Today, when consumers hear about a product, their first reaction is "I'm going to look it up on the Internet."
According to multinational mass consumption companies, the most critical moments that affect the purchase decision (first moments of truth) occur, first of all, when the consumer is in front of the samples or gondolas of the supermarket and must decide which product to buy from between the variety that is presented to them (eg, deciding which cereal to buy when there is a great variety in front of it on the shelf), and secondly when they consume the product and feel satisfied or not with respect to it.
Now, thanks to the culture of Internet use, consumers today research everything they can about the products they want to buy before going to the stores to buy them. They review information from multiple sources about the brands and products that interest them. They browse, inquire, explore, dream and appropriate the information to feel sure of the purchase they will make. In turn, in addition to the knowledge they gain, they share their opinions and information with others online through forums, blogs, videos, and social networks.
This is what today Google calls 'The Zero Moment of Truth'” (Zero Moment of Truth), and it happens on the Internet long before going to make the actual purchase.
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The Swedish businessman Jan Carlzon in his book "The moment of truth" defined this concept as “A moment that occurs every time a customer comes into contact with any aspect of the brand or company and, therefore, has the opportunity to form an opinion”. This widely adopted concept in marketing and sales has come to suffer from certain changes generated by digital media.
The term is related to points of sale, which is why many people when talking about Moments of Truth illustrate it with the moment someone enters a store and comes into contact with a brand or product. From here also comes the association with the concept of Trade Marketing since the mission of this discipline is to understand the consumer "shopper" who is someone who has already crossed the door of a store.
Based on the above, traditionally in marketing three stages or key moments have been defined when a consumer approaches a brand:
- Stimulus: It is when the consumer sees advertising in some medium. It is the motivating element for the user to have the need to know the product or service.
- FMOT: In the year 2005, Procter & Gamble coined the FMOT – First Moment of Truth o First Moment of Truth – referring to the consumer who is facing the options of products or brands found in the store, supermarket window or web page. It is also understood as the moment of purchase.
- SMOT: Summarized as experience. The second moment of truth is based on the experience of a consumer with respect to the purchased product. If the consumer liked the product, you will surely have a new customer. Otherwise, in addition to losing a client, it would also possibly be someone who can counter-advertise, negative references in your circle of influence or through social networks.
What is the zero moment of truth?
Even though the previous three steps still apply, consumers are changing and a new moment between stimulus and FMOT has emerged: the zero moment of truth.
To illustrate this concept, Rishad Tobaccowala, director of strategy and innovation at VivaKi, one of the leaders in marketing, advertising and communication, tells the following story:
“A few months ago, I stayed at a relatively large hotel in New York. As I was going to my room, I saw a sign in the lobby that said, 'Don't miss the Max Weinberg band performing in the ballroom tonight at 8:00 pm.'
It turns out that since then I like Max Weinberg. So it was a classic marketing situation: the prompt was the ad 'Don't miss the Max Weinberg performance!' and the obvious response would have been to go down to the ballroom at eight o'clock, buy your ticket, and enjoy the show. However, I did not.
I went up to my room, turned on my laptop and started searching. He wanted to know what kind of music they played, what the band was like, how much the entrance ticket was, and what the ballroom was like. After getting that information, I was prepared to make a decision.”
The foregoing should make us reflect on the fact that consumers increasingly use digital media for their decision-making. What happens when a consumer no longer needs to go to the store to decide what products to buy? Now consumers search the Internet for opinions, criticisms, reviews and information about the products they want to buy.
This new moment is changing the rules of marketing. It is a stage in which millions of people through all kinds of electronic devices with Internet connection seek information for the decisions they will be making. It is definitely something that is beginning to have an impact on the success or failure of almost all brands.
Google, in 2011, has called it zero moment of truth or simply ZMOT (Zero Moment of Truth).
The most impressive thing about this new model is that it is not just a change in consumer products. The ZMOT is being generated in all industries, B2B, B2C, education and politics. Consumers continue to pay attention to traditional advertising. However, they now make many more decisions before settling on a product.
new consumers
Before they went from store to store, today they browse from site to site. The biggest change in the moments of truth paradigm is that consumers are the ones who actively seek information about the product they want to buy when they want it. They no longer have to wait to see an ad, listen to a spot or simply receive advertising impacts randomly, but rather they, on their own initiative, look for the information they consider necessary for their decision making. Thus, when they approach a gondola, a store or a website, they already have almost defined the purchase action they will carry out.
The answers to the search for information that consumers carry out on the Internet are found in forums, blogs, reviews, social networks, search engines, etc.
What should Latin American companies do to take advantage of ZMOT?
- Understand that the traditional stages of moments of truth are changing: ZMOT is a crucial new stage that adds to the classic three-step process: encouragement, purchase, and experience. When Procter & Gamble coined the FMOT, they realized that this stage in the buying decision was so important, that they created the position of Director of FMOT and asked Dina Howell to assume it. It is very important that a company appoint a person in charge who is proactive and who knows how to take advantage of change.
- Knowing that what used to be a message is now an interaction: Today, shoppers share their product information, in their own way and at their own pace. Kim Kadlec, Vice President Worldwide, Global Marketing Group, Johnson & Johnson, describes the change as follows: “We are entering the era of reciprocity. Now we have to approach people in a way that is useful to their lives. The consumer is looking to satisfy their needs and we must be there to help them achieve that goal. Put another way: How can we exchange value instead of sending a message?
- Take advantage of word of mouth as it is more important than ever: For the first time in the history of humanity, word of mouth is a medium that is archived digitally.
- Do not underestimate any moment of truth and know that moments of truth are finding a point of convergence: Computers and mobile devices are machines for moments of truth. As the use of these devices increases, the three moments of truth begin to converge. Companies must be clear:
- What are the keywords of interest that consumers use to search for information.
- Incorporate content of interest to potential customers and understand what are the common questions they have at any given time.
- To act quickly. You have to be in the right place and time.
- Jump. Action must be taken today. The perfect strategy for optimizing ZMOT is to test, measure, test, learn, optimize, and relaunch.
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