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Neuromarketing: An Emerging Tool of Market Research

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www.ijemr.net ISSN (ONLINE): 2250-0758, ISSN (PRINT): 2394-6962

Volume-5, Issue-6, December-2015

International Journal of Engineering and Management Research
Page Number: 530-535

Neuromarketing: An Emerging Tool of Market Research

Harit Kumar1, Priyanka Singh2
1,2
Assistant Professor, Department of Business Administration Pranveer Singh Institute of Technology, Kanpur, INDIA

ABSTRACT II. CONCEPT OF NEUROMARKETING

In recent years, a new tool of marketing research
has evolved i.e. neuromarketing, which makes use of brain This concept was developed by psychologists at
research in a managerial context, has gained increasing
Harvard University in 1990.The word Neuromarketing was
popularity in the academic literature as well as the practical
world. Neuromaketing, that caught fancy of imagination of coined by Ale Smidts in 2002.It is an emerging branch of
advertisers in early 2002, aptly cuts down the path and neuro science in which researchers use medical technology
process probing minds and makes it considerably simpler for to determine consumer reactions to particular brands,
the advertisers. Paper studies the conceptual role of slogans and advertisements. The first ever Neuromarketing
neuromarketing as an effective tool for marketer in new era conference was held in 2004 at Baylor College of
of markets research for our today’s intelligent buyer. The Medicine in Houston. The base of Neuromarketing is
objectives of our study focus on the stance and emergence of “meme”. Meme is a unit of information stored in the brain.
nueromarketing as well as the practices involved in current These units are effective influencing human who is making
scenario as neuroimaging, EEG, FMRI, Eye Tracking etc.
choices and decisions within 2.6 seconds. If meme is
Paper measure the consumer dialectic consumers contradict
themselves, saying what they want, but doing what they feel” chosen properly we remember the good, joke or song and
Nowdays marketing research has been oriented towards four would share it. Memes stay in our memory and are
components of consumers as: physical body, mind, heart and affected by marketers.
spirit with the help of practices of Neuromarketing. Thus, Neuromarketing is a promising and
emerging field with tremendous potential for application in
Keywords--- Neuromaketing, Brain research, the functional areas of marketing, brand management and
Neuroimaging, Eye Tracking, EEG, FMRI advertising. It has emerged after bringing together
applicable concepts from the field of neural-science,
psychology, human neuro-physiology and even
neurochemistry.
I. INTRODUCTION “Understanding the human mind in biological
terms has emerged as the central challenge of science in
NEUROMARKETING-where brain science and the twenty-first century.”-By Dr. Eric Kandel,
marketing meet in very simple terms, Neuromarketing is Neuroscientist and winner of the Nobel Prize for
medical knowledge, technology and marketing. Physiology or Medicine Millions of people in our global
Neuromarketing is a new field of marketing that studies economy have jobs that depend on communicating with
the consumer’s response to marketing stimuli. and persuading the human brain. So it is vital for us to
Neuromarketing is the application of neuroscience to understand how the human brain really works, what is
marketing. Neuromarketing includes the direct use of brain attractive to it, how it decides what it likes or dislikes or
imaging, scanning, or other brain activity measurement how they decide to buy or not buy the infinite variety of
technology to measure a subject’s response to specific products and services. “We have learned more about the
products, packaging, advertising, or other marketing brain in the last five years than in all human history
elements. In some cases, the brain responses measured by combined”. -By Charlie Rose
these techniques may not be consciously perceived by the This has really widened the scope of
subject; hence, this data may be more revealing than self- Neuromarketing. The concepts of Neuromarketing provide
reporting on surveys, in focus groups, etc. a real competitive advantage in a crowded and cluttered

