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WHAT IS NEUROMARKETING AND HOW IT CAME ABOUT

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Neuromarketing is an innovative realm within marketing that employs neuroscience methods to analyze and comprehend consumer behavior and needs. In these studies, medical devices commonly used in medicine find new applications in neuromarketing. Agencies offering neuromarketing services aim to enhance brands and company communication by measuring consumers’ emotional responses to marketing stimuli using these medical devices. Stimuli such as colors, design, sound, scents, and more play a pivotal role in this process. Today, neuromarketing has a presence across diverse industries, ranging from film and music to food and gambling, as well as politics and the automotive sector.

A pioneer in blending marketing with science, French neuropsychiatrist David Lewis, faced the challenge of treating phobias in his patients during the 1980s. The methods in use were inadequate, prompting him to experiment with a portable electroencephalograph (EEG) in 1983. He utilized EEG while his patients viewed TV advertisements, marking the first-ever experiment to measure brain activity for marketing purposes. This breakthrough garnered significant interest and attention, making headlines on scientific shows worldwide. While EEG technology was not new, Dr. Lewis was the first to apply it in this context to measure consumers’ reactions to marketing stimuli. In 1994, neuroscientist Professor Antonio Damasio from the University of Southern California published the book “Descartes’ Error,” which transformed the way businesspeople perceive emotions in decision-making and understanding consumers. Additionally, Charles Darwin emphasized the importance of emotions in decision-making in his 1872 book “The Expression of the Emotions in Man and Animals.” Damasio’s research and conclusions presented in his book became a common subject of discussion at marketing conferences worldwide and were frequently cited in numerous books.

The central idea stemming from Damasio’s work is that humans are not solely rational beings; emotions are a pivotal factor in their decision-making. Damasio hypothesized that feelings and emotional connections to others, animals, and brands are manifested through the activation of specific parts of the brain when exposed to various stimuli and environments. He conducted clinical studies to better comprehend the connection and distinction between emotions and reason. Most often, decision-making involves a blend of logic and emotions, with certain situations relying solely on emotions. In essence, the majority of decisions are a mix of emotions and reason, and making decisions devoid of emotions is not feasible.

The research by Professor Damasio and the creativity of Dr. Lewis played a crucial role in the development of neuromarketing – an innovative field that bridges science and marketing, utilizing insights about emotions and brain functioning in the consumer decision-making process. The term ‘neuromarketing’ was first introduced by Professor Ale Smiths from the Rotterdam University in 2002. He highlighted the necessity for companies to employ neuromarketing in order to better understand consumer desires and effectively tailor their efforts to fulfill those needs. Since then, numerous books have been written on the subject of neuromarketing and neuroscience. Today, these books are not confined to scientific sections of bookstores; they have become international bestsellers. For instance, Malcolm Gladwell, a journalist for The New York Times, has sold over 2 million copies of his book “Blink,” which explores decision-making processes and the influence of emotions on our reasoning. Additionally, the book “Buyology” authored by Martin Lindstrom on neuromarketing was declared one of the 100 most influential books ever by the esteemed Time magazine. These books delve into various aspects of the brain and its impact on our subconscious, catering to anyone keen on better understanding the decision-making process.

In summation, neuromarketing has become a potent tool in marketing, enabling a deeper comprehension of consumers and their desires for brands and products. The significant societal developments over the past two decades have profoundly influenced the global market and revolutionized marketing approaches, strategies, and techniques employed by marketing professionals. Mid-century marketing campaigns primarily focused on enhancing products directly sold or delivered to consumers. Marketing materials were meticulously designed to be appealing, news featured smart tones, and television channels boasted loyal viewers, reaching 70% viewership with advertisements.

However, the present landscape is vastly different. Technological advancements have opened myriad channels for communication between companies and consumers. In addition to traditional television, companies can now reach consumers through cable TV, social media, the internet, and even video games. Consequently, the number of advertisements encountered by an individual on a daily basis has significantly risen – from 500 daily advertisements in 1970 to 5,000 in 2010. According to more recent studies and estimates, the average American adult could be exposed to approximately 4,000 to 10,000 advertisements daily. This encompasses advertisements on television, the internet, radio stations, billboards, newspapers, magazines, social media, apps, and other mediums. This also includes advertising displayed at points of sale, such as stores and supermarkets. Contemporary company marketing efforts are directed toward establishing an emotional connection between a product or brand and the consumer, rather than solely focusing on aesthetics and refinement. While these two traits remain important, the primary focus has shifted. The current goal of marketing activities is to comprehend consumers at a deeper level, ensuring that products or services align not only with their conscious awareness but also their subconscious desires. Neuromarketing delves into the role of emotions in consumer decision-making and utilizes this insight to recognize that the final decision to purchase is not solely rational but emotional as well.

Today, there are over 100 agencies worldwide providing neuromarketing services. Various agencies employ different neuromarketing research equipment, as there are many devices and machines used in this field. Some prominent players in the industry, such as Nielsen and Merchant Mechanics, use more advanced and precise research equipment. On the other hand, agencies like NeuroSpire and SandsResearch utilize less precise devices. While some agencies measure the intensity of brain emotional reactions to different stimuli, others use advanced devices capable of accurately identifying the exact emotion an individual is experiencing. Differences between these devices pertain to functionality as well as cost, which can vary.

In conclusion, the rise of neuromarketing has introduced a powerful tool to the world of marketing. This field’s fusion of neuroscience and marketing offers a deeper understanding of consumer behaviors and desires, driving brands and products to better align with their audience’s needs.

Writer:

Ognjen Živanović, Neuromarketing junior specialist

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