Influence Adapted from J. Scott Armstrong Updated July 2014 Influence R41 Learning Diary The lectures follow an experiential learning experience. To make this work properly: 1. Obtain a learning diary (paper). A 10 x 13 bound diary is suggested. 2. Keep it up to date. 3. Take the learning diary with you to all class sessions. 4. For self-learners, use the diary to track your learning progress for all of your learning activities. Adprin.com 2 Objectives of this session To understand and apply these principles and techniques (not to convince you). Ask for clarification as needed. Set a goal for yourself on how many principles and techniques you plan to use by the end of this session. Even a goal of one will help you. Put this in your learning diary now. Note: We will discuss only some of the slides. When you go through the lecture on your own, view it in “Slide Show” and follow the experiential procedures. Adprin.com Procedure Focus on understanding. Record questions in your learning diary that will help you to apply the techniques or principles, then, after you decide which ones you want to apply, try to answer these from the readings. If not clear, ask others for help. Adprin.com 4 Waste Management TV Campaign Waste Management, an actual international waste hauler company, has asked you for a brief proposal for a national TV campaign. Apply the influence principles (and any of the information principles) to develop a pitch for this campaign. 1.Propose ideas for ads in this campaign 2.Do not look up information about Waste Management. Adprin.com Waste Management conditions Objectives – Profits – Fair treatment of stakeholder groups Product - High-involvement: Collect and dispose of household & commercial waste. - Comparative advantage: Most experienced, high technical competence, proven effectiveness Target markets – City government officials – People in the city: Prior knowledge -- Image problem (environmentalists; Mafia?) – Employees – Investors Adprin.com 6 Provide a reason (2.1.1) In 1904 Albert Lasker, head of the Lord and Thomas Agency, received a message passed from John E. Kennedy, a copywriter: – “I am in the saloon downstairs and I can tell you what real advertising is. I know that you don’t know… If you wish to know what advertising is, send the word ‘Yes’ down by messenger.” Lasker said, “Yes.” Kennedy said that advertising centered on using “reason why” copy. Example: The Bose Wave radio has a “patented acoustic waveguide speaker technology.” Of 474 full-page print ads by leading US firms, 72% provided a reason (Which Ad Pulled Best). Adprin.com 7 2.1.1 - Provide a reason – Perdue – Complies In general, reasons provided should be relevant and logical. - Discussed in Persuasive Advertising, p. 64 Adprin.com Would you like a good bargain? Subjects were given a choice between a TV at $229 & a comparable “bargain” TV at $129. When no reason was given, 24% said they would choose the cheaper set- Simonson, Carmon and O’Curry 1994). What percentage said they would purchase the cheaper set given the same choice along with the reason, “You immediately notice that there is a long scratch on the side of the (decorative) panel.” Write your answer in your learning diary and explain 53% _________ Note that the reason reduces uncertainty. Adprin.com 9 “Reason-why ad” used by Bernbach suggested that business travellers should fly first class for the good of their company Adprin.com May I Use the Xerox Machine? Predict the percentage of people who would let someone in line ahead of them for each of the following reasons in versions 2 and 3. Write the answers in your diary: 60% (1) “Excuse me, I have five pages. May I use the Xerox machine?” 94% ______ (2) “Excuse me, I have five pages. May I use 93% the Xerox machine because I am in a rush?” ______ (3) “Excuse me, I have five pages. May I use the Xerox machine because I have to make copies?” Then click here for the answers. Adprin.com Print ads with a “reason why” had higher recall Using Which Ad Pulled Best, we found 37 pairs of print ads where one ad offered a relevant reason to buy the product while the other ad did not. On average, recall for ads with reasons was 1.3 times higher. Adprin.com 12 May I use the Xerox machine - Part 2 Predict the percentage of people who would let someone in line ahead of them for treatments #2 and #3 and write your reasons in your diary: 24% (1) “Excuse me, I have 20 pages. May I use the Xerox machine?” ______ (2) “Excuse me, I have 20 pages. May I use 42% the Xerox machine because I am in a rush?” 24% ______ (3) “Excuse me, I have 20 pages. May I use the Xerox machine because I have