Marketing, Clustering, Market Segmentation Dustin Pagliughi Marketing, Clustering, Market Segmentation Dustin Pagliughi

Clustering vs Market Segmentation

We’re pretty positive that if you’re reading this, you already know what marketing segmentation is and most likely clustering as well. For those that may not understand what these terms mean, we will define them before diving in. Marketing segmentation is the identification of unique groups with commonalities that exist within your audience and will respond to market action similarly. It can be done through geographic locations, demographics, psychological traits, filmography, and/or behaviors. It helps brands minimize risks through understanding which products/services will sell and the best way to market them. Clustering is very similar to this. It uses machine tech and algorithms to find these unique relationships between the people in your audience. The difference here is that while marketing segmentation organizes the audience, clustering actually creates new groups based on their unique characteristics. This helps brands gain a competitive advantage over their competitors. The benefits of clustering vs segmentation are that it is done through machine learning and not manually. But, that being said, it’s also a pitfall. It cannot be done with technology. Let’s imagine that a brand has a high-end dress line. They use clustering to find out who they should market too. You enter data that you’ve collected from past purchases and input this into a cluster analysis tool that will give you the answers you’re looking for. This is an example of clustering in marketing. It helps tailor messaging for the right groups. Segmentation can only take you so far is a broader approach while clustering dives into the quantum details of your audience.

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Advertising, Marketing, Loss Aversion Dustin Pagliughi Advertising, Marketing, Loss Aversion Dustin Pagliughi

Loss Aversion

No one likes losing and it isn’t limited to certain parts of our life. Losing sucks in any way, shape, or form. Loss aversion is the behavioral phenomenon that individuals perceive loss more severely than gains. According to Behavioral Economics, the pain is about twice as powerful than a gain. This means that people will go out of their way to make decisions or take risks purely based on what they avoid losing rather than what they will be gaining. This is why it’s sometimes argued that punishments, rather than rewards for doing or not something are more motivating.

No one likes losing and it isn’t limited to certain parts of our life. Losing sucks in any way, shape, or form. Loss aversion is the behavioral phenomenon that individuals perceive loss more severely than gains. According to Behavioral Economics, the pain is about twice as powerful than a gain. This means that people will go out of their way to make decisions or take risks purely based on what they avoid losing rather than what they will be gaining. This is why it’s sometimes argued that punishments, rather than rewards for doing or not something are more motivating. This topic is important in marketing and advertising because it helps brands to understand what may or may not be effective in their strategies. Think about “Flash Sales” tactics that are a limited time only. They force urgency on the consumer to realize that if they don’t act now, they will lose out on the deals and essentially lose more money. There are a couple of ways to market with loss aversion in mind.

1.     Limited time discounts

2.     Free trials

3.     Pre-order deals

4.     Highlight the loss customers will have without your product/service

Emotions impact our buying patterns and loss aversion is a key example of how this is true. It’s simple really. Loss is greater than value, pain is greater than pleasure and losses are two times greater than gains. It’s weird to think that we don’t celebrate gains in our lives as much as we mourn a loss but it this is the reality. Although, that being said, all people vary in the amount of loss aversion that they possess. Some more than others and some even more than them. Making the “no loss” option in marketing will highlight the best way not to lose something the consumer already has.

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Advertising, Marketing, Framing Effect Dustin Pagliughi Advertising, Marketing, Framing Effect Dustin Pagliughi

This or That: The Framing Effect

Let’s create a hypothetical for you. You go to the store to get some yogurt. One claims to be 80% fat free and the other brand says that it only contains 20% fat. Which do you choose? If you’re like most individuals, you choose the 80% fat free option. This is the framing effect. It is a cognitive bias that influences our decisions by the way that information is presented or “framed.” When something is framed in a more positive way, we tend to lean in that direction since we’re wired to avoid loss. This can sometimes cause us to overvalue how something is said and undervalue what is being said. Looking deeper at this takes you into the prospect theory of psychology. As we age we become more susceptible to the framing effect as our cognitive functions diminish.

Let’s create a hypothetical for you. You go to the store to get some yogurt. One claims to be 80% fat free and the other brand says that it only contains 20% fat. Which do you choose? If you’re like most individuals, you choose the 80% fat free option. This is the framing effect. It is a cognitive bias that influences our decisions by the way that information is presented or “framed.” When something is framed in a more positive way, we tend to lean in that direction since we’re wired to avoid loss. This can sometimes cause us to overvalue how something is said and undervalue what is being said. Looking deeper at this takes you into the prospect theory of psychology. As we age we become more susceptible to the framing effect as our cognitive functions diminish.

