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Nissan Research Project: Phase III
The Final Report: African American Millennials

           Due: December 12, 2011
                Elena Carroll
               Lauren Geniviva
               Sarah Markowitz
               Alana Rosenberg
SECTION I – phase 1
Introduction and Research Objectives

Our Topic Explained
How does being a member of their minority group affect African American Millenials’ brand
selection when buying cars? Ethnic identification could be a major construct in the prediction of
ethnic minorities’ behavior, attitudes, and consumption practices. So we will be exploring the
impact of ethnic identity on consumer attitudes when purchasing cars.

The social identity of ethnic minorities involves two elements:
(1) Race, which refers to phenotypical differences between groups such as skin color and
(2) Ethnicity, which incorporates the cultural intergroup differences in attitudes, beliefs, and
norms.

Research Objectives
We will conduct qualitative research to search for insights as to why certain car brands are
favored by African Americans.

With the insights collected through qualitative research we hope to build a better understanding
of how to position Nissan in a way that appeals to the African American Millennial
demographic.

Statement of Problems

Nissan launched its new marketing platform in August 2010. With the theme being innovation,
the new marketing initiative is called “Innovation for All”. In all of the marketing efforts, Nissan
continues to convey the innovation theme to its audience. Nissan is also committed to diversity
and multicultural segments are a huge component of Nissan sales success. Each Nissan vehicle
has a high composition of multicultural consumers, which is an extremely important part of these
vehicles reaching sales goals. In general, multicultural share exceeds the total market as of 2010.
In response to the recent economic downturn, Nissan reduced spending towards African
American targeted marketing efforts. Due to this response, Nissan’s competitors have had big
sales gains. Most importantly, less and less African Americans have been buying Nissan cars.
Nissan lost the large sales volume lead it had over its competitors (Nissan Case Study). The other
important issue is that the target, African American Millennials 18-24, probably will not be
buying a new car for at least another decade. In addition, a majority of them do not have the
money to buy a new car.

Significance

   •   Research will help to determine what can capture the attention of this multicultural
       demographic to increase sales and emphasize the aspect of diversity in the Nissan brand
       again.
   •   It is important to find out the overall perception African Americans have of the
automobile industry because this insight will help to position the brand in a way they will
       appreciate and want to purchase a Nissan.
   •   Research on African Americans’ current opinion of different brands will help to see what
       their expectations are in a car, as well as an advertising campaign.
           o This can show whether or not Nissan already provides what they are looking for
               in a car.
   •   Looking into African American culture is significant because by understanding their
       culture, it will help to figure out how a product will enhance and fit into their lifestyle.


SECTION II – phase 1
Literature Review

Size of the Industry

   •   African American Population: 12.6% of total United States Population, 38,901938
   •   Number Black Owned Firms: 1,923,904
   •   Number persons aged 18-24: 30,672,000
   •   Nissan Car Industry (Sept 2011)
          o YTD Sales: 774,079
          o YTD % Market Share: 8.1%
   •   Car Industry: YTD 2011 Sales: 4,733,646 (WSJ, 2011).

African American Purchase Behavior

Marketplace discrimination

A study regarding Black shoppers’ purchase behavior found that African Americans reported
feeling “marketplace discrimination” in their daily lives. This is usually experienced with store
personnel (Crockett, 2003). This type of discrimination creates a frustrating and stressful
purchase experience for African-American shoppers. Another article explains that experiences
with race-driven decisions could result in unwelcome and segregating situations. It is seen as a
persistent social problem that’s often over looked and businesses needs to be aware of how to
attract and retain customers, even if they are of a different race (Davidson, 2009). Discrimination
is still a major part of their lives and as a result it is very important to them that they feel like
they are being respected and that their business is appreciated. An annual multicultural marketing
study found that 91% of African Americans feel that discrimination is a part of most African
Americans’ day-to-day lives. The same study also found that nearly half of the African American
respondents have been made to feel unwelcome in a store. As a result of this, African Americans
often support brands that consistently show its support and appreciation of African American
contributions (10 Things, 2008). Black men and women go out of their way to fight their history
of oppression and often act as if they are members of a higher social class as a result of how they
have been treated in the past (Crockett, 2003).
Foreign Cars

In a study regarding African American consumer and domestic and foreign made automobiles,
African Americans throughout the study ranked Japanese cars as more innovative, better, higher
in quality and better for upper class. However, they also viewed those who owned one as
unconcerned with the U.S. economy. African Americans showed more involvement in their
purchase decisions and more of a pride in their own car. When targeting African Americans,
some good ways to segment their population within the African-American population is gender,
age and income (McMaines, 2002).

Safety

African Americans find safety to be a large factor in their purchase decisions when purchasing
cars. Americans use safety belts 70% of the time and the number is increasing. NHTSA
Administrator Jeffrey Runge explains the numbers are due to hard work by traffic safety partners
in AA community (Safety, 2003).

Nissan

Nissan is a company that understands that the African-American market is influential enough to
not be overlooked. “True” is the first multi-cultural company hired by Nissan to directly target
African Americans. It ran for all target markets but has an emphasis toward African-Americans
(Ede, 2000). It is clear that Nissan is a brand that cares about this minority group, unlike Honda,
who is seen as a discriminatory brand toward African-Americans. It was found that African-
American borrowers consistently paid higher “finance markup charges” than white customers
when they financed their cars at dealerships through American Honda Finance Corporation
(Mokhiber, 2004). Nissan, on the other hand does very well with the African American market.
A 2005 Study found that African Americans favored Nissan because they focused on two key
aspects of their culture: pride and individuality. The study found that African Americans that are
potential new vehicle buyers show a distinctive emotional profile that deals with “super values”
which are security, freedom, esteem, and balance. (Elias, 2011)

Culture

While the African-American market is not homogeneous, African Americans do share a “black
experience” and strong cultural bonds that give them a perspective quite different from the Non-
Hispanic White population. For a brand to develop true connections with this segment they must
understand that African Americans' strong personal culture makes them respond to marketing
efforts differently from Non-Hispanic White consumers. A Consumer Profile of African
Americans conducted by The Futures Company found that there are 4 major value trends that
exist as cultural bonds among the African American market. A major trend is identity expression,
which is a result of an attempt to overcome stereotypes and discrimination. Personal
empowerment and celebration of life are also themes that dominate African American culture.
Lastly, a strong sense of community is a very important facet of their lifestyles and outlook on
life in general. (Consumer Profile, 2009)
Buying Power

African Americans represent the largest minority group in the United States that is continuing to
grow more rapidly than the rest of the population. As a whole, they have a projected buying
power of around $1.1 billion that is expected to continue to increase. Through analyzing U.S.
Census data, researchers have found that a key reason for the economic growth is a result of an
increasing number of African Americans who are starting and expanding their own businesses.
The desire to start their own businesses reflects the groups desire to control their own destiny and
hold more power as a result of their history of oppression. This group is not one that should be
ignored by marketers. However, this group is very unique in several ways. Purchasing decisions
are more strongly affected by certain cultural influences. An important finding in this study was
that African Americans seek out brands that provide emotional rewards and personal perks.
African Americans find it very important to connect with brands that demonstrate they
understand them and support causes that the demographic also supports.
In order for a brand to build a connection with the African American consumer segment the
brand must first understand their values, personal culture, relationships, and behaviors (10
Things, 2008).

SECTION III – phase 2
Research Questions for Qualitative Study

   1. What is the brand equity of Nissan in the African American demographic? And what are
      the sources of this brand equity?

       A basic premise of brand equity is that the power of a brand lies in the minds of
       consumers and what they have experienced and learned about the brand over time. What
       aspects of the car and the way the car is positioned in the marketplace are appealing to
       our target market? What are the key identifiers that African Americans respond to when it
       comes to cars?

