Emotion marketing

Tiago Antonio Ferreira da Silva Certificate IV : Marketing ,2012 PERTH WESTERN AUSTRALIA
EMOTION MARKETING
The Hallmark way of winning customers for life
Scott Robinette
& Claire Brand with Vick Lenz
Addaptated: Tiago Antonio Ferreira da Silva
McGraw – Hill, New York,2001

PORPOSE
• In writing this book we struggled with the idea of how “add emotion” to
business theories and marketing principles.
It is simple:
It is the right message
At the right time
To the right people

The Emotional E´s
• Equity
• Experience(relationship)
• Energy ( Convenience )

The Emotional E´s: Equity
• Equity

The Emotional E´s:Equity
• Equity= Is a combination of the trust a brand earns and
identity that allows consumers to feel emotionally conected
to it.

The Emotional E´s:Experience
• Equity

The Emotional´s: EXPERIENCE
• Experience= Deals with customers interaction with a brand
Visit to a store
Visit to a web
site
Employee
contacts
Communications Visit to the
factory
Loyalty
programs

The Emotional E´s : EXPERIENCE
Ritz-Carlton Hotel employees are empowered to do whatever it takes to
ensure satisfaction.
“ We are Ladies and Gentlemen Serving
Ladies and Gentlemen.”

The Emotional E´s : EXPERIENCE
• http://www.youtube.com/watch?v=KosJK_ZMMu0
HEART and Soul
Giant piano Keyboard
Whimsical * enviroment
Entertaining emploeeys
And a scope of the procuct offering háve made
FAO SCHAWARZ A TOY LOVES MECCCA
FAO = For attention off

EXPERIENCE
Sales and Marketing Management Dell computers said:
“Research shows that a positive customer experience drives more e-loyalty
than traditional attributes like product slection or price”.
Quality On time delivery
Two Drives of e-loyalty

The Emotional E´s:Energy
• Equity

Energy: Convenience + Save time
Energy is the investiment of time and effort a customer makes in a
product or service.
Is it easy?
Accessible?
Worthwhile?
60% of potencial customers drop away each additional click in
order. Process., According to forrester researcher.
Amazon.com leads the way with 1-click ordering.
Online shopping saves Energy and eliminating errands.

ENERGY e.g.
Inform customers by email if their flight has been
canceled or delayed.
Delivers groceries on demand
Club gold members find their rental cars parked in a
weather protect space with the key in the ignition.
One click order

Value and basic human needs
Love,passion,guilt,acceptance
Selt-esteem,self image
Heath,security,safety
Atatus,achievement
Security,greed,power
Trust,hope,faith,belief
Expression,pleasure,control
Escape,freedom
Escape,simplicity,involvement
Fun,laughter
relief, from pressure,stabilityCircumstance
Stronger
Weaker
FromMadduck,Fulton Marketing Top of the Mind

Value and basic human needs
• To provide value,a company can associate its brand with helping a
customer satisfy higher level needs.By meeting more than one need,it is
possible to exponentially improve the chances of differentianting a
company from its competition.

Emotion – Bridging needs and behavior
• Motives reside primarily in the unconscius mind,which makes them nearly
impossible to fully understand or predict on a conscious level.

“ Root impulses to act,the instant plans for handling life” The very root of
the word emotion is the Latin verb movere, “ to move ”.
Emotional Intelligence, Daniel Goleman defining motion

“Emotions actually stimulate the mind 3000 times
faster than regular thought.”

Think and Feel
Head
• Reflection
• Conscious thoughts
• Basic needs
• Reason by objective
• Evidence
• Prudence
• Transactional
• Features
• What ( Verbal )
Heart
• Action
• Unconscious feelings
• Higher needs
• Beliefs justified by feelings
• Passion/Meaning
• Relational
• Benefits
• How ( Perceptual )

The new paradigma
• “ The old paradgma held na idea of reason freed of the pull of
emotion,” Goleman says: The new paradigm urges us to
harmonize head and heart.”