to make copies?” Adprin.com For high-involvement products, the reasons should be strong (2.1.2) Of 321 full-page high-involvement print ads, 71% provided strong reasons (Which Ad Pulled Best). Recall for ads with strong reasons was 1.5 times higher than for the other ads with reasons (25 pairs of high-involvement print ads from Which Ad Pulled Best). Example: An Isuzu ad stated, “The new Isuzu comes in many attractive colors….a powerful new 24-valve, V6 engine and a price tag you can actually afford," had a recall score four times more than that for another Isuzu ad that did not offer strong reasons. In combination with principle 2.1.1., this implies that an ad with strong reasons is twice as effective as an ad with no reasons. Adprin.com 14 Provide reasons for the Waste Management campaign Write two reasons favoring Waste Management as a provider in your learning diary. (Later, you will be able to compare your reasons with those used in the actual campaign). ___________________________ Then continue. Adprin.com 15 Show that the product is widely used (2.2.1). McDonalds’ ad in 1963, “Over 1 billion sold.” This argument is sensible. How could all those people be wrong? Of course, sometimes the market is wrong as in the tulip bulb mania. Adprin.com 16 Experiments show the power of the group on behavior Demonstration of the conformity experiment by Asch (2:00) See a discussion of the conformity experiments (6:00) Elevator demonstration from Candid Camera (2:13) Adprin.com 17 Focus on individuals similar to the target market (2.2.2) “Their intrinsic worth is not sufficient … most go with the crowd, and go because they see others go.” Balthazar Gracian, 1637 In other words show that lots of people who are similar to the target market use this product. Adprin.com Show that the product is widely used by people like you Reebok UBU: 1:00 Violates Adprin.com 19 Mrs. Jones uses this product Yankee peddlers in the 1800s would sell to Mrs. Smith by telling her that Mrs. Jones in her neighborhood had bought one. This approach became popular in the early 1900s. When people see those similar to them doing certain things, they mimic the behavior with little conscious thought. Levine described the mating process of the sage grouse. Males puff their chests and strut. Over 90 percent of the mating is done by 10 percent of the males. How do the females choose? They choose the male who is surrounded by the most females. In experiments, males surrounded by fake female decoys were more likely to mate. Social proof is used to show the target market that the product is liked by people who are similar to them on some key dimension – such as age, or political viewpoint. This association is stronger if the product is new to the target market. Adprin.com 20 Focus on similar people Whose is this? (1:17) Complies How can you apply this to Waste Management? To your organization? Adprin.com 21 Evidence for social proof & similarity In Goethe's 1774 novel, The Sorrows of Young Werther, many readers dressed, acted, . . . and committed suicide like Werther. Because of copycat deaths, the novel was banned in some European countries. Studies of the “Werther effect” began in 1841. (Schmidtke & Hafner, 1988, listed 90 studies.) A field experiment on curbside recycling showed that people were more likely to recycle when given information about recycling in their neighborhood. (Schultz 1998) An analysis of 26 pairs of WAPB print ads found that those showing use by similar people had 1.2 times more recall.(PA , p.71) An analysis of 716 thirty-second TV commercials found that ads rated above the median on being, “for people like you,” generated 16% higher recall and 21% higher persuasion than those below the median (Ipsos-ASI). Adprin.com 22 Pink Jeep Example: Complies Adprin.com 23 An Application of Social Proof We examined web sites for the US News and World Report ’ s 120 top-ranked universities in July 2006. Pictures of typical students were shown on the homepage for 56% of the sites. Comment on this as an example of social proof in your learning diary. How effective is it, in your opinion? It failed because the association is not distinctive or new to the target market. Adprin.com Fisher Island: Complies 25 How would you respond? You are walking on a well-travelled city street. Someone is lying on the ground calling for help. How likely would you be to respond? Write your answer in your diary. What would lead you to respond? Write your answer in your diary. Here is the situation and the evidence (3:36) Adprin.com 26 Another application of social proof The U.S. National Park service posted signs to reduce