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Perception, Learning,
Personality,
Social Class
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.
Individualised Marketing
A very personal form of marketing that recognises,
acknowledges, appreciates and serves individuals
who become or are known to the marketer.
Data based marketing; DM
Customized marketing
Marketing
Strategy &
Consumer
Behaviour
Marketing Strategy
Outcomes
Firm:
Product positioning
Sales
Customer Satisfaction
Individual:
Need Satisfaction
Injurious Consumption
Society:
Economic
Physical Environment
Social Welfare
Product
Characteristics
Consumption
Situation
Consumer
Behavior
Marketing
Strategy
Needs/Attitudes
That Influence
Consumption Decisions
Consumer
Choices
Consumer
Lifestyle
Behavior/Experiences
That Influence
Consumption Decisions
Overall
Model Of
Consumer
Behavior
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
Informa
tion
Proces
sing for
Consu
mer
Decisio
n
Making
Use of
Isolatio
n and
Contrast
Elements of Perception
Sensation
Absolute threshold
Differential threshold
Subliminal perception
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
Differential Threshold
Minimal difference that can be
detected between two similar
stimuli
Also known as the just
noticeable difference (the j.n.d.)
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.
Marketing Applications
of 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
Marketing Applications
of 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
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.
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
Aspects of Perception
Selection
Organization
Interpretation
Aspects of Perception
Selection
Organization
Interpretation
Perceptual Selection
Consumers subconsciously are
selective as to what they perceive.
Stimuli selected depends on two major
factors
Consumers previous experience
Consumers motives
Stimulus Factors
SIZE
Size and
Intensity
influence the
probability of
paying attention
Larger stimuli
are more likely
to be noticed
than a small one
SPREAD
NO. OF
RESPON
SES
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TWO
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ONE THIRD 47
Color and
Movement
serve to
attract
attention
Position
Placement of
the object in a
persons visual
field
Perceptual Selection
Concepts
Selective
Exposure
Selective
Attention
Perceptual
Defense
Perceptual
Blocking
Consumers seek
out messages
which:
Are pleasant
They can
sympathize
Reassure them of
good purchases
Marketing Applications
of the J.N.D.
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.
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
Aspects of Perception
Selection
Organization
Interpretation
Aspects of Perception
Selection
Organization
Interpretation
Perceptual Selection
Consumers subconsciously are
selective as to what they perceive.
Stimuli selected depends on two
major factors
Consumers previous experience
Consumers motives
Stimulus Factors
Size and
Intensity
influence the
probability of
paying attention
Larger stimuli are
more likely to be
noticed than a
small one
SIZE
SPREAD
NO. OF
RESPONSE
S
107
1 PAGE
76
TWO THIRDS
PAGE
68
ONE HALF
PAGE
56
ONE THIRD
PAGE
47
Color and
Movement
serve to
attract
attention
Position
Placement of
the object in a
persons visual
field
Perceptual Selection
Concepts
Selective
Exposure
Selective
Attention
Perceptual
Defense
Perceptual
Blocking
Consumers seek
out messages
which:
Are pleasant
They can
sympathize
Reassure them of
good purchases
Perceptual Selection
Concepts
Selective
Exposure
Selective
Attention
Perceptual
Defense
Perceptual
Blocking
Heightened
awareness when
stimuli meet their
needs
Consumers prefer
different
messages and
medium
Perceptual Selection
Concepts
Selective
Exposure
Selective
Attention
Perceptual
Defense
Perceptual
Blocking
Screening out of
stimuli which are
threatening
Perceptual Selection
Concepts
Selective
Exposure
Selective
Attention
Perceptual
Defense
Perceptual
Blocking
Consumers avoid
being bombarded
by:
Tuning out
TiVo
Aspects of Perception
Selection
Organization
Interpretation
Organization
Principles
Figure and
ground
Grouping
Closure
People tend to
organize perceptions
into figure-andground relationships.
The ground is
usually hazy.
Marketers usually
design so the figure
is the noticed
stimuli.
Organization
Principles
Figure and
ground
Grouping
Closure
People group
stimuli to form a
unified impression
or concept.
Grouping helps
memory and
recall.
