NEUROMARKETING

ANALYSIS OF THE CASE STUDY:

BRAIN WAVES PREDICT SUCCESS OF NEW
FASHION PRODUCTS: A PRACTICAL
APPLICATION FOR THE FOOTWEAR RETAILING
INDUSTRY

SUBMITTED BY:

A.R VISHNUPRIYA, ANUPAMA K ANAND, NESIN JOSE EDASSERY &

RESHMA SHAJI
MASTER OF FASHION MANAGEMENT 2020-„22

SUBMITTED TO:

Ms. JAYA MATHEW, ASSOC. PROF, NIFT KANNUR

 ANALYSIS OF THE CASE STUDY: BRAIN WAVES PREDICT SUCCESS OF NEW
FASHION PRODUCTS

CONTENTS

INTRODUCTION

APPLICATIONS OF NEUROMARKETING

SIGNIFICANCE OF NEUROMARKETING

ANALYSIS OF THE CASE STUDY: BRAIN WAVES PREDICT SUCCESS OF

NEW FASHION PRODUCTS: A PRACTICAL APPLICATION FOR THE
FOOTWEAR RETAILING INDUSTRY

RELEVANCE OF NEUROMARKETING IN FASHION INDUSTRY

LIMITATIONS AND SUGGESTIONS

CONCLUSION
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FASHION PRODUCTS

INTRODUCTION
Neuromarketing is that field of marketing which makes use of
medical technologies like functional Magnetic Resonance Imaging(fMRI) to learn
the brain‟s responses to the marketing stimuli. It includes the usage of brain for
imaging, scanning, or other brain activity measurement technologies to measure
the subject‟s response to products, packaging, advertising, or other elements of
marketing. FMRI is used by researchers to measure the changes in activity in parts of
the brain and to learn why the consumers are making such decisions that they
make, and which part of the brain tends them to do it.

Marketing analysts use this for better understanding of a consumer‟s preference. This
will help them create services and products designed more effectively and
marketing campaigns focusing more on the brain‟s response. Neuromarketing will let
the marketer know what the consumer reacts to, whether the colour of packaging
attracted the consumer, the sound made by the box when shaken.

NEUROMARKETING TOOLS
A wide range of Neuromarketing techniques and technology are used by
neuromarketers for the better understanding of consumer behaviour. It can be
separated into 2: One that measures the neurological brain activity and the other
that measures neurological responses by proxy. The former consists of EEG, Fmri, and
Steady State Topography(SST), all of which can directly measure brain activities
related to brain functions. SST can measure the speed of electrical activity on the
brain surface, like engagement and encoding of memory.The latter contains coding
of face, biometric datas like heart rate monitoring and tracking of eyes.
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The inability to immediately know how it can be applied into existing business
practices is the confusion prevailing in neuromarketing. The main problem is that the
neuromarketing has a wide range of uses, most explanations regarding
neuromarketing‟s utility are not precise and vague creating more confusion. The
industry‟s greatest asset is neuromarketing‟s flexibility which creates a confusion at
first. In practice it can be used to answer any research question that marketers will
have about their product.

Some of the primary applications of neuro marketing‟s are:

• Product Design Testing

• Website/UX Testing

• Multi-screen ready/cross-platform testing

• Second-by-second optimization of TV advertisements

• Audio branding testing

• Rebranding

ORIGIN OF NEUROMARKETING
The birth of neuromarketing, application of neuroscience practices and insights to
marketing problems all started around 2002. The first definition and the possibilities ,
limitations of neuromarketing was given by Smidts in 2002. This was the first academic
piece on the new field of neuromarketing also discussing the prospects.

A detailed historical perspective is provided by Levallois, Smidts and Wouters in 2020

on how neuromarketing developed in its early years. Neuromarketing designates a
developing industry and also an academic research field. The study documents on
the emergence of neuromarketing through the first mention of the term in traditional
and new media until the stabilization of the field in the year 2008. It gives an account
on its main players, both in practice and in academia, and also pinpoints the role of
highly influential publications such as the Coke vs. Pepsi study.The main interest was
to establish whether the neuromarketing developed separately as an academic
field and as an industry or to know whether it was an act of co-creation. From a
systematic search on the web, it was traced that the multiple forms of engagement
between academic and commercial communities. It was found that the
neuromarketing developed an identity through a series of practices and set of
debates which involved intertwined communities of academic researchers and
practitioners.
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A sequence of papers published in Marketing letters provided a perspective on the

potential substantive contributions of the developing field of consumer
neuroscience to marketing. These are based on the workshops that were held at the
Triennial Invitational Choice Symposium, which brought together active researchers
in the decision neuroscience field.

Three main frontiers were noted mainly for further progress. First the consumer
neuroscience is expected to broaden its boundaries to add genetics and molecular
neuroscience, each of this will provide important insights into individual differences
in the decision making process.

Secondly, the recent advancements in computational methods that will improve

the accuracy and out of sample generalizability of predicting decisions from
activities of the brain. Thirdly, sophisticated meta-analyses which will help the
consumer neuroscientists to synthesize the growing body of knowledge, providing
evidence for consistency and specificity of brain activations and the reliability as
measurements of consumer behaviour.

An analysis on how the broader field of neuroeconomics developed is provided in

“Translating upwards” which was published in Nature Reviews Neuroscience. It was
first empirical study of neuroeconomics as an interdisciplinary community of
scientists, demonstrating the progress and limitations in the integration of different
scientific milieus and one new knowledge domain.

The historical research on neuroeconomics and neuromarketing was done out by

Clement Levallois .The impact of neuroscience in economics, marketing and
philosophy, funded by four European research agencies(NOW, ANR, DFG, ESRC).
The project was involved an involved collaboration with the partners from Oxford
University, Paris II- Sorbonne University and the University of Mainz.

