- 1. Consumer Behavior Perception, Learning, Personality, Social
Class
2. MEET THE NEW CONSUMER and smile when you dobecause she is
your boss. It may not be the person you thought you knew. Instead
of choosing from what you have to offer, she tells you what she
wants. You figure it out how to give it to her. -Fortune Editor 3.
Dominant forces shaping Consumer Research
- Factors that move an economy from Production-driven to
Market-driven
- Level of sophistication with which human behaviour is
understood in psychology and other behavioural sciences
4. What is Consumer Behavior? The study of individuals, groups,
or organizations and the processes they use to select, secure, use,
and dispose of products, services, experiences, or ideas to satisfy
needs and the impacts that these processes have on the consumer and
society. 5.
- Why study Consumer Behaviour?
- Consumer behaviour theory provides the manager with the proper
questions to ask
- Marketing practice designed to influence consumer behavior
influences the firm, the individual, and society
- All marketing decisions and regulations are based on
assumptions about consumer behaviour.
6. The advice to footwear salesmen should be Dont sell shoes
sell lovely feet Marketers must contend with small changing
segments of highly selective buyers intent on receiving genuine
value at the lowest price 7. All managers must become astute
analysts of Consumer motivation and Behaviour
- Three foundations for marketing decisions
8. Enhancing Consumer Value-added Marketers have to constantly
innovate after understanding their consumers to strip out costs
permanently by focusing on what adds value for the customer and
eliminating what doesnt. 9. Individualised Marketing
- A very personal form of marketing that recognises,
acknowledges, appreciates and serves individuals who become or are
known to the marketer.
10. Variables involved in understanding consumer behaviour
- Stimulus ads, products, hungerpangs
- Response physical/mental reaction to the stimulus
- Intervening variables mood, knowledge, attitude, values,
situations, etc.
11. Marketing Strategy & Consumer Behaviour 12.
- Providing superior customer value to our target market-
13.
14. Creating Satisfied Customers 15. Consumer Behavior is
Product Person Situation Specific Personal Characteristics Product
Characteristics Consumption Situation Consumer Behavior Marketing
Strategy 16. Consumer Lifestyles and Consumer Decisions Consumer
Lifestyle Needs/Attitudes That Influence Consumption Decisions
Consumer Choices Behavior/Experiences That Influence Consumption
Decisions 17. Overall Model Of Consumer Behavior 18. 19. 20. 21.
Perception
- The process by which an individual selects, organizes, and
interprets stimuli into a meaningful and coherent picture of the
world
- How we see the world around us
22. Information Processing forConsumer Decision Making 23. The
Nature of Perception
- Exposure : when a stimulus comes within range of our sensory
receptor nerves
- Attention : when the stimulus activates one or more sensory
receptor nerves and the resulting sensations go to the brain for
processing
- Interpretation : the assignment of meaning to sensations
24. Use of Isolation and Contrast 25. Elements of Perception
26. Sensation
- The immediate and direct response of the sensory organs to
stimuli
- Sensitivity to stimuli varies with the quality of an
individuals sensory receptors
- Sensation itself depends on energy change within the
environment where the perception occurs (i.e. the differentiation
of input)
- As sensory input decreases , our ability to detect changes in
input increases, to the point that we attain maximum sensitivity
under conditions of minimal stimulation
27. The absolute threshold
- The lowest level at which individual can experience a sensation
is called the absolute threshold.
- sensory adaptation-Under conditions of constant stimulation ,
the absolute threshold increases.
28. 29. 30. Differential Threshold
- Minimal difference that can be detected between two similar
stimuli
- Also known as the just noticeable difference (the j.n.d.)
31. Webers Law
- The j.n.d. between two stimuli is not an absolute amount but an
amount relative to the intensity of the first stimulus
- Webers law states that the stronger the initial stimulus, the
greater the additional intensity needed for the second stimulus to
be perceived as different.