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Sticking with What’s Familiar: The Mere Exposure Effect

Sometimes the best decision is not always the familiar one. The mere exposure effect, also known as the familiarity effect, is when people chose preferred things, they’ve seen over things that are new. You can see why it is also called the familiarity effect because we tend to choose things that are familiar. This effect occurs even if the exposure is short and goes unnoticed by the viewer’s conscious mind. Therefore, the more someone has been exposed to something the more likely they are to like it.

Sometimes the best decision is not always the familiar one. The mere exposure effect, also known as the familiarity effect, is when people chose preferred things, they’ve seen over things that are new. You can see why it is also called the familiarity effect because we tend to choose things that are familiar. This effect occurs even if the exposure is short and goes unnoticed by the viewer’s conscious mind. Therefore, the more someone has been exposed to something the more likely they are to like it. However, it should be noted that this only works when there is no preexisting negative attitude toward the product/service/brand. This is important for advertisers to know and implement. The more that people see your ad, the more likely they are to buy your product or service. It’s like when that jingle that you can’t stand comes on T.V. but eventually you find yourself singing it later in the day and it stops bothering you so much over time. The effect works with photos, sounds, foods and smells. Psychologists have come up with a couple of theories as to why this happens.

1.     Uncertainty reduction

2.     Perpetual fluency

Uncertainty reduction is the idea that the more we are exposed to something the less uncertainty we feel about it. This really goes back to human nature and staying alive. We’re hard wired to be cautious of new things since they could be dangerous. It helped us stay alive back in the early days of being human. Perpetual fluency is the idea that since we’ve seen something before it’s easier for us to understand and interpret it. Think about the first time you watched The Matrix perhaps. It was confusing and you were barely holding on to understand what was going on. After you saw it the second time you totally got it and knew what it was about. This is perpetual fluency. But this effect is limited. Studies have shown that seeing something more often will make people like it but if it’s shown too much then they will eventually get tired of it. This is why it is important to keep your ideas creative in marketing and advertising. Repeating the same concepts in many different ways keeps things exciting for the viewers. There’s no magic number that says show the ad this many times before returns start diminishing unfortunately. However, keeping the audience engaged with consistent branding is key to this effect taking hold and remaining effective.

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Advertising, Marketing, Decoy Effect Dustin Pagliughi Advertising, Marketing, Decoy Effect Dustin Pagliughi

Decoy Effect

How many times have you been out to purchase something and ended up with more than you essentially went for? The decoy effect may be the explanation for how you’re being influenced without knowing it. This is a pricing strategy that offers 3 options and one of which is only designed to get you to switch your choice to the more profitable one.

“Every bird has its decoy, and every man is led and misled in his own peculiar way”

-Johann Wolfgang von Goethe

How many times have you been out to purchase something and ended up with more than you essentially went for? The decoy effect may be the explanation for how you’re being influenced without knowing it. This is a pricing strategy that offers 3 options and one of which is only designed to get you to switch your choice to the more profitable one. The decoy or “asymmetrically dominated” option is priced specifically to make the others look more appealing in perceived value. Most of us have insane purchase anxiety from choice overload. I know I’m one of those people. It happened just the other day when I walked into a soap store and was immediately overwhelmed with choices surrounding me. I didn’t even know where to start. If you’re like me, this forces you to simplify by reducing everything down smaller into pricing and quantity. And while a decoy may sound manipulative in some situations it can be justified if the ends are ethical, such as using less water, less energy consumption or making healthier lifestyle choices. Here’s how it works in laymen’s terms. The first option is the target, the second option is one that competes with the competitor and the last is the decoy option designed to nudge you into choosing the target. For example, you go to a coffee shop and order a cappuccino. There are three sizing options. The 120z is listed at $4.99, the 16oz is priced at $0.50 more and the 20oz is just $0.50 more than the medium. The best value for the price seems to be the large in this situation. Why wouldn’t you get that size? Your choice to opt for the more expensive option happens at a subconscious level. We believe that we are making this choice of our own free will and decoys allow us to justify these choices. The ethics of the decoy effect can be questionable if the brand’s intentions aren’t moral. From a marketing stand point, this is great to know. However, it should be noted that those aged 65 and over almost never get caught up in the decoy effect and it tends to work best for those who are unfamiliar with a product. Those that have strong prior preferences are far less likely to fall for the decoy effect.

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Advertising, The Verbatim Effect, Marketing Dustin Pagliughi Advertising, The Verbatim Effect, Marketing Dustin Pagliughi

The Verbatim Effect: Get the Gist?

