PREFACE

The research report entitled, “A Study on Experiential Marketing.” was really a great

interest to do. I really enjoyed working on it. Also, the topic was so interesting that it aroused

my interest to do more and more work regarding it. The first real insight of an organization

for management student comes only during her preparation of project work because student

first interacts with real particle work. This is first introduction to industry and its working.

This project work synthesize the theoretical concept learn in the class room and its particle

orientation in organization.

Research report are backbone of any management education program. The tool that I learn in

class room, we apply this tool in project work. I have seen the same problem which was

taught by our respectful teacher. A management master should frequently do research work

during this entire course plan.

This research report is divided in five chapters and each chapter has its own importance.

Together they show the entire picture of “A Study on Experiential Marketing.”

The first chapter deals with the introduction topic, which describe the introduction about the

industry. The objective, scope and importance of research are also mentioned in section of

project work.

The second chapter deals with research methodology. The process of carrying out the whole

research problem is defined in it. It contains information about the objective of the research,

method of data collection, sampling and sample design.

Third chapter is on data analysis and interpretation. This is most important section of the

project work. This section contains the analysis of all the data collection so far and they are

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interpreted to produce the final conclusion. It contains all the tables and charts which depict

the result.

Chapter four contains the finding and recommendation of the research. This is based on the

data analyzed and interpreted in the previous chapter. This is the most important section of

the research report is evaluated on the validity and correctness of findings.

Chapter five depict conclusion which concludes the report, that is, gives a brief description of

the process employed so far. And later chapter contain bibliography. Which describes the lies

of sources from where the matter and information is collected? It contains the list of book,

author, web sites use etc.

Jayant Sharma
M.B.A.4th Semester

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 ACKNOWLEDGEMENT

I sincerely express my deep sense of gratitude to Mrs .Fati Shafaat, Assistant professor,

Department of Business Administration, TERI, Ghazipur, for his extraordinary cooperation,

invaluable guidance and supervision. This report is the result of his painstaking and generous

attitude.

I would like to thank the head of Department Dr. Neetu Singh, who gives me chance to

work on this topic and valuable suggestion and useful comment throughout this research

work. I owe and respectfully offer my thanks to noble parents for their constant moral support

and mellifluous affection which helped me to achieve success in every sphere of life and

without their kind devotion this would have been a sheer dream.

I am also thankful to friends for their constructive discussion, perseverance and

encouragement during this research work.

I sincerely acknowledge the effort of all those who have directly or indirectly helped me in

completing my thesis successfully. It is the kindness of this acknowledged person that this

thesis sees the light of the day.

I submit this report of mine with great humility and most regard.

Jayant Sharma
MBA 4th Semester
Department of Business Administration
Technical Education & Research Institute
P.G. College, Ghazipur

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 INTRODUCTION

Concept of Experiential Marketing

Nowadays many companies has realized that experiential marketing is good for advertising a

brand with the view that customers wants to be enthused, entertained, educated and

challenged by the product they purchase (Schmitt, 2013). Businesses have also acquired new

assets, new tools, and new information to expand and advance in experiential marketing

activities. similarly, information which has been created by revolution has also provided

opportunities for organization to expand and advance in experiential marketing (Schmitt,

2013) in this digital world, smart companies are discovering a new way of marketing which is

the experiential marketing that connect customers to real experience, Unlike traditional

marketing that based on only the customers impression of the brand.

Many authors has define experimental marketing and according to Lawler (2013) states that

experiential marketing is about engaging customers and making them feel connected with the

brand, which helps customers to feel the brand value. Experiences are seen to be the main

concept in marketing of brand today and act as a component in understanding consumer

behaviour and marketing management that serve as a basis for the whole economy (Pine and

Gilmore, 1999) However, experiential marketing can be defined as a new method by which

goals of marketing are looked at. Schultz et al (2009) proposed that experiential marketing is

seen as a live event marketing experience whereby opportunities are provided for consumer

to interact with the brand face to face (Schultz, 2009) in this regards, many organizations

have embraced experiential marketing methods to produce new varieties of products to

communicate with their customers, improve customer relationship, select and maintain good

relationship with business partners. The importance of experiential marketing method is that

it helps and gives customers opportunities of becoming active participants in a marketing

effort. Similarly, Lawler (2013) maintained that companies that adopt the idea of using

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experiential marketing do not only gets more genuine connection between consumers and the

brand, But also ripe return on investment. Therefore, investing in experiential marketing

where customers can genuinely experience product or services is better and important

because it provides more impact and effect on consumers rather than exposure which

traditional media/ communication do. However, the objective of this report work is to

examine and analysis the extent of which experiential marketing can be used as a tool to build

brand, transform customer experience and grow business, reviewing theoretical basis and

literature about experiential marketing in order to understand experiential marketing through

the use of experiential marketing case study examples.

The report work is also divided into three themes, the first theme analyse the importance of

experiential marketing and various strategies marketer’s and organizations could implement

to spend quality time with their target customers at the lowest price. In order to achieve real

time engagement with the brand that could trigger their action and lead to purchase. The

second theme examines the roles experiential marketing plays in product branding laying

more emphasis on brand reputation, brand equity, customers and employees relationship. The

second theme also analyses the way customers get engaged through two –way-

communications which help to create everlasting emotional connection between customers

and the brand. While the third theme which is the final theme examines the difference

between experiential marketing and mass media, as well as the effectiveness and benefit of

experiential marketing as a new tool for fast moving consumer goods (FMGC) and lastly, a

conclusion and suggested recommendations was made for an effective and efficient

implementation of experiential marketing activities as a marketing tool to engage and connect

to consumers in order to grow business and increase sales.

In today’s economy, many organizations are beginning to create experiences around their

offerings to better sell their products. There is need to adopt to customer experience

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management (CEM- Total Quality Management) strategies in which emotions, feelings,

thoughts, passion and experience plays the roles in the brands- relationship of the customers.

(Cantone and Risitano, 2011) The attention given to experience can be seen as a huge trend

and has presented the idea that experiences plays the role as an individual sources of

information for the stories people tell about their personal life, which is important for self-

perception. This however indicates the important of people’s satisfaction with their

experience with a product. (Mehmetoglu, &Engen, 2011) However, according to Pine and

Gilmore first, Schmitt (1999) describe experiential marketing as a process by which

experience is created for customers. Smilansky (2009) maintained that experiential marketing

is a method by which customer’s needs are identified and satisfied, connecting and engaging

them in a two way communication which eventually creates brand personalities to life and

provide a significant value to the target customers. Hauser (2011) have a similar idea about

experiential marketing with that of Smilansky (2009) which states that experiential marketing

is an authentic experience the customer have with the brand, products or services which

increases sales through brand image and awareness.

In addition, International experiential marketing association (IEMA) states that experiential

marketing provide opportunities for customers to engage and interact face to face with

brands, products and services in a physical way. On the other hand, Snakers and Zajdman

(2010) sees experiential marketing as an innovative way customers are made to live in the

brand through their emotional experience. Thus, experiential marketing has the potential and

the ability of creating emotions to the customer which leads the customer to enjoy the brand.

Other author like You-Ming (2010) also views experiential marketing as marketing strategies

where customers are interacted through face to face communication that help increase

customer’s physical and emotional stimulus, thereby making customers feel enthusiastic.

Yuan and Wu, (2008) describe experiential marketing is a marketing strategy which is design

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for customers experience in a physical environment. However, in a book called

“Understanding Experience Marketing: Conceptual Insights and Differences from

Experiential Marketing” written by Siiri (2001) Same added that experiential marketing is

more general and tend to understand the general world of customer experiences, helping

brands to enhance communication with customers to create relationships that will result to

customer loyalty, co- creation of value and the development for the brand.

The concept of Gilmore and Pine (1999) model of experience economy further our

understanding about experience market, which is of the perception that experience economy

is the final stage of economic progress. And Experience occurs when a company utilize

services as the stage and goods as props to get customers engaged in a memorable way.

However, with these definitions and ideas of experiential marketing, most authors have

similar view about experiential marketing; and with this, one could say that experiential

marketing is all about feelings, emotions and senses.

There is a crest of revolution taking place in marketing. Each interaction is being asserted to

be more meaningful, personal and engaging. This movement, known as “experiential

marketing,” is being adopted everywhere.

Experiential marketing, sometimes called "engagement marketing," "event marketing",

"participation marketing," or "live marketing" is a marketing strategy that engages consumers

directly and invites and encourages them to participate in the development of a brand. Instead

of looking at customers as inactive message receivers, experiential marketers believe that

customers should be actively engaged in the production and co-formulation of marketing

plans and cultivating a relation with the brand. To empower this marketing revolution, there

is a revived focus on technologies and events that help in delivering brand experiences which

are highly interactive.

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Irrespective of a company selling 100 or 1,000 merchandise, employing sales personnel of 10

or 1, 00,000-all producers and their means need to apparently communicate crucial

differentiators briefly and persistently, throughout the process of sales. As technologies

become more cosmopolitan,

so do consumer insists for interactive or bilateral experiences. Not long ago, consumers were

fascinated by any interaction-like a website showing a color changing product. However, now

days, customers anticipate to collaborate with products in such a way as to reveal their

features, advantages and behavior. In constructing an emotional bridge between a product and

a customer, interactivity is a key ingredient.

Non-interactive marketing alternatives restrict consumers to a “listening” mode; even if the

display has some glamour, the opportunity for a customized and personal experience is lost.

Without any emotional connection, one gadget looks as good as the other. Thus, it is rightly

said that, those producers and channels that exploit on everything offered by interactivity,

build experiences creating brand loyalty. They whole-heartedly employ the experiential

marketing.

The three dominant themes of experiential marketing are sensory experience, relationship,

and interaction. Companies looking for employing fruitful experiential marketing must

supply information in a manner that does not flood; build an absolutely interactive

experience; deliver constant product information across all the channels of sales; and tap into

those sensitive attributes that drive the consumers’ decision-making.

Throughout the consumer experience, these features must be present. In an environment of

retail, this could include background music, lighting, paint color, window displays, and much

more. However, something extra is needed to set the product or brand aside-the individual

consumer experience.

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When people participate in the process of sales, they become more engaged, and their rate of

retention of essential product information dramatically increases. This in turn, increases the

probability of a consumer being adapted to make a learned purchase decision dramatically.

The advanced technologies of present era provide such an interaction level that surpasses

what many anticipate. Customers can “virtually” examine products in a 3-D environment,

with the ability to measure, zoom, rotate, and most notably interact with the features and

options of the product. By allowing consumers to choose and review the products and their

features based on the own preferences and interests of the consumers, the experience

becomes interactive and consumer focused.

