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NEUROMARKETING

By-Prof.-Snehal Chincholkar

WHAT IS NEUROMARKETING
By studying activity in the brain, neuromarketing combines the techniques of neuroscience and clinical psychology to develop insights into how we respond to products, brands, and advertisement. From this, marketers hope to understand the subtle factors that distinguish a dud pitch from a successful campaign.

Neuromarketing is a field of study using neuroscience technologies such as functional magnetic resonance imaging (fMRI) ,to see how peoples brain respond to advertising and other brand related messages.
The word "Neuromarketing" was coined by Ale Smidts in 2002 Dr David Lewis, founder of The Mindlab International has been dubbed the 'father of Neuromarketing' for his pioneering studies of analyzing brain activity for research and commercial purposes.

TECHNOLOGY BEHIND IT
Researchers use technologies such as functional magnetic resonance imaging (fMRI) to measure changes in activity in parts of the brain, electroencephalography (EEG) to measure activity in specific regional spectra of the brain response, and/or sensors to measure changes in one's physiological state (heart rate, respiratory rate, galvanic skin response) to learn why consumers make the decisions they do, and what part of the brain is telling them to do it.

F M R I

FMRI - FUNCTIONAL MAGNETIC RESONANCE IMAGING


Developed in the early 90s

Apparatus allows the precise tracing of areas activated in the brain responding to stimuli.
3D-Encode: activated regions appear in multiple colour. Originally applied to detect the location of illnesses, e.g. headaches, paralysis and seizures in the human brain.

INTRODUCTION
Functional MRI or functional Magnetic Resonance Imaging (fMRI) is a type of specialized MRI scan. It measures the hemodynamic response (change in blood flow) related to neural activity in the brain or spinal cord of humans or other animals. It is one of the most recently developed forms of neuroimaging. Since the early 1990s, fMRI has come to dominate the brain mapping field due to its relatively low invasiveness, absence of radiation exposure, and relatively wide availability.

RIGHT OR LEFT

PURCHASING PROCESS

RESEARCHERS TRY TO DO.


The marketers task is to understand what happens in the customers consciousness [and/or unconsciousness] between the arrival of the outside marketing stimuli and the ultimate purchase decision.
They try to find out why customer taking decision and what part of brain are telling them to do so.

NEUROMARKETINGRESEARCHING CONSUMER BEHAVIOUR

Neuromarketing is based on neuro-scientific consumer research and the assumption that the majority of consumer behaviour is made subconsciously What motivates consumers to purchase a certain product? self-esteem emotions consumption experience goal-directed behaviour external influences

It starts, where traditional consumer research techniques end in the consumers brain

CONTINUE

Overconsumption and compulsive shopping can be traced back to a dysfunction of the orbitofrontal cortex (ORF) Leake (2006) Impulsive buying decisions are based on the emotional state of the buyer (governed by the limbic system), rational buying decisions are processed in the frontal cortex Mucha (2005) Memory retention is processed in the amygdale and ventromedial lobes (VFML) Ambler, Ionnides and Rose (2000)

Irrational buying and selling is associated with the autonomic nervous system

IT WILL HELP..
With the help of Neuromarketing marketers can create product or services and communication models more effectively so they are more focused on brains response.

NEUROMARKETING AND PRODUCT DEVELOPMENT

Flavour
Smell

Colour
Health/fashion trends Identifiying new target groups

NEUROMARKETINGITS POTENTIAL IMPACT ON ADVERTISEMENT DESIGNS

Poster/billboards
Radio promotion
size sports person balance information/entertainment music

slogan/message

colour arrangement

length

voice

TV advertisement
balance information/entertainment length product focus colour arrangement image voice/music
Sarah Opitz

NEUROMARKETING ITS POTENTIAL IMPACT ON PROMOTION CAMPAIGNS

Sponsoring Web adverts -duration -contents

-celebrities -events
Freebies/ promotion extras
-location -product choice

Posters/billboar ds
-location -duration

NEUROMARKETINGITS POTENTIAL IMPACT ON PRODUCT PACKAGING/DESIGN


Logo Colour scheme Packaging materials Packaging size Limited editions Smell

NEUROMARKETINGITS POTENTIAL IMPACT ON DISTRIBUTION


Shelving Product grouping Special offers

Smell
Music

General atmosphere
Availability

NEUROMARKETING AND ITS LIMITATIONS


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Accurate measurements of brain activities are limited (Michel (2004/2005) ) Certain emotions cannot be clearly differentiated (Kurfer (2006)) Analysis of collected data still remains an enigma ( Reynolds (2006), Ahlert (2005)) Because of the complicated technique limited test is possible. Neuromarketing and ethical concern.

THANKS