[MUSIC] In this lecture I would like to introduce you to a communications model, which is known as the FCB grid. This model clarifies how consumers approach the buying process for different types of products. Four quadrants are developed based on two dimensions, high versus low involvement, and thinking versus feeling. The quadrants summarize four major goals for advertising strategies, being informative, being affective, habit forming, or promoting self-satisfaction. In the first quadrant of the FCB grid, we see products that are of high importance to the buyer, they are generally more expensive products. Consumers will pursue a lot of information before making a high involvement purchasing decision. Major purchases such as a car, a house, or insurance, and almost any expensive new product could be considered in this quadrant. Consumers think about many product attributes such as, functionality and price before purchasing them. The basic strategy for purchasing is first to learn about the product, then establish an attitude and emotions toward it, and then purchase it. So consumers follow a learn, feel, and do sequence. These products are mostly advertised through ads using long informative copies. These ads are usually published in magazines, newspapers, and online platforms that allow for long copies. In the second quadrant of the FCB grd, we see highly involving, but feeling purchases. Products in this quadrant are high involvement, as in the first quadrant, but they also require emotional decision making. These products are psychologically fulfilling. For example we purchase expensive designer clothes, because they make us feel good. Engagement rings, motorcycles, fine perfumes, wine for a dinner party can all be considered in this quadrant. Even a car that would normally be in the quadrant one, might belong here if it is a sporty red convertible that we buy to make us feel young and cool. Consumers usually go through feel, learn, do process, as emotional communication is required. The creative goal, is executional impact, through dramatic print exposure, or image focused broadcast advertising. Quadrant three of the FCB grid is for products that require rational, but low involvement decisions. Real packaged goods, such as detergents, paper products, gasoline, and most of the other everyday items are considered in this quadrant. Since these are rational decisions, consumers generally need to given a reason to buy to differentiate the product from others. Even though this is a rational decision, the low involvement means that consumers won't wade through long copy print ads. Learning occurs most often after exploratory trial buying. The hierarchy model to this quadrant is a do, learn, feel pattern. The creative element for this strategy requires advertising to stimulate a reminder for the product and to generate and reinforce brand loyalty, habit and repeat buying. Reminder ads, coupons or other sales promotions can help here. Implications for media are small space ads, point of purchase ads, and radio, all with the aim of high frequency. Quadrant four of the FCB grid is for products that are low involvement and emotional. These items make you feel good or provide self-satisfaction. Here you will find entertainment, snacks, fast food, candies, soft drinks, movies, and liquors and so on. Many times, these are impulse or convenience purchases. Products in this category don't really have a lot of rational reasons for you to buy, and rely heavily on "feel good" ads. Consumers follow a do, feel, learn sequence in their purchase decisions. Hence product experience is a necessary part of the communication process. Most of the time lifestyles are portrayed to attach an image to the product, such as if you are young your drink is specific soda brand. These products might be considered as "life's little pleasures". Advertising with imagery and consumers quick satisfaction from products are requisites: billboards, point of sale ads, and newspaper ads are usually recommended for them. We see that FCB grid covers more or less all product categories and provides us important insights in terms of how we should communicate with consumers for specific product types, and taking into consideration the way consumers process information for those products. In the next lecture we will learn about how we decide on marketing communications budget. [MUSIC]