Children and Children and MarketingMarketing

Presented byPresented by

Richard LeeRichard Lee

Consumer BehaviourConsumer Behaviour

Why do marketers target Why do marketers target children?children?

1.1. Preadolescent children represent a Preadolescent children represent a substantial and significant consumer substantial and significant consumer market for many product categories.market for many product categories.

2.2. They are an influential force in the They are an influential force in the purchase of products directly consumable purchase of products directly consumable as well as those used by the entire familyas well as those used by the entire family

3.3. They represent a future adult consumer They represent a future adult consumer market whose attitudes toward products market whose attitudes toward products advertised and toward television advertised and toward television commercials are in the process of commercials are in the process of formationformation

Other reasons why Other reasons why marketers target childrenmarketers target children

AllowanceAllowance

IndustrializationIndustrialization

UrbanizationUrbanization

Increased family Increased family incomeincome

More leisure timeMore leisure time

Permissive child Permissive child trainingtraining

The Nature of Family The Nature of Family Purchase RolesPurchase Roles

Initiator(s)-the family member who first Initiator(s)-the family member who first recognizes a need or starts the purchase recognizes a need or starts the purchase process.process.

Information gatherer(s)-the individual Information gatherer(s)-the individual who has expertise and interest in a who has expertise and interest in a particular purchase.particular purchase.

Influencer(s)-the person who influences Influencer(s)-the person who influences the alternatives evaluated, the criteria the alternatives evaluated, the criteria considered, and the final choiceconsidered, and the final choice

The Nature of Family The Nature of Family Purchase RolesPurchase Roles

Decision maker(s)-the individual who Decision maker(s)-the individual who makes the final decision. Of course, makes the final decision. Of course, joint decisions also are likely to occur.joint decisions also are likely to occur.

Purchaser(s)-the family member who Purchaser(s)-the family member who actually purchases the product. This actually purchases the product. This is typically an adult or teenager.is typically an adult or teenager.

User(s)-The user of the product. For User(s)-The user of the product. For many products, there are multiple many products, there are multiple users.users.

Children’s Influences on Children’s Influences on Family Purchase RolesFamily Purchase Roles

InfluencersInfluencers InitiatorsInitiators

Decision makersDecision makers UsersUsers

Piaget’s stages of cognitive Piaget’s stages of cognitive devlopmentdevlopment

Stage 1: Sensorimotor intelligence(0 to 2 Stage 1: Sensorimotor intelligence(0 to 2 years)years)

Stage 2: Preoperational thoughts (3 to 7 Stage 2: Preoperational thoughts (3 to 7 years)years)

Stage 3: Concrete Operations (8 to 11 Stage 3: Concrete Operations (8 to 11 years)years)

Stage 4: Formal Operations (12 to 15 years)Stage 4: Formal Operations (12 to 15 years)

Additional InformationAdditional Information

““Research has shown Research has shown that by five years of that by five years of age about 50% of age about 50% of children understand children understand the persuasive the persuasive purposes of purposes of advertising. By eight advertising. By eight almost all know that almost all know that advertising is advertising is intended to make intended to make them buy things?them buy things?

Decision making of Decision making of ChildrenChildren

(Purchases)(Purchases) ToysToys

Breakfast CerealsBreakfast Cereals

Technology(CompuTechnology(Computer and the ter and the Internet)Internet)

SnacksSnacks

SUV/CarsSUV/Cars

Dinner Dinner Food(Microwave)Food(Microwave)

ClothingClothing

Record Record Albums/CDsAlbums/CDs

ToysToys

Harried Parents want toys that preoccupied Harried Parents want toys that preoccupied as well as educated their childrenas well as educated their children

Toys embodied the idea that successful Toys embodied the idea that successful families consisted of children who were families consisted of children who were thoroughly contented in their idle or leisure thoroughly contented in their idle or leisure momentsmoments

Although children rarely purchased their Although children rarely purchased their toys directly, their enjoyment of their toys toys directly, their enjoyment of their toys had a great influence of their parent’s had a great influence of their parent’s decision-makingdecision-making

Toys and ChristmasToys and Christmas ““With their emphasis on With their emphasis on

self-expression, self-expression, exploration and fun, toys exploration and fun, toys represented a bond of represented a bond of love that fuelled their love that fuelled their popularity as Christmas popularity as Christmas gifts.”gifts.”

““The modern idea is that The modern idea is that we are giving children as we are giving children as others a gift to show our others a gift to show our love or friendship… but love or friendship… but the gift helps to maintain the gift helps to maintain the social bond between the social bond between the parties, parents and the parties, parents and children”children”

TechnologyTechnology

Teenagers who are Teenagers who are involved with involved with computers often computers often strongly influence strongly influence the decision for a the decision for a family computer or family computer or the choice of an the choice of an Internet Access Internet Access Service.Service.

Mediums used to Mediums used to communicate to Childrencommunicate to Children

TelevisionTelevision

InternetInternet

RadioRadio

TelevisionTelevision Large amount of Large amount of

marketing and marketing and advertising goes to advertising goes to television.television.

