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1 Consumer Behavior-5 Psychological Core of Consumers Danny Abramovich 1 . Management 2 . Marketing 3 . Research 4 . Segmentation 5 . Consumer Behavior-3 6 . Creativity

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Consumer behavior has a lot to do with the psychological core; internal processes that involve perceptions, learning, and issues such as memory, motivations, values and needs. Furthermore, the presentation involves issues such as perceived risks, list of values (LOV) and FCB, a model that is based on the level of involvement of the consumer.

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Consumer Behavior-5

Psychological Core of Consumers

Danny AbramovichMarketing Plan Specialist

1 .Management2 .Marketing

3 .Research4 .Segmentation

5 .Consumer Behavior-36 .Creativity

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Management

Marketing

Marketing Research

Market Segmentation

Consumer Behavior

5. Consumer BehaviorMethodology

© Danny Abramovich

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5. What Affects CB?

What Affects Consumer Behavior?

5.1 Psychological Core (Internal Process)

5.2 Decision Making Process

5.3 Consumer’s Culture (External Process)

5.4 Consumer Behavior Outcomes

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5. What Affects CB?

Decision Making Process

Consumer Behavior Outcomes

Psychological Core Internal Process

Consumer’s CultureExternal Process

5.1 Psychological Core (Internal Process)5.2 Decision Making Process5.3 Consumer’s Culture (External Process)5.4 Consumer Behavior Outcomes

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5.1 Psychological Core

Psychological Core Internal Process

5.1 Psychological Core (Internal Process)5.2 Decision Making Process5.3 Consumer’s Culture (External Process)5.4 Consumer Behavior Outcomes

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5.1 Psychological Core

5.1.1. Perceptions

5.1.2. Learning & Memory

5.1.3. Motivation and Values

5.1.4. Attitudes & Attitude Change

5.1.5. The Self

5.1 Psychological Core (Internal Process)5.2 Decision Making Process5.3 Consumer’s Culture (External Process)5.4 Consumer Behavior Outcomes

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5.1 Psychological Core

5.1 Psychological Core (Internal Process)5.2 Decision Making Process5.3 Consumer’s Culture (External Process)5.4 Consumer Behavior Outcomes

Internal-process

Learning & M

emory

Learning – Change in behavior which comes with experience; directly or by

observing events

that affect others.

Brand Equity

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5.1 Psychological Core

5.1 Psychological Core (Internal Process)5.2 Decision Making Process5.3 Consumer’s Culture (External Process)5.4 Consumer Behavior Outcomes

Internal-process

Learning & M

emory

Memory – The process of acquiring information and storingit over time so that it will be available when needed.

ExternalEncodingStorageRetrieval inputs

Nostalgia

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5.1 Psychological Core

5.1.1. Perceptions

5.1.2. Learning & Memory

5.1.3. Motivation and Values

5.1.4. Attitudes & Attitude Change

5.1.5. The Self

5.1 Psychological Core (Internal Process)5.2 Decision Making Process5.3 Consumer’s Culture (External Process)5.4 Consumer Behavior Outcomes

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5.1 Psychological Core

5.1 Psychological Core (Internal Process)5.2 Decision Making Process5.3 Consumer’s Culture (External Process)5.4 Consumer Behavior Outcomes

Internal-process

Motivation, Values

& Involvem

ent

Motivation – The processes

that cause people to behave as they do especially when a NEED is aroused.

Marketing to satisfy needs!What are those needs?Why do they exist?

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5.1 Psychological Core

5.1 Psychological Core (Internal Process)5.2 Decision Making Process5.3 Consumer’s Culture (External Process)5.4 Consumer Behavior Outcomes

Internal-process

Motivation, Values

& Involvem

ent

Pyramid of Needs(Maslow, 1954)

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5.1 Psychological Core

5.1 Psychological Core (Internal Process)5.2 Decision Making Process5.3 Consumer’s Culture (External Process)5.4 Consumer Behavior Outcomes

Internal-process

Motivation, Values

& Involvem

ent

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5.1 Psychological Core

5.1 Psychological Core (Internal Process)5.2 Decision Making Process5.3 Consumer’s Culture (External Process)5.4 Consumer Behavior Outcomes

Internal-process

Motivation, Values

& Involvem

ent

Types of Perceived Risk

Functional Financial Physical-Safety Social Psychological Time

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5.1 Psychological Core

5.1 Psychological Core (Internal Process)5.2 Decision Making Process5.3 Consumer’s Culture (External Process)5.4 Consumer Behavior Outcomes

Internal-process

Motivation, Values

& Involvem

ent

Perceived risk vs. PLC?

