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Advertising &
Consumer Behavior
Lecture IV 23.11.2010
Adjunct Professor of Practice
Pekka Mattila, D.Soc.Sc.
22.11.2010
a) How are we doing with the
Valio assignment 2?
b) Lecture syllabus: “Cornerstones of
Strategic Planning II”
1. Communication and media
strategies
2. Communicating value in a
differentiating way
3. Optimizing the marketing and
media mix
Curriculum
22.11.2010
Pekka Mattila
2
Curriculum
22.11.2010
• It all boils down to the very basics of STP!
• Targeting
• Positioning
Pekka Mattila
3
1. Identifying and selecting the target audience
2. Determining how the target audience
behaves in the category
3. Determining the best positioning for
the brand
4. Developing a media strategy…
5. Setting a media strategy…
Strategic planning process
(Percy & Elliott.)
22.11.2010
Pekka Mattila
4
• “People don’t want to buy a quarter-inch drill. They
want a quarter inch hole.” (Levitt.)
• 90% of product launches fail every year
• Averaging and likelihoods may kill – one size fits all?
• All the jobs have a social, a functional and an
emotional dimension
• The job, not the customer, is the fundamental
unit of analysis
Purpose brands (Christensen & Cook & Hall.)
22.11.2010
Pekka Mattila
5
• Job-defined markets are generally much larger
than product category –defined markets
• What makes Virgin successful then??
• Vague and hollow brands
• Extending brands
Purpose brands (Christensen & Cook & Hall.)
22.11.2010
Pekka Mattila
6
• Communication effect choices
1. Category need
2. Brand awareness
3. Brand attitude
4. Brand purchase intention
Communication strategy
22.11.2010
Pekka Mattila
7
Attitude or awareness objective?
22.11.2010
Pekka Mattila
8
• Brand awareness and attitude always included
• Brand awareness classifications
• Recognition: reminder of the need
• Category need at the point of purchase
• Recall: reminder of the brand
• Brand awareness before the purchase
Communication strategy
22.11.2010
Pekka Mattila
9
• Brand attitude is always relative
– Closely related to positioning
– Knowing: cognitive and belief based
– Feeling: affect and feeling based
– Challenging industry conventions:
http://www.youtube.com/watch?v=Fg_YS8rLwMg
Communication strategy
22.11.2010
Pekka Mattila
10
Rossiter-Percy grid:
brand attitude strategy quadrants
22.11.2010
11
Pekka Mattila
MotivationInvolvement
Informational
(negative)
Transformational
(positive)
LowHigh
• Based on communication objectives
• Special attention to the processing requirements
of brand awareness and brand attitude strategy
• Reach – coverage
• Frequency – exposure
• Opportunities to see (OTS)
• Gross Rating Points (GRPs):
90% > OTS 2 = 180
• 45% > OTS 4 = 180
Media strategy
22.11.2010
Pekka Mattila
12
• Minimum effective frequency
• Visual needs
Media strategy
22.11.2010
Pekka Mattila
13
Brand-consumer-media
22.11.2010
Pekka Mattila
14
• Traditionally message effectiveness is believed to
increase at low levels of repetition and then to
decrease as message repetition increases
• Curvilinearity
• Wearin effect – learning
• Wearout effect – boredom, less opportunity to learn
Brand familiarity and advertising
repetition effects (Campbell & Keller.)
22.11.2010
Pekka Mattila
15
• Familiar vs. unfamiliar brands
• Unfamiliar brands wear out faster than familiar
brands: decreased advertising effectiveness at
lower levels of repetition
• Unfamiliar brands are processed more
extensively with repetition than ads for familiar
brands
• Unfamiliar: learning focus
• Familiar: updating focus
Brand familiarity and advertising
repetition effects (Campbell & Keller.)
22.11.2010
Pekka Mattila
16
• Tactic (in)appropriateness mediates the effects of ad
repetition and brand familiarity on message
effectiveness
• Strong brands beneficially affect communication
effectiveness
– Postponing the onset of advertising wearout
Brand familiarity and advertising
repetition effects (Campbell & Keller.)
22.11.2010
Pekka Mattila
17
• Unfamiliar brands need to build familiarity but
meanwhile they may benefit from showing a variety of
messages and increasing message content and
complexity in order to avoid wearout
Brand familiarity and advertising
repetition effects (Campbell & Keller.)
22.11.2010
Pekka Mattila
18
• When does it make sense to use
an untrustworthy
expert?
• Edelman 2010
Spokesperson trustworthiness
(Priester & Petty.)
22.11.2010
Pekka Mattila
19
Thank you –
Take it further at our
Facebook group
Lecture II 9.11.2010
Adjunct Professor of Practice
Pekka Mattila, D.Soc.Sc.
