Neuromarketing PPT Final

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The key takeaways are the definitions of neuromarketing and an overview of the document content which discusses neuromarketing techniques and applications.

Neuromarketing is a technique that measures brain response to marketing stimuli like ads using tools like fMRI to understand unconscious consumer behavior.

The aim of the study mentioned was to see if there is a correlation between declared consumption of a food product and activation of specific brain regions when consumers are presented images of their preferred brands.

NEUROMARKETING

SUBMITTED BY :-
KHUSHI KUMARI
MUSKAN GOSWAMI
NISHA KUMARI
NISHANT KUMAR
PARIDHI MAHESHWARI
PARINAY RAJ
Neuromarketing Defined
Strict Definition: Measuring brain response to marketing ads.

Expanded Definition: Additional use of biometrics to include heart


rate, breathing rate, and galvanic skin response.

Loose Definition: Marketing tips/decisions based on neuroscience,


neuromarketing, behavioral economics, psychology, etc. knowledge
but not actual measures.
The Use of Neuromarketing in
the Study of Brand Related
Mental Processes

Case Study – Romanian Food Brands


Brands
Aldis is a Romanian meat &
small goods processing
company based in Europe.
The company was founded
in 1990
Transavia is one of the leading
companies in the poultry
industry in Europe. It was
founded in 1991. They offer
two types of product range –
Fragedo & Papane
Agricola is a Romanian meat
company. It was founded in
1957. They have 4 brands –
Agricola,
Salbac, Europrod & Avicola
Caroli Foods is a reputed
company in the industry
of poultry. It was founded
in 1994. Today, Caroli
Foods has 4 brands in its
portfolio: Caroli,
Campofrio, Sissi, Maestro
and Primo with more
than 200 products for all
tastes
Abstract
• The aim of study was to see if there is a correlation between declared
consumption of a food product and the activation of specific brain
regions measured with fMRI when consumers are presented images
with package of their preferred product
• Study included 50 participants divided into approximately equal age
groups and sex categories
• It found that hemodynamic changes in the precuneus area of the
brain were found to be positively correlated with whether or not
participants consumed a certain brand, suggesting the brand
triggered personal relevance
Methods and Design
• Using fMRI, activation of specific
brain regions where found
• A change is seen when consumers
are presented images with package
of their preferred product
Participants
• The study included 50 participants divided into approximately equal
age group and fairly balanced sex categories
• The age ranges , i.e., 25-34, 35-44, 45-55, involved 36%, 34% and 30%
of participants respectively, whereby 48% were men and 525 were
women
Age Male Female

25-34 years 9 9

35-44 years 8 9

45-54 years 7 8
Brands
Stimuli and Procedure
• Participants were asked to fill a form to check if they met the
inclusion criteria or not
• After explanation of the fMRI procedure to the participants, the
scanning started
• In the fMRI scanner, participants were presented with images of the
selected product from each studied brand, i.e., Agricola, Aldis, Caroli
and Transavia
• Each image was preceded by a fixation point located in the middle of
the screen
• The same selected image, of the same brand, was shown 3 times, for
30 seconds each
• After scanning, all participants filled in a questionnaire, indicating the
products which they consumed regularly
Results
• In terms of total activations across all
studies brain areas, there were no
significant differences between
products
• Only Aldis consumers portrayed a
genuine brand effect
• The remaining products did not display
a clear effect upon the brain
• Based on the results from the consumption questionnaire, the order
of preference:
o Aldis : 62%
o Agricola : 54%
o Transavia : 46%
o Caroli : 38%

Statistical analysis found a significant correlation between consumption of Aldis products and cerebral
activations in areas responsible with processing emotion and personal relevance, respectively.
Brain activation in the precuneus (marked with a Brain activation in the caudate nucleus (marked
white circle) with a white circle)
Analyzing the results
• Our study has found a significant correlation between consumption of
Aldis products and cerebral activations in areas responsible with
processing emotion
• Specific products triggered activations in the brain areas for emotion
only for consumers of those specific products and this effect was
absent for non-consumers
• A clear distinction real consumers of a product and those who don’t
consume that particular product was made
• Specific brain areas are activated only in smokers
when seeing cigarette packages and not in ex-
smokers
• Neuro marketers have been quick to invert this
finding and use ventral striatal activity as an
indication that an individual likes something
Measuring the Impact of
Packaging with
Neuroscience
Neuromarketing and it’s
Biometrics/Tools
EEG: Measures brain waves to determine what parts of the
brain are activated

Eyetracking: Measures where a subject is looking

FMRI
• Functional Magnetic Resonance Imaging
• Measures brain activity in real time
• Vastly more expensive and cumbersome than EEG, but gives
more accurate picture of the brain
In peripheral vision, packs are similar
Most
shoppers buy
the product
they FIRST
interact with
Shopper understanding is

essential

A lot of shopping behaviour is sub-conscious


Product

And around product

Most eye fixations in store


are on or around the product
PACK DESIGN IS
THE SINGLE MOST
IMPORTANT THING
TO GET RIGHT FOR
SHOPPERS

Pack is KING
Shopper brains follow a visual hierarchy
80% OF THE SHOPPERS READ ONLY FRONT OF PACK
MEASURING PACKAGE IMPACT
WITH NEURO RESEARCH
How we see a retailer shelf
1 EYE-TRACKING 2 EEG 3 GSR

What elements draw most Do these elements evoke


Do these elements provoke
attention and which elements are positive, neutral or negative
physical activation?
hardly seen? emotional engagement?