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5.1 Psychological Core

5.1 Psychological Core (Internal Process)5.2 Decision Making Process5.3 Consumer’s Culture (External Process)5.4 Consumer Behavior Outcomes

Internal-process

Motivation, Values

& Involvem

ent

Value – A belief about some desirable end-state within a given culture.

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5.1 Psychological Core

5.1 Psychological Core (Internal Process)5.2 Decision Making Process5.3 Consumer’s Culture (External Process)5.4 Consumer Behavior Outcomes

Internal-process

Motivation, Values

& Involvem

ent

List of Values (LOV)A widely used nine-categories scalefor the measurement of values in avariety of consumer behavior contexts to include cross-cultural

comparison. e.g. Japanese tourism behavior abroad

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5.1 Psychological Core LOV

5.1 Psychological Core (Internal Process)5.2 Decision Making Process5.3 Consumer’s Culture (External Process)5.4 Consumer Behavior Outcomes

Internal-process

Motivation, Values

& Involvem

ent

Sense of belongingFun & enjoyment in lifeWarm relationships with othersSelf-fulfillmentBeing well-respectedExcitementSense of accomplishmentSecuritySelf-respect

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5.1 Psychological Core

5.1 Psychological Core (Internal Process)5.2 Decision Making Process5.3 Consumer’s Culture (External Process)5.4 Consumer Behavior Outcomes

Internal-process

Motivation, Values

& Involvem

ent

Involvement – The level ofperceived personal importanceevoked by the stimuli within aspecific situation. These levels can vary from ‘inertia’; buying a baguette, to ‘passion’; buying a ticket to a concert

of a celebrity you worship.

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5.1 Psychological Core

5.1 Psychological Core (Internal Process)5.2 Decision Making Process5.3 Consumer’s Culture (External Process)5.4 Consumer Behavior Outcomes

Internal-process

Motivation, Values

& Involvem

ent

FCB Grid – Working in Foote,Cone & Belding (FCB) advertisingagency, Richard Vaughn has incorporateda model that allows to understand people’sattitude toward advertising (1980).It is based on two dimensions:

1. Level of Involvement.2. Thinking/ Feeling-related products.

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5.1 Psychological Core

5.1 Psychological Core (Internal Process)5.2 Decision Making Process5.3 Consumer’s Culture (External Process)5.4 Consumer Behavior Outcomes

Internal-process

Motivation, Values

& Involvem

entFCBgrid

products

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5.1 Psychological Core

5.1 Psychological Core (Internal Process)5.2 Decision Making Process5.3 Consumer’s Culture (External Process)5.4 Consumer Behavior Outcomes

Internal-process

Motivation, Values

& Involvem

ent

The

Thinker

The

Reactor

The

Feeler

The

Doer

FCBgrid

products

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5.1 Psychological Core

5.1 Psychological Core (Internal Process)5.2 Decision Making Process5.3 Consumer’s Culture (External Process)5.4 Consumer Behavior Outcomes

Internal-process

Motivation, Values

& Involvem

ent

The ThinkerL-F-D

The

ReactorD-F-L

The

FeelerF-L-D

The

DoerD-L-F

Learn = information

Feel = attitude

Do = behavior

FCBgrid

products

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5.1 Psychological Core

5.1 Psychological Core (Internal Process)5.2 Decision Making Process5.3 Consumer’s Culture (External Process)5.4 Consumer Behavior Outcomes

Internal-process

Motivation, Values

& Involvem

ent

Life insurance

L-F-D

Beer

D-F-L

Perfume

F-L-D

Detergent

D-L-F

products

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5.1 Psychological Core

5.1 Psychological Core (Internal Process)5.2 Decision Making Process5.3 Consumer’s Culture (External Process)5.4 Consumer Behavior Outcomes

Internal-process

Motivation, Values

& Involvem

ent

Measuring Involvement

To me (object to be judged) is:1.ImportantUnimportant2.BoringInteresting3.RelevantIrrelevant4.ExcitingUnexciting5.involvingUn-involving

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5.1 Psychological Core

5.1 Psychological Core (Internal Process)5.2 Decision Making Process5.3 Consumer’s Culture (External Process)5.4 Consumer Behavior Outcomes

Internal-process

Motivation, Values

& Involvem

ent

How often do you experience the following feelings as a result of eating chocolate?

