Marque Magazine - December Edition

FROM THE EDITOR

Welcome to the very special edition of Marque magazine. I am delighted that the marketing club has been given the chance to use its monthly publication as a forum for all young marketing enthusiasts who want to express their opinions on a variety of themes. It brings me great pleasure to write this letter as Editor of this one-of-a-kind issue of the magazine.

The theme of December's edition revolves around the demise of interactive marketing, metaverse marketing , CSR, neuromarketing and much more.

I extend my warmest gratitude to all the authors for their interest, enthusiasm, and well-documented submissions of excellent articles and participation in this magazine’s building. I firmly believe that no matter how your magazine is delivered; either at your doorstep or to your computer, printed on glossy stock or on cheap tabloid paper, appearing on your iPad or your cell phone screen, it is still the work of an editorial team for a discerning audience, a beautiful and meaningful package of ideas, words and images put together by a group of experts for its readers.

While technology efficiently delivers new stories to our desktops, lap- tops, and mobile devices, magazines are all about context –how ideas and images are presented in relation to one another and spanning a broader perspective. We, the editors, will always strive to keep you engaged.

Interactive Marketing—Importance of Social Media in Building Brand Transparency for Boosting Consumer Trust

Author: Attiso Bhowmick

University of Agricultural Sciences, Bangalore

Introduction

Recent brand scandals like the Volkswagen emissions scandal and the Toyota recalls have enhanced the consumer’s disregard for the marketing claims put forward by the company. Coupled with the exaggerated marketing claims and the general information asymmetry encompassing all marketing practices have further skewed public opinion towards a need for brand transparency. This has focused business management to focus on several variables that can signal a company’s credibility and reinforce brand integrity. The Signal theory given by Spencer in 1973 suggests that brand transparency or the extent to which a company discloses its internal processes can offer a credible signal to boost a brand’s trustworthiness and integrity in the eyes of the consumer. Trust is an important factor that determines consumer purchasing decisions and customer loyalty, which is essential for any customer-centric company This is why brand transparency is a predominant concept in building consumer trust

Current Scenario

Brand transparency and brand reputation go

hand-in-hand. In this hyperconnected world, brand reputation directly depends on the shoulders of strong customer trust, which can only be earned through brand transparency. Thus, it is not a farfetched notion to use brand reputation as a parameter for estimating brand transparency The graph below (Graph 2) shows what factors corporate executive considers for determining their brand reputation In that list important factors like quality of products & services and financial performance rank high as usual However, a staggering observation can be made when it is seen that the company’s social media image is overlooked to a large extent Only a meager 32% of respondents consider it useful to estimate their brand reputation Again, according to the Clutch 2018 online reputation management survey, social media offers the best insights for monitoring the brand’s reputation online This asymmetry of facts suggests that brands and consumers are often not on the same page, which can cause consumers to lose their trust in the brand

How Social Media can be Used for Brand Transparency

The statistics hereby show the importance and

impact social media has on promoting brand transparency. Not every interaction that the company makes on social media generates equal consumer reactions. Some acts can leverage greater support and praise from the consumers, which in turn can conveniently increase the brand’s transparency in the eyes of the consumers concerned. The graph below (Graph 1) shows a survey conducted by Sprouts Socials on the topics that demonstrate a brand’s transparency in social media.

Inference and Discussion

The above analysis serves some valuable insights which may sound paradoxical but make sense in the real world. It is understandable to assume that many brands can be quite reluctant in disclosing their business-related information to the general public owing to security and privacy reasons. The concept of brand transparency might appear to be in direct conflict with this. However, the surveys indicate something far more interesting. The consumer is not necessarily interested in knowing the complex business mechanisms that are at work behind a brand. No respondents in the survey were interested in such topics They were mainly focused on how the company treats its products and services and how customer-centric the company is Sure, they may be interested in knowing the demographics of the company’s employees to ascertain workplace diversity or financial performance, but they form only a minority Rather than having an all-perfect product, they prefer something real that feels familiar This is the true essence of having brand transparency: not a practice to disclose all corporate information but instilling a sense of closeness and familiarity in its customers