   2. How does being a member of a minority affect African American purchase patterns of
      cars?

       We are interested in seeing what aspects of African American culture have an effect on
       purchasing a car. What do they want in life? What role does their car play in their daily
       lives? What aspects of advertising and the presentation of products appeal most to our
       target? Who do African Americans turn to when seeking information about cars? Are
       there certain brands and models that African Americans believe their peers mainly buy?
       We hope to develop a consumer profile of lifestyle and psychographic characteristics.

Method of Qualitative Study

Samples
   • Convenience sample
•     Number of participants
            o Focus Group 1: 3 participants
                     Charles: 21 years old, male, from Syracuse, New York, owns his own car
                     Dan: 22 years old, male, from Syracuse, New York, has owned 2 cars
                     Ben: 23 years old, male, from the Bronx, New York, uses family’s car
            o Focus Group 2: 4 participants
                     Jeremy: 21 years old, male, from Brooklyn, New York, no car
                     Morgan: 20 years old, female, from Washington DC, owns car at home
                     Kenny: 19 years old, male, from Montclair, New Jersey, uses family’s car
                     Jordan: 20 years old, male, from Houston, Texas, owns a car at home
            o Individual interviews: 2 participants
                     Ariana: 21 years old, female, from Las Vegas, Nevada, no car
                     Arielle: 21 years old, female, born in Holland, from Montreal, Canada, no
                        car
                        	
  
Explanations of Materials to be tested
Our goal with conducting focus groups and individual interviews was to determine how African
American Millenials feel about the car industry and Nissan as a brand, and the cultural aspects
that influence this as a result of being a minority. We conducted this qualitative research in a
comfortable setting, either in a one-on-one atmosphere or in a small focus group of no more than
6 participants.

Location
   • Focus groups: living room at 204 Comstock, Apartment #2
   • Interviews: quiet room with no distractions inside of Theta sorority house

Atmosphere
   • Focus Group 1:
        o Nighttime, relaxed, participants were tired from long day of classes
        o Pizza and refreshments were available to participants
   • Focus Group 2:
        o Daytime, relaxed, participants were comfortable and friendly
        o Pizza and refreshments were available to participants

Timeline
   • First focus group:
         o Tuesday, October 25, 2011 at 6:30 PM
   • Second focus group:
         o Friday, October 28, 2011 at 2:00 PM
   • Interviews:
         o Monday, October 31, 2011 at 6:00 PM
         o Tuesday, November 1, 2011 at 4:30 PM


Analysis
Grounded Theory: Rather than beginning with a hypothesis, the first step we took was collecting
data through a variety of methods including secondary research, focus groups, and interviews.
From the data collected, we made lists of key points that we found. The key points were then
grouped into larger themes. With these themes we created a perceptual map to visualize and
analyze the data. From this perceptual map we will move on to create concepts and insights
important to the rest of the research.

Findings of Qualitative Study

Results
   • Nissan Themes:
        o Nissan is thought to be out of price range
                “Are they expensive? I don’t think I would want to pay that much”
        o Not a car that they would ever want
                “They are not cars that appeal to younger kids”
        o Slips under the radar
                “Most of my peers drive big expensive cars or something small and
                  efficient, there is no in-between. I don’t see Nissans that much.”
        o Can only picture a Nissan vaguely, but most didn’t know what they look like
                “When I think of Nissan I think of red, fast, and their break light pattern.
                  You can recognize a car very easily by their lights”
        o Look luxurious before realize is a Nissan
                “Nissans are more luxury but not sporty”
                “If you took the Nissan logo off of the car I would have thought it was a
                  Lexus, the Nissan logo makes it less appealing”
        o Thought of Nissan as a luxurious brand
                “Nissans are more luxury, not sporty”
        o Racing, flashy cars
                “I associate speeding with Nissans”
   • Cars Themes:
        o Big on safety
                “ I always get mad at my friends if they don’t put their seatbelts on”
                “Safety, I feel like, should be very important”
        o Space is important
                “I need a car that fits all my things if I need to move something”
                “ I like my car to be big enough to drive around with friends”
        o Very practical thinkers
                “Having a reliable car is key”
                “I want my ideal car to be luxurious yet sporty, but for now I just need a
                  car to get me places”
        o Want to be comfortable
                “I am always driving and hanging out with my friends so I want a car that
                  fits all of us comfortably”
                “I definitely would only buy a 4-door car”
        o Cares about style
                “The interior of cars tells a lot about you so I like to keep mine very clean”
        o Mileage is important
 “Saving money on gas is important also”
•   Answers to research questions:
       o What is the brand equity of Nissan in this African American demographic?
               Nissan in the minds of this demographic is either bland, almost
                  nonexistent, or on the verge of having a negative connotation. Although
                  they are viewed as “luxurious” cars they are not a top choice in their
                  minds when considering purchasing a car.
       o How does being a member of a minority affect African American purchase
          patterns of cars?
               Our respondents want their car to bring them from point A to point B; that
                  is the most important aspect of their car because they are very rational
                  about their car purchasing behavior. The rest are added bonuses: being
                  luxurious, having a good stereo, being fast, etc. This group is very
                  community oriented: they are always at school, driving around with
                  friends, or spending time with their family members. Respondents said
                  they would ask their parents for advice when buying a car and would also
                  consider purchasing a brand solely because their parents once owned one.
                  Although it is not incredibly important, they are also very interested in
                  personalization of cars. They want their car to express themselves in subtle
                  ways such as keeping the interior clean and having a nice stereo system.
•   Summary of Focus Group 1:
       o Our first focus group included three very sociable men who were very willing to
          speak with us and give their opinions. All three men were very familiar with
          Nissan as a brand and knew a great deal about cars in general. Although they
          knew many specific features and models of Nissan cars they were still
          unimpressed by the brand in general. Nissan was not a brand that they would
          consider first when buying a new car because it is too expensive and it is not a
          type of mind brand when thinking of buying a new car. The group had great
          insights as a result of knowing so much about car brands and often went off
          subject because of their enthusiasm about certain cars. They agreed that flashy
          luxurious cars were not ideal for their lifestyle but they would instead prefer a
          comfortable reliable car with enough room for their friends to ride with them.
          Therefore, this would not align with what the participants think of when they
          think of Nissan because no participants mentioned Nissan as a car that they would
          want. They wanted reliability, safety and comfort, but never mentioned Nissan
          when asked what first car they would want. It is clear that Nissan is overlooked
          when being considered as a first car.
•   Summary of Focus Group 2:
       o Participants in Focus Group 2 also confirmed the fact that Nissan lacks a specific
          brand identity. One participant even remarked, “I can’t even think of what a
          Nissan looks like.” Participants seemed lost to grasp an overall theme, image, or
          person they could associate with Nissan. They seemed to collectively agree
          Nissan was a fine car, but not a car they would consider buying. It seemed to have
          no place in their consumer awareness.
•   Summary of Interview 1:
       o Peers mainly drive BMWs and Hondas both at school and at home
o Driving usually with friends going out, getting alcohol, or going out to eat
          o Believes that a car does show a lot about your personality, but only if you have
            the money to buy any car that you wanted
          o Practicality and getting from A to B are the most important factors
          o Couldn’t think of anyone that owns a Nissan
          o Wouldn’t be opposed to buying a Nissan but not first choice
          o Nothing stands out about the Nissan brand that attracts her
          o “If it didn’t have the logo on it, I wouldn’t know it was a Nissan”
   •   Summary of Interview 2:
          o Not many peers have cars but those who do have Hondas
          o Most important factor is getting her from A to B
          o It’s very important to have a car that’s environmentally friendly
          o Likes Nissan, but would prefer another car – has nothing against them
          o They have nice sports cars, but their ordinary sedans are “bleh”
          o Nissan has a large array of designs but don’t have a target market
          o Possibly a copycat brand imitating other cars and models

