Wednesday 25 February 2009

Giving is better than receiving...no not like that you dirty scoundrels!

The act of giving a gift to someone is an important one for young men in particular to learn. Get them the right present and it's sexy time all round...get the wrong present and you better hope that floor is a lot more comfortable than it looks.

As a man, we tend to be perceived as useless at giving gifts and terrible at picking presents...I resent that and my track record would prove otherwise...cuddly gollywog for valentines day? Genius!

In all seriousness the act of giving a gift is one that can (and has) been examined further. Who the gift is for plays a large part in the level of involvement that goes into the decision making process of the person buying the gift. For example, if the gift is for someone I'm not that bothered about, generally I'll get it lastminute.com and it will be pathetically cheap. If the gift is for someone that I actually want to sustain some sort of relationship with in the future then I better spend a few bob on it! Laurent & Kapferer (1985) suggest that there are four different components of the decision making process to consider with reference to purchasing gifts;

Importance and Risk
Or more specifically "FTPEPS" - Finance (can we afford it), Time (how long have we got to decide? How long will the gift last?), Performance (will the gift do what it is supposed to?), Ego (will the gift make us look good to others for buying it), Physical (does the gift look attractive?) and Social (will it increase ours/the person receiving's social standing? Will others be impressed?).

The probability of making a bad purchase
Will the product work properly? Will it be what the person receiving it wanted?

Pleasure value of product category
Will we actually get pleasure out of buying and presenting the product? Is it a product that will massage our ego when we go to the till to pay?

Sign value of product category
What will other people think of the gift? Will it reflect badly on us if we give this as a gift to someone else? Will we look "cheap" or "thoughtless"?

Kotler's Buyer Decision Process suggests that everyday items (such as groceries, newspapers and toiletries) require little or no involvement at all. This is because we buy them all the time so we are aware what brands are the best value for money and there are little alternatives. However, gift giving is not an everyday occurrence, and therefore there is high involvement as we want to get it right!

So in summation; Gents, Think before you buy. Engage brain before opening wallet...it might bring about a better outcome than you thought it would. And ladies, if you would like a list gifts I would appreciate please feel free to contact me at your earliest convenience...I'll be more than happy to jot a few ideas down for you.

Memories, like the corners of my mind...

Ahh...memories eh? Jumpers for goalposts, newcomers go in goal, headers and volleys...nice isn't it?

Memories play a key part in the buying process (whether we realise it or not). When remembering times from our past we tend to look back with rose tinted glasses on the way things were...everything always seemed easier in days of yonder didn't it? The truth is, they probably weren't any better than present day, just different triumphs and failures. But it's human nature to look back on the past and remember the good things. And as marketers, we can twist this to use it to it's full advantage.

If we can bring consumers back to "the good old days" the chances are they will strike up an emotional attachment to our brand or product which means they will start buying our stuff! The more they buy our stuff, the better chance we have of getting them into the "evoked set". The so-called "evoked set" is a group of brands that immediately come to mind when we are looking into purchasing a particular product. If we can push our brand to the forefront of people's minds then we have a much better chance of enjoying sustained commercial success.

The general public's desire for "all things retro" has opened a whole new market to products and brands that may have been on the slide recently. By using retro branding and tapping into people's nostalgic ideals, brands like Monster Munch, Wispa and Adidas have enjoyed fair success in recent times.

http://www.talkingretail.com/products/product-news/10590-walkers-brings-back-original-monster-munch.html&usg ... if you click on the link it should take you to an article on the main reason behind the relaunch of the old Monster Munch - nostalgia.

The recent Hovis advert is another example of marketers using nostalgia to sell there products. The advert uses a scatter-gun approach...they go through pretty much the last 100 years so they have to strike a chord with someone, right? Have a look and see what you think...

http://www.youtube.com/watch?v=Cv4c4ER8Pzo

Peer pressure and stuff...

Let's face it, we've all felt pressured into buying something at one time or another. Like that time your mate told you that multi coloured jacket would "look awesome with some loose fitting jeans and pointy shoes"...no? Just me then...