It is the easiest form of It is the easiest form of marketing marketing communications to reach communications to reach children aside from the children aside from the InternetInternet

Proved a successful Proved a successful weapon for changing weapon for changing family dialogues because family dialogues because it increased children’s it increased children’s influence within the influence within the family, and consumer family, and consumer ‘power’ external from the ‘power’ external from the family circlefamily circle

Example of marketing Example of marketing through Televsion (Mickey through Televsion (Mickey

Mouse Club)Mouse Club) Disney’s Mickey Mouse Disney’s Mickey Mouse

Club television programme Club television programme is an example of innovation is an example of innovation in children’s marketingin children’s marketing

The Mickey mouse club The Mickey mouse club provided a first glimpse at provided a first glimpse at an exclusively children’s an exclusively children’s subculture formed by subculture formed by television. Advertiser’s television. Advertiser’s could now direct their could now direct their communication specifically communication specifically at children- to explore new at children- to explore new ways to shape children’s ways to shape children’s wants and win their wants and win their influence within the family influence within the family circle.circle.

Lessons Learned from the Lessons Learned from the Mickey Mouse ClubMickey Mouse Club

1.1. The need to create ‘special symbols’ or The need to create ‘special symbols’ or situation for the youth market niche.situation for the youth market niche.

2.2. The use of peer group processes as a The use of peer group processes as a means of social involvement and means of social involvement and persuasion.persuasion.

* Together, these approaches combined to * Together, these approaches combined to create the ‘youth ethos’ that helped to create the ‘youth ethos’ that helped to manage youth as a separate part of the manage youth as a separate part of the market place.market place.

InternetInternet

Tech savvy teens who Tech savvy teens who can provide their can provide their families with access families with access to the world wide to the world wide web should have web should have greater influence on greater influence on the decision making the decision making processprocess

Internet mavernsInternet maverns WebsitesWebsites Banner AdsBanner Ads

Ethical IssuesEthical Issues

Some parents report that Baby’s first Some parents report that Baby’s first word was not “mama” or “dada” but word was not “mama” or “dada” but “Coke”“Coke”

Research shows that higher consumer Research shows that higher consumer involvement by children can lead to involvement by children can lead to depression, anxiety, low self-esteem, depression, anxiety, low self-esteem, more psychomatic complaints, and worse more psychomatic complaints, and worse relationships with parentsrelationships with parents

Children are more confident, savvy and Children are more confident, savvy and consumer-awareconsumer-aware

Ethical IssuesEthical Issues

Parenting style has become more Parenting style has become more flexible and less authoritarianflexible and less authoritarian

Parents are under so much stress that Parents are under so much stress that they’re trying to make up with givingthey’re trying to make up with giving

Advertising is teaching children that if Advertising is teaching children that if they don’t have product X, they’re not they don’t have product X, they’re not worthyworthy

Advertisers exploit children’s Advertisers exploit children’s developmental vulnerabilitiesdevelopmental vulnerabilities

Marketing Terms geared Marketing Terms geared towards Childrentowards Children

KAGOY-Kids Are Getting Older Younger. KAGOY-Kids Are Getting Older Younger. They know more, they’ve seen more, and it They know more, they’ve seen more, and it shows. The 12-going-on-22 phenomenon. shows. The 12-going-on-22 phenomenon. Think 6-year-old Britney Spears look-alikes.Think 6-year-old Britney Spears look-alikes.

NAG FACTOR-(aka Pester Power, Leverage, NAG FACTOR-(aka Pester Power, Leverage, Nudge Factor) Marketers count on kids to Nudge Factor) Marketers count on kids to nag parents to the point of purchase. Kids-nag parents to the point of purchase. Kids-marketing pioneer James McNeal has ID’d marketing pioneer James McNeal has ID’d different nagging styles, including the self-different nagging styles, including the self-explanatory Sugar-coated, Pity, Pleading, explanatory Sugar-coated, Pity, Pleading, Threatening, and Persistent.Threatening, and Persistent.

Marketing Terms geared Marketing Terms geared towards Childrentowards Children

SHUT-UP TOYS-a toy costing $5 or SHUT-UP TOYS-a toy costing $5 or less, bought in desperation and given less, bought in desperation and given to pacify a child begging for to pacify a child begging for something much priciersomething much pricier

TRANSTOYING-the notion that TRANSTOYING-the notion that everyday products can be toy-ified: everyday products can be toy-ified: Batman Band-Aids, soft-drinks with Batman Band-Aids, soft-drinks with free CD’s built into the lids, and free CD’s built into the lids, and SpongeBob SquarePants toothbrushesSpongeBob SquarePants toothbrushes

Marketing Terms geared Marketing Terms geared towards Childrentowards Children

VIRAL MARKETING-using cool kids (the VIRAL MARKETING-using cool kids (the persuaders) to launch a trend so persuaders) to launch a trend so wannabes will naturally follow. For wannabes will naturally follow. For example: The Girls Intelligence Agency’s example: The Girls Intelligence Agency’s trademarked Slumber Party in a Box trademarked Slumber Party in a Box brings together PJ-clad girls, junk food, brings together PJ-clad girls, junk food, and a new product. It’s the hostess’s job and a new product. It’s the hostess’s job to “be slick and find out some sly scoop to “be slick and find out some sly scoop on your friends” and, of course, get the on your friends” and, of course, get the skinny on the goods.skinny on the goods.

ConclusionConclusion

Children should be concentrating on Children should be concentrating on their books and school, but instead their books and school, but instead they are distracted by so many they are distracted by so many information about other stuff shown information about other stuff shown to them by marketers like toys and to them by marketers like toys and other personal belongings. Because other personal belongings. Because of this, children tend not to study. of this, children tend not to study. This may also be considered a This may also be considered a relevant Ethical Issue.relevant Ethical Issue.