MAJOR STUDIES ON NEUROMARKETING

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The customary techniques are disappearing with logical

strategies venturing out into the field of market research. Neuromarketing is the new
strategy in statistical surveying that is pulling in numerous eyeballs. As the word
proposes, Neuromarketing is a strange mix of Neuroscience and Marketing. The
combination of the two unmistakable parts of study has brought about the logical
planning of the brain with the end goal of examination of the mind movement and
its reaction to an advertising improvement. It tends to be viewed as a window made
by logical strategies to peep inside the brain. The flash was touched off in the
nineteenth century with the test completed by Angelo Mosso which presumed that
the blood stream expanded in the mind during a psychological action. Afterward, in
1990's, analysts at Harvard University built up the idea which was named at
Neuromarketing by Ale Smidts in the year 2002. From that point forward, it has been
developing and creating out of control. Splendid House Institute for thought
sciences turned into the main organization in 2002, to utilize neuroimaging in
unfurling the mysteries of the mind. Since this innovation came into spotlight,
bunches of procedures were utilized to give precise examination and information to
the specialists. A portion of these incorporated the utilization of Pupil meters,
Galvanic Skin Reactions, Steady State Topography, MagnetoEncephalography,
Positron Emission Topography, Electroencephalography and fMRI. Out of these, fMRI
is the most generally acknowledged and utilized procedure. It makes a difference in
examining and identifying the progressions in the bloodstream in the brain because
of any outside upgrades, which in this case is the advertising improvement.

This also presents how purchaser's insight towards neuromarketing can be broken
down by utilizing Kano model and examines the potential advantages that can be
accomplished by applying this way to deal with skis the utilization of
neuromarketing. Neuromarketing researches significant data that regularly buy
choices happen at a psychological, passionate and instinctual level that happen in
the inner brain that is under the degrees of controlled mindfulness. Because of this
striking intention, the insight technologists of the market are very quick to consider
the methods of effective treatment of the inner mind cerebrum activities. The major
reason is to empower the favored reaction in a person's perception as strongly as
could be expected. The article with the utilization of Kano Model looks at the effect
of use of neuroscience procedures on advertising rehearses as these impart to the
activity of singular freedom of thought. The examination places research on the
customer's perception towards neuromarketing by Kano survey incorporates
questions including customers' mindfulness, consent, and understanding to what in
particular might be seen as an attack of their protection rights.

Neuromarketing is a significant improvement in the field of

understanding about how the subconscious brain assists the buyer with taking
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choices. The field is acquiring quick believability and adoption among promoting
and showcasing experts, disputable to when it initially arose. Advertisers work to
draw in the client towards their item. For this, momentous examination has occurred
to contemplate the human mind. Consumer Behaviour has been affected
imaginatively so the client floats towards the item. The idea of neuromarketing
reflects the mental impression of the customers' relationship with the dealer.
Neuromarketing is a blend of neuroscience and statistical surveying that intends to
notice and comprehend the

purchasers physiological and mental reaction to any upgrades like computerized

content. A huge number of methods have been found for these explores, including
Eye Tracking, EEG, fMRI, Galvanic skin Response, and Face Emotion Analysis. Every
one of these methods are helpful for the organizations to see how a purchaser will
react actually just as mentally to improvements like the ideal item. The examinations
of neuromarketing applied to customer conduct through writing audits discovering
how the examination on this idea is developed. The examination presumes that
significant advances are being made in the showcasing territory, and that
neuromarketing can truly help in the comprehension of intellectual cycles of
purchasers and their impact on choice – making.

HOW NEUROMARKETING WORKS?

Neuromarketing research utilizes advances that notice mind action and biometrics
(like pulse, eye development, EEG envisioning, and fMRI output of the brain,
galvanic skin reaction, facial coding, and so forth) to decide how individuals react
physiologically to showcasing messages.
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The vital term in Neuromarketing that all of us should recall is – Rational Choice
Theory. Financial analysts and some advertising specialists direct that we people
settle on normal choices. The choices depend on different externalities and data
that we consider prior to making them like expenses, advantages and occasion
probabilities utilizing the level headed piece of the mind. However, it is currently
realized that choices, particularly choices identified with buying, are a result of
upgrade and our brains reaction when it collaborates with components to make a
good reaction. To consider the response and the inescapable result, advertisers take
help of customer neuroscience.

Neuromarketing Research has revealed some following results about all human
Beings:

 People are driven mostly by feelings, not logic.

 95% of choices are made subconsciously.

 Keeping away from pain is a stronger motivator than seeking pleasure.

 Accepted practices like correspondence, authority and social verification

impact our behaviour.

 Certain colors evoke a specific emotional response.

 Visuals are handled more rapidly than words.

 Images of lovely ladies, kids, and doggies are generally engaging.

APPLICATIONS OF NEUROMARKETING
Neuromarketing, where the brain science and marketing meet and work hand in
hand. Medical knowledge, technology and marketing all mixed together results in
neuromarketing. Neuromarketing is the process of applying neuroscience in
marketing and it includes the direct use of brain imaging, scanning and other brain
activity measurement technologies to measure the responses of subjects to specific
products, packaging, advertising etc

Neuromarketing technique uses several methods/ tools to analyse consumer

reflexes. Some technology used includes EEG, MEG, fMRI, PET, Galvanic skin
response, TMS, electromyography and cardiovascular parameters etc.

besides this there also times when neuromarketing employed techniques outside
reflex detections such as emphatic design, body language, eye tracking, facial
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coding etc. this concept is bound to make a deep impact in the market where
there is increased consumer population and consumer buying potential

APPLICATIONS IN DIFFERENT INDUSTRIES

Neuromarketing has been reflected in almost every fields of the industry such as the
Automobile industry, IT industry, FMCG sector and entertainment industry. Below
stated are some examples of the same

Hyundai Motor: they use EEG tests in the process of designing their cars to measure
reaction of the consumers while looking at the exterior designs of the car. As Macko
who is the manager of brand strategy of Hyundai Motors, stated that, “We want to
know what consumers think about a of them” (Burkitt 2009).

Cheetos: the orange American snack producer Frito Lay has used neuromarketing in
many ways and occasions. The first is the usage of bright coloured glittering
packaging they used for potato chips in 2008 which triggered the anterior
cingulated cortex of the brain, an area associated with feelings of guilt. While testing
another range of packaging which is of matte beige colours with images of
potatoes and other ingredients was perceived as a healthy food and no activity of
the anterior cingulate cortex was shown. Thus, Frito lay switched from shiny glittery
packaging to matte designs with healthy ingredients instead.