32. Marketing Applicationsof the J.N.D.
- Marketers need to determine the relevant j.n.d. for their
products
-
- so that negative changes are not readily discernible to the
public
-
- so that product improvements are very apparent to
consumers
33. Marketing Applicationsof the J.N.D.
- Marketers need to determine the relevant j.n.d. for their
products
-
- so that negative changes are not readily discernible to the
public
-
- so that product improvements are very apparent to
consumers
34. Subliminal Perception
- Stimuli that are too weak or too brief to be consciously seen
or heard may be strong enough to be perceived by one or more
receptor cells.
35. Is Subliminal Persuasion Effective?
- Extensive research has shown no evidence that subliminal
advertising can cause behavior changes
- Some evidence that subliminal stimuli may influence affective
reactions
36. 37. Aspects of Perception Selection Organization
Interpretation 38. Aspects of Perception Selection Organization
Interpretation 39. Perceptual Selection
- Consumers subconsciously are selective as to what they
perceive.
- Stimuli selected depends on two major factors
-
- Consumers previous experience
40. Stimulus Factors
- Size and Intensity influence the probability of paying
attention
- Larger stimuli are more likely to be noticed than a small
one
47 ONE THIRD PAGE 56 ONE HALF PAGE 68 TWO THIRDS PAGE 76 1 PAGE
107 SPREAD NO. OF RESPONSES SIZE 41.
- INSERTION FREQUENCY-THE NUMBER OF TIMES THE SAME AD APPEARS IN
THE SAME ISSUE OF A MAGAZINE, HAS AN IMPACT SIMILAR TO AD SIZE
42.
- Color and Movement serve to attract attention
43. Position
- Placement of the object in a persons visual field
44. Perceptual Selection
- Consumers seek out messages which:
-
- Reassure them of good purchases
Concepts 45. Marketing Applicationsof the J.N.D.
- Marketers need to determine the relevant j.n.d. for their
products
-
- so that negative changes are not readily discernible to the
public
-
- so that product improvements are very apparent to
consumers
46. Subliminal Perception
- Stimuli that are too weak or too brief to be consciously seen
or heard may be strong enough to be perceived by one or more
receptor cells.
47. Is Subliminal Persuasion Effective?
- Extensive research has shown no evidence that subliminal
advertising can cause behavior changes
- Some evidence that subliminal stimuli may influence affective
reactions
48. 49. Aspects of Perception Selection Organization
Interpretation 50. Aspects of Perception Selection Organization
Interpretation 51. Perceptual Selection
- Consumers subconsciously are selective as to what they
perceive.
- Stimuli selected depends on two major factors
-
- Consumers previous experience
52. Stimulus Factors
- Size and Intensity influence the probability of paying
attention
- Larger stimuli are more likely to be noticed than a small
one
47 ONE THIRD PAGE 56 ONE HALF PAGE 68 TWO THIRDS PAGE 76 1 PAGE
107 SPREAD NO. OF RESPONSES SIZE 53.
- INSERTION FREQUENCY-THE NUMBER OF TIMES THE SAME AD APPEARS IN
THE SAME ISSUE OF A MAGAZINE, HAS AN IMPACT SIMILAR TO AD SIZE
54.
- Color and Movement serve to attract attention
55. Position
- Placement of the object in a persons visual field
56. Perceptual Selection
- Consumers seek out messages which:
-
- Reassure them of good purchases
Concepts 57. Perceptual Selection
- Heightened awareness when stimuli meet their needs
- Consumers prefer different messages and medium
Concepts 58. Perceptual Selection
- Screening out of stimuli which are threatening
Concepts 59. Perceptual Selection
- Consumers avoid being bombarded by:
Concepts 60. Aspects of Perception Selection Organization
Interpretation 61. Organization
- People tend to organize perceptions into figure-and-ground
relationships.
- The ground is usually hazy.
- Marketers usually design so the figure is the noticed
stimuli.
Principles 62. 63. 64. 65. Organization
- People group stimuli to form a unified impression or
concept.