Behind a brande
• The power behind a brand name that consumers insist on is
undeniable.
• It all begins with a promise to deliver value to consumers.

Powerful brands
• Powerful brands assert their strength at every phase of a customer
relationship.
• They make it easier to:
• Acquire new customers
• Retain and grow current customers
• Cross-sell complementary products and services
• Establish positive word of mouth and earn referrals
• Fend off competitors.
• Win back defections.

Consumers x Companies
• Consumers can eventually think so highly of a company that
the business relationship begins to resemble a personal one.
• People come to rely on, seek out and support brands much
like they do certain friendships.

Relationship behind the choice
• The effort it takes to research,experience,and evaluate many option is
overwhelming compared to simply relying on a relationship that has
passed the test of time – so often the simplest choice is to go with a
trusted brand.

Equity
• Equity depends on how the company presents itself versus how
consumers perceive it.
When identity and image do not match,the result is a lack of
clarity,rapport,and trust.And where there is no trust, there will be no
equity, since the two travel hand in hand.

The company identity
• A company begins asserting an identity with its aspirations:
• What does it strive to be?
• What promises does it intend to deliver?

Message
“A solid brand constantly repeats its message and reinforces its personality” .

Align with customers
• A company must align its identity with all its customers
interactions.Things like:
Retail enviroment
Product and packaging
Web site
Direct mail and email
Mass advertising : television,print,radio,outdoor
Call center
Customer service reps.

Harley Davidson
• Fulfilling basic emotional needs for adventure,freedom,and safe,honest
rebellion.
• Harley Davidson sell a life style.

Brand Equity
• Brand Equity is an enormously valuable asset.
• Equity benefits all stages of customer relationship.
• Acquisition,Retention,cross-selling and ractivation.

Equity has two components
• Brand identity:Is what a company strives to be, its aspirations,personality
and consumer promises.
• Brand image:is how consumer actually perceive the brand identity.

Experience
• Is the collection of points at which companies and consumers exchange
sensory stimli,information and emotional.

Experience
• A company must stir people’s interest,excite them,turn them from
satisfied shoppers into raving advocates.
• There is no better way to do this than creating an experience that lets
people interact with the company.

Experience
• A successful product experience will positively influence everything else
that happens.
• Setting a good context for the relationship between company and
customer.

Experience in enviroment
• 1970 and 1980: The criation of The Hard
Rock Café, Cassino.

Experience in Service
• Airline Service

Experience in Communication
• The best way opportunity for a brand to make an impression on its
customers is after the sale.
• Consumers are reserving their loyalty for companies that provide loyalty
right back.

Experience:
• Experience is made up of all the points at which companies and
consumers exchange sensory stimuli,information and emotion.

These exchanges can be devided into 3 types
• Transactional exchanges= When the product or service is actually
delivered and the payment is made.
• Informational exchanges= When rational data is shared.
• Emotional exchanges or touch points= Where company and consumer
connect emotionally.

Components of the Experience
Company should orchestrate and align each order:
•Retail environment.
•Product or Service itself
•Loyalty building
•Follow ups
•Customer Service
•Social Exchanges
•Events

Not used
• Points based frequency are based on rational information and
rewards,not emotion.
• A company must first recognize and value its customers,connecting with
them emotionally before it rewards them.
• If experiences can meet people’s basic human needs,then consumers will
reward the company with loyalty

Time is the new currency
• Society is in a phase of paring down and simplifying.
• Allocating time to the people,activities and events.
• Marketers should make all aspects of their product: the
sale,delivery,use,service easy and efficient.
• Provide to customers the freedom to spend their time on what’s
important to them.
• Company demonstrates that it understands their priorities and wants to
help them manage their time and energy.
• An extraordinarily strong product or service gives consumers the
confidence that they will not waste any more energy on it
The consequence

Make things personalized
• Consumers fell more valued, Using their names
• Providing what is uniquely important to their lives.
• Making things acessible,easier, personalized and worthwhile.
• Give customers back some energy.
• Sharing it will engage people and help promote an atmosphere of
trust,empowerment and loyalty.
The consequence

Benefits on saving energy
• The end benefit is that customers are able to enjoy a relaxed family
dinner.
• Go out on a date
• Pursue a favourite hobby.

