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Value (Means-End) Analysis: 

Value (Means-End) Analysis Turning Features to Benefits to Maximize Communications Effectiveness

A Laddering Interview Is: 

A Laddering Interview Is An in-depth, one-on-one structured dialog that draws out: The connections people make between product attributes (Features) The human values linked with those consequences (means-end chain). The consequences of those attributes (Benefits)

Laddering Research: 

Laddering Research Designed to discover the reasons why purchase decisions are made… Determine positive reasons for choosing a brand and negative reasons for rejecting a brand. Knowing “What is good about a brand?” or product is not enough. The marketer needs to understand beliefs about How a brand is better than others, or conversely How a brand is worse than others.

Decision Issues Interface with the Marketing Mix : 

Decision Issues Interface with the Marketing Mix Segment -- Need Recognition What elements of the marketing mix will you use and how will you use them to address this issue? Segment -- Evaluation of Alternatives What elements of the marketing mix will you use and how will you use them to address this issue? Segment -- Post-Choice Evaluation and Behavior What elements of the marketing mix will you use and how will you use them to address this issue?

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Person by Situation Segmentation

Diffusion of Innovations: 

Diffusion of Innovations Relative Advantage Functionality: Single solution for providing many benefits. Compatibility: Consistent with present needs, values, and practices. Complexity: Not difficult to comprehend or use. Trialability: Easy to try on a limited basis. Observability: Easy to observe and/or imagine product benefits.

Diffusion of Innovations: 

Diffusion of Innovations Perceived Risk Financial: How will I pay for it? Is the benefit worth the cost? Functional: Will it really work? Will it do what it says it will? Physical: Am I physically able to use and enjoy the product? Psychological: Can I learn how to use the product? Can I make it work? Social: Will others approve of the product? What does it say about me?

Instrumental and Terminal Values: 

Instrumental and Terminal Values Instrumental Values -- Preferred Modes of Behavior Competence: Ambitious (hardworking); Independent (self-reliant); Imaginative (creative); Capable (competent); Logical (rational); Courageous Compassion: Forgiving (pardon others); Helpful (work for others); Cheerful (joyful); Loving (affectionate) Sociality: Polite (courteous); Obedient (dutiful); Clean (neat, tidy) Integrity: Responsible (reliable); Honest (sincere); Self-controlled

Instrumental and Terminal Values: 

Instrumental and Terminal Values Terminal Values -- Preferred End-States of Being Social Harmony: World at peace; Equality (brother hood); Freedom (independence); National Security; Salvation (eternal life) Self Gratification: Social recognition; Comfortable life; Pleasure (enjoyable life); Sense of accomplishment Self Actualization: Beauty (nature and arts); Wisdom (understanding); Inner harmony (no conflict); Self-respect (self-esteem); Sense of accomplishment Security: Taking care of family; Salvation (eternal life) Love and Affection: Mature love (sexual and spiritual intimacy); True friendship (close companionship); Sense of belonging (acceptance) Contentedness: Happiness (contentment)

Value Analysis: Background: 

Value Analysis: Background Creating real value for customers with products and services hinges upon our understanding of (1) What does a customer want? (benefits sought); (2) Why do the benefits matter? (fundamental attractiveness); and (3) How do customers know they are getting what they want? (distinctive characteristics).

At McDonalds Customers Want Friendly Service: 

At McDonalds Customers Want Friendly Service Friendly service is the benefit sought. To many steady customers, friendly service matters to them because it makes them feel valued and accepted. Feeling valued and accepted is the fundamental attractiveness associated with friendly service. Finally, customers pick up many different environmental signals to judge whether or not they are getting friendly service. Distinctive characteristics such as having cashiers that look directly at customers, smile, say hello, speak with an enthusiastic voice, recognize steady customers, take time to understand orders, and find ways to provide something extra are all ways in which friendly service is communicated.

Turning Features to Benefits: 

Turning Features to Benefits These three elements can be arranged in a means-end chain. The chain acknowledges that customers use many different levels of information to make decisions between alternative products and services. In the example above, the distinctive characteristic saying hello is a means to obtain the benefit friendly service which is the end. In turn, the benefit friendly service becomes a means to obtain a sense o f being valued and accepted a higher end. Often, the three levels of information consumers use to make product choices are called attributes (distinctive characteristics), consequences (benefits sought), and values (fundamental attractiveness).

Methods for Eliciting Distinctions Between Brands : 

Methods for Eliciting Distinctions Between Brands (1) top-of-mind imaging (2) grouping similar brands (3) contextual environment (4) preference, usage, and preference-usage differences (5) timing of purchase or consumption (6) usage trends (7) product or brand substitution (8) alternative usage occasions

Top-of-Mind Imaging: 

Top-of-Mind Imaging The respondent is asked to give one or more first-thought associations for each of several brands or product types. Polarity (positive or negative) for each association is also determined. Then, the respondent is asked why the characteristic is a positive or a negative and the responses are further probed to uncover the ladder. Top-of-mind imaging identifies the most conspicuous characteristics of a brand, but not always the characteristics that differentiate it from a close competitor.