Happy never _:_:_:_:_:_:_:_:_ very often

Excited never _:_:_:_:_:_:_:_:_ very oftenDelighted never _:_:_:_:_:_:_:_:_ very oftenJoyous never _:_:_:_:_:_:_:_:_ very oftenSatisfied never _:_:_:_:_:_:_:_:_ very oftenProud never _:_:_:_:_:_:_:_:_ very oftenAnnoyed never _:_:_:_:_:_:_:_:_ very oftenDepressed never _:_:_:_:_:_:_:_:_ very oftenGuilty never _:_:_:_:_:_:_:_:_ very oftenRegretful never _:_:_:_:_:_:_:_:_ very often

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5.1 Psychological Core

5.1.1. Perceptions

5.1.2. Learning & Memory

5.1.3. Motivation and Values

5.1.4. Attitudes & Attitude Change

5.1.5. The Self

5.1 Psychological Core (Internal Process)5.2 Decision Making Process5.3 Consumer’s Culture (External Process)5.4 Consumer Behavior Outcomes

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5.1 Psychological Core

5.1 Psychological Core (Internal Process)5.2 Decision Making Process5.3 Consumer’s Culture (External Process)5.4 Consumer Behavior Outcomes

Internal-process

Attitudes and

Attitude change

Attitude – A lasting, general evaluation of any marketing stimuli: people, products, brands, etc.

Its components are Affection - feelBehavior - doCognition - know

Social Marketing

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5.1 Psychological Core

5.1 Psychological Core (Internal Process)5.2 Decision Making Process5.3 Consumer’s Culture (External Process)5.4 Consumer Behavior Outcomes

Internal-process

Attitudes and

Attitude change

The ABC of attitudes The Affective component (feel):

I feel good about myself when I drive a BMW.

The Behavioral Component (act):I will buy a BMW next time.

The Cognitive Component (beliefs):I think BMWs are quality cars.

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5.1 Psychological Core

5.1 Psychological Core (Internal Process)5.2 Decision Making Process5.3 Consumer’s Culture (External Process)5.4 Consumer Behavior Outcomes

Internal-process

Attitudes and

Attitude change

Automated

audience

measurement

solution

www.quividi.com

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5.1 Psychological Core

5.1 Psychological Core (Internal Process)5.2 Decision Making Process5.3 Consumer’s Culture (External Process)5.4 Consumer Behavior Outcomes

Internal-process

Attitudes and

Attitude change

…evaluation of people, objects, or issues.

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5.1 Psychological Core

5.1 Psychological Core (Internal Process)5.2 Decision Making Process5.3 Consumer’s Culture (External Process)5.4 Consumer Behavior Outcomes

Internal-process

Attitudes and

Attitude change

Changing Attitudes through

Communication,

Marketing Communication,

MarCom!

Source Coding Message Channel Decoding Reception Obj. Sign Media

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5.1 Psychological Core

5.1 Psychological Core (Internal Process)5.2 Decision Making Process5.3 Consumer’s Culture (External Process)5.4 Consumer Behavior Outcomes

Internal-process

Attitudes and

Attitude change

Source Coding Message Channel Decoding Reception Obj. Sign Media

= Information = Communication

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5.1 Psychological Core (Internal Process)5.2 Decision Making Process5.3 Consumer’s Culture (External Process)5.4 Consumer Behavior Outcomes

Internal-process

Attitudes and

Attitude change

Selected Types of

Message Appeals:

Emotional vs. Rational:

Sex Metaphors

Humor Rational

Fear Emotional

5.1 Psychological Core Appeals

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5.1 Psychological Core (Internal Process)5.2 Decision Making Process5.3 Consumer’s Culture (External Process)5.4 Consumer Behavior Outcomes

Sex

5.1 Psychological CoreAppeals

• Subliminal techniques.• Sex increases attention.• Brand recall is lower.• May interfere message.

Attitudes and

Attitude change

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Sex

Humor

5.1 Psychological CoreAppeals

• Used in 30% of all ads.• Score in recall tests.

