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WhyDoMarketersDoWhatTheyDo?
ByJohnyJohansson
Date:Nov5,2004
Returntothearcle

Inthischapterfromhisincisivecriqueofeconomicglobalizaon,JohnyK.Johanssonexplainswhy
marketersignoremulculturalismandlocalizaoninthepursuitofaneasyanduniversalmarkeng
program.
Ismarkengethical?
TherearemanypeoplearoundtheworldandintheU.S.aswellwhowonderhowmarketerscandowhattheydowithout
feelingsicktotheirstomachs.ItisthesamefeelingIgetwhenIreadaboutthetobaccocompaniesandthemanagerswhowork
forthem.Howcantheyfacetheirchildren?Theirspouses?Eventhemselvesinthemirror?
MyownsoluonhasalwaysbeentobelieveintheproductIamselling.Ifyoucanconvinceyourselfthattheproductorserviceyou
aresellingyieldsposivebenetstothecustomer,thatit's"good"inthesensethatthecustomerwillbebeeroforhaving
boughtit,thenyouaredoingsomethinggood.Agoodproductisbyitselfnotenough,ofcourse.Inyourfacemarkenginvolves
taccsthatcanappallandarontpeople,regardlessoftheessenalgoodnessoftheproduct.But,astarngpointfor"ethical"
markengmustbethattheproductisgood.IteachthistomyMBAstudents,andhavehadsomeofthem(thoughnotall)quit
companieslikePhilipMorrisforthatreason.Otherstudents,ofcourse,donotevenconsiderworkingforsomeofthecompanies
disparagedforsimilarreasons.
Whetherornotaproductyieldsposivebenetscanofcoursebeatrickyqueson,especiallysinceinmanyadvancedmarkets,the
needssasedaretypicallynotverybasic.Imean,wearenotusuallytalkingaboutfeedingthepoorandhungryoroeringa
drinktothethirstymasses.Marketerstendtomakeuseofatheoryofneedsthatishierarchical,meaningthatoncebasicsurvival
needsaresased,therearehigherorderneedstheneedforrecognion,forachievement,forbelonging,andsoonwhichalso
havetobesasedforapersontobehappy.Aproductthatmakesapersonfeelgoodisthereforealsoa"good"producttosell.
Whilemarketersprefertospeakof"sasfacon"insteadof"happiness,"thereisalwaysatleastanimplicitassumponthat
productsandserviceswillbringhappinesstoaperson'slife.Thisassumponisthesourceofthematerialiscand
commercializaondynamicofmarkeng."Webringgoodthingstolife"astheGeneralElectricslogangoes.

InYourFaceLogic
Theinyourfacemarkengeortsdiscussedhere,however,gowaybeyondthequesonofthegoodnessoftheproduct.Infact,in
manycases,theproductitselfisonlytangenallyinvolvedintheeort.Thisisbecausetoamarketer,perceponiseverything.A
highspeedcomputerisahighspeedcomputeronlyifthecustomerthinksitisahighspeedcomputer.Thinkaboutitforasecond
andyou'llseehowitworks.Takeacar,forexample.Howdoyoujudgeifthecarisfastornot?Figuresseemtotellthestory"0
60in8seconds"butmostpeopledon'tknowhowtoreadthenumbers."Sporness"isthetypicalaributeautomakersuse,and
thiscomesfromstyling,somethingeveryonecanjudge.Nowtakeamoremundaneproductlikeabarofsoap.Howsoisiton
theskin?Accordingtomarketresearch,mostpeopleapparentlyuseperfumestrengthtoassesssoness.Anyonecansmellthe
soap.Howaboutfoodanddrink?Well,weknowthatpeoplecantellbeersapartwhentasngbutonlyiftheyareallowedtosee
theboles(althoughGuinnessstoutisanexcepon).Asforfood,thereisnotmuchsciencevidencethatIhaveseen,butthink
abouttheeectonpeoplewhenyoutellthemsushiisrawsh,orthatchickenbreastisactuallyrabbitmeat.Imakemystudents
squirmintheirseatswhenItellthemSwedesareveryfondofsmokedhorsemeat.Idoubtthesamereaconwouldoccurifthey
tasteditandweresimplytolditwassmokedvenison.Perceponmightnotbeeverything,butit'ssmallwonderifformarketersit
seemsmoreimportantthantheproductitself.
