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Chapter 6 Consumer Perception Dr. Franck Vigneron CSUN-COBE The registration of stimuli by one of the five senses: vision, hearing, taste, smell, and touch Perception The process by which an individual selects, organizes, and interprets stimuli into a meaningful and coherent picture of the world. Consumer Learning A process by which individuals acquire the purchase and consumption knowledge and experience that they apply to future related behavior. Stimulus Any unit of input to any of the senses. Sensory receptors are the human organs that receive sensory inputs. Elements of Perception • • • • Sensation The absolute threshold The differential threshold Subliminal perception Sensory Receptors The human organs (eyes, ears, nose, mouth, skin) that receive sensory inputs. Absolute Threshold The lowest level at which an individual can experience a sensation. Sensory Adaptation “Getting used to” certain sensations; becoming accommodated to a certain level of stimulation. This is a problem that causes many advertisers to change their advertising campaigns regularly. • Marketers try to increase sensory input in order to cut through the daily clutter consumers experience in the consumption of advertising. – – – CLUTTER Some increase sensory input in an effort to cut through the advertising “clutter”. Other advertisers try to attract attention by decreasing sensory input. Some advertisers use • silence (the absence of music or other audio effects) to generate attention. Some marketers seek unusual media in which to place their advertisements in an effort to gain attention. • Marketers try to increase sensory input in order to cut through the daily clutter consumers experience in the consumption of advertising. – Some increase sensory input in an effort to cut through the advertising “clutter”. – Other advertisers try to attract attention by decreasing sensory input. Some advertisers use Marketers try to increase sensory input insilence order to (the absence of music or other audio cut through the daily clutter consumers experience effects) to generate attention. in the consumption of advertising. – Some marketers seek unusual media in which to – Some increase sensory input in an effort to cut place their advertisements in an effort to gain through the advertising “clutter”. attention. – Other advertisers try to attract attention by decreasing sensory input. Some advertisers use silence (the absence of music or other audio effects) to generate attention. – Some marketers seek unusual media in which to place their advertisements in an effort to gain attention. Differential Threshold The minimal difference that can be detected between two stimuli. Also known as the j.n.d. (just noticeable difference). Weber’s Law A theory concerning the perceived differentiation between similar stimuli of varying intensities (i.e., the stronger the initial stimulus, the greater the additional intensity needed for the second stimulus to be perceived as different). Marketing Applications of the JND • 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 – Making the product improvement just equal to the j.n.d. thus becomes the most efficient decision that management can make. – Retailers use the principle in reducing prices. Markdowns must amount to at least twenty percent to be noticed by shoppers. Subliminal Perception Perception of very weak or rapid stimuli received below the level of conscious awareness. 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 Consumers have a heightened awareness of the stimuli that meet their needs or interests. Interpretation Organization Organize the stimuli they do recognize according to widely held psychological principles. Give meaning to stimuli subjectively in accordance with their needs, expectations, and experiences. Some Marketing Variables Influencing Consumer Perception • • • • • • • Nature of Product Physical Attributes of Product Package and Design Brand Name Advertisements & Commercials Position of Ad Editorial Environment Intrinsic Cues Physical characteristics of the product (such as size, color, flavor, or aroma) that serve to influence the consumer’s perceptions of product quality. Extrinsic Cues Cues external to the product (such as price, store image, or brand image) that serve to influence the consumer’s perception of a product’s quality. Principles of Perceptual Organization • Figure and ground • Grouping • Closure – Zeigernik effect {complete what they st…} Distorting Influences • • • • • 1. 2. 3. 5. 6. Physical Appearances “same as me” Stereotypes First Impressions Jumping to Conclusions Halo Effect (e.g., licensing) Positioning Establishing a specific image for a brand in relation to competing brands. Reposition Changing the way a product is perceived by consumers in relation to other brands or product uses. Positioning Map A map as designed by the marketers as they would like the brand to be perceived by the consumers based on product attributes of specific brands. Perceptual Mapping A research technique that enables marketers to plot graphically consumers’ perceptions concerning product attributes of specific brands. 