Neuromarketing Concept by Vision Raval

The well-known concept used by Google & CBS

Author:

Six sigma Master Black Belt, TQM, MBA, Kaizen, B.com Innovation, Technology, International Business, & Management Consultant

Copyright © 2015 by Vision Raval Publishing rights by V Publishers, Ahmedabad.

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Dedication This book is dedicated to my all Marketing friends, Gurus and Students who inspire me to share thoughts on such current topics and development in to International marketing and advertisement industry.

Of-course my Dad Mr Rajnikant Raval and Mom Mrs.Sumita Raval are the source of inspiration to me during small to huge success of my life and without their blessing this could not possible

Index:

• Origin of Word “ Neuromarketing " • What is Neuromarketing concept?

• How Neuromarketing functions?

• How Neuromarketing works on buyer’s brain?

• Other Side of Neuromarketing • Examples & Video • About Author

Origin of Word “ NeuroMarketing “

The origin of the term "Neuromarketing" has been attributed to Ale Smidts in 2002, in actual fact the phrase was in use much earlier.

It was derives from the Greek Philosopher Plato (Chariot Allegory, Phaedrus 245c-249d) Plato’s chariot-drawn-by-two-horses philosophy was the first to link the human person to a human soul (mind).

One horse symbolizes human emotion (system 1) while the other is a representation of human reasoning (system 2); however, until recently, the “black box” of the consumer was merely the horse of reason.

Nevertheless, Plato’s chariot and two horse theory was disregarded as it was simpler to investigate, model and forecast reasoning of the consumer than predict their emotions (Miljkovic et al., 2010, p. 274). Consequently, the philosophy of Plato has evolved in the concepts of neuromarketing. An example of this is seen in the decision processing of neuromarketing, system 1 and system 2.

In the year 2007, scientists from Carnegie Mellon University, Stanford University and the MIT Sloan School of Management did MRI to study what the brain does while making a purchasing decision. After watching how different neural circuits lit up or went dark during the buying process, the researchers found they could predict whether a person would end up purchasing a product as end result.

This book will explain you what is Neuromarketing and basic details about how Neuromarketing logic works.

What is Neuromarketing ?

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Did you ever go to market to buy shoes and come back with lots of other stuffs as you did not find shoes you want ?

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Did you see crazy fans who sleep at street whole night to get the apple products in Cupertino ?

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Do you know advertisement you view controls 67% of mind decision to buy or not to buy that product?

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Did you ever find that you use to go online to buy one things and filled up your cart with many while checkout?

Now, above cases are the most common example of Neuromarketing where consumer decision get driven by the product marketing strategy and impact sales positively.

Since past few year neurology division did research on shopper's brain behavior to understand.. "Why they do such things ?" And base upon research NeuroMarketing theory popped up.

Neuro Marketing is one of the fastest growing concept for Marketing agencies and giant companies like Google , Nike , Dominos etc. In technical term NeuroMarketing is the combination of Neurometrics, Biometrics and psychometrics, which was derived by the scientist by observing your Reptilian Brain and Current / Conscious Brain.

As per the definition in simple words : “Neuromarketing is the detailed study with target to derive that how people's brains respond to advertising and other brand-related messages by scientifically monitoring brainwave activity, eye-tracking and skin response.”

Everyone has lived their life in different culture, different environment and different lifestyle. These information is very important for the product company to understand the psychology to define consumer behavior before they design advertisement for that geographical area.

Visual design of the advertisement need to come out from all above factors which give clear picture of product or services to the prospective consumer about it. Effective visualization is must for making any campaign successful.

Which includes the right tools or pictures showing core utility of the product or services. It should be strong enough to make user feel the same service or product in their mind / thought while they look at the advertisement.

Many Digital marketing agencies are working on the same concept and they got great success for making their advertisement effective for the targeted consumer market. It seems that thing you want to buy has the value in your mind first. That value could be created by these factors : • • • • • • • • •

Colors Pattern Touch (Fabric / Plastic / Steel / Aluminum etc) Branding Utilization Overview FAB (Features, Advantage and Benefits ) Budget and Quality

If you product has all about well described in to the advertisement then it will attract your targeted consumer with quick and effective way. It makes your marketing investment utilize with optimum sales.

Now, once you know what is Neuromarketing ; lets know the secrete behind its functions or how it really works as per the scientific research of human mind and behavior.

How NeuroMarketing Functions ?

Let’s try to understand this more closely in simple layman terms. The core objective of NeuroMarketing is to convince your brain to say “Yes” at physical store or click on Buy on virtual store by knowing nature of your brain, thought process, visual appeal and emotional association with the service or product. Now interesting thing here is how to derive it or what are the secrets of our brain which is known by Neuromarketer ?

Let me take you through some of them. To make it easy you need to understand function of Reptilian brain and Neocortex Brain. Reptilian brain understand the language of visual appearance, Image and Color combination while you look at any advertisement banner, poster or paper cut out. While Neocortex brain think base upon experience, rational attitude and covering multiple things which are involved in to decision.

