Marketing communication Lecture 2 Martin Westbeek 2014 • Sagatiba: development of an ad campaign. • 1-18, 21-37 Marketing communication plan •Research into consumer, product, competition •Marketing communication target groups •Marketing communication objectives •Marketing communication strategy (position and proposition) •Concept development / creation •Marketing communication mix •Media •Implementation/execution •Evaluation Let’s dive in! Marketing communication plan •Research into consumer, product, competition •Marketing communication target groups •Marketing communication targets •Marketing communication strategy (position and proposition) •Concept development / creation •Marketing communication mix •Media •Implementation/execution •Evaluation Research into consumer, product, competition Psychology: consumer behavior: how do people become aware of, learn, select, choose, use, remain loyal to, share their experience with and dispose of a product? Depends on their involvement, which in turn depends on a lot of variables – mention some? Research into consumer, product, competition Psychology: consumer behavior: how do people become aware of a product, learn, select, choose, use, share their experience with and dispose of a product? Depends on involvement, which in turn depends on a lot of variables – mention some? - Immediate need - Visibility of product for others - Price of product - Similarity of products offered - Life of product - Peer group behavior - etc.! Research into consumer, product, competition Involvement 1: FCB matrix To which extent do knowledge or emotion dominate purchase process? Involvement Cognitive Affective Low Foodstuffs, A household, cleansing prod. Cigarettes, Alcoholic beverages, Sweets C High Mortgage, Insurance, Carpets Clothing, Cosmetics, Jewellery D A: do, learn, feel. B: learn, feel, do. B C: do, feel, learn. D: feel, learn, do. Research into consumer, product, competition Involvement To which extent do knowledge or emotion dominate purchase process? Involvement Low High Cognitive Foodstuffs, Make it a habit household, Generate awareness (pos) cleansing Push by promotions Mortgage, Insurance Carpets Affective Cigarettes, Alcoholic beverages, Sweets Clothing, Cosmetics, Jewellery Beware: coffee isn’t coffee and bread isn’t bread!! Research into consumer, product, competition Involvement To which extent do knowledge or emotion dominate purchase process? Involvement Cognitive Affective Low Foodstuffs, household, cleansing Cigarettes, Alcoholic beverages, Sweets High Mortgage, InformationInsurance Try before uCarpets buy Demos, samples Clothing, Cosmetics, Jewellery Beware: coffee isn’t coffee and bread isn’t bread!! Research into consumer, product, competition Involvement To which extent do knowledge or emotion dominate purchase process? Involvement Cognitive Affective Low Foodstuffs, household, cleansing Cigarettes, High attention value Alcoholic Brand loyalty (repeat purch.) beverages, Focus on gratification Sweets High Mortgage, Insurance Carpets Clothing, Cosmetics, Jewelry Beware: coffee isn’t coffee and bread isn’t bread!! Research into consumer, product, competition Involvement To which extent do knowledge or emotion dominate purchase process? Involvement Cognitive Affective Low Foodstuffs, household, cleansing Cigarettes, Alcoholic beverages, Sweets High Mortgage, Insurance Carpets Clothing, Convey emotion Cosmetics, Psychological added value Jewelry Visual Thematic Beware: coffee isn’t coffee and bread isn’t bread!! Research into consumer, product, competition Involvement 2: R&P matrix Function for consumer: solving problems or adding value? Involvement Informational - to 0 Transformational 0 to + Low Foodstuffs, Painkillers, Cleansing prod. Cigarettes, Alcoholic beverages, Sweets High Mortgage, Washing machine Insurance Clothing, Holiday trips, Jewelry - Negative or positive purchase motivation? - Increasing involvement (adding lifestyle to problem solvers) Research into consumer, product, competition High involvement: hierarchy of effects Knowledge (cognition) brand awareness brand knowledge Attitude (affect) attitude towards brand brand preference Behavior (conation) intention purchase liking, sharing, engagement (online) Important for your objectives! Research into consumer, product, competition Low involvement: Dissonance-attribution hierarchy aka ATR model (awareness, trial, repeat): if a brand is perceived as more sympathetic it will be chosen. If the brand meets expectations it will be selected again and people learn about and appreciate the brand. Brand awareness Purchase so?? Knowledge/attitude Repeat purchase Research into consumer, product, competition Low involvement: Dissonance-attribution hierarchy aka ATR model (awareness, trial, repeat): if a brand is sympathetic it will be chosen. If the brand meets expectation it will be selected again and people learn about and appreciate the brand Brand awareness Purchase Knowledge/attitude Repeat purchase High media pressure Attention for brand name Repeat (recall and recognition) POS Sales Promotions Research into consumer, product, competition Involvement somewhere in between: scanning-focusing hierarchy Confrontation scanning Attention Primary affective reaction focusing Knowledge Attitude attitude Buying intention Purchase Satisfaction New York Pizza Dyson Research into consumer, product, competition Values and meanings Whatever the involvement is: make a means – end chain (laddering) Again: coffee isn’t coffee! Features - physical psychological Benefits - functional psychological Values - instrumental terminal Research into consumer, product, competition Means – end chain (laddering) Features: Benefits: Values: Oil of Olaz contains moisturizer Retinol helps fight wrinkles being desirable Features: Benefits: Values: Volvo has 12 airbags protects all passengers being a good parent Features: Benefits: Nikon has a CMOS-3 processor always ready for a next shot, so catch all those precious baby moments on camera reliving memories/eternalizing your life Values: Research into consumer, product, competition Product: life cycle Introduction: brand awareness, information, focus on novelty, test purchase, high communication pressure (trade channel). Growth: rise of competition, private labels, focus on brand preference, mass media. Maturity: preserving brand preference, actions, promotions, product varieties, (re)positioning. Decline: limited support, focus on price. Research into consumer, product, competition Competition: Who are my direct competitors? What distinguishes them from us? What communication strategy do they use? What claims and arguments do they use? What distribution channels do they use? What media do they use? Use a weighted feature – benefit – performance type matrix (p.113) Research into consumer, product, competition Feature Benefit to target group Performance Brand A Performance Brand B Performance Brand C Performance Brand D Quality 1 + + 0 + Design 2 + - 0 + Price 3 - - + + Service 4 0 - 0 -