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market. The languages of consumers change from country hundreds of major companies-customers including Coca-
to country and culture to culture, however the language of Cola, Genera Motors, Nestle, Procter & Gamble.
human brain is the same i.e. universal. Thus, During the past decade, methods and insights
Neuromarketing has greatly affected products, brands, from the field of neuroscience have received great interest
packaging, and advertising as well. and attention in the field of marketing and consumer
research and a hybrid has emerged from the two:
III. LITERATURE REVIEW neuromarketing. Put in a very simplistic way,
neuromarketing can be defined as any marketing or market
Marketing has traditionally concentrated on the research activity, which uses methods, techniques or
value and competitive advantages of a product or service. insights from the field of neuroscience (Genco et al. 2013,
However, a more holistic approach to marketing, including p. 8).
the emotional component of the decision-making process “locate a mythical region of the human brain that
is gaining considerable ground in contemporary marketing when activated would drive subsequent consumer
(Suomala et al. 2012, p. 12). behavior, perhaps without consumers being consciously
This line of research corresponds very well with aware of this” (Op.cit., p. 264).
Kotler’s latest notion of marketing, Marketing 3.0, in According to Martínez, author of ‘The Consumer
which he argues for a need of companies to address Mind’ (2012), consumers’ minds can be differentiated
consumers as whole human beings, which he defines as within four categories; between what they think, what they
consisting of four components: physical body, mind, heart say, what they do and what they feel (Martínez 2012, p. 5).
and spirit (Kotler et al. 2010, p. 34) In other words, Kotler Martínez emphasises that a critical point of traditional
now argues for the need of companies to address the marketing research is that “(…) consumers contradict
emotions of their customers and aim to understand their themselves, saying what they want, but doing what they
anxieties and their desires, if they want to succeed in the feel” (Ibid.). Thus, Martínez argues that neuromarketing
contemporary marketing landscape. will help marketers acquire more objective information
Neuromarketing emerged in the early 2000s and from and about consumers, than through use of traditional
quickly gained great popularity, both within academic and marketing tools such as surveys and interviews. Martínez
business fields (Fischer et al. 2010, p. 231). Despite the proposes that the most efficient way to apply neuroscience
emerging nature of neuromarketing, no particular scholar in relation to marketing is through a combination of
can be credited as the architect of the practice. qualitative, quantitative and neuroscience research, as they
The first studies using neuroscientific tools to link hereby will complement and support each other, yielding
affect and electrical patterns in the brain date back to 1979 the richest information possible (Op.cit., p. 6).
(Morin 2011, p. 133) and the application of neuroscience It is the attempt to pinpoint how and where our
to branding and consumer psychology can be traced even brain reacts to marketing and advertising stimuli and the
further back. In the book “The Hidden Persuaders” attempt to measure the impact of such stimuli. From a
published in 1957, the author explores the ”(…) general perspective, neuroscientific methods are used to
possibilities of using the insights of psychiatry and the study consumer behaviour, the decision-making processes,
social sciences to influence our choices and our emotions in purchase decisions, and marketing phenomena
behaviour” (Packard 1957, p. 1). Packard suggests through analyses of the underlying neurobiology (Javor et
motivational research and the depth approach (the whys of al. 2013, p. 2).
our behaviour) as a means to research and to approach In neuromarketing, systems neuroscience, which
consumers’ unconscious minds, as he acknowledge that is the study of how different brain areas or complex brain
consumers’ actual buying behaviour often differ from what systems interact, is the main focus (Braeutigam 2005, p.
they say themselves about their buying patterns and buying 350). A critical distinction is made between consumer
motivation (Op.cit., pp. 4-13). neuroscience, referring to academic research at the
Best-known technology of neuromarketing was intersection of neuroscience and consumer psychology,
developed in the late 1990s by Harvard professor Jerry and neuromarketing, referring to commercial interest in
Zaltmen (Gerald Zaltman), once it was patented under the neuro-physiological tools (Javor et al. 2013, p. 3). There
name of Zaltman Metaphor Elicitation Technique (ZMET). are several ways to measure physiological responses to
The essence of ZMET reduces to exploring the human advertising.
unconscious with specially selected sets of images that Neuromarketing is an emerging field which
cause a positive emotional response and activate hidden bridges the consumer purchase decision with neuroscience
images, metaphors stimulating the purchase. Graphical (Christophe, 2011). Neuromarketing is advancing rapid
collages are constructed on the base of detected images, believability and acceptance among advertising
which lays in the basis for commercials. Marketing professionals. As everything depends on consumers ‟
Technology ZMET quickly gained popularity among willingness and competency to describe how they feel
when they are exposed to an advertising campaign,