Thisiswhythemarkengeortsdiscussedinthisbookgofarbeyondtheproduct.Theyalsoinvolvethedesign,thecolor,the
brandname,thelogo,andthewholemarkengcommunicaonsapparatus.Infact,theinyourfacemarkengeortthataronts
memostistherepeveadversingslogansandnoisycommercialsIseeonTVandhearontheradio.It'snoteasytoillustrate
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thisonthewrienpage,butweallhaveourfavoriteoenders.Forme,theworstaretheloudandabrasiveTVcommercials(with
lotsofsex,confrontaon,and"atude")myteenagedaughterssee,butthenIamnotinthatmarket,sothoseshouldn'treally
count(Idotellthem,however,topleasewatchsomethingelse).Buthowaboutthoseinanecarcommercialsaboutzeronancing,
theinsipidbeercommercialstoungsenmentalpatriosm,andBobDolehawkingViagra?Talkaboutaproducttobelieveinat
leastheisapersononecanempathizewith.

Promoonaltaccs
Afewfeaturesmakefortheinyourfacecharacterofmanyofthesecommercials.Asyoumayhavenocedalready,whenthe
commercialsonTVcomeon,thevolumeautomacallyincreasesslightly.Thisistocatchyouraenon.Thesameintentisbehind
thequickedingandstrikingimagesthattypicallyareusedtopullyouintothecommercial'sstory.Thiscaninvolvesexand
violence,asweallknow.Somemes,thebeginningtradesonwhatiscalled"fearappeal,"aswhentheresofacarsliponawet
road,withayoungmotherdrivingandababyinababyseat.Sex,violence,fear,andguiltarealwaysassumedtobereliable
movators,usedasgluetohookyoutothescreen.Notsurprisingly,tochoosebetweenalternavecutsandeditsofa
commercial,adagenciessomemesusetoolssuchaspupildilaonmeasures,eyemovementcameras,and"galvanicskin
response,"electrodestomonitorsweatypalms.
Havingestablished"theproblem,"thestoryusuallymovesintoamoreraonalmode,explainingwhytheadversedbrandmight
infacthelpsolvetheproblembeerthananyofthecompengbrandsonthemarket.Thesekindsofproblemsolving
commercialsarestaplesofbrandsfrommanypackagedgoodsmanufacturersandarereallynotthatobjeconable,exceptwhen
theytrytogetlowinvolvementproductstoseemveryimportantforyouremoonalwellbeing.Ifyouare"inthemarket"for
someofthesemundaneproducts,gengsomecomparaveevaluaonofbaerylife,absorpvecapacityofpapertowels,or
whyaparculartoothpasteghtscaviesbeerthanalltheothers,norealharmisdone.Ifyouarenotinthemarket,youcan
justtuneoutlikewealldo.
Alotoftheinyourfaceadversingreallyhaslileornoproblemsolvingpurposeatafunconallevel.Rather,itplayson
insecurityandinexperience,aswellasadesireforstatusandotherhigherorderneedstocreateemoonaltensions(emoonal
"problems,"ifyouwill)thatcanthenbecuredbychoosingtherightbrand.Thesituaonsoeninvolveindividualaspiraonsand
socialpressure.Thecommercialsdepictthedejeconthatcomesfromthedisapprovalofsomesignicantother,andthe
subsequentcatharsisthatchoosingtherightbrandwillyield.Contrarytowhatyoumightsuppose,thisisnotasimplelogicthat
appliesonlytoteenagers,butisatworkinallsegmentsofthemarketandwithallkindsofproductsandservices.Thesekindsof
emoonalappealsareusedforpersonalcareproductsandapparelmostdecidedly,butalsoinadsforhouseholdproducts(the
"goodmother"imageofPampers),formajorpurchasessuchascomputersandautomobiles,andeveninbusinesstobusiness
markets(thewayIBMandFedExplayontheirrecognionfactor,forexample).Therightchoiceofbrandwilleasethetension,
sasfythecustomer,andllaneed,albeitahigherorderone,awakenedbythepromoon.Wemightthinkweareimmuneto
suchobvious"tricks,"butresearchconsistentlyshowsthatsuchdenialsareemptygestures.Forexample,backinthe1970swhen
genericbrandsrstappearedinthestores,eventheblackandwhite"Beer"cansturnedouttohavetheirownspecialcachet.My
olderdaughter'sArmysurplusshirtmakesitsownstatement.Peoplearesocialanimals.
