials (used to show what can be done in a new commercial). </li></ul>
  38. 38. Finished Commercial Testing <ul><li>Some attempt to evaluate a commercial’s effectiveness in terms of viewer’s recall of a certain aspect of the commercial. </li></ul><ul><li>Some attempt to evaluate a commercial’s effectiveness in terms of what motivates a viewer to say or do. </li></ul>
  39. 39. Readership. <ul><li>It is important to examine whether an advertisement is being seen. </li></ul><ul><ul><li>A leader in this field is Starch Readership Service from Roper Starch. </li></ul></ul><ul><ul><li>Service examines whether ads are being seen, read, and the level of interest they arouse. </li></ul></ul><ul><ul><li>Surveys 75,000 customers per year. Looks at more than 50,000 print ads. </li></ul></ul><ul><li>Primary question categories include: </li></ul><ul><ul><li>Noted reader --a person who remembers having previously seen the advertisement in the issue being studied. </li></ul></ul><ul><ul><li>Associated reader --a reader who not only noted the advertisement, but also saw or read some part of it that clearly indicated the brand or advertiser. </li></ul></ul><ul><li>Clients then receive Adnorm data. These data help clients identify types of layouts that attract and retain the highest readership. </li></ul><ul><ul><li>These layouts can also be compared against competitors. </li></ul></ul>
  40. 40. Consumer Outdoor Recognition Study (CORS) <ul><li>To conduct CORS research, interviewers visit three to four locations, mostly malls, in designated markets for person-to-person interviews. </li></ul><ul><li>Participants are asked if they can remember specific outdoor campaigns. </li></ul><ul><li>Participants are shown 30 to 50 recent advertising campaigns run in the area and are quizzed about those they recall. </li></ul>
  41. 41. <ul><li>Readership </li></ul><ul><ul><li>Respondent classifications </li></ul></ul><ul><ul><ul><li>Noted reader </li></ul></ul></ul><ul><ul><ul><li>Associated reader </li></ul></ul></ul><ul><ul><ul><li>Read most </li></ul></ul></ul><ul><li>Consumer Outdoor Recognition Study (CORS) </li></ul>Testing Creative Research (continued)
  42. 42. <ul><li>Advertising is a people business. </li></ul><ul><li>Advertising channels needs and wants of consumers toward specific products and brands. </li></ul><ul><li>Market research can help us understand consumer lifestyles and values, which aids in developing strategies. </li></ul><ul><li>Information only acquired value when we take a point of view about what the information means. </li></ul><ul><li>It is much less expensive to test concepts and ads prior to buying expensive media schedules. </li></ul>Summary

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