How many of you have read something long and when asked about it can only recall the overall gist of details? We know that we have! This is called the verbatim effect and it is defined as a cognitive bias that causes people to only remember the gist of the information instead of its exact form. And, this isn’t limited to text. It extends to videos, photos, infographics, etc. So, how can brands use this to their advantage in marketing? People are skimmers.

How many of you have read something long and when asked about it can only recall the overall gist of details? We know that we have! This is called the verbatim effect and it is defined as a cognitive bias that causes people to only remember the gist of the information instead of its exact form. And, this isn’t limited to text. It extends to videos, photos, infographics, etc. So, how can brands use this to their advantage in marketing? People are skimmers. They don’t want heavy reads. We know we need catchy headlines, but the information in the article itself should be less precise and more how the article will make the readers feel. Deep details won’t matter if the readers aren’t going to remember that anyway. Create easy to remember snippets in the body of your content that are impactful. If you make them slightly different from the rest of it, it can stand out like a sore thumb. So, if you want people to remember more than the gist of the content, this is a good way to do so. As for the headlines, make sure they’re searchable and give the reader an acute representation of what they’re about to dive into. Sometimes the verbatim effect should be avoided. Say, in terms of your brand name or logo. Your brand will want people to remember this so repeating it in the content will help engrain this into the consumer’s subconscious mind. Repetition is key to overcoming the verbatim effect in marketing and advertising.

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Scarcity Marketing, Marketing, Advertising Dustin Pagliughi Scarcity Marketing, Marketing, Advertising Dustin Pagliughi

While Supplies Last: Scarcity Marketing Tactics

Why do we all want things that we can’t have? This is what the scarcity principle is based upon. Creating want for a product or service through limited accessibility. Things that seem rare are perceived to have higher value. Marketing uses this principle often to get customers to buy but there needs to be proof of scarcity, of course. Here are some examples of ways that marketing use scarcity.

Why do we all want things that we can’t have? This is what the scarcity principle is based upon. Creating want for a product or service through limited accessibility. Things that seem rare are perceived to have higher value. Marketing uses this principle often to get customers to buy but there needs to be proof of scarcity, of course. Here are some examples of ways that marketing use scarcity.

1.     Limited-time offers: Just as it sounds, these promotions are limited time only with a clear beginning and end date. Can be as sales, discounts, free offerings, exclusive products/services and/or free shipping.

2.     Flash sales: Great for letting current customers first to create a sense of rewarding them for their loyalty. These are last minute announcements that are available for a short amount of time.

3.     Limited stock: You probably see these often and don’t even realize it. For example, when you add something into your Esty account and below it states, “there are only 5 left in stock to order soon.” This simply shows the number of items that are left in stock.

No matter which way you shake it, the scarcity principle works through creating a sense of urgency that will budge consumers to buy. However, that being said, it does have some drawbacks as does anything. You have to weigh out the pros and cons for your brand to see what the best way to implement the technique will be.

Here are the drawbacks:

1.     Can take attention away from products: It’s important to make sure that the customers are happy with the product. If the value of the product is compromised, then it will hurt the brand’s reputation.

2.     Causes pressure on consumers: this could push prospective customers away.

3.     Won’t always mean your audience will grow: This principle may not work on all people. It taps into a specific type of psychological profile.

4.     It can create a sense of trickery: Some see this as a form of dishonesty. Is the product really low in inventory? Let’s hope so because if not, you can lose your loyal customers.

Scarcity marketing can make your brand stand out from the others if done correctly. It gives the impression of popularity or exclusivity. While it’s a great tool to utilize, it’s key to remember not to use it excessively, be overly pushy , not to extend  them and create products/services that always deliver.

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Advertising, Press Releases, Marketing Dustin Pagliughi Advertising, Press Releases, Marketing Dustin Pagliughi

Extra, Extra Read All About It: Press Releases

News spreads fast nowadays in the digital world we live in. Before the internet, the press release was used to reach a wider audience through sending them directly to journalist. The journalist would then publish in their newspapers to reach a large audience, but only if they deemed the releases to substantial enough to send out. With social media today, it doesn’t matter if anyone thinks your press release is subpar, it’s going to go out anyway. It has become a way for companies to reach their audience directly without the middle man so it’s important for brands to know how to use them strategically to benefit their marketing tools. There are some key elements to your release that you want to make sure you have as well as sending to the proper places. Aside from this you need to know why you’re creating it. Let’s start with that.

Extra, Extra Read All About It....

Extra, Extra Read All About It....