The maximum percentage of respondents (61%) have selected that admitting mistakes publicly on social media signifies a sense of social responsibility and ethical integrity on the part of the company Consequently, this also demonstrates maximum brand transparency Conversely, using social media to discuss political and social issues and the company’s business performance has the least effect in displaying the brand’s transparency This has several insights which will be discussed shortly It seems imperative to say that the use of social media as a positive driver for brand reputation and transparency is beyond mere speculation The statistics and discourse have been more than sufficient to authenticate its importance and effectiveness However, that is only a mere part of the total equation Another question arises, how does a brand benefit from 53% of the total respondents have inclined toward a repurchase and 42% of them agreed that they would recommend the brand to their family and friends. This is very important as such respondents would serve as nodal points for more marketing lead generation which in turn can boost sales. 37% of the respondents would purchase more from such brands which shows transparency in social media. Thus, a plethora of positive effects can be observed maintaining a positive brand image through brand transparency in social media

Conclusion

The following discourse has been apt in describing the importance of having brand transparency and also how it can be effectively implemented through social media In the future, the focus on institutional trust is going to determine the scalability of any business. At a standpoint where a bird’s eye view of the entire business sector is virtually impossible and the prediction of dynamics in brand-consumer interaction is beyond human abilities, it is instrumental to make use of every aspect and method to increase and strengthen the customer base of a company. Using social media to increase brand transparency and, in turn, boost consumer trust is key in this regard. Without even a minuscule amount of doubt, it is thus possible to conclude that brand transparency will always be an extremely enriching and enticing experience for both consumers and businesses alike in the days to come.

Metaverse Marketing: Presence, Interactivity, and Immersion

Author: Ankita Mishra Ravenshaw University, Odisha

Many people believe that the latest paradigm shift for the internet is already up and running: the metaverse, they claim, is already here. If the metaverse provides something that people truly desire, it is reasonable to assume that many businesses are wondering what the metaverse is and whether they should be a part of it.

Simply put, the metaverse is any internetbased digital experience that is threedimensional (3D), immersive, and virtual. The metaverse is a fully operational universe in which users can create, sell, own, and invest. Users can also be recognized and rewarded for their efforts in the metaverse. Over the last few months, there has been a lot of buzz around the metaverse.

Google returns 39,700,000 results for the term metaverse. Meanwhile, the hashtag #metaverse is widely used on Instagram, with over 2,580,000 posts, and is tweeted more than 1000 times per hour on Twitter Marketing in the Metaverse.

We may still be in the early stages of consumer participation in the metaverse, but lessons from first-mover advantage are already emerging. In some ways, the critical aspects of metaverse marketing are similar to those of creating authentic and intriguing brand experiences in the external reality. However, how companies use these elements in the metaverse can vary greatly. As approaches to driving value online evolve, effective consumer engagement in the metaverse will require every company’s unique success formula.

The pandemic served as a grim reminder that no matter how flawless the world appears to be, it can crumble at any time.

While the pandemic strengthened bonds between families, it also taught thousands of stranded people how to derive joy from their own company.

With social distancing and all the restrictions on moving out, immersive gaming offered the much-needed escape that people sought.

According to Bill Gates, pandemics like COVID19 are unavoidable and are only the beginning of what is to come.[1] In a virtual world where users can play, socialize, and engage in various experiences, staying indoors will be much easier without compromising people's mental health.

The virtualization of humanity provides an opportunity for businesses to display their offerings virtually through cutting-edge technology. While the world is going virtual, many people will enter the metaverse soon. As a result, organizations would need to update their marketing models.

Companies need to incorporate current trends, such as the metaverse, into their marketing strategy. The marketing mix generally includes product, price, place, and promotion.

1. Product: Using Augmented Reality (AR) or Virtual Reality (VR) allows organizations to navigate research and development processes more efficiently; this saves both money and time while producing a better result. Businesses can use immersive technologies as add-on features for their products or services. IKEA’s AR filter serves as a good example.

Customers can use AR to visualize what the company's products would look like in their homes.[2]

This strategy provides a new service and reduces expenses by lowering return rates. Shopify's VR studios are another example.

Customers may browse products in the virtual Shopify store, design them, and see what they will look like when finished before making a purchase and turning the virtual product into a tangible, real-world item.[3]

2. Price: The metaverse can influence pricing in many ways − from cost savings to value-added components. It is worth noting that 71% of customers consider brands that use VR as innovative and revolutionary.[4] As such, incorporating the metaverse into marketing can enable companies to command higher prices for their offerings.