the theft of petrified wood: “Your heritage is being vandalized everyday by theft losses of petrified wood of 14 tons a year mostly a small piece at a time.” They then did an experiment on the extent to which the sign reduced theft. Write your prediction: ___ no change; ___small reduction; ___ large reduction and write your reason in your diary. Answer: Theft increased 2.7 times. Why? It made the activity seem common (Cialdini 2003) Adprin.com 27 Will you donate to save lives? Should you focus on a ___Group or___ individual? Write your answer and say why. Then click here. Avoid group shots, said Ogilvy and research supports his advice. What type of people should you use in the ads? Write your answer and say why. Then click here. Donations are higher (with social proof than with a simple appeal) only for similar people, and this effect is greater when showing an individual.(Kogut & Ritov 2007) Adprin.com 28 ICBINB Problem When the butter substitute “I Can’t Believe It’s Not Butter” was introduced to the U.K. in October 1991, the Butter Council threatened legal action against ICBINB because of their use of the word “butter.” Was this a good idea for the Butter Council? Write your answer in your diary and say why. Then click here. ____NO ____YES ICBINB ran ads showing the storyboard for the “banned” TV commercial along and said that the butter interests were trying to remove ICBINB from the market. (Scarcity) Within a month their brand awareness was 38% and they had trouble meeting demand. The ad campaign won an IPA award for effectiveness. Adprin.com Restrict sales of the product (2.3.2) Limit by type of customer: LADIES AND CHILDREN NOT ADMITTED. “There,” says he, “if that line don’t fetch them, I don't know Arkansaw!” (Mark Twain) Limited purchase time (“offer expires on March 1!”) Limit on number of items that can be purchased (“Limit of four per customer!”) Adprin.com Restrictions: Cookie Jar experiment ___Version A: Subjects were in a room with a jar containing either two or ten cookies. A second experimenter entered to say his subjects had eaten more than expected. He asked for the jar with the ten cookies and replaced it with one that had two cookies. ___Version B: The 2nd experimenter also changed jars but said he had accidentally taken the first experimenter’s jar. In which case were the cookies more desirable? Write your answer in your diary and state the reason. Then click for the answer. Version A: Subjects who were told that the cookies were scarce because of demand thought of them as more desirable than when the cookie supply was accidentally diminished. Adprin.com 31 Laundry detergent case In 1972, due to environmental concerns, Miami, Florida, prohibited the sale, possession, and use of laundry detergent that contained phosphates. Mazis (1975) conducted interviews with housewives in Miami and Tampa (which had no such law). The 76 Miami respondents rated phosphates more highly than the 45 Tampa respondents did for each of seven characteristics. Why? State that an attractive product is scarce when it is true (2.3.1) Adprin.com 32 The Car Accident Case When jurors were not told that the defendant had accident insurance, they awarded a damage claim of $33,000. When told that: $37,000 A) he did have insurance, the award was ______ B) he had insurance followed by the judge instructing them to $46,000 ignore that information, the award was _______ Scarcity again. Adprin.com Provide “inside” information about product scarcity a) Some customers for a beef importing company were given a standard sales presentation. b) A second group was told that the supply of beef was likely to be scarce in the coming months. c) A third group was given the same information about beef scarcity, but was also told that this information was not generally available. “b’s” sales were twice “a’s” sales “c’s” sales were six times “a’s” sales Adprin.com Seyval grapes grow only in the Chateau Pierre vineyards and regularly win the “French National Gold Medal for Exquisite Wines.” Brochure treatments 1.Scarce or abundant 2. “This wine can be purchased at an attractive price,” or, “This wine can be purchased at the attractive price of $20 per bottle.” Product more desirable when scarce and price was not mentioned. Mention of price eliminated the scarcity appeal. Do not mention price or utility when using scarcity. Adprin.com How to reduce littering Which approach had the highest percentage of litter that was properly disposed of in a classroom building? Three randomly assigned groups Control Group: no treatment: 32% 85% Treatment A: told they were neat and tidy: Treatment B: told that they