Traditional marketing including advertising, public relations, branding and corporate communications is dead.
Marketing Is Dead by Bill Lee, HBR blog, 3:00 PM August 9, 2012
Based on Bill Lee’s analysis, president of the Customer Reference Forum:
1. Consumers do not pay attention to traditional marketing messages anymore
Consumers have become bored using their analytical system 2 to understand the arguments of traditional marketing messages. They prefer to look for information on Internet themselves or to trust their intuitive system 1
2. CEOs want KPIs
In a 2011 study by the London-based Fournaise Marketing Group, 73% of the 600 CEOs interviewed said that marketing managers lack business credibility and the ability to generate sufficient business growth. As well, 72% are tired of being asked for money without explaining how it will generate increased business. Finally, 77% have had it with all the talk about brand equity that can’t be linked to actual firm equity or any other recognized financial metric.
3. Traditional marketing is not compatible with digital and media breakthroughs
4. Purchases are not sufficient to capture the complexity of customer behavior and value
Customer lifetime value (CLV), only based on purchases, is not sufficient to measure the complexity of the customer’s potential value. The customer’s network, willingness to pay, impulsive behaviors, risk and loss aversion, overconfidence, brand familiarity, herding tendency and many other personal attributes related to the consumer’s intuitive system 2are key to evaluate how much a customer is worth, depending on the purchasing context.
Community marketing, digital marketing, big data, buzz marketing, direct marketing, ethnomarketing, cognitive marketing, neuromarketing…what’s next ?
Hilke Plassman publications, INSEAD
About cognitive marketing:
1-Greenwald, A. G., Poehlman, T. A., Uhlmann, E., & Banaji, M. R. (2009). Understanding and using the Implicit Association Test: III. Meta-analysis of predictive validity. Journal of Personality and Social Psychology, 97, 17–41
2-Implicit assimilation and explicit contrast: A Set/Reset Model of response to celebrity voiceovers MARK R. FOREHAND, ANDREW PERKINS
3- Predictive Validity of the Implicit Association Test in Studies of Brand, Consumer Attitudes and Behavior Greenwald, A. G., Dominika Maison, Ralph H. Bruin, JOURNAL OF CONSUMER PSYCHOLOGY, 14(4), 405–415, 2004
4-Verlegh, P. W. J., & Steenkamp, J.-B. E. M. (1999). A review and meta-analysis of country-of-origin research. Journal of Economic Psychology, 20(5), 521-546
5-Implicit Consumer Ethnocentrism–an Example of Dissociation between Explicit and Implicit Preference, A. G., Dominika Maison, Ralph H. Bruin, 2004
6-Is the implicit association test a valid and valuable measure of implicit consumer social cognition? FF Brunel, BC Tietje, AG Greenwald – Marketing, 2004
7-A Meta-Analysis on the Correlation Between the Implicit Association Test and Explicit Self-Report Measures, Wilhelm Hofmann, Bertram Gawronski, Tobias Gschwendner, Manfred Schmitt
8-MEASURING IMPLICIT CONSUMER ATTITUDES AND PREDICTING BRAND CHOICE, Michaela Wanke, Henning Plessner, TatjanaGartner, Wade Malte Friese, 2002
9- Object and user levels of analyses in design: the impact of emotion on implicit and explicit preference for ‘green’ products,Vera Sacharina, Richard Gonzaleza and Jan-Henrik Andersen, 2008
10-Predictive Validity of the Implicit Association Test in Studies of Brand, Consumer attitudes,
Maison, Greenwald, Bruin (2004), a Diverseo
11-Does One Bad Apple(Juice) Spoil the Bunch? Implicit Attitudes Toward One Product Transfer to Other Products by the Same Brand (2012) Kate A. Ratliff, Bregje A. P. Swinkels, and Kimberly KlerxBrian A. Nosek
12-Unhealthy food is not tastier for everybody: The “healthy = tasty” French intuition (2013) Carolina O.C. Werlea , Olivier Trendela, Gauthier Arditoa
13-The implicit measurement of destination image: The application of Implicit Association Tests (2012) JieYang, Jiaxun He c, Yingkang Guba
14-Using aversive images to enhance healthy food choices and implicit attitudes: An experimental test of evaluative conditioning (2011) Hollands, Gareth J.; Prestwich, Andrew; Marteau, Theresa M. Health Psychology, Vol