Yahoo: they have a 60 second television commercial that depicted happy, dancing
people around the world. Before the aired the ad on prime-time, cable tv and
online, they ran it by EEG-cap wearing consumers. The brain waves stimulations in
limbic system and frontal cortices of the brain, where the emotional thoughts and
memory occur. The advertisement was part of yahoo‟s new 100$ million branding
campaign, which was rolled out in September to bring more users to the search
engine.

Ebay‟s PayPal is to persuade more e-shoppers to use the online payment option by
pitching it as fast as possible. Brain wave research convinced PayPal that high
speed turns people on more than security and safety.

Microsoft is using EEG data to demonstrate how engaged the gamers are when
they use Xbox. Working with EmSense, Microsoft put EEG caps on the gamers and
showed them ads on the Xbox system which tracked the parts of brain which were
stimulated by the ads. Ads that simulated different parts of the brain were supposed
to make the viewers more likely to buy those products, says Michael E. Smith, who is
a neuroscientist at Neuro-Focus. Microsoft‟s goal is to get advertisers to buy those 30
second spots on Xbox games. The company is tapping the bill to test advertisements
for 6 marketers.
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Ford Motor DaimlerChrysler, Ford of Europe and other automobile makers started
using medical research tools to examine how consumers think so they can make
sales messages more effective which was resulted from electrodes-on-the-scalp
and Magnetic Resonance Imaging scanner research. Image of sports car affected
the pleasure centre same as sex, cocaine and chocolate did on the male brain.

TOOL AND TECHNIQUES OF NUEROMARKETING

EEG Analysis: EEG is the short-form for Electroencephalography, which means an
electric reproduction of brain activity. The technique of EEG is an old method but is
still considered to be an appropriate way to measure the changes in the electrical
field in certain portions of the brain. Electrodes are placed on the scalp to detect
minor changes in electrical activity. The computer then records the brains electrical
activity on the screen which is then collected on a paper as waves.

HD EEG is an updated form of EEG and can gather very accurate information of
brain activity when the person is exposed to a particular stimulus. This EEG system has
256 channels and has deep brain signal analysis with regard to source localisation.
This data which is collected will produce high accurate heat map images of the
brain processes which will be included in the reports produced.

Galvanic skin response: galvanic skin response, or skin conductance, is used to

measure the temperature of skin upon conducting electricity, which varies
according to moisture level on the skin. This process is used to identify and measure
physiological and psychological arousal. The most common use of this procedure is
in lie detecting technology. The pulse rate is also measured through the skin
response. The fluctuations in pulse rate reveals the level of excitement or stress at
that point of time, the person experiences as response to certain triggers.

Eye tracking technology is used to track eye positioning when the focus shifts along
the surface of a visual trigger. Eye trackers are used in research of a product design
or software design in the field of neuromarketing. The most popular method of eye
tracking is measuring the eye movement using a camera which tracks the
movement of a pupil. It is actually the tracking of eye movements of the
consumers.To find out what the consumers are looking at in a store.These days
modern devices for eye tracking are light and portable and it is even possible online
as well.

Cognitive Analysis: it is an analytic digital model that combines the result obtained
through EE, galvanic skin response and eye tracking technology to give an atomistic
view of a person‟s reaction to a trigger. This ensures that there is no mis-reading in
any of the biometric results.
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Functional magnetic resonance imaging (FMRI): as the term suggest MRI stands for
magnetic resonance imaging and is a tool which makes anatomic representation of
the brain by using magnets. An MRI scanner is used to measure bloody oxygen
levels, which indicate increased brain activity in certain regions. FMRI is primarily
used for marketing purpose and is a form of non-invasive neuromarketing
technology.

Empathic design: it is another advanced method where human beings are analysed
without using any devices. The meaning of the word empathic is refered as sensitive.
In this method observations are made in consumers normal environment so that ut
can take place in the normal course of daily routine.

Facial coding: It is to decode the facial expressions from subtle movements to

noticeable expressions of the consumers.There are sensors that can be attached to
the face to track the movement of facial muscles.

Sensory Marketing: Touch, Hear, see & smell: Marketers can make in-store
environment more pleasing to the customers by sensory marketing. Customers tend
to buy products if the store and the products smells good. At the same time
consumers will pay more attention to a product if they hear high pitched sounds;
and dark objects if they hear low pitched sounds. Colours, placement, decoration
also plays a major role in sensory marketing.

Psychological methods: Apart from the above mentioned methods there are few
psychological methods to grab the attention of the customers. For eg. Removing the
dollar sign from price of The products can increase sales. By seeing the dollar/ euro
sign, it shifts their attention to loss than gain. This marketing trick actually works, were
people actually are willing to purchase products when the money sign is
absent.There are circumstances where consumers are tend to buy products if it is
written as $99.99.It creates a perception of gain or low price.Consumers tend to
purchase when the products are placed in the upper shelf. And if customers are
offered a free trialof a product or a service without card information eventually most
tend to purchase the same.
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APPLICATION ON CONSUMERS
Neuromarketing is used to identify consumers preferences. The delivery of
information about a product and its relevance creates an important thrust in the
area of marketing. A well-established psychological fact in marketing is the physical
and emotional attraction the advertisements create in the minds of the customers
and how it builds trust and recognition for the brand. This will in turn influence the
customers buying preference and purchase decision. Soothing and comforting
emotional advertisements generated by the brands creates a sense of identification
and activate reward areas in the brains of customer. Neuromarketing enables a
brand and their advertising agencies to identify subsections of advertisement such
as images, slogans and sound effects to increase the effectiveness. The consumer
preferences and choices can be better studied and analysed before creating an
advertisement.
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Neuromarketing On Consumer Buying Behaviour

The increased number and varieties of products makes the in-depth analysis of
consumer buying behaviour desirable and advantageous. The human brain cells
conceal information of true needs and wants that influence buying decisions. Any
knowledge of consumer decision making is ineffective if neuromarketing is not
properly applied. The information gleaned by the various tools of neuromarketing
can be used effectively in designing of new products and can make a huge impact
on consumer buying decisions.

