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7thaug pglecture4 (2)

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    Dr. Jyotinder Kaur Chaddah

    Lecture -4&5

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    How people buy products and use them can

    be assessed by watching them.

    How people negotiate rates can also give

    interesting insights on their buyingbehaviour.

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    This includes the method of collecting data,

    sample design, and construction of the data

    collection instrument. Data can be collected

    by observing behaviour, experimenting at ashopping place, or through surveys by

    questioning a cross section of people.

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    If a marketer wishes to test the packaging

    of a shampoo in three kinds of

    containers(flat, round or Square) to map

    consumer preference, she/he then place oneof each kind in three similar department

    stores, the price of each container being

    equal.

    The shape that is picked up faster, canprovide insights about consumer preference

    for shape.

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    Ariel campaign (a woman refusing to buy

    double the quantity of a detergent at half

    the price against her chosen brand , Ariel ) is

    said to be based on a real recording of abuyers behavior, which was later adapted

    into a television commercial.

    Toyota, in an observational research, found

    that customers saw cars as object of art, soit worked this theme into the early

    advertisements of its Lexus model.

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    Advertising research generally focuses on

    gathering information that helps to reduce

    the uncertainty and risk associated with

    advertising, which invariably includesconsumer attitudes towards products,

    consumer reactions to various advertising

    startegies and messages, information about

    competitiors ad spends and information

    about media audiences.

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    Promotional research looks into the

    usefulness of promotional materials.

    Promotional research helps marketers

    understand consumer psychology vis-a visvarious promotional offers.

    It also gives insights about when to introduce

    a promotion and when to withdraw.

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    Goodyear Tyres on the occasion of the fifth

    centenary celebrations of the founder of

    sikhism, brought out Gurbani Cassettes which

    were given to truck drivers in north India,where thousand of truck drivers follow the

    sikh religion.

    Concept of a super woman

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    Target Market Research

    Competitive Activity Research

    Positioning research

    Pre-test message research

    Post test message research

    Audience Research

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    A product needs to be promoted to

    prospective customers. Who are they, where

    are they located? What are their attitude,

    behaviour and media habits? Such questions need to be answered before

    an advertising campaign is launched.

    Infact there is no phenomenon called the

    average consumer any more.

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    Markets today are fragmented and complex,

    comprising small, niche buyers who possess

    distinctive habits, characteristics and

    attitudes. Advertisers use consumer segmentation

    research to identify and understand the

    groups of consumers that comprise the

    market place for a particular product orservice.

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    Different consumer segments have different

    media habits and receptivity to different

    types of promotional efforts.

    Hence identification of specific segmentsmedia preferences helps a media planner

    better match media selection with target

    audiences media habits.

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    The target market research seeks to gain the

    following insights about people:their level of

    product usage,their important identifying

    characteristics and their media usagepatterns.

    These can be pinpointed by rather simple

    question such as , How many grams of

    coffee does your family consumer weekly?

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    Some advertisers ask consumers to keep

    diaries or record of their product purchases

    for a specified time. Data gathered this way

    is used to categorize consumers on a scale,

    from heavy users, to light to non users.

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    Competitive activity research is alsoreferred to as situation analysis research.The findings provide situations in whichadvertising decisions will be made.

    The aim of competitive activity research is tolearn how much money competitors arespending and on which media. This alsocovers competitors creative strategies and

    their execution. This helps company makethe advertising budget, do media selection,and render creative strategies to gain acompetitive edge.

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    Positioning research is brand specific. Hence

    it is customized in nature.

    Perceptual Mapping helps the advertiser to

    find out about the following :-The number of dimensions consumers use to

    distinguish between brands or products.

    -The nature and characteristics of these

    dimensions, that is , the specific attributesor dimensions that consumers use to make

    distinctions among products.

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    -The location of actual brands as well as

    ideal brands, on these dimensions

    This reveals consumers evaluation of

    advertisers product Vs other product Vs theideal product on dimensions of importance

    and the brands most direct competition from

    consumers point of view.

    This exercise providers advertisers a basis fordeciding whether future advertising should

    reinforce or seek to change the brands

    current positioning.