Grouping Similar Brands: 

Grouping Similar Brands This method uncovers the way respondents group products together and the reasons they use for forming product groups. Respondents are asked to group brands and/or products into like categories. Then the primary reason for group membership, either a positive or negative characteristic, can be elicited and laddered. Additionally, the respondent can be asked to identify the brand or product that best represents the group. Important traits and trait performance for the most representative brand can be identified and laddered as well.

Contextual Environment: 

Contextual Environment The contextual environment includes predetermined physical or need-state occasions of brand purchase or use. Physical occasions are generally described by time, place, and people when usage occurs. A need-state occasion is a mental need or inner desire that can span many physical occasions. For example, need-states include occasions such as relaxing, rejuvenating, building relationships, feeling powerful, reducing stress, and getting organized. The method asks respondents to associate a product or brand with a context such as “those times when you want to relax,” or “after you have just completed a tough job or accomplished something that is important to you.”

Preference, Usage, and Preference-Usage Differences: 

Preference, Usage, and Preference-Usage Differences Comparing brand preference and brand usage is one of the most direct and commonly used methods for eliciting brand distinctions. Brands can be ranked with respect to (1) preference and (2) frequency of use. Then, brands can be directly compared against each other based on these rankings using such questions as, “why did you rank Brand A higher than Brand X,” and/or “why do you use Brand B more often than Brand A.” Also, the interviewer may ask why a brand ranks lower on preference than on usage. Often, respondents use price as the key reason for ranking one brand over another. Avoid the problem by selecting brands to compare that are price competitive.

Timing of Purchase or Consumption: 

Timing of Purchase or Consumption Timing issues can influence product choice and usage. For example, a respondent might be asked to break a sickness such as the common cold into several stages like onset, full-blown, and on-the-mend. Then the respondent would relate which brands were preferred for each time-related stage. It is also common for consumers to use one brand of product during the day (Coca-Cola) and a different brand in the evening (sprite).

Usage Trends: 

Usage Trends Respondents are asked to quantify their beliefs about past and future usage of a brand. For example, an interviewer might ask, “over the next five years, do you expect to use this brand more often, less often, or about the same as you have in the past?” Then, reasons for increased, decreased, or unchanged usage are elicited.

Product or Brand Substitution: 

Product or Brand Substitution Distinctions between brands can be directly assessed based on the ability of one brand to be substituted for another. The brand to be substituted can be a brand currently used by the respondent if a goal of the research is to increase use (identify what attribute or consequence needs to be added or removed) or it can be a brand not currently used if a goal is to increase trial (identify what attributes or consequences need to be promoted). For an unfamiliar brand, the respondent first can sample or be given a description of the brand. Follow-on questions might include, “how likely would you be to substitute this new brand for your current brand for this occasion --- why is that?”

Alternative Usage Occasions: 

Alternative Usage Occasions Another method is to alter or add new usage occasions for the respondent to consider. Alternative occasions can be either predetermined or provided by the respondent. For example, one might ask, “think of a new situation or occasion in which you might use Brand A, but that you currently don’t -- why would you consider using Brand A for this occasion -- what is keeping you from using Brand A for this occasion now?” Both positive reasons why a brand fits a new occasion and negative reasons why it does not fit can be elicited and laddered.

Laddering Application: 

Laddering Application In practice, use several different elicitation techniques to capture a full range of meaningful distinctions between a brand and its competitors. For example, a laddering interview might start with “top-of-mind imaging” to understand general product-category beliefs, then Increase in brand-related specificity through using “contextual environment” and “alternative usage occasions.”

Getting Ladders: 

Getting Ladders Salient attributes are uncovered by asking questions such as, “what is it about the brand that makes it that way,” “what is it about the brand that gives you that benefit,” “how can the brand deliver that benefit,” “what is the brand missing to give it that defect.” Attributes are linked to higher level constructs (consequences and values) by asking questions such as “why is that important to you,” “how does that help you out,” “what do you get from that,” ”why do you want that,” and “what happens to you as a result of that.” Higher level psychosocial consequences and values are most often feelings or personal beliefs, so asking “how does that make you feel” is an appropriate question.

Negative Ladders: 

Negative Ladders Negative ladders begin, of course, in negative terms. At the consequence levels, the interviewer may want to ask, “why do you want to avoid that.” This effectively turns the discussion from negative to positive. Most respondents are better able to discuss feelings about obtaining a value rather than avoiding one, so laddering is facilitated by talking in positive terms before reaching the value level. More examples of negative questioning are, “why is that negative to you,” “how does that interfere with what you are doing,” “what’s wrong with that.”

Controlling the Interview: 

Controlling the Interview Reiteration of occasion. The interviewer can remind the respondent of the occasion basis for the ladder when the respondent appears to have forgotten or lost track. It may help to have the respondent provide further information about the occasion. For example, “you were with whom, doing what, where, etc.” Alternate scenario. The interviewer can ask the respondent to think of another situation or scenario similar to the one currently being discussed in which the brand is used in a similar way for similar reasons.