Neuromarketing on Advertising

Advertisements activates specific regions of the brain and these regions known as
ventromedial prefrontal cortex and ventral striatum are activated by effective
advertisements. Studies have identified the positive impacts of facial expressions in
advertisements. The response and success of an advertisement can be accurately
measured by the use of neuromarketing tools. Advertisements can modify the
medical prefrontal cortex decision making region of the brain which can in-turn
result in increased sales
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Neuromarketing on Pricing

The pricing of a product is an important factor that can potentially influence

costumer purchasing decision. Fixing the ideal price for a service or product is an
important aspect which influence the purchasing decision and it is the trickiest part
in marketing. Neuromarketing can be of great help to the marketers to find the
amount fixed for a product or a service on the mind of the customers which will
enable the marketers to adjust the prices of the product accordingly. Different types
of brain scanning techniques can be used to find regions of brain which is activated
by pain or happiness.

Neuromarketing on New Product Development

Neuromarketing tools are considered more appropriate for analysing the current
product experience and not for the development of a new product. Since no valid
inputs can be obtained for the development of a new product different alternate
methods are used. Some studies also suggest that the internal information disclosed
form fMRI scan data can be used for pretesting and development of new products
which is quite contrary. Hence neuromarketing can also be used effectively in the
development of new product and in product testing. Along with neuromarketing,
SWOT analysis can also be of great use for product development.

Neuromarketing on Communication

Verbal communication which is expressed by the consumer will not be influenced by

neuromarketing measures since logically it can be analysed by traditional marketing
research methods. Facial expressions and body language is analysed with the help
of neuromarketing techniques. However, the most accurate are the inside reflex
measurements such as fMRI and EEG. Hence neuromarketing techniques will not be
useful in communication.

Neuromarketing on Distribution of Products

Neuromarketing tools can be effectively to make efficient distribution, arrangement

and display of products in the shelves and racks of supermarkets. Ideal and effective
arrangement pattern of products for attracting customers attention can be
identified by using neuromarketing techniques. One important example is the case
of making decisions for top shelf, products on the top shelf are more evaluated by
the customers. Eye tracking and caps attached with EEG on customers head
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performing shopping can be used for studying the buying behaviour of the
consumers, even online shops can also be analysed by this method.

Neuromarketing on Decision-Making

Decision making in neuromarketing has 5 stages, which include identifying the

problem, weighing the possible choices, decision after evaluation of the available
choices, considering the possible consequences of decisions, learning for the future
from decision making process. The process of decision making which is analysed by
fMRI neuromarketing technique is a culmination of emotions. the involvement of
ventromedial prefrontal cortex and striatum brain regions is shown by fMRI and EEG
which analyses, the decision-making process. Consumer decision making process
can also be manipulated to some extend

Neuromarketing on Branding

Consumers normally like to attach loyalty to their preferred brands and brands
usually create a sense of emotional attachment and bonding that influence
customer decisions. This shows the importance of brand attachment which should
be rightly used by the marketers of the brand. fMRI studies have shown increased
brain activity in preferred brands than in common brands. Brands have created a
hidden and intuitive apprehension that affects the decision-making process.

Table below shows the successful use of neuromarketing strategies by the successful
brands.
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Neuromarketing on Product Design

In marketing and marketing research product design and presentation is an

important factor hence the product design and presentation should be given ample
importance and attention even to the minute details. Neuromarketing tools like fMRI
and EEG can help in better designing of the products, Since the whole process is
taken place subconsciously in the brain it is highly reliable. The nucleus accumbens
and the ventromedial pre-frontal cortex region of the brain are associated with the
process of decision making.

SIGNIFICANCE OF NEUROMARKETING

According to hammau and K.A, “Neuromarketing is widely defined as the science

that uses MRI, EEG, TMS, MEG, fMRI, and other brain wave tools to view the human
brain‟s responses to marketing stimuli to figure out what customers‟ thoughts are
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toward a product, service, advertisement, or even packaging to perfectly construct

marketing campaigns that are based on the human brain‟s response”

In today‟s busy world, we need better marketing tools to be ahead our competitors.
Therefore, it is important to understand our consumers in a better way to take a leap
forward. Neuromarketing is a new concept of combination of behavioural
psychology, economics and consumer neuroscience. Today as companies offers a
variety of technologies, the practice of neuromarketing is heterogenous. This
concept can provide a better understanding about their purchase intentions as
consumers are complex and are diverse in nature. An application of neuroscience
to marketing is Neuromarketing. In initial scenarios marketers tried deep meetings,
interviews, focus groups and other techniques to understand what consumers think
about a product or a service. Later , there arouse a large discrepancy in what
consumers say what they think and what they actually think. This lead to the rise of
neuroscience and neuroimaging and its combination with consumer behavior in
marketing. Identifying how to satisfy consumers while maintaining the profitability of
the company is the major challenge of businessmen in 21st century. Neuroscientists
claims that there is an influence of emotions in the buying decisions of consumers as
well as choosing a brand over the other.

CLASSICAL EXAMPLES OF NEUROMARKETING STUDIES

a) When Daimyler-Chrysler showed pictures to analyse how consumers perceive
their cars. The results surprised them. The grills and headlights grab the
attention because they resemble faces which brain processes phenomenally
well. So the result will be vital for Daimyler in designing of their future models
and designing the shape of headlights and grills. Some people had emotional
attraction towards sports car.

b) Coke-pepsi:A test to find the consumers perception on the world‟s largest

carbonated soft drink brands.The blind test made it difficult for the consumers
to distinguish the brands. The brain images revealed showed that, the images
were identical for both the brands.But later when were told that they were
given coke, the message formed a different brain image with increaded
blood flow to the brain and making changes in the brain cells.It gave a
conclusion that it is not the taste that matters but the name of the brand,
because the name coke excited the consumers.

c) Chysler chooses celine dion as it brand ambassador but the campaign was
huge success for the model but not the company.And there was not a huge
sales increase with this celebrity. Here it gave them a conclusion that, the
choice of celebrity was incorrect as she is not an expert in cars with the brain
study. The celebrities with higher expertise evoked higher caudate activity
which further leads to higher buying intention in consumers.
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HOW ARE MARKETERS BENEFITTING FROM NEUROMARKETING

Fresh viewpoints: Neuromarketing can give marketers a new perspective into many
challenges of marketing. It offers a new explanatory framework that puts many
existing customer mind mapping in a new light.

Customer behaviour: There are many instances when customers‟ thinking and
behaviour are inconsistent. The gap between customers‟ mind and their action can
be looked into by Neuromarketing.