Discussions of Qualitative Study

   •   What we found:
          o Not considered a top of mind brand
          o Slips under the radar
          o No brand personality, need to know “who they are”
          o No consistent way to draw a person that was Nissan
          o Need to advertise more
          o Come off as trying too hard
          o African Americans live in their “here and now” – not concerned about the future
                   Often said “I’d take a Nissan maybe in the future.”
   •   Answer to research objective:
          o Current advertising for Nissan is not effective because it isn’t positioned as a top
              of mind car for African American Millenials
   •   Relation to Secondary Research

            CARS
          o The study entitled “Honda’s Race Problem” describes how in the pat Honda
            Finance Corporation discriminated against African Americans by charging them
            higher finance markup charges than white customers. This is interesting due to the
            fact that many of our respondents thought favorably of Honda as a brand.
          o Our findings did somewhat correspond to the article “African American Attitudes
            toward domestic and foreign made automobiles”. The Article mainly argues
            African Americans do favor foreign cars. Our focus group findings demonstrated
            they view Honda as a car brand that they know is safe and reliable, as well as a
            car their friends drive. Nissan, as a brand, is not associated with being a foreign
            made car, but it does not negatively impact sales among this group of consumers.
            (Mokhiber, 2004)
SAFETY
o The article “Safety belt use among African Americans reaches record high”
  explains that there has been a great increase in the percentage of African
  Americans using their seat belts. The information from our focus group relates
  directly to this article because both the article and our focus group findings
  support that African Americans are extremely concerned with safety and this
  trend has been growing. (Safety, 2003)

    PURCHASE BEHAVIOR
o   Our findings did not relate to “Coping with Marketplace Discrimination: An
    Exploration of the Experiences of Black Men”. This article explains how many
    black men experience marketplace discrimination when shopping. In our focus
    group, no African American men reported feeling discriminated against or
    stressed during shopping experiences. (Crockett, 2003)
o   The article “Reaching America’s Minorities: Toyota Camry’s Pursuit of the Afro-
    American Audience and Opinions on What Latinas Want.” touched upon an
    important theme of the main psychographic characteristics of the African
    American demographic when considering their car purchasing behavior. The
    article stated that African Americans are best described as self-confident risk
    takers, style conscious, savvy, have strong family ties, and often seek new
    experiences. Our qualitative research found insights that related to the
    characteristics of savvy and having strong family ties. In general most of our
    respondents had a great deal of practical knowledge about cars and car brands. In
    addition to this we found that family ties were closely related to car purchasing
    behavior. Many respondents stated that they have previously owned or would
    purchase a car that their parents have. (Precourt, 2009)
o   To develop true connections with this consumer segment, marketers must
    understand that African Americans' personal culture makes them respond to
    marketing efforts differently from other consumers. The study, “Consumer
    Profile: African Americans”, outlined some of the key cultural characteristics that
    set this demographic apart from others. An important theme is the cultural aspect
    of expressing their identity. Since many African Americans are forced to face and
    overcome stereotypes they often express their identity in ways that goes against
    the stereotypes that exist. The insights we collected related to this in that all of our
    respondents had a negative opinion of the stereotypical flashy vehicle choices and
    preferred reliability. Another key insight we found that agreed with this article
    was the idea that African Americans have a strong sense of living in the moment.
    Our respondents were very practical about their car purchasing opinions, with gas
    expenses being a very important aspect of a car. (Consumer, 2009)
o   “10 Things About African Americans” touched upon the fact that African
    Americans tend to select brands that are reliable and represent quality. Although
    they are brand loyal, they are not blindly brand loyal. This came up in our focus
    groups when respondents admitted that they buy cars that their parents own but
    they take many things into consideration when deciding which car to buy. (10
    Things, 2008)
•   Exercises
       o See Appendices D & E
       o Exercise 1: List top 5 qualities that are important to you when looking for a car
               Common themes we found in participants’ lists:
                    • Safety
                    • Space (4-door)
                    • Speed
                    • Gas efficient
                    • Reliable
                    • Comfort
       o Exercise 2: Draw what Nissan, Toyota, and Honda would like as a person
               Majority of participants did not know how to portray Nissan, but when
                they did it was a very bland and plain character
                    • Very all over the place because no true identity for Nissan
                    • Varied from plain stick figure, to cool kid, to businessman
               A common theme among Honda was a “geeky” or “nerdy” Asian
               Some participants drew a soccer mom for Toyota, while others drew an
                every day guy such as a “cool” guy or a jock
Cognitive Map




Our cognitive map demonstrates two important themes that our target audience believes is true
about Nissan.

1. No Brand Personality
The first is that Nissan has no brand personality. They described is as “bland” and were often
vague in their descriptions of Nissan, We felt as if Nissan is a brand that often times slips under
the radar as a car that our target would consider as a new car. One important thing we found was
that many participants could not picture a Nissan in their mind.

2. Too Expensive
Many found Nissan to be too expensive of a car. Each respondent said that it was out of his or
her personal price range and that it wasn’t practical. At times, they said that they would consider
a Nissan “one day”.
Implications for Advertising Campaign

After our qualitative research, we realized that for this target audience, Nissan has no brand
personality and is too expensive. It would be in Nissan’s best interest to create a campaign that
builds a brand personality for Nissan. It needs to create an image in people’s minds that they
envision when they think of Nisan. Nissan needs to decide what their most important quality is in
their cars and create a campaign that revolves around this one quality. This target audience finds
space, safety and reliability to be very important when purchasing a new car. If Nissan chose one
of these qualities and created a campaign that revolved around that word, it would hit home with
this group. The campaign also needs to provide customers incentives on why to buy such an
expensive car, since the majority of our respondents found Nissan to be extremely expensive.
We also believe that it would help Nissan to create advertisements that

Future Research of Quantitative Study

For future research, we would find it beneficial to find more about how African American
Millenials feel about being a minority. Asking questions about their purchase behaviors, what
brands they like and how often they shop would also be helpful in this study. We were very self-
conscious about not offending the respondents, however, this would help our research greatly.

Limitations of Qualitative Study

   •   We did not have many female respondents within our focus groups.
   •   Our one-on-one interviews were all female respondents.

SECTION IV – phase 3
Research Questions for Quantitative Study

       1. What is the brand equity of Nissan in the African American demographic? And what
          are the sources of this brand equity?

       A basic premise of brand equity is that the power of a brand lies in the minds of
       consumers and what they have experienced and learned about the brand over time. What
       aspects of the car and the way the car is positioned in the marketplace are appealing to
       our target market? What are the key identifiers that African Americans respond to when it
       comes to cars?

       2. How does being a member of a minority affect African American purchase patterns
          of cars?

       We are interested in seeing what aspects of African American culture have an effect on
       purchasing a car. What do they want in life? What role does their car play in their daily
       lives? What aspects of advertising and the presentation of products appeal most to our
       target? Who do African Americans turn to when seeking information about cars? Are
there certain brands and models that African Americans believe their peers mainly buy?
       We hope to develop a consumer profile of lifestyle and psychographic characteristics.

Method of Quantitative Study

The quantitative study was a 25 questions survey distributed to 231 people that contained a series
of multiple choice, fill in the blank, and ranked survey questions. Respondents were mostly
concentrated in the south, between the ages of 18 and 29.

Results of Quantitative Study

   •   Target demographic seems to greatly value their community. According to question 4,
       38.7% of respondents agree their community influences what they buy. Also, 55.6% of
       respondents are concerned about the welfare of their community. 53.6 % of respondents
       agree spending time in the community is important.

   •   42.2% of the target demographic also values education as the most important community
       initiative, and 41.6% said arts and entertainment was the least important. This shows an
       emphasis on practicality within the demographic.

