According to Daria Chigirinova, The placebo effect in marketing:
Unexplored influence of brand name,University of Kassel published in 2005
Shiv, Carmon, and Ariely (2005a) conducted a researched aimed at extending the scope of effects that marketing actions are capable of evoking. They found out that speculation with different marketing variables (in particular, price promotions) can not only influence the subjective experience of a customer but even alter the actual efficacy of a product. Placebo effect in marketing has not been studied through yet and hence there are a lot of directions of research that could be developed. One of possible directions that I’m going to develop in the given paper is the influence of brand name on the actual
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According to Irmak, C., Block, L. G., & Fitzsimons, G. J Journal of Marketing Research, published in (2005), XLII (November)
Topic:The Placebo Effect in Marketing: Sometimes You Just Have to Want It to Work As per this the authors conducted an experiment with energy drink revealing the importance of motivation as an important factor contributing to placebo effect in marketing. According to Montgomery, G., & Kirsch, Placebo effect in Medicine, Psychological science, published in (1996).
Topic: Mechanism of placebo pain reduction: An empirical Investigation. As per this the authors conducted an experiment with placebo anesthetic cream in order to investigate the placebo effect in pain reduction. The results suggest that placebo of local anesthetics are not mediated by global mechanisms of placebo effect. Global mechanisms (such as anxiety reduction and endogenous opioids) are opposed to the second group of factors contributing to placebo effect – flexible mechanism (classical conditioning and expectancies). According to Beecher, H. K ,Placebo effect in Medicine, J.A.M.A., (1955), 159(17), 1602– 1606.
Topic: The Powerful
Ernst, E., & Resch, K. L. (1995). Concept of true and perceived placebo effects. British Medical
As stated in the case, “the market for energy drinks was growing; between 2010 and 2012, the market for energy drinks had grown by 40%. It was estimated to be $8.5 billion in the United States in 2013 [and] forecasts projected that figure to reach $13.5 billion by 2018” (pg 5). However, much of this market’s revenue -- 85% in fact -- is dominated by five major brands, while the remaining 15% is split between approximately 30 regional and national companies. (pg. 5). With this saturated market, it might not be best for Crescent Pure to enter as a completely new product to the industry, as there is the possibility that it will be squeezed out of the profit shares by more established brands -- especially if it is not properly secure in its identity. In addition, while the market for energy drinks appeared to be growing at an exponential rate compared to the market for sports drinks -- which increased only 9% in five years and would be at approximately 60% of the rate for energy drinks in 2017 (pg 6) -- the consumers appeared to be wary of partaking in the market for several reasons, which would potentially harm the reach of Crescent Pure. These concerns included rising news reports discussing the safety of energy drinks (pg. 5). Taking into consideration the data provided in the case that concerns reasonings of why consumers choose specific drinks over others, there
Charnes, A., Cooper, W., Learner, D. and Phillips, F. (1985). Management Science and Marketing Management. Journal of Marketing, 49(2), p.93.
We live in a day and age where marketing and advertising is stronger then ever. It is essentially in our face every where we turn, from the clothes we wear to the music we listen to and even the device we use to listen to our music. Marketing and advertising touches our lives everyday without our really ever even noticing it. Marketing professionals have a difficult challenge before them in figuring out a way to create a public interest, and a want for their products if they are to become adopted. Various marketing communications tools provide the means to which they will best reach the public. In the early 1990’s marketing professionals for PepsiCo choose to heavily promote and advertise a new variation of their popular original Pepsi formula creating one of the largest craze’s for a soda variation in the last two decades.
McDaniel, C., & Gates, R. (2007). Marketing research essentials (6th ed.). Hoboken, NJ: John Wiley & Sons.
Aaker, D. A., Kumar, V., & Day, G. S. (2007). Marketing research (9th ed.). Hoboken, NJ: John
According to the quote of an American advertising executive James Webb Young found in page 32 of the book, ‘What’s in a name? Advertising and the Concept of Brands by John Philip Jones and Jan. S. Slater, “advertisements are used to add ‘subjective’ values to the ‘tangible’ values to the product. Subjective values matter as much as the tangible values.”
Indeed, the experiences evoked by experiential marketing are creating « emotional bonds » which consequently intensify relationships between the brand and the consumer (Gentile et al.,). Gentile et al., (2007), showed that through experiential marketing, the consumer has the opportunity to test the product which tremendously help him/her to make a right away without taking into consideration traditional steps like « need recognition », searching information and reviews, seeking alternatives and purchasing decision.
Kotler, P. & Keller, K.L. (2006). Marketing Management, 12th edition. Upper Saddle River, NJ: Pearson Education.
According to the American Marketing Association (as cited in Kotler, Burton, Deans, Brown, Armstrong. 2013). “Marketing
Grover, R & Vriens, M 2006, The handbook of marketing research: Uses, misuses, and future
Neal, C & Quester, P & Hawkins, C (2000) "Consumer Behaviour -- Implications for Marketing Strategy", 2nd edn, Sydney: McGraw-Hill Companies, Inc.
At the age of ten, I did not have the faintest idea of marketing, Ansoff growth matrix or Boston box. However, I did feel brands such as Coca-Cola, Doublemint or Honda. In my early childhood memory, I still remembered how exciting it was to take part in the promotion campaign of Coca-Cola to win a stylish mountain bike by collecting all six parts of the bike picture printed under Coke bottle caps. As I witnessed the interesting and stimulating ideas about lifestyle these brands spread out, I was deeply impressed with how they inspired people and became part of everyday life. Since that time, I had dreamed to join these colossi and contribute to the development of long lasting brands.
Schmitt, B. (2012, January). The consumer psychology of brands. Journal of Consumer Psychology, 22(1), 7-17. Retrieved from http://dx.doi.org/10.1016/j.jcps.2011.09.005
It is really important for advertisers to generate a feeling that will modify the buyer’s attitude tow...