Consumer Behavior Lecture Notes Series: Part 5

Initial Points to Ponder

LEARNING IS THE KEY TO OUR PERSONALITY AND SUCCESS IN LIFE
MEMORY HAS TO DO WITH WHAT YOU CHOOSE TO FOCUS ON
OUR MIND DOES NOT KNOW WHAT TO FOCUS ON, IT REQUIRES EXTERNAL OR
INTERNAL CUES.
THINK OF YOUR MEMORY AS AN INBOX
Consumer Learning:
It is the process by which individuals acquire the purchase and consumption
knowledge and experience that they apply to future related behavior.
Process: it is an ongoing activity. Unlearning is an aspect of learning
Acquire: learning is supported by our basic instincts. Learning is an acquired
process. It can be said that our behavior is shaped by the habits, views and
responses we form on the basis of our interactions with the external environment.
Purchase and consumption knowledge: most important aspect of learned behavior
is that it can be shaped and changed by the external environment. Marketers need
to worry about how they can effectively participate in and the extent to which they
can control this knowledge creation and dissemination.
Experience: each experience counts. Years of leaned behavior can be modified by a
new experience. As an example, Indian consumers in an organized retail setting
have learnt to expect a different set of service standards from any retailer now.
1. Elements of Learning Process:
Motivation: unfulfilled needs lead to motivation; which initiates the process
of learning. However, this relationship is moderated by the level of
involvement of the consumer. In high involvement conditions; motivation
results in an extensive information search and learning process.
Cues: a cue or stimulus suggests a specific way of satisfying a salient
motive.
Response: How do consumers react to a cue is their response.
Reinforcement: it is an intervention by the marketers which increases the
likelihood that the response will be repeated in the future.
2. Types of learning approaches: two schools of thought exist on how people
learn. The behavioral school is dominated by the thought that people acquire
their learnt behavior from their conditioned or accidental responses to
external stimuli (classical conditioning; instrumental conditioning and
vicarious learning). The cognitive school on the other hand suggest that all

human behavior is result of the cognitive activity i.e. people learn by

processing information signals received from the environment. Our brain
stores information through our senses; which is transferred to short term and
long term memory depending on the nature of stimuli and the context of the
receiver.
3. Consumer involvement and Passive Learning: Involvement can be defined as
the personal relevance of a product or service to a consumer. Greater the
level of involvement greater is the extent of problem solving in a purchase
situation. In marketing a general view can be that more frequently purchased
and less expensive products and services will be lower in involvement.
People process information in greater details under conditions of high
involvement. The learning is accordingly shaped. The marketers do well by
understanding that two different approaches of marketing communication
apply in case of these; a central route to persuasion is taken for high
involvement products; and a peripheral route is taken for low involvement
products H

Hemispherical laterization:
The premise of the hemispherical laterization is that the two hemispheres work
together but specialize in different cognitive processes. Review the figure for
details.

Following topics can be reviewed in the handout

1)
2)
3)
4)

Recognition and recall measure

Brand Loyalty
Brand Equity
Stimulus generalization (classical conditioning: product extension; family
branding)
5) Reinforcement schedule (Instrumental conditioning)