1. Math 110
Brought to life with Addressable Minds
FINAL REPORT – DECEMBER 2011
“TO BUY OR NOT TO BUY A CD”
Project Team
Maclynn Kornreich
Dejon Lofton
Alexa Tanney

2. Topics
• Identify a business or social issue to which
surveying will get to the mind of the consumer
• Addressable Minds… what is it, and how it works
• Review the study process and the results and
conclusions
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3. Purchasing of CD’s Issue
• An increased number of people have begun to
download music illegally off of the internet.
• Many artist have begun to feel discouraged within their
careers
• Artist and record labels need to know how to hold
their consumers interest and how to produce more
sales of their CDs.
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4. About Addressable Minds
• Addressable Minds is a scientific, actionable form of “predictive consumer
intelligence” for business and social issues accurately defining consumer
attitudes and preferences both stated and unstated.
• It has been described by Malcolm Gladwell and others as discovering the
“DNA of the Consumers Mind”.
• This patented science created by Dr. Howard Moskowitz, author of “Selling
Blue Elephants” (Wharton Press) and the Wharton Business School has
achieved critical acclaim and financial success across:
– product design and development,
– consumer messaging,
– more effective consumer engagement physically and digitally.
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5. Dr. Howard Moskowitz.
Addressable Minds Inventor, honored by the scientific community,...
s the Chairman of iNovum, a graduate of Queens College
and holds a Ph.D. in Experimental Psychology from Harvard
University.
on two of the most prestigious awards in market
research
005 Charles Coolidge Parlin Marketing Research
Award
The “Nobel Prize” of Market Research, received only by
the pioneers of market research.
Recipients include Arthur Nielsen, George Gallup,
Michael Porter, David Ogilvy and Philip Kotler.
010 Walston Chubb Award for Innovation across all
sciences, Sigma Xi, The Scientific Research Society,
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6. Addressable Minds
Cuts across traditional segmentation & detects hidden preferences
Behavioral Segmentation
- Product Usage
- Brand Loyalty
- Attitudinal
Addressable Minds
Psychographic Segmentation
- Social Class
- Lifestyle Type
- Personality Type
Demographic Segmentation
- Age
- Gender
- Income
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7. Create Addressable Minds messaging for sales
IDENTIFY TARGET MARKET
DEVELOP SURVEY QUESTIONS
10 – 15 minutes
INTERNET
SUY SURVEY
IdeaMap™ Potential buyers of
CDs or illegal
downloaders
ANALYZED SURVEY RESULTS → Addressable Minds
MARKET SEGMENTATION MARKETING PHRASES SEGMENTATION WIZARD
Total Seg 1 Self Seg 2 Seg 3 Seg 4 Personal
Sample Driven Online Technology/ Collaborative Touch with
Banking High Security Online Seekers Technology
Seekers Seekers
Base Size: (267) (105) (50) (59) (53)
Constant: 31 34 28 31 26
Online Collaborative
OC1 Connect online in 'real time' with a customer rep via instant
messaging, voice over IP or video conferencing via your
computer 0 2 2 5 -13
OC3 Faster loan application process…work in real time online with a
loan officer 0 0 -8 12 -8
No more paper mail – we will send you copies of statements by secure e-mail
OC4 Our bank's customer service reps will help you browse and use
our online banking services -1 0 -6 10 -10
OC2 Use our online tool to find and schedule at your convenience an
online working session with an expert such as investment broker,
insurance agent, and/or loan officer -3 1 -11 6 -12 Securely manage your account by PDA, Internet of automated telephone
Online Other
ON3 We will answer all your requests in 'real time' by email, instant or
text messaging 1 7 -11 3 -1
ON4 We offer 'On demand' status reports for services requests (e.g., Our banks customer services reps will help browse & use our on-line services
loan application) delivered to you via e-mail, text or instant 1 6 -4 -3 0
ON2 messaging
No more paper mail... W e will send you statements and images of
transactions securely by email -2 5 -17 -5 2
ON1 We allow you to pay bills securely using your mobile devices (cell
phone, PDA, Blackberry, etc.) -4 2 -13 -9 -2
Manage all your banking needs with a state of the art kiosk and be confident
In-Branch Recognition that live help is available if you need it
BR3 We offer a bank-issued smart card so we can recognize you
entering the branch and process your needs faster 4 2 6 -3 13
BR4 Choose a secure eye or finger security scan to identify you
immediately in-branch and at ATM 4 3 10 -1 3
BR2 We have the most secure biometric system that identifies you as
you enter the branch so we can process your needs faster 2 -1 8 -5 6
BR1 We will recognize our customer's mobile phone signal when
entering a branch so we can recommend appropriate bank
products, promotions and special services -4 -3 -6 -11 2
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8. Addressable Minds’ underlying science
uses standard Science and Mathematics
IDENTIFY TARGET MARKET
DEVELOP SURVEY QUESTIONS
INTERNET
SUY SURVEY
IdeaMap™ Potential buyers
of CDs or illegal
Experimental Design –
downloaders
Stimulus/Response
ANALYZED SURVEY RESULTS → Addressable Minds
Ordinary Least Squares Discriminant Function
Conjoint analysis
Regression Analysis
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9. A Survey Was Performed by the Team in the
area of CD Sales
• To serve as a learning vehicle for the application
Addressable Minds to a practical business or
social issue
• Sufficient to show the power of the method
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10. SURVEY OVERVIEW
(1 of 2)
 An Addressable Minds Survey is a survey of key ideas for CD
sales and illegal downloading.