Definition

Experiential marketing is based on the entire experience a consumer has with a product or

service. Whereas traditional marketing sells by pointing out benefits and features,

experiential marketing focuses on allowing the consumer to try the service or product for

himself. Experiential marketers control the environment in which this happens to some

degree, but they want the consumer to make his own judgments about the product or service.

Rationale and Goal

The rationale behind experiential marketing is that consumers, regardless of what they've

heard about a product or service, ultimately keep buying based on how they personally

interact with whatever the company offers -- that is, it is the experiences of the consumer that

result in brand loyalty. The goal of experiential marketing thus is to appeal both to the

rational and emotional sides people have so the consumer has a product or service experience

that is truly memorable.

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Features

Because experiential marketing is based on the experience consumers have, its main feature

is that it engages multiple senses at the same time. For instance, if selling coffee, the marketer

would draw the consumer's attention not only to the taste of the beverage but to the w

uay it looks and smells, its warmth and the pleasurable rush from the caffeine. Another

feature is that it draws on the logic or sensory information the consumer has acquired or

received previously. For example, in addition to pointing out the current taste, smell, warmth

and rush from a cup of coffee, an experiential marketer also would help the consumer

remember the past benefits received from being alert because of the caffeine and the

happiness felt from enjoying a cup of coffee with family or friends.

Benefits

Because experiential marketing appeals to consumers on multiple levels, it can focus a

consumer on a product or service quickly. Therefore, it is useful for current environments and

social environments in which people demonstrate a shorter span of attention. If it is

successful, the customers who respond end up being loyal to the company, which means the

business has fairly stable revenue and profit and that customers will refer others.

Drawbacks

Experiential marketing is intended to engage as many senses and rationalization processes as

possible. However, in reality, it is difficult to do this. For instance, a written coffee ad can

show a person sipping coffee enjoying himself and include text about the flavor and aroma,

but the consumer cannot actually taste and smell the coffee to see if he likes it. This means

much of experiential marketing has to be hands-on and include one-on-one interaction, which

dramatically reduces the number of people a marketer can reach at any given time. For

instance, a marketer could hold a demonstration for a large group of 100 individuals, but a

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traditional TV ad could reach millions of viewers. It can cost a significant amount to use

experiential marketing, as well, because the company has to provide samples or service hours

free so the consumer can test what the company offers. Companies need to pay the people

who do every demonstration.

History and Development:

As B. Joseph Pine II and James H. state in their book, The Experience Economy, the number

of goods and services has increased making the industry as a whole increasingly competitive

and crowded. They illustrate that brands must begin to provide consumers with memorable

events and engagements that allow the brand to stand out from the clutter of their

competitors. Livy Alvey, in Relationship Marketing, explains further that brands facing

identical competitor products can create brand loyalty by focusing on the emotional

connection.

Difference Between Activation Marketing & Experiential Marketing

A business brand is an identity, a marker that sets business products and services apart and is

easily identified through logos, messages, colors and treatment of customers. Brand

activation is one of the common techniques of brand management. It is closely related to

experiential marketing, but brand activation uses experiential marketing for slightly different

purposes than marketing strategies that are made only with experiential schemes.

Brand Activation

Brand activation refers to generating consumer interest by allowing consumers to use a

product or experience a service. In this way, the brand's value is "activated," or realized by

the consumer, who then connects the value given with the brand and walks away with a

strong impression. With enough brand activation work, a core of consumers will have a

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strong, favorable opinion about the business because of personal interaction and will spread

this opinion among others.

Examples

The key in brand activation is to show customers that promises made in advertising are true.

Sometimes this is easy; a business that is selling a massage chair can set up the chair so that

customers can use it and find out how well it works. Other activation schemes are more

involved. A company that sells razors can offer free shaves to customers to prove how well

the razors work compared to the shaver the customer currently is using.

Examples

Volkswagen attempted experiential marketing when it created a website designed to show

viewers what night driving was like and how Volkswagen systems made it safer. Other

companies allowed customers to use perfumes, electronic devices and other products, not

necessarily to prove marketing claims but to attract customers and give them more

information in an activity they will remember.

Difference Between Traditional Marketing & Experiential Marketing

Marketing isn't as simple as putting out a bunch of ads for your small business. Marketing

plans require multiple tiers and approaches to achieve maximum effectiveness and to attract

the most customers. Traditional and experiential marketing are two different schools of

marketing thought; both are effective and can be used in conjunction with each other.

Traditional Marketing

Traditional marketing comprises those advertisements and promotions typically associated

with marketing. Billboards, flyers, and television commercials are all examples of traditional

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marketing. These methods are effective in getting your name and your mission to the public,

but attaining a personal touch is difficult through traditional marketing.

Experiential Marketing

As the name suggests, experiential marketing focuses on the experiences and the emotions of

the customer. Experiential marketing allows customers to take ownership of a product's

marketing because they have an emotional investment in that product. Demonstrations and

taste tests are common examples of experiential marketing; they draw customers to the

product, give them a reason to remember the product and, hopefully, customers will give a

good recommendation to their friends.

Traditional Vs. Experiential

The difference between traditional and experiential marketing may be considered a battle of

old versus new philosophies, which is both true and untrue. Companies have used both

traditional and experiential marketing for decades and will continue to do so in the future.

However, as companies attempt to keep their costs down, experiential marketing is a more

viable option. Instead of paying for a newspaper ad that is only useful for one day, a company

can spend that same money to reach a group of customers that can market the product on the

company's behalf.

Traditional and Experiential Marketing Online

A good way for a small business to increase its profile is to use the Internet for both

traditional and experiential marketing. Companies can do traditional marketing via e-mail

mailing lists and banner ads while taking advantage of social media for experiential

marketing. Using Facebook and Twitter can help people to get involved with your company

and feel like they're a part of your growing business. Furthermore, using social media is much

cheaper than paying for traditional marketing conventions, allowing greater reach at a

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discounted price. However, experiential marketing through social media requires that you

relinquish some control over your message, which conflicts with the tenets of traditional

media, so factor this in as you consider your social media marketing endeavors.

Marketing Strategies that go into Experiential Marketing:

Brands utilize a variety of marketing strategies in order to achieve this emotional connection

with their consumers. When it comes to which marketing strategies to use, it depends more

on how they are used, the target demographic of the product, and the emotion that the brand

wants to associate with itself.

On July 10th, Adidas organized the “D Rose Jump Store” in London to promote Derrick

Rose’s signature Adidas sneakers. Although the concept was simple (use Derrick Rose’s

presence to create buzz among fans), Adidas took it to another level by adding depth to their

activation. In addition to meeting the famous Chicago Bulls point guard, fans had the

opportunity to win a free pair of the signature sneaker if they could jump 10 feet to reach

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them. By having participants jump the same distance needed to reach a regulation basketball

hoop, it gave each consumer perspective into the basketball player’s life. Whether

participants walked away empty handed or with a new $100 set of shoes, they all had an

experience that they will always remember and associate with Adidas.

For some brands, a custom made store that is only open for one day is unnecessary to

experience their product. Landshark Lager is confident that in the right setting, there is

nothing better than their American lager. So on October 7th, the brewery targeted popular

pools in the Las Vegas area and provided free samples of their beer. Landshark capitalized on

the refreshing feeling of going to the pool on a warm day to communicate that their beers can

be just as refreshing. Landshark was able to create an experience for their consumers with a

relatively inexpensive and straightforward distribution strategy.

When Brands Use Experiential Marketing

Brands most often use experiential marketing either to enhance and complement a traditional

advertising campaign or to stand out at a popular event or conference. However, as honest

internet virality gains more and more influence, many brands have begun executing

experiential marketing campaigns that exist on their own.

To bolster a television spot that AdWeek described as “mediocre”, Coca-Cola organized an

experiential marketing activation in which consumers take on the role of a Double O agent

and sprint through a train station. After purchasing a Coke Zero, the vending machine

challenged drinkers to reach another section of the train station, weaving through pre-planned

obstacles, in order to receive free tickets to the newest Bond film, Skyfall. In addition to

giving each participant a Bond-like experience they will never forget, an edited taping of

those participants went viral (currently sporting over ten million views).

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A more endearing example of experiential marketing, and one that illustrates a campaign that

stands on its own, is one recently activated by Milka. The chocolate brand made the effort to

manufacture 10 million bars that were missing one piece. Puzzled chocolate eaters then

learned that the one piece had been set aside for them to choose whether they would want it

mailed back to them or mailed, with a personalized message, to a friend or loved one. This

campaign helps the brand not only form an emotional connection with its consumer, but also

to whomever the consumers decides to send the single piece of chocolate to.

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Role of Experiential Marketing in Competitive Marketing Strategy

The principle of competitive plan is to achieve a sustainable competitive advantage and

thereby improve business performance. One of the main goals of marketing strategy is to

improve the firm’s long-term financial performance. Therefore, the competitive marketing

strategy helps in improving the firm’s financial performance by the way of Sustainable

Competitive Advantages (SCA).

For a resource to become a source of SCA, there are four essential requirements. It must be

valuable, imperfectly imitable, exceptional among competitors and for this resource skill

there must not be any parallel substitutes. These sources result in positional competitive gain

i.e., differentiation of the product and its low cost, which in turn leads to greater long-term

market and financial performance. Creating competitive marketing strategies also involves,

understanding relationships between the marketing mix elements as well as finding out the

impact of competitive and market surroundings on marketing mix formulation. In relation to

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this, a model has stated the relationship between prices, promotion expenditures and product

quality levels and to review how industry structure impacts the formulation of marketing mix.

Here comes the role of experiential marketing. Experiential marketing serves as intermediary

for the sustenance of positional gains and influences the stimulus of market and competitive

conditions on the formation of the marketing mix. A crucial element of firm’s marketing

strategy is firm’s relationships with customers, competitors and with channel members.

Events and Activities Promoting Experiential Marketing

Experiential marketing employs a large number of events and activities. However, Tie-ins

with sports events are among the most popular and effective types of experiential marketing.

The following are some examples:

In conjunction with the AST Dew Tour, sponsors developed the House of Dew as an

anchor for a sponsor village that includes everything from the world’s largest plasma TV

screen to fortune tellers and tattoo parlors, all brand-backed. Sponsoring marketers include

PlayStation, Slim Jim, Toyota, Vans, and Verizon Wireless, among others.

Miller Lite has installed party decks at Chicago land Raceway, Homestead-Miami

Speedway, M&T Bank Stadium in Baltimore, and several other sports venues. The party

decks give Miller Lite a permanent branded entertainment area.

Local social events are another form of experiential marketing. The following are some

examples:

•Borders book stores has offered a wide range of free events, including fitness and recreation

clinics, seminars on diet options, singles nights, wellness fairs, and yoga classes.

