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INTRODUCTION TO
                                ADVERTISING
                                    WEEK 6
                               CONSUMER AUDIENCE




Last Updated:March 31, 2013         © LMS SEGi education group   1
LEARNING OBJECTIVES

        •     To understand motivations behind
              consumers’ thoughts, feelings and
              actions.




Last Updated:March 31, 2013   © LMS SEGi education group   2
LEARNING OUTCOMES

        •     Students should be able to identify internal
              and external factors that effect consumer
              responses. Meanwhile understanding the
              concepts of strategic segmenting and
              targeting.




Last Updated:March 31, 2013   © LMS SEGi education group     3
DOVE real beauty campaign

•   DOVE conducted a longitudinal research
    on the image of beauty through the eyes
    of young girls. Findings were alarming as
    only 2 % of girls find themselves beautiful.
    Others compared themselves to the image
    they see in advertisements.
How does consumer behavior work?

•   Think about a purchase you made last
    week.
•   What was the motivation that drove you to
    make your purchase?
Consumer behavior

•   How individuals or group select, purchase,
    use or dispose products as well as the
    needs and wants that motivate their
    behaviors.
•   Who are consumers?
•   Who are customers?
•   What are prospects?
Influences on consumer
decision making
                        Psychological
                        State of mind
                       Needs and wants
                         Satisfaction

 Social and cultural                       Behavioral
                          Consumer
       Culture         decision making    Quantity usage
                          influences
     Social class                        Brand relationship

  Reference groups                          Innovation
                       Market segment
       Family
   Demographics
                       Target audience
The consumer decision making process

•   The information approach to brand decisions.
         Low involvement       High involvement

         Need recognition       Need recognition

                                  Info search
           Evaluation of
           alternatives
                                  Evaluation of
                                  alternatives
           Evaluation of
           alternatives
                                  Evaluation of
                                  alternatives
          Post-purchase
           evaluation
                                 Post-purchase
                                  evaluation
The paths to brand decisions
      Path              Goal             Example           Objective

Think-feel-do   Learning, interest   Computer game,    Provide
                                     CD, DVD,          information,
                                                       emotions.
Think-do-feel   Learning and         College, computer Provide info and
                understanding                          arguments.

Feel-think-do   Needs                A suit            Create desire

Feel-do-think   Wants                Cosmetics,        Establish a
                                     fashion           psychological
                                                       appeal
Do-feel-think   Impulse              A candy bar, a    Create brand
                                     soft drink        familiarity
Do-think-feel   Habit                Cereal, shampoo   Remind of
                                                       satisfaction
Segmenting and targeting

•   Segmenting
    •   Dividing market into groups of people who
        have similar characteristics in certain key-
        product related areas.
•   Targeting
    •   Identifying a group that might be most
        profitable audience and the most likely to
        respond to marketing communication.
Types of segmentation


                                                          Segmentation




                                                                   Psychographics
  Demographics            Life stage                                                                  By benefits sought
                                                                     Social class     Behavioral
  Gender/Ethnicity     Age/living situation   Geodemographics                                         Specific problems/
                                                                      Lifestyle     characteristics
Income/religion/race                                                                                   benefit sought.
                                                                     personality
Targeting the right audience

•   Profiling
    •   Having a person in mind when the target
        market is being identified.
    •   Adding a variable to your target, narrows
        down your target market.
         •   Women + aged 25 – 40 + urban + college
             educated + multilingual + techno savvy + married +
             with kids + working + observes religion + active in
             society + … + …
Conclusion

•   Consumer behavior describes how a group of
    individuals or groups select, purchase, use and
    dispose the product.

•   Influences of the decision-making process
    includes their demographic and psychographic
    being and their willingness to try something new.

•   Targeting the right consumers and knowing what
    they want can ensure market success.
Reference

•   Moriarty, S., Mitchell, N., Wells, W. (2009).
    Advertising: principles and practice.
    Pearson.

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Lms lecture slide 6_introduction to advertising

  • 1. INTRODUCTION TO ADVERTISING WEEK 6 CONSUMER AUDIENCE Last Updated:March 31, 2013 © LMS SEGi education group 1
  • 2. LEARNING OBJECTIVES • To understand motivations behind consumers’ thoughts, feelings and actions. Last Updated:March 31, 2013 © LMS SEGi education group 2
  • 3. LEARNING OUTCOMES • Students should be able to identify internal and external factors that effect consumer responses. Meanwhile understanding the concepts of strategic segmenting and targeting. Last Updated:March 31, 2013 © LMS SEGi education group 3
  • 4. DOVE real beauty campaign • DOVE conducted a longitudinal research on the image of beauty through the eyes of young girls. Findings were alarming as only 2 % of girls find themselves beautiful. Others compared themselves to the image they see in advertisements.
  • 5. How does consumer behavior work? • Think about a purchase you made last week. • What was the motivation that drove you to make your purchase?
  • 6. Consumer behavior • How individuals or group select, purchase, use or dispose products as well as the needs and wants that motivate their behaviors. • Who are consumers? • Who are customers? • What are prospects?
  • 7. Influences on consumer decision making Psychological State of mind Needs and wants Satisfaction Social and cultural Behavioral Consumer Culture decision making Quantity usage influences Social class Brand relationship Reference groups Innovation Market segment Family Demographics Target audience
  • 8. The consumer decision making process • The information approach to brand decisions. Low involvement High involvement Need recognition Need recognition Info search Evaluation of alternatives Evaluation of alternatives Evaluation of alternatives Evaluation of alternatives Post-purchase evaluation Post-purchase evaluation
  • 9. The paths to brand decisions Path Goal Example Objective Think-feel-do Learning, interest Computer game, Provide CD, DVD, information, emotions. Think-do-feel Learning and College, computer Provide info and understanding arguments. Feel-think-do Needs A suit Create desire Feel-do-think Wants Cosmetics, Establish a fashion psychological appeal Do-feel-think Impulse A candy bar, a Create brand soft drink familiarity Do-think-feel Habit Cereal, shampoo Remind of satisfaction
  • 10. Segmenting and targeting • Segmenting • Dividing market into groups of people who have similar characteristics in certain key- product related areas. • Targeting • Identifying a group that might be most profitable audience and the most likely to respond to marketing communication.
  • 11. Types of segmentation Segmentation Psychographics Demographics Life stage By benefits sought Social class Behavioral Gender/Ethnicity Age/living situation Geodemographics Specific problems/ Lifestyle characteristics Income/religion/race benefit sought. personality
  • 12. Targeting the right audience • Profiling • Having a person in mind when the target market is being identified. • Adding a variable to your target, narrows down your target market. • Women + aged 25 – 40 + urban + college educated + multilingual + techno savvy + married + with kids + working + observes religion + active in society + … + …
  • 13. Conclusion • Consumer behavior describes how a group of individuals or groups select, purchase, use and dispose the product. • Influences of the decision-making process includes their demographic and psychographic being and their willingness to try something new. • Targeting the right consumers and knowing what they want can ensure market success.
  • 14. Reference • Moriarty, S., Mitchell, N., Wells, W. (2009). Advertising: principles and practice. Pearson.