Challenge to the marketers
• Marketers need to focus on giving consumers the extra time and helping
them fulfil their emotional needs.
• Emotional marketing know the power of making things easy and
delighting people in this way.

So,
• Energy is made of time.
• Today’s society, peoples time is being stretched in more directions than
ever.
• Consumers focus their time on the important activities,events and people.
• Companies can use technology and information combined with security to
empower customers.
• Companies should have the ability to create more time.
• Effectivelly managing people’s Energy implies that all exchanges with the
company are interesting and engaging to the customer.
• Not wasting a person’s time enhance a one-to-one marketing strategy.

Relationship
• The relationship between a company and its customers provides the
opportunity for a meaningful exchange of value

The value star functions on three levels
1. To evaluate a brand’s overall value proposition compared to the
competition.
2. To analyze value as perceived by different customer segments.
3. To help tailor products and services to individual preferences.

Data base segmentation
• By transaction or purchase behavior is only the first step-truly
understanding value means taking into account life stage,demographics
and attitudinal characteristics.

4 life cycles stages are:
• Acquisition
 High impact lead generation contacts.
 Introductory letters.
 Personal invitations to visit for free consultations or information.
• Assimilation
 Customer welcome messages.
 Thank you notes for purchases.
 Activation incentives for new customers.
 Incentives for future purchases.

• Cultivation
 Special benefits and offers to high-value customers.
 Card and/or gifts for personal milestones or seasonal holidays.
 Referral request and follow-up thank you notes.
 Thank you notes or emails following orders.
 Newsletters with value-added content.
 Offers to drive top of mind awareness during high activity time
frames(back to school,holiday,sprins/home,improvement,etc)
 Usage incentives
 Customers satisfaction surveys
 Target cross-sell information

• Reactivation
 Services recovery messages.
 Intervention contacts with reasons to stay with the company.
 Acknowledgements that customers are valued and missed.
 Activation incentives for inactive customers.
 Notes letting customers know “ the door is always open”
Many
to
one
Few
to
one
One
to
one

Companies should
• To commit to the day-to-day requirements of
building successful relationships, including:
1. Mutual benefit to both parties involved.
2. Commitment and dedication to making the relationship work over time.
3. Authenticity, openness and genuine expressions of carrying
4. Communication to help covey the other three elements.

Communication strategy
• There are 5 elements that are especially important to consider when
determining an emotional driven contact strategy.
1-Relevance= Message must have meaning to the recipient.
Will the recipient understand the reason for getting this?
Is it meaningful and of interest to the recipient.
2-Timing= Might be expected at other times surprising.But neve unwelcome.
3-Sender / Recipient Relationship=Who is it from?
4-Frequency = The more frequent the communication,the more impact it can
have on the relationship.
5-Perceived value=It must to be relevant
Relevant communication makes a recipient fell known and
valued

Direct marketing based on 5 itens
1-Perceived value
 Is the piece something the recipient would expect to receive from the sender?
 Will it be welcome?
 Is it likely to enhance the relationship?
2-Clarity
 Is the purpose of the contact obvious?
 If a response is desired, are the expectations clear?
3-Consistency
 Does the piece reflect the sender’s brand identity/image?
4-Mutual benefit
 Does it offer value to the sender as well as the recipient?
5-Creative concept
 Is it engaging and memorable?
 Is it unique and differentiated?
 Is the content compelling?