Inyourfacepromoonalso,ofcourse,includesallthatrepeveadversingthatweseeandhear,impressingbrandsandtheir
slogansoneverybody'smind.Weallknowthewayjingles,logos,andspokespersons(orcartoons,oranimalstakeyourpick)for
certainproducts"help"usremembertheappropriatebrandname.It'sRonaldMcDonald,theBudweiserfrogs,the"justdoit"
swoosh.Theseremindersareintendedtobeinyourfacequiteliterally,sothatwhenthemecomestomakeachoice,you
"naturally"andwithoutthoughtreachfortheembeddedbrandorgetupsetifyoucan'tnditontheshelf.Inthebeginning,
marketersthoughtthattheserepevemessageswouldbeusefulonlyfortherstthreeoccasionsorso(aerwhichafague
factorwouldreducetheeecttonilornegave),andthenonlyforlowinvolvement,impulsestyleproducts,wherechoices
becomealmostinsncve.Theseresearchndingsmightsllbevalidinsomecountries,butthecluerofcommercialmessages
intheU.S.hasgrownsodensethatmarketershaveapparentlydecidedtokeepthebarragegoingformostkindsofproducts.The
reasonissimplythatasthenoisehasgrown,wehavebecomeincreasinglydesensized,losingtheuseofoursensestheway
hardrockfanslosetheirhearing.Thisiswhyinyourfacepromoonssomemesseemakintoafrustratedparentshoungathis
orhermultaskingospring:"Listentome!"

TheMarketer'sViewofPeople
SomemeswhenIseeTVcommercials,Iwonderwhatthemarketersreallythinkofpeople.Theymustthinkweareimbecilesor
something.Wheredotheygetthisidea?Itusuallydoesnottakemelongtodeciphertheanswer.Aerall,someoftheresearch
thatwepresenttoourstudentsintheclassroomgivesapreygoodideaabouthowweinmarkengviewpeople.Iknowmanyof
youmightthinkthatallthelipserviceto"ourcustomersarethemostimportantpeople"isbunk,butreally,marketersdothink
thatcustomersareimportant.It'sjustthatwedon'tthinkourcustomersarereallythatsmart.
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Idon'tsaythatwemarketersareanysmarter,butthewayitworksisthatwhenamarketerlooksatalltheresearchevidence
abouthowconsumersbehave,itisdicultnottostartthinkingthatpeoplereallyarepreyincoherentshoppers.Ishouldsay
rightawaythatthereasonsforthishavemoretodowiththemeandeortwespendonevaluangproductsandservicesthan
withanyinnatelevelofintelligence.Eventhemosteducatedandintelligentindividualiscapableofbeinginuencedwillynillyby
somecleverpromoonandofmakingthemostatrociouspurchasedecisions.IthinkyouknowwhatImean;weallletourguard
downatmes.Webuyuselessthingsbecausetheyareonsale;webuy"Americanmade"onlytondoutthegoodsweremadein
China;or,weorderahightechmosquitokilleraerseeingitadversedonTV,forgengthatwedon'thaveelectricityinthe
backyard.OneofmyesteemedcolleaguesstockeduponcasesofFrenchchampagneasaninvestment,notrealizingthatthezz
dissipatesoverme.
Marketersdosciencresearchtobackupsuchanecdotalevidence.Someofitiselegantandsimple,aswhentworandom
samplesofhomemakerswereshownashoppinglistthatdieredonlybyoneitem.Onelistincluded"MaxwellHousecoee,"
whiletheotherlisthad"Nescafeinstantcoee."Whenaskedtodescribethehousewifewithsuchashoppinglist,thetwo
samplesdieredsignicantly,withthoseshownthesecondlistimaginingacarelessandirresponsiblehousewife.Thiswasdespite
thefactthatpriorpersonalinterviewshadrevealednonegaveatudetowardinstantcoee.1Anothersmalltestinvolvedlining
thepocketsofidencalovercoatswithdierentmaterialsandaskingpeopletocomparethem.Invariably,pocketslinedwith
soermaterialscoredhigherqualityrangs.Youhaveprobablyheardaboutthevariousblindtestsofsodrinks,beer,and
varioussnacks.EvendevotedCocaColadrinkers,whoforcedthecompanytogetbackto"Classic"Coke,hadnotrealizedthatthe
colaformulahadbeenchangedseveralmesduringtheirlifeme,butwithoutannouncementsorpackagingchanges.2Without
thelogosavailabletoview,therehaveapparentlyevenbeencaseswherecolasandnoncolascouldnotbereliablydisnguished.3
Itsureishardsomemestotakepeople'sopinionsseriously.
