This document discusses various marketing concepts and strategies used to target consumers, especially children. It explains that the goal of marketing is to build brand awareness, adoption, and loyalty in order to persuade customers to purchase products. Marketers closely study demographics and psychographics to identify target markets. The document also examines how corporations extensively market directly to children, exploiting their vulnerabilities, and how parents influence children's purchasing behaviors. It suggests companies seek to commodify all aspects of people's lives in order to maximize lifetime customer value.

1. DISCUSSION QUESTIONS
1) What is the largest education management
organization in the US?
2) What is the only industry that has a larger
segment of the American marketplace than
education?
3) Explain what the "nag factor" is?
4) Explain the 4 types of of parents.
5) What is meant by "opportunity in devastation?"
6) How do corporations use "undercover
marketing?"

2. WHAT IS MARKETING?

3. MARKETING
-THE ACTIVITY, SET OF INSTITUTIONS, & PROCESSES FOR CREATING,
COMMUNICATING, DELIVERING, & EXCHANGING OFFERINGS THAT
HAVE VALUE FOR CUSTOMERS, CLIENTS, PARTNERS, & SOCIETY AT
LARGE. (AMERICAN MARKETING ASSOCIATION)
-IT IS ABOUT FIGURING OUT WAYS TO DRUM UP SALES.
3 MAIN PURPOSES
1) BUILD AWARENESS.
2) BUILD ADOPTION.
3) BUILD LOYALTY.

4. BRAND LOYALTY
-A CUSTOMER’S COMMITMENT TO REPURCHASE A
COMPANY’S PRODUCT/SERVICE.
-ACQUIRING A NEW CUSTOMER COSTS 5X MORE THAN
KEEPING AN EXISTING CUSTOMER.
FACTORS INFLUENCING BRAND LOYALTY
1) PERCEIVED VALUE
2) BRAND TRUST
3) SATISFACTION

5. MARKETING CONCEPT
-ACHIEVING ORGANIZATIONAL GOALS DEPENDS ON KNOWING THE NEEDS &
WANTS OF TARGET MARKETS AND DELIVERING THE DESIRED
SATISFACTIONS.
TARGET MARKET
-”A GROUP OF CUSTOMERS WITH SIMILAR NEEDS THAT FORMS THE FOCUS
OF A COMPANY’S MARKETING EFFORTS.”
-IF YOU ATTEMPT TO REACH EVERYONE, YOU WILL END UP REACHING NO
ONE.
-MARKETING EFFORTS MUST BE PRECISELY FOCUSED ON THE GROUP(S) OF
EXISTING & PROSPECTIVE CUSTOMERS WHO ARE MOST LIKELY TO BUY
YOUR PRODUCTS/SERVICES.

6. DEMOGRAPHICS
-THE STATISTICAL CHARACTERISTICS OF HUMAN
POPULATIONS USED TO IDENTIFY MARKET SEGMENTS.
-AGE -INCOME
-SEX -EDUCATION
-RACE -EMPLOYMENT
PSYCHOGRAPHICS
-VARIABLES CLASSIFYING POPULATION GROUPS
ACCORDING TO PSYCHOLOGICAL VARIABLES.
-INTERESTS
-VALUES
-LIFESTYLE

8. MARKETING IS ALSO ABOUT THE ART OF PERSUASION

9. Yawning is a surprisingly powerful act. Just by reading the two yawns in
the previous two sentences--and the two additional yawns in this
sentence--a good number of you will probably yawn within the next few
minutes. Even as I'm writing this I've yawned twice. If you're reading this
in a public place, and you've just yawned, chances are that a good
proportion of everyone who saw you yawn is now yawning too, and a
good proportion of the people watching the people who watched you
yawn are now yawning as well, and on and on, in a ever-widening,
yawning circle.
Yawning is incredibly contagious. I made some of you reading this yawn
simply by writing the word "yawn". The people who yawned when they
saw you yawn, meanwhile, were infected by the sight of you yawning--
which is a second kind of contagion. They might even have yawned if
they only heard you yawn, because yawning is also aurally contagious: if
you play an audio-tape of a yawn to blind people, they'll yawn too. And
finally, if you yawned as you read this, did the thought cross your mind--
however unconsciously and fleetingly--that you might be tired? I suspect
that for some of you it did, which means that yawns can also be
emotionally contagious. Simply by writing the word, I can plant a feeling
in your mind.