Selecting communication vehicles
• Postcards for sales promotions
• Emails for updates
• Help full information
• Phone call to check satisfaction with a recent purchase.
• 87% prefer to hear about new products and services by direct mail.
• 52% notices loyalty and sends a thank you letter and gift Would strongly
encourage them to be more loyal.
• Sending a letter and gift after an inconvenience strongly encourages 46%
of customers to remain more loyal.
• A company that simply notices loyalty and sends a thank you letter, would
encourage 37% to more loyal

3 Emotional E’s
• Equity= For developers and reinforcing trust
• Experience= For enhancing exchanges and interactions
• Energy= for contacts convenient for the customer.
• Emotional marketing is impossible without a robust ongoing face-to-face,
two way dialogue with customers.
• Effective Emotion Marketing communication are personal, relevant,
relationship-focused, intended to create an emotional connection unique
and differentiated.
• The communication stream should include functional, rational and
emotional contacts.

Emotional Marketing on the Internet
• “The web is informal, it is not emotional and has not yet taken its place
among the major vehicle of persuasion.”
• Profitability is driven by loyalty, and loyalty is achieved largely by building
emotional relationships with best customers.

Who are business best customers in the firs place?
Who are they?
What do they buy?
What do the value?
How do they shop?
How are they motivated?
E F F E C T I V E
Means to reach these people?
Communications that deliv.er relevant messages in timely meaningful ways

Business online
• “ Doing business online is about more than processing web-based
transations.It is about using the internet to develop, maintain,and manage
positive relationships with customers, partners and suppliers.
• The result is long term relationships, repeat sales, business efficiency and
increased profitability.”

Good opportuninity to the marketers.
• Marketers also find that few people pay attention to their email ads.
• Minimizing the number of clicks
• Making the check out process secure.
• What their sites can do to conncect emotionally?
To find out not only what products their visitors purchase, but what
experiences, services and information they truly value.

Broken Paradigmas
• Merely presenting merchandise
Or
• Offering a convenient way to purchase it

Internet connecting emotionally
• Williams-sonoma = share recipes.
http://www.williams-sonoma.com

Internet connecting emotionally
• Amazon.com = Book and music reviews and make product suggestion
based on customers post purchase behavior.

Amazon.com

Petopia.com
• A complete guide to hunter pets in the word of war craft.
• Bottomless bowl.

REI.COM
• Top-Brand Outdoor Clothing, Footwear & Gear for Summer ...

Overcommunicating
“ It is a signal to consumers that a company does not care about their time.”
Customizing means:
 Collecting data regarding purchase behaviour,
 shopping partners,
 demographics,
 services,
 inquires
 and like then putting all of it to use.

American Airlines

Franklin Covey.com
Our Mission
• We enable greatness in people and organizations everywhere.FranklinCovey creates
transformational leadership in people and organizations around
the globe through training, executive coaching, and principle based programs.

Early stages of internet
• In the early stages of the web, companies have mostly been using its
unique properties to sell more goods.
• Strategies like this may or may not work.At best, they will result in a
quick,short term revenue hit,but won’t go very far in bonding with
customers.

Important
• WUY – “WE understand YOU” and
“ know your world is complicated” we want to help make it simpler by
providing unique, relevant solutions that enhance your life.

Bringing emotion to E.commerce
• Know why a customer is visiting: Companies must know and
recognize what motivates people to go a site,then develop
the site with those drivers in mind.
• It should be easily navegable, getting people in, around,and
out of the site as effortlessly is possible, leaving out
banners,ads,unnecessary links and slow to download
graphics.

Passion
• Facts,stories,entertainment,pictures,videos and sound.
Content Architeture Navigation Design

When appropriate add content
• Customer testimonials and ratings
• Access to a community or chat room
• Product recommendations.
• Chances to ask an expert.
• Tips on how to use or enhance the product.
• Entertainment

Customize Messages
• Provide real value.

Provide real value.

Integrate the web sit with other interactions
and touch points
• Chat and call center

Create intrigue
• Great companies, brands can not exist just by providing information. The
great ones have mystery and sensuality.