   •   When respondents were asked to rank where they were most likely to look first to buy a
       new car, 60% said were most likely to go to family first, and 48.3% said they were pretty
       likely to go to friends. However, 61.3% said they would go to dealerships last for advice.

   •   Interestingly, the presence of brands Chevy, Toyota, Honda, and Nissan were all ranked
       evenly among the respondents. Yet, Nissan continues to not be top of mind when buying
       a car.

   •   Confidence (37%) was rated the most important when looking to a new trendsetter. Any
       brand that is top of market must exude confidence. According to question 4, 38.8% of
       respondents agree their community influences what they buy.

   •   52% of respondents said they were most likely to listen to R & B, 39% said they were
       secondly as likely to listen to hip hop, and 31% said their third most popular choice was
       hip hop. A great majority of these artists are also African American, meaning they
       associate and prefer most the artists they are most like.

Discussions of Quantitative Study

Our quantitative research revealed a presence of Nissan does exist within their community, and
is a somewhat favorable brand. The two qualities most associated with the brand are
“dependable,” and “stylish.” However, those who did not find Nissan to be a favorable brand
said the car was just “average.” Our main finding resided in this fact. Nissan blends into the
mind of consumer and buyers because they do not have a distinct trait or characteristic that
makes the brand stand out. Also, when respondents were asked when presented with cars of all
equal traits, which brand would they prefer, they preferred Honda and Toyota.
Conclusions of Quantitative Study

The demographic does value their community and has a sense of community values. They most
value musical artists within their demographic.
Nissan as a brand needs to break away from an “average” brand and focus on one aspect they do
well and sell that aspect to create a brand identity.

Future Research of Quantitative Study

Future research would include running the survey on a different demographic to compare the
results and see where the results differed.

Limitations of Quantitative Study

Respondents were 85% female.


SECTION V– phase 3
Final Recommendations

Nissan already is a good brand that sells a good product. They do not need to alter their product;
Nissan needs to focus their campaign. By having a consistent campaign with one tone and theme,
a brand identity will develop. Once a first identity is created, they then have a platform to
emphasize other features they offer and show their versatility. The most important aspect to
emphasize to the demographic is dependability, reliability, and economic stability. If Nissan can
emphasize what they do best, then consumers will trust them and think of them when looking for
a vehicle with those qualities.

To make a successful campaign they should pick one tone and convey it over and over. This
campaign will give Nissan an identity for possible consumers to use as a frame of reference.
Buyers trust brands with a confident and consistent message. Nissan should decide what they do
best and what pride themselves on as a brand, and make a campaign that drives those qualities
repeatedly.

Another suggestion, according to a 2011 article in the Journal of Interactive Advertising, it
emphasizes the importance of ethnicities to feel represented within advertising to become users.
The first step in engaging with a brand is to see their race represented within the campaign. If
Nissan were to take this implication, they could use black actors and have subtle audio focused
on rap or R&B music. By using these minute details, they would cater more to the African
American market, but not ostracize others.
Creative Brief

Why are we communicating?

Nissan does not have a strong presence currently among African American millennials.
Advertising needs to reach out to these millennials to expand their market.

What do we want the communication to do?

Make Nissan a top choice for this target when deciding when to purchase a new vehicle. The
target needs to understand know what Nissan does best.

Who is our audience?

African Americans ages 18-29, also known as millennials

What do they currently think?

Nissan is an average car with no brand identity or personality. The target knows of it but they
have no way to define it or distinguish it from other brands.

What do we want them to think?

Nissan is a dependable car that aligns with their needs and wants for an affordable price.

What is the big idea?

Nissan is a dependable car that fits your budget.

How do we make it believable?

By picking one aspect and consistently concentrating on this over and over again, it will begin to
create a brand image for the target. In addition, the repetition and reliability will convince the
target of Nissan’s brand identity and their promise to its customers.
References

10 Things About African Americans. (2008). The Futures Company, 1-12. Retrieved
       October 8, 2011, from Warc.com.

Consumer Profile: African Americans. (2009). The Futures Company. Retrieved
      October 8, 2011, from Warc.com.

Crockett, David, Sonya A. Grier, Jacqueline A. Williams. (2003). Coping with
      Marketplace Discrimination: An Exploration of the Experiences of Black Men. Academy
      of Marketing Science Review, 2003, 1. Retrieved October 15, 2011, from ABI/INFORM
      Global. (Document ID: 395019941).

Davidson, Edith F. (2009). Unintended consequences of race-based segmentation
      strategies. Journal of Consumer Marketing, Vol. 26. Retrieved December 1, 2011,
      Emerald Group Publishing. http://www.emeraldinsight.com/journals.htm
      ?issn=0736-3761&volume=26&issue=3&articleid=1789299&show=html

Ede, F. O. (2000). African-American Consumer Attitudes Toward Domestic and Foreign-
        made Automobiles. Management Research News, 23(5/6), 1-19. Retrieved from
        http://proquest.umi.com/pqdweb?index=11&did=290263851&SrchMode=1&sid=3&Fmt
        =4&VInst=PROD&VType=PQD&RQT=309&VName=PQD&TS=1318615438&clientI
        d=54941

Elias, Troy. (2009). Effects of Strength of Ethnic Identity and Product Presenter Race on
        Black Consumers Attitudes: A Multiple-Group Model Approach. The Journal of
        Interactive Advertising 11.2. Retrieved October 8, 2011, from Warc.com.

Mokhiber, R. (2004). Honda's race problem. Multinational Monitor, 25(9), 30-30.
      Retrieved from http://search.proquest.com/docview/208869467?accountid=14214

National Student Advertising Competition: AAF. (2012, September). Nissan: Case Study
       & Policy and Procedures. Retrieved from http://www.blackboard.syr.edu.com/.

Safety belt use among African Americans reaches record high. (2003).
       Professional Safety, 48(5), 1. Retrieved October 15, 2011, from ABI/INFORM Global.
       (Document ID: 336019671).

The wall street journal, calendars and economy: auto sales. (2011, Oct 03). Retrieved
      from http://online.wsj.com/mdc/public/page/2_3022-autosales.html

Toyota Venza: Are you Venza? (2011). ARF Ogilvy Awards Silver Multicultural, 1-7.
       Retrieved October 8, 2011, from Warc.com.
SECTION VI – appendix
APPENDIX A: Thoughts on Nissan from Focus Groups




                                                                           	
  
	
  
       •   The collage above features images that came to mind when we asked respondents what
           they thought of when they thought of Nissan.
       •   Many said Vin Diesel because he drives a Nissan in “Fast and Furious.”
       •   The pictures of the Nissan cars are what respondents described when they talked about
           actual Nissan cars.
       •   Nicholas Cage, Disney stars and The Rock were three other actors who were mentioned
           when respondents spoke about Nissan.
 
APPENDIX B: Moderator’s Guideline

Focus Group Itinerary

   1. Ask preliminary questions
   2. Ask in depth car questions
   3. Ask projective car questions
   4. Projective technique #1
         a. Write down list of top 5 qualities you find necessary in a car in order of
              importance.
   5. Projective technique #2
         a. If Nissan, Toyota and Honda were people, draw how they would look.
APPENDIX C: Questionnaire

Preliminary questions:

   •   What year are you?
   •   Where are you from?
   •   What’s your major?
   •   Where do you live on campus?

In-depth car questions

   •   Do you currently own a car?
   •   Is your car up at school with you?
   •   What brand of car do you have now? What do you like/dislike about it?
   •   How many cars do you have in your household?
   •   Who paid for your car?
   •   Who is financially responsible for you car now?
   •   Describe where you begin to look for a new car?
   •   Do you have many friends/family who own Nissan vehicles?
   •   Would you like to own a Nissan? Is it a car you’d pick for yourself? Why or why not?
   •   What is the most commonly owned car among your peers? Why do you think it is that
       car?

