ADV 150 class notes for exam 2 PDF

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ADV 150 class notes for exam 2...

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CLASS NOTES FOR TEST 2 Monday September 28, 2017 ● Agency jobs ● Holding companies/ global networks ○ Omnicon ○ Publicis groupe ■ Handles leo burnett ○ IPG ■ Oversees many agencies ○ WPP ○ Havas ● Agency jobs ○ Account management (client service, account services) ■ You’re managing an account at many different levels ■ Like an orchestra ■ Primary contact between the agent and the client on a day-to-day basis ● Conduit- something that connects people ○ They are the conduit that connects agency to client ○ They also represent the agency to the client ■ Launcher of new initiatives ■ Get projects off the ground ○ They should be a participator, a team player ○ They have to be a good leader because they lead a bunch of functions ○ They also deal with a lot of budgets ○ They try to grow their business ● Failure not an option-- scene ○ Account Planning (strategic planning) ■ Consumer insight ■ Manages research and provides insights on how to meet consumer wants and needs ■ Understand people and translate that knowledge about consumers to the brand ○ Research ○ Creative department: ■ Art directing and copywriting ● Art director: creates visual designs using typography, visual concepts, logos, icons, and interactive platforms ● Creates a broad range of written concepts for various media, sales promotions, and collateral pieces ■ Media buyers/planners ● Purchases TV, radio, and print media spots for ad campaigns

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Interactive designers ● Creates websites, online ads, blogs, games, and apps for the client Community managers ● The voice of the client externally and the voice of the consumers internally Production ● Shooting TV shoots, editing Traffic ● That entity within an agency that guides the work floor, constant traffic flow of work New business ● Manages strategies and pitches to win new clients for the agency Lawyers Accountants Receptionists Human Resources Facilities manager ● Party planners kinda

Consumer behavior ○ Get to know people ○ Figure out how brand fits in their lives ■ Internal factors: ■ Perception ● Physical data ○ Ads, packaging, youtube videos, price tag, display, news story, etc. ○ Packaging -- new coffee packaging in nyc, cans ■ Two separate sets of physical data ■ Sensation ● Taste, smell, hear, see, touch ● Lombardi’s pizza nyc-- a lot of senses vs. frozen pizza ■ Organization ● Identify, classify, categorize ● Match stimuli you sense with similar object categories in memory ● Garrett’s popcorn-- chicago mix, big metal scoop ---> garrett’s ● Portillos italian beef ● BMW car vs. Jeep vs. fiat convertible ■ Interpretation ● Attach meaning, value ● Good/bad, better/worse, different/same

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The Beatles, The who, the rolling stones, one direction -imagewhether you like the beatles or not is encoded into your mind Every kiss begins with kay- WW2 kiss photograph, obama kissing man → interpret all these kisses differently Steak and shake vs. culver’s vs. 5 guys vs. mcdonalds

Wednesday October 4, 2017 ● Factors affecting perceptual process ○ Stimulus ■ Nature of info you get from the environment ● Background of the photo (stimulus) affects our perception of people ○ Context ■ Setting setting in which information is received ● Pastrami sandwich-- katz vs modern delicatessen-- very different ● context around the brand itself can vary on location ● You can have the exact same thing but perceive it differently based on the location ○ Customer ■ “Baggage” affects what we see, how we see, and what we expect to see ● Fourth of July- if we won beer advertisement ○ How britain perceives the fourth of july ●

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Biases in Perceptual Process ○ Exposure ■ Do you make yourself available to info ● Walk by a copy of the Chicago tribune, see it, don’t pick it up --you’re exposed to it ○ Attention ■ You choose to attend to some stimuli and not others ■ Billboard- drive right past, don’t read it or think about it ○ Comprehension ■ Interpret info your own way based on background and FOE ● Political affiliation- you perceive any message from a democrat as inferior to the message of the republican ● Pro life vs. pro choice- you see the other side as wrong ● Beer advertisement- biker guys in the theatre, sitting in the 2 seats ○ Retention ■ Can you remember the website or the logo- do you remember what the ad was for Learning: ○ Cognitive ■ Reasoning, abstract thinking, decision making, problem solving, etc.

