Knowing the market sophistication level allows you to present your marketing messages at the appropriate level so that your ads and marketing campaigns will not fall flat, but will connect with you market.
Here are the 5 steps and examples to help you understand them.
Level 1 – New invention: First to market.
When you are introducing a product to a new market, the message can be a straight forward marketing message. Its simple and direct. You have to create awareness about the product or service.
Example: Gillette razors – Shave Yourself – This was innovative at the time because either people didn’t shave, had scraggly beards, or had to go to a barber the shave them. So the message was simple “Shave Yourself” – Creates awareness of this new product.
But if you came out with a razor and said try this awesome razor I have because it allows you to shave yourself. Today it would fall flat. The market sophistication is past that.
Level 2 – Enlarge your claims and promises and start to include more features.
Example: In the 1955-65 Chrysler created the Chrysler 300 and it had 300 horsepower. Other cars said they were going fast and the muscle cars coming out. But Chrysler expanded the claim to 300.
Gillette: Came with out new safety razor that won’t nick or cut you, level 2 is the introduction of features to enhance the product and support your promise statements. (Picture of a baby with a razor in his hand supported the “safety” claim).
But you can’t keep making bigger and bigger claims because after a while the claims are no longer creditable or believable. For instance a pill will help you loose 15 pounds in 9 hours. (One mistake people make is to create a claim that though it may be true or possible it is unbelievable and not creditable. I have a friend he’s a corporate sales trainer and his technique have been used to generate millions of dollars in business, but if he said here is the 18-million dollar sales presentation structure, though it may be true it could be viewed as not credible or unrealistic because the claim is so big).
Level 3 – Distinguish the product from the masses.
Once the market is getting tired of these bigger and bigger claims the message must change because the market has become more sophisticated and no longer responsive to earlier claims. In this level the feature is the draw, in particularly the secret ingredient, the mechanism, technology, the process for performing the claim becomes the differentiator. It’s not the features it the tools or technology.
Example: Where it was – “Take this pill to lose weight” “Now its the phentermine reduces your appetite and helps you lose weight.” See the active ingredient is revealed. It is the Phentermine that is the secret sauce. Then the buyers says, it wasn’t working because my other fat loss pill didn’t have Phentermine in it.
Schlitz beer: Moved from the taste of the beer, to the fact that it had an aluminum top of the can which made it easier to open with the can opener. They called it the “Soft Top” can. Even today beer companies talk about the easy pour and ventilation grooves.
Auto industry – Started introducing their different technologies. It is not about transportation without walking, it was multiple front and side airbags, crumple zones, anti-lock brakes. Bluetooth connections, etc.
Apple: Previously they were talking bout the use of apple computers on schools and in business. But in this level they began to showcase the unique design features and to this day the design lines and interface is the highlighted when presenting new products.
Level 4 – The market becomes hardened or saturated with the new technology and processes.
Now the next phase is to expand and elaborate upon the features and differentiate on your technology and mechanism from the others by comparison. How does your technology or mechanism make the product faster, cheaper, better then competition.
Example: Gillette: Now they have, 5 blades, a lubrication strip, micro comb to raise the hairs for cutting, contoured grip, blade stabilizers and are battery operated.
Automobile industry – Began to differentiate themselves. BMW ad that says “congratulations to Audi for winning the South African car of the year 2006 – from BMW the winner of the World car for the year 2006” differentiation.
Beer: The cans have wide mouths, ventilation vents, or soft top to picture with your keys and a can that changes color to tell you when its cold. Sophistication level four.
Level 5 – Shift from mechanism and features to identifying with the person and their experience.
Focus is not on product, or claims, mechanisms. It is these emotional ads directed at creating connection with the prospects and their experiences. These are marketing messages that get to the deep psychology of buying behaviors.
Chocolate is a sophisticated market. M&M’s no longer melts in mount and not in your hand. The M&Ms talk and have personality to identify with various people.
Coke-cola: No longer comparing itself to pepsi or even talking about the coke secret formula, its about lifestyle the tagline was “Open happiness”
Bud light 2014 super bowl commercial. It was about limos, ping pong, Don Chedle with a llama and a concert with One Republic. That’s the level of marketing they have reached because of the repeated exposure to marketing messages and brand awareness in that market.
Subaru: has a commercial about a teenage girl struggling to change a tire and her dad saying see I knew you could do. – Emotional play on on lesson from a father.
Old Spice: Smell like a man. Its not about killing germs and feeling fresh.
After level five, generally, a new product or market develops and it must start with the introduction of the product and creating awareness which is Level 1. The cycle starts over.
If this post was informational, please post a comment below and I look forward to your feedback.