Alotofmarketresearchinvolvessophiscateddesignandlargescaledatacollecon.Brandingresearch,forexample,whichtries
toassessthevalueofvariousbrands,involveslargesurveysofrespondentsqueriedaboutawidevarietyofbrands.Researchfor
newproductscaninvolvesophiscatedanalysesofconsumers'responsestoalternavedesigns,projecnglaboratorytestresults
toaforecastofmarketshares.Alternavepromoonaltoolsthingslikecouponsversusinstorecentso,specialaisledisplays,
orfreehomesamplesareevaluatedthroughcomputerbasedanalysesofmassivesetsofsupermarketscannerdata.Formanyof
usmarketers,thesekindsofsophiscatedsciencendeavorshelptoshieldusfromtherealizaonthatweare,infact,evaluang
meansformanipulangpeople.

Theempoweredconsumer?
Sincethearrivalofonetoonemarkeng,theInternet,andrelaonshipmarkeng,therehasbeenmuchtalkaboutthe
emergenceoftheempoweredconsumer.Marketerscannolongerdictatewhatconsumersshouldbuyanduse.Consumersarein
controlofthecommunicaonswithanyseller,expressingpreferences,evaluangalternaveprototypes,andevendesigningtheir
ownproducts,fromcarsandcomputerstoshirtsandshoes.
Thisglowingpictureiscorrectasfarasitgoes.Butbecauseofthehugenumberofproductsandthemassivecommunicaon
eortstosellthem,consumershavelilemetospendonanyonesingleproductorbrandunless,ofcourse,shoppingisall
theydo.
Notsurprisingly,whilemostconsumersdospendatleastsomemeonproductsorservicesthatholdaparcularinterestyour
tennisandgolf,myclassicalmusicandopera,someoneelse'svintagecarsandmotorcyclesourempowermenttondoutmore
aboutmortgagerenancing,cholesterollevelsinsaladdressings,andtheenergyeciencyofelectriccarsgoesunheeded.There
isjusttoomuch.
Thesheervolumeofproductsandservices,coupledwiththeirevershorterlifecyclesandtheaccompanyingpromoonalnoise,
wouldleadonetosuspectthatconsumersintheU.S.arelessincontrolofthingsthanbefore.Iamnotawareofanydenite
researchtodocumentthis,andIamnotsureconsumersthemselveswouldagree.Icanhearmydaughters'protestswhenI
suggestthattheyareinuencedbyadversing.Butwemarketersknowbeerandthemostrecentresearchsuggeststhatthings
areevenworsethanbefore.
InAugust2003,acolleagueandIwenttotheAmericanMarkengAssociaonmeengsinChicagotointerviewpotenal
candidatesforaposionasanassistantprofessoratGeorgetown.Hiringintheacademicprofessioninvolvespersonalinterviews
withcandidates,andaconferenceisanaturaloccasionsincepeoplegatherfromallovertheworldtoaend.Theinterviewtends
tofocusontheresearchthatthecandidateisdoingforhisorherdoctoraldissertaon.Thetopicsnaturallyreectthecurrent
trendsintheprofession.Iexpectedtohearalotaboutthe"empowered"consumerfromthe29candidateswewerescheduledto
interviewoverthethreedayperiod.Iheardalotoftheopposite.
BeforeItalkaboutsomeofthecandidates'research,pleaseletmeemphasizethatthisisclearlynotarandomsampleofresearch
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inmarkeng.Whatcompaniesdoisinsomewaysdierent,sincetheirresearchhasmoreofa"boomline"protability
orientaonthanacademicresearch.Also,our29candidateswerenotrandomlyselectedwewantedsomeonewhowouldteach
ourcourses,butwouldalsotGeorgetown'sgeneralresearchthrustintointernaonal,publicpolicy,andethicstopics.But,the29
werethebestcandidatesfromthebestuniversiesacrossthiscountryandelsewhere.Weintervieweddoctoralstudentsfrom
ColumbiaandWharton,fromUCLAandStanford,fromNorthwestern,Florida,Michigan,andINSEAD,aleadingbusinessschoolin
France.