- Grouping helps memory and recall.
Principles 66. 67. 68. Organization
- People have a need for closure and organize perceptions to form
a complete picture.
- Will often fill in missing pieces
- Incomplete messages remembered more than complete
Principles 69. 70. Aspects of Perception Selection Organization
Interpretation 71. Interpretation
- Positive attributes of people they know to those who resemble
them
- Important for model selection
- Attractive models are more persuasive for some products
Perceptual Distortion 72. Interpretation
- People hold meanings related to stimuli
- Stereotypes influence how stimuli are perceived
Perceptual Distortion 73. Interpretation
- First impressions are lasting
- The perceiver is trying to determine which stimuli are
relevant, important, or predictive
Perceptual Distortion 74. Interpretation
- People tend not to listen to all the information before making
conclusion
- Important to put persuasive arguments first in advertising
Perceptual Distortion 75. Interpretation
- Consumers perceive and evaluate multiple objects based on just
one dimension
- Used in licensing of names
- Important with spokesperson choice
Perceptual Distortion 76. Issues in Consumer Imagery
- Product Positioning and Repositioning
77. Positioning
- Establishing a specific image for a brand in the consumers
mind
- Product is positioned in relation to competing brands
- Conveys the concept, or meaning, of the product in terms of how
it fulfills a consumer need
- Result of successful positioning is a distinctive, positive
brand image
78. Positioning Techniques
- Positioning against Competition
- Positioning Based on a Specific Benefit
- Finding an Unowned Position
- Filling Several Positions
79. Perceptual Mapping
- A research technique that enables marketers to plot graphically
consumers perceptions concerning product attributes of specific
brands
80. Perceptual Mapping 81. Perceived Quality
- Perceived Quality of Products
-
- Intrinsic vs. Extrinsic Cues
- Perceived Quality of Services
- Price/Quality Relationship
82. Perceived Quality of Services
- Difficult due to characteristics of services
-
- Simultaneously Produced and Consumed
- SERVQUAL scale used to measure gap between customers
expectation of service and perceptions of actual service
83. Price/Quality Relationship
- The perception of price as an indicator of product quality
(e.g., the higher the price, the higher the perceived quality of
the product.)
84.
- IT IS RELATIVELY PERMANENT CHANGE IN BEHAVIOUR OCCURING AS A
RESULT OF EXPERIENCE.
- TYPES OF LEARNED BEHAVIOUR
- SYMBOLIC LEARNING AND PROBLEM SOLVING
85.
- PRINCIPLE ELEMENTS OF LEARNING
- MOTIVE -they arouse individuals ,thereby increasing their
readiness to respond
- CUES-It is a weak stimulus not strong enough to arouse
consumers, but capable of providing direction to motivated
activity
- RESPONSE-mental or physical activity the consumer makes in
reaction to a stimulus situation.
- REINFORCEMENT-anything that follows a response and increases
the tendency of response to reoccur in a similar situation.
86. THEORIES OF LEARNING CLASSICAL CONDITIONING
UNCONDITIONEDSTIMULUS MEAT PASTE CONDITIONED STIMULUS BELL
CONDITIONED STIMULUS BELL CONDITIONEDRESPONSE SALIVATION
UNCONDITIONEDRESPONSE SALIVATION AFTER REPEATED PAIRINGS 87.
- CREATION OF A STRONG ASSOCIATION BETWEEN CSAND US REQUIRES
- FORWARD CONDITIONING (i.e. CS should precede US)
- Repeated pairings of CS and US
- A CS and US that logically belong to each other
- A CS that is novel and unfamiliar
- A US that is biologically or symbolically salient
88.
- STRATEGIC APPLICATIONS OF CLASSICAL CONDITIONING
89. 90.