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). Perceived Quality of Products Intrinsic vs. Extrinsic Cues Reference Price Any price that a consumer uses as a basis for comparison in judging another price. Reference Prices • External Reference Price • Internal Reference Price Chapter 7 Consumer Learning Cognitive Learning Theory Behavioral Learning Theory A theory of learning based on Mental Information Processing, often in response to Problem Solving. A theory of learning based on Stimulus-Response Theory, often in response to Stimuli. Not concern with PROCESS, But with INPUTS & OUTCOMES Consumer Learning A process by which individuals acquire the purchase and consumption knowledge and experience that they apply to future related behavior. Elements of Learning Theories • • • • Motivation Cues Response Reinforcement Behavioral Learning Theories • Classical Conditioning • Instrumental Conditioning • Modeling or Observational Learning Classical Conditioning A behavioral learning theory according to which a stimulus is paired with another stimulus that elicits a known response that serves to produce the same response when used alone. Basic Concepts of Classical Conditioning • Repetition • Stimulus Generalization • Stimulus Discrimination Stimulus Generalization and Marketing • • • • Product Line, Form and Category Extensions Family Branding Licensing Generalizing Usage Situations Instrumental (Operant) Conditioning A behavioral theory of learning based on a trial-anderror process, with habits forced as the result of positive experiences (reinforcement) resulting from certain responses or behaviors. Instrumental Conditioning and Marketing • Customer Satisfaction (Reinforcement) • Reinforcement Schedules – Time: every time, nth time, or randomly – Shaping (stimuli prior to buy) • Loss leader or big discounts • Massed versus Distributed Learning – Concentrated or regular communication Observational Learning A process by which individuals observe the behavior of others, remember it, and imitate it. Also known as modeling. Behavioral Learning Theory Cognitive Learning Theory A theory of learning based on Stimulus-Response Theory, often in response to Stimuli. Not concern with PROCESS, But with INPUTS & OUTCOMES A theory of learning based on Mental Information Processing, often in response to Problem Solving. Information Processing A cognitive theory of human learning patterned after computer information processing that focuses on how information is stored in human memory and how it is retrieved. Five-Stage Consumer Buyer Decision Process Problem recognition Information search Evaluation of alternatives Purchase decision Postpurchase behavior Buyer behavior Involvement Theory A theory of consumer learning which postulates that consumers engage in a range of information processing activity from extensive to limited problem solving, depending on the relevance of the purchase. Brand Equity The value inherent in a wellknown brand name. Chapter 8 Consumer Attitude Formation and Change Attitudes = PREDICTION A learned predisposition to behave in a consistently favorable or unfavorable manner with respect to a given thing. The Tricomponent Model • Cognitive Component – The knowledge and perceptions that are acquired by a combination of direct experience with the attitude object and related information from various sources. • Affective Component – A consumer’s emotions or feelings about a particular product or brand. • Conative Component – The likelihood or tendency that an individual will undertake a specific action or behave in a particular way with regard to the attitude object Multiattribute Attitude Models Attitude models that examine the composition of consumer attitudes in terms of selected product attributes or beliefs. Multiattribute Attitude Models • The attitude-toward-object model – Attitude is function of evaluation of productspecific beliefs and evaluations “What consumers will purchase is a function how much they known, what they feel are the important features for them, and their awareness as to whether particular brands possess (or lack) these valued attributes.” Multiattribute Attitude Models • The attitude-toward-behavior model – Is the attitude toward behaving or acting with respect to an object, rather than the attitude toward the object itself. It is a function of how strongly he or she believes that the action will lead to a specific outcome (either favorable or unfavorable). • Theory-of-reasoned-action model – A comprehensive, integrative model of attitudes including tricomponent model looking at the interrelationship among attitudes, intentions, and behavior. Theory of Reasoned Action • Need to measure the subjective norms. • Assessing a consumer's feelings as to what relevant others (family, friends, roommates, co-workers) would think of the action being contemplated. • They accomplish this by assessing the normative beliefs that the individual attributes to relevant others, as well as the individual's motivation to comply with each of the relevant others. AttitudeToward-theAd Model A model that proposes that a consumer forms various feelings (affects) and judgments (cognitions) as the result of exposure to an advertisement, which, in turn, affect the consumer’s attitude toward the ad and attitude toward the brand. Attitude-Toward-the-Ad Models • It appears that for a novel product (e.g., "contact lenses for pets"), the consumer's attitude toward the ad has a stronger impact on brand attitude and purchase intention than for a familiar product (e.g., pet food). Issues in Attitude Formation • Sources of influence on attitude formation • Formed through the consumer's direct experience in trying and evaluating them. • Strongly influenced by personal experience, the influence of family and friends, direct marketing, and mass media. • As we come in contact with others, especially family, close friends, and admired individuals (e.g., a respected neighbour), we form attitudes that influence our lives. • Impact of Niche marketing also called micromarketing on consumers versus mass media. Issues in Attitude Formation • Personality factors – Individuals with a high need for cognition (information) are likely to form positive attitudes in response to ads that are rich in product-related information. – Consumers who are relatively low in need for cognition (information) are more likely to form positive attitudes to ads that feature attractive models or well-known celebrities. Four Basic Motivational Functions • The Utilitarian Function • The Ego-defensive Function • The Value-expressive Function • The Knowledge Function Utilitarian Function A component of the functional approach to attitude-change theory that suggests consumers hold certain attitudes partly because of the brand’s utility. !! Serve new utilitarian purposes Ego-Defensive Function A component of the functional approach to attitude-change that suggests that consumers want to protect their self-concepts from inner feelings of doubt. !! Enhance their self-image e.g., cosmetics ValueExpressive Function A component of the functional approach to attitude-change theory that suggests that attitudes express consumers’ general values, lifestyles, and outlook. !! Focus on reflecting their orientation with products Knowledge Function A component of the functional approach to attitude-change theory that suggests that consumers have a strong need to know and understand the people and things with which they come into contact. !! New info = better info Altering Components of the Multiattribute Model • Changing the Relative Evaluation of Attributes – = “cross over” 1 P to another P • Changing Brand Beliefs – = more, bigger, better … • Adding an Attribute • = use of tech: active bifidus • Changing the Overall Brand Rating – = info on best-selling brand Elaboration Likelihood Model (ELM) A theory that suggests that a person’s level of involvement during message processing is a critical factor in determining which route to persuasion is likely to be effective. = different levels of motivation and assessment skills Elaboration Likelihood Model (ELM) Once a consumer receives a message he or she begins to process it. • The Central Route to Persuasion – If information in a persuasive message is relevant consumer will carefully attend to the content of the message • The Peripheral Route to Persuasion – Taken when the person is not motivated to think about arguments Cognitive Dissonance Theory Holds that discomfort or dissonance occurs when a consumer holds conflicting thoughts about a belief or an attitude object. Attribution Theory A theory concerned with how people assign causality to events and form or alter their attitudes as an outcome of assessing their own or other people’s behavior. Defensive Attribution A theory that suggests consumers are likely to accept credit for successful outcomes (internal attribution) and to blame other persons or products for failure (external attribution). Attribution towards … Others Salesperson’s motives are in the consumer’s best interests Things Who is responsible for the success!!! Me, Product or Bob Chapter 9 Communication and Consumer Behavior The Marketing Communications Mix (Promotion Mix) Advertising Personal Selling Any Paid Form of Nonpersonal Presentation by an Identified Sponsor. Personal Presentations by a Firm’s Sales Force. Sales Promotion Short-term Incentives to Encourage Sales. Public Relations Building Good Relations with Various Publics by Obtaining Favorable Publicity. Direct Marketing Direct Communications With Individuals to Obtain an Immediate Response. Elements of the Communications Process • • • • • • • The Message Initiator (the Source) The Sender The Receiver The Medium The Message The Target Audience (the Receivers) Feedback - the Receiver’s Response Figure 9.3 Comprehensive Communication Model Commercial Verbal vs. Nonverbal Non-Profit 1-sided vs. 2-sided Individual Factual vs. Emotional Formal vs. Informal Messag e Sender (Source) Symbols Pictures Words Images Selective Exposure Individuals Target Audience Intermediary Audience Unintended Audiences Channel (Medium ) Receiver (Consumer) Mediated by: Involvement Mood Experience Personal Charac. Decodes Paid vs. Unpaid Print, Broadcast, Electronic Personal vs. Impersonal Pretests to Ensure Message Will be Received Posttests to Ensure Message Was Received Feedback Responds Appropriately ? No Miscomprehends ? No Yes Yes Setting Communication Objectives Informative Advertising Persuasive Advertising Inform Consumers or Build Primary Demand i.e CD Players Build Selective Demand i.e Sony CD Players Advertising Objective Specific Communication Task Accomplished with a Specific Target Audience During a Specific Period of Time Comparison Advertising Reminder Advertising Compares One Brand to Another i.e. Avis vs. Hertz Keeps Consumers Thinking About a Product i.e. Coca-Cola Persuasion An Active Attempt to Change Consumers Attitudes. (The Central Goal of Many Marketing Communications) • Who Will Be Shown Promoting the Brand in the Ad? (Actor, Actress, Singer, or Model) • How should the message be constructed? (Comparative, Humorous, Sexy, Elegant) • What media should used to transmit message? (Print Ad, Commercial, Billboard, Direct Mail) • What characteristics of the target market might influence the ad’s acceptance? Push and Pull Strategies Push Strategy Producer Wholesalers Retailers Customers Pull Strategy Producer Wholesalers Retailers Customers Retailers Customers Push/Pull Strategies Producer Wholesalers Advertising and Promotion Distribution Strategies Barriers to Communication • Selective Perception • Psychological Noise The idea that both positive and negative credibility effects tend to disappear after a period of time. Sleeper Effect Approx. 