Thursday, December 6, 2012

Stuff About Non-consumption

So yesterday we were in the grocery store and we swung by the gluten free isle to grab her some bread. Looking at all the options I realized that someone was making a fortune by making regular food and listing all the ingredients that this product doesn't have in it, weather they were natural in the item or not, and marking them up by 50%. Regular rice labeled "glueten free" went for almost twice the price of minute rice. Rice doesn't have gluten in it... ever! Since when is it a business model to make increased profit by labeling an already gluten free food "gluten free".

Now that I have ranted about that let me talk a little about being a consumer with celiacs disease. Having celiacs disease makes you the ultimate non-consumption consumer. Everything that you eat has to be be void of this one trait and it completely takes over your consumption habits. Soon all the restaurants you eat are determined by weather or not they have a gluten free option, and the ones that do it well shoot to the top of the list. There is one thing that I have noticed about america, and that is we have much better gluten free options than most places in the world. This is probably a byproduct of the no gmo, organic, hippie fad taking the grocery industry by storm. But that culture has made the gluten free movement a high priority for producers, and though they charge an arm and a leg for their products, they are miles above most of the gluten free options I have seen in the past few years. Celiacs disease has really changed everything about how I shop, and the funny thing is, it's my girlfriend who has it.

Stuff About Sales Promotion


There are many ways of for marketers to try sway consumers to their product, one of which is through sales promotion. On this box of Capn' Crunch is an advertisement for a self-liquidating promotion for a “free” t-shirt with a picture of Cap’n Crunch on the front of it. The promotion requires 4 proofs of purchase as well as $3.49 to cover shipping and handling. This promotion is meant to encourage both first time buyers and previous buyers to purchase the product multiple times.

It is generally accepted by marketers that sales promotions are usually not an effective way of building brand equity. This is due to the fact that money is being spent to on these promotions and not building the brand equity through advertisement. Promotions only encourage customers to buy the product primarily due to price, whereas advertising improves consumer’s perception of the brand and encourages them to pay for the product because of the brand, sometimes even at a premium.

Though this opinion of sales promotions may be true in most cases, there are situations that sales promotions do build brand equity. This type of sales promotion is called a consumer franchise building promotion. Cap'n Crunch uses this promotion to appeal to the consumer and hopefully, by providing them with extra benefit, encouraging them to prefer the brand and continue to purchase it at full price when there are no sales promotions.

This is a pretty acceptable practice with within cereal brands. In an industry where there are so many brands to choose from, promotions help the consumer bypass choice anxiety by offering extra benefits. You might notice that the promotion is also for “adult sizes only” which targets the parent or adult that has the purchasing power. The other factor that makes this sales promotion a franchise building promotion is how the shirt can be considered an advertising tool. If the shirt gets worn by an adult this can increase the exposure of the brand amongst other adults, the individuals that actually purchase the product. This builds brand equity and is very cost effective because the company only has to make the shirt, which will be fairly inexpensive, and the customer will pay for the shipping and handling of the item.

Overall I think that this is an effective sales promotion, especially within this particular market. Cap’n Crunch is increasing the consumer’s benefit received by providing the self-liquidating promotional item, while simultaneously building the brand’s equity by using the item to advertise. Cap’n Crunch is also building the brand’s equity be encouraging frequent purchase through the use of proof-of-purchase for redeeming the promotional item.

Stuff About Subliminal Advertising



 I just wanted to work off my earlier blog about sex being used in advertising, but take it in a different direction. We al know sex in advertising when we see it, but what about sex being used in advertising in ways that we don’t fully recognize but is intended to get out attention through our subconscious. This type of advertising is called subliminal, you have all most likely heard of it. Subliminal advertising is present if there are any sensory stimuli present that may be below an individual's threshold for conscious perception. The theory behind this is to make the consumer act in a certain way, obviously under his/her own will, but caused by these triggers in the brain. There are many ways to advertise subliminally, by having images flash for a few thousandths of a second in the middle of a show or by playing audio either slowed or sped up, hidden underneath other audio. Apparently these can be picked up by the subconscious but they have very little impact on behavior. In most cases it only works to get someone to do something they were already going to do, just reminds them.
Though truly subliminal advertising is illegal, companies find ways to incorporate images and shapes into their ads that play to the viewers subconscious. Though these messages don’t say “buy this product” they subconsciously stimulate certain parts of the brain that make people either prefer a brand slightly or even to spend more money. There have been studies done that show men are more likely to aimlessly spend money if a section of their brain is activated, releasing certain endorphins. Sex and sexual content are known to trigger these endorphins the most, making men more likely to buy products that consciously or unconsciously relate to sex. So ladies, if you want your guy to buy you an expensive dinner, better put out before dinner, rather than after.