Projective:

   •   If Nissan were a celebrity, who would it be and why?
   •   What does a typical day and/or night look like when drive your car? Where do you go?
       Who do you drive with?
   •   What visuals do you think of when you think of Nissan? Why?
   •   Do you find your car to be most important for getting you from point A to point B or is it
       a definition of who you are as a person? Explain.
APPENDIX D: Exercise 2

Draw what Nissan, Toyota, and Honda would look like as a person.
 




	
  
	
  
	
  
	
  
	
  
	
  
	
  
	
  
	
  
	
  
	
  
	
  
	
  
	
  
	
  
	
  
	
  
	
  
	
  
	
  
	
  
	
  
	
  
	
  
	
  
	
  
	
  
	
  
	
  
	
  
	
  
	
  
	
  
	
  
	
  
	
  
	
  
	
  
	
  
 
APPENDIX	
  E:	
  Exercise	
  1	
  
	
  
List	
  the	
  top	
  5	
  qualities	
  that	
  are	
  important	
  
to	
  you	
  when	
  looking	
  for	
  a	
  car.	
  
 
APPENDIX	
  F:	
  Nissan	
  Research	
  Timeline	
  
	
  
	
  
	
  

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Nissan Research Report

  • 1. Nissan Research Project: Phase III The Final Report: African American Millennials Due: December 12, 2011 Elena Carroll Lauren Geniviva Sarah Markowitz Alana Rosenberg
  • 2. SECTION I – phase 1 Introduction and Research Objectives Our Topic Explained How does being a member of their minority group affect African American Millenials’ brand selection when buying cars? Ethnic identification could be a major construct in the prediction of ethnic minorities’ behavior, attitudes, and consumption practices. So we will be exploring the impact of ethnic identity on consumer attitudes when purchasing cars. The social identity of ethnic minorities involves two elements: (1) Race, which refers to phenotypical differences between groups such as skin color and (2) Ethnicity, which incorporates the cultural intergroup differences in attitudes, beliefs, and norms. Research Objectives We will conduct qualitative research to search for insights as to why certain car brands are favored by African Americans. With the insights collected through qualitative research we hope to build a better understanding of how to position Nissan in a way that appeals to the African American Millennial demographic. Statement of Problems Nissan launched its new marketing platform in August 2010. With the theme being innovation, the new marketing initiative is called “Innovation for All”. In all of the marketing efforts, Nissan continues to convey the innovation theme to its audience. Nissan is also committed to diversity and multicultural segments are a huge component of Nissan sales success. Each Nissan vehicle has a high composition of multicultural consumers, which is an extremely important part of these vehicles reaching sales goals. In general, multicultural share exceeds the total market as of 2010. In response to the recent economic downturn, Nissan reduced spending towards African American targeted marketing efforts. Due to this response, Nissan’s competitors have had big sales gains. Most importantly, less and less African Americans have been buying Nissan cars. Nissan lost the large sales volume lead it had over its competitors (Nissan Case Study). The other important issue is that the target, African American Millennials 18-24, probably will not be buying a new car for at least another decade. In addition, a majority of them do not have the money to buy a new car. Significance • Research will help to determine what can capture the attention of this multicultural demographic to increase sales and emphasize the aspect of diversity in the Nissan brand again. • It is important to find out the overall perception African Americans have of the
  • 3. automobile industry because this insight will help to position the brand in a way they will appreciate and want to purchase a Nissan. • Research on African Americans’ current opinion of different brands will help to see what their expectations are in a car, as well as an advertising campaign. o This can show whether or not Nissan already provides what they are looking for in a car. • Looking into African American culture is significant because by understanding their culture, it will help to figure out how a product will enhance and fit into their lifestyle. SECTION II – phase 1 Literature Review Size of the Industry • African American Population: 12.6% of total United States Population, 38,901938 • Number Black Owned Firms: 1,923,904 • Number persons aged 18-24: 30,672,000 • Nissan Car Industry (Sept 2011) o YTD Sales: 774,079 o YTD % Market Share: 8.1% • Car Industry: YTD 2011 Sales: 4,733,646 (WSJ, 2011). African American Purchase Behavior Marketplace discrimination A study regarding Black shoppers’ purchase behavior found that African Americans reported feeling “marketplace discrimination” in their daily lives. This is usually experienced with store personnel (Crockett, 2003). This type of discrimination creates a frustrating and stressful purchase experience for African-American shoppers. Another article explains that experiences with race-driven decisions could result in unwelcome and segregating situations. It is seen as a persistent social problem that’s often over looked and businesses needs to be aware of how to attract and retain customers, even if they are of a different race (Davidson, 2009). Discrimination is still a major part of their lives and as a result it is very important to them that they feel like they are being respected and that their business is appreciated. An annual multicultural marketing study found that 91% of African Americans feel that discrimination is a part of most African Americans’ day-to-day lives. The same study also found that nearly half of the African American respondents have been made to feel unwelcome in a store. As a result of this, African Americans often support brands that consistently show its support and appreciation of African American contributions (10 Things, 2008). Black men and women go out of their way to fight their history of oppression and often act as if they are members of a higher social class as a result of how they have been treated in the past (Crockett, 2003).
  • 4. Foreign Cars In a study regarding African American consumer and domestic and foreign made automobiles, African Americans throughout the study ranked Japanese cars as more innovative, better, higher in quality and better for upper class. However, they also viewed those who owned one as unconcerned with the U.S. economy. African Americans showed more involvement in their purchase decisions and more of a pride in their own car. When targeting African Americans, some good ways to segment their population within the African-American population is gender, age and income (McMaines, 2002). Safety African Americans find safety to be a large factor in their purchase decisions when purchasing cars. Americans use safety belts 70% of the time and the number is increasing. NHTSA Administrator Jeffrey Runge explains the numbers are due to hard work by traffic safety partners in AA community (Safety, 2003). Nissan Nissan is a company that understands that the African-American market is influential enough to not be overlooked. “True” is the first multi-cultural company hired by Nissan to directly target African Americans. It ran for all target markets but has an emphasis toward African-Americans (Ede, 2000). It is clear that Nissan is a brand that cares about this minority group, unlike Honda, who is seen as a discriminatory brand toward African-Americans. It was found that African- American borrowers consistently paid higher “finance markup charges” than white customers when they financed their cars at dealerships through American Honda Finance Corporation (Mokhiber, 2004). Nissan, on the other hand does very well with the African American market. A 2005 Study found that African Americans favored Nissan because they focused on two key aspects of their culture: pride and individuality. The study found that African Americans that are potential new vehicle buyers show a distinctive emotional profile that deals with “super values” which are security, freedom, esteem, and balance. (Elias, 2011) Culture While the African-American market is not homogeneous, African Americans do share a “black experience” and strong cultural bonds that give them a perspective quite different from the Non- Hispanic White population. For a brand to develop true connections with this segment they must understand that African Americans' strong personal culture makes them respond to marketing efforts differently from Non-Hispanic White consumers. A Consumer Profile of African Americans conducted by The Futures Company found that there are 4 major value trends that exist as cultural bonds among the African American market. A major trend is identity expression, which is a result of an attempt to overcome stereotypes and discrimination. Personal empowerment and celebration of life are also themes that dominate African American culture. Lastly, a strong sense of community is a very important facet of their lifestyles and outlook on life in general. (Consumer Profile, 2009)