Emotional and non-conscious insights: Emotions and Feelings influence a lot in

customer buying behaviour. Neuromarketing methods can often help uncover the
triggers to these emotional responses in a way that a simple customer survey can‟t.

Customer feeling’s measurement: Level of emotional attachment of a customer is

difficult to measure. But then, A scale of 1-10 cannot be rated for the feelings by
marketers.

Priming effects: A poster, logo, or package can activate wide-ranging of associated

in a customer‟s mind. This is called priming effects in neuroscience. With
neuroscience techniques, marketers can measure the feelings that an ad or brand
logo may trigger in a customer.

Advertising effectiveness: Most advertising and marketing, like the ones we see in
social media platforms, impact us through subconscious ways, even though many
people do not think it does. This is well explained by the concept of neuromarketing.

Shopper decision making: Neuromarketing shows how offline and online stores
environments directly impact how shoppers make their purchase decision. It is not a
logical process, but brain science in action.

Branding: A brand is not tangible, but a company's idea that is planted in people's
mind. This unique idea draws strength from the connections one makes.
Neuromarketing therefore provides techniques for measuring brand associations.

Product design and innovation: Another area where neuromarketing is already used
today is in product design and innovation. It is used to gauge consumer reactions to
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product ideas and package designs. These reactions are largely emotional,
automatic and outside of our conscious awareness.

Online experiences: Online platforms provide new challenges to our brains. Brain
science shows us the way our minds can be influenced without us knowing as we go
about our daily online activities.

ANALYSIS OF THE CASE STUDY: BRAIN WAVES PREDICT

SUCCESS OF NEW FASHION PRODUCTS: A PRACTICAL
APPLICATION FOR THE FOOTWEAR RETAILING INDUSTRY

RELEVANCE OF THIS NEUROMARKETING CASE STUDY:

 In brands they have been consuming a great deal of cash to grab attention,
outshine their competitors and grow their brand presence like never before.

 Neuromarketing, as a consistent request in the field of showcasing research,

discusses the use of neuroscientific methods, with an inspiration of examining
the complicated buying behavior of humans in general.

 The achievement rate of such new items straightforwardly impacts a retailer's

accomplishment as far as gross benefit, customer loyalty and brand picture.

 In this article, we learnt that a novel methodology depends on mind

information to perform and talk about the significance of pre-market
anticipating in the footwear retailing industry.

 This case study showed that self-report based techniques can't precisely
anticipate achievement, while utilizing brain information to the accuracy
reached 80%.

 Marketers superbly attract the client towards their Product.

 Neuromarketing is accepted to give more knowledge into individuals' mental

responses to these upgrades and henceforth their activities in purchasing
circumstances since individuals can't generally express their sentiments and
considerations in exact, unambiguous ways.

 The mind information, after pre-handling and alignment to represent singular

contrasts, were converted into a Preference Index registered through an
 ANALYSIS OF THE CASE STUDY: BRAIN WAVES PREDICT SUCCESS OF NEW
FASHION PRODUCTS

inside created calculation approximately connected with boundaries from

fundamental enthusiastic neuroscience.

 The new innovative advances accomplished during the most recent decade
permitted mainstream researchers to explore and utilize neurophysiological
measures for research purposes as well as for the investigation of human
conduct in genuine and everyday life circumstances.

 The social brain science and statistical surveying contemplates have set up
that self-reports are unreliable to accurately anticipate client preference .

 A fulfilled client, who finds the shoes she needs, is a customer more likely to
return to the shop again and again.

 This investigation suggests that a design firm should invest more aggressively in
avoiding failures in the marketplace. Their innovations provide a promising
worldview in combining brain scan advances with economic models to
achieve highly accurate product market performance predictions.

 Consequently, this creative neuroscientific approach significantly improves

brand picture and brings extensive incentive for associations, investors as well
as buyers.

 Moreover, it merits featuring that such a tool while right now approved with
shoes can be adjusted to different items in the fashion industry, from bags
and accessories to watches as well as apparel.

ANALYSIS OF THE OBJECTIVES OF THE CASE STUDY

Which shoes among many enchanting outlines will It create? Which ones will fulfil
their clients and become successful amidst their numerous competitors? Is there an
approach to reduce the opportunity of disappointment? Is it possible to build up a
predict tool so finely tuned to customer‟s expectations and wants that it can predict
the accomplishment of a shoe even before it is dispatched? Are surveys ready to
anticipate the accomplishment of a shoe? Which method gives a more accurate
prediction? Despite the laborious process to design and choose the shoes an
enormous bit of them end up being disappointments since they don't meet
consumer‟s expectations and needs.
 ANALYSIS OF THE CASE STUDY: BRAIN WAVES PREDICT SUCCESS OF NEW
FASHION PRODUCTS

 To observe the clients that they can't track down their ideal items coming up
and their satisfaction decreases.

 To observe whether discounts heavily devalue the brand image.

 To observe clients lose confidence in the brand and tend not to return to the
shop but rather shift to another merchant or get used to buying only at
discount prices.

 To know about an utilizing EEG brain signal they decided how the mind
responded to the presentation of each shoe permitting us to research
understood responses and evoked feelings.

 To observe the two unique ways to deal with assess consumer preferences
traditional questionnaires and electroencephalography (EEG) a
neurophysiological recording technique that measures mind activity in real
time.

ANALYSIS OF THE GOALS

Fashion retailers have a lot of tasks to undergo regarding the prediction of style,
colour and number to satisfy the customer‟s needs and wants. Even though, a lot of
work is put in for these activities, still they can bring out an unpleasant result as they
don‟t meet the customer‟s expectations. The unaccepted designs will end up being
sold in discount prices in the end of season sale. This issue result in 3 problems:

i) Customers become unsatisfied when the not finding their desired

products.

ii) The rejection of products and increase in discounted prices for products
decreases the brand image and value.

iii) Customers tend to switch to other brands due to losing faith. These long
term issues can break the brand very badly.

