@brandontalk

Consumer Behavior

COM 370, Publicity and Media Relations

10/29/2014

Brandon Andrews

@brandontalk

• Former U.S. Senate staffer • Director: IMPACT • Senior Account Executive: MWW Group• http://brandonandrews.me• @brandontalk

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CONSUMER BEHAVIOR

@brandontalkCONSUMER BEHAVIOR: THE QUESTION

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@brandontalkCONSUMER BEHAVIOR: THE STATS

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Ryan Leslie Soulja Boy

• Perfect 1600 SAT Score.

• Graduated Harvard at 19

with a B.A. in Government.

• Plays 5 instruments.

• Grammy nominated singer,

song writer, and producer.

• Net worth ~$3M.

• Single "Crank That"

reached number one on

the US Billboard Hot 100.

• Earned $7M in 2010,

making Forbes list.

• Debut album certified

platinum (sold 1M).

• Net worth ~$25M

@brandontalkCONSUMER BEHAVIOR: DEFINITION

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The process by

which individuals search for, select,

purchase, use, and dispose

of goods and services,

in satisfaction of their needs and

wants.

@brandontalkCONSUMER BEHAVIOR: MODELS

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Traditional Models

✚ The Economic Model

✚ Learning Model

✚ Psychological Model

✚ The Sociological Model

Contemporary Models

✚ The Howard Sheth

Model of buying

behaviour

✚ The Nicosia Model

✚ The Engle-Kollat-

Blackwell Model

✚ Engle, Blackwell and

Miniard (EBM) Model

✚ Webstar and Wind

Model of organizational

buying behaviour

✚ The Sheth Model of

Industrial buying

@brandontalk

Economic Model

✚ assumes that with limited purchasing power and a set

of needs and tastes, a consumer will allocate his/ her

expenditure over different products at a given prices so

as to maximize utility.

✚ Bases for Economic Model:

- Price Effect

- Substitution Effect

- Income Effect

CONSUMER BEHAVIOR: MODELS - ECONOMIC

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@brandontalk

Learning Model

✚ Promotes association of products with strong drivers

and cues, which lead to positive reinforcement from the

consumers.

✚ Learning’ will help marketers to understand how

consumers learn to respond in new marketing

situations, or how they have learned and responded to

similar situations in the past

✚ As consumers learn to discriminate, this data can be

used to plan future campaigns.

CONSUMER BEHAVIOR: MODELS - LEARNING

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@brandontalk

Psychological Model

✚ Based on the work of psychologists.

✚ Operates off the assumption that human behaviour, to a

great extent, is directed by a complex set of deep

seated motives.

✚ Helps the marketer to know how buyers influenced by

symbolic factors in buying a product.

CONSUMER BEHAVIOR: MODELS - PSYCHOLOGICAL

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@brandontalk

Sociological Model

✚ Assumes individual buyers are influenced by and exact

their influence on society.

✚ Interactions with society play a role in influencing

buying behaviour.

✚ Market segmentation can be employed to identify

common behaviour patterns in groups of buyers.

CONSUMER BEHAVIOR: MODELS - SOCIOLOGICAL

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@brandontalkCONSUMER BEHAVIOR: MODELS - OTHER

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@brandontalkCONSUMER BEHAVIOR: WANTS

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HOW?!?!?!

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ANALYTICS

@brandontalk

The systematic computational analysis of data or

statistics.

ANALYTICS: DEFINITION

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@brandontalkANALYTICS: THE DIFFERENCE

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@brandontalkANALYTICS: THE PROCESS FOR IMPACTFUL RESEARCH

Assess Needs

Align to Objectives

and Outcomes

Frame the Issues

Execute the

Research

Challenge, Review, Revise

and Refine

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Ginni Rometty

CEO, IBM

What you will see with rapid data and social sharing is the death of the average and the era of you.

Businesses will be able to truly serve the individual.

@brandontalk

Exploratory Descriptive Evaluative Prescriptive Predictive Provocative

ANALYTICS: PR RESEARCH

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PR and Content Value

@brandontalk

• Surveys

• Social Insights

• Data Mining

• Secondary Reviews

• Content Evaluation

• Creatively….

ANALYTICS: HOW WE RESEARCH

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@brandontalk

• Artists do not own their data.

• Artists do not know which fans and customers are the

most engaged and passionate.

• Music merchants and retailers don't share customer

details in transactions.

• Artists are reliant on the relevance of social media

networks and access in order to maintain connections

with their fans.

• When sites like MySpace lose momentum, they also

strip artists of whatever momentum they may have built

on the site.

ANALYTICS: MUSIC INDUSTRY PROBLEMS

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@brandontalk

Disruptive Multimedia (DMM)

• Facilitates eCommerce transactions.

• Manages data through an enterprise CRM.

• Comprehensive messaging.

• Artists and fans access all DMM from their mobile device.

• Artists using the platform own their data.

ANALYTICS: SOLUTION

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@brandontalkANALYTICS: #RENEGADES CLUB

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@brandontalkANALYTICS: #RENEGADES CLUB STATS

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ACTIVE USER COUNT

• 10,800

ENGAGEMENT RATES

• Delivery Rate: 100%

• Open Rate: 85%

• Clickthrough Rate: 65%

REVENUE GENERATE

• $255,000

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Questions?