How Neuromarketing works on buyer’s brain?

While you see advertisement or image or product, first thing come in to your mind is image and visual appearance, and next thing you do is reading the contents. So, Reptilian Brain catches visual presence and make decision to go for it or not in most cases. Then rational made convince consumer to buy it due to these positive reasons.

Till now companies mostly take mass samples or asking people what they want and design or create it. But issue is sometime consumer does not know what he need actually!!

So, by NeuroMarketing method companies decide what consumer's brain need to be catered with right representation of core features of service or product to ensure they like it, understand it and finally BUY it.

Case Study: In a study from the group of Read Montague published in 2004 in Neuron. 67 people had their brains scanned while being given the "Pepsi Challenge", a blind taste test of Coca-Cola and Pepsi.

Half the subjects chose Pepsi, since Pepsi tended to produce a stronger response than Coke in their brain's ventromedial prefrontal cortex, a region thought to process feelings of reward. But when the subjects were told they were drinking Coke three-quarters said that Coke tasted better. Their brain activity had also changed. The lateral prefrontal cortex, an area of the brain that scientists say governs high-level cognitive powers, and the hippocampus, an area related to memory, were now being used, indicating that the consumers were thinking about Coke and relating it to memories and other impressions.

The results demonstrated that Pepsi should have half the market share, but in reality consumers are buying Coke for reasons related less to their taste preferences and more to their experience with the Coke brand.

This study shows that you mind has direct connection with the decision making during shopping activities, and the algorithm works if your advertisement touches key area of your mind and affect your thought process positively towards buying the product.

It means you need to ensure that advertisement should go towards consumer’s mind via their eyes and return with the decision of “ Yes… I want to buy It “ to push the body for the right place to get it. This is the power of the Neuromarketing based advertisement towards consumer mind set to control the decision or push the decision towards company product or services.

Its general consumer nature to get the best out of their budget for utilizing the product / service but in majority cases they buy in high price to bring satisfaction of using brand and showing off his capacity to use that brand among surrounding group of people.

So, this concept may empower the entire sales cycle to push as first step of the sales cycle will be Marketing only. From advertisement only sales cycle begins towards lead generation or prospect identification. Such pre define tool will make first step very effective to start the entire cycle.

Other Side of Neuromarketing: Neuromarketing also has another face if we think as natural Advertisement fraternity. If you know what kind of advertisement, picture or imagination can be derived to force buyer’s mind to go for product will be non rational.

Some anti-marketing activists, such as Gary Ruskin of Commercial Alert, warn that neuromarketing could ultimately be used to manipulate consumers by playing on their fears or unethically stimulating positive responses from consumers. However in fact the proper evaluation of the process is required before taking final judgment on the theory of Neuomarketing.

From consumer prospective, these are the major dis-advantages • • •

Consumer can not judge which product to go for with Natural Mindframe Sometimes they spend more then product value to get satisfaction comes from Neuromarketing specific advertisement.

Small business could not take much advantage of it due to unawareness and huge research cost invested for the same.

Still its too early to make a judgment about it, however many research are going on on this concept with heavy investment and support from many giants including Google Alphabet.

It also encourage many financial firm to invest in this as shopping and finance / Banking works together for high value products / services. So debt ratio and credit card utilization will be promoted too.

It seems that other side of neuromarketing will take place few years down the line once we can see the heavy competition among the sellers by putting advertisement with this concept and observe how user allows such highly impacting advertisement towards their decision making power.

Examples and Video: Example of NeuroMarketing Banner:

Example of Non NeuroMarketing Banner:

Are you Business Owner?

And want to come office To Enjoy Coffee ?

Visit – www.visionraval.com

Difference is buyer can view and feel what words are exressing by an image which get directly imposed on their affirmative decision making.

Video Example : http://www.visionraval.com/NeuroMarketing-concept/

About Author : Vision Raval is an International IT Consultant, Process coach and Six sigma Trainer from Ahmedabad, Gujarat, India. He has more than 15 years of experience on different verticals like Web and Software conceptualization, Online Marketing, Sales and Business development for IT and non IT industries and Process Automation.

He is Six Sigma Black belt from ER, USA and consulted many companies for Business Process Improvement, Sales & Marketing, and organizational governance. He has completed his MBA from NIM with International Marketing and Business Process Outsourcing Management subjects. He also own Post Graduate Diploma in Intellectual Property Rights from GLS, Ahmedabad.

He also impart training at many well-known companies like Bombardier LLC, Ace Infoway, Galanotes INC, NTPL, Dubond, Fin Nig., MBPL- UN projects, Gujarat Maritime Board, IIPM etc. for time and Motion Studies, Kaizen, LEAN Six sigma, BPI, BPM, Business Automation, Time Management etc.

He is the founder of V HELP Foundation NGO which works for children education and health care awareness.

You can visit his website – www.visionraval.com and be in touch with him on hello@visionraval.com. Skype / Facetime / Google Chat ID : lovizta

Mr. Vision Raval