Frame of reference (marketing)

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In marketing, "frame of reference" is how a new product, service, or concept is seen by the target market. (Morelo, n.d.). This creates a specific picture or idea about or surrounding a product, service, or concept being marketed. [1] This picture can form the basis of a marketing strategy focused on a particular target market, or can be used to compare the product being marketed to other products of a similar vein. Consumers will compare newly introduced or discovered products to other products of which they have prior knowledge or experience with.

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Frames of reference can also be shaped by consumer's personalities, culture, and history. [1]

By categorising their product/service, marketers are able to highlight specific points of parity or points of difference in regards to their product compared to competitor's products. [2] These points can be used to communicate to their target audience why their product should appeal to them more, and can highlight a competitive advantage in their offering. A frame of reference should be established for the new product, service, or concept being introduced into the market at the beginning of the marketing process, so that the target audience can develop a clear and concise understanding of what the product or service is all about, why it has been created, and to communicate exactly what makes it superior to or more attractive than competitor's products. [3]

A frame of reference can be constructed or manipulated by marketing communicators to appeal to a target market's specific ideals, perceptions, beliefs, and attitudes. Identifying and appealing to a consumer's core beliefs and attitudes can be instrumental in the effectiveness of a marketing strategy based on a frame of reference, and these beliefs and attitudes can determine or construct a consumer's perception of a brand, product, or service. Key to creating an effective and useful frame of reference is the communicator's ability to understand its target market's perceptions of what they are being marketed.

F.O.R. must evolve with changing attitudes or beliefs of consumers. What is less important now may increase in importance in the future due to shifts in consumer values and beliefs. [3]

Perceptions

Perception is a mental process that people undergo in which they choose, arrange and interpret information in order to create a personalised and coherent understanding of what they are experiencing or witnessing. [4] In a consumer's purchase journey the consumer will assign meaning to a product or brand upon their initial contact with the product or brand, [5] and this meaning will be based upon their experiences, beliefs and attitudes towards the product or brand.

Perceptions are the foundation of brand value and marketing effectiveness. [6] Marketing communications are conceived and executed with the explicit intention of engaging with consumers to influence and shape their perceptions of a product or brand. This is done to build a positive image, meaning behind, or experience associated with a product or brand for continued future transactions between retailer and consumer. If a customer understands and identifies with the meaning behind a product or brand, they are more likely to see value in the offering and perceive that product or brand as aligning with their ideals, wants, needs, beliefs, and attitudes.

Consumers can develop completely differing and opposing perceptions of the same product or brand due to their vastly different sensory experiences within the world, and also by how they interpret any information presented to them. Three perceptual processes can affect how a consumer cultivates their perception of a product or brand.

Due to the immense amount of advertising a consumer will be exposed to during the day, consumers engage in “selective attention” in order to prioritise their attention towards advertising material that relates to offerings that will specifically interest them, or fulfill their wants or needs. This means that they will filter out and ignore other advertisements or marketing messages deemed unimportant or unnecessary to them, making it much harder for marketing communicator's to attract their attention. “Selective distortion” involves a consumer unconsciously altering or shaping received information to fit to the personal meaning they already have regarding a product or brands attached message. Depending on their personal capacity to remember messages or information, a consumer may engage in “selective retention” by simply forgetting or remembering the message being marketed to them. This requires marketing communicator's to focus on highlighting positive points regarding their market offering, which are more likely to remain in the consumer's memory. [7]

Beliefs and Attitudes

People accumulate beliefs and attitudes through their actions and learning processes, and these can influence their buying behaviour. [4] Beliefs can be based upon a person's opinions, faith, or knowledge (regardless of whether the knowledge is correct or incorrect). [8] One of a marketing communicator's primary objectives is to inform the consumer with correct information in order to affirm or reaffirm a positive belief that the offering they are marketing is the desired destination for the consumer's purchasing journey. Pre-existing beliefs regarding a product or brand can impact a customer's purchasing behaviour though, as a consumer who has been previously misinformed about an offering will hold a negative or incorrect belief that the offering isn't suitable for them.

Attitude is used to describe a consumer's feelings or tendencies towards an offering, and will usually be reflected in that consumer's purchasing behaviour, specifically in regards to whether they do or do not either purchase the product or emotionally invest in the message on offer.

