Part 2 Principle: Be True to Thy Brand Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall 4-1

1. How does marketing communication work both as a form of mass communication and interactive communication? 2. How did the idea of advertising effects develop, and what are the problems in traditional approaches to advertising effects? 3. What is the Facets Model of Advertising Effects, and how does it explain how advertising works? Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall4-2

Surprisingly, many experts are not sure how advertising works, or even if it works well. This is even more of a problem for the new digital media and other forms of marketing communication. The problem: poorly executed advertising doesn’t communicate well to its intended audience or have the impact its creators desired. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall 4-3

“I know half my advertising is wasted, but I don’t know which half.” John Wanamaker, department store baron For more quotes on the impact of advertising, visit: Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall4-4

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Mass communication is a process. Consider: The SMCR Model: 1.Source 2.Sender 3.Message 4.Channels of communication 5.Receiver Feedback is obtained by monitoring the response of the receiver to the message. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall 4-6

Referring to Figure 4.1B, discuss: 1.Message 2.Medium 3.External noise 4.Internal noise 5.Feedback Can you identify each of these elements in the Ford SYNC example from this chapter? Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall 4-7

 Mass communication is traditionally a one-way process with the message moving from sender to receiver.  Interactive communication is two-way—a dialogue— and is where marketing communication is headed. ◦ The source and receiver change positions as the message bounces back and forth between them. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall 4-8

The move toward interactivity  Interest in buzz marketing indicates that marketing communication is moving beyond two-way communication.  Consumers can now: ◦ react to messages with comments, phone calls, e- mail inquiries. ◦ Initiate communication as well as receive it. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall 4-9

The move toward interactivity  Advertisers must learn to receive (listen) as well as send information.  Feedback is now occurring in real time through: ◦ personal selling ◦ customer service ◦ online marketing ◦ toll-free numbers ◦ Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall 4-10

Permission marketing defined: “A practice that invites consumers to sign up for messages or self-select themselves into a brand’s target market.” This trend mirrors the shift from one-way to two-way communication. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall 4-11

 The Internet has radically changed our conversation.  Consider the effects of: ◦ Texting ◦ Twitter ◦ Hashtags Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall 4-12

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AIDA  Attention  Interest  Desire  Action Think/Feel/Do Think about the message, feel something about the brand, then do something, such as try it. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall 4-14

Domains Messages have various impacts on consumers simultaneously in: 1. Perception 2. Learning 3. Persuasion Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall 4-15

According to advertising pioneer David Ogilvy:  Information processing is key for certain types of ads.  Emotion, is equally important informing attitudes.  Persuasion is a key function as well. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall 4-16

Problems with traditional approaches 1. They presume a predictable set of steps. 2. Some effects are missing—brand linkage and motivation. Ultimately, brand communication is the most important consideration. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall4-17

Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall 4-18 In this YouTube ad, An unsuspecting but newly recognized Canadian citizen wakes up to find his bedroom has become a center of Canadian symbols. How is information processing used here?

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 Does a more complete job of explaining how advertising creates consumer responses.  It is useful in both setting objectives and evaluating advertising effectiveness. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall 4-20

Effective advertising creates six types of consumer responses: 1.See/Hear: the Perception Facet 2.Feel: the Affective or Emotional Facet 3.Think/understand: the Cognitive Facet 4.Connect: the Association Facet 5.Believe: the Persuasion Facet 6.Act/Do: the Behavior Facet Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall 4-21

 Perception: The process by which we receive information through our five senses and assign meaning to it.  Selective perception: Consumers select messages to which they pay attention.  For an advertisement to be effective, it first must be noticed or at least register on some minimal level on our senses. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall 4-22

Factors driving the perception response  Exposure Media planners want consumers to see or hear the message.  Selection and attention Selective attention: consumers choose to attend to the message.  Interest Receiver mentally engages with the ad or product. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall 4-23

Factors driving the perception response  Relevance Message connects on some personal level.  Curiosity Results from questioning, wanting to know more.  Awareness Ad makes an impression; registers with consumer.  Recognition People remember the ad. Recall means they remember what it said. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall 4-24

Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall 4-25 Messages that are relevant speak to a consumer’s special interests.

The synergy requirement  Using an IMC approach, marketers coordinate all marketing communication messages to create synergy.  This means individual messages have more impact working jointly than they would on their own. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall 4-26

The subliminal issue  Subliminal effects are message cues given below the threshold of perception.  Subliminal messages are designed to get past your perceptual filters by talking directly to your subconscious. As a class: For more on this issue, see “A Matter of Principle: Ice Cubes, Breasts, and Subliminal Ads.” Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall 4-27

The subliminal issue Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall 4-28 A liquor advertising campaign showed ice cubes with shapes in them and deliberately called attention to these supposedly “subliminal” messages.

 Affective responses mirror our feelings about something.  “Affective” describes something that stimulates wants, touches the emotions, and elicits feelings.  Brand messages can arouse a range of different emotions. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall 4-29

Factors that drive the affective response  Wants and desires Driven by emotions; based on wishes, longings, cravings.  Excitement Our emotions and passions are aroused. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall 4-30 This poster from the “Nightlife Navigators” campaign works to create a negative feeling about the financial impact of a DUI ticket.