Hence, to avoid these problems retailers must develop strategic tools to tackle
these failures and meet the expectations of the customer. These thoughts helped to
sprout this research paper. In this research, 2 testing approaches have taken and
analysed. They are

i) EEG, a neurophysiological recording technique that measures brain

activity in real time.

ii) Questionnaire

With EEG, they could analyse how different brains reacted to the presented shoes.
 ANALYSIS OF THE CASE STUDY: BRAIN WAVES PREDICT SUCCESS OF NEW
FASHION PRODUCTS

With such experimental design we set out to answering three questions:

(a) Are questionnaires able to predict the success of a shoe?

(b) Are brain scans able to predict the success of a shoe?

(c) Which technique provides a more accurate prediction?

ANALYSIS OF METHODS AND EXPERIMENTAL DESIGN

In this study 30 shoe models where tested. Each pair was sold in full price in central
European market from August to November 2013.Sales data for each pair was
collected. The parameter used to determine the performance of each shoes is
„success‟.

The formula is:

Success% = shoes sold within 4 months / shoes produced * 100

According to sales figures, the 30 shoe models were categorized into two different
groups, 15 of them were highly successful („Success‟ average 77 per cent) and 15
were not successful („Success‟ average 19 per cent)

In the study, there were 40 women participated of age 19-53.The tests were done in
2 parts. It was setup as natural as possible to maintain a real life context. In the first
case, subjects were taken to a mock shoe shop with 30 women‟s shoes displayed
randomly along with their prices. The subjects can touch and feel the shoes freely in
the store. One can take as much as time she wanted to rate the shoes on a scale of
1-5.(1= didn‟t like the shoe at all; 5=liked the shoe very much and would like to buy)

Once all the subjects have rated the shoes, EEG experiment will be conducted to
analyse their brain activity. EEG was recorded using the standard 10–20
configuration with wet electrodes that were prepared with conductive gel. Such a
system ensures optimal quality EEG data. During this experiment the subjects were
shown high resolution images of the shoes that they rated earlier for 3 seconds
without any other additional information like selling price. The following 3 seconds
shows its selling price. Afterwards, the following 6 seconds are given for explicitly
saying whether or not they would buy the shoe. During the process, the brain activity
is monitored and recorded.

ANALYSIS OF RESULTS
There were 2 measurements to predict shoe performance from September to
November 2013
 ANALYSIS OF THE CASE STUDY: BRAIN WAVES PREDICT SUCCESS OF NEW
FASHION PRODUCTS

i) Questionnaires showing how much each participants liked the shoes on a

scale of 1-5

ii) EEG brain activity of each participants

Questionnaire rating by participants did not show any significant difference in rating
of successful and unsuccessful shoe mode (mean 2.95, std. dev. 0.51 vs mean 2.68,
std. dev. 0.45; two-sample t-test: p =0.13)

The brain analysis showed significant emotional responses within 1 second when a
picture was presented on screen. The average Preference Index in the relevant time
interval for successful shoes is distinct from that of unsuccessful shoes (mean 1.02, std.
dev. 1.6 vs mean –0.46, std. dev. 1.73; two-sample t-test: p = 0.02).

Finally, we compare how gross profit changes when the two different predictors
questionnaire and brain data are applied.

When questionnaire is implemented it could identify successful shoes with an

accuracy of 60% where gross profit increases to 761.000 (+12.1%). and when EEG is
implemented the gross profit increases to 926.000 (+36.4 %)

ANALYSIS OF MARKET RESEARCH APPLICATION & MARKET

IMPLICATION
Product success prediction is important as well as increasing demand these days
when a lot of new products are launched in market every day. Earlier, there were a
lot of techniques and methods used for these predictions but most of them were
unsuccessful. With the rise of Neuromarketing, it creates a direct linkage between
the consumer and marketer to directly analyse their brain activity to see what
products can satisfy consumers need and wants. The result of this experiment shows
that Neuromarketing play an effective role to predict the success of a product in the
market.

For a retailer it is important to anticipate which products may sell in his collection. It
can not only increase the profit but also reduce the wastage of stock. The in-store
displayed models plays a role to attract customers and if they can satisfy their
needs, they become loyal to the brand and are more likely to revisit it again. At the
same time, when there is a huge demand for products, it brings in huge revenue
and improves the brand image. Therefore, Neuromarketing plays a huge role in the
market to lower the uncertainities in the marketplace, increase profit, improves
brand image and to add great value to shareholders as well as consumers.

RELEVANCE OF NEUROMARKETING IN FASHION INDUSTRY

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FASHION PRODUCTS

Neuromarketing uses a wide variety of tools and techniques to measure the

consumer responses and the behaviour. They include everything from relatively
expressions of the face, behavioural experiments, to more complex, sensor-based
approaches, including the body signal measures(biometrics) that measures
perspiration, respiration, heart rate and facial movement of muscles
(electromyography ,EMG), as well as neurometrics which measures the brain signals
that measures the electrical activity (electroencephalography (EFG) and blood flow
(functional magnetic resonance imaging(fMRI) in the brain in neuromarketing, it is so
important to experience all these because it is part of the objectives of advertising
of the company. All these are measured in terms of communication as this all
increases the degree of awareness of the brand. In recent years it starts talking
about brand, product experience, sensory, emotional. As an innovative action trying
to link the brand with the consumer through the senses and feelings, transporting to
the world of sensations, through the interactions with the brand feel positive
emotions.

There are 6 major areas where neuromarketing is used mainly today.

• Branding

• Product Design

• Innovation

• Advertising Effectiveness

• Shopper Decision Marking

• Online Experiences

• Entertainment Effectiveness

Branding: Brands are the ideas in the mind that draw strengths from the connections
they make with the customers. Neuromarketing provides powerful techniques to
measure the brand associations.

Product Design and Innovation: They can measure the consumer responses to the
product ideas and designs of package which are largely automatic, emotional and
outside our conscious awareness.
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FASHION PRODUCTS

Advertising effectiveness: Much advertisings impact the consumers through the

nonconscious means, even we think it might not think it will. Neuromarketing explains
it how it does.

Shopper Decision Making: Neuromarketing shows how the store entertainments

influence the shoppers directly and buy. It‟s not a legal process.

Online Experiences: This provides new challenges to our brains.Brain science shows
us many ways to how we can subtly influence as we go about our online activities.

Entertainment Activities: Entertainment creates experiences in the minds of people

that influences attitude, preference, and actions. Neuromarketing also shows us
what happens when the entertainment transports us in the imaginary world.