People are likely to pay more for a product if it includes an AR product manual or grants customers access to supplements. However, this requires knowledge of the potential customers and how much they are willing to pay. Companies must conduct extensive market research before setting a price.

3. Place: VR allows businesses to meet customers in the metaverse, even if they are located halfway around the world. The trybefore-you-buy notion is another way to incorporate the metaverse into the place parameter. This is especially popular with glasses − Lenskart allows customers to virtually try on eyeglasses or sunglasses by uploading photos or videos.[5]

Wow! Momo has launched its brands in the metaverse, joining a long list of international and

Indian companies that believe the metaverse will be the next big thing in e-commerce.[6]

The pandemic has forced us to do more things virtually. Staying updated with digital trends, such as the metaverse or Web 3.0, allows businesses to reach a younger, more savvy audience while remaining relevant.

4. Promotion: It is practical to employ VR in marketing because it efficiently engages the viewers.

The user is engrossed in the experience when using a VR headset, which considerably increases the entertainment value. At the same time, it allows them to have first-hand experiences that would not have been possible otherwise; this strengthens their emotional connection with the brand.

As a result of the pandemic's unparalleled disruption of physical marketing, many businesses are struggling to envision how to introduce their brand to the world.

Final Thoughts

There is reason to believe that the metaverse, like the internet, will eventually have its day. The devices released in the coming years will determine whether marketing in the metaverse is profitable and sustainable. The metaverse promises a bright future for brands. It also provides plenty of room for marketers and advertisers to innovate. However, data privacy and security remain a challenge. Despite the challenges, the opportunity to be experimental, immersive, and innovative prevails.

Is Corporate Social Responsibility a Marketing Strategy?

Author: Smriti Vohra Accenture

Ever since the outbreak of Covid-19, consumerism has changed drastically. People in their capacity as consumers and/or employees have a growing concern for the overall wellbeing of the community at large.

As per a leading sustainability report, up to 87 percent of millennials and 94 percent of Gen Z expect companies to address pressing social and environmental issues. To accommodate this shift of mindset, Corporate Social Responsibility (CSR) plays a crucial role now more than ever before.

Corporate Social Responsibility is a concept of ethical management that encompasses the variety of ways in which businesses can express socially conscious values. It is not just about collaborating with a local NGO or charity; it’s about bringing in tangible change in the society with far-reaching impact. There is an increasing pressure from business stakeholders to deploy CSR initiatives in a way that makes their brand look great. It is being used as a halo strategy to make the company seem more reputable in

the eyes of current and potential customers. If done right, the sustainability initiatives can have a positive impact on the overall brand equity. However, the motivation to have a successful CSR strategy should not be solely marketing.

As per a survey published by Clutch & Co., 71% of people think it’s important for businesses to take a stance on social movements, though they are divided over why they think businesses choose to support certain movements. Twenty-nine percent (29%) of people think that businesses choose to support social movements to earn money. Approximately the same number of people (28%) think it’s because businesses care about the issues a movement addresses.

CSR should be authentic to the soul of the organization and resonate with its corporate culture. Consumers can spot the difference between initiatives that are committed to the mission and those that are just a marketing ploy.

It’s imperative that companies aim to address issues that align with the company’s employees, investors, and customers- otherwise they risk coming off as insincere. Far too many companies look at it as a marketing gimmick and mess it up entirely. For instance, following George Floyd's death in 2020, many companies vocalized support of the Black Lives Matter movement. While support is important, some businesses ended up looking performative in consumers' eyes.

Another big corporation, accused of this hypocrisy is ‘Coca-Cola’. According to the 2022 Break Free from Plastic’s global brand audit, the soda brand is still the highest plastic polluter- winning this title fifth year in a row since 2018. This news comes amidst Coca-Cola’s attempt at “greenwashing” by being one of the sponsors of the United Nations Climate Change Conference (COP27), the key event in the fight against climate change taking place until 18th Nov 2022. To overcome the bad reputation created by these reports, the brand, in the past has launched several CSR initiatives that encouraged consumers to reuse bottles. Reusing these bottles can in fact be harmful as microtears can cause chemicals like polyethylene terephthalate (PET) to seep into the liquid. With growing inputs and assessment, it becomes important that companies take a holistic approach in finalizing their CSR activities.