News spreads fast nowadays in the digital world we live in. Before the internet, the press release was used to reach a wider audience through sending them directly to journalist. The journalist would then publish in their newspapers to reach a large audience, but only if they deemed the releases to substantial enough to send out. With social media today, it doesn’t matter if anyone thinks your press release is subpar, it’s going to go out anyway. It has become a way for companies to reach their audience directly without the middle man so it’s important for brands to know how to use them strategically to benefit their marketing tools. There are some key elements to your release that you want to make sure you have as well as sending to the proper places. Aside from this you need to know why you’re creating it. Let’s start with that.

Some reason to write a press release:

1.     Launching a new product/service

2.     Hosting an event

3.     Company mergers & new partnerships

4.     Grand openings

5.     Rebranding

6.     Awards & Promotions

Now that you know why you’re writing the release it’s important to get the information out there in an effective manner. Let’s talk about some of the key elements that should be in the release.

1.     Headline: This is your chance to catch the reader’s attention. It needs to be captivating and directly convey the point of the release. Font should also be bold and larger than the body text. Don’t be afraid to use action verbs here.

2.     Dateline & Location: This is important to establish relevance

3.     Introduction: Here you summarize your entire release into a few sentences. Most people will only read this and skim the rest.

4.     Body: This is where you include your 5 W’s. Who, what, where, when and why. These should be conveyed in a clear, concise manner but sprinkled in with a little fun. Use statistics, quotes, charts, and images. Be honest and unbiased. This should be 2-3 paragraphs long.

5.     Boilerplate: This is where the company information goes. The brand’s vision, founding info, etc. Describe what your company does clearly for those that may not know. Include CTA’s as well if possible.  

6.     Sign off: Contact details go here and ### to signify that the release has ended.

Now that we have the reason why your writing your press release and the elements it should contain, it’s time to publish. But first… people, please proofread your releases over and over yourself as well as having other eyes on it as well. They can catch things you may have missed. There’s nothing more embarrassing than sending out a release to the public that has typos and grammatical errors. Ok, so you’ve done that and now you’re ready for distribution.

1.     Reach out to top journalist: Pretty straight forward. Reach out to journalists whom you might know or that may be interested in the release.

2.     Cold pitch media outlets: Make a list of media outlets that may be interested and send them your release directly. Use a subject line to catch their attention.

3.     Use a press release distribution service: Costs vary but can be useful if your company has the dough to throw around.

4.     Don’t publish on the hour: Most companies schedule releases to go out on the hour, which means yours can get lost in the mix. Get nuts. Schedule it to go out at 10:06am instead of 11am.

5.     Hire a PR pro: There are people that specialize in this area and can be useful for your team. They already have existing relationships with journalists and media outlets that your company can benefit from.

Once you have sent the release out it’s time to generate some buzz. Use content creators, influencers, bloggers, vloggers, etc. to hype up your release and what it’s all about. Schedule an interview. If you did your release right, someone might even contact you first for this. Make sure to share the stories that have been shared about you. No one wants to support and share things for a company that doesn’t reciprocate that. You want your release to be extra, extra so they want to read all about it!

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Advertising, Gen Z, Marketing Dustin Pagliughi Advertising, Gen Z, Marketing Dustin Pagliughi

Getting Up Close & Personal with Gen Z

Gen Z… they crave success. It will be important to understand them in the upcoming years as they come of age and will be the audience that brands are marketing to, if they aren’t already. Let’s talk about their top 3 priorities in life. 1. Clothing and fashion choices. 2. Making money. 3. DEI. Well, this third is as important for society as number one is, isn’t? it’s also important to note that this generation is still young and their priorities may change over time as they age. What are they interested in?

Gen Z… they crave success. It will be important to understand them in the upcoming years as they come of age and will be the audience that brands are marketing to, if they aren’t already. Let’s talk about their top 3 priorities in life. 1. Clothing and fashion choices. 2. Making money. 3. DEI. Well, this third is as important for society as number one is, isn’t? it’s also important to note that this generation is still young and their priorities may change over time as they age. What are they interested in? 1. Influencers. They actually aspire to be influencers one day. It’s weird to think that when they’re asked what they want to be when they “grow up” that answer could be an influencer. 2. Coding/programming. This one will be very useful as technology continues to advance so good job on this one Gen Z! 3. Esports. Again, wow… but this is competitive video game playing and can actually come with a large paycheck nowadays through sponsorships etc. Now, where does Gen Z hang out on social media? Their preferred platform isn’t surprising, TikTok. Their second favorite is Instagram and their least used is Facebook. Looks like Facebook is for old folks now…

