1) The document discusses how conjoint analysis, a market research technique, can help companies evaluate different affinity marketing programs by predicting consumer preferences and purchase behavior. 2) An experiment was conducted using conjoint analysis to measure how consumers perceived a hypothetical FMCG brand affiliated with different causes/events (designated driver program, children's reading, stock car racing, Sunday night TV). 3) The results showed that conjoint analysis provided useful insights into how much each cause/event affiliation positively or negatively influenced brand ratings, allowing companies to identify the best affinity marketing partners.

1. International Indexed & Referred Research Journal, April, 2012. ISSN- 0975-3486, RNI-RAJBIL 2009/30097;VoL.III *ISSUE-31
Research Paper—Management
How Social-Cause Marketing Affects
Consumer Perceptions
April, 2012 * Rishi Nepalia
* Asst. Professor, ICMT, Jodhpur
A B S T R A C T
How should companies determine the best way to allocate marketing funds between conventional promotional programs and
affinity marketing programs? The former simply stress the benefits of buying a specific brand, while the latter prominently and
publicly identify a company's association with a particular sport, entertainment event, nonprofit organization or social cause.
Experiments we have conducted suggest that the research method known as conjoint analysis could be a valuable market research
tool to help companies predict which of several alternative affinity marketing affiliations would provide the best return on invest-
ment.
Comparing Affinity Marketing Options Instead of just asking consumers to rate these
To gain empirical insight into how consum- four options, the brand manager could obtain more
ers might respond to different affinity marketing ini- reliable predictions of consumer behavior by setting
tiatives, we used the research technique known as up an experimental study using conjoint analysis. In
conjoint analysis. Conjoint analysis has become a staple a study we recently conducted, a sample of 135 FMCG
in the marketing research field for helping companies brand consumers were randomly assigned to one of
predict the most effective configuration of attributes, four parts of the experiment, with each part of the
such as warranty length, price or product size, for new experiment testing reactions to one of the four poten-
products or services. To the best of our knowledge, tial affinity marketing programs described above.
however, conjoint analysis has not been used for re- Random assignment was used to ensure that the par-
testing societal marketing initiatives or other affinity ticipants in each section of the experiment were com-
marketing programs. This technique asks consumers parable. In each of the four sections of the experiment,
to review a set of profiles, each consisting of a combi- there were eight profiles describing various possible
nation of various hypothetical attributes of a particular attributes of the beer brand.
product or service; service; each consumer ranks the Half the profiles described the brand as spon-
different profiles according to his or her preferences. soring the cause or event being studied in that section
The Impact of Various Affinity Marketing Programs of the experiment, and half stated that the brand was
Our experiment used conjoint analysis to host of an amusement park. In that way, reactions to
measure how four different forms of hypothetical af- two variations of a "style of marketing" attribute (that
finity marketing programs affected consumer prefer- is, sponsor or host) were obtained. In addition, each
ences for India FMCG brand. As a control, the brand profile had one of two variations of four other attributes:
was described as being affiliated with an amusement half packed in bottles and half in cans; half at a higher
park. The weights, or "part-worth's," graphed below price per six-pack and half at a lower price per six-
represent how much (on an eight-point scale) a brand's pack; half with 100 calories per serving and half with
rating would change if it were instead described as 150 calories per serving; and half fortified with 1.5
being affiliated with - from left to right - a designated grams of protein per serving and half with 3 grams of
driver program, a children's reading program, a stock protein per serving.
car racing team or a Sunday night movie on network The resulting brand profiles were put on eight
television. cards that were set up so that each variation of an
attribute appeared at least twice with each of the varia-
tions of the other four attributes. Each study partici-
pant ranked the profiles according to preference. The
ranking process is a way for consumers to reveal the
importance to them of different attributes. Thus, if the
four best ranked profiles for a consumer all were pack-
aged in bottles, it would be clear that bottles are a very
important, positively weighted attribute in evaluating
26 RESEARCH AN ALYSI S AND EVALU ATION

2. International Indexed & Referred Research Journal, April, 2012. ISSN- 0975-3486, RNI-RAJBIL 2009/30097;VoL.III *ISSUE-31
beers for that consumer. Indeed, by running a regres- the brand would be better off using its promotional
sion analysis using data about the consumer's rankings dollars in other ways, such as simply promoting a
and the brand attributes, it is possible to see how much brand's best and differentiating benefits. Conventional
influence each attribute has on the way that consumer survey research with samples of target consumers could
determines Rankings. help to find answers to the first three questions above.
Evaluating Societal Marketing Initiatives But more sophisticated research, including studies
We have made the case that affinity market- using conjoint analysis, will be needed to address the
ing initiatives, especially societal marketing initia- fourth question. Our experimental results have per-
tives, have the potential to improve consumers' atti- suaded us that it would be very feasible for real-world
tudes about a brand in a number of different ways. How brand managers to test affinity partner ideas using a
much a given initiative will help or hurt a given brand conjoint analysis. In designing conjoint analysis stud-
will, of course, depend on the characteristics of its ies, however,
target markets. Hence, brand managers need to ad- managers should pay particular attention to several
dress questions such as the following as they evaluate issues.
what degree of commitment to make to affinity mar- Conclusion
keting: Are there a sufficient number of consumers in Humankind is quickly reaching the phase of
the brand's desired target market who have a strong affluence, if you go by the economic data alone. Hap-
affinity for the sport, event or social cause under con- piness is very essential for the society is WB, but cre-
sideration for affiliation? ativity and SR provide more to the happiness quotient
_ Will consumers from desired target markets of the individuals, as the latter are based on ethics of
find it credible that this brand is affiliated with this interdependence of human beings. Creative coopera-
sport, event or social cause, or will they view such tion is necessary for an RH society. Traditional mar-
support with suspicion? _ does the brand differentiate keting methods do not provide enough information
itself from its competitors in the eyes of desired target essential for building an RH society. SR and RH per-
markets through supporting this affiliate, or does the ception, thinking, decision making and action are
brand look like a copycat? unavoidable for RH success (positive influence on WB,
_ How does the affiliate stack up versus other environment and humans SSP). Marketing must adapt
potential beneficiaries of the brand's promotional ini- its methods and insights to meet new challenges. But
tiatives, in terms of affecting target consumers' view of the answer to making more substantive progress to-
the brand's style of marketing and its image and per- wards RH does not lie with marketers alone, since the
formance attributes? market is current flaws make marketing incapable of
Negative answers to any of the first three delivering company is and society is WB at the same
questions suggest that support of the affiliate in ques- time. The market must operate within a society in which
tion should not be an integral part of a brand's promo- WB is adopted as a public policy goal, rather than an
tional strategy. Without a critical mass of consumers aim that is actively ursued through policy implemen-
possessing an affinity for the affiliate, without cred- tation. The longer we take to address the issue, the
ibility in promoting the interests of the affiliate or greater the disruption and effort will be.
without gaining differentiation from the affiliation,
RESEARCH AN ALYSI S AND EVALU ATION
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