10. -THE TRUE ESSENCE OF MARKETING IS PERSUASION.
-THE ABILITY TO PERSUADE THE CUSTOMER INTO:
1) PARTING WITH ONE OF THEIR MOST PRIZED
POSSESSIONS ($)
2) PURCHASING A PRODUCT/SERVICE THAT THEY MAY
NOT KNOW THEY WANT.
-MARKETING = SELLING & IF YOU CAN’T PERSUADE THEN
YOU CAN’T SELL.
2 KEYS TO PERSUASION
1) SHOES: WALK IN YOUR CUSTOMER’S SHOES
2) EYES: SEE THROUGH YOUR CUSTOMER’S EYES.

11. CHILDREN AS TARGETS
CLIP: CONSUMING KIDS

12. •ADVERTISING DIRECTED AT CHILDREN: $15 BILLION ANNUALLY
•1983: CORPORATIONS SPENT $100 MILLION ON TV
ADVERTISING TO KIDS
•TODAY: 150 TIMES THAT AMOUNT ON VARIOUS MEDIUMS
•80% OF ALL GLOBAL BRANDS DEPLOY A TWEEN MARKETING
STRATEGY
•1997: 12-19 YEAR OLDS SPENT $63 BILLION OF THEIR OWN
MONEY
•2001: 12-19 YEAR OLDS SPENT $155 BILLION OF THEIR OWN
MONEY
•2000: 12 & UNDER INFLUENCED $500 BILLION OF THEIR
PARENT’S PURCHASES

13. COMMERCIALISM ON TELEVISION
•AVERAGE AMERICAN CHILD EXPOSED TO 40,000 TV
COMMERCIALS/YEAR, OVER 100/DAY
•UNDER AGE 8 UNABLE TO CRITICALLY COMPREHEND TV
ADVERTISING MESSAGES
•PRONE TO ACCEPT MESSAGES AS TRUTHFUL, ACCURATE, &
UNBIASED
COMMERCIALISM ON INTERNET
•UNDER AGE 5: 80% USE INTERNET AT LEAST ONCE/WEEK
COMMERCIALISM IN SCHOOLS
•AMERICAN BEVERAGE ASSOCIATION ESTIMATES 2/3 OF SCHOOLS
NATIONWIDE HAVE EXCLUSIVE POURING RIGHTS CONTRACTS WITH
SODA COMPANIES
•27% OF ADS ON CHANNEL ONE ARE FOR JUNK FOOD
•10% FOR MILITARY RECRUITMENT

14. “CRADLE TO THE GRAVE”
-A BRANDING TECHNIQUE WHERE A COMPANY ATTEMPTS TO
ATTRACT A CUSTOMER EARLY IN HIS/HER LIFE, & THEN KEEP HIM/HER
LOYAL FOR THE REST OF HIS/HER LIFE.

15. CORPORATIONS PREY ON CHILDRENS’ FEELINGS

16. “Advertising at its best is making people feel that without their product
you're a loser. Kids are very sensitive to that. If you tell them to buy
something, they are resistant. But if you tell them they'll be a dork if they
don't, you've got their attention.”
- Nancy Shalek, former president of Grey Advertising
-53% of Americans say that buying certain products makes them feel
better about themselves.
-32% of Americans admit feeling pressure to buy certain products, such
as clothes, shoes and CDs because their friends have them.
-62% of 12 & 13 year olds say that buying certain products makes them
feel better about themselves.
- 54% of 12 & 13 year olds admit to feeling outside pressure to buy
products.

17. OPPORTUNITY IN DEVASTATION
-A MARKETING TACTIC WHERE COMPANIES PREY/TARGET (EXPLOIT)
ON NEGATIVE ASPECTS OF KIDS’ LIVES IN ORDER TO INFLUENCE
THEIR PURCHASING BEHAVIOR.

18. 1) OBESITY
-Rising levels of childhood obesity has led to an explosion of
junk food ads in recent years.

19. 2) EMOTIONAL WELL-BEING
-Links between immersion in consumer culture and
depression, anxiety, low self esteem, and conflicts with
parents.