We recently did a post on how social media may become the new search engine. Gen Z proves this trend could be the future. When it comes to brand discovery, their top method is through vlogs. This is followed by endorsements by celebrities, and ads seen in the cinema. When they conduct online research their go to is micro-blogs, vlogs and video sites. This only solidifies our theory that social media will be a new form of a search engine sooner than later. When it comes to brands they support, there are a few top reasons why they choose one brand over another. The top reason is that it will enhance their online reputation. Second, they like access to exclusive content and feeling like they’re taking part or being involved. They want brands who are inclusive and bold. Brands that aren’t afraid to take stands on socioeconomic issues. Lastly, they love love love memes. I mean, who doesn’t at this point? This is basically how I speak to my sister instead of actual text messages now. We speak via meme. Gen Z is actually more than twice as likely to be following memes or parody accounts than the average American, according to GWI. When I look at this generation, I just think of our grandparent’s saying, “kids nowadays.” But we must understand that they’re growing up in an era that is very different from the others. Technology has advanced quickly and to new heights, where social media is part of everyday life. They also grew up a few years living life remotely in the COVID-19 pandemic. Some graduated high school this way. This generation will have much to offer in the future in terms of environmental improvements as well as DEI efforts. They have the power to create a better world than it was when they came into it. So, when it comes to marketing to this group successfully, it will be crucial to understand what makes them tick.

(All data sourced from GWI’s Report on What’s Trending with US internet Users Aged 16-25)

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Advertising, De-Influencing, Marketing Dustin Pagliughi Advertising, De-Influencing, Marketing Dustin Pagliughi

De-Influencing

It seems that the forecast for trending influencer marketing uptick in 2023 may be fiction more than fact. We’ve reported that it may be trending upaward this upcoming year through our research, but with economic uncertainty on the rise, that may not be true at all. Everyone in the U.S. has been more cautious with their spending habits and has increased their scrutiny over “influencer authenticity.” This became a recent reality when a popular creator was accused of wearing fake eyelashes to promote L’Oréal mascara. Our favorite part of this scandal is that it has been coined “Mascaragate.”

It seems that the forecast for trending influencer marketing uptick in 2023 may be fiction more than fact. We’ve reported that it may be trending upaward this upcoming year through our research, but with economic uncertainty on the rise, that may not be true at all. Everyone in the U.S. has been more cautious with their spending habits and has increased their scrutiny over “influencer authenticity.” This became a recent reality when a popular creator was accused of wearing fake eyelashes to promote L’Oréal mascara. Our favorite part of this scandal is that it has been coined “Mascaragate.” We love a good pun… When influencers are paid for their reviews by certain brands, it raises questions over the authenticity of their reviews and promotions. Rightfully so! We find it hard trust anyone who was paid by a company to give me a review on a product or service. Would they tell me if the product sucked? Probably not. Influencer marketing worked in the past because their reviews were true to their opinions without any influence from particular companies. Therefore, something that created trust at the birth of the influencer was their negative reviews on any given products/services. This is actually the concept of de-influencer. De-influencer is defined as the act of telling followers what not to buy. This could be a way to bring trust back into the brand to audience gap but there are still issues here. Even if an influencer says use this and not that, are they being paid by the brand who they’re telling people to use? Gen Z’s trust in influencer marketing has been waning quite a bit since the end of 2022. There is a heightened need for authenticity.

While we don’t have all the answers, but we do think that investing in micro-influencers and regular people is where this road will lead. Found content is going to be that pot of gold at the end of the metaphorical rainbow. Investing in real people to connect authentically with people is where it’s at. It makes sense. Brands collaborating with micro-influencers whose audiences’ see as more trustworthy is another solution to this connection problem. It’s time to start fixing the trust issues with good content and transparency!

 

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Focus Groups, Advertising, Marketing Dustin Pagliughi Focus Groups, Advertising, Marketing Dustin Pagliughi

How to Create a Focus Group for Company Data

Focus groups are an important research tool for agencies in understanding their audience. They can be done to be aware of demographics, psychographics and behavioral patterns of their customers. This information can be obtained through surveys but a focus group provides the brand with a deeper understanding of their consumer. That being said, it’s important to ask the right questions when you want to get specific information. Here are some tips to coming up with the right questions for your research.

Focus groups are an important research tool for agencies in understanding their audience. They can be done to be aware of demographics, psychographics and behavioral patterns of their customers. This information can be obtained through surveys but a focus group provides the brand with a deeper understanding of their consumer. That being said, it’s important to ask the right questions when you want to get specific information. Here are some tips to coming up with the right questions for your research.

  1. Use open-ended questions: Some examples would include. What do you think about…? How do you feel about …? Where do you get new information about….? What do you like best about…?

  2. Avoid dichotomous questions: these are questions that can be answered with yes and no. These types of questions will not help you gain much insight into the group.

