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Summary of Last week
Homework
Subject:
- Explain Hedonic and Utilitarian products.
- Give detailed consumer behaviour characteristics of both
Hedonic and Utilitarian shoppers
- Explain the differences between Hedonic and Utilitarian
shoppers.
Dead Line: 23th of May 2016
Format: Report.
Not more then 3 papers.
Printed file.
2
Chapter Five Slide
2
Project
Project:
Dead Line:
Format:
Ratio:
Total point:
Launch your own brand/product/service
15th of June, 2016, Submit through e-mail:
[email protected]
Printed project.
Report type.
Max 15 pages
15%
100 points
3
Chapter Five Slide
3
Project
Choose a product or product category and define your product/business. Give a brand name of your
choice.
Part 1:
Segment your market. Define potential segments.
Define your priority segment /segments among potential segments (define your target segment)
Conduct 5 in-depth interviews to understand the needs, attitudes, perceptions, intentions, motivations of your
priority target segment/s.
Explain your in-depth interview findings. Explain your respondents’ buying behaviour and explain their
characteristics when making a purchase desicion.
Part 2:
Define your value proposition that would differentiate your product/service from competitior products.
(Define your positioning strategy).
Define your product/service/brand brand personality.
Part 3:
Design your advertising message to persuade your target segment.
Plan your media to transmit your advertising message.
Which advertising appeals will you use to attract your target consumers and persuade them for a positive
responce.
4
Chapter Five Slide
4
CHAPTER
NINE
Communication and
Consumer Behavior
Learning Objectives
1. To Understand the Role of the Message’s Source in
the Communication Process.
2. To Understand the Role of the Message’s Audience
(Receivers) in the Communication Process.
3. To Learn About Advertising Media and How to Select
the Right Media When Sending Promotional
Messages Targeting Selected Consumer Groups.
4. To Learn How Understanding Consumers Enables
Marketers to Develop Persuasive Messages.
5. To Understand How Marketers Measure the
Effectiveness of Their Promotional Messages.
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Chapter Nine Slide 6
Basic Communication Model
Figure 9.2
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Chapter Nine Slide 7
9. 1 The Source as the Initiator
Formal
Communication
Source
•Marketer or
organization
Informal Source
•A parent, friend or
other consumer
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Chapter Nine Slide 8
The Source Impersonal and Interpersonal Communications
1. Impersonal Communication
Communication of organisations
through avdertising, Public
Relations, spokepersons.
2. Interpersonal Communication
One to one communication
- Formal sources: sales person
- Informal sources: peers that
consumers communicate face to
face or via electronic means.
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Chapter Nine Slide 9
Source Credibility
• Source Credibility:
The perceived honesty and credibility of the source of
communication has influence of on the acceptance of
the info by receiver.
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Chapter Nine Slide 10
The Source - Rererence Groups:
• Reference Groups
– Normative: Influencing defined values or behaviour
– Comparative: Benchmark spesific but narrow part
of ones lifestyle.
– Membership:
– Symbolic: the consumer
is not member but takes
the values anf attitutes
of the group
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Chapter Nine Slide 11
The Source: Informal Sources
• Informal Sources
– Opinion leaders:
category spesific opinion
leaders or influencers.
– Word of Mouth: Two
way communication.
• Take place face to face,
through online, telephone
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Chapter Nine Slide 12
The Source:
Word of Mouth as an Informal Source
• Word of Mouth and
eWOM
– Two-way communication
– Social networks
– Brand communities:
Online forums
– Message boards and
Blogs
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Chapter Nine Slide 13
The Source
Word of Mouth – Strategic Applications
• Buzz Agents
• E-ferrals and
recommendations:
sending notices about
ones selections
• Viral Marketing
Online viral campaigns need to be
managed carefully to tackle negative
comments
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Chapter Nine Slide 14
Credibility of Formal Sources
Endorser Effectiveness
Effectiveness is related to the message and its ease of
comprehension
Synergy between the endorser and the product types
is important. (Match up theory)
Endorser’s demographic characteristics should be
similar to the target
Endorser credibility is not a substitute for corporate
credibility
Endorser’s words must be realistic for them
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Chapter Nine Slide 15
Credibility of Formal Sources
Other Credibility Sources
Vendor
Credibility
Medium
Credibility
• The reputation of
the retailers
• The credibility of
the magazine,
website, or radio
station
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Effects of time
• The sleeper effect:
Disassociation of the
mesage from the
source over time.
Phenomenon when
the consumer does
not remember the
source
Chapter Nine Slide 16
9.2 The Receivers as the Target
Audience
All audiences interpret the message according to
their;
- personnal preceptions
- personnal experiences
Pictures
Words,
Symbols
spokepersons
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Expectations
Experiences
Characteristics
Motives
Involvement
Mood
Chapter Nine Slide 17
9.2 The Receivers as the Target
Audience
• Personal characteristics and motives
Personality, demographics, social groups, and
lifestyle have impact on how the message is
received.
• Involvement and congruency
Increased contrast may increase the power of the
message.