Organization
Principles
Figure and
ground
Grouping
Closure
Aspects of Perception
Selection
Organization
Interpretation
Interpretation
Perceptual Distortion
Physical
Appearances
Stereotypes
First
Impressions
Jumping to
Conclusions
Halo Effect
Positive attributes
of people they know
to those who
resemble them
Important for model
selection
Attractive models
are more persuasive
for some products
Interpretation
Perceptual Distortion
Physical
Appearances
Stereotypes
First
Impressions
Jumping to
Conclusions
Halo Effect
People hold
meanings related
to stimuli
Stereotypes
influence how
stimuli are
perceived
Interpretation
Perceptual Distortion
Physical
Appearances
Stereotypes
First
Impressions
Jumping to
Conclusions
Halo Effect
First impressions
are lasting
The perceiver is
trying to determine
which stimuli are
relevant,
important, or
predictive
Interpretation
Perceptual Distortion
Physical
Appearances
Stereotypes
First
Impressions
Jumping to
Conclusions
Halo Effect
Interpretation
Perceptual Distortion
Physical
Appearances
Stereotypes
First
Impressions
Jumping to
Conclusions
Halo Effect
Consumers perceive
and evaluate
multiple objects
based on just one
dimension
Used in licensing of
names
Important with
spokesperson choice
Issues in Consumer
Imagery
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
Positioning Techniques
Umbrella
Positioning
Positioning against
Competition
Positioning Based
on a Specific
Benefit
Finding an
Unowned
Position
Filling Several
Positions
Repositioning
Perceived Quality
Perceived Quality of Products
Intrinsic vs. Extrinsic Cues
Perceived Quality of
Services
Difficult due to characteristics of
services
Intangible
Variable
Perishable
Simultaneously Produced and Consumed
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.)
LEARNING DEFINED
IT IS RELATIVELY PERMANENT CHANGE IN BEHAVIOUR
OCCURING AS A RESULT OF EXPERIENCE.
TYPES OF LEARNED BEHAVIOUR
PHYSICAL BEHAVIOUR
SYMBOLIC LEARNING AND PROBLEM SOLVING
AFFECTIVE LEARNING
THEORIES OF LEARNING
CLASSICAL CONDITIONING
UNCONDITIONED
STIMULUS
MEAT PASTE
CONDITIONED
STIMULUS
BELL
UNCONDITIONED
RESPONSE
SALIVATION
CONDITIONED
RESPONSE
SALIVATION
COSMETIC VARIATIONS
SUBSTANTIATIVE WEAROUT
STIMULUS GENERALISATION
1. PRODUCT LINE,FORM AND CATEGORY EXTENSIONS
2. FAMILY BRANDING
3. LICENSING
STIMULUS DISCRIMINATION
1. POSITIONING
2. PRODUCT DIFFERENTIATION
INSTRUMENTAL CONDITIONING
STIMULUS
SITUATION
NEED
NEW
SHOES
TRY
BRAND A
UNREWARDED
BAD FIT
TRY
BRAND B
UNREWARDED
LIMITED STYLES
TRY BRAND C
TRY BRAND D
UNREWARDED
NOT COMFORTABLE
REWARD
PERFECT FIT
REPEAT BEHAVIOUR
What Is Personality
Theories of Personality
Freudian theory
Unconscious needs or drives are at the heart of
human motivation
Trait theory
Quantitative approach to personality as a set of
psychological traits
Freudian Theory
Id
Warehouse of primitive or instinctual needs for which
individual seeks immediate satisfaction
Superego
Individuals internal expression of societys moral and
ethical codes of conduct
Ego
Individuals conscious control that balances the demands of
the id and superego
Neo-Freudian Personality
Theory
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
Consumer Innovators
And Noninnovators
Innovativeness
Dogmatism
Social character
Need for uniqueness
Optimum stimulation
level
Variety-novelty seeking
Consumer Innovators
And Noninnovators
Innovativeness
Dogmatism
Social character
Need for uniqueness
Optimum stimulation
level
Variety-novelty seeking
Consumer Innovators
And Noninnovators
Innovativeness
Dogmatism
Social character
rely on own values when
Need for uniqueness
evaluating products
Innovators
Optimum stimulation
Other-directedness
level
look to others
Variety-novelty seeking
Consumer Innovators
And Noninnovators
Consumers who
Innovativeness
avoid appearing to
Dogmatism
conform to
Social character
expectations or
Need for uniqueness
standards of others
Optimum stimulation
level
Variety-novelty
seeking
Cognitive Personality
Factors
Consumer Ethnocentrism
Brand Personality
Personality-like traits associated with brands
Examples
Nike and athlete
BMW is performance driven
Levis 501 jeans are dependable and rugged
Geography
BLUE
Commands
respect, authority
Caution, novelty,
YELLOW temporary,
warmth
Secure, natural,
relaxed or easyGREEN
going, living
things
RED
ORANGE
BROWN
WHITE
BLACK
SILVER,
GOLD
Human, exciting,
hot, passionate,
strong
Powerful,
affordable, informal
Informal and
relaxed, masculine,
nature
Goodness,
purity,
chastity,
cleanliness,
delicacy,
Sophistication,
refinement,
power,
authority,
formality
mystery
Regal, wealthy,
Issues Related to
Self and SelfImage
One or multiple
selves
Makeup of the
self-image
Extended self
Altering the selfimage
Issues Related to
Self and SelfImage
One or multiple
selves
Makeup of the
self -image
Extended self
Altering the
self- image
Actual SelfImage
Ideal Self-Image
Ideal Social
Self-Image
Social Self-Image
Expected
Self-Image
Different Self-Images
Issues Related to
Self and SelfImage
One or
multiple selves
Makeup of the
self-image
Extended self
Altering the
self- image
Actually
Symbolically
Conferring status or rank
Bestowing feelings of
immortality
Endowing with magical
powers
Issues Related to
Self and SelfImage
One or multiple Consumers use selfselves
Makeup of the
self-image
Extended self
Altering the
self -image
altering products to
express
individualism by
Creating new self
Maintaining the
existing self
Extending the self
Conforming
Social Stratification
Social Class System
Hierarchical division of society into relatively permanent and homogeneous groups
with respect to attitudes, values and lifestyles.