Cabela’s offers classes on “trout tactics” and gun cleaning at its destination stores, all of

which feature stuffed game, artificial trout streams, and restaurants.

Twice a week 30 or more people gather at the Nike store in Portland, Ore., and go for an

evening run. Afterward the members of the Niketown Running Club socialize in the store

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over refreshments. Nike’s staff keeps track of performances, hailing members who have

logged more than 100 miles.

REI offers training in kayaking and mountain biking through its stores as well as travel

tours.

At the Whole Foods supermarket in Seattle, shoppers take part in a singles night the first

Friday of every month. The store’s marketing staff organizes a wine tasting with snacks.

Participants can opt to wear a red or blue ribbon to indicate whether they are looking for a

male or a female partner.

Parties are another popular experiential marketing tool. The following are some examples:

To support its new Hershey’s Bliss chocolate line, The Hershey Company hosted themed

house parties. Produced by marketing services House Party, Hershey staged 10,200 House of

Bliss parties over the April 25, 2008, weekend. At each event, hosts invited friends and

family to share personal stories of bliss while sampling Hershey’s Bliss products. More than

129,000 people attended the parties, about which there were more than 15,000 blog entries

Sparks which is a caffeinated malt liquor drink produced by Miller Brewing Company,

sponsored for about 300 guests a pool party at a midtown Manhattan hotel.

Benefits of Experiential Marketing

Experiential marketing engages consumers and encourages them to engage in the

development of a brand. Consumer engagement is the definitive point in which a consumer

and a brand link up in order to offer a real experience which is related to the core values of

the brand. It is a long term network that needs to be improved over time.

Firstly, experiential marketing is a tremendous stance for bringing a brand personality to life.

When a consumer is engaged with the brand he has an impressive understanding of intricate

brand values and will affiliate the product with that personality, also he would connect with

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the lifestyle and aspiration aims of the consumer resulting in strengthening the relationship

and genuine connection between the consumer and the brand.

Secondly, it helps in creating brand advocacy as experiential marketing focuses on increasing

customer loyalty and strengthen brand relationships through personal recommendations that

are the result of consumers sentiments and emotions that the brand experience supplemented

value and associated with them through pertinent interaction.

Thirdly, there are few products in the market that have to compete in the drenched sector,

where differentiating between such product features is sometimes a difficult task .In such a

situation by creating a brand experience, it helps to form an emotional bond with its target

consumers, and these consumers are more expected to develop brand loyalty to that product,

allowing the business to have a stable market share and avoid relying on sales promotions.

MODEL/ THEORIES OF EXPERIENTIAL MARKETING

Individual experience make people get connected and committed to a brand to make purchase

decisions. The relationship and communication between the company, brand, service and the

customer is an important experience and a form of the customer’s life situation (Clow and

Baack 2007). Experience can lead to changes in attitude and behaviour, which comprises of

three different types of components this includes cognitive, affective and conative. In a

simpler term, these three components consist of mental images, understanding, as well as

object or person interpretation (Affective) individual positive feelings towards the brand

(Cognitive) and the individual action taken toward the brand (Conative) (Clow and Baack

2007). An effective marketing communications has an impact in consumer’s behaviour and

their decision making, which could be pinpointed using Lippmann and Same (2011) theory of

Pyramid, which proposed that individual experience can be a pathway to personal change and

attitude (Tarssanen and Kylänen, 2007) Thus, a good consumer experience can help to

develop strong relationship and commitment that will ensure the brand long time growth.

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However, Schmitt (1999) also proposed five stages of experiential marketing strategy, called

“Sense” the strategy/model emphasis on five senses which comprises of vision, hearing,

smelling, taste and touch (Schmitt, 1999) Schmitt aim of this approach is to create experience

for customers. The benefit of sense marketing strategy creates the perception of sense

experience and help customers to differentiate one brand from another, inspiring customers’

sense experiences and providing values to customers. However, the most important

component of appealing to customer’s attitude, association and response is through a visual

identity of a brand which is known as “Sensation transfer” according to Cheskin (1972)

Sensory experience appeal to customer and pushes them to choose a brand. In this regards,

there should be a continuous positive impression about a brand, and to do this. there are five

experience or strategic experiential modules (SEMs) that could be implemented for

customers, these strategic modules includes; Sense, feel, Think, Act and Relate and are

implemented through communication, visual and verb, electronic media etc. (Schmitt, 1999)

in addtion, The SEMs are framework that could be used by marketers to provide customers

experience. And they are briefly explained below;

• Sense: This marketing strategy comprises of sensory experience.

• Feel: This is the implementation of attachment of feeling to the brand. Positive or negative

feeling tend to affect the consumed product or services.

• Think: This type of strategy is used to arouse customer’s creative thinking about a product

or brand. Its aim is to inspire customers to involve in elaborative and innovative thinking that

could lead to re assessment of a company’s products and service.

• ACT: this type of strategy is created for customer’s experience that is associated with

physical body, behaviour, lifestyles and communication between people(Schmitt, 1999)

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• RELATE: Relate strategy occur as a result of relationship with different people or culture.

Relate marketing involves sense, feel, think and act marketing. It evades individual

personalities, personal emotions and experiences which connect people, emotions and

personal experience or culture. But it only demands self-improvement which is the reason

why implementation of the five marketing strategies modules need experience provider

(ExPros) which includes communication, Visual and Verbal identity, electronic media

(Schmitt ,1999).

AIDA Model

In 1906, Elmo Lewis proposed a model called AIDA which stands for Awareness, Interest,

Desire and Action. The model relies on the fact that marketing works on consumers and take

them to hierarchy beginning with awareness, interest, desire and action (Gharibi et al, 2012)

in summary, Awareness means creating awareness to the customers for a product to be

known. Interest is about demonstrating or showing benefit of the product in order to arouse

consumer’s interest. While Desire is the process where customers are convince that the

product they desire will satisfy their personal needs. And Action; is made based on the other

three stages which lead customers towards buying the products. (Gharibi et al, 2012)

However, this model is constructed on a strategy that brings people to communicate and

interact with the brand and make customer to make purchase decision. In This model, there is

need to interact with many customers to convince them to change their mind by creating real

opportunity to actually interact with the brand (experiential marketing) which could create a

positive experience of the brand. However, it is also important to use a form of experiential

communication or event to create excitement, innovation and creativity about a product.

Source: Lewis (1906)

Two ways Communication Theory

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The idea of one to one marketing has changed the way companies communicate with

customers. For many years, companies have known the value and importance of

communication (Radhaswamy& Zia, 2011) communication theory recognizes social

interaction and relationship. The focus of two way communication is important because

customers want to interact and engage with the brand. Customers experience need to go far

one marketing or messaging. and instead of taking consumers as a passive receiver,

consumers should be enthusiastically involved and get them connected to the brand through

the use of two way communication process instead of one way communication process which

is not a good form of engagement for consumers to interact with a product.

Advantages of experiential marketing as a long term investment

The increase of experiential marketing in the last year (Pine and Gilmore, 1999; Schmitt,

1999, 2003) has made the concept of experience a recognized topic for marketing researchers

(Caru and Cova, 2008) experiential marketing has become the basis of many improvement in

retail, branding and event marketing. thus it is necessary to understand the consumers

experience which has become the main goal of marketers today especially with the increase

of experiential marketing methods that is design to capture customers attention to make them

take positive action (Caru and Cova, 2008) The purpose of experiential marketing is to make

people have positive and real experience of the product that will make them have a good

experience they could remember than a TV advert. For example, consumers will likely to

purchase products or talk about it if they have associated with the brand. For example, having

a sample of a product or attending a fun event sponsored by a brand. People are likely to talk

about the products to their friends and the products gains a positive word of mouth (Beaver,

2010)

In addition Afuwale (2014) maintained that experiential marketing attracts consumer’s

emotional cords and help them raise awareness and loyalty towards a product. It also helps

23
company to save more money on their marketing activities. Experiential marketing engage

consumers face to face with the brand, which could be done through exhibitions, free

products samples, in- store activities, road shows and other form of activities that engages

consumers. (Afuwale, 2014) Unlike in the days of print and electronic advert where

companies or marketers show or tell consumers the features and benefits of their products

which are seen as a one way communication process. Although, traditional marketing still

create brand awareness but experiential marketing make companies genuinely create their

consumers experience (Afuwale , 2014) Again, traditional marketing see consumers as a

cogent decision marker that is only interested in features and benefits of the products, but

experiential marketing look at consumers as an emotional beings who need a genuine

experience and something exceptional. (Afuwale, 2014)

However, the introduction of new products into the market with different unique benefits and

features makes it difficult for brands to gain customer’s loyalty. (Dowling and Uncles, 1997)

This however increases the cost of advertisement to win customer. Experiential marketing

make it easier for consumers to differentiate a product from another through their personal

experience and help companies create brand awareness and help the product stand out among

its competitors. Experiential marketing is cost effective in the sense that it helps companies to

reduce the cost of spending in advertisement, positioning the product to consumer’s to

experience the product. It also help and provide companies with good learning experience as

it give them the opportunity to speak , communicate and interact with the customers face to

face in order to know their expectations and the level of their satisfaction from the product

(Beard, 2013). Schmitt (1999) also stated that experiential marketing create new thoughts and

enhance people’s lives and make them happy. When companies needs its consumers to live in

the brand and touch it with all five sense, there is need to create experiential marketing

strategies that provide a unique experience that could lead to a memorable and emotional

24
connection between customers and the brand. Schmitt (1999) further suggests that companies

should provide right experience from product packaging to point-of-sale and all

communications must genuinely motivate customers so as to create happy customers.

(Afuwale, 2014) Therefore, if companies invest in good experiential/ engagement marketing

and create the right, unique and memorable experience for its customers, it will create

customers loyalty and repeat purchase thereby gaining a long term benefit of return on

investment.

Experiential Marketing As An Important Tool And Influence On Consumer Purchasing

Behavior

Recently, the increase in building and maintaining customers experience has been a thing of

interest to many researcher and marketing practitioners. Companies are moving away from

quality prices to “memorable experience” for developing an emotional connection with

consumers. A unique product experience creates a memorable customer experience where

emotion plays “a significant impact on organization performance in terms of customer

satisfaction, retention and loyalty”. (Kotler and Koller, 2011). Consumer buying behaviour is

seen as inseparable part of marketing; it is a process of studying the way of buying and

positioning goods, services, and ideas which is done by consumers to satisfy their desire.