  3. Why questions are rarely used. keep in mind that why is a rarely used question but can sometimes be relevant depending on the goal of the focus group. For example, it can be used in a follow up situation such as, do you feel that the price matches the value? Why?

  4. Limit questions: No one wants to be there all-day answering questions. Keep them concise and on topic.

  5. Use different types of questions: there are five types

    1. Opening

    2. Introductory

    3. Transition

    4. Key

    5. Ending

  6. Ask questions that get participants involved: a good question here would be to use “think back” questions that take people back in reflection of their choices.

These tips will help your focus group team come up with good questions that will gain a deeper understanding of the group. When creating the questions, it’s important to vary the way in which the group will answer. Here are some ideas for question strategies.

1.     Give them a list of alternative answers

2.     Fill in the blank

3.     Ask them to make a list

4.     Rate something from 1-10

5.     Fantasy questions (Think back or what if)

6.     Role playing questions

7.     Ownership questions (What do you do?)

8.     Paint a picture question

When creating the questions for the focus group, it will be important to start general and get more specific as you go. Be very clear with wording and goals of the group. Make sure to end the focus group with closing questions, such as, of all the things asked today, which was most important to you? Are there any topics we did not ask about that you feel is relevant? A focus group will really help your brand get to know your audience on a deeper level and better suit their service/product needs. People want to be met where they are at. Personalization is the expectation not the exception.

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Psychographics, Advertising, Marketing Dustin Pagliughi Psychographics, Advertising, Marketing Dustin Pagliughi

Psychographics for Advertising/Marketing Strategy

Psychographics sounds like a pretty intense word does it not? It’s not nearly as crazy as it sounds and it is a key component of marketing and advertising strategies. Psychographics uses psychology in conjunction with demographics to create a set of traits to group consumers by what influences their purchasing behaviors. It’s psychological and cognitive traits of consumers that reveals their beliefs, values and goals. There are factors that influence their psychographics such as, personality characteristics, lifestyle, social class, habits, behaviors and interests. So, how do you find the psychographic data from your audience? Well, there are a few ways. Interview existing clients by sending out a survey or asking directly. It’s asking questions like, “what did you do over the weekend?”

Psychographics sounds like a pretty intense word does it not? It’s not nearly as crazy as it sounds and it is a key component of marketing and advertising strategies. Psychographics uses psychology in conjunction with demographics to create a set of traits to group consumers by what influences their purchasing behaviors. It’s psychological and cognitive traits of consumers that reveals their beliefs, values and goals. There are factors that influence their psychographics such as, personality characteristics, lifestyle, social class, habits, behaviors and interests. So, how do you find the psychographic data from your audience? Well, there are a few ways. Interview existing clients by sending out a survey or asking directly. It’s asking questions like, “what did you do over the weekend?” or “what good movies have you seen lately?” Ask them about family. Do they have children? Do they workout? This will all give you insight into their lifestyle. You can also get the data from your website analytics. What CTA’s were clicked on most. What have they purchased from you in the past? Were those items on sale? Lastly, you can use focus groups or collect data from market research companies to gain insights. Now that you have your psychographic data it’s time to tailor your audience’s experiences to their needs. It’s important to motivate them based on their needs. Show examples of what worked for previous customers. Something that is important to them. Second, make sure to market to them where they spend their time. Are they on Facebook or do they spend most of their time on YouTube? Third, your marketing must include things that are priority to them. Are they family driven? Career driven? Healthy lifestyle driven? This can help you tailor your images and messages for them specifically. Personalization is not an option for customers today, it’s a must. The more you understand your audience the more your brand can connect with them on a deeper level.

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Marketing, Behavioral Marketing, Advertising Dustin Pagliughi Marketing, Behavioral Marketing, Advertising Dustin Pagliughi

Behavioral Marketing

“Organizations that leverage consumer behavior data to generate insight outperform their competitors but 85% in sales growth,” according to Microsoft. Demographics are important for marketing efforts but it won’t be enough to fulfill your business model goals. This is where behavioral marketing can come into play, as well as psychographics. We’ll talk about the latter in tomorrow’s blog. Today, we are focused on behavioral marketing alone. So, what is behavioral marketing? Let’s define it as the method of using behaviors, interests, intentions, locations, etc. to target audiences. Although it may seem similar to psychographics, the difference lies in that this reveals consumer’s beliefs, values and goals to understand purchasing habits. Behavioral marketing is important to helping your brand tailor ads, attract more leads, increase sales and strengthen bonds with your customers. However, that being said, it’s not enough to just understand your audience because they may not all have the same behaviors within their demographics. This is where segmentation comes into play. Some common segmentations are purchasing behavior, engagement levels,

