Today's consumer is informed by information that "makes a difference" and is not influenced by the traditional modes of information. Previously, consumer choices were based on the familiarity of "trusted" brands with some minimal level of acceptability.
For example, for the mobile public, Holiday Inn or McDonald's campaigns were based on easily remembered stories rather than on facts and concrete details. Familiarity centered certainty and brand was a surrogate. However, familiarity is quickly reduced by information. Why spend on something they know is merely adequate when they can locate information on something new and ideal? Likewise, the heralded story value is greatly reduced, and the brand appeals to the generic consumer.
Today, there is nothing that firms or their agencies can hide. Transparency is constantly renewed online. Informed access and appropriateness have changed consumer behavior. Customers in principle no longer discount new entrants into the marketplace. Lack of familiarity is almost nonexistent, eliminating the antiquated "hierarchy of effects, also known as the "purchase funnel."
Promotional giveaways are for the traditional marketer still needing to survive on the fat spots, even with dwindling margins. That need is a signal of lack of differentiation, and the middle market appeal is the home of expensive advertising that continues to grow.
What are the main reasons for continued "fat of the land" marketing? The ratings systems, which are a market in themselves and exclude the consumer voice. National advertisers pay networks and cable channels for access to the "right" consumers with disposable means and retail access to buy brand goods. The coveted 18- to 34-year-old male/female demographic, living in a household that subscribes to cable, is most desirable. In times of general prosperity, the consumer base can be fairly large. In times of downward social mobility, as we have experienced over the last seven years, the base constricts. The cancellation of programs is based on preferred demographic draw per program. Low ratings can even win against high ratings based on preferred consumer demographics.
The market for ratings influences decisions on ad prices for buying and network decisions about prices. How does this come to be?
The Personal People Meter ratings are household-based, eliminating college dormitories, low income housing, bars, et cetera, that are not involved in the ratings game. This means that these ratings are not dependable statistics and exclude a consumptive population.