22.11.2010

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Adv & cons_beh_lecture_4_pekka_mattila_slide_share

  • 1. Advertising & Consumer Behavior Lecture IV 23.11.2010 Adjunct Professor of Practice Pekka Mattila, D.Soc.Sc. 22.11.2010
  • 2. a) How are we doing with the Valio assignment 2? b) Lecture syllabus: “Cornerstones of Strategic Planning II” 1. Communication and media strategies 2. Communicating value in a differentiating way 3. Optimizing the marketing and media mix Curriculum 22.11.2010 Pekka Mattila 2
  • 3. Curriculum 22.11.2010 • It all boils down to the very basics of STP! • Targeting • Positioning Pekka Mattila 3
  • 4. 1. Identifying and selecting the target audience 2. Determining how the target audience behaves in the category 3. Determining the best positioning for the brand 4. Developing a media strategy… 5. Setting a media strategy… Strategic planning process (Percy & Elliott.) 22.11.2010 Pekka Mattila 4
  • 5. • “People don’t want to buy a quarter-inch drill. They want a quarter inch hole.” (Levitt.) • 90% of product launches fail every year • Averaging and likelihoods may kill – one size fits all? • All the jobs have a social, a functional and an emotional dimension • The job, not the customer, is the fundamental unit of analysis Purpose brands (Christensen & Cook & Hall.) 22.11.2010 Pekka Mattila 5
  • 6. • Job-defined markets are generally much larger than product category –defined markets • What makes Virgin successful then?? • Vague and hollow brands • Extending brands Purpose brands (Christensen & Cook & Hall.) 22.11.2010 Pekka Mattila 6
  • 7. • Communication effect choices 1. Category need 2. Brand awareness 3. Brand attitude 4. Brand purchase intention Communication strategy 22.11.2010 Pekka Mattila 7
  • 8. Attitude or awareness objective? 22.11.2010 Pekka Mattila 8
  • 9. • Brand awareness and attitude always included • Brand awareness classifications • Recognition: reminder of the need • Category need at the point of purchase • Recall: reminder of the brand • Brand awareness before the purchase Communication strategy 22.11.2010 Pekka Mattila 9
  • 10. • Brand attitude is always relative – Closely related to positioning – Knowing: cognitive and belief based – Feeling: affect and feeling based – Challenging industry conventions: http://www.youtube.com/watch?v=Fg_YS8rLwMg Communication strategy 22.11.2010 Pekka Mattila 10
  • 11. Rossiter-Percy grid: brand attitude strategy quadrants 22.11.2010 11 Pekka Mattila MotivationInvolvement Informational (negative) Transformational (positive) LowHigh
  • 12. • Based on communication objectives • Special attention to the processing requirements of brand awareness and brand attitude strategy • Reach – coverage • Frequency – exposure • Opportunities to see (OTS) • Gross Rating Points (GRPs): 90% > OTS 2 = 180 • 45% > OTS 4 = 180 Media strategy 22.11.2010 Pekka Mattila 12
  • 13. • Minimum effective frequency • Visual needs Media strategy 22.11.2010 Pekka Mattila 13
  • 15. • Traditionally message effectiveness is believed to increase at low levels of repetition and then to decrease as message repetition increases • Curvilinearity • Wearin effect – learning • Wearout effect – boredom, less opportunity to learn Brand familiarity and advertising repetition effects (Campbell & Keller.) 22.11.2010 Pekka Mattila 15
  • 16. • Familiar vs. unfamiliar brands • Unfamiliar brands wear out faster than familiar brands: decreased advertising effectiveness at lower levels of repetition • Unfamiliar brands are processed more extensively with repetition than ads for familiar brands • Unfamiliar: learning focus • Familiar: updating focus Brand familiarity and advertising repetition effects (Campbell & Keller.) 22.11.2010 Pekka Mattila 16
  • 17. • Tactic (in)appropriateness mediates the effects of ad repetition and brand familiarity on message effectiveness • Strong brands beneficially affect communication effectiveness – Postponing the onset of advertising wearout Brand familiarity and advertising repetition effects (Campbell & Keller.) 22.11.2010 Pekka Mattila 17
  • 18. • Unfamiliar brands need to build familiarity but meanwhile they may benefit from showing a variety of messages and increasing message content and complexity in order to avoid wearout Brand familiarity and advertising repetition effects (Campbell & Keller.) 22.11.2010 Pekka Mattila 18
  • 19. • When does it make sense to use an untrustworthy expert? • Edelman 2010 Spokesperson trustworthiness (Priester & Petty.) 22.11.2010 Pekka Mattila 19
  • 20. Thank you – Take it further at our Facebook group Lecture II 9.11.2010 Adjunct Professor of Practice Pekka Mattila, D.Soc.Sc. 22.11.2010