Stateoftheart
Ofthe29cases,nolessthan22didresearchonsomeaspectofwhatwecall"consumerbehavior,"invesgangthepsychological
andsociologicalfactorsthatunderlieaconsumer'swayofdealingwiththemarketplaceoftoday.Threefocusedonhowpeople
dealwithriskychoices,atradionaltopicconrmingthatwomenslltendtotakelessrisksthanmen.Anotherthreestudied
customersasfaconanothertradionaltopiconestudyshowinghowsasfaconcanbeinuenced(manipulated?)by
informaonandeventsthatrecalibrateexpectaonsdownward(onepossibilityistosimplywaitwithdeliveryofaproductsothat
theimmediatepostpurchaseeuphoriacanbegivenmetodiedownAmazon.comcoveredthatangle,itwouldseem).Noless
thansevenstudiesfocusedontheroleofemoonor"aect"inbrandchoice.Theemoonalaachmenttoabrandisbynowa
"given"inmarkeng,andthequesonismorehowtocreateandnurseit.Onecandidatediscussedhisstudyofhowemoonal
aachmentcanexacerbateanyfailureofafavoritebrandpeoplereallyfeelcheated.4Canthewarmauraofsincerityaroundyour
brandgettoohot?Thereisalsoclearevidencethatpeopleeatmorewhenfeelingdown.Morepopcornisconsumedwhen
watchingsadmoviesthanhappymoviesalthoughtheviewersthemselvesdon'tseemtorecognizethis.5
IthoughtIwouldseesomestudyofhowpeoplehavenowtakenchargeoftheirownconsumerdesny.IguessIwasbiased,but
honestly,therewasverylileofthat.Instead,therewereacoupleofstudiesofhowincidentalinformaonaboutunrelated
productcategories(theInternetbanneradsthatsuddenlypopup,forexample)caninuencechoice,howtheorderof
presentaon(whatiscalledframinginpsychology)inuencespeople'sjudgments,andhowalargenumberofchoiceslowers
people'scondenceinmakingthebestchoice.6Therewasalsoastudyofhowpeoplecopewithconsumerstress,somethingthat
wouldbeusefulforushere,butthestudyareaissllinitsinfancy.Thepreliminaryndingsarethatpeoplewhothinkthemselves
capablewilldosomethingaboutthestress;otherswillsimplyavoidfacingtheproblem.7
Oneofthenailsintheconforthe"empowered"consumercamefromastudyofrebateredemponrates.8Rebatesare
parcularlypopularpromoonaltoolsusedbytechnologyretailerscellphonemarkengisacaseinpointbuttheyarealso
popularforpackagedgoods,wheretheyarethenumbertwotoolaercoupons.Redemponratesvary,butaregenerallylow
lessthan50%forbigckettechnologygoods,andaslowas2%forpackagedgoods.Convenonalwisdomwouldsuggestthatthe
redemponratewouldincreaseasthedollaramountoftherebategoeshighersincethegainsaregreater.Therateshouldalso
increasewiththelengthoftheredemponperiod,sincetheconsumerhasmoremetosubmitthepaperwork.Thestudydidnot
supportthisconvenonalwisdom.Thepurchaserateincreased,thatis,morepeopleboughtwhentheamountandlengthofthe
periodincreased.Buttheredemponratewaslargelynotaectedbytheamountoered,andbyextendingthemelimit,
redemponratesactuallydecreased.Thisleadsonetobelievethatwhenpeoplearegivenplentyofmetodosomething,it
nevergetsdone.Adviceforcompanies:Oerbigrebatesandgivepeoplealotofmetoredeem.Yousellmore,anditcostsless.
Tome,themostdisconcerngstudywasonethattestedwhetheradsworkwhenpeoplearewarnedofthepersuasiveintent
(suchasremindingpeoplethattheMarlborocowboyisonlytryingtosellcigarees).9Inthisstudypeoplewereshownan
adversementforashampoo,theadcoupledwiththepictureofabeaufulbeach.Thetypical"creave"ideaisthatthebeauful
beachwouldmakepeoplefeelgoodabouttheshampoobrand.Thestudytriedtostoptheformaonofthisassociaonbyasking
subjectstorememberthattheadverserwasonlytryingtosellshampoo.Thewellestablished"ElaboraonLikelihoodModel"
suggeststhatconsciousreasoningshouldcounterthiskindofweakpersuasiveeort.However,thestudyfoundpreciselythe
opposite:theassociaonbecamestrongerwhensubjectswereaskedtoexplicitlyargueagainstthead'sinuence.Subjectscould
notconsciouslystoptheformaonofaposiveatudetowardthebrand.Themoreweargueagainstsomething,themorewe
likeit?
Thisndingalsoweakensthecomfortofthethoughtthatconsumersareontowhatmarketersdo.Researchsuggeststhat
consumersdounderstandthe"persuasionschemas"thatmarketersemploy,thatthereisacertainsequenceoftaccsemployed
togaincompliancefromtheconsumer.10Butifthepersuasionworksdespitethisconsciousness,itistrulyhardtodefendyourself
againstmarketers'inuence.