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conventional methods for testing and predicting the Nueromarketing in the minds of the consumer and
effectiveness of huge investments generally have a marketer . An exploratory research is also attempt to lay
minimal effect. Cutting edge methods for directly probing the groundwork that will lead to future studies, or to
minds without requiring demanding cognitive or conscious determine if what is being observed might be explained by
participation are offered by neuromarketing. and examine in the light of the existing literature. Thus
Michael J.R. Butler (2008) determines the qualitative research is conducted with the help of
emerging field of neuromarketing as a knowledge which secondary data, previously existing literature review, facts
has malleability. Different marketing researchers perceive sheet journals and magazines.
the development and application of neuromarketing
knowledge in dissimilar manners. Having different VI. NEUROMARKETING: AN
perceptions of knowledge is not a new issue, but finding EMERGING
new interconnections between those perceptions is
beneficial to knowledge creation and diffusion. The The emergence of Neuromarketing has been
research–practice gap in neuromarketing was briefly reflected in almost all fields of industry as Automobile
discussed and then resolved through the contribution of industries, the IT industries, FMCG Sector and then lastly
that commentary, the proposal of a novel Neuromarketing turn our attention to the entertainment industry. Some
Research Model. The Model interconnects basic research Major Stance of its presence are:-
reporting, applied research reporting, media reporting and Hyundai Motors uses EEG-tests in the design-
power processes. process of their cars to measure consumers’ reactions,
In neuromarketing, brain stimuli and social when looking at specific parts of a car’s exterior design.
interaction are central concepts to understand what As Macko, manager of brand strategy at Hyundai Motors,
motivates consumer behaviour to make the buying expresses it: “We want to know what consumers think
decision (HenrikWaltera et al., 2010). Both concepts are about a car before we start manufacturing thousands of
investigated in consumers using neuroimaging methods. them” (Burkitt 2009).
The term ‘‘neuromarketing’’ (NM) is a recently Cheetos The Orange Underground the American
invented moniker. The Economist (2004) credits Jerry snack producer Frito Lay has used neuromarketing on
Zaltman with initially proposing a union of brain-imaging several occasions (Brat 2010). Through use of
technology with marketing in the late 1990s, and when the neuroimaging Frito Lay found that the glittering, bright-
Atlanta marketing firm, BrightHouse, opened a coloured packaging they were using for potato chips in
neuromarketing division in 2001, the synthesis of 2008 triggered the anterior cingulated cortex of the brain,
neuroscience and marketing began to attract attention in an area associated with feelings of guilt. When testing
science, business, and journalism. Neuromarketing has another type of packaging in matte beige colours with
been described as ‘‘applying the methods of the neurology images of potatoes and other ingredients perceived as
lab to the questions of the advertisingworld’’ (Thompson healthy, no activity of the anterior cingulate cortex was
2003, 53). evident. Thus, Frito Lay switched out of shiny packaging
Recently, the International Journal of and opted for the matte design with healthy ingredients
Psychophysiology called neuromarketing ‘‘the application depictured instead (Burkitt 2009).
of neuroscientific methods to analyze and understand Yahoo has a 60-second television commercial
human behavior in relation to markets and marketing that features happy, dancing people around the world.
exchanges’’ (Lee, Broderick, and Chamberlain 2007, 200). Before spending the money to air the ad on prime-time and
Indeed, improvements in neuroimaging technologies have cable TV, as well as online, Yahoo ran it by EEG-cap-
and will continue to advance our knowledge of how people wearing consumers.
make decisions and how marketers can influence those Ebay’s PayPal hopes to persuade more e-
decisions. shoppers to use its online payment service by pitching it as
fast. Brain-wave research convinced PayPal that speed
IV. RESEARCH OBJECTIVES turns people on more than safety and security, the earlier
themes in its ad campaigns.
 To study the stance of Neuromarketing in current Microsoft is using EEG data to demonstrate how
scenario. engaged gamers are when they use an Xbox. Working with
 To identify the various techniques used in EmSense, Microsoft put EEG caps on gamers and showed
Neuromarketing. them ads on the videogame system. It tracked which parts
of the brain were stimulated by the ads.
V. RESEARCH METHODOLOGY Ford Motor DaimlerChrysler, Ford of Europe
and other automakers are using medical research tools to
Study determine the need for the Exploratory examine the way consumers think so they can make sales
research to understand the conceptualization of messages more effective. Among the provocative early