When the focus is on the cause and CSR strategy is practiced with integrity, the recognition follows on its own. One such prominent example is of Ben and Jerry, that has been consistently vocal in its CSR initiative to combat climate change. In 2016, the company released a campaign taking note of the social and environmental impact that a temperature increase of two degrees has on ice cream - and the Earth. The ad expanded awareness on the subject and urged policymakers in battling climate change- a mutual win for the brand and environment. The campaign had a farreaching impact at the national scale. As an additional benefit, Ben and Jerry got the opportunity to measure its brand awareness within the country.

As we enter the Decade of Purpose, businesses should put their best socially responsible foot forward while making sure that the efforts are genuine. There is nothing wrong with social responsibility being a strategic decision, but it should also be one that the organization strongly believes in and is willing to stand up for. Going forward, the sincerity will become instrumental in differentiating brands that embrace long-term social responsibility from the ones that indulge in “good washing”.

Neuromarketing

Author: Amisha Chaturvedi St xavier's College (SXC), Mumbai, Maharashtra

“The idea that all human feelings, thoughts, and actions-even consciousness itself-are just the products of neural activity in the brain “

What is Neuromarketing ?

Neuromarketing refers to the measurement of physiological and neural signals to gain insights into customer’s motivation, preferences, and decisions which can help inform advertising, product development, pricing and other marketing areas.

Neuromarketing Tools

1.

EEG -

The electroencephalogram (EEG) is a very used technique in neuromarketing, and besides being portable and relatively economical, provides valuable information on brain activity. With this technique, the brain’s electrical activity is analyzed and registered by a headband or helmet that has small sensors, which are placed on the scalp. This method detects changes in the electrical currents of brain waves. It enables marketers o reveal customers’ engagement and recall with the help of electrical signals that come from neurons inside the brain.

2. fMRI - Functional magnetic resonance (fMRI) measures and maps brain activity through the detection of changes associated with blood flow. In this method, participants lie in a bed and with their heads surrounded by a scanner that tracks the variations in blood oxygenation in the brain, which are correlated to neuronal activity The results help in reading the brain’s electromagnetic activities, helping marketers to understand consumer’s preferences in terms of features that attract them, color, packaging, and designs that attract or bore them.

3. Eye Tracking - Eye tracking (ET) is a technique that measures and registers eye movements to identify the position of the pupil by utilizing infrared light (which is completely innocuous). Otherwise speaking, it follows the eye movements and registers gaze patterns of the participants. Eyetrackers identify and register gaze patterns to explain the visual path as a response to a specific stimulus and therefore obtain information on visual attention. Eye-tracking can answer various questions like how much attention do consumers pay to products promoted at the store’s entrance, or do consumers read posters, and so on.

4. Sensory Marketing - It involves the five senses of human sight, hearing, smell, taste, and touch. It is based on an idea where you impact the audience to be attracted to a certain brand in the presence of sensory stimulations. For example, you must have realized some supermarkets have this lovely smell of bread. You would think about the bread and the fragrance may convince you to buy it. This approach helps to sway you towards a certain brand in the presence of sensory stimulations.

Colour - According to

study “Impact

almost 90% of the interactions

the product and the potential buyer are determined by the color of the product. There are no right or wrong colors, but there are shades more or less consistent with the sector of reference of the brand. Neuromarketing experts specializing in color and advertising have divided colors into subgroups as a guide to how they may be used effectively. Cool blues, for example, are the go-to color if you wish to attract professionals.

Packaging - Consumer behavior is often affected not so much by the product itself as it is by the packaging that the product comes in. Brands such as Campbell’s and Frito-Lay have used neuroimaging to reimagine their packaging. Researches have revealed that customers had a negative response to shiny packaging, but didn’t show a negative response to packaging when it was matte. Frito-Lay then went on to scrap the shiny packaging, and move on with the new, matte look.

Promotion - Neuromarketing can reveal hidden responses and get rid of social desirability. For example - Cheetos conducted a study with focus groups seeking their opinion on a video advertisement. The participants responded in negative verbally, indicating their disapproval. However, EEG results proved otherwise.

Price - More syllables are perceived as higher prices. While conducting multiple experiments, the scientists found that we humans “sound out ” prices in our mind.

Satyendra Singh’s 2006

of color on marketing“,

between

Neuromarketing Techniques in Action

Place - It can be intriguing, and yet, just a little disturbing to know that just 5% of cognition occurs at a level we experience as conscious So how exactly is the placing of a product seizing control of our brain?

