Decision Making and

Neuromarketing

Presented by: Megan NorbyWarren Mui

What is Neuromarketing?

Neuromarketing: uses functional magnetic resonance imaging, a brain-scanning device that tracks blood flow as we perform mental tasks

Marketers measure consumers’ reactions to movie trailers, choices about automobiles, the appeal of a pretty face, and loyalty to specific brands

Why Expensive Wine Tastes Better

• Studied subjects’ brain activity while they consumed wine

Marketing can change how people value goods!

• Subjects were told how expensive each wine was before consuming it

• Subjects reported actually experiencing a tastier wine

Importance of Product Positioning

Price is an important part of the experience for a premium product/ luxury brand!

Experiential perspective: consumers buy based on totality of product’s appeal

Heuristics: mental rules-of-thumb that lead to a speedy decision

Product Positioning: convincing consumers that a product should be considered within a given category

Perception Becomes Reality

Red Bull example

Self-fulfilling prophecy: we see what we are looking for…

…almost as if we are tricking ourselves/ talking ourselves into what the value of a product is

Nike Foamposite Galaxy

Lucky Strike “It’s Toasted”

Questions or Comments?

References(2008, January 16). Why Expensive Wine Tastes Better. Retrieved February 15, 2012. From Neuromarketing website. http://www.neurosciencemarketing.com/blog/articles/ why-expensive-wine-tastes-better.htm