Attitudes and

Attitude change

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5.1 Psychological Core (Internal Process)5.2 Decision Making Process5.3 Consumer’s Culture (External Process)5.4 Consumer Behavior Outcomes

Attitudes and

Attitude change

Sex Humor

Fear

5.1 Psychological CoreAppeals

• Solutions to anxiety.• “If-than approach”.• fear can backfire.

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5.1 Psychological Core (Internal Process)5.2 Decision Making Process5.3 Consumer’s Culture (External Process)5.4 Consumer Behavior Outcomes

Attitudes and

Attitude change

Sex Humor Fear

Metaphors

5.1 Psychological CoreAppeals

When aword orphraseis applied to something it does not literally resemblein order to emphasize particular qualities.

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5.1 Psychological Core (Internal Process)5.2 Decision Making Process5.3 Consumer’s Culture (External Process)5.4 Consumer Behavior Outcomes

Attitudes and

Attitude change

Sex Humor Fear Metaphors

Rational

5.1 Psychological CoreAppeals

• Suites for: - Printed media, - B2B advertisers,

- involvement products.

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Sex Humor Fear Metaphors Rational

Emotional

5.1 Psychological CoreAppeals

This ad for a nonprofit animal rights and rescue group draws on viewers’ sympathies toward animals.

Attitudes and

Attitude change

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5.1 Psychological Core

5.1.1. Perceptions

5.1.2. Learning & Memory

5.1.3. Motivation and Values

5.1.4. Attitudes & Attitude Change

5.1.5. The Self

5.1 Psychological Core (Internal Process)5.2 Decision Making Process5.3 Consumer’s Culture (External Process)5.4 Consumer Behavior Outcomes

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5.1 Psychological Core

5.1 Psychological Core (Internal Process)5.2 Decision Making Process5.3 Consumer’s Culture (External Process)5.4 Consumer Behavior Outcomes

Internal-process

The Self

Many products are bought because

the person is trying to highlight or

hide some aspect of the self.e.g. consumers strive to fulfill their society’s expectations about how a male or female should look and act (Solomon & Al., 1999).

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5.1 Psychological Core

5.1 Psychological Core (Internal Process)5.2 Decision Making Process5.3 Consumer’s Culture (External Process)5.4 Consumer Behavior Outcomes

Internal-process

The Self

Self-esteem (SE) refers to the+ity level of a person’s self-concept.

e.g. consumers with a SE tend to prefer last-minute offers while those with SE tend to opt forportion-controlled snacks.

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5.1 Psychological Core

5.1 Psychological Core (Internal Process)5.2 Decision Making Process5.3 Consumer’s Culture (External Process)5.4 Consumer Behavior Outcomes

Internal-process

The Self

Self-consciousness (SC) refers toThe level of embarrassment deriving from the feeling that others are critically aware of you.

e.g. a student during class vs. ina student party.

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5.1 Psychological Core

5.1 Psychological Core (Internal Process)5.2 Decision Making Process5.3 Consumer’s Culture (External Process)5.4 Consumer Behavior Outcomes

Internal-process

The Self

Sexual identity is a state of mindas well as body and may vary according to cultures.Each society determines what “real” men and women should and should not do!

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5.1 Psychological Core

5.1 Psychological Core (Internal Process)5.2 Decision Making Process5.3 Consumer’s Culture (External Process)5.4 Consumer Behavior Outcomes

Internal-process

The Self

Ideal of beauty refers to aparticular or exemplar appearance: physical features, clothing style, cosmetics, skin tone,body type, etc.

Is beauty universal?

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5.1 Psychological Core

5.1 Psychological Core (Internal Process)5.2 Decision Making Process5.3 Consumer’s Culture (External Process)5.4 Consumer Behavior Outcomes

Internal-process

The Self

Ideal of beauty refers to aparticular or exemplar appearance.

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5.1 Psychological Core

5.1.1. Perceptions

5.1.2. Learning & Memory

5.1.3. Motivation and Values

5.1.4. Attitudes & Attitude Change

5.1.5. The Self

5.1 Psychological Core (Internal Process)5.2 Decision Making Process5.3 Consumer’s Culture (External Process)5.4 Consumer Behavior Outcomes

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5.1 Psychological Core

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5. What Affects CB?

What Affects Consumer Behavior?

5.1 Psychological Core (Internal Process).

5.2 Decision Making Process.

5.3 Consumer’s Culture (External

Process).

5.4 Consumer Behavior Outcomes.

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Part Six out of Six