- PRODUCT LINE,FORM AND CATEGORY EXTENSIONS
91. INSTRUMENTAL CONDITIONING STIMULUS SITUATION NEEDNEWSHOES
TRY BRAND A TRY BRAND B TRY BRAND C TRY BRAND D REWARD PERFECT FIT
UNREWARDED NOT COMFORTABLE UNREWARDED LIMITED STYLES UNREWARDED BAD
FIT REPEAT BEHAVIOUR 92. 93. 94. What Is Personality
- The inner psychological characteristics that both determine and
reflect how a person responds to his or her environment
95. The Nature of Personality
- Personality reflects individual differences
- Personality is consistent and enduring
96. Theories of Personality
-
- Unconscious needs or drives are at the heart of human
motivation
- Neo-Freudian personality theory
-
- Social relationships are fundamental to the formation and
development of personality
-
- Quantitative approach to personality as a set of psychological
traits
97. Freudian Theory
-
- Warehouse of primitive or instinctual needs for which
individual seeks immediate satisfaction
-
- Individuals internal expression of societys moral and ethical
codes of conduct
-
- Individuals conscious control that balances the demands of the
id and superego
98. One of Many Sites Devoted to Freud 99. A Representation of
the Interrelationships Amongthe Id, Ego, and Superego 100. Freudian
Theory andProduct Personality
- Consumer researchers using Freuds personality theory see
consumer purchases as a reflection and extension of the consumers
own personality
101. Neo-Freudian PersonalityTheory
- We seek goals to overcome feelings of inferiority
- We continually attempt to establish relationships with others
to reduce tensions
- Karen Horney was interested in child-parent relationships and
desires to conquer feelings of anxiety.Proposed three personality
groups
-
- Compliantmove toward others, they desire to be loved, wanted,
and appreciated
-
- Aggressivemove against others
-
- Detachedmove away from others
102. Trait Theory
- Personality theory with a focus on psychological
characteristics
- Trait - any distinguishing, relatively enduring way in which
one individual differs from another
- Personality is linked to how consumers make their choices or to
consumption of a broad product category - not a specific brand
103.
- Optimum stimulation level
- The degree to which consumers are receptive to new products,
new services, or new practices
Consumer Innovators And Noninnovators 104.
- Optimum stimulation level
- A personality trait that reflects the degree of rigidity a
person displays toward the unfamiliar and toward information that
is contrary to his or her own established beliefs
Consumer Innovators And Noninnovators 105.
- Optimum stimulation level
- Ranges on a continuum for inner-directedness to
other-directedness
-
- rely on own values when evaluating products
-
- less likely to be innovators
Consumer Innovators And Noninnovators 106.
- Optimum stimulation level
- Consumers who avoid appearing to conform to expectations or
standards of others
Consumer Innovators And Noninnovators 107. A Sample Items from a
Consumers Need for Uniqueness Scale
- I collect unusual products as a way of telling people Im
different
- When dressing, I have sometimes dared to be different in ways
that others are likely to disapprove
- When products or brands I like become extremely popular, I lose
interest in them
- As far as Im concerned, when it comes to the products I buy and
the situations in which I use them, custom and rules are made to be
broken
- I have sometimes purchased unusual products or brands as a way
to create a more distinctive personal image
108.
- Optimum stimulation level
- A personality trait that measures the level or amount of
novelty or complexity that individuals seek in their personal
experiences
- High OSL consumers tend to accept risky and novel products more
readily than low OSL consumers.
Consumer Innovators And Noninnovators 109.
- Optimum stimulation level
- Measures a consumers degree of variety seeking
-
- Exploratory Purchase Behavior
Consumer Innovators And Noninnovators 110. Cognitive Personality
Factors
-
- A persons craving for enjoyment of thinking
-
- Individual with high NC more likely to respond to ads rich in
product information
- Visualizers versus verbalizers
-
- A persons preference for information presented visually or
verbally
-
- Verbalizers prefer written information over graphics and
images.
111. From Consumer Materialism to Compulsive Consumption
-
- The extent to which a person is considered materialistic
- Fixated consumption behavior
-
- Consumers fixated on certain products or categories of
products
- Compulsive consumption behavior
-
- Addicted or out-of-control consumers
112. Sample Items to Measure Compulsive Buying
- When I have money, I cannot help but spend part or the whole of
it.