Five points of the value star.
• Since companies have limited resources to deliver messages, and
consumers have limited time to hear them, a brand can not win on all five
points of the value star. It should decide strategically which dimensions it
will lead with and which it will deliberately not emphasize.

Winner companies
• To win in the marketplace, a company has to meet two objectives.
1. Lead on at least two of the five value star dimension, including one or
more from the emotional side.
2. Be at least neutral on the other dimensions to ensure a brand remains in
consumers decision sets.

The star value
• In today’s new economy, consumers have an enormous array of choices
to meet their needs. If a company fails to offer a solid product value,
consumers will have an easy time defecting to a competitor.

Rational points of value star.
• Product and money, the rational points of the value star, are the cost of
entry into a competitive market. A brand will win based on the Emotional
E’S,but satisfying the rational side is necessary to get into a competitive
market.A brand will win based on the Emotional ES, but satisfying the
rational side is necessary to get into consumers decision sets in the first
place.
• Choosing to lead solely on product money is not a sound strategy – they
are the easiest marketing tools for a competitor to replicate, and do not
represent a sustainable, competitive advantage.

Emotional Marketing
• Treat employess as individuals seeking out and finding ways to meet their
specific needs.
• Managers who inspire loyaty must be truly interested in helping people
develop and have the interpessoal skills to facilate that process.
• Managers must be mentors not only for delegating tasks.
• They must inspire and motivate employees to do what they do the best.
• In short, managers must lead.

Managers x Employess
Managers guessed
• Good wages
• Job security
• Promotion/growth
Employees preference
• Full appreciation for work done
• Feeling in on things
• Sympathetic help on personal
problems

FACTS
• Personal thanks: 42%
• Written thanks:24%
• Promotion for performance:22%
• Public Praise:19%
• Morale Building meetings:8%
Conclusion: Easy and less expensive
Source: Armstrong

Findings about employees
• The best employees prefer to work for companies that deliver, in turn,
builds customer loyalty.
• Our sales and service people are trained to know our products and to be
friendly and helpful. They are urged to take all the time necessary to take
care of you.
• A clear and well articulated ideology attracts to the company people
whose personal values are compatible with the company’s core values.

Walt Disney’s include
• No cynicism.
• Nurturing and promulgation of wholesome American values.
• Creativity, dreams and imagination.
• Fanatical attention to consistency and detail.
• Preservation and control of the Disney Magic.

Talking about excellence
• “ Excellence happens only when people have a deeply felt sense of
purpose in their lives.”
• “ Human beings want to belong to something that has significance and
meaning. They want to know they are making a difference and are
contributing to an important endeavor.”
Source: Galup’s workplace column

Experience starts with people
• Instigating social change
• Innovating
• Providing opportunity
• Improving the quality of life
• Building relationship provide
compelling
Reasons to give loyalty
to a company

Flexibility
• “Could mean being empowered to make any decisions necessary to make
a customer happy.”
Try to integrate my
work into my life!!!

Rational and Emotional Drivers
Rational Drivers
• Clear expectation
• Appropriate materials and
equipaments
• Commitment to quality
Emotional Drivers
• The opportunity to do what an
employee is best at
• The sense that opinions
expressed are valued
• Best friend at work
• Opportunities to learn and grow

Acquisition,Recruting and Hiring
“It is not technical skills we are looking for, it is nice people.
We can train people to do anything technical, but we can’t make them nice.”
“Hiring starts of looking for people with good attitude, people who enjoy serving other
people.”