  • 5. Buying Power African Americans represent the largest minority group in the United States that is continuing to grow more rapidly than the rest of the population. As a whole, they have a projected buying power of around $1.1 billion that is expected to continue to increase. Through analyzing U.S. Census data, researchers have found that a key reason for the economic growth is a result of an increasing number of African Americans who are starting and expanding their own businesses. The desire to start their own businesses reflects the groups desire to control their own destiny and hold more power as a result of their history of oppression. This group is not one that should be ignored by marketers. However, this group is very unique in several ways. Purchasing decisions are more strongly affected by certain cultural influences. An important finding in this study was that African Americans seek out brands that provide emotional rewards and personal perks. African Americans find it very important to connect with brands that demonstrate they understand them and support causes that the demographic also supports. In order for a brand to build a connection with the African American consumer segment the brand must first understand their values, personal culture, relationships, and behaviors (10 Things, 2008). SECTION III – phase 2 Research Questions for Qualitative Study 1. What is the brand equity of Nissan in the African American demographic? And what are the sources of this brand equity? A basic premise of brand equity is that the power of a brand lies in the minds of consumers and what they have experienced and learned about the brand over time. What aspects of the car and the way the car is positioned in the marketplace are appealing to our target market? What are the key identifiers that African Americans respond to when it comes to cars? 2. How does being a member of a minority affect African American purchase patterns of cars? We are interested in seeing what aspects of African American culture have an effect on purchasing a car. What do they want in life? What role does their car play in their daily lives? What aspects of advertising and the presentation of products appeal most to our target? Who do African Americans turn to when seeking information about cars? Are there certain brands and models that African Americans believe their peers mainly buy? We hope to develop a consumer profile of lifestyle and psychographic characteristics. Method of Qualitative Study Samples • Convenience sample
  • 6. Number of participants o Focus Group 1: 3 participants  Charles: 21 years old, male, from Syracuse, New York, owns his own car  Dan: 22 years old, male, from Syracuse, New York, has owned 2 cars  Ben: 23 years old, male, from the Bronx, New York, uses family’s car o Focus Group 2: 4 participants  Jeremy: 21 years old, male, from Brooklyn, New York, no car  Morgan: 20 years old, female, from Washington DC, owns car at home  Kenny: 19 years old, male, from Montclair, New Jersey, uses family’s car  Jordan: 20 years old, male, from Houston, Texas, owns a car at home o Individual interviews: 2 participants  Ariana: 21 years old, female, from Las Vegas, Nevada, no car  Arielle: 21 years old, female, born in Holland, from Montreal, Canada, no car   Explanations of Materials to be tested Our goal with conducting focus groups and individual interviews was to determine how African American Millenials feel about the car industry and Nissan as a brand, and the cultural aspects that influence this as a result of being a minority. We conducted this qualitative research in a comfortable setting, either in a one-on-one atmosphere or in a small focus group of no more than 6 participants. Location • Focus groups: living room at 204 Comstock, Apartment #2 • Interviews: quiet room with no distractions inside of Theta sorority house Atmosphere • Focus Group 1: o Nighttime, relaxed, participants were tired from long day of classes o Pizza and refreshments were available to participants • Focus Group 2: o Daytime, relaxed, participants were comfortable and friendly o Pizza and refreshments were available to participants Timeline • First focus group: o Tuesday, October 25, 2011 at 6:30 PM • Second focus group: o Friday, October 28, 2011 at 2:00 PM • Interviews: o Monday, October 31, 2011 at 6:00 PM o Tuesday, November 1, 2011 at 4:30 PM Analysis Grounded Theory: Rather than beginning with a hypothesis, the first step we took was collecting
  • 7. data through a variety of methods including secondary research, focus groups, and interviews. From the data collected, we made lists of key points that we found. The key points were then grouped into larger themes. With these themes we created a perceptual map to visualize and analyze the data. From this perceptual map we will move on to create concepts and insights important to the rest of the research. Findings of Qualitative Study Results • Nissan Themes: o Nissan is thought to be out of price range  “Are they expensive? I don’t think I would want to pay that much” o Not a car that they would ever want  “They are not cars that appeal to younger kids” o Slips under the radar  “Most of my peers drive big expensive cars or something small and efficient, there is no in-between. I don’t see Nissans that much.” o Can only picture a Nissan vaguely, but most didn’t know what they look like  “When I think of Nissan I think of red, fast, and their break light pattern. You can recognize a car very easily by their lights” o Look luxurious before realize is a Nissan  “Nissans are more luxury but not sporty”  “If you took the Nissan logo off of the car I would have thought it was a Lexus, the Nissan logo makes it less appealing” o Thought of Nissan as a luxurious brand  “Nissans are more luxury, not sporty” o Racing, flashy cars  “I associate speeding with Nissans” • Cars Themes: o Big on safety  “ I always get mad at my friends if they don’t put their seatbelts on”  “Safety, I feel like, should be very important” o Space is important  “I need a car that fits all my things if I need to move something”  “ I like my car to be big enough to drive around with friends” o Very practical thinkers  “Having a reliable car is key”  “I want my ideal car to be luxurious yet sporty, but for now I just need a car to get me places” o Want to be comfortable  “I am always driving and hanging out with my friends so I want a car that fits all of us comfortably”  “I definitely would only buy a 4-door car” o Cares about style  “The interior of cars tells a lot about you so I like to keep mine very clean” o Mileage is important
  • 8.  “Saving money on gas is important also” • Answers to research questions: o What is the brand equity of Nissan in this African American demographic?  Nissan in the minds of this demographic is either bland, almost nonexistent, or on the verge of having a negative connotation. Although they are viewed as “luxurious” cars they are not a top choice in their minds when considering purchasing a car. o How does being a member of a minority affect African American purchase patterns of cars?  Our respondents want their car to bring them from point A to point B; that is the most important aspect of their car because they are very rational about their car purchasing behavior. The rest are added bonuses: being luxurious, having a good stereo, being fast, etc. This group is very community oriented: they are always at school, driving around with friends, or spending time with their family members. Respondents said they would ask their parents for advice when buying a car and would also consider purchasing a brand solely because their parents once owned one. Although it is not incredibly important, they are also very interested in personalization of cars. They want their car to express themselves in subtle ways such as keeping the interior clean and having a nice stereo system. • Summary of Focus Group 1: o Our first focus group included three very sociable men who were very willing to speak with us and give their opinions. All three men were very familiar with Nissan as a brand and knew a great deal about cars in general. Although they knew many specific features and models of Nissan cars they were still unimpressed by the brand in general. Nissan was not a brand that they would consider first when buying a new car because it is too expensive and it is not a type of mind brand when thinking of buying a new car. The group had great insights as a result of knowing so much about car brands and often went off subject because of their enthusiasm about certain cars. They agreed that flashy luxurious cars were not ideal for their lifestyle but they would instead prefer a comfortable reliable car with enough room for their friends to ride with them. Therefore, this would not align with what the participants think of when they think of Nissan because no participants mentioned Nissan as a car that they would want. They wanted reliability, safety and comfort, but never mentioned Nissan when asked what first car they would want. It is clear that Nissan is overlooked when being considered as a first car. • Summary of Focus Group 2: o Participants in Focus Group 2 also confirmed the fact that Nissan lacks a specific brand identity. One participant even remarked, “I can’t even think of what a Nissan looks like.” Participants seemed lost to grasp an overall theme, image, or person they could associate with Nissan. They seemed to collectively agree Nissan was a fine car, but not a car they would consider buying. It seemed to have no place in their consumer awareness. • Summary of Interview 1: o Peers mainly drive BMWs and Hondas both at school and at home