1. Through media

2.

Through retail settings

Ad Efficiency - One example of how neuromarketing has made use of fMRI is to compare advertising campaigns before releasing them to the general public. In one particular study, three different ads for the National Cancer Institute’s telephone hotline were viewed by participants. The ad campaign that elicited the highest amount of brain activity in a particular region, led to significantly higher calls to the hotline This novel approach is a new avenue for identifying ad campaigns that will genuinely engage the public.

Loss Aversion - One interesting finding utilized by neuromarketing is that people really don’t want to lose out. People are just as worried about what they might lose as what they might gain. For this reason “buy before it’s gone” strategies are highly effective When the alternative option is posed as a loss, consumers are much more likely to buy. For this reason, a concept called “framing” is highly important in neuromarketing. This technique is how advertisers present decisions to consumers in a way that makes them more likely to splash the cash.

Brand Examples of Neuromarketing

Pay Pal: It used the concept of Neuromarketing with the help of the company NeuroFocus which helped it to refine its forgettable brand message. (Essentially: simple, wow!”). It improved its visual and verbal identity by testing different key phrases With the help of Neuromarketing data, response rates and their click-through rate increased 34x.

Pepsi and Cola - In the blind test, it was discovered that people were motivated to buy coke because of its brand image rather than the taste.The methodology adopted was the series of tests where the respondents would sample the drink FMRI technique was used to conduct this test.

One blind, where the respondent isn’t aware of what they were drinking One where the respondent knew which brand they were drinking In the test, it was concluded that the brain was recalling ideas from Coke’s commercials, and the emotions attached to the brand overrode the product taste and quality This means People liked the taste of Pepsi, but they were more inclined “to believe” that they preferred Coke.

Hyundai - In a famous neuromarketing case, Hyundai used EEG to test their prototypes. They measured brain activity in response to different design features, and explored which kind of stimulation was most likely to result in buying.The findings of this study led Hyundai to change the exterior design of the cars themselves.

Conclusion

Coca Cola - Coca Cola’s ubiquitous use of the color red, but there are many more companies who have also used color to great effect. Coca-Cola also has recently announced that it would be using neuromarketing for all its quantitative ad performance projects

Neuromarketing as an Emotional Connection Tool Between Organizations and Audiences in Social Networks. It is gaining significant importance when it comes to predicting user behavior through biometric measurements, so it can be an essential tool for developing content that engages organizations and their audiences. It helps to examine cultural influence and brand perception.

Neuromarketing findings do present the potential that they tremendously intervene with the consumer free will and therewith their privacy.

M ARQUING OMENTS

THE

Marque - The Marketing club, IIM Rohtak

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Broadcasting Rights of The Super Bowl

The Super Bowl is the biggest event of the year for the National Football League – and is a rare televised event where a third of its audience just wants to watch the advertisements. This makes it the biggest event for advertisers. The Big Game as colloquially called is a showcase for adverts, and pop culture and a platform for new products and services. Rappers and musicians also perform during the half-time show, increasing their fan reach and popularity. Mega-events in general – whether it’s FIFA World Cup events or Olympic events; whether it’s the World’s Fair – anything that’s a mega-event is going to have some similar issues,” Henry said. “Sponsorships are huge. FIFA, like the IOC, benefits most from sponsorships, ticket sales, and broadcasting. Broadcasting rights are huge in terms of where the money is made by the organizations.”

“It’s all about marketing and legacy,” Henry said. “For these mega-events, marketing is really what it is all about for sponsors. Legacy is where potential future revenue is captured by the host city and the venues used for the events

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Creative Marketing in a World of 5G

The world as we currently know it will significantly change once we make the full transition from 4G to 5G. More than ever, it's critical that we concentrate on educating individuals for the workplace of the future. Over 45% of the duties and activities we now carry out at work may be automated with the help of currently available technology, according to studies. Even while we can make educated guesses, the emergence of new, potent mobile networks means that the future is incredibly unpredictable. We may, however, concentrate on developing essential future abilities that won't be automated anytime soon, like creativity, critical thinking, and problem-solving.

As more enterprises incorporate digital services and data analytics into their core operating strategies, the processes employees must integrate into their workflows have become more complex. At the same time, the sheer number of processes has increased dramatically. By using AI and machine learning (ML) solutions, organizations can deploy bots and algorithms that automate several of these processes.