Social Standing
Influences Behavior
Behaviors
associated
with a
particular
social class
Unique
Behaviors
Excluded
Shared
Behaviors Behaviors
Behaviors shared
With other Social
Classes
WorkingClass
Aristocrats
Disdain
Prefer
UpperMiddle
Class
WorkingClass Products
And Brands
Positioning
Working-class
Symbolism for
Working-class
Products
Upward-Pull Strategy
Education
Occupation (e.g., Socioeconomic Index: SEI)
Income (e.g., individual, family, before or after tax)
Positioning
and Social
Class
Segments
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
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.
Group
Characteristics
Attractiveness
Expertise
Credibility
Past Success
Clarity of Group
Goals
Personal
Characteristics
Tendency to
Conform
Need for Affiliation
Need to be Liked
Desire for Control
Fear of Negative
Evaluation
COHESIVE
FREQUENTLY INTERACTING
DISTINCTIVE AND EXCLUSIVE
Selected ConsumerRelated
Reference
Groups
Friendship groups
Shopping groups
Work groups
Virtual groups or communities
Consumer-action groups
Wild Planet Video
SITUATION
Behavioral
response
A FRIEND
MENTIONS
THAT STORE X
HAS A GOOD
COLLECTION
OF SUITS
NEEDING
A NEW SUIT
A DECIDES
TO VISIT
THE STORE
AN AD STRESSES THATEVEN
YOUR FRIENDS WONT TELL
YOU IF YOU HAVE BAD
BREATH-THEY WILL IGNORE
YOU
A BUYS THE
RECOMMENDED
MOUTHWASH
Type of
influence
INFORMATIONAL
NORMATIVE
IDENTIFICATION
OVER TIME.A NOTICES
THAT SUCCESSFUL
EXECUTIVES DRESS
CONSERVATIVELY
A DEVELOPS A
CONSEVATIVE
WARDROBE
CONSUMPTION
NECESSITY
(WEAK REFERENCE
GROUP INFLUENCE ON
PRODUCT)
VISIBLE
(STRONG REFERENCE
GROUP INFLUENCE ON
BRAND)
PRIVATE
(WEAK REFERENCE
GROUP INFLUENCE ON
BRAND)
NONNECESSITY
(STRONG REFERENCE
GROUP INFLUENCE ON
PRODUCT)
PUBLIC
NECESSITIES
PUBLIC
PRIVATE
NECESSITIES
PRIVATE
Visible usage
High relevance of product
to group
Low individual purchase
confidence
Strong individual
commitment to group
Nonnecessary item
HIGH DEGREE
OF
REFERENCE
GROUP
INFLUENCE
Consumer
Socialization
Buyers
Preparers
Users
DESCRIPTION
Family member(s) who provide information to other members about a
product or service
Family member(s) who control the flow of information about a
product or service into the family
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
Family member(s) who make the actual purchase of a particular
product or service
Family member(s) who transform the product into a form suitable for
consumption by other family members
Family member(s) who use or consume a particular product or service
Maintainers
Disposers
Stage
Stage
Stage
Stage
Stage
I: Bachelorhood
II: Honeymooners
III: Parenthood
IV: Postparenthood
V: Dissolution
Thank
You