Wednesday, December 5, 2012

Stuff About Sex in Advertising

Probably one of the oldest forms of catching attention in advertising is sex appeal. There is no doubt that sex in advertising gets the viewers attention, but does it actually sell? First lets look at retention. In "Advertising and Promotion, 9th ED" a marketing analysis shows the effects of having sex in advertisements. To no real surprise, when asked if the viewer liked ads with sexual themes, 48% of men said yes and 8% of women said yes. When asked if ads with sexual themes made the viewer remember the brand, 33% of men said yes and so did 11% of women. But when asked if ads with sexual themes made the viewer purchase a product, only 8% on men and 3% 0f women replied yes. This shows that even though recognition and retention are increased by sexual content in ads, it has a very low impact on getting consumers to actually purchase the product.

 
 Some ads that use sex to sell their product have very little to do with it contextually. In two examples that I have provided, the sexual content is very obvious, and in at least one of the cases completely over the top. The spokespeople are very unlikely candidates for a Carl Jr's ad and really have nothing to do with the product. At least the commercial staring Kim Kardashian is a low calorie option at Carl Jr's and uses a popular reality personality to appeal to women as well as the sexual appeal for men. The commercial staring Paris Hilton, on the other hand, has very little to do with the product. In fact, it isn't until about 30 seconds in that you even see the product. When I first saw this commercial I thought it was a car advertisement. If the ad has done one thing, that would be to create controversy. Consumers are not stupid, they know exactly what the commercial is trying to do. Most viewers don't necessarily care, they like the commercial no matter what it is about, and those that do care just create conversation about it and increase its effectiveness.




One thing that companies need to keep in mind is who they are reaching with these ads and if that is who they want to be providing this image to. Many people are concerned about the amount of sexual content there is in advertising thee days. Many people even even believe that sexual themes promote a general deterioration of moral and social values. This is a serious issue and companies would do well not to become too associated with this idea.


Stuff About Free Stuff


Free. It is a magic word in the consumer world, and it can make people do things that they normally would never do. Predictably Irrational talks a lot about the power of a free item. People waiting in line for long periods of time for something that normally might only cost a few dollars. There is a great episode of The Office where the office building is giving away free pretzels in the lobby and people rush to get into line to wait upwards of an hour just for a free pretzel. At the end of the episode Stanley marks in his calendar “365 days until next pretzel day”.



I experienced a similar situation tonight at the “De-Stress Fest” in the sub. The flyer advertised free food and giveaways starting at 6:30 and when I showed up 20 minutes early the line was already stretching from the ballroom all the way down the hallway and into the cafeteria, and by the time the doors opened the line was almost twice as long. So what is it about “free” that is so appealing? First off, there is no risk involved in the decision, except maybe the risk of waiting in line for a long time and whatever you are waiting for being gone by the time you get there. Free also makes things more enjoyable. I couldn’t tell you how many random trinkets I have scored from career fairs over the years. Things I don’t really need but I get anyway because they are free.
I think a similar phenomenon happens on Black Friday. Ultimately the deals aren’t that great, and if they are you have to wait in line all night and fight someone for one of ten BlueRay players that they marked down 50%. I think a situation like that wouldn’t be worth the stress. I would rather pay full price for something in order to get it peacefully instead of having to deal with crazy people. But obviously there are plenty of people that like being in those situations or else it wouldn’t be the biggest shopping day of the year.