Assimilation
 Training and early experience.
 Training programs and orientation.
Cultivation: The career phase
 Experienced
 Committed
 Empowered employees
Reactivation: From rough spots to resignation
 Keep the open door allowing workers to return when appropriate.
Acquisition,Recruting and Hiring

Communicating with employess

Reactivation
The add communication with employees is the opportunity for spontaneity

Employee loyalty
• Customer loyalty is strongly linked to employee loyalty.
• Employees play a critical role in building relationships between customers
and companies.
• Whether they are on the front lines or working at headquarters,
employees benefit from a customer centric culture.
• Corporate downsizing, layoffs, free agents and tight labour market are a
few factors that become loyalty difficult.
• Establishing clear corporate ideology plays an important part in building a
company’s Equity and in attracting and keeping the right employees.
• Managers represent the strongest connection between an individual and
an employer, strong leadership adds value to an employee's experience
with an organization.
• The need for flexibility, due in large part to workers desire for work – life
balance, is one of the biggest challenges facing employers today.
• A satisfying job ( product ) and competitive compensation ( money ) are
minimum criticals for employee loyalty.

An action plan
 Is not a stand alone strategy.
 Won’t mask unhealthy relationship practices.
 Calls for a long term commitment to customer relationships.
 Needs to down support and a caring corporate culture.
 Requires continuous effort at all levels of the company.

Excellence
• Excelence is:
An aspiration
An attitude
A Pursuit
A way of life
• Excellence is found
• In the caring
• In the trying
• In the doing
It is our objective. We seek it with dedication.

Excellence
• Excellence is all of us working together,aspiration to the fullness of our
potential.
• Always in pursuit of higher standards determined to do.
• Everything we do somehow better than it ever has been done before.

Succesful Emotion Marketing
• Require a four stage action plan:

Stages of action plan: Stage 1 Assessment
1-Assessment:
 Customer research,
 relevant databases,
 callcenters reports
 website activity reports,
 marketing strategies
 Answer:
What customers want and value from the organization?
How customers currenty perceive the organization?

Assessment Involves:
• Assembling existing customer research and other data.
• Conducting additional research as needed.
• Assessing strengths and weakness relative to competitors on each of the
five points of the value star.
• Assessing relative importance of each value driver to each consumer
segment ( and ideally to each individual customer).
• Identifying gaps where customer needs are not currently being full met.

Stages of action plan: Stage 1 Assessment
• Equity
Dos the company have hour best interest at heart?
Does the company share your values?
Would you feel comfortable recommending the company to friends?
What is your level of trust?

Experience
• Experience
Is the shopping enviroment engaging?
Are the customer service reps a attentive and helpful?
Is it pleasant to interact with the company?
Regard less of the distribution channel?

Energy
• Energy
Is the order process easy?
Does the company respect and value your time?

Stages of action plan: Stage 2 Strategy
• Strategies, with accompanying objectives and metrics based on each
segment’s value and potential value to the company, should be created
with an eye toward allocating resources to meeting the customers higher
level needs.

Stages of action plan: Stage 2 Strategy
Strategy
1. Identify relative attractiveness of each segment
2. Determine strengths and close value gaps, identified the assessment
stage.
3. Determine specific tactics to implement for each strategy.
4. Develop a communication plan
5. Devise metrics and measurement methodology.
6. Adjusting internal organizational issues as need structure,
performance management, staffing and training.
7. Ensuring appropriate it infrastructure is in place to assist in adding
customer value and measuring the effectiveness at the initiative.

Stages of action plan: Stage 3 Implementation
• Write relationship building principles into corporate beliefs and values
make them a dynamic part of culture.
• Create a customer centric organization structure.
• Make customer focused behaviours a criteria for hiring.
• Continuously train and retrain employees to better anticipate and meet
customers needs.
• Set performance objectives and incentives around loyalty measures.
• Empower front line employees to deliver superior customer service.

Stages of action plan: Stage 4 Evaluation
• Building strong relationship is a long term proposition.
• True loyalty is not earned in a month or a quarter – but evidence proves
the benefits are well worth the investment.
• Short term quantitative measures
• Qualitative measures.
• Long term quantitative measures.
• Challenges to Emotion Marketers may include desire for short term gain,
cost, dealing with the scope of a relationship – building program, and
difficulty translating mass communication to individual messages.

Highlights

Emotion marketing

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