Wednesday 6 June 2012

Marketing on

Neuromarketing
Marketing
here is an argument championed
by Dr AK Pradeep, one
of the world's leading neuro -
marketing experts, that he
articulates in this way: 'I bet
you, long ago if you looked at
cave paintings, there were a bunch of Cro-
Magnon men and women sitting around a
fire in focus groups wondering whether or
not to hunt mastodon that night. Today
our focus groups are no different.'
In 2005, Pradeep acted on his opinion
that focus groups and surveys are a
primitive tool by establishing NeuroFocus,
a company that works with brands to
better understand consumers' thoughts,
emotions and behaviour by examining
their brains.
NeuroFocus gained significant
credibility in May when it was acquired
by leading research company Nielsen.
While neuromarketing is widely used,
however, discourse about this often
controversial discipline has been limited,
and brands have, so far, not been open
about their use of it in their quest to
understand the consumer's brain.
Subconscious mind
'Neuroscience tries to get closer and closer
to where the action happens,' says Pradeep.
'What does a brand really mean in the deep
subconscious mind? Everyone talks about a
brand, but nobody has touched it, nobody
has felt it. It seems to be a collection of
perceptions and feelings in the consumer's
mind, and that's where the journey starts,
long before you actually touch a product.
Understanding what the journey is and
where the brand sits in the deep
subconscious mind is important.'
Neuromarketing measures three core
metrics: attention, emotional engagement
and memory. To do this, neuromarketers
can strap electrodes to the heads of
volunteers to measure the brain activity
prompted by different sensory
experiences.
It then places the findings v«thin three
core parameters: purchase intent, novelty
and comprehension. All of this should
result in identifying what Pradeep calls
'iconic signatures' of brands. This is where
consumers react positively to a specific
aspect of the brand, which should inform
companies about how to take the
proposition to market.
According to
academic Hilke
Plassmann, in 2000
there were five neuromarketing
companies
in existence, whereas
today there are 150. She
also points out that, in
2000, there were 12
Google hits for the
search term 'neuromarketing',
compared with
more than 320,000 today,
and contrasts this with
the relatively few
published scientific
papers purporting to
understand the benefits
of neuromarketing.
This is a problem that
has not been properly
highlighted in the
industry, argues Dr Daniel
Mullensiefen, lecturer at
the department of
psychology. Goldsmiths,
University of London, who
also works with ad agency
DDB to bring a scientific
approach to its work.
'There are many people
out there making a fast buck
by selling dodgy research
to brands,' argues Mullensiefen.
'There is potential
in the techniques of neuromarketing,
but academics
and brands need a greater
understanding of it. They
have seen a niche and
hijacked this gap in the
market at the same time
that few new learnings
about neuromarketing are
emerging. I'm not saying
there's nothing in neuromarketing,
but there is a hype
that we need to get to the
bottom of.'
Pradeep, however, is determined.
Marketing meets him at NeuroFocus' UK
headquarters in London's Covent Garden,
just a few hours before he delivers a keynote
speech to the Royal Institute of Great
Britain at The Royal Albert Hall. It is clear,
with academic credentials including a PhD
in engineering fi-om the University of
Neuroscience modern
measurement is far less
obtrusive than Doc Brown's
'Brain-wave analyzer' in
1985 film Back to the Future
California at Berkeley, and professional
achievements such as being named Person
of the Year at the USA India Business
Summit in 2010, that Pradeep does not
fit Müllensiefen's stereotype.
Indeed, Pradeep insists that the
argument that neuromarketing is a bona
fide marketing technique has already been
won. 'If I measure your temperature and
24 Marketinq 2 November 2011 marketinqmaqazine.co.uk
Neuromarketing is growing
in importance for marketers,
writes Andrew McCormick.
Here, two experts argue the
merits of the technique
then we discuss what the reasons are for
the temperature being as it is, that is a
proper debate. If the debate is about the
measurement itself, that is the wrong
debate. So the lovely thing that neuromarketing
has done is provide that measurement,
and now we can focus on things we
should debate,' he says. 'This is the first
time science has marched into the area,
and it's spreading light in a dark room.'
Assuming for a moment that the
argument has indeed been won, what
can brands expect to achieve through
neuromarketing?
'One of my clients trying to sell milk
experimented with various imagery -
farms, grass, hay, barns, farmers,' says
Pradeep. 'The one that always wins
out is cows. Somehow the source of a
product is more evocative in the deep
subconscious than anything else. This