Tuesday, December 4, 2012

Stuff About Duct Tape

 Many brands these days have relied on consumer loyalty to build their image. This is done through brand perception and personality. I would invite you to come up with a brand that has a larger following based on obscure brand personality than Duct Tape. Duct Tape has become a consumer favorite for the fix all tool. Many people have used duct tape to do everything, and I mean absolutely everything, from tape their car back together, to making suits and wallets of tape.
 Mythbusters, a popular Discovery channel show that puts myths to the test has had several episodes with the goal of building obscure things using primarily Duct Tape. Over the years they have crafted a cannon, a working sale boat, a suspension bridge, and lifted a car using only 100 pieces of tape and a crane. Mythbusters even had a Cast Away episode where the only tool they had on the island was a pallet of Duct Tape. They used it for everything from creating shelters and water catching devises to making a canoe that they paddled around for hour in the ocean.


These episodes are very popular because people that are loyal to Duct Tape love seeing it confirmed as the fix all tool, and those that didn’t know this perception quickly adopted it. Duct Tape’s image of being strong and durable, and overall “the tool to fix everything” has really created a following of the brand, and a great product to test the limits on.

Stuff About Burning Man


When I was reading the most recent article for my consumer behavior class called "Can consumers escape the market?" I had an overwhelming sensitivity horror and hope. Horror, that there are people living in this country and breathing the same air as I am, that prove to be so thick and comically ignorant to believe that the consumer is the downfall of society and that focusing hard on a giant burning statue will cleanse the world of these “mindless drones”. Hope, that the bonfire will go tragically awry one of these years and cleanse society of these moronic haters in one fail swoop.
I could be a diehard capitalist; a ruthless businessman that, if were I inclined, would pray to the market like a deity and evangelize on its behalf. The invisible hand of economics may as well be the hand of God striking down the nonbelievers and lifting the wealthy by their golden parachutes. That isn’t really how I feel but it is much closer to actuality than the idea of destroying consumerism and markets.
Markets are what make society function. They have created a human race capable of just about anything. Man has been on the Moon. He has journeyed outside his realm of existence and prevailed. Man has discovered every corner of the world and made it possible for anyone to see it. None of this would have been possible without markets and people willing to trade one thing for another. Which is why I don’t understand the ideology of living without it. A brand label is only what you make it. How can a name on a shirt affect you in any way unless you let it? What is the point of covering your RV’s logo with tape? Who are you saving? The company that made your RV still has your money. 

The most ironic aspect I find about the Burning Man Festival is that none of these people are free of consumption. Though they are not allowed to wear logos or brand labels the festival has its own logo. From large ticket prices to excessive amounts of resources and materials for elaborate costumes, the participants of Burning Man are just consuming just as much, if not more, merely hidden behind a different brand; the brand of Burning Man. 

Tuesday, November 27, 2012

Stuff About Heuristics

Yesterday when I was on my way to the grocery store to buy jell-o for my ritual game-day blue and yellow jello-o-shots I realized that I drove all the way across town to go to Town & Country to get it when I could've just driven a few blocks and got the jell-o at Walmart. It had just occurred to me that I had done so because I always buy jell-o at T&C. Even though Walmart has the same brand of jell-o for approximately the same price I never think to go there.

Looking into it a little further I realized that there are a lot of places that I heuristically shop for certain products.  For instance I always buy my Top Ramen and veggies at T&C,  and my shampoo and shower gel at Walmart. It even goes so far as to decide where I get certain brands of beer. If I am buying Cold Smoke I will get that at Albertson's, Budweiser at Walmart, or Shock Top at T&C.

Though these preferences may have started out because of pricing or selection that is no longer why I do it. I have trained myself to go to a certain place for a certain product regardless of pricing. One reason I think I am drawn to a certain place is because when I think about what I need I visualize the product on the shelf and which grocery store it is in. This is a good example of why shops want to get people in their early 20's to start shopping at their stores early on. Once people start shopping somewhere for a certain item they usually look there first from then on.

Monday, November 19, 2012

Stuff About College Football

With the biggest football rivalry in Montana just passed, I find it suiting that I talk about my favorite subject in college... College Football!! Weather you are a Bobcat fan or a Grizzly fan (god may have mercy on you, and if he doesn’t, tough luck) we all participate in a subculture. What make a subculture exist are a shared belief system and a number of acceptable traits and actions. For the Bobcats these beliefs are that Bobcats are good and all other teams in our conference are bad, with University of Montana and Eastern Washington topping that list. Some traits that identify this subculture are items such as bumper stickers, jerseys and other Montana State memorabilia. These are used to show pride and identify with others within your subculture.