Attitudes can be difficult to change due to the amount of time it takes to develop and cultivate them, and therefore it is best to try and aim the marketing message towards consumers with a similar attitude. [4] A huge part of marketing communications concerns changing people's attitudes, and instilling a new belief within them that their product, brand, or message is the most suitable and desirable offering available to the consumer.

Related Research Articles

Mass marketing is a marketing strategy in which a firm decides to ignore market segment differences and appeal the whole market with one offer or one strategy, which supports the idea of broadcasting a message that will reach the largest number of people possible. Traditionally, mass marketing has focused on radio, television and newspapers as the media used to reach this broad audience. By reaching the largest audience possible, exposure to the product is maximized, and in theory this would directly correlate with a larger number of sales or buys into the product.

Consumer behaviour The study of individuals, groups, or organizations and all the activities associated with consuming

Consumer behaviour is the study of individuals, groups, or organizations and all the activities associated with the purchase, use and disposal of goods and services, and how the consumer's emotions, attitudes and preferences affect buying behaviour. Consumer behaviour emerged in the 1940–50s as a distinct sub-discipline of marketing, but has become an interdisciplinary social science that blends elements from psychology, sociology, social anthropology, anthropology, ethnography, marketing and economics.

Marketing Communications refers to the use of different marketing channels and tools in combination. Marketing communication channels focus on any way a business communicates a message to its desired market, or the market in general. A marketing communication tool can be anything from: advertising, personal selling, direct marketing, sponsorship, communication, social media and promotion to public relations.

Advertising management

Advertising management is a planned managerial process designed to oversee and control the various advertising activities involved in a program to communicate with a firm's target market and which is ultimately designed to influence the consumer's purchase decisions. Advertising is just one element in a company's promotional mix and as such, must be integrated with the overall marketing communications program. Advertising is, however, the most expensive of all the promotional elements and therefore must be managed with care and accountability. Advertising management process also helps in defining the outline of the media campaign and in deciding which type of advertising would be used before the launch of a product.

Advertising campaign

An advertising campaign is a series of advertisement messages that share a single idea and theme which make up an integrated marketing communication (IMC). An IMC is a platform in which a group of people can group their ideas, beliefs, and concepts into one large media base. Advertising campaigns utilize diverse media channels over a particular time frame and target identified audiences.

Brand loyalty is the positive feelings towards a brand and dedication to purchase the same product or service repeatedly, regardless of deficiencies, a competitor's actions or changes in the environment. It can also be demonstrated with other behaviors such as positive word-of-mouth advocacy. Corporate Brand loyalty is where an individual buys products from the same manufacturer repeatedly and without wavering rather than from other suppliers. Loyalty implies dedication and should not be confused with habit with its less than emotional engagement and commitment. Businesses whose financial and ethical values, for example ESG responsibilities, rest in large part on their brand loyalty are said to use the loyalty business model.

Celebrity branding or celebrity endorsement is a form of advertising campaign or marketing strategy which uses a celebrity's fame or social status to promote a product, brand or service, or to raise awareness about an issue. Marketers use celebrity endorsers in hopes that the positive image of the celebrity endorser will be passed on to the product's or brand's image. Non-profit organizations also use celebrities since a celebrity's frequent mass media coverage reaches a wider audience, thus making celebrities an effective ingredient in fundraising.

In marketing, segmenting, targeting and positioning (STP) is a broad framework that summarizes and simplifies the process of market segmentation. Market segmentation is a process, in which groups of buyers within a market are divided and profiled according to a range of variables, which determine the market characteristics and tendencies. The processes of segmentation, targeting and positioning are parts of a chronological order for market segmentation.

A target audience is the intended audience or readership of a publication, advertisement, or other message catered specifically to said intended audience. In marketing and advertising, it is a particular group of consumers within the predetermined target market, identified as the targets or recipients for a particular advertisement or message. Businesses that have a wide target market will focus on a specific target audience for certain messages to send, such as The Body Shops Mother's Day advertisements, which were aimed at the children and spouses of women, rather than the whole market which would have included the women themselves.

Sustainability advertising is communications geared towards promoting social, economic and environmental benefits (sustainability) of products, services or actions through paid advertising in media in order to encourage responsible behavior of consumers.

"Youth Marketing" is a term used in the marketing and advertising industry to describe activities to communicate with young people, typically in the age range of 11 to 35. More specifically, there is the teen marketing, targeting people age 11 to 17, college marketing, targeting college-age consumers, typically ages 18 to 24, young adult marketing, targeting youngsters use professionals, typically ages 25 to 34.