ENGAGEMENT ACTIVATION
WHAT

Biometrics tools
ICE CREAM STUDY
PROTOTYPE PROTOTYPE
CURRENT DESIGN ROUTE 1 ROUTE 2

Test material
BE NOTICED
BEST PERFORMER

Current ROUTE 1 ROUTE 2

Engagement

Activation

Route 2 engage positively with shoppers and activate them


Current Route 1 Route 2 Current Route 1 Route 2

Area of Interest Engagement Activation

Hertog Total

SKU 1

SKU 2

SKU 3

SKU 4

Neuro reveals small differences between SKU’s


Current Route 1 Route 2

Engagement

Activation

Instant attraction
3 sec. 100 97 97
EQUAL
BETWEEN
Total attraction
ROUTES
15 sec. 100 97 97

Same shelf impact however 2 route clearly engages better


Clear
contrast
Brand name Tasty

Indulgent

Respondents can tag elements they like in the


stimulus and elements they dislike in the stimulus.

For each tag, they are asked to leave an explanation


on what exactly they like or dislike about it.
Dark brown Variant not clear
not appealing

How emotag works


ROUTE 1 Pack element 1
ROUTE 2

Pack element 2

Pack element 3

Pack element 4

Pack element 5

Pack element 6

Route 2 received more positive comments


Indication for best design route
Emotional appeal

Stand out from shelf

Level of engagement and activation per design route

What does the pack communicate and what not

=> Explicit areas of pack improvement


=> Choose winning concept to launch

What did we learn?


Real emotional appeal

Level of sub-conscious engagement on specific areas

Level of sub-conscious activation

=> No claimed behaviour

What’s NEW in what we learned?


Further exploration to understand sub-conscious behaviour

Low n needed to be quantitative

Concrete output

Combine with qualitative research

Point of Sales touch points


Ethical Concerns
Either of the above two theories regarding neuromarketing lead to
ethical issues

• Should marketers have access to our unconscious minds?

• Should the technologies be limited to adult consumers?

• Who should determine standards and regulation?

• Should businesses be forced to disclose use?

• How can businesses be protected from faulty claims and large


expenditures of money?
The Truth
Neuromarketing has potential to advance what we know about
decision making much more quickly than academia

Though not peer reviewed, Region of Interest is a review


process. Firms or techniques that don’t work will be quickly
discarded in favor of results

Neuromarketing has just as much potential for good

• Education
• Producing better products
• Creating better usability and design
• Use by social movements
• Educating consumers about their own
irrational decision making
Controversy: Pseudo-science
Some claim neuromarketing is a pseudo-science because
there is a paucity of information sharing. This lack of
information is because:

• Private vs. academic. No requirement for peer review.

• Neuromarketing clients rarely release data or


results to the public. Concerns about negative
perceptions by consumers (mind-control, manipulation)
and giving knowledge away to competitors.

• Any “results” released to the public is in


reference to ROI, not comprehensive.
The Truth
Lies somewhere in between. Neither pseudo-science nor mind control.
It is morally ambiguous and complicated.

Big business has already used marketing in harmful ways by targeting


the animal brain, particularly when selling addictive substances.

• Big tobacco.
• Alcohol.
• Big pharmaceuticals.
• Video gaming industry.
• Sex industry (sex sells when it’s selling sex!).
• Gambling.
Cautions on Application
• As more proprietary data is gathered and released we can more
confidently apply findings

• Much is still unknown

• The brain is complex, and results in a lab may not hold true in
various real life contexts

• Data from neuromarketing is still best used when triangulated


with more traditional data such as interviews, questionnaires, and
historical data

• Level of engagement is the best predictor we have so far, but it


is imperfect. It is not a cause and effect. Engagement does not
guarantee conversion
Conclusions
• This study provided us a scientifically tested base of
knowledge useful in designing this new marketing tool which
has the objective of measuring unconscious reactions
triggered inside the brain of a consumer by various
marketing stimuli like logos, packages or advertisements
• Neuro marketing tools give insights not only into what that
person is thinking, but more importantly, into how they’re
reacting to a specific product or advertising
• This marketing tool will be able to make on-line evaluations
and will measure the implicit associations made in the
consumer’s brain relative to a brand/product
THANK YOU
Our quest is to understand
the unconscious shopper brain better!

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