- I am often impulsive in my buying behavior.
- As soon as I enter a shopping center, I have an irresistible
urge to go into a shop to buy something.
- I am one of those people who often responds to direct mail
offers.
- I have often bought a product that I did not need, while
knowing I had very little money left.
113. Consumer Ethnocentrism
- Ethnocentric consumers feel it is wrong to purchase
foreign-made products
- They can be targeted by stressing nationalistic themes
114. Brand Personality
- Personality-like traits associated with brands
-
- BMW is performance driven
-
- Levis 501 jeans are dependable and rugged
- Brand personality which is strong and favorable will strengthen
a brand but not necessarily demand a price premium
115. A Brand Personality Framework 116. Product Personality
Issues
-
- Often used for brand personalities
-
- Some product perceived as masculine (coffee and toothpaste)
while others as feminine (bath soap and shampoo)
-
- Actual locationsnames used
-
- Color combinations in packaging and products denotes
personality
117. Commands respect, authority
- IBM holds the title to blue
- Associated with club soda
- Men seek products packaged in blue
- Houses painted blue are avoided
- Coffee in a blue can perceived as mild
Caution, novelty, temporary, warmth
- Coffee in yellow can perceived as weak
Secure, natural, relaxed or easy- going, living things
- Associated with vegetables and chewing gum
- Canada Dry ginger ale sales increased when it changed
sugar-free package from red to green and white
BLUE YELLOW GREEN The Personality-like Associations of Colors
118. Human, exciting, hot, passionate, strong
- Coffee in a red can perceived as rich
- Women have a preference for bluish red
- Men have a preference for yellowish red
Powerful, affordable, informal
Informal and relaxed, masculine, nature
- Coffee in a dark-brown can was too strong
- Men seek products packaged in brown
Goodness, purity, chastity, cleanliness, delicacy, refinement,
formality
- Suggests reduced calories
- Clean, bath products, feminine
Sophistication, power, authority, mystery
Regal, wealthy, stately
RED ORANGE BROWN WHITE BLACK SILVER, GOLD 119. Self and
Self-Image
- Consumers have a variety of enduring images of themselves
- These images are associated with personality in that
individuals consumption relates to self-image
120.
- A single consumer will act differently in different situations
or with different people
- We have a variety of social roles
- Marketers can target products to a particular self
Issues Related to Self and Self-Image 121.
- Makeup of the self -image
- Contains traits, skills, habits, possessions, relationships and
way of behavior
- Developed through background, experience, and interaction with
others
- Consumers select products congruent with this image
Issues Related toSelf and Self-Image 122. Different Self-Images
Actual Self-Image Ideal Self-Image Ideal Social Self-Image Social
Self-Image Expected Self-Image 123.
- Possessions can extend self in a number of ways:
-
- Conferring status or rank
-
- Bestowing feelings of immortality
-
- Endowing with magical powers
Issues Related toSelf and Self-Image 124.
- Consumers use self-altering products to express individualism
by
-
- Maintaining the existing self
Issues Related toSelf and Self-Image 125.
- Hierarchical division of society into relatively permanent and
homogeneous groups with respect to attitudes, values and
lifestyles.
- Criteria for a Social Class System:Individual Classes Must
Be:
126. Social Standing Influences Behavior 127. Not All Behaviors
within a Social Class are Unique Unique Behaviors Shared Behaviors
Excluded Behaviors Behaviors associatedwith a particularsocial
class Behaviors not Engaged in Behaviors shared With other Social
Classes 128. Positioning Within Social Class Working- Class
Aristocrats Disdain Upper- Middle Class Prefer Working- Class
Products And Brands Positioning Working-class Symbolism for
Working-class Products 129. Upward-Pull Strategy 130. Measuring
Social Status
-
- Occupation (e.g., Socioeconomic Index: SEI)
-
- Income (e.g., individual, family, before or after tax)
- Advantage:Allow estimation of the impact of specific status
dimensions on the consumption process.