Factors that drive the affective response  Feelings Emotional appeals based on humor, love, or fear.  Liking If you like the ad, those positive feelings transfer to the brand.  Resonance A feeling that the message rings true. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall 4-31

 Cognition refers to how customers: ◦ search for and respond to information ◦ learn and understand something.  It’s a rational, “left-brain” approach.  As a class: Discuss how American Airlines used the left- brain/right brain approach in an ad to creatively communicate its new seating in coach. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall 4-32

Factors that drive the cognitive response  Need Ad messages here describe something missing in the consumer’s life.  Cognitive learning Presenting facts, information, and explanations leads to understanding.  Comprehension The process by which we understand, make sense of things, or acquire knowledge. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall 4-33

Factors that drive the cognitive response  Differentiation The consumer’s ability to separate one brand from another, based on an understanding of a competitive advantage.  Recall A measure of learning or understanding. One remembers the ad, the brand and copy points. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall 4-34

 Association means using symbols to communicate. It is the primary tool used in brand communication.  Brand linkage reflects the degree to which: 1.the associations presented in the message 2.the consumer's interest are connected to the brand. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall 4-35

Factors that drive the association response  Symbolism A brand takes on a symbolic meaning. It stands for certain, usually abstract, qualities.  Conditioned learning Thoughts and feelings linked to the brand.  Transformation A product takes on meaning and is transformed into something special. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall 4-36

 Persuasion: influencing or motivating the receiver of a message to believe or do something.  Attitude is an inclination to react in a given way.  Attitudes are expressed as beliefs when people are convinced. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall 4-37 A dramatic photo of Mount McKinley associates drinking Coke with an enduring and majestic mountaintop.

Factors that drive the persuasion response  Motivation Something prompts one to act in a certain way.  Influence ◦ Opinion leaders may influence others’ attitudes. ◦ Word of mouth is created by strategies that engage influencers.  Involvement ◦ The degree to which one attends to messages and how they make product decisions. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall 4-38

Factors that drive the persuasion response  Engagement The consumer is “turned on.”  Conviction Consumers agree with a message and achieve a state of certainty or belief about a brand.  Preference and intention Here, consumers are motivated by conviction. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall 4-39

Factors that drive the persuasion response  Loyalty Brand loyalty involves attitude, emotion, action. It’s built on customer satisfaction.  Believability and credibility ◦ Believability: refers to credibility of the message. ◦ Credibility: trustworthiness of the source. ◦ Source credibility: the person delivering the message is respected, trusted, and believable. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall 4-40

 Behavior is the action response.  It can involve a number of actions including: ◦ Trying or buying the brand ◦ Visiting a store ◦ Returning an inquiry card ◦ Calling a toll-free number ◦ Clicking on a Web site A question for you: What is the difference between direct action and indirect action? Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall 4-41

Factors that drive the behavioral response  Mental rehearsal Advertising attempts to create virtual memories.  Trial This is important for new or expensive products.  Buying Advertising sometimes stimulates sales by the call to action. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall 4-42 Designed to inspire action, this ad was used during World War I to convince young people to join the military.

Factors that drive the behavioral response  Contacting Consumers respond by contacting the advertiser.  Advocating and Referrals ◦ Advocacy: speaking out on a brand’s behalf. ◦ Referral: a satisfied customer recommends a favorite brand.  Prevention Presenting negative messages about an unwanted behavior and creating incentives to stimulate the desired behavior. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall 4-43

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Reviewing the Facets of Effects Model When its six factors work together, they can create a coherent brand perception. However, we must remember that: 1.The effects are interdependent. 2.They are not all equal for all marketing communication situations. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall 4-45

 The “Strong” Theory Advertising can persuade people who had never bought a brand to buy it once, and then repeatedly.  The “Weak” Theory Advertising has a limited impact on consumers; best used to reinforce existing brand perceptions. Delayed Effects A consumer may see or hear an advertisement but not act on that message until a later date. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall 4-46

In Chapter 5, we will:  Explore the cultural, social, psychological, and behavioral influences that affect consumer responses to advertising.  Discuss how groups of consumers are segmented and targeted. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall 4-47

“Perfect Pitch: Ford’s in Sync with Singer/Songwriter”  In this campaign targeted to Hispanic consumers, Ford built brand awareness of the new SYNC technology through experiential activities.  About 100,000 consumers visited SYNC Zones at concerts by the Juanes. Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall 4-48

“Perfect Pitch: Ford’s in SYNC with Singer/Songwriter”  This campaign generated many test-drive leads, with a conversion rate of almost 30 percent. Key lessons:  Ford paired SYNC technology with its cars in a way that appealed to Hispanic consumers.  As a class: What others can you think of? Copyright © 2012 Pearson Education, Inc. publishing as Prentice Hall 4-49