Marketing & Digital Communications

MKTG3019
Know the industry
Read 1 x article from one of these sites before you
come to the class

https://mumbrella.com.au/ http://www.adnews.com.au/

https://www.adweek.com/
Communication Framework
Learning Objectives

LO1: Segmentation and Targeting

LO2: Communicational Framework (AIDA, Hierarchy
of Effects Model, TORA, ELM, Attitude)
LO3: RACE Framework
What did you learn from the
video on vUWS Module 2
LO1: Segmentation and Targeting

• Market segment: a group of customers who share a

similar set of needs and wants.
• Segmentation allows for effective delivery of the
marketing message.
• Segmentation is based on a group of consumers
having similar needs and wants, and also sharing
similar consumption behaviours.
LO1: Segmentation and
Targeting
LO1: Segmentation and Targeting
Separate consumers into
similar product-related
needs

Identify consumers with

Segments share similar needs and wants
Measurable, accessible,
demographics,
profitable and actionable
values/lifestyles
characteristics Group consumers
behavioural characteristics
according to segmentation
variables

Select groups large enough

to support customised
marketing strategies
LO1: Segmentation and Targeting
• Traditionally used after a product launch, segments are based on how people
behave (with respect to a product):
• brand usage
• product category usage
• level of product usage (number of times the product was purchased).
• Online behavioural targeting:
• Tracking visitors’ online site-selection creates a date profile of the visitor
which can be used to place the visitor into a target segment. Data can include:
• pages visited
• length of time spent on a page
• links clicked
• searches performed.
LO1: Segmentation and Targeting
• Three simple and effective ways to help you easily
find your target market and demographic audience:
• Geotargeting: IP-based targeting
• Dayparting: restricting display ads to potential
customers
• Domain management: Data and online presence
protection
LO1: Segmentation and Targeting
• Demographic
• Geo-demographic
• Values and lifestyle
LO1: Segmentation and Targeting
Demographic trends

Population growth
Changing age
and geographical
structure
dispersion

Changing
household Ethnic groupings
composition
LO1: Segmentation and Targeting
Australian age structure
Children & Baby boomer 65+
15–64 y.o. Middle age
tweens (17% of pop.) (14.4% of pop.)
• 6–14yrs • Baby boomer • Attractive • Middle age: • Relatively high
• Directly (b. 1946–1960) market for aged 35–54 levels of
• Gen X pharmaceuticals • Growing discretionary
influence the and high-tech income
purchase of (b. 1961–1976) products importance to
everyday marketers • Have the most
• Gen Y • Relatively
products assets of any
(b. 1976–1991) affluent age group
• Primary decision
makers in • Provide a • Advertising
buying toys general market models should
(53%) and for imported portray this
breakfast vehicles and segment as
cereals (46%) financial active, busy and
investments concerned with
health and
vanity
Class Activity - 20 minutes

Develop an infographic:
- Demographic profile of the population for the group report

- Age, gender, education, income, ethnicity

https://www.canva.com/create/infographics/
LO1: Segmentation and Targeting
Geo-demographic
• Geography and demographic (e.g. Boomers living in
Parramatta)
LO1: Segmentation and Targeting
Values and Lifestyle
• Based upon AIO – Activities, Interests and Opinions.
• Demographic segmentation tells us who makes
consumer choices, but AIO suggests why consumers
make choices.
• Has a greater influence on buying behaviour than
demographics.
• More difficult to measure than demographics.
• Example: Gatorade energy drink is marketed to young
males engaging in strenuous exercise (lifestyle factor).
LO1: Segmentation and Targeting
AIO Components
 Class Activity - 5 minutes

Go to vUWS Module 2: AIO activity 1

- Describe the activity segment for:

 Class Activity - 5 minutes

Go to vUWS Module 2: AIO activity 2

- Describe the interest segment for:

 Class Activity - 5 minutes

Go to vUWS Module 2: AIO activity 3

- Describe the opinion segment for:

LO2: AIDA
LO2: Hierarchy of Effects Model

• Awareness
• Knowledge
• Liking
• Preference
• Conviction
• Purchase
LO2: Hierarchy of Effects Model

• Moving consumers
from one goal to the
next
LO2: Theory of Reasoned Action

• planned and reasoned behaviour

• Consumers’ attitudes towards a brand (ABj) is determined by their
beliefs (bij) about the outcomes (i), or consequences, of owning the
brand weighed against the evaluations (ei) of those outcomes (i)

• ABj = attitude towards particular brand

• bij = beliefs
• ei = positive or negative evaluation
LO2: Theory of Reasoned Action

Attitude-change Strategies

• Change beliefs. bij

• Alter outcome evaluations. ei
• Introduce a new outcome into the
evaluation process. ei

McDonald’s lighter choice menu in an

attempt to change Beliefs.
LO2: Elaboration Likelihood Model
LO2: Elaborate Likelihood Model
LO2: Attitude

• Attitudes are either a positive or negative

predisposition towards a person, an object or an issue.
• Attitudes:
- are learned
- are relatively enduring
- influence behaviour.
Attitudes Persuasion
LO2: Attitude

• Attitudes are either a positive or negative

predisposition towards a person, an object or an issue.
• Attitudes:
- are learned
- are relatively enduring
- influence behaviour.
Attitudes Persuasion
LO2: Attitude
Tri-component model of attitudes
 Class Activity - 5 minutes

Go to vUWS Module 2: Attitude activity 1

- Describe the cognitive component of attitude for:

 Class Activity - 5 minutes

Go to vUWS Module 2: Attitude activity 2

- Describe the affective component of attitude for:

 Class Activity - 5 minutes

Go to vUWS Module 2: Attitude activity 3

- Describe the conative component of attitude for:

LO3: Race Framework

Building
Awareness

Reach
Act
Unique
Visitors

Convert
Revenue per
visit

Engage
LO3: Race Framework

Engage
with
audience
Reach
Act
Bounce
rate
Convert Lead
conversion &
pages per visit

Engage
LO3: Race Framework

Achieve
conversion
(fans, leads
or sales)
Reach
Act
Conversion
rate

Convert
Sales, revenue
and margins

Engage
LO3: Race Framework

Build
relationship

Reach
Act
% active
hurdle
rates

Convert
Fan engagement &
repeat conversion

Engage
Class Activity – 15 minutes
Group Formation
- Agency name
- Group members’ name and student id
Individual’s Roles

- Account Manager

- Brand Strategist

- Creative Director

- Production Manager

- Media Planner
Next Session:
LO1: Meaning of Colours & Culture
cues
LO2: Advertising Appeals
LO3: Message Execution