(Kotler and Keller, 2011) Solomon, et al. (2006) states that consumer behaviour is the

process of studying, buying and dispose of products, ideas or experience of consumers in

order to satisfy their needs and wants. Similarly, Schiffman and Kanuk (2007) sees

consumer’s behaviour as an attitude consumer’s display in searching or buying products or

services that is supposed to satisfy consumer’s desire. Similarly, consumers buying decision

making behaviour is viewed as the process of motivating consumers so as to influence their

purchase decision.

Pine and Gilmore (1999) maintained that the development of economy has created a new way

25
of experience, which becomes a threat and a great challenge to traditional marketing

strategies that rely on brand sales and services offerings. However, the use of experiential

marketing as a communication method is growing fast and companies believe it can provide

them competitive advantages compare to that of traditional marketing/communication.

Schiffman and Kanuk (2007,) Zinkhan (1992) added that the choices of consumers depend on

the predicated outcomes of their decisions. This is the fact that consumers buying behaviour

is heavily influenced on their personal experience and from opinion of others (e.g. friends and

family) Therefore, it is necessary to improve consumer’s relationship with the brand

especially in a high FMCs competitive market arena. Companies must try to create a unique

and a memorable experience that will appeal to consumers both physically and

psychologically (Pine and Gilmore, 1999) using the following methods; Sponsorship, Brand

communities, Product placement, Events, Brand scape. (Bollen and Emes ,2008) these

methods assist in changing the mind and perception of consumers about a brand in a positive

way, which may even lead to a positive word of mouth and motivate purchasing behaviour to

create customer loyalty. However, a positive word of mouth can create a different

competitive advantage which is more effective in converting a negative attitude into positive

attitudes when it is compare to that of traditional communication. (Liba et al, 2009) This

means that brands are not only seen as selling the product, but sharing information in a more

useful way.

Furthermore, Siu, et al (2013) maintained that the use of experiential marketing methods

creates experience and emotional bond and also serves as a purpose of enhancing consumer’s

relationship with the brand. consumers are exposed to the product by giving them opportunity

to try new products, which make it easier for them to choose the product they want (Gentil et

al, 2007) the opportunity of exposing consumers to test or first try a product help customers

to avoid going through the five steps of consumer decision making process which includes

26
Need recognition, information search, evaluation of alternative, purchase decision and

purchase evaluation. (Karaatli, Jun, &Suntornpithug, 2010).

In addition, many researchers have also discovered that experience is an essential factor on

consumer’s present lives. (Carú; Cova, 2003) Therefore, consumers want to be motivated,

entertained, educated and challenged by brands that can become part of their life. Making

consumers feel emotional connected with the brand which could be done through experiential

marketing by providing them with the opportunity to engage with the brand in a genuine way,

will help achieve the goal of experiential marketing campaign (Carú and Cova, 2003). The

goal of activities of experimental marketing is to create buzz and attract customers to engage

in a shopping experience in other to motivate them and make them change their behaviour

(Masterman and Wood, 2008) However, Companies that engage its consumers in experience

alone without thinking of the impact these experience will create on participants and creating

the experiences without a desirable and memorable way to create change will not yield the

predicated return on investment (Pine and Gilmore, 1999).Therefore, companies must make

good effort to manage the emotional factor of the customers focusing on customer’s services

aspect which can create a fun and pleasant shopping experience, serving as a very important

elements that ensure customers decision to make a choice or repeat purchase (Pine and

Gilmore, 1999).

The Roles Experiential Marketing Plays in Product Branding

As stated above, Brands has successfully used experiential marketing in the past year to get

connected to their customers to drive sales and profit, appealing to a variety of sense. (Brakus

et al, 2009) The aim of experiential marketing is to create the connection in a way that

consumers will respond to the offering of the products based on emotional and rational

stages. However, brands are all about reputations which are the thinking, hearing and feeling

of a brand. Organizations care about what people say about their products or services or the

27
way they rate a brand, this gives customers the opportunity to access the information and

people’s experience about the brand before they could make discussion. In addition,

experiential marketing is a recognized way of driving brand value, an accomplishment which

is made to change perception and convert consumers to purchase (Wood, 2009) However,

Company can comprehend this value by gathering consumer’s details, contact them and track

their behavioural change. This could help brands understand their customers better. (Wood,

2009) in addition it is also important to bear in mind that when incorporating experiential

activity with an extensive marketing plan , there is need to ensure that every channels plays

an effective roles in motivating consumers to take buying decision. LaMotte, (2012) states

that experiential marketing is a high and important channel that focuses on getting the right

customers in the appropriate way and it should be the forefront of any companies ‘creative

idea. Because it’s strongly resonates customers more, helping them enjoy the experiences it

offers. LaMotte (2012) further maintains that the delivering value of experiential marketing

and its return of investment for brands together with the work of warriors and brand

ambassadors will ensure companies that people who know about the brand are representing

the companies. This help companies to have confident that experiential marketing serve as an

effective tool for marketing their products or services.

Connecting Employees To Customers To Build Employer Brand Equity

Employees being at the heart of the consumers brand marketing can have an optimistic

impact on the organizational culture. (Haqparwar, 2012) Companies need to consider the way

they build equity, through involving employees in consumer marketing activities to educate

people about the products, in order to bring the products to life. However, employees and

consumers having knowledge about the brand is important because according to Keller

(1998) maintained that brand knowledge comprises of a brand node in the memory with a

variety of connotation connected to it. The way these brands nodes are structured in ones’

28
memory has an important impact in the way individual recalls information about a brand-

products and services, which eventually influence their consumption habits, as well their

brand decision making. However, when Keller (1993, 1998) relates brand knowledge to the

consumers, it is equally important to employees.

The ability of employees to deliver the brand promise is brand knowledge, employees are

seen as an element of the brand when they communicate and interact with customers.

However, many researchers focus this as a Touch points” (DuBois et al, 2014) which is the

key to developing a strong brand. Customer experiences brands in many ways among them is

through employees or sales representatives, this touch points gives the customer impression

about the brand, (Glatstein, 2014) which is seen to be the driving force or the basic for

creating brand equality. On a general note, Touch points is the interaction or communication

between a brand and its customers, employees, stakeholders etc. (Davis & Longoria, 2003;

Jenkinson, 2007) Companies have started to understand that in order to deliver an excellent

customer experience, they must create engaging employees experience. The principle of a

highly unique customer service experience lies in the emotional connection made with the

customers. However, a research found out that companies that create emotional and

functional bond with its customers will have higher retention ratio compare to their

competitors. (Akter, 2011).

Comparing Experiential Marketing versus Mass Media Marketing

Nowadays, consumers need products “interaction and marketing campaigns that reflect their

senses, touch their hearts and stimulate their minds” (Lenderman, 2006 p. 19) Experiential

marketing and Mass media marketing are still seen as effective marketing techniques that get

companies name and mission to the public. Lenderman (2006) further suggests that

experiential marketing campaigns should create an important value to consumers. However,

in comparing experiential marketing and Mass media., Icon, (2011) states that experiential

29
marketing targets at customers using reliable voices and sensual experiences which shows to

be very important to customers, while Mass media marketing consists of those

advertisements and promotions that are associated with marketing, which includes Billboards,

flyers, and television commercials, radio advert and print advert; (Icon, 2011) mass media

marketing does not focus on customer involvement but continue to send thousands of

messages to them. But experiential marketing has the tendency of getting personally to

consumers focusing on their experiences and examining the situation of their consumption.

(Schmitt, 1999) in experiential marketing, customers are viewed as rational and emotional

individuals and the techniques and tactics used also differs from that of mass media

marketing (Schmitt, 1999) in addition, experiential marketing also focuses on the experience

and the feelings of the customers, allowing customers to take control of a product’s

marketing, because there is an emotional investment in the product, For examples, product

demonstrations and taste test that bring customers closer to the product and give them

genuine reason to remember the brand which could generate to a positive feedback from

customers. Experiential marketing is about creating experience and connecting customers so

that they could understand the brand, and works in a way that it can change consumers view

and buying habit through connecting them in various engaging activities (Healy et al, 2007).

Again, experiential marketing appeals straight to the senses through touch, sound, smell, taste

and sight. Customers have an emotional reaction to the message, which leads to an immediate

purchase (Manenti, 2013). For example, if a company offer an interactive store window

where people can operate the images by moving all parts of it, this will help create an interest

in the images they operate and move them to come into the store to see more interactive

displays the company also offer. Thus, their feeling of having fun with the brand can

transform into purchasing something to remember their experience.

30
However, mass media marketing emphases on functional structures and benefits, as well as

the category of products. Customers are seen as rational decision markers, and the approaches

and tools are logical, qualitative and verba (Schmitt, 1999). The buying decision in traditional

/mass media marketing are different. Information is placed in a traditional advert and

customers are expected to think over what they have been told and make their purchasing

decision. Consumers need to go through thinking process to be convenience by the message.

However, brands can convince customer to make a purchase by putting incentive in the

advert if they buy immediately. In addition, Mass media marketing offers one way

communication processes where customers are expected to read, listen or only view the

message (Paxton, 2010). An example of this is a banner placed on the website, telling people

about new line of products or offerings. While experiential marketing offers two way

communication process, by allowing customers to make use of their sense while interacting

with products and services. Experiential marketing make use of innovative method to

marketing, which consist of two- way interaction (Smilansky, 2009). The two – way

interaction process is a live brand experience that gives customers the opportunity to interact

with the brand, developing a relationship with the brand, thereby inspiring brand loyalty and

creating brand advocacy (Smilansky, 2009)

However, experiential marketing has a high personal level of marketing over traditional

marketing, in the sense that, it is effective in getting customers and maintaining their loyalty.

Also, the opportunities provided by internet are one good reason why this type of marketing

tool has become very effective. Social media such as Facebook, Twitter and YouTube have

contributed successfully, by allowing consumers to share event experiences and participate in

events remotely (Smilansky, 2009).

The Effectiveness and Benefit Of Experiential Marketing As A New Tool For Fast

Moving Consumer Goods. (FMCG)

31
“Tell me and I will forget. Show me and I may remember. Involve me and I will understand”

This was however, stated by Lenderman, (2006) who states that the saying has been meant

for something other than experiential marketing. But cuts to the heart of experiential

marketing which engages people in a remarkable ways. Nowadays, marketing is continuously

changing especially with new definitions and approaches. Consumer’s desire to experience

products or services regarding how they would use the products in their daily activities.

