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Five Key Findings with Implications for Marketing

!John Scriven john.scriven@marketingscience.info

Five Key Research Findings

1. Loyalty is a function of brand size, not attributes - and is mostly similar from brand to brand - Size (and growth) is driven by number of customers - Brands compete primarily on basis of size$

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Implications

The battle is to be considered by more customers more often...$

Not to change your customer base (more loyal, more passionate) - but to enlarge it$

For Maintenance in the face of Competition

Light customers matter (because there are so many)$

Most of your customers are occasional and they buy other brands more often - so they need reminding you are there$

For Growth

To grow, you need lots more customers$

Mass marketing is the path to growth - making your offering as widely available and salient as possible

Five Key Research Findings

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2. Your customer base looks like your competitors’ - No need to look for your special segment$

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ImplicationsYou don’t need to look for your special segment - Just understand who is in the market Mass marketing means reaching out to everybody in the market - Not that everybody is the same or has the

same needs - But there is little correlation between needs,

attributes and brand use

Five Key Research Findings

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3. Brands don’t need to be Differentiated to be chosen - Distinctiveness is more important$

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• There are obvious differences between products and sub-groups

• Differences clearly exist between brands

• But buyers don’t have to perceive brands as having a difference (that matters) in order to buy them

• Perceptions vary little between competitive brands

• Differentiation doesn’t lead to different buying patterns - e.g. no greater loyalty

Differentiation or Distinctiveness?

• Distinctiveness is strongly linked to the brand and what it is or does

BUT

• The source of the distinctiveness is not why people buy the brand (a la differentiation)

• It is typically of no value to the buyer

• eg, a colour, a logo, a style, a creative execution

But isn’t that differentation?

• Don’t worry if you can’t differentiate your brand - most have tried and failed..

(But these brands still get bought)

• Don’t waste time and effort looking for USP’s

• Don’t reject a marketing campaign just because it doesn’t have a USP

• DO aim for distinctive creative that is quickly associated with the brand, and can be used in the long term

Implications

Five Key Research Findings

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4. Salience is the first and most important step in brand choice

Having a link to the retrieval cue How strong/fresh that link is

Relative to competitors also linked to the cue

Coming to Mind depends on:

You MUST

Reach all potential customers - media strategy (timing, weight, mix) matters$

Get their attention - creativity matters$

Refresh & build memories - branding matters

Five Key Research Findings

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5. Brand Advertising acts as Publicity - To develop and maintain salience of the brand as it is - Not to persuade that the brand has a specific property

• Cuts through - reaches light and non-buyers!• Is likeable - and therefore watched, remembered!• Is memorable!• Is distinctive - is well branded, and proclaims the

brand

Successful Advertising

• Don’t hobble your creative with persuasion & differentiation objectives!

• Worry a lot about branding - think distinctive, not differentiated!

• Worry a lot about media choice, timing, reach & frequency

Implications

Five Key Research Findings

1. Loyalty is a function of brand size, not attributes - and is mostly similar from brand to brand - Size (and growth) is driven by number of customers - Brands compete primarily on basis of size$

2. Your customer base looks like your competitors’ - No need to look for your special segment$

3. Brands don’t need to be Differentiated to be chosen - Distinctiveness is more important$

4. Salience is the first and most important step in brand choice$

5. Brand Advertising acts as Publicity - To develop and maintain salience of the brand as it is - Not to persuade that the brand has a specific property

what marketers don’t knowByron Sharp

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