should be neat and 31% tidy: Adprin.com Attribute favorable behavior or traits to the target market (2.4.1) A 1950 print ad by Bell Telephone read, “Your cooperation is always a big help in maintaining good telephone service and we want you to know how much we appreciate it.” In the early 1990s, The Economist magazine ran a campaign praising their readers. One ad said: “A poster should contain no more than eight words, which is the maximum the average reader can take in at a single glance. This, however, is a poster for Economist readers.” Adprin.com Successful application of attribution “1984” by Apple (8:14) Adprin.com Another successful application of attribution Stereotypes – Stossel in the Classroom – (6:00) Adprin.com Associate products with things that are favorable and relevant to the product (2.5.1) Mixed evidence: Analysis of 1,059 TV commercials from leading advertisers found that “scenic beauty” was associated with lower persuasiveness (Stewart & Furse 1986). Probably a negative if the ad has strong arguments. Note: Remember that liking can be a strategy in certain situations, but it is not an objective. Adprin.com 40 Favorable associations: Good applications St. Patrick’s Day (Guinness) Nescafe coffee commercials (0:30) Note the power of a creative application Adprin.com 41 Molson Beer Case Molson beer ads showed a young man with two adorable puppies on the 1st page. The 2nd page explained that the 1st page was being published in women ’ s magazines to condition them to like men who drink Molson beer. Readers were told that there are “hundreds of thousands of women preprogrammed for your convenience.” Is this a good application of positive associations? Would you approve this ad if you were a Molson executive? How would you test this ad? While it was a clever application of the liking principle, the ad led to protests by watchdog groups. It could have been copy-tested in the concept phase. Adprin.com Violation of positive associations Coke and the 101-year-old grandma: (0:29) Adprin.com 43 The Car Salesman Should you buy a car because you like the salesman? Adprin.com 44 Balance theory Multiply the signs. If negative, one feels dissonance and tries to resolve it. Adprin.com 45 Common enemy: Good application Norway Tram: 0:44 Adprin.com 46 An unsuccessful application of balance theory: too complex and too negative for a lowinvolvement product Herb the Nerd Adprin.com To enhance believability, consider using support from an authority (2.6.1) More persuasive for advertising “credence goods.” Believability higher if message is supported by an institution/person respected as an authority by the target market. – spokesperson should look and sound authoritative. – writing, font, layout, illustration, etc. should look authoritative. Authority is powerful. Use it truthfully to develop good longterm relationships. Adprin.com 48 Evidence for the effects of authority Experimenters told subjects in the role of “teachers” to apply electric shocks to people who missed questions on a test. Some of the teachers thought that their subject, the “learner,” died during the experiment. Primary evidence due to the Milgram experiments obedience to authority. (6:00) The experiments were extended by others – with similar findings. Adprin.com 49 An extension of the Milgram study 21 of 22 nurses administered a drug even though the medicine was unauthorized and the dosage was twice the maximum dosage stated on the bottle. This happened even though the – doctor gave the order by phone (a violation of hospital policy), and – the doctor was unknown to the nurse. The obedience findings are surprising. Another sample of 33 nurses was asked if they would follow such an order and 31 of them said they would not. (Hofling et al 1966) Adprin.com 50 Example using an authority to influence 51 Ask customers to make an explicit promise (2.7.1.) When homeowners were asked to make a private pledge to save money, their energy use decreased by 4% relative to a control group (Pallak & Cummings 1976) Adprin.com 52 Heart Association Fund Drive You are walking down a street when someone asks if you would complete a short survey on what you think of the Heart Association. Then, whether you complete the survey or refuse, the person asks you to make a donation to the Heart Association. Would the fact that you were asked to complete a survey make you more likely to donate? ____ No _____ Yes Almost twice as many of the subjects asked to complete the survey donated (most had filled out the survey). Source: Reingen 1978 But consider ethics and legal issues: You are not allowed to use a survey as an advertising