 Survey conducted on November 6, 2011 :
◦ Population Ages 18 and over of Males/Females across the US
 The team created key marketing and advertising messaging
with the intent to entice the survey taker to purchase CDs
instead of downloading music illegally.
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11. SURVEY OVERVIEW
(2 of 2)
• 51 Individuals responded
• Assess two major aspects of messages
– Does it convince a prospect to purchase CDs?
– How does it make the prospect feel about illegal downloading?
• Data reveals the mind-sets of respondents across the United
States, as well as ‘what works, what doesn’t’
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12. The Survey begins with an orientation screen
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13. Each respondent evaluates 48 unique combinations of elements
First on overall interest
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14. Then selects a single emotion
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15. What convinces?
What drives feelings?
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16. Total Panel – Interested in purchasing the CD and not downloading
music illegally
1) How likely are you to buy a CD based on this information?
Sorted by
<-- Not likely at all Very likely - ->
Total
1 2 3 4 5 6 7 8 9
Sample
Sorted by Total Sample : Highlighted >+9 winners & <-9 losers
Base Size 51
Constant 40
B1 16
When purchasing the latest CD by your favorite aritst, you will receive an autographed cover.
B4 One day, this CD will be a collectors item and be worth a lot of money. 14
C4 12
When you purchase the CD, you will receive a code for a free music video off of ITunes
B3 The CD includes lyrics to all of the songs on the disk 9
A1 Purchasing a CD by your favorite aritst helps better their career. -9
F6 Your ISP (Internet Service Provider) can ban you from internet access. -13
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17. The Total Panel’s Interest is Different From That in Each of The Two
Identified Segments
1) How likely are you to buy a CD based on this information?
Sorted by
<-- Not likely at all Very likely - ->
Total Seg1 of 2 Seg2 of 2
1 2 3 4 5 6 7 8 9
Sample
Sorted by Total Sample : Highlighted >+9 winners & <-9 losers
Base Size 51 32 19
Constant 40 48 28
16 11 25
When purchasing the latest CD by your favorite aritst, you will receive an autographed cover.
One day, this CD will be a collectors item and be worth a lot of money. 14 11 20
12 11 15
When you purchase the CD, you will receive a code for a free music video off of ITunes
The CD includes lyrics to all of the songs on the disk 9 6 15
The CD booklet includes many pictures of the aritst and fans. 9 -2 27
Special CD packages contain bio features or other things of the artist choice. 6 14 -7
6 4 9
Purchasing a CD by your favorite artist includes a track-list of all the songs on the CD
This CD is a limited addition and will not be available for a long period of time. 3 -8 20
You encourage and enable the artist to continue producing CD's. 2 -3 10
2 12 -15
Music on CD’s have professional sounding tracks, as if you were in studio yourself.
Most songs when illegally downloaded are not even the song, but instead just a random person -4 1 -12
speaking.
Purchasing CD's by your favorite artist will boost their career financially. -6 -3 -10
-6 -13 7
Federal law states downloading music illegally can be a fine of $150,000 per song.
Hackers target those who download music illegally and they send viruses and can destroy your -9 -20 11
computer.
Purchasing a CD by your favorite aritst helps better their career. -9 -12 -5
Your ISP (Internet Service Provider) can ban you from internet access. -13 -17 -7
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18. There are two unique segments
Extras/Promo Realist/True Fans
Hunters
37%
63%
Messaging for one isn’t necessary going to
appeal to the other…and could actually hurt
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19. Extras/Promotion Hunters (Seg1)- Interested in the extra bonus features of
the CD’s they purchase.