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    Ad campaigns are cost intensive.

    The objective of pre testing the campaign is

    to ensure that the message is understood by

    potential consumers the way it is desired tobe.

    The usual method followed by the agency is

    to show several advertisements to a group of

    consumers and seek their responses to theadvertisements.

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    The researcher aims at knowing what the

    copy meant to the potential consumer, what

    they learned, what the recall was, and their

    immediate reactions to the illustration or

    copy.

    Some advertisers go with the final

    advertisement for the test, while others do it

    at rough layout stage. Eg Cadillac that ZIGs

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    Pre testing can be done on a focus group of

    potential users.

    Researchers sometimes measure consumers

    physical responses to proposedadvertisements by using mechanical devices.

    Eye Movement cameras identify the first

    spot that the reader focus on when they look

    at a print advertisement and furthermovement.

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    Pupil meters measure pupil dilation as

    respondents view a print or televised program

    and show their involuntary reactions.

    Brainwave scanners show brainwave activity as

    research subjects are shown the advertisements.

    Galvanic devices record perspiration

    Simulated atmosphere is created with recorded

    programs interspersed with commercials to

    enable potential consumers to view them

    without a bias in a normal setting.

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    Post test message research is conducted

    durring or after the advertisements have

    appeared in the media. The methods are

    generally the same as pre test.

    Aim is to determine whether the

    advertisements that proved effective

    (according to a specific definition) in a pre-

    test with a small group are also as effectivewhen released in the mass media for a wider

    audience and under normal settings.

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    The aim is to gauge effectiveness of

    advertisements, often determined by recal,

    measuring memory or awareness of

    advertising slogans.

    Post test research is done with large number

    of readers and viewers.

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    Another kind of Post test is referred to as

    Recognition testing

    In this test, print media readers and

    television viewers are asked whether theyremember having seen the advertisemenet

    and whether they remember the name of the

    company sponsoring it . They are asked to

    reply in Yes or No Interviews are held mostly in the homes of

    the respondents.

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    Change in brand awareness of a respondent

    before and after a campaign.

    This is a bit difficult as it is difficult to know

    about various other influences on awarenessthat include friends, family, competitive

    advertising, observation or media reportage.

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    Audience research aims at gathering

    information about the size and composition

    of audiences of media vehicles. Media

    Planners use this information to select

    appropriate vehicles for advertisement

    messages.

    Audience research is also important to

    understand the heterogeneity of the socialgroups.

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    SP measurement is part of marketing

    research.

    It aims at measuring consumer perception of

    the value of promotions that includediscounts, coupons, giveaways, frequency

    programs, or contests.

    The biggest decision challenge for the

    consumer generally is whether to avail of,for Eg. Rs 5 off on a newly launched

    shampoo or pay Rs 5 more for the shampoo

    he or she uses.

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    When the product offer extra quantity or buyone get one free , the average consumerprefers to go for the product he or she uses.

    Sometimes the assured prize may or may not

    be perceived worthy of the product itaccompanies.

    LG electronics, a Korean electronic giant,announced its pataka phodo contest The

    assured prize was a T shirt(approx cost Rs50).This was not attractive enough offer forconsumers who were spending thousands ofRupees on electronic items.

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    Researchers generally use focus groups or

    ballots to gauge consumer perceptions on

    promotions. The ballot method lists out

    various options on papers that are then

    mailed to prospective consumers asking them

    to rank their preferences and mail the ballot

    paper back to them.

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    Marketers first try to survey the trade channel to

    gauge traders enthusiasm for various promotional

    options. Being part of the market they have a good

    understanding of consumer psychology and

    competitive activity.

    The promotions aimed at the trade community mustbe pre tested. A survey of key retailers and what

    they would perceive as a good promotion must be

    undertaken.

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    If a sales target is set and if a promotional

    activity meets it, it is considered successful.

    The quantitative measure for coupons is the

    number of coupons redeemed. For sweepstakes or lottery, it would be

    number of Consumers who entered the

    contest.

    Eg Pepsi


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