“Organizations that leverage consumer behavior data to generate insight outperform their competitors but 85% in sales growth,” according to Microsoft. Demographics are important for marketing efforts but it won’t be enough to fulfill your business model goals. This is where behavioral marketing can come into play, as well as psychographics. We’ll talk about the latter in tomorrow’s blog. Today, we are focused on behavioral marketing alone. So, what is behavioral marketing? Let’s define it as the method of using behaviors, interests, intentions, locations, etc. to target audiences. Although it may seem similar to psychographics, the difference lies in that this reveals consumer’s beliefs, values and goals to understand purchasing habits. Behavioral marketing is important to helping your brand tailor ads, attract more leads, increase sales and strengthen bonds with your customers. However, that being said, it’s not enough to just understand your audience because they may not all have the same behaviors within their demographics. This is where segmentation comes into play. Some common segmentations are purchasing behavior, engagement levels, consumer loyalty, benefits desired, and different journey stages to name a few. Collection of this data can be done through website analytics, browsing history, search history, social data, purchasing history, mobile apps, emails and/or chatbot histories. People want personalization and this is a great way to achieve that as a business. According to Segment’s 2022 State of Personalization Report, “49% of people say that they will likely become repeat buyers after a personalized shopping experience with a retail brand.” It’s clear that behavioral marketing is one of the most influential factors to obtaining this personalization consumers so desire and it will benefit the success of your brand.

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eBooks, Advertising, Marketing Dustin Pagliughi eBooks, Advertising, Marketing Dustin Pagliughi

eBooks: What, How, & Why

If you’re reading this, then you’ve probably also read an eBook at some point in your professional or personal life, but have you ever considered writing one for your business or brand? eBooks are a great way to offer information to your audience and gain more followers and to build your mailing list. eBooks give people the full spectrum of the information they are looking for on a particular topic all in one place. I mean think about it, why read your eBook when they can just surf the web for the info they’re curious about? There’s a reason for this. They are fun, easy to read, visual, as well as educational that people actually want to look at. Aside from this, there are other benefits to creating eBooks, such as inexpensive & quick to produce, easy distribution, can be more in depth than blogs, they’re easily accessible to your audience and they increase in brand credibility. Now that we’ve discussed what it is and how it can benefit your brand, let’s talk about how to create one. As with any book you must first start with a good topic and detailed outline. Think about common questions that people may have about your brand. What can you share that other brands haven’t? Second, design the eBook. Length should be somewhere between 5-10K words depending on the topic. It’s important to make sure that it is visually striking so add graphs, case studies, images, links, and graphics. It’s also important to use PDF or HTML for the eBook since it will be searchable on the internet if so. Be consistent with brand voice through text and design here as well. When designing it’s also crucial to place calls-to-action within the document. This is for lead generation, conversion and promotion. Once your eBook is complete, it’s time to start promoting. Best practices can include taking snapshots and sharing on social channels, share on LinkedIn and community groups where your audience hangs out. Happy writing!

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A/B Testing, Advertising, Marketing Dustin Pagliughi A/B Testing, Advertising, Marketing Dustin Pagliughi

A/B Testing

What is A/B testing? Well, if you’re in the marketing and advertising world chances are you already know. For those of you that may not it’s also known as split testing or bucket testing. Basically, it’s comparing two versions of something against one another other to determine which one performs better. They’re often used in marketing and advertising but it isn’t limited to these fields. They’re important experiments to determine higher ROI, lower the risk of failure and help strengthen your marketing and advertising efforts to name a few. So, we now know what it is and why they are done but how are they composed? First, you need to know what it is that you want to test. Do you want to test where to place a CTA

What is A/B testing? Well, if you’re in the marketing and advertising world chances are you already know. For those of you that may not it’s also known as split testing or bucket testing. Basically, it’s comparing two versions of something against one another other to determine which one performs better. They’re often used in marketing and advertising but it isn’t limited to these fields. They’re important experiments to determine higher ROI, lower the risk of failure and help strengthen your marketing and advertising efforts to name a few. So, we now know what it is and why they are done but how are they composed? First, you need to know what it is that you want to test. Do you want to test where to place a CTA or test which email newsletter format performs better? Now that you know what you want to test, it’s time to generate a hypothesis of why you think something will be better than the current version. Create the variations of the new hypothesis. You will have to ask yourself once you’re ready… How long will you run the test and which testing tool will you use to run them? Google Analytics has A/B testing on web pages. HubSpot has some for email, CTA and landing pages. MailChimp, Constant Contact and Facebook also have these. These are key components to the experiment and lastly, it’s time to run your test and measure the results. It’s simple. Okay it’s kind of simple but there a million ways that a company can go wrong here. Let’s talk about some tips to help you create the most effective A/B testing possible.

