The consumer decision journey - McKinsey Quarterly - Marketing - Strategy. If marketing has one goal, it’s to reach consumers at the moments that most influence their decisions. That’s why consumer electronics companies make sure not only that customers see their televisions in stores but also that those televisions display vivid high-definition pictures. It’s why Amazon.com, a decade ago, began offering targeted product recommendations to consumers already logged in and ready to buy. And it explains P&G’s decision, long ago, to produce radio and then TV programs to reach the audiences most likely to buy its products—hence, the term “soap opera.” Marketing has always sought those moments, or touch points, when consumers are open to influence. Interactive Exhibit 1 In the traditional funnel metaphor, consumers start with a set of potential brands and methodically reduce that number to make a purchase.
Enlarge We developed this approach by examining the purchase decisions of almost 20,000 consumers across five industries and three continents. Exhibit 2 Exhibit 3. Registration. Branding in the Digital Age: You're Spending Your Money in All the Wrong Places. Speed Summary | HBR on Social Media & New Rules of Branding. This month’s Harvard Business Review has a spotlight on social media and branding, with a stand out article by McKinsey, based on a global study of 20,000 consumers.
In a nutshell, the article argues that many brands are spending their marketing budgets in all the wrong places, based on an outmoded “funnel” marketing model – and proposes an evidence-based alternative. The article by David C Edelman – McKinsey Global Digital Marketing Strategy, and entitled “Branding in the Digital Age: You’re Spending Your Money in All the Wrong Places“ can be accessed here (pay-wall), but below you’ll find the speed summary, with implications for social commerce – we think it’s useful.
And if you don’t have time for that, here’s the summary of the summary Branding in the Digital Age: You’re Spending Your Money in All the Wrong Places. David C Edelman – McKinsey Global Digital Marketing Strategy From an accompanying McKinsey Quarterly article: The Consumer Decision Journey From this… …To this. Decoding the Consumer. In the 1950’s, on the children’s live-action adventure Captain Midnight, the Secret Squadron was chartered to combat evil. Squadron members used special decoder rings to decipher messages that no one else could understand.
The secret decoding power provided a competitive advantage that allowed the Secret Squadron to triumph over their opponents. Wouldn’t it be great if you could slip on a special marketing decoder ring to decipher your prospects? Imagine the advantage of knowing the secret communication channel, time and message to most efficiently and effectively win the sale. Marketing stories would be written and songs sung as victory over your inefficient competition would be certain. The challenge is that consumer’s aren’t predictable, linear, rational or sequential beings. Alignment with the Consumer Buying Process The customer experience is influenced by all touch points people encounter from moments before they are aware of a need until they have fulfilled that need. 1. 2. 3. 4.