20. 3) SELF-IMAGE & SEXUAL BEHAVIOR
-Wheelock College education professor Diane Levin sees
correlations with sexual imagery in children’s ads and increases in
eating disorders among girls.
-“Children struggle to make sense of mature sexual content. They
are robbed of valuable time for age-appropriate developmental
tasks, and they may begin to engage in precocious sexual
behavior.”

23. 4) FINANCIAL SELF-CONTROL
-National surveys reveal that kids are leaving high school without
a basic understanding of issues relating to savings and credit
card debt.
-No surprise, then, that over the past decade, credit card debt
among 18-24 year olds more than doubled.

24. THE NAG FACTOR
“PESTER POWER”
________________________________________________
“THE DEGREE TO WHICH PARENTS’ PURCHASING DECISIONS
ARE BASED ON BEING NAGGED BY THEIR CHILDREN.”
•KIDS NAG THEIR PARENTS IN 2 WAYS:
1) WITH PERSISTENCE (I WANT)
2) WITH IMPORTANCE (I NEED)
•12-17 YEAR OLDS WHO ASK THEIR PARENTS FOR PRODUCTS
THEY’VE SEEN ADVERTISED WILL ASK 9 TIMES UNTIL PARENTS
GIVE IN

25. CLIP 11: BASIC TRAINING

26. CORPORATE AMERICA IS NOT ALL TO BLAME FOR YOUTH
CONSUMERISM.
SO ARE PARENTS.

27. • LARGEST GROUP OF PARENTS
• AFFLUENT & UPSCALE BUT UNRESPONSIVE TO A
CHILD’S WHINING
• WANT A GOOD REASON TO BUY SOMETHING FOR THEIR
CHILD
BARE NECESSITIES

28. KIDS PALS’
•YOUNGER PARENTS
•BUY PRODUCTS AS MUCH FOR THEMSELVES AS THEIR
KIDS

29. INDULGERS
•WORKING MOMS
•BUY THINGS FOR THEIR KIDS TO EASE THEIR GUILT
ABOUT NOT SPENDING ENOUGH TIME WITH THEM

30. CONFLICTED
•SINGLE MOMS
•FEEL THEY SHOULDN’T BE BUYING FRIVOLOUS
THINGS FOR THEIR KIDS BUT DO SO ANYWAY
•SAY THEY DON’T LIKE IMPULSE BUYING BUT DO IT
ANWAY
•OPPOSE ADVERTISING AIMED AT THEIR KIDS BUT
WELCOME ITS ASSISTANCE IN HELPING THEM DECIDE
WHAT TO BUY FOR THEM

31. WE ARE WORTH MORE TO COMPANIES THE LONGER WE PURCHASE
THEIR PRODUCTS/SERVICES.

32. LIFE-TIME VALUE (LTV)
-THE THEORETICAL MEASURE OF HOW MUCH A HUMAN BEING IS
WORTH IF EVERY MOMENT OF HIS/HER LIFE WERE TO BE
COMMODIFIED IN ONE FORM OR ANOTHER.
COMMODIFIED:
-TO MAKE COMMERCIAL.

33. CLIP 14: A PRIVATE CELEBRATION

34. AGE OF ACCESS
-AS A RESULT OF TECHNOLOGY, CORPORATE AMERICA HAS MORE
INFORMATION ON CONSUMERS & CONSUMERS HAVE MORE
INFORMATION ON CORPORATE AMERICA.
-THE RESULT: THE INCREASING COMMODIFICATION OF THE
ENTIRE HUMAN EXPERIENCE.
EXAMPLE: FINANCIAL PLANNING
-YESTERDAY: TRADED STOCKS & BONDS AND MANAGED CLIENTS
PORTFOLIOS.
-TODAY: HANDLES EVERY ASPECT OF THE CLIENT’S LIFETIME
FINANCIAL DEALINGS.
-PERSONAL BUDGETING
-RETIREMENT
-CHILDRENS’ COLLEGE FUND
-TAX SERVICES
-ESTATE PLANNING

35. “BEING YOUR FINANCIAL PARTNER AT EVERY STAGE OF YOUR LIFE.”
-JAMES D. SPEROS, CHIEF MARKETING OFFICER