(Gronlund, 2014) However, one could ask weather experiential marketing can be of any

benefit to FMCG, the answer is yes! Experiential marketing is an effective and great platform

for FMCG, which can improve the promotional activities. It is also a wonderful method for

bringing a brand personality to life. It can bring to life the personality of an FMCG brand and

a good way to set apart from competitors. In addition, product trail and brand images usually

bring a direct result of a personal recommendation or word of mouth to a brand, thus Word of

mouth is an effective tool which increases sales more efficiently than mass media advertising

do (Keller and Fay, 2012) it can develop a new brand advocates, and loyal customers are also

rewarded. In addition, through creating brand personality to life, an experiential marketing

delivers refined messages that traditional methods are unable to achieve, and it is also

effective at delivering a complex brand personalities and values, which can link with the

desire lifestyle of customers. The flexibility of experiential means that brands with a

convincing story, personality or advantage can develop a real engagement and connections

with the consumers. The benefit of this is that it strengthens brand relationships, increase

customer loyalty and therefore help to develop a long- term strategic approach in order to

gain and maintain market share.

Kotler (1991) maintained that when there is high degree of customer satisfaction from brands,

it will lead to customer purchase intention, a positive praise from the public, bigger

competitive advantages and a greater market profits. Furthermore, through experiential

32
marketing strategies, if customers genuinely experience products their commitment to truly

buy the exhibited products is commonly increased, therefore, if FMCG sell or market their

products via experiential marketing campaign. It will not only enhance customers to

“understand “products on demonstration, “but also sustains a good value for the products and

provide a good sales performance” (Kotler, 1991, 18-19). Furthermore, Gronlund (2014)

maintained that the communication of emotions like brand trust, comfort and trustworthiness

are very important in creating customer experience. It is more meaningful, memorable and

indeed useful enough to share with people online. Associated with this, “experiential

marketing “is all about developing and motivating sensory communications with the

customer that include feelings, which influences their preference emotionally, shape brand

perception and have an impact in their satisfaction and loyalty (Gronlund, 2014) Therefore,

Experiential marketing is an effective tool and also useful to interact in FMCG markets , it

also differentiate a brand from its competitors because of its in –depth action, memorisation

and formation of an emotional connection between the brand and its consumers which last for

a long time. Furthermore, Elodie (2009) stated that experiential marketing leads more easily

to buying than advertising , although it is crucial to consider it as an efficient and effective

communication tool, but not a replacement to advertising.

The difference between experience and experiential marketing

The formation of experience marketing is a process from a stimulus up to a change in

customer behavior, learning or attitude. Experiences occur in response to some stimulation

(Schmitt 1999a), e.g. marketing mix. The stimulus can be interpersonal (between people)

or intrapersonal (within a person); it can be marketing stimulus (e.g. 4P) or environmental

(e.g. economic, technological, cultural).

33
For its subjectivity experiences depend on the expectations and values of the customer (Tars-

sanen, Kylänen 2007). Experience can involve a perception on which one builds his/her own

state of reality; a reality based on his/her interaction with the environment

A customer creates meaning to all he/she perceives. Experience represents a meaningful

relationship between a person’s perceptional activity and a life situation, and is of particular

significance to the person (Perttula 2007). When the customer experiences something to be

important, this forms his/her life situations consisting of every-thing he/she is in meaningful

relationship (Leppi-man, Same 2011). Experiences are formed out ofthese relationships and

life situations. Fortezza and Pencarelli (2011) call it “packaging moments of life”.

Experiences may result in changes in attitude or behaviour. Customer attitude consists of

three components: cognitive (mental images, understanding, interpretations), affective

(feelings, emotions), and conative (intentions, actions, behaviour). “The most common

sequence that takes place when an attitude forms is cognitive → affective → cognitive”

(Clow, Baack 2007). This sequence can form a meaningful and relevant experience.

Meaningful experience is composed of feelings, knowledge and beliefs (Leppiman, Same

2011). Thus, meaningful experience is broader than particular, which is mainly related to

emotions and feelings, as seen on Figure. A holistic experiential feeling may lead to changes

in personal opinions and attitudes of a customer. Figure highlights that the platform of

experience marketing is strategic and larger than experiential marketing.

Case Study Example 1- Coca Cola Experiential Marketing Initiatives

The progression from traditional marketing to experiential marketing can be best explained

with coca cola and Nestle Company. The coca cola company is among the world’s biggest

beverage company, serving consumers with the word’s top five soft drinks brand, including

Coca cola, Diet coke, Fanta, sprite, Coca-Cola Zero. (www.Coca cola.com) From the world’s

34
largest beverage distribution system, Consumers from different countries consume coca cola

drinks and with regards to this, the company distribute its products using a more sophisticated

technology and any available distribution network to get them across to its suppliers and

consumers. It also supports it brand with a refined marketing activities, which aim to

guarantee that the company products are available to consumers anywhere they need

refreshment .Coca cola company success is based on different factors: which includes its

recognition, brand quality, its sophisticated marketing activities, Global availability and its

continuous innovation.

However, Coca cola Company aim is to build its brands, transform customer experience and

grow their business, therefore, they embarked on a unique experiential activities to deliver a

creative and innovative marketing tactics and techniques using different experiential

marketing campaign to create awareness and deliver a unique memorable and a more positive

beverage consumption experience of the brand in order to enhance the brand image. Its long

time history of diversity is mainly around the idea of sharing and spreading happiness, from

Coca-Cola security camera to the happiness machines. The theme of happiness has been

integral part of Coca cola‘s marketing approach with different marketing activities

continuously inviting consumers to open happiness. Similarly, experiential and sampling

activity is a vital part of Coca cola marketing strategy, taking the brand to the door of

consumers in a new and exciting ways to drive brand engagement and products trails through

different experiential marketing activities in order to strengthen its brand positioning (The

Drum, 2014)

However, Coca cola embarks on a marketing campaign. Called “The happiness machines” its

experiential marketing campaign activities of using vending machines was set up in a college

university with “Huge me” written on it. When a person physically huge the machine, they

got a free coke drink, the vending machines could bring out free coca cola. Students were

35
also offered gifts and rewards such as pizzas, balloons animal/ Toys. The campaign created a

buzz, and participant were pleased by the experience that created joy when they least

expected it. However, not only did it get the attention of existing customers of coca cola, but

it also encouraged Pepsi consumers to hug the machine to get a free drink. The campaign

created awareness for coca cola and also connected participates emotionally. Thus, reflecting

to the brand’s mission of “Inspiring moment of optimism and happiness”.(www.Coca

cola.com) However, the campaign initiatives was supported with twitter and Facebook pages

as well as you tube video that try to rack over three million viewers in the space of ten

months (Broad, 2014) in addition, In the last year during Valentine’s Day, The Company also

set up a vending machine in the shopping mall; the specially set up coca cola vending

machines was remotely functioned and would only pass out drink if couples prove their love.

(For example, when couple sneak a kiss) this campaign was successful because it allowed

coca cola in capturing video of couples expressing their love to each other, thereby helping

the company reinforce their brand position and “Love mark” Similarly, another experiential

marketing campaign that was done by Coca cola was the “Share a coke” which allow

everyone to have a customized bottle with their name printed on it. The “Share a coke”

initiatives offer customers on site printing services through Kiosks and vending machines

offering a free customized bottle of coke, zero coke or diet coke. And was held in about 70

locations, which includes Theme parks, Cinemas, Tesco stores etc. (Marketing week, 2014)

in addition, in 2013, Coca cola vending machine was updated with cameras and web

technology to create “Live chat” opportunity among the fractured people of India and

Pakistan. The aim of the initiative is to reinforce the ties between India and Pakistan, bringing

them closer together, and positioning Coca-Cola as an organizer of good times and unity.

(Rajput et al, 2013) The “small world machine” was set up is to allow shoppers in the two

countries to communicate with their counterparts via a 3D touch screens which enable people

36
to attract peace signs, join hands, weave to one another, as well as sing, dance and have fun

together. A Coca-Cola drink was thereafter distributed to everyone through the machine. The

experience was emotional enjoyed by both shoppers of the countries. (Rajput et al, 2013) and

this could create a positive emotional link with consumers and Coca cola.

Case Study Example 2- Nestle Experiential Marketing Initiatives

The fast growing globalization is not only creating huge business organizations to a present

day business firms, but is also creating various and different challenges for them (Bhagwati,

2007) However, in today’s business arena , the FMCG industry has become more competitive

which need a continuous and visible effort on marketing activities to sustain and retain

customers. Nestle is among the world leading health, nutrition and wellness company (Nestle,

2014) the company mission is to provide the consumers with verities of good taste and

nutritious beverages and food categories all over the world. Nestle has various brands which

includes mineral water, coffee, beverages like tea and health drinks , dairy products,

chocolates and confectionery, ice cream, frozen food, gastronomic products, breakfast

cereals, infant food, pet care, pharmaceutical products and cosmetics, which is produced in

more than 36 countries with a distribution network in over 130 countries globally. Its

competitive advantage is on the basis of a supreme geographic presence globally (Nestle

water, 2014) However, it is expected that Nestle create a marketing strategy for its target

customers, which consist of the establishment of the marketing mix that includes the

following four components; products, price, place and the way the brand will promote its

products, which aim to satisfy targeted consumers’ desires, as well as the brands marketing

objectives. In addition, Nestle marketing strategies is based on various vital principles among

them is; the existence of it products growth through a reliable creative, innovative and

renovation marketing activities in order to build value that can sustain its consumers and

other stakeholders.

37
In the past year, Nestle was many times criticized by health agencies globally for its

marketing of baby food in developing countries, through communicating the message that

infant food was better than breast milk. The company was also stuck in an argument for

allegedly selling food in some Asian nations without labelling them clearly. Similarly, Nestle

was condemned for placing a high price for the “Pure life” mineral water brand that was

launched in some Asian countries. However, the company understand that its consumer has

interest in their behaviour and need their trust. Nestle felt a need to create unforgettable

experience to grab the attention of the customers engage them, transform their experience and

build emotional connection with the brand in order to regain their trust and grow their

business. Therefore, Nestle embarked on experiential marketing approach to connect

emotionally with its consumers, through execution of a sampling campaign distributing

500,000 Aqua pods to children between the ages of 6-12 and their parents. The aim of Nestle

efforts is to create a genuine experience to its consumers, so as to generate a consumer

database for future contact and coupon distribution to communicate Nestle “Hydration

mission” for children to understand more about the importance of drinking water. However,

the initiative created an appealing and kids-friendly promotion at a high attendance, family

friend’s events and retail locations including fairs, festivals, retail locations, libraries and

grocery shops. In a bid to distribute and share ice-cold Aqua pod samples to targeted

consumers, children and their parents. The brand also distributed Aqua pod squad

membership cards and coupons to parents and children and directs them to Aqua pod website

where they can find educational material and interactive games. Children were also

incorporated with local Aqua pod squad talent to help demonstrate and engage children with

fun and athletic activities. Nestle also used a simple presence approach to encourage a

healthy, well balanced diet by promoting Nestle Carnation breakfast essentials, a suitable

drink for breakfast that offers the important of vitamins and nutrients in a selection of three

38
different flavours. This reflect to “Good food, Good life” of Nestle mission statement (Nestle,

2014) in the initiatives, a promotional programme was developed to directly communicate to

the parents of dynamic children, while creating an opportunity for sampling among targeted

consumers. Brand and product–educated staff were available to educate and inspire families

to exercise frequently, eat a healthy and well balanced diet. The experiential marketing

campaign was carried out in an important environment that freely promoted health and

nutrition through various sport activities, including soccer, baseball and football.