1) How likely are you to buy a CD based on this information? Sorted
<-- Not likely at all Very likely - -> by Seg1 of Seg2 of
1 2 3 4 5 6 7 8 9 Total 2 2
Sorted by Total Sample : Highlighted >+9 winners & <-9 losers Sample
Base Size 51 32 19
Constant 40 48 28
Special CD packages contain bio features or other things of the artist choice. 6 14 -7
Music on CD’s have professional sounding tracks, as if you were in studio
2 12 -15
yourself.
When purchasing the latest CD by your favorite aritst, you will receive an
16 11 25
autographed cover.
One day, this CD will be a collectors item and be worth a lot of money. 14 11 20
When you purchase the CD, you will receive a code for a free music video off of
12 11 15
ITunes
9 6 15
The CD includes lyrics to all of the songs on the disk
Purchasing a CD by your favorite artist includes a track-list of all the songs on the
6 4 9
CD
Most songs when illegally downloaded are not even the song, but instead just a
-4 1 -12
random person speaking.
The CD booklet includes many pictures of the aritst and fans. 9 -2 27
You encourage and enable the artist to continue producing CD's. 2 -3 10
Purchasing CD's by your favorite artist will boost their career financially. -6 -3 -10
This CD is a limited addition and will not be available for a long period of time. 3 -8 20
-9 -12 -5
Purchasing a CD by your favorite aritst helps better their career.
Federal law states downloading music illegally can be a fine of $150,000 per
-6 -13 7
song.
-13 -17 -7
Your ISP (Internet Service Provider) can ban you from internet access.
Hackers target those who download music illegally and2011 send viruses and can
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-9 -20 11
destroy your computer.

20. Realist/True Fans (Seg2)- Interested in not only bonus features, but also the
artist themselves and the music.
1) How likely are you to go to this resort? Sorted
<-- Not likely at all Very likely - -> by Seg1 of Seg2
1 2 3 4 5 6 7 8 9 Total 2 of 2
Sorted by Total Sample : Highlighted >+9 winners & <-9 losers Sample
Base Size 51 32 19
Constant 40 48 28
The CD booklet includes many pictures of the aritst and fans. 9 -2 27
When purchasing the latest CD by your favorite aritst, you will receive an
16 11 25
autographed cover.
One day, this CD will be a collectors item and be worth a lot of money. 14 11 20
This CD is a limited addition and will not be available for a long period of time. 3 -8 20
The CD includes lyrics to all of the songs on the disk 9 6 15
When you purchase the CD, you will receive a code for a free music video off of
12 11 15
ITunes
Hackers target those who download music illegally and they send viruses and can
-9 -20 11
destroy your computer.
You encourage and enable the artist to continue producing CD's. 2 -3 10
Purchasing a CD by your favorite artist includes a track-list of all the songs on the
6 4 9
CD
Federal law states downloading music illegally can be a fine of $150,000 per
-6 -13 7
song.
Purchasing a CD by your favorite aritst helps better their career. -9 -12 -5
Your ISP (Internet Service Provider) can ban you from internet access. -13 -17 -7
Special CD packages contain bio features or other things of the artist choice. 6 14 -7
Purchasing CD's by your favorite artist will boost their career financially. -6 -3 -10
Most songs when illegally downloaded are not even the song, but instead just a
-4 1 -12
random person speaking.
Music on CD’s have professional sounding tracks, as if you were in studio
2 12 -15
yourself.
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21. The “Segmentation Wizard” is a 30 second shortcut survey that is
extracted from the 15 minute survey and identifies the segment
membership of that individual
IDENTIFY TARGET MARKET
DEVELOP SURVEY QUESTIONS
10 – 15 minutes
INTERNET
SUY SURVEY
IdeaMap™ Potential buyers of
CDs or illegal
downloaders
ANALYZED SURVEY RESULTS → Addressable Minds
SEGMENTATION WIZARD
Segmentation Wizard consists of 3 or 4 elements No more paper mail – we will send you copies of statements by secure e-mail
identified in the in-depth 10 – 15 minute survey
Securely manage your account by PDA, Internet of automated telephone
Our banks customer services reps will help browse & use our on-line services
Manage all your banking needs with a state of the art kiosk and be confident
that live help is available if you need it
© 2011 21

22. The CD Project Segmentation Wizard–
Online example
The Segmentation Wizard is a short survey with the
questions derived from the full survey to identify
segment membership
http://mjiweb.com/mjitt/QC_Fall2011_CD/index.htm
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23. The CD Project Segmentation Wizard–
Online example
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27. Conclusions
• The two segments created by the Addressable minds survey for
CDs now allows music promoters to know what to use to entice
customers.
• Restating what the CD already comes with and then adding a
legacy to it can effect the way people view the product.
• You can improve CD sales, but you have to show consumers that
there are benefits to spending their money rather than
downloading illegally.
– Know the segmentation
– Give the right message to the right segment
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