1.     Don’t do too much. Try to pick one variable to test. It will be overwhelming and ineffective if you’re trying to test too many things at once. You also won’t know which variable it was that made it perform better. This is the “independent variable.”

2.     Define your metric for successful tests. What is the goal? This will determine which metrics to focus on. Make sure it isn’t too broad and narrow it down to something specific. This is the “dependent variable.”

3.     Don’t rely on other brand case studies. Not all brands are created equal. What works for one may not work at all, for another. Follow some standard assumptions if you don’t know what you’re looking for. 1. People scan and don’t fully read 2. Big and bold gets attention 3. Colors matter (for emotional response and brand cohesiveness)

4.     It must be random and equally split. Test groups must be equal in size and completely randomized in order to get the most accurate results.

A/B testing can be a company’s closest companion if done right. It’s important to also measure the results of the tests and store them away somewhere. You might need that data information later. It’s a way to help your brand know your audience even further. If you’re not sure where to get started there of plenty articles out there with information and step-by-step guides to get you on your way.

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Communication Plans, Advertising, Marketing Dustin Pagliughi Communication Plans, Advertising, Marketing Dustin Pagliughi

Communication Breakdown: Type of Communication Plans

Who remembers the Burger King “two equal buns” for Pride month last year? The marketing effort in Austria was meant to represent “equal love and equal rights.” However, they missed the mark terribly as the members of the LGBTQ community felt offended as it gestured a sexual innuendo. The German agency behind the idea had to act fast in response to the backlash and apologized. They promised to do a better job in the future of consulting the LGBTQ community when promoting their equal rights campaigns. This situation is a prime example of an emergency communication plan and while as we all hope this situation never arises for our company, it never hurts to be prepared.

Who remembers the Burger King “two equal buns” for Pride month last year? The marketing effort in Austria was meant to represent “equal love and equal rights.” However, they missed the mark terribly as the members of the LGBTQ community felt offended as it gestured a sexual innuendo. The German agency behind the idea had to act fast in response to the backlash and apologized. They promised to do a better job in the future of consulting the LGBTQ community when promoting their equal rights campaigns. This situation is a prime example of an emergency communication plan and while as we all hope this situation never arises for our company, it never hurts to be prepared.

No matter which communication plan objective you’re looking at they all have one goal in mind and that is to deliver information to the appropriate audience. Your plan should have a clear objective. A goal with a message designed to achieve your desired outcome through a customized message to your audience. Communication plans are not only needed in times of crisis, they’re also important when launching new products/services or pitching new ideas within the company. Every communication plan should include the channels used to convey the message, when it will be communicated, how it will be delivered, the purpose of the communication and most importantly, the message of your communication. Here are some important points to start developing a plan for your communication.

1.     What is the purpose of the communication? Identify the purpose. Are you putting out a PR fire or are you educating the public about a new product/service?

2.     Who is your audience? Chances are, you will need different messages for different groups. You probably already know this answer if you’re a successful brand.

3.     What is your message? You need to consider content of the message. What you create will attract different groups. You also need to consider the mood. Decide what emotions you want to appeal to. Language is important here. Does it need to be in one or more. This will depend on your audience.

4.     What channels? Social media, television, streaming ads, online ads, billboards, blogs, etc. You need to put the message where your audience will see it so knowing where they hang out is crucial.

5.     Create an outline and write the plan. Once you have answered all these questions, it’s time to make your communication plan a reality. This will include the message, frequency, channels, audience, roles and responsibilities of each employee that’s in charge of sending.

Now that we’ve talked about how to create a communication plan let’s talk about what we’re here for: the types of communication plans.

1.     Emergency. We talked about this one in the intro. This is in response to unforeseen events.

2.     Informative. As it sounds, this type is to provide people with information. It could be a new product or service.

3.     Persuasive. This is to try to change people’s minds about something. Perhaps this one could be used within the office for pitching a new idea. You need strong arguments and connection on an emotional level in order to avoid negative backlash. 

4.     Collaborative. This can be where two brands are working together toward a common goal.

No matter which type of communication plan you need to create, it must be done strategically. The four styles listed above are a general view of plans and can be broken down even further, such as branding communication plans, PR communication plans, marketing communication plans and issue management plans. It’s important that your brand choose the correct type of plan for you are trying to achieve. We know, we know… this seems like a complex process but we assure you that it’s essential for your brand’s success.

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