ImustemphasizethatinnowaydoIwishtosomehowindicttheseprojectsfortheirchoiceoftopics.Theseareveryvalid
academicsubjectsandareequallyusefuloneithersideofanydebate,proorconconsumers.Ishouldalsocauon,again,that
theseareonly"selecons"ofcurrentacademicresearchinmarkeng.Furthermore,mostofthestudieshavenotyetbeen
subjectedtothepeerreviewnecessarytopassmusterintheprofession.Nevertheless,theabsenceofopmiscpronouncements
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ofasovereignandempoweredconsumerwasstriking.Therewaslileornoevidencethatconsumerparadisewashere,that
consumerswerefreerthanever.Rather,Icameawaywiththefeelingthatconsumerspaceisacageinwhichmanyofusare
trapped.Yes,wehavealltheproductsandalltheexcitementwewantandmore,butwedon'tseemtocopeverycoherentlywith
oursituaon.ArewetheOsbournes?

Markengknowhow
Formostrealworldmarketers,thesenewacademicndingsareslltreatedasjustthat,"academic."But,thereareafew
longestablishedmarketpraconersandthatIthinkhelpexplainwhymarketersdowhattheydo.Theyarethekindsofinsights
thatconstutepartofwhatisknownas"markengknowhow,"butsomemightcallthem"tricksofthetrade."Theyreecthow
marketersthinkofpeople.Hereareveselecons:
1."Mereexposure"Exposinganaudiencetoacertainmessageandthenrepeangitoverandoveragaintendstogenerate
aposivechangeinatudenotjustanacceptanceofthemessage,butaposiveatudetowardit.Forexample,
popularhitsongstendtobethosethatpeopleareabletohearrepeatedlyovertheairwaves.Whiletheinialreaconto
somethingnewandunfamiliarmaybenegave,justhearingorseeingitrepeatedlymakesitmorefamiliarandacceptable.
Thus,therepeonofslogans:Theymayseemannoying,butthetheoryisthattheybecomepartofthefamiliarandthus
comfortableenvironment.Bush's"stayingonmessage"strategywhendiscussingIraqisagoodillustraonofthisprinciple.
Itismereexposure.
2."Luxurybecomesnecessity"Onceluxuryistasted,itbecomesanecessity.JustasforAdamaerEve'sapple,thereisno
returntoParadise.Thereisnogoingback;levelsofaspiraonswillalwaysriseaspossessionsincrease.Materialismis
unlikelytobringhappinessonitsown.Ittakesalmostareligiousconversiontoswearotheneverendingspiral.
"Auenza"isagreatexampleofhowthisworks,andhowithasaectedAmericans'willingnesstoworkhardandtakeno
vacaons.
3."Moneyisrelave"Beyondmeresurvival,relaveincomeiswhatmaers.Itwasaneconomist,JamesDuesenberry,who
rstarguedthatincreasingprosperitywillnotnecessarilyleadtogreatersasfacon.Thekeyisimprovingone'slotvis
visone'sneighbors's.Notjust"keepingupwiththeJones's,"but"beangtheJones's."Wheneverybodyelselosesmorein
thestockmarketthanyoudo,yourrelavewealthhasgoneup.Thefactthatwemarketersbringgoodthingstopoor
peopleisnotenough.Wealsohavetomakesurethedistribuonisseenasfair,whichpresentsatoughproblemwithfree
markets.
4."Newchoicescreateheadaches"Becomingawareofnewalternaveshastheeectofmakingcurrentpossessionsseem
lessvaluable.Openingmarketstonewproductsandserviceswilleasilycreatetensionanddissasfacon.Knowingthat
youcanhaveaHummerwillreducethesasfaconlevelformanySUVowners.Whenacompanyintroducesitsbrandina
foreignmarket,notonlywilldomesccompetorsbepressured,butsowillmanyconsumers.
5."Footinthedoor"Whileapotenalcustomermaybereluctanttocommittoonemajorpurchase,presenngasmaller
andmoreaordablerstsacricemakeslaterincrementalchargesmoreacceptable.Thisisanexampleofa"Yougive
themahand,they'lltakethearm"kindofthing.Thisiswhythe"Tryitathomeandreturnitifnotsased"promoon
worksfewwillreturnthegoods.TheentryofaMcDonald'soutletinanewcountrymightseemasmalland
unremarkablestep,butreally,ittakesonamuchgreatersignicance.
So,marketersdonothavesuchanupliingviewofhumannature.Iftheythinkthattheyhaveagoodproducttosellajudgment
perhapsbasedonmarkettestresultstheyseenothingwrongwithtryingtotellprospecvecustomersaboutit.Theobjecons
peopledon'twanttohearaboutit,theyarealreadysasedwithexisngproducts,thereislileneedforthenewproductare
ignored.Takingsuchanobjeconto"innovaon"seriouslywouldnotonlystoptheenterpriseandtheeconomyinitstracks,
peopledonotreallyknowwhattheywantanyway.So,marketerstendtouseaninyourfaceapproachtogetyouraenon,to
pointtoaproblemthatyoudidnotknowyouhad,topresenttheirproduct'sallegedbenets,andtorepeatthebrandname
enoughmessothatitisembeddedinyourconsciousness.