is something we've learned through
neuromarketing.'
He also highlights Jo Malone as a
great example of a brand that understands
how to market to the 'buying
brain'. The perfume brand often
pictures product ingredients that,
Pradeep says, trigger positive emotions
in the brain.
'It is far more effective to advertise
perfume by highlighting the source,
rather than a man and a woman in
a passionate embrace,' he argues.
Of course, neuromarketing is far
more advanced than simple insights
such as the'primacy of source'.
Pradeep has written extensively on
the best ways to engage with older
people, pregnant women and most
other demographics. His argument
that chemicals change the way the
brain operates at various life stages
is central to the application of
neuromarketing.
Explaining creativity
Meanwhile, Müllensiefen argues (along
with ad research firm Ipsos ASI - see box,
right) that, while science has a place in
marketing, neuroscience is not always the
appropriate approach. He works with DDB
to bring a balance to the creativity of
agencies and consults on business pitches,
aiming to add scientific rigour.
'Ad agencies are usually quite creative,
but the thing that créatives can't always
'Understanding
what the journey is
and where the brand
sits in the deep
subconscious mind
is important'
Dr AK Pradeep
NeuroFocus
GÜ (above) research led to
positive, light-hearted ads
Jo Malone (above right)
shows perfume ingredients
explain is why things work
and what impact it will
have,' says Müllensiefen.
DDB picked up the
pan-European ad account
for pudding and bakedgoods
brand Gü last
December. Science was an
unlikely ally in helping the
agency land the business
and Gü better understand m«».~—
its customers. ""^^
Having run through ^ ^ ^,
DDB's pitch for the work, 3^"^' "^
Müllensiefen picked up on "~" .
several points linked to
consumers' reaction to
chocolate, a core flavour across Gü's
product range. Gonsequently, instead of
playing on the'guilty' theme of tucking into
a chocolate 'treat', DDB made the proposition
more positive and light-hearted, resulting
in the'Give in to Gü' positioning.
When it comes to neuromarketing, there
are few case studies available, and brands
remain reluctant to admit to using the
technique to improve their marketing
effectiveness. Pradeep puts this down to his
clients not wanting to give up a competitive
advantage over rivals, insisting that, when
brands build their own neuromarketing
labs, they don't want competitors to know
about it.
Müllensiefen takes the line that brands
must publish results, even if they are
delayed by a couple of years, so that they
can be scrutinised by peer review.
'It has to be established that neuromarketing
delivers proper results,' he argues.
'That hasn't happened yet. Results need to
be published openly and companies acting
commercially must publish their studies,
otherwise there is a lack of verification and
analysis of da ta.'
While the industry has been carried away
with the growth in neuromarketing, there
undoubtedly remain some unanswered
questions about the veracity of results. As
far as Pradeep and other neuromarketing
practitioners are concerned, however, the
important factor is that, at last, brands are
moving on from the Stone Age in their
quest for truly useful consumer insight, a
Expert comment Which techniques are best for measuring emotional response?
Keith Giasspooie
Deputy chiet
operating officer,
Ipsos ASI
EEG - where electrodes
are placed on the head to
measure brain activity -
seems a logical approach.
To measure brain activity,
put something on the head
-right? Not necessarily.
Typically, we want to use
neuroscience to understand
emotional response,
not what people are thinking.
EEG provides valuable
information, but it can read
activity only 2cm deep into
the cortex. The emotional
centres lie much deeper in
the brain. Furthermore,
opinion is divided on the
best way to execute EEG for
marketing research.
Biometrics is a more
appropriate way to gauge
emotion - it measures the
effects of brain activity in
the body. When we are
emotionally engaged, there
are a range of physiological
responses, such as the
heart beating faster.
Biometrie measurement
is also less obtrusive. Respondents
wear a belt around
the chest and a sensor on
the finger, but it's easier to
'forget' you are wearing
those than that you are
attached to electrodes.
In effect, EEG measures
cognition, but we can
already do that with survey
research. Biometrics
measures more effectively
whether emotional response
occurs. When this is
backed by survey research,
we can understand how,
why and what difference it
makes to brands.
marketingmagazlne.co.uk 2 November 2011 Marketing 25
Copyright of Marketing (00253650) is the property of Haymarket Business Publications Ltd and its content may
not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written
permission. However, users may print, download, or email articles for individual use.

No comments:

Post a Comment