6 weeks Decay is + for association source and message than message itself Issues in Message Presentation • Message Framing (+/-) – Self-image, involvement, new= - & argument/ old market = + & emotion • • • • One-side Versus Two-sided Messages Comparative Advertising Order Effects Repetition Advertising Appeals • • • • • Fear Humor Abrasive advertising Sex in advertising Audience participation Sex Appeal • Does sex sell? • Counterproductive when picture is too provocative. • Sex appeal works when product is related to sex. Humor Advertising • Increases the Likelihood of message acceptance. • Effective When the Brand is Clearly Identified. • Tricky! What is Funny to one person may be offensive to the next. Overview of Copy Strategy • Nature – Marketing Issues to solve (e.g., awareness, STP) • Objectives of Communication – Define targets – Precise the expected changes of attitude or behavior • Define the psychological incentives – Motivation and ability • Creative – Style, execution – Theme: cognitive links, semantic value Chapter 10 Reference Groups and Family Influences Reference Group A person or group that serves as a point of comparison (or reference) for an individual in the formation of either general or specific values, attitudes, or behavior. = frames of reference 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 Major Consumer Reference Groups Factors That Affect Reference Group Influence • Information and experience • Credibility, attractiveness, and power of the reference group • Conspicuousness of the product Factors Encouraging Conformity: A Reference Group Must ... • Inform or make the individual aware of a specific product or brand • Provide the individual with the opportunity to compare his or her own thinking with the attitudes and behavior of the group • Influence the individual to adopt attitudes and behavior that are consistent with the norms of the group • Legitimize the decision to use the same products as the group Broad Categories of Reference Groups • Normative Reference Groups – Based on General values: eg., family • Comparative Reference Groups – Based on Specific values: eg., neighboors Selected Consumer-Related Reference Groups • • • • Friendship groups Shopping groups Work groups Virtual groups or communities • Consumer-action groups Reference Group Appeals • • • • Celebrities The expert The “common man” The executive and employee spokesperson • Trade or spokes-characters Consumer Socialization The process by which children acquire the skills, knowledge, and attitudes necessary to function as consumers. Dynamics of Husband-Wife Decision Making • Husband-Dominated • Wife-Dominated • Joint – Equal – Syncratic • Autonomic – Solitary – Unilateral Family-Cycle Stages Young Single Married without children Married with children Divorced with children Middle-Aged Single Married without children Married with children Married without dependent children Divorced without children Divorced with children Divorced without dependent children Sources: Adapted from Patrick E. Murphy and William A. Staples, “A Modernized Family Life Cycle,” Journal of Consumer Research, June 1979, p. 16, copyright Journal of Consumer Research, Inc., 1980. Also see Leon G. Schiffman and Leslie Lazar Kanuk, Consumer behavior (Englewood Cliffs, NJ: Prentice Hall, 1994), pp.. 361-70. Older Older married Older unmarried Chapter 11 Social Class and Consumer Behavior Social Class The division of members of a society into a hierarchy of distinct status classes, so that members of each class have either higher or lower status than members of other classes Social Class and Social Status • Social status is usually defined in terms of one or more of the following socioeconomic variables: – Family Income – Occupational Status – Educational Attainment The Measurement of Social Class • Subjective Measures • Reputational Measures • Objective Measures Subjective Measures In the subjective approach to measuring social class, individuals are asked to estimate their own socialclass positions. Reputational Measures The reputational approach requires selected community informants to make initial judgments concerning the social-class membership of others within the community. Objective Measures of Social Class A method of measuring social class whereby individuals are asked specific socioeconomic questions concerning themselves or their families On the basis of their answers, people are placed within specific social-class groupings. Objective Measures • Single-variable indexes – – – – Occupation Education Income Other Variables • Composite-variable indexes – Index of Status Characteristics – Socioeconomic Status Score SingleVariable Index The use of a single socioeconomic variable (such as income) to estimate an individual’s relative social class. Chapin’s Social Status Scale A social class rating scheme that focuses on the presence or absence of certain items of furniture and accessories in the home. CompositeVariable Index An index that combines a number of socioeconomic variables (such as education, income, occupation) to form one overall measure of social class standing. Socioeconomic Status Score (SES) A multivariable social class measure used by the United States Bureau of the Census that combines occupational status, family income, and educational attainment into a single measure of social class standing. Geodemographic Clusters A composite segmentation strategy that uses both geographic variables (zip codes, neighborhoods, or blocks) and demographic variables (e.g., income, occupation, value of residence) to identify target markets. Consumer Behavior and Social Class • • • • Clothing, Fashion, and Shopping The Pursuit of Leisure Saving, Spending, and Credit Social Class and Communication