CompevePressure
Regardlessofhowbenignorcynicalamarketer'sviewofpeopleis,theintensityofcompeverivalryinopenandfreemarkets
willfrequentlybeadominangfactorinstrategicandtaccalmarkengdecisionmaking.Onecanevensaythatalotofthein
yourfaceeortscomefrommarketerssetondominangcompetors,andgoingoverthetopintheireort.
Inasense,compeonhasalwaysbeenafactoraslongasmarkenghasbeenaround,infactaslongasbusinesshasbeen
around.Aerall,thekeyingredientinasuccessfulbusinessistoprovideadierenangbenet,somethingthatthecompeon
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cannotoer,somethingthatgeneratesasustainablecompeveadvantage.Onereasonwhytheinyourfaceeortsinmarkeng
haverisentonewheightsissimplythattheintensityofcompeonhasgrownapacewiththeglobalizaonofmarkets.
Partlyitisaquesonofnumbers.Openandfreemarketsencenewentrantswhohelpraisethepromoonalintensityinan
industry.Havingmoreadversersmeanshavingmoreadversing.But,perhapswhatmaersmoreisthefactthatthecompeve
balehasshiedfromproductdierenaontolesstangibleaributessuchasbrandimageandstyle.Therapiddiusionof
technologyandrejeconofthe"notinventedhere"syndromehavehelpedmanycompaniesincorporatenewfeaturesfrom
competorsintotheirownproducts,obliterangtheircompetors'advantages.Thisiswhyconsumerchoicesinadvanced
countriesdependsomuchonpriceandpromoon,forcingcompaniestogotoevergreatereortstohypetheiroerings.
Thiswasneitheranobviousnoreasilypredictableresultfromglobalizaon.Therewasnorealreasontoexpectcompanies'
productstobecomemorealike.Itwastheemergenceofbestpracces,reverseengineering,andimitavedesignthatledtoa
greaterimportanceofpromoon.TheshiinthinkingwasmostlyduetotheJapanesecompanies'successwithimitaveproduct
designstrategies.Aswewillseelater,theJapanesepreferencetonotnecessarilybringnewproductsandnewfeaturestothe
marketplace,buttoimproveversionsoftheexisngmarketleaders,isoneexplanaonwhytheirapproachoverseasseemedso
muchbeeraunedtothelocalcondionsthantheAmericanwayofdoingit.
Itisnotsurprisingthattheshitocommunicaonsandpromoonsasdierenaondevicesalsohasmeantmoreandlouder
promoonaleortsthanbefore.Sincefunconaldierencesbetweenproductsarerelavelyminor,promoonofbrandand
imageistheonlywaytoavoiddebilitangpricecompeon.Ifonecompetortriestolowerthepressure,othercompetorswill
gain.Manycompaniesadverseheavilytoatleastmatchtheircompeon,notreallybeingabletogaugetheeecveness(or
lackofit)oftheeort.Increasingthestridencyandtheamountoftheeortservestoaracttheaenonoftheprospectsand
dominatecompetors.Then,ifpeoplebehaveasmarketerssuppose,thereisachancetoconvertaprospecttoacustomer.Allin
all,itisnotapreyscenario.

Markengaswarfare
Themarkengacviesthatmanyofusaremostfamiliarwitharenotsoobviouslybasedontheideaofsasfyingourneedsand
preferences.Thisisbecausethemarketsinmanydevelopedcountriesarebasicallymature,evensaturated.Markenginvolvesas
muchthecreaonofneedsandwantsasthesasfaconofthem.Actually,markengoenhastostartwiththecreaonof
dissasfacon,makingyoudispleasedwiththestateofyourpresentpossessions.Onlythenwillyoubeopentoinformaonabout
"newandimproved"opons.Marketersfrequentlycomparemarkengtowarfare,withbrandingstrategiesconceivedasanaack
onacompetor'sstrongholdratherthansimplysasfyingcustomerneeds.