• Mood
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Chapter Nine Slide 18
Barriers to Communication
Barriers to communication
– Selective perceice/exposure to messages
• Selective exposure to media (with improved
technology)
– Psychological noise
• Competing advertising mesages
• Distracting thoughts
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Chapter Nine Slide 19
Overcoming Psychological Noise
Repeating
exposure to
advertising
messages
Contrast to break
through clutter
Effective
positioning
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Customized
promotion
messages
Offering unique
value
propositions
Chapter Nine Slide 20
9.3 Media as the channels for
Transmitting Messages
Media:
• Mass Media: Interpersonal
• Nontraditional (New) Media
Traditional media
 Mass Media
 TV
 Radia
Broadcast
 Newspaper
 Magazines
Print
 Outdoor
 PR
 Direct Marketing
 Direct Mail
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Untraditional media
 Online media
 Digital advertising
 SEO- Search engines
 Blogs, Forums
 Online PR
 Mobile ads
 Interactive TV
 E-direct marketing
Chapter Nine Slide 21
9.3 New Media
• Nontraditional (New) Media is:
Addressable
Interactive
Response
measurable
• Customized
and
addressed to
different
receivers
• Receivers can
interact with
the sender
• Receiver's
response can
be measured
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Chapter Nine Slide 23
Nontraditional Media
• Out-of-home and On-the-go
– Advertising screens in buildings and transit
– Digital billboards on roads
– Ambient advertising (in new places)
• Online and Mobile
– Includes consumer-generated media: sponsored content
on blogs, forums, social networks
– Narrowcast messages
– Mobile
• Interactive TV (iTV)
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Chapter Nine Slide 24
THANKS YOU 

9.4 Designing Persuasive Communications
It is improtant to be able to reflect the excact objective of a
message the marketer need to understand the target market’s
personal characteristics.
Objective of advertising message:
•
•
•
•
•
•
Creating awareness of a product/service
Promoting sales of a product
Encouraging (discouraging) certain practices
Attracting retail patronage
Reducing postpurchase dissonance
Creating a favourable image
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Chapter Nine Slide 26
9.4 Designing Persuasive Communications
Message Structure
and Presentation
• Resonance
• Message framing
• One-Sided versus TwoSided Messages
• Order Effects
• Wordplay
• Used to create a double
meaning when used
with a relevant picture
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Chapter Nine Slide 27
Resonance
Advertising Technique used in these ads.
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Chapter Nine Slide 28
Designing Persuasive Communications
Message Structure
and Presentation
• Resonance
• Message framing
• One-Sided versus TwoSided Messages
• Order Effects
• Positive framing
• Negative framing
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Chapter Nine Slide 29
Designing Persuasive Communications
Message Structure
and Presentation
• Resonance
• Message framing
• One-Sided versus TwoSided Messages
• Order Effects
Depends on nature of the
audience and nature of
competition
• One sided message:
advertiser only uses
favourable benefits of the
product
• Two sided message:
advertiser uses both
negative and positive sides
of the product.
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Chapter Nine Slide 30
Designing Persuasive Communications
Message Structure
and Presentation
• Resonance
• Message framing
• One-Sided versus TwoSided Messages
• Order Effects
•
•
•
•
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Primacy
Recency
Order of benefits
Brand name
Chapter Nine Slide 31
Advertising Appeals
•
•
•
•
•
•
•
•
Comparative
Fear
Humor
Abrasive: agony commercials, which features
unpleasent mesages.
Sex
Audience participation
Timely
Celebrities
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Chapter Nine Slide 32
Comparative - It Has Positive Effects On Brand
Attitudes, Purchase Intentions, and Purchases
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Chapter Nine Slide 33
Humor and Fear Appeal
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Chapter Nine Slide 34
Types of Celebrity Appeals
Table 9.6
Types
Definition
Testimonial
Based on person usage, a celebrity
attests to the quality of the product or
service
Endorsement
Celebrity lends his or her name and
appears on behalf of a product or
service with which he or she may or may
not be an expert
Actor
Celebrity presents a product or service
as part of a character endorsement
Spokesperson
Celebrity represents the brand or
company over an extended period of
time.
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Chapter Nine Slide 35
Feedback
Determining Effectiveness
Exposure
effects
• How many consumers
received the message?
Persuasion • Was the message received
and interpreted correctly?
effects
Sales
effects
• Did the ads increase sales?
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Chapter Nine Slide 36
Feedback
Determining Effectiveness
• Exposure
– People meters
• Message Attention, Interpretation, and Recall
– Physiological measures: track bodily responces to
stimuli. E.g: eye tracking
– Attitudinal measures: measures level of
engagement, involvement
– Recall and recognition measures
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Chapter Nine Slide 37
THANKS YOU 

All rights reserved. No part of this publication may be reproduced, stored in a
retrieval system, or transmitted, in any form or by any means, electronic,
mechanical, photocopying, recording, or otherwise, without the prior written
permission of the publisher. Printed in the United States of America.
Copyright © 2010 Pearson Education, Inc. Publishing as
Prentice Hall
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Chapter Nine Slide 39