Wednesday, April 24, 2013

Discover Disney: Decoy Marketing?

NeuroMarketing is the newest and most advanced form of marketing available today. It has taken large businesses over 20+ years to accept the merge of science and marketing; and with this new merge, businesses are capable of targeting more engaged audiences.
Walt Disney is a World Wide name and well known brand. My recent interest towards visiting Disney this month gave me a surprise. Many of you know that from January to June every year Disney runs a special for Florida Residents called the 'Discover Disney' Ticket. The ticket is always available the beginning of January and expires in June when season begins. However, this year their marketing campaign showed they were running off of a NeuroMarketing tip.
Last year, in January 2012, Discover Disney was released to Florida Residents with two different ticket offers:

(1) 3-Day Pass: $99
(2) 4-Day Pass: $129

This year, Discover Disney was released again, however the pricing was different:

(1) 3-Day Pass: $119
(2) 4-Day Pass: $129

Although the pricing for the 4-Day pass stayed the same, the price for the 3-Day pass increased by $20. This approach is called 'Decoy Marketing'. They did not change the price of the second ticket, but, by increasing the price of the 1st option by $20 they made the option of the 4-Day ticket seem like a better buy. So by increasing the price of the first option (3-Day Pass) resulted in the increase of sales of the second option (4-Day Pass). By creating this 'Better Buy' idea to its targeted audience, more 4-Day passes were sold thus driving more money, sales, and an extended stay for these buyers. So it was an all around WIN for Disney with this new pricing.
Decoy Marketing can be a very powerful tool in marketing products as you can see with this example. To learn more about this technique, check out this link to Roger Dooley's 'Brainfluence' Blog about Decoy Marketing.

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