  • 9. o Driving usually with friends going out, getting alcohol, or going out to eat o Believes that a car does show a lot about your personality, but only if you have the money to buy any car that you wanted o Practicality and getting from A to B are the most important factors o Couldn’t think of anyone that owns a Nissan o Wouldn’t be opposed to buying a Nissan but not first choice o Nothing stands out about the Nissan brand that attracts her o “If it didn’t have the logo on it, I wouldn’t know it was a Nissan” • Summary of Interview 2: o Not many peers have cars but those who do have Hondas o Most important factor is getting her from A to B o It’s very important to have a car that’s environmentally friendly o Likes Nissan, but would prefer another car – has nothing against them o They have nice sports cars, but their ordinary sedans are “bleh” o Nissan has a large array of designs but don’t have a target market o Possibly a copycat brand imitating other cars and models Discussions of Qualitative Study • What we found: o Not considered a top of mind brand o Slips under the radar o No brand personality, need to know “who they are” o No consistent way to draw a person that was Nissan o Need to advertise more o Come off as trying too hard o African Americans live in their “here and now” – not concerned about the future  Often said “I’d take a Nissan maybe in the future.” • Answer to research objective: o Current advertising for Nissan is not effective because it isn’t positioned as a top of mind car for African American Millenials • Relation to Secondary Research CARS o The study entitled “Honda’s Race Problem” describes how in the pat Honda Finance Corporation discriminated against African Americans by charging them higher finance markup charges than white customers. This is interesting due to the fact that many of our respondents thought favorably of Honda as a brand. o Our findings did somewhat correspond to the article “African American Attitudes toward domestic and foreign made automobiles”. The Article mainly argues African Americans do favor foreign cars. Our focus group findings demonstrated they view Honda as a car brand that they know is safe and reliable, as well as a car their friends drive. Nissan, as a brand, is not associated with being a foreign made car, but it does not negatively impact sales among this group of consumers. (Mokhiber, 2004)
  • 10. SAFETY o The article “Safety belt use among African Americans reaches record high” explains that there has been a great increase in the percentage of African Americans using their seat belts. The information from our focus group relates directly to this article because both the article and our focus group findings support that African Americans are extremely concerned with safety and this trend has been growing. (Safety, 2003) PURCHASE BEHAVIOR o Our findings did not relate to “Coping with Marketplace Discrimination: An Exploration of the Experiences of Black Men”. This article explains how many black men experience marketplace discrimination when shopping. In our focus group, no African American men reported feeling discriminated against or stressed during shopping experiences. (Crockett, 2003) o The article “Reaching America’s Minorities: Toyota Camry’s Pursuit of the Afro- American Audience and Opinions on What Latinas Want.” touched upon an important theme of the main psychographic characteristics of the African American demographic when considering their car purchasing behavior. The article stated that African Americans are best described as self-confident risk takers, style conscious, savvy, have strong family ties, and often seek new experiences. Our qualitative research found insights that related to the characteristics of savvy and having strong family ties. In general most of our respondents had a great deal of practical knowledge about cars and car brands. In addition to this we found that family ties were closely related to car purchasing behavior. Many respondents stated that they have previously owned or would purchase a car that their parents have. (Precourt, 2009) o To develop true connections with this consumer segment, marketers must understand that African Americans' personal culture makes them respond to marketing efforts differently from other consumers. The study, “Consumer Profile: African Americans”, outlined some of the key cultural characteristics that set this demographic apart from others. An important theme is the cultural aspect of expressing their identity. Since many African Americans are forced to face and overcome stereotypes they often express their identity in ways that goes against the stereotypes that exist. The insights we collected related to this in that all of our respondents had a negative opinion of the stereotypical flashy vehicle choices and preferred reliability. Another key insight we found that agreed with this article was the idea that African Americans have a strong sense of living in the moment. Our respondents were very practical about their car purchasing opinions, with gas expenses being a very important aspect of a car. (Consumer, 2009) o “10 Things About African Americans” touched upon the fact that African Americans tend to select brands that are reliable and represent quality. Although they are brand loyal, they are not blindly brand loyal. This came up in our focus groups when respondents admitted that they buy cars that their parents own but they take many things into consideration when deciding which car to buy. (10 Things, 2008)
  • 11. Exercises o See Appendices D & E o Exercise 1: List top 5 qualities that are important to you when looking for a car  Common themes we found in participants’ lists: • Safety • Space (4-door) • Speed • Gas efficient • Reliable • Comfort o Exercise 2: Draw what Nissan, Toyota, and Honda would like as a person  Majority of participants did not know how to portray Nissan, but when they did it was a very bland and plain character • Very all over the place because no true identity for Nissan • Varied from plain stick figure, to cool kid, to businessman  A common theme among Honda was a “geeky” or “nerdy” Asian  Some participants drew a soccer mom for Toyota, while others drew an every day guy such as a “cool” guy or a jock
  • 12. Cognitive Map Our cognitive map demonstrates two important themes that our target audience believes is true about Nissan. 1. No Brand Personality The first is that Nissan has no brand personality. They described is as “bland” and were often vague in their descriptions of Nissan, We felt as if Nissan is a brand that often times slips under the radar as a car that our target would consider as a new car. One important thing we found was that many participants could not picture a Nissan in their mind. 2. Too Expensive Many found Nissan to be too expensive of a car. Each respondent said that it was out of his or her personal price range and that it wasn’t practical. At times, they said that they would consider a Nissan “one day”.
  • 13. Implications for Advertising Campaign After our qualitative research, we realized that for this target audience, Nissan has no brand personality and is too expensive. It would be in Nissan’s best interest to create a campaign that builds a brand personality for Nissan. It needs to create an image in people’s minds that they envision when they think of Nisan. Nissan needs to decide what their most important quality is in their cars and create a campaign that revolves around this one quality. This target audience finds space, safety and reliability to be very important when purchasing a new car. If Nissan chose one of these qualities and created a campaign that revolved around that word, it would hit home with this group. The campaign also needs to provide customers incentives on why to buy such an expensive car, since the majority of our respondents found Nissan to be extremely expensive. We also believe that it would help Nissan to create advertisements that Future Research of Quantitative Study For future research, we would find it beneficial to find more about how African American Millenials feel about being a minority. Asking questions about their purchase behaviors, what brands they like and how often they shop would also be helpful in this study. We were very self- conscious about not offending the respondents, however, this would help our research greatly. Limitations of Qualitative Study • We did not have many female respondents within our focus groups. • Our one-on-one interviews were all female respondents. SECTION IV – phase 3 Research Questions for Quantitative Study 1. What is the brand equity of Nissan in the African American demographic? And what are the sources of this brand equity? A basic premise of brand equity is that the power of a brand lies in the minds of consumers and what they have experienced and learned about the brand over time. What aspects of the car and the way the car is positioned in the marketplace are appealing to our target market? What are the key identifiers that African Americans respond to when it comes to cars? 2. How does being a member of a minority affect African American purchase patterns of cars? We are interested in seeing what aspects of African American culture have an effect on purchasing a car. What do they want in life? What role does their car play in their daily lives? What aspects of advertising and the presentation of products appeal most to our target? Who do African Americans turn to when seeking information about cars? Are
