SOME TERMS THAT WILL MAKE YOU SOUND SMART.
We get it. We're marketing nerds and sometimes we think we're talking in common terms and phrases but we're really not. That is why we have put together a list of terms/phrases with their definition. Hopefully this will allow us to better understand one another.
Endowment effect – If people have a little skin in the game it makes them more likely to cherish the possession. You like your hand painted artwork a lot better than your neighbor does. If you can include your customer in your process they are more likely to value the deliverable.
Frameline magnetism – (Coined by Roy Williams) – This is your mind filling in the ____. A photograph doesn’t have to show all of the subject, it can be more interesting to have your mind fill in the blank. Your ads can be enhanced through this as well.
GRPs – Gross Rating Points. A metric of advertising buying. Pay no attention to these. They’re worth about as much as a window AC unit in Antartica. Some of the least effective ad schedules have fantastic GRP’s.
Line extension – Creating a sub or spin-off brand from a well-established brand. Example: Miller Lite follows Miller. This weakens your brand. You can have a successful line extension that boosts sales but hurts your overall company by weakening your position in the consumers mind. In Miller’s case, Miller Light canabalized Miller’s original product.
Loss aversion – The theory that you are more inclined to want to not lose something you already have instead of gaining something you might get but isn’t guaranteed. Often the object to be gained is of greater value than the object being preserved. We are 2.5 times more influenced by the fear of loss than the opportunity of gain.
Lymbic system – System of your brain responsible for primal urges like flight, fight, sex drive, etc. The amygdalla is one component of the Limbic system.Seth Godin calls this the Lizard brain, very reactionary. Effective communication in advertising accounts for this without being heavy handed.
Magical thinking – The components of everyday thought that bypass logic and reason. Example: Assigning greater value to an object when someone famous owned it versus the very same type of object which is assigned little to no value.
Market vs Social norms – These define the relationships we have and how money/payment can come into play. If I ask you to help me move a couch for free you might say yes, if I offer you $5 to help me move a couch you will probably say no. The reason is the interaction goes from a Social Norm to a Market Norm when the $5 is introduced. Here’s a video that goes into this with more detail.
Motivational Interviewing – A form of storytelling that removes the blind spots of your prospect. It helps add new prospective that allows your prospect to “change their mind” about you or your proposition. No one ever changes their mind, they simply see new perspectives and adjust their thinking accordingly. Motivational interviewing helps you do just that.
Musical Image – A piece of music that invokes strong mental images. A Musical Image is typically used as background supporting music for advertising. It strengthens the words of your message and helps them flow right by broca’s area.
Persona – Creating a real life example of a potential prospect. By doing this you can make your prospect feel real and be able to identify her pain points, buying style, and objections. A proper persona is key to building a Buyer Legend.
Pre-disposition – Effecting how someone feels about something before it’s relevant. In marketing, how do people feel about you before they need you? Do they even know who you are? If you can make people prefer you before they need you, you’re going to do very well long term.
Pre-mortem – All the things that will prevent your prospect from doing business with you. If you can identify these hurdles than you can adjust your marketing and sales process to combat these issues. This is essential in identifying the weak spots in your sales cycle.
Present focus bias – Tendency to give more weight to our current environment or state. Do you want half a box of chocolate today or a full box in a week? OR Do you want half a box of chocolate in 52 weeks or a full box in 53 weeks?
Product purchase cycle – The amount of time it takes for someone to go from not caring about your type of product to actually making a purchase decision. Long product purchase cycles (cars, mattresses, funerals) require a predisposition strategy.
Reticular activator – A fancy term for frame of reference. It’s about personal relevance. A mental trigger in your unconscious that directs your attention and causes you to notice and remember things you never intentionally committed to memory.