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results from electrodes-on-the-scalp and Magnetic EEG Analysis: EEG is the abbreviation for
Resonance Imaging scanner research: Images of sports Electroencephalography, which means an electrical
cars affect the pleasure center of the male brain the same reproduction of brain activity (Postma, 2012). Although
way as sex, cocaine and chocolate. the technique of EEG is a relatively old method, it is still
In a study from the group of Read considered to be an appropriate way to measure changes in
Montague published in 2004 in Neuron, 67 people had the electrical field in certain brain regions (Ariely, &
their brains scanned while being given the "Pepsi Berns, 2010; Morin, 2011; Camerer, Loewenstein, &
Challenge", a blind taste test of Coca-Cola and Pepsi. Prelec, 2004; Madan, 2010). Electroencephalography is a
Media process of brain scanning method that records the
Within the business of media, neuromarketing is electrical activity on the scalp produced by the brain.
often applied. For example to test consumers’ reactions to Electrodes placed on the scalp pick up the subtle changes
movie scripts or trailers, to see which parts of a website in electrical activity. We use both 16 and 32 channel EEG
attract the eyes of the visitors or to see how people react to systems. The computer records the brain’s electrical
certain songs. It is, however, rare that movie studios, activity on the screen or on paper as waves. Our in-house
moviemakers or others in the business willingly admit to designed software analyses the EEG data collected.
the use of the practice (Randall 2011). HD EEG : It is an updated form of EEG can
gather very accurate brain activity information while the
VII. RISING USAGE OF consumer is exposed to a particular stimulus. This EEG
NEUROMARKETING system has 256 channels and has a very deep brain signal
analysis with regards to source localization. Additionally
Neuromarketing has been growing in leaps and the data gathered will allow us to produce highly accurate
bound , and may startups has evolved with the heat map images of the brain processes which will be
nueromarketing as their major line of service some included in the report produced.
examples of neuromarketing companies, those are framing Galvanic Skin Response: Galvanic Skin
marketing mix of renowned marketer are : Response, or skin conductance, is used to measure the
temperature of the skin and its electrical conductance,
• Brighthouse The American advertising company
which varies depending on the skin moisture level. Skin
Brighthouse was the first to introduce the word
conductance is used to identify and measure psychological
neuromarketing in a press release in 2002.
and physiological arousal. It’s most common use is in lie
• NeuroFocus (Now Nielsen Consumer
detecting technology. The pulse rate is also measured
Neuroscience) NeuroFocus was an American
through galvanic skin response. The fluctuations in the
neuromarketing company, which was acquired by
pulse reveal the level of excitement or stress that the
the worldwide market research company The
person experiences as a response to certain triggers.
Nielsen Company in 2008 and was thus renamed
Eye Tracking Eye tracking technology is used to
Nielsen Consumer Neuroscience. Millward
track the eye positioning as its focus shifts along the
Brown Millward Brown, was founded in Britain
surface of a visual trigger. Eye trackers are used in
and now has several locations in Europe,
research on product design and software design in the field
America, Asia, Middle East and Africa.
of neuromarketing. The most popular method of measuring
(Millward Brown 2014c).
eye movement is through the use of a camera which tracks
• Neurosense London-based Neurosense was the movements of the pupil. We use custom-made eye
founded by Gemma Calvert and was allegedly the tracking devices and software developed by our
first to conduct fMRI scans for commercial use engineering team. Neuro Marketing Tools Recording
(Neurosense 2013a. Neurosense lists several Metabolic Activities in Brain Positron Emission
famous brands among their clients, i.e. BBC, Tomography (PET) Functional Magnetic Resonance
Coca Cola, Ford, Heinz, Intel and L’Oreal Imaging (FMRI) Recording Electrical Activities in Brain
(Neurosense 2013b). Electroencephalography (EEG) Magneto encephalography
• Neuro--‐Insight Neuro-Insight was founded by (MEG) Steady State Topography (SST) Transcranial
Professor Richard Silberstein in 2005, operates in Magnetic Stimulation (TMS) Without recording Brain
the USA, UK, Germany and Australia and offers activities Eye Tracking Skin Conductance Facial Coding
neuromarketing services specializing in the field Facial Electromyography
of marketing communications (NMSBA 2013). Cognitive Analysis Cognitive Analysis is an
analytic digital model that combines the results obtained
VIII. TOOL AND TECHNIQUES OF through EEG, galvanic skin response and eye tracking to
NUEROMARKETING give a holistic view of a person’s reaction to a particular
trigger. This ensures there is no mis-reading in any of the
biometric readings taken.

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