  • 14. there certain brands and models that African Americans believe their peers mainly buy? We hope to develop a consumer profile of lifestyle and psychographic characteristics. Method of Quantitative Study The quantitative study was a 25 questions survey distributed to 231 people that contained a series of multiple choice, fill in the blank, and ranked survey questions. Respondents were mostly concentrated in the south, between the ages of 18 and 29. Results of Quantitative Study • Target demographic seems to greatly value their community. According to question 4, 38.7% of respondents agree their community influences what they buy. Also, 55.6% of respondents are concerned about the welfare of their community. 53.6 % of respondents agree spending time in the community is important. • 42.2% of the target demographic also values education as the most important community initiative, and 41.6% said arts and entertainment was the least important. This shows an emphasis on practicality within the demographic. • When respondents were asked to rank where they were most likely to look first to buy a new car, 60% said were most likely to go to family first, and 48.3% said they were pretty likely to go to friends. However, 61.3% said they would go to dealerships last for advice. • Interestingly, the presence of brands Chevy, Toyota, Honda, and Nissan were all ranked evenly among the respondents. Yet, Nissan continues to not be top of mind when buying a car. • Confidence (37%) was rated the most important when looking to a new trendsetter. Any brand that is top of market must exude confidence. According to question 4, 38.8% of respondents agree their community influences what they buy. • 52% of respondents said they were most likely to listen to R & B, 39% said they were secondly as likely to listen to hip hop, and 31% said their third most popular choice was hip hop. A great majority of these artists are also African American, meaning they associate and prefer most the artists they are most like. Discussions of Quantitative Study Our quantitative research revealed a presence of Nissan does exist within their community, and is a somewhat favorable brand. The two qualities most associated with the brand are “dependable,” and “stylish.” However, those who did not find Nissan to be a favorable brand said the car was just “average.” Our main finding resided in this fact. Nissan blends into the mind of consumer and buyers because they do not have a distinct trait or characteristic that makes the brand stand out. Also, when respondents were asked when presented with cars of all equal traits, which brand would they prefer, they preferred Honda and Toyota.
  • 15. Conclusions of Quantitative Study The demographic does value their community and has a sense of community values. They most value musical artists within their demographic. Nissan as a brand needs to break away from an “average” brand and focus on one aspect they do well and sell that aspect to create a brand identity. Future Research of Quantitative Study Future research would include running the survey on a different demographic to compare the results and see where the results differed. Limitations of Quantitative Study Respondents were 85% female. SECTION V– phase 3 Final Recommendations Nissan already is a good brand that sells a good product. They do not need to alter their product; Nissan needs to focus their campaign. By having a consistent campaign with one tone and theme, a brand identity will develop. Once a first identity is created, they then have a platform to emphasize other features they offer and show their versatility. The most important aspect to emphasize to the demographic is dependability, reliability, and economic stability. If Nissan can emphasize what they do best, then consumers will trust them and think of them when looking for a vehicle with those qualities. To make a successful campaign they should pick one tone and convey it over and over. This campaign will give Nissan an identity for possible consumers to use as a frame of reference. Buyers trust brands with a confident and consistent message. Nissan should decide what they do best and what pride themselves on as a brand, and make a campaign that drives those qualities repeatedly. Another suggestion, according to a 2011 article in the Journal of Interactive Advertising, it emphasizes the importance of ethnicities to feel represented within advertising to become users. The first step in engaging with a brand is to see their race represented within the campaign. If Nissan were to take this implication, they could use black actors and have subtle audio focused on rap or R&B music. By using these minute details, they would cater more to the African American market, but not ostracize others.
  • 16. Creative Brief Why are we communicating? Nissan does not have a strong presence currently among African American millennials. Advertising needs to reach out to these millennials to expand their market. What do we want the communication to do? Make Nissan a top choice for this target when deciding when to purchase a new vehicle. The target needs to understand know what Nissan does best. Who is our audience? African Americans ages 18-29, also known as millennials What do they currently think? Nissan is an average car with no brand identity or personality. The target knows of it but they have no way to define it or distinguish it from other brands. What do we want them to think? Nissan is a dependable car that aligns with their needs and wants for an affordable price. What is the big idea? Nissan is a dependable car that fits your budget. How do we make it believable? By picking one aspect and consistently concentrating on this over and over again, it will begin to create a brand image for the target. In addition, the repetition and reliability will convince the target of Nissan’s brand identity and their promise to its customers.
  • 17. References 10 Things About African Americans. (2008). The Futures Company, 1-12. Retrieved October 8, 2011, from Warc.com. Consumer Profile: African Americans. (2009). The Futures Company. Retrieved October 8, 2011, from Warc.com. Crockett, David, Sonya A. Grier, Jacqueline A. Williams. (2003). Coping with Marketplace Discrimination: An Exploration of the Experiences of Black Men. Academy of Marketing Science Review, 2003, 1. Retrieved October 15, 2011, from ABI/INFORM Global. (Document ID: 395019941). Davidson, Edith F. (2009). Unintended consequences of race-based segmentation strategies. Journal of Consumer Marketing, Vol. 26. Retrieved December 1, 2011, Emerald Group Publishing. http://www.emeraldinsight.com/journals.htm ?issn=0736-3761&volume=26&issue=3&articleid=1789299&show=html Ede, F. O. (2000). African-American Consumer Attitudes Toward Domestic and Foreign- made Automobiles. Management Research News, 23(5/6), 1-19. Retrieved from http://proquest.umi.com/pqdweb?index=11&did=290263851&SrchMode=1&sid=3&Fmt =4&VInst=PROD&VType=PQD&RQT=309&VName=PQD&TS=1318615438&clientI d=54941 Elias, Troy. (2009). Effects of Strength of Ethnic Identity and Product Presenter Race on Black Consumers Attitudes: A Multiple-Group Model Approach. The Journal of Interactive Advertising 11.2. Retrieved October 8, 2011, from Warc.com. Mokhiber, R. (2004). Honda's race problem. Multinational Monitor, 25(9), 30-30. Retrieved from http://search.proquest.com/docview/208869467?accountid=14214 National Student Advertising Competition: AAF. (2012, September). Nissan: Case Study & Policy and Procedures. Retrieved from http://www.blackboard.syr.edu.com/. Safety belt use among African Americans reaches record high. (2003). Professional Safety, 48(5), 1. Retrieved October 15, 2011, from ABI/INFORM Global. (Document ID: 336019671). The wall street journal, calendars and economy: auto sales. (2011, Oct 03). Retrieved from http://online.wsj.com/mdc/public/page/2_3022-autosales.html Toyota Venza: Are you Venza? (2011). ARF Ogilvy Awards Silver Multicultural, 1-7. Retrieved October 8, 2011, from Warc.com.
  • 18. SECTION VI – appendix APPENDIX A: Thoughts on Nissan from Focus Groups     • The collage above features images that came to mind when we asked respondents what they thought of when they thought of Nissan. • Many said Vin Diesel because he drives a Nissan in “Fast and Furious.” • The pictures of the Nissan cars are what respondents described when they talked about actual Nissan cars. • Nicholas Cage, Disney stars and The Rock were three other actors who were mentioned when respondents spoke about Nissan.
  • 19.   APPENDIX B: Moderator’s Guideline Focus Group Itinerary 1. Ask preliminary questions 2. Ask in depth car questions 3. Ask projective car questions 4. Projective technique #1 a. Write down list of top 5 qualities you find necessary in a car in order of importance. 5. Projective technique #2 a. If Nissan, Toyota and Honda were people, draw how they would look.
  • 20. APPENDIX C: Questionnaire Preliminary questions: • What year are you? • Where are you from? • What’s your major? • Where do you live on campus? In-depth car questions • Do you currently own a car? • Is your car up at school with you? • What brand of car do you have now? What do you like/dislike about it? • How many cars do you have in your household? • Who paid for your car? • Who is financially responsible for you car now? • Describe where you begin to look for a new car? • Do you have many friends/family who own Nissan vehicles? • Would you like to own a Nissan? Is it a car you’d pick for yourself? Why or why not? • What is the most commonly owned car among your peers? Why do you think it is that car? Projective: • If Nissan were a celebrity, who would it be and why? • What does a typical day and/or night look like when drive your car? Where do you go? Who do you drive with? • What visuals do you think of when you think of Nissan? Why? • Do you find your car to be most important for getting you from point A to point B or is it a definition of who you are as a person? Explain.
  • 21. APPENDIX D: Exercise 2 Draw what Nissan, Toyota, and Honda would look like as a person.
  • 22.                                                                                
  • 23.   APPENDIX  E:  Exercise  1     List  the  top  5  qualities  that  are  important   to  you  when  looking  for  a  car.  
  • 24.   APPENDIX  F:  Nissan  Research  Timeline