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watch, read or experience stimuli Acquire knowledge and skill by mental or cognitive processes-manipulate info in our heads ■ Info processed by brains and later recalled ○ Classical ■ Learn “association” between stimuli ■ Clydesdale horse= budweiser ■ Gecko= gecko ○ Instrumental Conditioning ■ respond/behave in certain ways because of consequences ■ rewards/punishments ■ Waiting for the tesla (punishment) vs. getting the new car (reward) ○ Modeling ■ Model your behavior on how you should act based off others ● Sororities and fraternities- how to act ■ Model behavior after a coach Simplification: ○ Simplify consumer decisions ○ Past experience helps ○ Routines ■ We use the same detergent

Monday October 9, 2017 ● We simplify things ○ Don’t even think about a different brand and just go with one you already know ● Complication ○ New decisions ■ Three factors: ● Boredom ○ Need a little variety every now and then ■ Go to meyer and get talenti vanilla, go to rome and get something new ○ Complicate your life ○ Haircuts, hair dye, hairstyles ○ Campbell’s soup with grilled cheese ● Maturation ○ People get older, change, and evolve as consumers ○ Sources of maturation ■ Life status● Change happens: ● Location ○ Moving ○ Behavior changes too

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○ Unofficial St. Patrick’s day ● Family ○ Marriage ○ Kids ○ Hobbies (costs of them) ○ College ● Resources ○ Poor college students-limited resources ○ Buy an apartment that is unfurnished and you have new needs ○ Buy a house→ small than big ● Career ○ Graduate UIUC ○ Electrical engineer vs. lawyer purchasing differences ○ Dentist or doctor- you need to buy medical equipment ○ Dictates clothing styles, purchases ■ Rising expectations ● Ramen noodles to PF Chang’s to Nobu ■ Self concept Forced irrelevance of current solution ○ Options no longer available ○ Forced to make another choice because your choice is no longer available-- maybe because of maturation, location, etc.

Maslow and Motives: ○ Physiological ■ Food, water, sleep, sex ● West elm ad for a mattress would help to facilitate a need for a good night sleep ● Brita water filter gives you clean tap water ● Snickers satisfies ○ Safety ■ Physical safety, security, stability, familiar surroundings ● We buy smoke alarms and C02 alarm to protects us ● Security systems ● State farm protects you ○ Belongingness ■ Love, friendship, affiliation, group acceptance ● Selfies with friends ● State farm ads- security needs vs. one not being with a group

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Esteem ■ Status, self-respect, prestige ● Walmart vs. Gucci ● Mercedes ad- what you can be with this new car ○ Self actualization ■ Desire for self-fulfillment ■ Want to be all you can be ● Climbing a mountain ● Canoeing in africa ● Taking a painting and art course McGuire and Motives: ○ Consistency ■ Want things to be consistent ● Laguna Beach California at the Ritz-Carlton you expect the service to be excellent ● Motel 6 you would expect a gross experience ○ Cognitive dussibabce ■ Worry about purchases ● Minivan vs. motorcycle ○ Categorize ■ categorize/organize information and experiences in a meaningful and manageable way

Wednesday October 11, 2017 ● McGuire and Motives cont. ○ Categorize ■ Categorize/organize info and experiences in meaningful and manageable ways ● Surfboard- hippie van- surfer- categorize them in a certain way ○ Attribute causation ■ Need to determine who or what causes things to happen for us ● The Fates (mythology)- believed that your life was determined by fate ○ Advice ■ Salesperson vs. best friend ○ Cues ■ Need for observable cues or symbols enabling us to infer what we know ● You wouldn’t wear a pink suit to a business career fair ● What to wear ● How to behave ○ Independence ■ Do your own thing, be your own person ● Being a punk rocker vs. a business man

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Novelty ■ Variety seeking behavior ● Ordering a peanut butter burger ● White water rafting vacation ● Leading a very hectic life and the novelty is relaxing on a beach Assertion ■ Engage in activities to increase confidence, self esteem ● Zip lining if you’re a kid or as an adult Reinforcement ■ “Rewarded” for behavior products used in public settings ● Engagement- reinforced by the beauty of the ring ● Reinforcement over the cuteness of a baby ● Drivers (golf clubs) Self expression ■ Need to express one's identity ■ purchase and display goods to depict who we are and what we do ● Halloween costumes- some are funny, strange, inappropriate Ego-defense ■ Defend identity ● Some people say or do whatever regardless of what others say ● Levis jeans are safe, not a huge fashion risk. Jeans with patches all over them would be a sign of expression Affiliation ■ Want mutually helpful and satisfying relationships ● Group belongingness ● Want friends to do things with Modeling ■ Base behavior on others ■ Conform to things ● When in Yankee stadium, you’re going to want to model your behavior after others and conform ● W flag Hedonic Consumption (vs. utilitarian) ■ Things you can buy are sometimes only for the pursuit of pleasure ■ Utilitarian ● Microwaves, detergents, minivans, etc. ■ Hedonic ● Sensory pleasure ○ Barber shop to have a shave ○ Spa to have a facial ○ Hot tub (warm water feels good) ● Aesthetic pleasure ○ The Louvre- unique and cool art there