Theideaofmarkengaswarfarehasafairlylonghistory,anddoescropupnowandtheninmostacademictextsonmarkeng
management.In1986,abookentledMarkengWarfarewaspublishedbytwowellknownadversingconsultants,AlRiesand
JackTrout.TheyappliedthemilitarystrategyprinciplesofvonClausewitztomarkengstrategy.Strikingly,comparingmarkeng
eortstomilitaryaconmeansthatcompetorsaretheenemy,whileconsumersbecomethebaleeld.Astheauthorsproclaim
attheoutset:"Thetruenatureofmarkengtodayisnotservingthecustomer;itisoutwing,oulanking,ouighngyour
compeon.Inshort,markengiswarwheretheenemyisthecompeonandthecustomeristhegroundtobewon."11
Forallitsassumed"empowerment"oftheconsumer,theInternetgogoyearsofthe1990sdidnotdiminishtherelevanceofthis
analogy.AsthePrefacetothe1998reprintofthebookstates:"Adecadeago,theterm'globaleconomy'didn'texist....Today's
marketplacemakestheonewewroteaboutlooklikeateaparty.Thewarsareescalangandbreakingoutineverypartofthe
globe....AllthismeansthattheprinciplesofMarkengWarfarearemoreimportantthanever."12
Albeitoneshouldnottakesuchpromoonalhyperboleatfacevalue;suchlanguageisregreable.However,thepointabout
militarystrategicthinkingbeingpartandparcelofmarkengremains.Forexample,itiseasytorelatetheemphasisofvon
Clausewitz(andcurrentAmericanmilitarydoctrine)ontheuseofdominantforcedirectlytotheconsolidaonofbusinessesand
theconcentraonofmarkengspendingbehindafewglobalpowerbrands.Bigbeatssmall.
Today'semphasisontheimportanceofthebrandhasnotdiminishedthewartyperhetoricusedbymarketersquitethe
contrary.Othercontribungfactorsofcoursemightbethepolicalandmilitarysituaonsinthecountry,althoughitreallyseems
farfetchedtoascribeanydirecteectfromtheIraqwar.Inanycase,areasonablepersonmightwellshudderreadingthetlesof
thecurrentcropofbrandingbusinessbooks:HowtoBuildaKillerBrand,DierenateorDie:SurvivalintheEraofKiller
Compeon,WarpspeedBranding,OnlytheParanoidSurvive.Thesearenotveryencouragingmetaphors.

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WhyDoMarketersDoWhatTheyDo?|InYourFaceLogic

Theupshotofthemarketer'sviewofpeople,theneedtomakeaprot,andthecurrentcompeveclimateisthatthereseemto
befewoponstousingstrongpromoonaltools.Themarketerhasanarsenalofweaponsbywhichapotenalcustomer's
objeconsorreluctancemaybeovercome.Thesetoolsarebynomeansperfectandneverfailing.Infact,ittakesagreatdealof
culturalnetuningtogeneratejusttherightkindofsalesmessageandthentheeortmayprovefuleanyway.Whatis
important,however,isthatthemarketerisalwaysinasellingmodeandthattherearetoolsthatcanbeandareusedto
persuadetheprospect.Aswesayinourmarkengclasses:Asmarketers,wemustmakesurethatwearesellingproductswe
believein,productsthatcanimprovethebuyers'lives.Trustme?
FornonAmericans,thepricetheypayforopeningtheirmarketsishigherthanitseemstoAmericans.Theywillbeinundatedwith
stridenteortsfromentrantswithoutthenaonallegimacyorculturalunderstandingtoconvincethemtoimprovetheirlotby
buyingnewproductsandbrands,togetridoftheiroldpossessions.ThebenetstheygetarenotasgreatasfortheAmericans,
sincemanyoftheproductsarenotadaptedtotheirspeciccultureorenvironment.Thechancetoarriveatahigherstandardof
livingiscompromisedbyanewfocusonmaterialpossessionsandeconomiccomparisons,whileleavinglessroomforpast
aenontolocalculture.Ontopofthat,giventheageoldconictsbetweenneighborsofdierentethniciesintheold
countries,oneshouldnotbesurprisedtondthatthenewwealth,unevenlydistributed,helpstoexacerbatealreadytense
relaonships.AvoidingconspicuousconsumponmightsllbefeasibleinacountrysuchastheU.S.whereeveryoneistoldfrom
childhoodthattheycansucceed.Itisalesslikelypossibilityincountrieswithzerosumsituaonsofoneplayergetsall,therest
nothing,andenvyofyourneighborisadominantculturaltrait.Thenewproductsandbrandsbecomeweaponsinageoldrivalries
inthesecountries,sothatthefreerandmoreopenmarketplacecreatesratherthanovercomesfrustraons.Channelingsuch
frustraonsintoananglobalatudeisjustashortstepaway.

2016PearsonEducaon,FTPress.Allrightsreserved.
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