recap of last week?“being smart about our audience”
understanding our audience
then using this understanding to connect with them
consumer led marketing innovation led marketing•products are created after careful research of what the audience already wants•“giving people what they want”
•inventing and believing in a product•using our understanding of our target audience to make it appeal to them•“getting people to want something they didn’t know they wanted”
music is usually innovation led
we have a product which we believe is special and unique
and we use our audience knowledge to find a market, and make it appeal to people
if music was marketed from a practical point of view…
“the CD fits perfectly in your pocket!”
“come to gigs and get tanked”
“want to drown out your noisy neighbours?”
music is marketed emotionally
aspirationalidentity
being in with the crowd
rebellion
self projection
identify
escape freedom
transcend
nostalgia
romance
sex
the fan’s outlay…•buying CDs/downloads•spending valuable time listening to the music•paying for and attending gigs•spending time on band’s MySpace•emotional energy•dressing like the band?
the exchange…•entertainment•sense of belonging•sense of purpose•hero/role model•projection/aspiration
product pricing reflects this exchange (more about that in two weeks)
pricing and how we value is something is also affected by
supplydemand
&
supplydemand
&
we’re prepared to pay more for something if it’s in short supply
we also think more highly of the rarer things in life
$2 million
$2 million
why is it so expensive?
does this price reflect the costs of the building materials and fittings in the house?
that swanky house in City Beach
$2 million
$2 million
lots of people want to live in City Beach
in fact, many more people than there are houses for sale
this demand pushes up the price of property
but some people are still willing to pay the prices asked
these high prices actually have a positive effect
because we start believing that City Beach is a better place to live because of the property prices
and the cycle begins again
sometimes we can improve people’s perception of our product by limiting its supply
“special collector’s edition – only 500 copies available”
“his only Perth appearance”
“Bon Jovi – see them up close at The Moon Café”
deliberately
in 2001, the distillery started running out of whisky
what do you think they did?
raised the price of a bottle by 50%
this actually raised the whisky’s profile
and galvanised its reputation as a quality, luxury product
Ardbeg Islay whisky
Top Related