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○ Sistine chapel ○ The Greek Islands ○ Andy Warhol- pop art ○ Original Apple logo ○ LACMA- installation of the lights is an attraction ● Emotional experience ○ Rollercoasters cause a rush and also a scary experience ○ Illinois basketball or football games are an emotional experience ○ Receiving a rose- not the same emotional experience of receiving a dandelion ○ Give cards- sympathy, birthday ● Fun/enjoyment ○ Pickleball- play it because it’s fun ○ People create advertisements because they’re fun External influences/factors ■ on consumer behavior Friends and family ■ The roles people play ● Initiator ○ Starts the ball rolling ○ “Let’s go on vacation” ● Information provider ○ Generate options ■ If people are hungry, we can go to chipotle ■ If someone wants to go to LA, they say what there is to do there ● Gatekeeper ○ Provide and gatekeep information because you want to persuade people to do what you want to do ● Influencer ● Decision maker/decider

Friday October 13, 2017 ● Gatekeeper ○ Santa monica pier gate ● Influencer ○ Vanice- let the kids choose what to do in Cali with Ming ○ A lot of what they did on sb was influenced by their exchange student from Thailand ○ Kids said no to going to Disneyland ○ Spring training for the cubs ● Decision maker or decider

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A lot of the decisions were made by the kids for the trip but sometimes mom and dad decide ○ Made the decision to go to fritto misto in california ○ In Phoenix, going to frank lloyd wright Purchasing agent or buyer ○ You may influence the decision along the line and then who decides who pays User ○ Consume or use product ■ All went to in n out Disposer ○ Dispose of product ○ Discontinue using service Reference groups ○ Primary ■ Sorority or fraternity ■ The group you are always with ■ Knights of columbus ■ People really close to you ○ Secondary ■ AAA car services ■ You may be a member of an organization but you don’t hang out there ○ Member ■ You may or may not belong to a religious organization but you belong to the church but you switched locations of church because you now live in champaign ■ Murray’s cheese of the month club ○ Aspirational ■ May be a member of the college of music but in high school you aspire to be in marching illini ■ Want to be a part of a jazz band ● (An aspirational group if you are a music major) ■ Trombone ensemble ■ Orchestra ○ Positive (associative) ■ Bears fan ■ Being in orange crush (illinois spirit group) ■ There are reference groups that you do want to be a part of and you reflect your behavior based on that ○ Negative (dissociative) ■ Never want to be a GB packers ■ There are reference groups that you don’t want to be a part of and you reflect your behavior based on that ○ Formal

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■ You can become a formal member ■ Member of the Illinois State BAR Association ○ Informal ○ Virtual ■ Influenced by something on Facebook Social group power ○ We make decisions all the time and other people influence us Legitimate power ○ Group or individual has legitimate “right” to influence people ○ Legitimate reason for advertising- Ronald McDonald House ○ Bat Kid begins movie trailer Reward power ○ Perception you’ll be rewarded by group or individual Coercive power ○ Influence behavior with fear or taking away rewards ○ Coercive campaigns with the meth campaign and scared people away ○ The truth campaign (for smoking) ■ Everything they do helps to have people quit ■ Walgreens takes away cigs Expert power ○ Accept influence of people recognized for their expertise ■ Dr. for a checkup or for the dentist and they recommend a medicine you listen to them and their suggestions because they are a credible source ■ Mario Batali and Rick Bayless are both good chefs and buy their cookbooks and recommendations because you trust them Referent power ○ People identify with groups, role models, heroes ■ Famous sports players ■ Jake Arrieta as jake from state farm ■ Cubs brand sponsors Binny’s ■ Conan O’Brien

five Ms: merchandise, markets, motives, messages, and media. There are five basic steps in the research process (see Exhibit 7-4): 1. 2. 3. 4. 5.

Situation analysis and problem definition. Informal (exploratory) research. Construction of research objectives. Primary research. Interpretation and reporting of findings.