However, in the campaign, parents were provided with information by staff members

educating and engaging them on the convenience and good nutritional value that Nestle

carination breakfast essentials offer. Shared value was also demonstrated and samples were

shared to both children and parents, letting the product talk for itself. The three different

flavours were provided for testing; demonstrating its brand promise. However, product

coupons were also available for parents and Nestle carnation breakfast essential branded

Frisbees for the children were also available for testing. And with the encouragement of

interested parents, children could trial the product, showing the ease in which they could

provide essential nutrients in a drink that children liked. However this sampling campaign

demonstrates Nestle business strategies objectives, which is to “become the leader in

Nutrition Health and Wellness”.

39
 Objective of Study

1. To know about the models of experiential marketing.

2. To identify the various challenges to firms practicing experiential marketing.

3. To study about the Experiential Marketing strategy.

4. To identify the key factors that is driving the evolution of experiential marketing.

5. To find out the various companies practicing experiential marketing in India.

40
 Scope of Study

1. It helps the company in adopting experiential marketing.

2. It helps to increase the loyalty towards customers.,

3. It helps to produce interaction with customers.

4. It helps to increase the trail of the product.

5. It helps to know the various challenges to the firms practicing experiential marketing.

41
 Importance of Study

1. It helps the customers to create awareness about the experiential marketing.

2. To help to creates a unique bond between the consumer and the brand.

3. To help to the buy drivers of experiential marketing

4. It also helps in reducing the challenges of experiential marketing.

5. It helps to know the effect of experiential marketing on firm’s performance.

42
 RESEARCH METHODOLOGY

RESEARCH

A Systematic search for an answer to a question or solution to problem is known as

RESEARCH.

According to KERLINGER defines RESEARCH , “ A Systematic , Controlled ,

Empirical and Critical Investigation of Hypothetical Preposition about Preasumes

Relation among Natural Phenomenon ”.

The marketing research process that will be adopted in the present study will consist of the

following stages

a. Defining the problem and the research objective:

b. Developing the research plan:

c. Collection and Sources of data:

d. Analyze the collected information

e. Report research findings:

RESEARCH DESIGN

A research design is defined, as the specification of methods and procedures for

acquiring the Information needed. It is a plant or organizing framework for doing the study

and collecting the data. Designing a research plan requires decisions all the data sources,

research approaches, Research instruments, sampling plan and contact methods.

Research design is mainly of following types: -

1. Exploratory research.

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 2. Descriptive studies

Exploratory Research

The major purposes of exploratory studies are the identification of problems, the more precise

Formulation of problems and the formulations of new alternative courses of action. The

design of exploratory studies is characterized by a great amount of flexibility and ad-hoc

veracity.

DESCRIPTIVE STUDIES

Descriptive research in contrast to exploratory research is marked by the prior formulation of

specific research Questions. The investigator already knows a substantial amount about the

research problem. Perhaps as a Result of an exploratory study, before the project is initiated.

Descriptive research is also characterized by a Preplanned and structured design.

The research design used in this project is a DESCRIPTIVE DESIGN.

DATA COLLECTION

Research will be based on:

 SECONDARY DATA When an investigator uses the data that has been collected

by others is called secondary data. The secondary data could be collected from

journals, reports and various publications. The advantages of secondary data can be

economical, both in the term of money and time spent.

SECONDARY DATA

Sources of Secondary Data

Following are the main sources of secondary data:

1. Official Publications.

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 2. Publications Relating to Trade:

3. Journal/ Newspapers etc.:

4. Data Collected by Industry Associations:

5. Unpublished Data: Data may be obtained from several companies, organizations,

working in the same areas like magazines.

NOTE – In this research report I have used the Secondary data from the different

source of secondary data..

Period of Study:

This study has been carried out for a maximum period of 6 weeks.

Area of study:

The study is exclusively done in the area of operation. It is a process requiring care,

sophistication, experience, business judgment, and imagination for which there can be no

mechanical substitutes.

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 DATA ANALYSIS AND INPERPRETATION

1. Conceptual model of experience marketing

An experience is important in business and technology because to the mind every economic

offering is experienced (Van Doorn 2006). Experience is broadly speaking an interaction

between a company (brand/product/service) and a customer. Experience is shaped by

the characteristics of the customer and those of the product, company or brand. Desmet and

Hekkert (2007) explain that “all actions and processes that are involved, such as physical

actions and perceptual and cognitive processes (e.g. perceiving, exploring, using,

remembering, comparing, and understanding), will contribute to the experience”.

Consumer behaviour is influenced by internal influences, e.g. demographics, personality,

motivation, knowledge, attitudes, beliefs, and feelings. The behaviour is also influenced by

external influences, e.g. culture, past experience, lifestyle, marketing mix. Psychological

factors include individual’s motivation, perception, attitude and belief, while personal

factors include income level, personality, age, occupation, lifestyle, etc. In addition, the

experience is always influenced by the context – environment in which the interaction takes

place.

The most important parts of the model (Figure) are:

a. Offering or stimulus,

b. Interaction between the customer and company,

c. Experience and value co-creation,

d. Value. We believe these are the cornerstones of experience marketing.

Hekkert (2006) distinguishes three levels of experience: attribution of meaning (experience of

meaning), emotional response (emotional experience), and aesthetic pleasure (aesthetic

experience). These experiences influence value co creation, purchase decisions and

behavior.

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At the level of meaning, cognition comes into play. Desmet and Hekkert (2007) confirm that

contrary to popular belief, “an emotion is the result of a cognitive, though often automatic

and unconscious, process”.

The ultimate outcome for the company is e.g. sales, value added, loyalty, etc. There is also

out-come for the customer and ultimately to society. Tynan and McKechnie (2009) assert that

experience marketing can deliver sensory, emotional, cognitive, behavioural and relational

value to customers, to which social and information based value can be added.

In 2007 the American Marketing Association adopted a new official definition of marketing

(Keefe 2008): “Marketing is the activity, set of institutions, and processes for creating,

communicating, delivering, and exchanging offerings that have value for customers, clients,

partners, and society at large.” This definition also supports the model.

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Interpretation

On the basis of above data the researcher found that the conceptual models of experiential

marketing is clearly show in above data and in above figure that involve various option such

as Offering or stimulus, Interaction between the customer and company, Experience and value co-

creation, Value. We believe these are the cornerstones of experience marketing.

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 2. Various challenges to firms practicing experiential marketing.

Experiential marketing may have caught up with the big brands in India but a big chunk of

them might refrain from taking the leap. Contrary to popular belief that the brands in India

simply do not want to shift from the traditional marketing means, there are many other

challenges that Indian marketers might face in executing experiential marketing campaigns as

it is widely done in the west.

Let’s look at some of these factors that may hamper an Indian marketer’s plan to create and

execute engagement activities:

Lack of qualified and skilled talent

This not only applies to the IT industry, which is actually a big challenge for pretty much

most industries in India, but finding the right talent is a war to be won in the country. India is

a country where hundreds of thousands of students graduate each year in various streams but

most of them are not employable and lack skills, as it is widely reported. Similarly, out of

most MBA graduates, few are trained to exploit experiential domain in marketing and many

are not even aware of this new marketing space. Creative is another attribute that is very vital

to experiential marketing, which again is not easy to find.

Short term visibility

Many agencies in the experiential marketing domain are seen often complaining about the

short term visibility of marketers. They are more inclined on hiring an agency for PR

purposes but resist investing in engagement activations that are long term in terms of return

and are not immediately measurable. This short sightedness makes brands refrain from giving

experiential marketing a chance and benefit in the long run.

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Vandalism

Experiential activities in the west are often done through kiosks and various installations that

are outdoor. India is a country where even the dustbins and copper wirings get stolen and

vandalised. Factors like these may not completely hamper an experiential activity but may

limit the scope of what can be done and what not can be done. On the positive side, it

encourages the marketers and agencies involved in engagement activities to be more creative.

Pressure on agencies to measure

The humans have a tendency to take control of every aspect of their lives including the

outcome of every effort they put. This applies on ROI too. Before making any investment, we

want to know the immediate benefits, which drives many marketers from taking a step

forward towards initiatives that may bring huge returns in the long term. It may be hard to

measure ROI with engagement activities but many brands have been successful in leveraging

engagement to attract loyal following.

Professional courses

Today, any field requires a professional degree that could be true for experiential marketing.

Although many big names in the space may have started early with a simple management

degree or management experience over time, but a degree certainly helps. However in a

country like India, there aren’t many professional courses offered that specialize one in

experiential domain and trains students with hands-on experience. So, finding a fresh talent in

the domain might be a bit of challenge at the moment, especially for agencies.

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Interpretation

On the basis of above data the researcher found that the challenges of experiential marketing

aresuch as Lack of qualified and skilled talent, Short term visibility, Vandalism, Pressure on

agencies to measure, Professional courses.

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 3. Experiential Marketing strategy

Strategy is important to any plan. It is the core of achieving your objectives. This is the part

of the plan where you outline your experiential strategy, the campaign’s main concept. It is

the answer to the questions ‘How will we achieve our objectives, and what is the big idea?’

This book recommends that the big idea for the experiential marketing campaign is based on

a two-way interaction between the consumer and the brand, in real time; in other words, a

live brand experience. Almost all experiential marketing campaigns include two or more of

the 10 experiential elements. These elements can be mixed in any combination to create the

experiential strategy. At this point in the planning process, you will at least have a rough idea

of the kind of thing you want to do in your experiential marketing campaign. e’s lifestyle and

aspirations.

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STRATEGIES

Strategies are an acronym that allows you to pick your experiential elements and combine

them to formulate your experiential strategy:

Service

Theatre

Research

Adverts

Televised or broadcast

Entertainment

Game (or competition)

Interactive technology

Education

Set

S is for service

Service is something that you can provide as an added-value element for the Target audience.

Service can mean many things: a laundry service, car washing, transport, delivery, pampering

or a makeover. In this context, anything that human beings (or in some cases, technologies)

do as a process that adds value can count as a service. By using the Service element in your

strategy, you can bring to life the Brand personality and benefit consumers. Service can

facilitate a two-way interaction.