- Disadvantage:Less accurate at predicting an individuals overall
position in a community.
131. Measuring Social Status
-
- Hollingshead Index of Social Position
-
- Warners Index of Status Characteristics
-
- Census Bureaus Index of Socioeconomic Status
- Advantage:More accurate at predicting an individuals overall
position in a community.
- Disadvantage:Overall status may mask useful associations
between individual status dimensions and the consumption process
for particular products.
132. Positioning and Social Class Segments 133. What Is a
Group?
- Two or more people who interact to accomplish either individual
or mutual goals
- A membership group is one to which a person either belongs or
would qualify for membership
- A symbolic group is one in which an individual is not likely to
receive membership despite acting like a member
134. Indirect Reference Groups Individuals or groups with whom a
person identifies but does not have direct face-to-face contact,
such as movie stars, sports heroes, political leaders, or TV
personalities. 135. Major Consumer Reference Groups 136. Positive
Influences on Conformity
- Fear of Negative Evaluation
137. GROUP EXERT INFLUENCES
- ATTITUDE TOWARDS THE GROUP
- VIEWS THE REFERENCE GROUP AS A CREDIBLE SOURCE OF
INFORMATION
- VALUES THE VIEWS AND REACTIONS
- ACCEPTS THE REWARDS AND SANCTIONS
- DISTINCTIVE AND EXCLUSIVE
138. Selected Consumer-RelatedReference Groups
- Virtual groups or communities
Wild Planet Video 139. A FRIENDMENTIONS THAT STORE X HAS A
GOODCOLLECTION OF SUITS A DEVELOPS ACONSEVATIVEWARDROBE A BUYS THE
RECOMMENDEDMOUTHWASH NEEDING A NEW SUITA DECIDESTO VISITTHE STORE
NORMATIVE IDENTIFICATION AN ADSTRESSES THATEVENYOUR FRIENDS WONT
TELL YOU IF YOU HAVE BAD BREATH-THEY WILL IGNORE YOU INFORMATIONAL
Behavioral response SITUATION Type of influence OVER TIME.A
NOTICESTHAT SUCCESSFULEXECUTIVES DRESS CONSERVATIVELY 140. PRIVATE
PRIVATE NECESSITIES PRIVATE (WEAK REFERENCE GROUP INFLUENCE ON
BRAND) PUBLIC PUBLIC NECESSITIES VISIBLE (STRONG REFERENCE GROUP
INFLUENCE ON BRAND) NONNECESSITY (STRONG REFERENCE GROUP INFLUENCE
ON PRODUCT) NECESSITY (WEAK REFERENCE GROUP INFLUENCE ON PRODUCT)
CONSUMPTION 141.
- High relevance of product
HIGH DEGREEOF REFERENCE GROUP INFLUENCE 142. Consumer
Socialization The process by which children acquire the skills,
knowledge, and attitudes necessary to function as consumers. 143. A
Simple Model of theSocialization Process - Figure 10.11 144. Table
10.7Eight Roles in the FamilyDecision-Making Process ROLE
DESCRIPTION Influencers Family member(s) who provide information to
other members about a product or service Gatekeepers Family
member(s) who control the flow of information about a product or
service into the family Deciders Family member(s) with the power to
determine unilaterally or jointly whether to shop for, purchase,
use, consume, or dispose of a specific product or service Buyers
Family member(s) who make the actual purchase of a particular
product or service Preparers Family member(s) who transform the
product into a form suitable for consumption by other family
members Users Family member(s) who use or consume a particular
product or service Maintainers Family member(s) who service or
repair the product so that it will provide continued satisfaction.
Disposers Family member(s) who initiate or carry out the disposal
or discontinuation of a particular product or service 145. The
Family Life Cycle
- Traditional Family Life Cycle
- Modifications - the Nontraditional FLC
146. 147.