There are many different groups that people belong to and these groups all play a part in our final purchase decision. These groups of people generally fall into the following titles;

Groups that we are born into - this is our family members; parents, brothers and sisters, aunts and uncles, etc, etc. Our family do play a part in our decision making process but their opinion may not hold the same weight as that of others (particularly when we are in our teens)!

Groups we look to for lifestyle - this is celebrities and people we admire who are in the public eye. This group plays a large part in our purchase decisions; most people look to celebrities and famous people for fashion tips...subconsciously maybe this is because we wish we were in their position?

Groups we join when growing up - these are groups we may have joined over the period of our life. Football clubs and other groups that play a part in our development as a person. When we are younger this group may have more sway over what we buy. For instance, when I was younger I always wanted the newest football boots to impress my team-mates...I generally got them aswell.

Aspirational groups - groups of people that we aspire to be like; people that are thought of as "cool" or popular. This can include celebrities. This group tends to have a bigger part to play when we growing up, in secondary school and in our teens. Teenagers always want to fit in with the "cool kids"...luckily for me I don't have to try too hard.

Groups we don't particularly like - groups of people that we try to avoid at all costs! People that we will go to great lengths to avoid being associated with (including purposely avoiding products that they would buy).

Associative groups - the groups that we actually fit into.

Peer groups - our close friends and acquantances. These tend to have the biggest influence on our purchase decision (as I can prove with that ridiculous multi-coloured jacket in my wardrobe).

It is important for marketers to recognise the different groups that play a part in our buying decision as this enables us to tap into consumers' insecurities and play to what they aspire to be. As a consumer myself, I know that should a product be advertised by a celebrity that I admire and appeal to my peer group, chances are that I will buy it in the end.

http://www.youtube.com/watch?v=MMI-3DAX-3I

The above advert is a great example of using aspirational groups to our advantage as marketers. The advert has truck loads of "uber cool" celebs in it and is set in a massive houseparty...and I don't know about anyone else but that sounds like my idea of heaven.

Generational marketing...

Generational marketing is the idea that marketers can aim their product at a particular generation; silver surfers, tweens, generation Y, etc.

The group we were asked to concentrate on was Generation Y; a group of young adults and late teens who seem to have different values and opinions on life to that of older generations. They care more about enjoying life than getting the best jobs; therefore they are happy to accept a run of the mill salary in exchange for flexible hours and enough spare time to do the things they enjoy. They are the children of the "baby boomers" and have grown up with a variety of different media available to them. They have iPods, personal computers, video games and are often called the "internet generation".

http://www.youtube.com/watch?v=SEZM6nUhKW8

When forming opinions on brands, Generation Y pays particular attention to more modern ideas (such as their green credentials). They like brands that "present themselves in the right way", with companies like Apple, H&M and Adidas having previously come out in the top 10 lists of their favoured brands.

Being an image conscious generation means that brands that appear to be cool (like Apple) will always appeal more than other brands that may provide a similar service. The constant struggle to keep up with ever changing fashions means that if a brand can appear desirable to a substantial quantity of young people then many others will follow.

There is far more exposure to advertisement, so in order to stand out advertising towards generation Y tends to be more humour based. Brands like Cadbury's manage to raise awareness and stay the topic of conversation by using humour to their advantage.

http://www.youtube.com/watch?v=TVblWq3tDwY

The advantage of generational marketing is that like many other approaches it allows us to segment our target audience into groups, thus allowing us to include particular features in our marketing that will appeal to particular groups. This approach will work for all different generations.

Ich habe einen probleme...or gestalt theory

Germans eh? Don't they do the funniest things! Well, actually some of them have more to say than "Ruhe bitte!" and "Darf ich meine jacke aufsehen?".

The Gestalt theory of perception is based around the idea that our perception of something as a whole is totally different to that of the parts that make up that whole thing...confused? Well it's quite simple really. We look at things differently when our mind tries to break down something or "work it out". Our mind perceives each individual part of something in our own little way. But when you put all the pieces of the puzzle together it forms a completely different picture and therefore we perceive it as a completely different thing.