T is for theatre

This is clearly an important element, and there have been many debates about whether

experiential marketing is in fact simply ‘brand theatre’. It is actually not as simple as a

branded performance, but Theatre is a key element of many Experiential strategies, and can

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be integrated with other elements to create an exciting strategy. This element can be

especially successful when integrated with the Adverts element, which we will discuss below.

R is for research

Experiential marketing lends itself perfectly to providing both qualitative and quantitative

research as part of the campaign. Research strategies can be integrated easily into the

interaction in a way that is unobtrusive to consumers, yet still manages to uncover

significantly valuable information. In fact, the Research element is very popular because it is

often a shame not to make the most of an interaction with the Target audience. Brands and

marketing agencies alike are finding that the experiential marketing campaigns that they run

give them insights into the thoughts, feelings, lifestyles and purchasing behavior of their

consumers. It is simple to gather valuable data in the form of consumer conversation and

surveys because there is always direct contact with consumers, and many live brand

experiences involve faceto- face interaction.

A is for adverts

In this context, the Adverts element is representative of one of several elements that combine

to form the experiential strategy. Just as an advert can amplify a live brand experience, a live

brand experience can bring to life an advertising campaign. First, the live brand experience

can reinforce advertising that the Target audience may have already been exposed to, and

secondly it gives consumers the feeling that they are closer to the brand, and that the brand is

a real part of their everyday lives.

Live brand experiences can be used to communicate the content of an advert in situations

where it is unlikely that the Target audience will otherwise see the adverts. For example, if

there are no billboard sites in a target area or event, then a live brand experience, which

reflects the theme and content of the ad, is the perfect alternative. If a sporting event is held

and sponsorship is out of budget, sometimes it is more cost-effective (and more interesting)

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to bring to life the advertising campaign with an experiential element. Also, using an

Experiential strategy to convey your advertising message can be a good way to make the

campaign more memorable and allow the consumer to interact with the brand, resulting in a

deeper relationship that stimulates word-of mouth.

T is for televised or broadcast

Imagine how much you can expand the reach of your live brand experience by forming a

media partnership, and broadcasting it on television, radio, or online channels. A media

partnership that informs consumers about a live brand experience prior to it happening and

then broadcasts the experience, can be very successful in positioning the brand as one that

cares about its consumers. This perception can be achieved with those who do not participate

in the live brand experience as well as those who do.

E is for entertainment

This entertainment element is not relevant for all brands, but when it is in line with the Brand

personality, then this element of your Experiential strategy can be valuable in terms of adding

value, gathering large numbers of people to a live brand experience, and positioning the

brand in a certain way. In fact, many companies use brand-relevant music festivals or fairs as

core elements in their experiential strategies. Some famous examples of live brand

experiences that include the entertainment element are the Ben & Jerry’s Sundae Festival and

Innocent Smoothies’ village fête and Fruitstock. In this context, the entertainment element

can represent music, fashion or culture-based activities. It can be a good alternative or partner

to sponsorship. Entertainment can provide a fabulous source of word-of-mouth stimulation

while building relationships between brands and their Target audiences.

G is for game (or competition)

Games and competitions are great ways to create brand-relevant twoway interactions between

consumers and brands. Obviously, if your product is a game, then creating an experience that

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features a game is a pretty straightforward option. But that doesn’t mean that this element

should be used for gaming brands alone. In fact, when an experiential marketing agency

organized ‘business picnics’ for a mobile phone brand that was targeting business users, it

integrated intelligent games such as chess and Jenga to bring the intelligent brand personality

to life. If you would like to use games as an element in your Experiential strategy, look to

existing games for inspiration and make sure that you select and adapt them to be brand-

relevant and engaging for your Target audience. Consider researching TV game shows, quiz

games, board games, playground games you used to play in school, sports team matches and

competitive games. Also consider arcade games, and games that you come across in an

amusement park or fairground. Even simple games, or the type you would play using paper,

like crosswords, Sudoko and rock-paper-scissors, can be inspirational when relevant. The

great thing about games within the experiential marketing context is that you can personalize

them to the brand and the objectives, making them larger than life. Even when a Game

element is not wholly relevant or appropriate in the traditional sense, you can build in a

competition mechanism where the prize is a means of bringing your brand personality to life.

By integrating a simple but effective game into your Experiential strategy, you can create a

memorable and fun experience for the participants.

I is for interactive technology

By studying the BETTER model you already understand the importance of two-way

interaction in experiential marketing, and the value that can be generated from two-way

participation in brand-relevant activity with a Target audience. We live in the age of

technology; each day it becomes more and more cost-effective to customize technology to

better serve our needs and desires. Think of the interactive technology you can find on a TV

set; when a button is pressed a signal is sent, and then the channel or settings are changed in

the desired way. Also, think of visiting a museum and participating in an interactive display,

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lifting flaps, pressing buttons, pulling levers and enjoying the discovery process, presented in

a creative way. The technology can facilitate an amazing range of both face-to-face and

remote two-way interactions. When integrated into your Experiential strategy, technology can

be a very good way to interact with your Target audiences, whether it is used to gather data,

educate, demonstrate, or provoke reaction. Even when your product is in a non-technology

based sector, the Interactive technology element can be formulated in an innovative way that

is fun and conveys complex brand messages.

E is for education

Experiential marketing is a fabulous way to educate consumers about your product or service.

The Education element can be integrated to communicate your product’s heritage, its features

and benefits, or subjects that reflect its Brand personality and show relevance to your Target

audience’s aspirational lifestyle. Education-based experiential marketing strategies have been

historically popular with government bodies, wishing to educate stakeholders on issues such

as voting, health and crime. But likewise, if your campaign is for a car brand that is superior

to other cars in its class, one of your main objectives might be to educate your consumers

about its technology, in which case Education is likely to be a key element of your

Experiential strategy. This element can be especially beneficial when conveying rational

messages, and can be an integral part of your strategy, regardless of sector.

S is for set

The Set element of the Experiential strategy represents the purpose built designed

environment of the live brand experience, and this applies for both face-to-face and virtual

settings. The set can form part or all of a retail environment. It could be a converted double-

decker bus, or a purpose-built garden in the middle of a shopping centre. The set is any

environment that becomes the location for the live brand experience. It should be designed

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with all the elements of your Message and key communication in mind, and should reflect the

visual identity of your brand as well as its personality.

The sets of most live brand experiences attract a lot of interest because they are enticing to

the Target audience. A good set, designed as an immersive sensory environment, might be

remembered by the participants for years to come. Some experiential marketing agencies

outsource the production of sets that are used for face-to-face live brand experiences to

companies that traditionally make props and stages for television, film and theatre, or

exhibition stands. Similarly, some experiential marketing agencies outsource the production

of sets that are used for remote/virtual live brand experiences to digital agencies, web

programmers and TV production companies. Meanwhile, some of those digital providers are

beginning to offer remote or virtual live brand experiences. This is another reason why, when

appointing an experiential marketing agency, it is good to research their company history and

understand how they began and evolved, because this will give you an idea of which areas

within experiential marketing are their forte.

It is advisable to integrate the Interactive technology element with the Set element into your

Experiential strategy, because the more innovative and interactive your set design is, the

more engaging your live brand experience will be.

Interpretation

On the basis of above data the researcher found that the experiential marketing Strategies are

an acronym that allows you to pick your experiential elements and combine them to

formulate your experiential strategy are such as Service, Theatre, Research, Adverts,

Televised or broadcast, Entertainment, Game (or competition), Interactive technology,

Education and Set.

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 4. The key factors that are drive the evolution of experiential marketing.

There are three key factors that are driving the evolution of experiential marketing:

1. The experience economy: According to a 2014 Eventbrite study, more than three in four

Millennials would choose to spend money on a desirable experience than purchasing

something desirable. More than eight in 10 Millennials participated in a variety of live

experiences. Seventy-two percent said they wanted to increase their spending on these

experiences.

The study also showed Millennials want personal experiences. Almost eight in 10 Millennials

said the experiences helped to shape their identity, create lifelong experiences, and make

them feel more connected.

But Millennials didn’t have the monopoly on wanting more experiences; the demand for

more experiences is increasing across generations, and companies are attempting to meet that

increased demand.

2. Big data is changing the playing field: As companies increase their focus on experiential

marketing’s ROI, they need advanced data-driven solutions that provide them with real-time

data collection and actionable insights to improve these live experiences and make them more

personalized so brands can more effectively measure ROI.

Big data is providing the tools to deliver real-time data and actionable insights, which enable

brands to be more agile to make changes to messaging, create more value, and increase

consumer engagement on the spot.

3. Experiential is now viewed as a key part of the marketing strategy: Marketers

understand that what they deliver to customers must be consistent and relevant across all

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marketing channels to create one seamless experience. This channel approach can improve a

consumer’s experience with the brand.

Often, an experiential marketing campaign is the first interaction a consumer has with a

brand, and as such, it is vital experiential marketing is part of the marketing strategy from the

onset.

Interpretation

On the basis of above data the researcher found that the key factors that are drive the

evolution of experiential marketing are such as The experience economy, Big data is

changing the playing field, andExperiential is now viewed as a key part of the marketing

strategy

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 5. The various companies practicing experiential marketing in India.

Experiential Marketing by Companies in India

Following are some of the examples of events organized by some brands to enhance

experiential marketing in India:

 Homeshop18: Homeshop 18, which is actually a home-shopping television channel,

has started first mobile aided, virtual shopping experience in India. At Terminal 3 of

IGI Airport, New Delhi, the virtual wall displays a variety of products that can be

bought by the passengers by way of scanning the QR codes of products on their cell

phones. They are channeled to the website from where they can get the delivery of

product directly at their doorstep and also pay the price on delivery.

 Mahindra Monastery Escape: To give the credible Himalayan experience to

adventure admirers, SUVs of Mahindra are off on the current Mahindra Monastery

Escape campaign. This journey from Delhi to Leh, is an annual event and is pointed

as the ‘drive of a lifetime’, becoming increasingly popular year by year.

 Coca-Cola: Coca-Cola applied ‘Small World Machines’ placed in malls in Lahore

and New Delhi to bring together the folk of India and Pakistan. By 3D touch-screens,

customers in both nations were motivated for interaction with their counterparts. They

were enabled to join hands, draw peace signs, wave and even dance together. The

machine disbursed a can of Coca-Cola to both of them at the end of it. The ‘Open

Happiness’ concept was taken to a completely new level by this activity.

