Consumer Behaviour -Child advertising

8/13/2019 Consumer Behaviour -Child advertising

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Children as Consumers FoodChildren and Marketing..

Submitted by Group 01

ADITYA DUTTA 2012066APARNA VOHRA 2012072ASHWIN MOCHERLA 2012251CHENNAKRISHNAN S 2012206HIMANSHU JAIN 2012078


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Children as Consumers

A consumer who wants to buy everything and doesnt care about the cost

YTV's 2002 Tween Report estimated that Canadian children aged 9 to 14 spend $1.9 billionand influence $20 billion in family purchases per year.

"nag factor/pester power -- the ability to get kids to nag their parents to buy a specificproduct or take them to a specific restaurant

Children were first identified as a target market in the 1960s and continuously growing eversince

According to YTV Kids and Tweens Report, kids influence

oBreakfast choices (97% of the time) and lunch choices (95% of the

time)oWhere to go for casual family meals (98% of the time)oClothing purchases (95% of the time)oSoftware purchases (76% of the time)ocomputer purchases (60% of the time)oFamily entertainment choices (98% of the time) and family trips andexcursions (94% of the time)


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What Makes it attractive?

The revenue generated when they spend themselves and when

they influence their parents buying behaviour

Brand Loyalty and long term relationship

Maggi , Bournvitta etc.

Increasing market space with increasing product portfolio


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How do Marketer succeed?

Addressing children's developmental, emotional and social needs at

different ages through Psychological analysis

Market Research

Plant the seeds of brand recognition in very young children, in thehopes that the seeds will grow into lifetime relationships


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How the market is divided?

Primary Market- Direct Spending ;James McNeal suggests that apotential 8 bn. $ worth market

Influence Market- Influencing buying decision Direct (for decisions) and Indirect( for considerations)

Future Market- Potential Conversion to customers


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What are marketers responsibilities

Provides Product mix, Describes it through advertisements

Decides the price and displays them

Research shows that almost 20 % of adults are anti shoppers- Toprevent children from developing the negative attitude towards themarketplace.

Generate the nag factor/pester-power


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Stages in Childrens development as consumers

Based on theories of cognitive development (Process of adapting tothe outside world)

Perceptual Stage(3-7 yrs.)- Sensory motor stage- learn throughtheir actions on surrounding world

Analytical Stage(7-11 yrs.)- Concrete logical operation stage-considers others point of view

Reflective stage(11-16 yrs.)- formal thinking, others perspective in

social context


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How do children spend

Boys Girls

1. 12.8 millionfood

2. 12.3 millionvideo games3. 10.7 millionsaving4. 6.5 millionmagazines andcomics5. 3.7 milliongoing out

1. 11.4 millionfood

2. 9.7 millionsaving3. 7.3 millionmagazines andcomics4. 6.5 millionappearance5. 3.9 milliongames

According to Mintel the children across UK spend their pocket money as follows

Other Interesting Facts include Nearly a quarter of children aged seven to 12 use a smartphone to go

online Kids spend nearly 20% of their time watching TV which adds up toabout three hours and five minutes each day 59% of girls say that their mobile phone is their favourite possession,

but only 41% of boys say the same thing!


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Advertising and children

Age related differences in Childrens reactions to television advertising:

oAttention to advertisingoDiscrimination between programs and commercialso

Understanding advertisements persuasive intentoTruthfulness of advertisementsoRecall of commercial contentDifferences in above across various age groups among children can be explained by Piagetstheory of Cognitive development.


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Common advertising strategies

Ideal Kids and families

Are you cool enough?

Amazing toys

Heart Strings

Cute Celebrities

Selective Editing

Family fun

Starpower

Bandwagon

Excitement


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Impact of food advertising on children

oIncreased exposure to varying media sources (44.5 hour/week)oResearch has found strong associations between increase in advertising for non-nutritiousfoods and rates of childhood obesity.oEnhanced recall strengthened through repeated exposureo

Research has found that children who watch more than three hours of television a day are 50per cent more likely to be obese than children who watch fewer than two hours.oFood and beverage advertising targeted at children influences their product preferences,requests, and diet ;Self regulation has not workedoFood ads- 50 % of ad time during children shows ; 34% for candy and snacks, 28% for cereal,10% for fast food, 4% for dairy products, 1% for fruit juices, and 0% for fruits or vegetables).oRare PSAs or healthy food ads

Kaiser Family Foundation, 2007Source :Kaiser family foundation

8-12 - highest rates of ad exposure.

Critical stage of development ;establishment of food habits, make their own food choices, ownmoney to spend on the types of food they enjoy.


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Online Advertising

Research from the National Cyber Security Alliance found kids are spending 33 percent of theirdayor 50 percentof their waking hours online.In 2012 advertisers in the U.S. spent an estimated $162 per online user

Types:

oText adsoDisplay adsoEmail adsoPopup adsoFlash/DHTML ads

oInterstitial adsoVideo adsoOn site sponsorshipsoAdvertorialsoIn-app ads

Methods of online advertising:

oContextually targeted adsoBehaviorally targeted adsoLocation-based ads

Advergames - highly involving and entertaining brand experiencethan what is possible with conventional media.

Viral Marketing; brand-related screensavers and wallpapers

continual branding through these sites reinforcesand amplifies the product message to children


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Ethical Concerns

oChildren as a group is vulnerable which has prompted the regulation of advertising

oMarketers exploit the self regulatory standards and find out ways to advertise creatively.

oTeens get attracted to smoking /drinking to enhance coolness quotientmarketers employ

surrogate advertising techniques

oHigh exposure beyond TV and print media to virtually every social institution : museums,zoos,schools,restaurant,menus

oUnethical advertising are turning this group into materialistic non-thinkers due to lack of

cognitive skills(Macklin,2003)

oLow self esteem /depression due to unsatisfied needs generated by advertisements; Beingdeceitful and dishonest ;social exclusion ;theft and bullying(Schor,2004)

Consumer Behaviour -Child advertising

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