tool. Adprin.com Commitment “Foot in the door” (FITD) -- people are more likely to commit if they have previously made a related smaller commitment. The initial step should be freely chosen. Foot in the door: Ask customers to take a relevant small step, then follow up quickly with a directly related second request. (2.7.2) 43 studies found this principle to be especially effective for social causes (Dillard’s 1991 meta-analyses). The effects for commercial products are weak. Adprin.com 54 Why Give Things Away? In the late 1800s, Pear’s Soap Company sent a bar of soap & baby care leaflets to babies whose birth was announced in The Times in England. In the 1880s, Quaker Oats gave out calendars, cookbooks, blotters, church fans, and cereal. How should you give products away? Give something to specific individuals when they can reciprocate easily (2.8.1) There should be no strings attached to the gift. “There is no duty more indispensable than that of returning a kindness.” Cicero, 53B.C. Adprin.com 55 Field experiment: Address labels Donations for the American Disabled Veterans received a 18% response rate for a mail solicitation. What percent response did they get when free address labels were included? 35% Source: Smolowe 1990 Adprin.com 56 Field experiment: Mail survey response rates A mail survey promised a $50 payment upon receipt of the completed survey. Predict the percentage of respondents. 23% The same survey was mailed with $5.00 included. Predict the percentage of respondents. 49% Note that promises do not work well. Source: James & Bolstein 1992 Adprin.com 57 Waste Management Campaign Meet in your group Apply the Influence principles to the development of the Waste Management TV campaign. Suggest concepts for 30-second commercials. Also use the principles checklists up to this point. Also apply techniques from “nurturing creativity” by using those checklists. Adprin.com 58 Conditions for Waste Management TV Campaign • Objectives: – Profits – Fair treatment of stakeholder groups • Product: Collect and dispose of household & commercial waste. (High involvement) - Benefits: Most experienced; high technical competence; proven effectiveness - Image problem (environmentalists; Mafia?) • Target markets – City government officials – People in the city – Employees – Investors Adprin.com 59 Applications of influence principles Apply the principles from this session to Waste Management. Do not look at any information or TV commercials for Waste Management. Prepare a ten-minute PPT for Waste Management showing commercials that you would recommend. Present this in the next class session as indicated on the schedule. Act as you would act as if you were in this situation. DON’T CONTINUE WITH SLIDES UNTIL AFTER YOUR PRESENTATION. Adprin.com 60 Techniques In your diary, describe the techniques that you were able to use for the Waste Management campaign, and rate your success (e.g., creativity, objective setting) In your diary, write how you would use experimentation to test your Waste Management ads. Adprin.com 61 Advice on learning techniques One study found that fewer than 10% of students were successful in applying new knowledge. • This went to 20% if they actively applied what they were taught during a class session. • It went to 90% when they worked with a learning partner and coached each other. Select techniques to apply Adprin.com 62 Follow-up: Complete prior to next session 1. ___ Go through this lecture on your own (It is on the Educational Materials page) 2. ___Study Persuasive Advertising pages 63-84 and record your reading time in your learning diary. Highlight techniques that you want to apply in yellow. 3. ___ Complete the End of Chapter Questions for “Influence” and check your answers against PA. 4. __ When you have completed all steps, check your approach against Waste Management’s award winning campaign. Adprin.com Waste Management Campaign Compare your ideas with those used in their award winning campaign. See next slide. How many of their principles did you use? Adprin.com 64 Waste Management Applications of Influence Principles Ad Target Market Suit to Protect Local community Buenos Aires Local community Recycling & energy Local community Anais Greenbay Employees Butterfly Local community Energy source Reciprocity Commitment Social Proof Liking Authority Scarcity Reasoned Action X X X X X X X X X X X X Local community X X Pollution control Local community X X Olympics Local community X X San Jose Recycling Local community X X X X Australia Local community X X X X X X X X Note: Local government implies not only the officials, but also the voters X X