Our brain reacts to stimuli, and each of these small parts of the hypothetical "puzzle" could encourage our brain to react to stimuli. It's kind of like when you watch a good film and try to guess the ending...if there are enough twists and turns you'll sit there guessing throughout the film, but when it actually does end it's usually completely different to the way you thought it would!

"The whole is greater than the sum of it's parts" Gestalt Theory

Watch this clip and count how many passes the team in white make...

http://www.youtube.com/watch?v=Ahg6qcgoay4

When I first saw this clip I sat there counting the passes, not really understanding what the point of the advert was...I duly missed the moonwalking bear only to be shown that I am about as aware as I am posh...which is not very! Hopefully you got the point of the clip in the end, and I like to think it gives an alternative view on the gestalt theory of perception. If the clip worked on you your brain reacted to the stimuli in the advert by trying to count the passes...when the clip finished you should have worked out what the overall point was as you were looking at the routine as a whole and not trying to break it down into stimuli, smaller parts and passes of the ball!

I think this quote sums it up nicely;

"The basic thesis of gestalt theory might be formulated thus: there are contexts in which what is happening in the whole cannot be deduced from the characteristics of the separate pieces, but conversely; what happens to a part of the whole is, in clearcut cases, determined by the laws of the inner structure of its whole." Max Wertheimer, Gestalt theory.
Social Research, 11 (translation of lecture at the Kant Society, Berlin, 1924).

More later, ciao for now.

Friday 20 February 2009

Reading week starts early...

The family life cycle...it's a beautiful thing isn't it? Every member of every family has a role to play when it comes to making decisions about a potential purchase. It's normally the children's role to cry and moan until they get their own way...doesn't always work though (I never did get that Mr Frosty...I had a deprived childhood). The father will normally complain about the price then go and find a number of cheaper alternatives that according to them "do exactly the same job"...and the mother will normally just try to play peacemaker in the whole situation.

In all seriousness there are a number of decisions in modern day life that are made every day by families across the world, but in general they fall into defined categories which determines who makes the final decision.

For instance, in most families any purchases of audio, visual, electrical goods and DIY products will be made by the man of the house...this is because men get excited about gadgets, gizmos, megapixels, blu-rays and a whole host of other exotically named things. Men tend to think that this is our domain, it's a man's job to pick mens things and so on and so forth. In reality, we're not quite as clued up as we like to think and will probably end up breaking the damn thing before we've used it as we haven't read the instruction manual.

Women on the other hand have control over a broad range of purchases. They usually do the weekly shop, because they know what needs to be restocked in the cupboards and what food, toiletries and sundies we will need for the week ahead. As a man I have absolutely no problem with this...the only time I ever want to enter Tesco is if I'm picking up alcohol.

Oddly enough, according to some sources women actually have the final say over their man's choice of clothes too. Let me clarify right now that no woman will ever pick my clothes for me...but I am more than happy for a woman to pay for them if anyone wants to put themself forward?

One factor to take into consideration is that with this whole credit crunch malarkey going on right now, many families choices may have been narrowed slightly. Whilst before the credit crunch the person with the most technical know how and the person who would be the main user (or gain the most satisfaction from the product) may have had more of a say in purchases, in the current climate many families will be basing their purchases mainly on price with the person who is actually paying the bill having the final say.

Information about the family decision making process when purchasing products is an important tool for marketers. If we can work out who it is who actually has the final say on purchases we can make sure that our advertisements are aimed at that particular person.

http://www.youtube.com/watch?v=svna4en9JKg

The clip above shows an example of what I've been banging on about. The advertisement is clearly aimed at men...Wickes is a shop that will mainly cater for men as DIY products are not that interesting for most women. So knowing that men are their target audience, the makers of the advert have used football (another predominantly male hobby) to show off their products. Throw in a slice of humour and the result is an increase in male footfall in Wickes' stores before Corrie comes back on from the ad break!