PRESENTED TO: PROF.

HEMANI INDULKAR PRESENTED BY: PRESHANT CHATURVEDI (66) VISHNU MR (87) MANISH YADAV (60) SHIVAM KAPOOR (77)

CONSUMER LEARNING

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CONSUMER LEARNING

Learning
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The process by which individuals acquire the purchase and consumption knowledge and experience that they apply to future related behavior

Elements of Learning Theories

Motivation Unfilled needs lead to motivation Cues Stimuli that direct motives Response Consumer reaction to a drive or cue Reinforcement increases the likelihood that a response will occur in the future as a result of a cue
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Two Major Learning Theories

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Behavioral Learning Based on observable behaviors (responses) that occur as the result of exposure to stimuli

Cognitive Learning Learning based on mental information processing Often in response to problem solving

Behavioral Learning
Classical Conditioning: A stimulus is repeatedly paired with another stimulus that elicits a known response. After some time the new stimulus produces the same response when used alone. Instrumental (Operant) Conditioning: Based on a trial-anderror process. Repetitions and their positive outcomes result in the formation of a habit.
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Strategic Applications of Classical Conditioning

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Repetition: Increases the association between the conditioned and unconditioned stimulus; Slows the pace of forgetting; Advertising wearout is a problem Stimulus generalization: Having the same response to slightly different stimuli; Helps me-too products to Succeed; Useful in: product extensions, family branding; licensing Stimulus discrimination: Selection of a specific stimulus from similar stimuli; Opposite of stimulus generalization. This Discrimination is the basis of positioning which looks for Unique ways to fill needs

A Model of Instrumental Conditioning

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Reinforcement of Behavior
Positive reinforcement strengthens likelihood of repeat behavior Negative reinforcement encourages alternative behaviors Extinction: When a learned response is no longer reinforced, the link between stimulus and reward is broken Forgetting: The reinforcement is forgotten
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Reinforcement of Behavior
Customer Satisfaction (Reinforcement) Reinforcement Schedules Shaping Massed versus Distributed Learning
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 A process by which individuals learn behavior by observing the behavior of others and the consequences of such behavior

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Observational Learning (modeling or vicarious learning)

Information Processing and Memory Stores

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Retention
Information is stored in long-term memory Episodically: by the order in which it is acquired Semantically: according to significant concepts Total package of associations is called a schema
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Associative Knowledge Network.

Double

Frosty

McDonalds

Hamburgers
Burger King Whopper Tasty Had it last night Best Combination

Big Mac Fries

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CONSUMER LEARNING

Single

Wendys

Quarter Pounder

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Chicken McNuggets

Involvement and Passive Learning Topics

Definitions and Measures of Involvement Marketing Applications of Involvement Central and Peripheral Routes to Persuasion Hemispheral Lateralization and Passive Learning
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CONSUMER LEARNING

Involvement
Degree of personal relevance that the product or purchase holds for that customer. High involvement purchases are very important to the consumer Low-involvement hold little relevance, have little perceived risk, and have limited information processing
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CONSUMER LEARNING

Marketing Applications of Involvement

Ads in video games Avatars Sensory appeals in ads to get more attention Forging bonds and relationships with consumers
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CONSUMER LEARNING

Central and Peripheral Routes to Persuasion

For high involvement purchases Requires cognitive processing
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Central route to persuasion

Peripheral route to persuasion

Low involvement Consumer less motivated to think Learning through repetition, visual cues, and holistic perception

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CONSUMER LEARNING

Hemispheral Lateralization and Passive Learning

Hemispheral lateralization Also called split-brain theory Left Brain Rational Active Realistic Right Brain Emotional Metaphoric Impulsive Intuitive
CONSUMER LEARNING SLIDE /20
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Measures of Consumer Learning Brand Loyalty

Personal degree of risk aversion or variety seeking; Reputation and availability of the brand; Social group influences No loyalty Brand Equity the value Covetous loyalty inherent in a well-known Inertia loyalty brand Premium loyalty
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CONSUMER LEARNING

THANK YOU FOR YOUR ATTENTION . . . .

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