Controlling the Interview: 

Controlling the Interview Absence of product. The interviewer can ask the respondent for his or her feelings, responses, and the potential consequences if the brand were unavailable for the occasion. Abstraction form product. Occasionally, respondents will not be able to leave the brand at the attribute level and will wonder how the brand itself can “make me feel good about myself” or can “improve my relationship with my spouse.” The interviewer can ask the respondent to ignore the brand and only consider the last consequence that was mentioned.

Controlling the Interview: 

Controlling the Interview Negative laddering. Negative laddering seeks the respondent’s reasons why they do not want to do certain things or feel certain ways. The interviewer can ask the respondent what would happen if they were not able to achieve a certain positive consequence. Age regression contrast. The age regression contrast forces the respondent to compare usage or consumption in a previous time period with now. For example, the interviewer may ask the respondent if he or she used the product five years ago then why or why not. This technique is similar to the “usage trend” method of eliciting distinctions, but is used during the actual ladder to overcome a mental block.

Controlling the Interview: 

Controlling the Interview Third person probe. This method places the respondent in another person’s shoes. The interviewer asks the respondent how others might feel in similar circumstances. The approach is useful when the respondent feels threatened or uncomfortable discussing their personal reasons underlying their behavior.  Silence. Silence and patient attention will signal to the respondent that the interviewer is waiting for a more detailed response. The respondent often will elaborate on a vague or incomplete answer.

Controlling the Interview: 

Controlling the Interview Reiteration of “a-c-v” means-end chain. To help the respondent maintain a complete train of thought during the ladder, the interviewer can reiterate the answers given up to the point of the mental block. The complete ladder should be repeated back to the respondent after a value has been reached allowing the respondent the opportunity to verify his chain of thought. In addition, the interviewer can use the technique to refocus a rambling respondent.

Laddering Pitfalls : 

Laddering Pitfalls Generic statements. Respondents often provide generic answers that have no specific meaning. For example, “satisfied” can be either physical (feeling full after a meal) or psychological (feeling content with oneself). Likewise, “happy” can have multiple meanings, including feeling happy about something accomplished and feeling happy for another person, and it can have varying intensity. Slang words like “cool” and “bad” in particular need to be clarified because they can hold different meanings for different people. Often, these situations can be resolved by simple asking, “what do you mean” or “could you describe that feeling.”

Laddering Pitfalls : 

Laddering Pitfalls Not brand specific. Differentiating characteristics should be brand specific and unambiguous. Distinctions that apply to many brands equally well or even to the entire category are not useful. Multiple responses. Respondents may give more than one answer when providing distinctions or during laddering probes. In these cases, the interviewer must ask which characteristic or idea is most important for the given situation and then continue probing from there. It is possible to ladder multiple “branches” although this can confound the analysis.

Laddering Pitfalls : 

Laddering Pitfalls Chutes and ladders. Distinctions are most often product attributes, but respondents may sometimes mention an upper level element as a basis for differentiating one brand from another. The interviewer can “chute down” by asking, “what is it about the brand that makes it that way?” Occasionally, a respondent might ladder directly from an attribute to a value or appear to leave an important element out. Again, the interviewer can ask, “I’m not sure how (lower level element) leads to (upper level element) -- is there something about the brand that makes you feel that way?”

Laddering Pitfalls : 

Laddering Pitfalls Habit. Respondents tend to say “it’s a habit” or “I’ve always done it that way” when they cannot think of a more rational reason for their usage or consumption behavior. The interviewer should try to uncover when and how the habit started, and what brand they would substitute if they could no longer get their favorite brand, then ladder the resulting distinctions.

Laddering Pitfalls : 

Laddering Pitfalls I like it. Although similar to a generic statement, this phrase occurs frequently in laddering and can almost always be handled the same way. For example, the interviewer can ask, “could you describe that feeling for me” or “what is it about the brand that you like.”

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Essential Principles In Creating Customer Values Painting Customer Portraits Attribute Importance & Product Performance Framing Marketing Issues Mastering Marketing Communications 5 4 3 2 1 Professor David Whitlark Marriott School of Management -- Brigham Young University Three Laws of Marketing 2. Build Intention 3. Cause Action 1. Create Awareness

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Advertising Strategy Creative Strategy Communications Elements Promotion Elements Driving Force Leverage Point Consumer Benefit Message Elements Breakthrough Favorable Attitude Purchase Intention Motivate Behavior DEVELOPING & ASSESSING ADVERTISING H C H C H C H C H C H C H C H C H C H C H C

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Selecting Targets: Prioritize based on Influence and Receptiveness The general public is selected as the “A” priority target. Needed to understand more about “root causes” of public attitudes.

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Selecting Targets: Prioritize based on Influence and Receptiveness General public divided into three groups using responses to two questions about whether ... Plastic causing environmental problems. Plastic providing solutions to environmental problems. As of August 1992, negative sentiments outnumbered positive sentiments with a large body of the general public still undecided about the issue.

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* Results are based on national telephone surveys. Differences of 2 or more percentage points are statistically significant at the 95% level. Campaign Results: Significant Shift away from Negative Attitudes Benefits reinforced in radio and television advertising. Barriers brought down through publicizing advances in material recovery and source reduction.