Specialists have shown as the idea that in the future the battle of the brands will be
mostly on effective ways of using marketing tools to ensure the company‟s
competitiveness. Brand represents the value judgements of all the stakeholders
involved in a business regarding the product, service, idea or the right to possess it.
Marketing researchers have a wide range of concerns related to the significance of
brands for consumer behaviour in general, and for the process of purchasing
particularly. From representing the human values on the impact of brand equity the
significance of brand for a company‟s rating to the development of brand based
behaviour decision models the studies capture various facets having a common
denominator.

For fashion industry it is important to consider these topics to know if the

neuromarketing is working efficiently in the impact of the branding.

Neuro Design: Web, Print or Product Design – Design is the key factor that
distinguishes a brand or a company from its competitors. The business card, its mirror
image is the design of a company because that will be the first thing that a
consumer perceives from a brand. In today‟s excess of supply, the design of a
product, website or printed material can be the deciding factor whether the
customer choose it or not. Bad decision can easily turn to a criterion for exclusion.
The perception on the design is mainly based on the unconscious and process of
emotions. With neuroscientific methods such as the EEG or Fmri, it is possible to gain
insight into these processes. Analysing the emotional the emotional effect of web,
print or designs of the product on the brain and supporting in choosing the version
that is mostly associated with the purchase desire.
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FASHION PRODUCTS

Neuro Packing: more and more products are coming out in very protective
packaging designed for preventing consumers from consuming them. These days it
has to be open almost every consumer item by gnawing on the packaging. The
initial communication with the consumer at the POS is the packaging of a Product.
At times where the products are hard to distinguish from other products in terms of
their functionality and quality, packaging plays a major role. Brands can be
differentiated themselves by the competitors on the individuality of their packaging.
At the same time, packaging can be representative of a brand as it reflects
attitudes and the values followed by a company. It measures exactly where the
decision is to be made in the brains of the customers. At the POS the decision taking
whether it has to be added a product to the cart or not falls within milliseconds.
These processes can take place emotionally and unconsciously. With the
neuroscientific methods like EEG AND fMRI it is able to capture the emotional
processes directly in the brain whether the decision is made and the packaging
versions are analysed before the production and support in choosing the package
that triggers the strongest buying desire.

Neuro Economic Consulting : Customers are advised in different marketing and

market research questions such as the price architecture, POS design or the
development of multisensory marketing concepts. Gathering the consulting
expertise from different scientific fields such as consumer neuroscience, behavioural
economics, psychology and evolutionary biology. Showing the clients how they can
use these findings and apply them in their business. This information will allow the
companies to change and adapt the marketing strategies so that they can improve
advertising effectiveness, so the consumers can more easily recall the advertisement
or the brand which is also a strong determinant of purchase intention. Nevertheless
these are the limitations to everything around.

But in reality there will be differences in responses even in the homogeneous group.
One has to keep in mind that the brain itself is very complex, not all can be
measures and there do not exist a buy button.The main objective from experience is
improving the image of the brand and in the best of cases develop to the
consumers speaking well of it to their friends , acquaintances and relatives.

In neuromarketing it is very important to define the product : for whom the product
should be made, colours to be used, because it transmits values: action, solidarity,
sensuality, courage, etc. Addition to this it is necessary to know the audience, what
the consumer likes, hobbies, behaviour, social status, etc.

An example of the neuromarketing usage in fashion industry is lighting because it

can change perception of space or highlight a product over others through the
colour, temperature, brightness, intensity, and thus cause different emotions and
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FASHION PRODUCTS

sense of comfort, warmth perception of freshness or inviting the consumer to buy.

The lighting can change the consumer‟s perception of the space or highlight the
product over the others through the colour, temperature, intensity, brightness and
cause many different emotions as the comfortable sensation, perception of
freshness and warmth, which invites the consumer to buy the product. In addition to
these, the intensity, colour and brightness, making selective shutdown, placing filters
or modifying angles to create refractions or shadow. This allows to create different
environments, sensations (comfort, relaxation, mystery) and perceptions.

All these are applied by brands that are producing luxury goods. Luxury generates
wishes, emotions are created and dreams for the sale. Neuromarketing does
emerge these emotions and create engagement in the consumer‟s mind, so the
consumer can choose a brand in particular, depending on how it appeals to your
feelings. Luxury responds to the experiential marketing considering it as the
intangible world of emotions. Luxury brands are characterised as they are unique
and the desire to make the customers dreams come true.

This could be showed with an example of Chanel making the customers think that if
the customers take a bag of their brand, they will be more elegant world women, if
the customer is wearing a Valentino, the customer will be admired and adored, if
the customer shims some Loboutin, the customer will see it 12 cm. above the rest of
others. This is the function of luxury products.

This is very important for the business in international since it provides the tools to use
spaces in an appropriate way to know the consumers expectations in the product,
colours, messages among other things that are being used for advertising that are
attractive and generates the necessary emotions for the customer top choose the
brand and the product. This is one of the success factors of luxury branding that
make the customer feel the satisfaction they want and certain way to power after
obtaining them.

LIMITATIONS AND SUGGESTIONS

LIMITATIONS
One of the most important objective of neuroscience lies in understanding the
biological mechanism which is responsible for human brain activity, finding a deeper
explanation about the behaviour of people and decision making. The case study
proposes an approach to understand the brain data to forecast the product
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FASHION PRODUCTS

performance and discuss the importance of market forecasting in the footwear

retail industry. European shoe store chain was validated as a prominent tool for this
study. The case study suggests that in the past decades, focus group methods were
implemented to gain future insights and to know about the market performance of
new products. However, today market research studies and reports make it easy to
accurately predict customer preference with the help of neuroscience. It has
helped to increase profit, customer loyalty as well improve brand image.

Generalising Results : Keeping in mind that the variances in how individuals process
information and the limitations of testing makes it difficult in generalizing results with
certainity. High costing in doing neuromarketing research means it has been done
with small sample sizes and they are often funded by corporations, which creates a
bias into the results.Also the reactions that are being observed in a lab test
environment may be different from the actual buying environment.

The major troubles concerned with current neuromarketing technology are as

follows:

 The highly modern technologies used right now are expensive. Experiments
are thus costly to conduct and less time , which leads to small samples. This
makes it very hard to gain reliable data from these studies.