A touchpoint can be defined as any way a consumer can interact with a business, whether it be person-to-person, through a website, an app or any form of communication. When consumers come in contact with these touchpoints it gives them the opportunity to compare their prior perceptions of the business and form an opinion.

Customer engagement is an interaction between an external consumer/customer and an organization through various online or offline channels For example, Hollebeek, Srivastava and Chen's S-D logic-informed definition of customer engagement is "a customer’s motivationally driven, volitional investment of operant resources, and operand resources into brand interactions," which applies to online and offline engagement

Brand awareness is the extent to which customers are able to recall or recognize a brand under different conditions. Brand awareness is one of two dimensions from brand knowledge, an associative network memory model. Brand awareness is a key consideration in consumer behavior, advertising management, and brand management. The consumer's ability to recognize or recall a brand is central to purchasing decision-making. Purchasing cannot proceed unless a consumer is first aware of a product category and a brand within that category. Awareness does not necessarily mean that the consumer must be able to recall a specific brand name, but they must be able to recall enough distinguishing features for purchasing to proceed.

A target market is a group of customers within a business's serviceable available market at which a business aims its marketing efforts and resources. A target market is a subset of the total market for a product or service.

Brand Identification for a good or service

A brand is a name, term, design, symbol or any other feature that identifies one seller's good or service as distinct from those of other sellers. Brands are used in business, marketing, and advertising for recognition and, importantly, to create and store value as brand equity for the object identified, to the benefit of the brand's customers, its owners and shareholders. Name brands are sometimes distinguished from generic or store brands.

Word-of-mouth marketing differs from naturally occurring word of mouth, in that it is actively influenced or encouraged by organizations. While it is difficult to truly control WOM, research has shown that there are three generic avenues to 'manage' WOM for the purpose of WOMM: 1.) Build a strong WOM foundation, 2.) Indirect WOMM management which implies that managers only have a moderate amount of control, 3.) Direct WOMM management, which has higher levels of control.

Multicultural marketing is the practice of marketing to one or more audiences of a specific ethnicity—typically an ethnicity outside of a country's majority culture, which is sometimes called the "general market." Typically, multicultural marketing takes advantage of the ethnic group's different cultural referents—such as language, traditions, celebrations, religion and any other concepts—to communicate to and persuade that audience. Cultural and Ethnic variation in multi-cultural societies such as the United States provides marketers with the opportunity to connect with consumers by developing consumer segments for targeted marketing initiatives. For example, insight into to the culture and ethnicity of consumers is applied directly to consumer targeting through a variety of marketing initiatives in the U.S.

Sensory branding is a type of marketing that appeals to all the senses in relation to the brand. It uses the senses to relate with customers on an emotional level. Brands can forge emotional associations in the customers' minds by appealing to their senses. A multi-sensory brand experience generates certain beliefs, feelings, thoughts and opinions to create a brandgon image in the consumer's mind.

Demographic targeting is a form of behavioral advertising in which advertisers target online advertisements at consumers based on demographic information.

References

  1. 1 2 Marcom Projects (2007). "Persuasion in everyday life" . Retrieved 25 March 2016.
  2. Ciaran, J. "What is Frame of Reference in Marketing?" . Retrieved 26 March 2016.
  3. 1 2 Morello, R. "What is Frame of Reference in Marketing?" . Retrieved 25 March 2016.
  4. 1 2 3 Kotler, Philip; Burton, Suzan; Deans, Ken; Brown, Linden; Armstrong, Gary (2013). Marketing (9th ed.). NSW, Australia: Pearson Australia. pp. 200–201. ISBN   9781442549425.
  5. Cross, Vanessa. "The Stages of Perception in Marketing" . Retrieved 25 March 2016.
  6. Dhalen, Micael; Lange, Fredrik; Smith, Terry (2010). Marketing Communications: A Brand Narrative Approach. West Sussex, United Kingdom: John Wiley and Sons Ltd. p. 27. ISBN   9780470319925.
  7. Maloney, John C. (1963). "Is advertising believability really important?". Journal of Marketing. 27 (4): 1–8. doi:10.1177/002224296302700401.
  8. "American Marketing Association Dictionary". American Marketing Association. Retrieved 22 March 2016.