Monday October 16, 2017

● Consumer decision making ● Basic consumer decision making process ○ problem/need recognition ○ Information search ○ Alternative evaluation ○ Purchase ○ Post purchase ● Problem/need recognition ○ What people want differs from what people have ○ Desire to resolve problems ■ Magnitude of discrepancy ● Between desired and actual states ○ Relative importance ■ Of problem ○ Out of stock ■ Out of something ■ Reach in your bag and you’re out of mints ■ Poor round of golf, you’re out of golf balls ● Need to replenish your stock ■ Out of toilet paper ○ Dissatisfaction ■ Hair color→ dye ■ Dissatisfied with teeth→ whitening toothpaste, braces ■ Dissatisfied with dry skin→ use lotion ○ New needs and wants ■ Buying a home generates having new needs ■ Having a baby generates having new needs ■ Purchase Illinois gear to wear bc you have a need to fit in and support the school ■ Buying stuff to be in a sorority ○ Related products ■ Buying a suit in the spring time so it’s on sale ● Need a shirt, cuff links, dress belt, socks, a tie, shoes, etc ■ Buy bread→ might need pb and jelly ■ Buy pancakes, you’ll buy syrup to go with it ○ Marketer induced ■ Things brought to our attention by marketers ● Dandruff ● Deodorant ● Halitosis ■ Movement towards electric cars ● Been around for a long time ● Cadillac commercial ○ New products ■ iPhone X

■ Alexa ■ Commercial for hubble- a security camera that has alexa skills, detects emotion ○ Information search ■ internal/external ● External search- do stuff to find info ○ Going to LA, search for foods ● Internal search- evaluate alternatives internally ○ Awareness set ■ Brands people are aware of ● Dominique Ansel ○ Evoked set ■ Brands which come to mind in CDM situations ● Krispy Kreme ○ Consideration set ■ Brands acceptable for further consideration ● Randy’s donuts ○ The church key ○ Brown butter brioche ● Stan’s ● Sk’s donuts and croissants ● Bob’s coffee and donuts ○ Ad for it makes you want it ○ Inert set ■ Persion is indifferent about these brands ● Entenmann's donuts ○ Inept set ■ Unacceptable ● DK’s ube donut ● Information sources ○ Memory ■ Past searches, personal experiences ● Mr. Memory--39 steps by Hitchcock ○ (Inter)personal ■ Search for advice by asking for the opinions of family, co-workers, friends ○ Independent ■ Consumer groups, government agencies ● Do not have a bias ○ Marketing ■ ○ Experiential Wednesday October 18, 2017

● Independent sources ○ Consumer groups, government agencies ■ People who do not have a stake in marketing something, but they do anyways to help others gain insight ■ FDA- publish lists, people follow their advice ● Marketing sources ○ Salespeople, advertising, promotion ■ Print-based ads ■ Geico ads- “it’s what you do” ● Experiential sources ○ Inspection or product trial ■ Samples at chelsea market in NYC ● Alternative evaluation ● Product positioning ○ The place brand occupies in consumer’s mind ○ Relative to competitor brands ■ When you see UIUC→ think about things ■ Every college you think of occupies a different place in your mind ● Repositioning ○ Changing place the brand occupies in consumer’s mind relative to competitive offerings ■ Rethink “import” ads chrysler ■ Cadillac ad ● Heuristic ○ “Rules of thumb” people use to make decisions ■ Making purchasing decisions based off your thoughts and feelings ○ Evaluate alternatives ● Outlet selection ○ Atmosphere ○ Store front ○ Store ■ Social conditions ● Store staff ● Career objectives ● Training ● Personal situation ● Social class ■ Affect mood, effort, commitment, knowledge, and skill ■ Good training provides a good customer experience

■ Social conditions affect your mood and decisions at work ○ Consumer ■ Lifestyle ■ Situation ■ Shopping orientation ■ Affect enjoyment, time in store, items examined, purchases, satisfaction ● Post-purchase experience ○ Consumer satisfaction ■ Overall attitude associated with brand after acquire and use ○ Satisfaction or dissatisfaction ■ Difference between what experienced and what expected ● The consumer journey ● Research ○ Marketing research ■ Information guides marketing dec ○ Advertising research ■ Focuses on advertising strategies, concepts, executions and media ○ Research process ○ Questions that research can answer ■ Customer ● Market ○ Size, growth, potential ■ Market potential growth of cars, coffee, bbq place ● Lifestyle ○ AIO (attitudes, interests, and opinions) ■ People who ride bikes to work in a city- you have an opinion ● Buying processes ○ How, when, why, where ■ Research can answer these questions ■ When you buy a pair of jeans think of ^^ ■ There is a buying process at Chipotle ● Use ○ How, when, why, where ■ Cubs jersey, bears jersey ■ How do you use vegetables→ cook them ● Brand loyalty

○ Loyal to UIUC ○ If he’s in Sonoma, he always goes to a certain winery ● Segment ○ millennials ●...