 Puma Social Club: The Puma Social Club located in Bengaluru is a latest and

attractive spot for the ‘after-hours athlete’ to hang out in. It offers beverages, food, a

Super Mario console, quirky gizmos, and even a breathalyzer machine to test if the

athlete can drive home himself. Puma Social is augmenting the fact that Puma isn’t

just a sports brand; it’s a sports lifestyle brand.

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 Micromax: Micromax, one the leading domestic Indian mobile handsets company, in

partnership with “Kidstuff, a division of Mudra Max launched Mall activations

activity in mid 2010 to provide real mobiling experience to people. It was spread

across 12 Cities of India covering 26 Malls where Micromax gaming zones ware

created. This gaming zone allowed mall visitors to experience virtual gaming sessions

and record their time and scores. Every hour a winner was announced and given a gift

and was asked to fill up the lucky draw coupon. Out of these coupons, a daily winner

was selected at the end of the day and was presented Micromax handset. The results

of this activity were amazing as nearly 740 phones were sold with maximum at

Kolkata and Mumbai.

 Bisleri: Bisleri, The pioneer mineral water brand under took an experiential

marketing activity aiming to spread awareness about their new campaign ‘Protect The

Ones You Love’ and ran an on ground drive across all major cities of India like Delhi

,Mumbai, Bengaluru. It was spread over a period of 5 weekends and could achieve

outstanding results. It managed to impress as much as 9 lakh customers.

 Maybelline: Maybelline recently launched India’s Super Stay 14-hour lipstick in

Mumbai with a social-media driven activity. Throughout the country people were told

to tweet the names of those things that gets over rapidly using Twitter handle #doesn’t

last long enough. A 14 hour countdown was initiated for this purpose, where with

each tweet a part of thenew Maybelline lipstick was exposed to the world on a 25 Feet

large screen.

 Lifebuoy Kumbhmela 2013:Lifebuoy had researched and found out that 1.1 billion,

children die due to diarrhea annually the brand thought that washing hands regularly

and following a healthy regime could prevent the epidemic. Hence they tried and

leveraged the opportunity of KumbhMela to propagate the message. They used roti as

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 the medium of message, as the only way to have roti is by hand they used heat stamp

on rote which read 'lifebuoy se haathdhoyekya?' and over 30 days, a team of 100

people, stood in 100 kitchens and stamped around 2.5 million rotis. The campaign

was highly successful, and it even reached the masses outside the festival with the

help of social media, it gained huge amount of discussion and coverage across India

and thus social media along with experiential marketing helped spread the message of

washing hand before eating across India.

 Launch of Ford Escort eco sport: They held an online campaign to involve people,

hosted on an online platform, www.ecosportdiscoveries.co.in, the campaign had the

potential of reaching out to a target customer base all across the country. The website

was the source of engaging the customers to participate in the campaign and the

participants got the opportunity to try and ride the SUV's after the launch.

Interpretation

On the basis of above data the researcher found that thevarious companies practicing

experiential marketing in India are such as Homeshop18, Mahindra Monastery Escape, Coca-

Cola, Puma Social Club, Micromax, Bisleri, Maybelline, lifebuoy, ford escort eco sport etc.

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 FINDINGS

After the completion of data analysis and interpretation the researcher find the following

point / finding which called the result of data analysis and interpretation of report. The

finding show the outcomes which occurs on the basis of data analysis and interpretation.

These are as follows -

 The researcher found that the conceptual models of experiential marketing is clearly

show in above data and in above figure that involve various option such as Offering or

stimulus, Interaction between the customer and company, Experience and value co-creation,

Value. We believe these are the cornerstones of experience marketing.

 The researcher found that the challenges of experiential marketing are such as Lack

of qualified and skilled talent, Short term visibility, Vandalism, Pressure on agencies

to measure, Professional courses.

 The researcher found that the experiential marketing Strategies are an acronym that

allows you to pick your experiential elements and combine them to formulate your

experiential strategy are such as Service, Theatre, Research, Adverts, Televised or

broadcast, Entertainment, Game (or competition), Interactive technology, Education

and Set.

 The researcher found that the key factors that are drive the evolution of experiential
marketing are such as The experience economy, Big data is changing the playing

field, and Experiential is now viewed as a key part of the marketing strategy

 The researcher found that thevarious companies practicing experiential marketing in

India are such as Homeshop18, Mahindra Monastery Escape, Coca-Cola, Puma Social

Club, Micromax, Bisleri, Maybelline etc.

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 RECOMMENDATIONS

 Experiential marketing is most possibly to make a lasting impression as it creates

connection with one individual at a time, and the experimental experience make use

of the influence of peer to peer recommendations.

 However, as explained earlier, customers are not interested in hearing a list of product

features any more, but need the chance to personally experience the benefits, in order

to create a personal connection with the brand, helping to invest in the brands success.

 By placing control in the consumer’s hands, brands will generate a whole new brand

fans. Therefore, companies should plan, approve and implement experiential

marketing and place more importance on its potential to develop relationship, provide

interaction, verify the target audience, raise awareness and increase profit.

 However, there are different expectations of result from those that implements

experiential marketing and those that evaluates it. In this regards, companies or

marketing professionals need to mount a learning curve, including taking part in

experiential marketing, so as to personally feel, understand and gain the importance of

engagement results which can deliver.

 In addition, a way to create happiness to consumers is to create and leverage

happiness in the company focusing on customers and employees, the role employee’s

play should be taken notice of because great customer service build brand experience

which serve as a foundation for brand loyalty and career interest.

 The positioning employees at the heart of consumer brand marketing can create a

positive impact on company culture and this could be done by training employees. For

example, Virgin group plays a great role in building brand equity; they believe ‘value

for money, quality, innovation, fun and sense of competitive advantage challenges’

they tend to achieve it, through investing in their employees to continually create and

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 deliver supreme customer experience. Similarly, Heineken places their employees in

the front line of consumers at the Heineken experience; employees are highly engaged

with the brand providing the experience of Heineken brand, getting consumers into

action. Thereby getting consumers to have a great experience and employees develop

great experience through delivering an emotional connection to the Heineken brand.

 However, connecting consumer to a brand requires the involvement of a celebrity or

employee brand ambassadors, but the impact and the risk of using them should not be

ignored, because building brand equity take a long time and hard work to build and

can also be quickly damaged .For example, the Tiger wood scandal .

 The brand needs to carefully choose celebrity and brand ambassadors, in order to

avoid damage of brand reputation. Again, there should also be a careful selection of

Venue where experiential marketing event should take place.

 Most times outside a super market might be a good place for mass visibility which

can help to create an instant sale uplift if the product is already on sale there, unlike

on the high street or stations where people are always in a hurry.

 Furthermore, engaging consumers through various channels and technology is the

key, therefore, there is need to utilize Twitter and other method to increase social

media profile during the event

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 CONCLUSION

Experiential marketing has found its means into the contemporary marketing mix and its been

recognised fact that brands are adopting offline as well as online innovative activities to help

customers have a truly memorable and enriching brand experience. In general, this study

attempted to reveal the evolution of the notion of experience applied in experiential

marketing and to gain an insight into the relationships between experiential marketing and

traditional marketing. We found positive and significant relationships between experiential

value, purchase behaviour, experiential marketing and customer loyalty. Experiential

marketing is a powerful marketing tool and the manner it is practiced is important and

critical, in view of the fact that its significance and relevance to customers is the focal point

of entire experience building activity. When used efficiently and effectively across channels,

it can be truly influential, in creating unforgettable, appropriate and often precious

experiences. Its appropriate application will have a superior impact on the consumer,

enlarged success for the advertiser, and less costlier for society in comparison to traditional

marketing practices.

Experiential marketing as it is explained in this report work is beyond providing consumption

experiences to consumers as a means to giving them message they need in order to make

purchase decision. However, consumers are always inundated with continuous old

advertising messages, bombarding their lives and interfering with their TV shows.

Consumers do not feel any genuine emotional connection with these brands. This form of old

system of marketing communications is rapidly fading away. Current campaigns are more

communicating and as a result, often deliver excellent results. Brands like Coca cola and

Nestle are beginning to understand that to secure a long term value of their customers by

gaining true customer loyalty; they must give something in return. The communications

between brands and their target audiences are being transformed. Experiential marketing

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focus on the new experiential marketing period which emphasis on offering target audience a

great brand-significant customer experience that add great value to their lives (Smilansky,

2009).

In addition, experiential marketing consist of a live brand experience, that is two way

communications between consumers and the brands, which aim to provide brand

personalities to life, Creating an experience for the purpose of engaging consumers and

building their interest and desire. However, “There is a belief that experiential marketing

captures the imagination of marketers and brands across nation. In this regards, effective

brand can reach and engage consumers based on emotional and rational level in a way old

media methods never could” (Nathans, 2011) furthermore, effective “live” experiential

marketing is about engagement. Coca cola and Nestle Company make use of experiential

marketing through creating the greatest of sensory methods, real emotions, virtual

experiences and brand personalities to increase their bottom lines. In addition, Coca cola and

Nestle Company need to continue to implement effective and efficient experiential marketing

as a marketing communication tool to stay above aggressive competitors, because

experiential marketing remains the key in FMCG industry.

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 LIMITATIONS OF THE STUDY

All the economic / scientific studies are faced with various limitations and this study is no

exception to the phenomena. The various limitations of the study are:

1. At various stages, the basic objective of the study is suffered due to inadequacy of time

series data from related experiential marketing. There has also been a problem of sufficient

homogenous data from different sources. For example, the time series used for different

variables, the averages are used at certain occasions. Therefore, the trends, growth rates and

estimated regression coefficients may deviate from the true ones.

2. This report covers experiential marketing in India which very difficult to get actual data.

3. Above all, since it is a M.B.A. Project and the research were faced with the problem of

various resources like time and money.

4. In a rapidly changing industry analysis on one day all in one segment can change very

quickly. The environmental changes are vital to be considered in order to assimilate the

findings.

5. Limited resource is available to collect the information about the experiential marketing in

India.

6. Some of the aspect may not be covered in my study; it gives knowledge about strategic

approach of experiential marketing in India.

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 BIBLIOGRAPHY

1. Magazines

a. Business World

b. Business Today

c. Business India

d. Strategic Management

e. The Business Enterprise

2. Newspapers

a. Times Of India

b. Economic Times

c. The Asian Age

d. Hindustan Times

e. Business Standard

3. Websites

a. http://www.marketing.com

b. http://www.experiential marketing/.com

c. http://www.experiential marketing challenes.com/

d. http://www.experiential marketing strategies.com/

e. http://en.wikipedia.org/wiki/engagementmarketing

f. www.researchersworld.com

g. www.managementparadise.com

4. Reference Books

o Research Methodology – C. R. Kothari

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