There are also rituals that people perform or in which they participate in order to be part of this subculture. One ritual that is widely acceptable is the pregame tailgate scene. Many of the fans get together before the game starts, either in the designated tailgate area, or at houses in order to prepare for the game ahead. These gatherings usually consist of drinking and eating. Another ritual that is widely adopted is wearing of team colors and sometimes arriving at the game in costume. Some people wear customized t-shirts that have logos or smear phrases directed at the other team. For the Cat/Griz rivalry a few popular ones are “FTG” or, new this year, “Eat S**t Grizzlies, No Means No” which plays off a stereotype of the Griz players due to recent criminal acts.

Saturday, November 17, 2012

Stuff About Product Placement


Product placement has been around for decades,
but it has come a long way since the first paid placement of a candy in the iconic film E.T. In recent years product placement has gotten to an almost shameful point. It used to be a rule of thumb that if the consumer notices the product placement then it was a failed attempt but recently marketers don't seem to mind if it is blatantly obvious. This clip was taken of an episode of White Collar shows just how obvious they make it, and this isn't even the worst. In some cases the producers try so hard to work it into a scene that it stops the plot dead. Entire scenes are created just to show the new ford focus and sometimes there are little side conversations or scripted observations to illuminate the features of the Ford Focus.
The question that comes to mind is how does this effect the consumer's perception of the product that is being plugged? Do poorly or blatantly placed products negatively effect the viewer's schema associated with these brands? Another thing to take into consideration is the consumer's trust. In the absence of product placement there are two worlds, entertainment/fiction and advertisement/information. Without product placement these two worlds are neatly separated from one another, but when the line is blurred and there is information mixed in with the fiction the consumer may decide to trust the information less. The producers of the show are also risking loss of trust by the viewers. People usually don't respond well to advertisements having a role in the plot and once a show becomes known for doing this regularly they could lose viewers. If that happens then ford will no longer have any desire to advertise with them and it will all be for nothing.





























Friday, November 16, 2012

Stuff About April


The film Pieces of April was fairly interesting, especially in such close proximity to Thanksgiving. I think we can all associate with the pressures of preparing the perfect meal for a number of people, even if only through observation. The film does an excellent job of outlining the intense pressure of preparing for a Thanksgiving that adheres to all the traditional guidelines shaped by both society and our own personal family histories.
Thanksgiving has become a holiday based on tradition and small differentiations, like cranberry sauce made from scratch instead of out of the can, stuffing made at home instead of store bought, or making the special family jell-o.  Contrary to the film, in my family Thanksgiving is a collective effort. We all have a number of dishes that we specialize in making and once the family gathers under one roof the whole meal comes together.
I found it interesting how the film depicted consumer behavior through the products needed for thanksgiving; once again the cranberry sauce and the stuffing, but also the “self cleaning convection oven” that makes a hero’s appearance in the movie. It just comes to show that the products used in the holiday have just as much to do with the it as the people.

Thursday, November 15, 2012

Stuff About Music


Recently I was thinking about brand loyalty and how that applies to the music that we listen to. Technically bands are brands of music and we have loyalty to them. This is for a number of reasons: we like the product that they distribute, we want to associate with others that consume the same brand of music, or we relate to the product personally. There are plenty of reasons why we would be loyal to certain brands of music but also lots of reasons that those relations can cease to exist or be disconnected. For example, my music preferences have changed quite dramatically in the last few years. I find that my iPod, due to the fact that I haven’t really spent any time updating it recently, is full of music that I no longer relate to.
Some of it has to do with where I was during that time of my life and some of it has to do with where the brand has moved in the last few years that makes me not relate to it anymore. I think that music can be very similar to fads in the way that it can be interesting and attractive at one point in time but quickly move in the other direction. Dave Mathews Band, for example, was one of my favorite bands in high school. Now I usually change the radio station if most DMB songs come on. This could be because I over-used this certain product and I am now sick of it or because it reminds me of that time of my life and the long-gone high school girlfriend that I associate that band with and whom I would rather forget. In essence, most brand breakups happen due to the change in either the brand or the consumer.