 Experiments need to be conducted in labs. It‟s hard to simulate real-life

situations, as external disturbance is not naturally present in a laboratory
environment and sometimes subjects are restricted in body movement.
Again, this has consequences for the validity of experimental results when you
want to apply these in the real world.

 Only a single neuroimaging technology, such as fMRI, can be used at a time.

This results in a deficient understanding of the relationships between different
physiological behaviour and processes.

 The same holds for nonneuroimaging devices such as EEG, the results of
which are considered individually. Furthermore, those devices are limited in
brain exploration possibilities.

 Neuro-ethics. The field of neuromarketing is one that receives much critique.

Some consumers are afraid a “buy button” exists in their brain and whether
companies will exploit it if it is found. Furthermore, protection of vulnerable
population groups is currently scanty. Awareness and understanding of study
objectives, transparency of marketing strategies being created from
experiments and legislation to accompany the developments in the field are
all areas in need of attention.
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FASHION PRODUCTS

Examples of neuromarketing technology in increasingly smaller devices are EEG

headsets and “Galvanic Skin Response” devices. You wear the latter category
around your wrist and they measure emotional arousal and stress. Furthermore,
military and athletic fields are working with wearables and other portable devices
that measure all kinds of physiological parameters. Other universities and companies
are working on remote monitoring and assisting patients in order to reduce
hospitalization. The authors propose future developments will bring the following
opportunities:

• Employing nanomarketing technology to measure emotional states in real time.

Experimentation will become significantly less expensive, while at the same time
much more data can be collected. The reliability and validity of findings will greatly
increase.

• Nanomarketing devices can be unobtrusive and portable. They can be used in

real-life and are much more comfortable for the participants.

• Nanomarketing devices can be multifunctional. Different signals can be measured

at the same time, which will increase reliability and validity of findings.

• Laboratory experiments can be combined with daily life miniaturized devices‟

tests. Multiple neurological, biological and physiological signals can be measured
together. A deeper understanding of emotional states and their relation to
consumer behavior can be gained.

• With all the opportunities nanomarketing technologies bring, another opportunity

arises: to create a nanomarketing ethical framework. This can help to defend
consumer privacy and autonomy and better protect vulnerable population groups.
An increased understanding of people‟s brains and emotions can also, for instance,
help to realise compulsive behaviors and buying habits and even protect consumers
from destructive behavior.

SUGGESTIONS
Not only in the foot wear segment, Neuromarketing can be applied in almost every
industry. It can be of great use to the marketers, especially in the developing
countries like India where the growing population act as increased consumer base
with variety of needs and wants.

Neuromarketing will change the substance of showcasing. Without its mission it will
lag behind competitors that have accepted this better approach for consumer
behaviour and branding. Encourage consumers to buy their products and they will
spend more on their products because of the good factor.
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FASHION PRODUCTS

Nanomarketig : A new future of Neuromarketing

Next to the possibilities mentioned ,the future could bring even more possibilities in
this area. In a recently watched TED talk video that explained “transdermal optical
imaging” technology that can detect lying from video footage with an accuracy of
85%, which is much better than humans perform (we score around 50%, in other
words no better than probability theory would expect).

Even heart rate, stress rate and mood can be determined from video images. Talk
about unobtrusive technology. Although this example is still in a very early stage of
development, the possibilities for the future are very promising.

In general, nanomarketing studies could revolutionize understanding of consumer

behavior. Fundamental marketing principles such as intention to purchase, attitude,
advertising response and satisfaction could be investigated further.

Miniaturization of technologies can eliminate or at least improve current limitations

of neuromarketing research. For marketing managers, nanomarketing can strongly
improve the ability to test advertising effectiveness, evaluate product appeal and
select an optimized media mix. Use of nanotechnologies can also benefit
consumers as companies are better able to provide fitting products and services
that enhance their lifestyles, and create more relevant advertising programs.
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CONCLUSION

Neuromarketing is a field of marketing research which studies consumers

sensorimotor, cognitive and effective response to marketing stimuli. Old-age selling
practices suggest that a customer‟s shopping experience is managed by the
salesperson‟s behaviour and the in-store assets, which helps the customer engage
step by step. The field of neuromarketing is excellent in reading consumers mind,
interests and preference enabling the marketers to work efficiently. The technology
can positively affect the decision-making process towards buying a product by
peeking into the decision-making centres of the brain. Neuromarketing employs
several tools and techniques for analysis of the reflexes of the consumer‟s brain and
for this purpose different tools are used such as EEG, MEG, fMRI, PET, Galvanic skin
response, TMS, electromyography and cardiovascular parameters etc. Besides there
are also several time-tested conventional techniques of outside reflex detection
techniques such as body language, emphatic design, facial coding, eye tracking is
also employed in neuromarketing. The concept of neuromarketing is bound to make
a deep impact in the economies where there is rapidly increasing consumer
population and consumer buying potential.

Neuromarketing research gives us valuable insights on how the humans process

information and makes decision, consciously and unconsciously. As the
neuromarketing science improves, more reliability on results should be available in
the future. Information from Neuromarketing must be applied thoughtfully and
strategically, taking into consideration of the company‟s unique target audience,
market, products and goals. Along with it there will be a need of testing the best
prices in specific situations to know what is really wrong.The customer wants to be
someone who they have imagined in the minds. It is important to understand how
the consumer reacts to different stimuli when placed in contact with products,
services, advertising and other elements of marketing. Understanding the process
and the neuromarketing importance in the industries of fashion, allows expanding
the brand. Since it allows to know the consumer reach.

The field of Neuromarketing is as yet in its developing stage, however it is creating

with an ever increasing number of new developments being directed.The utility of
Neuromarketing is obviously reliant upon the improvement of Neuroscience. Anyway
with an ever increasing number of studies and the advancement of refined
advances which can map individual neurons with 90 odd fluorescent colors we
might soon have the „Google Earth‟ of our brain. The similarity shows that the
implications are enormous. On the off chance that a superior information on the
world topography was instrumental in colonizing a large portion of the planet,
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FASHION PRODUCTS

envision the massive chance that Neuromarketing has for the advertisers in
impacting the buyers' mind.