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40 views67 pages

CB Unit 2

Uploaded by

Hardik Khandhar
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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9/3/2022

Unit-II (10)
Psychographic Factors Affecting Consumer Behavior

• Lifestyle, Opinions, Perception, Learning, Attitude.


• VALS model. ("Values, Attitude, and Lifestyles") Psychographic market
segmentation
• Generation Analysis Indian perspective: Gen X, Gen Y & Gen
Z

What is psychographics?

• Psychographics is the study of personality, values, opinions,


attitudes, interests, and lifestyles
• It goes beyond classifying people based on general demographic data,
such as age, gender, or race. Psychographics seeks to understand the
cognitive factors that drive consumer behaviors.
• This includes emotional responses and motivations; moral, ethical, and
political values; and inherent attitudes, biases, and prejudices.

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Lifestyle
• Lifestyle refers to the way consumers live and spend their time and money.
• It is determined by one`s past experiences, innate characteristics, and life situations.
• The lifestyle of a person is typically influenced by his/her needs, wants, and
motivations and also by external factors such as culture, family, reference group, and
social class.
• The lifestyle of a person involves his consumption pattern, his behavior in the
market place, practices, habits, conventional ways of doing things, allocation of
income, and reasoned actions. It reflects an individual`s attitudes, values, interests,
and views towards society.

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Life style

• Lifestyle is an attitude, and a way in which an individual


stay in the society. The buying behavior is highly
influenced by the lifestyle of a consumer. For
example when a consumer leads a healthy lifestyle, then
the products he buys will relate to healthy alternatives to
junk food.

Life style

• Characteristics of lifestyle
♦ It is a group phenomenon i.e. It influences others in a social group.
♦ It influences all areas of one’s activities and determines the buying
behavior of a person.
♦ It implies a central life interest – A person`s main interest or
profession is influenced by his core interests e.g. Food, Fashion, Music,
etc.

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Life Style
• It is affected by the social changes in the society – A person`s standard
of living and quality of lifestyle increases with the increase in the
standards and quality of the society he/she lives in.
• Lifestyle of a consumer depends upon various factors and any change in
one of these factors leads to a change in the behavior of the consumer.
These factors are as follows:-
♦ Age ♦ Income ♦ Occupation ♦ Culture ♦ Education ♦ Social
Group

Activities, Interests, and Opinions [AIO] Model

• The products we consume are a part of our lifestyle. Therefore,


our lifestyle can be determined on the basis of our consumption
pattern.
• Lifestyle segmentation is based on the activities, interests, and
opinions of a group. Marketers use the AIO Model to find out
about the lifestyle of the consumers.

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AIO Model

• Activities, Interests, and Opinions (AIO) are used by


market researchers to construct the individual's
psychographic profile in their research. When
combined with demographic data, AIO can provide a lot
of insight to companies about their target consumers.

AIO Segments
Activities
• Activities focus on someone's daily routine and hobbies.
• A person who rides their bicycle to work and plays sports on the
weekends likely has different purchasing patterns than an
employee who drives a car to work and watches a lot of movies.
• Club memberships, entertainment choices, vacations, and social
events can give marketers clues about a consumer's activities.

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Interests
• A person's interests reveal concepts and ideals that drive their passions.
• A mother of three may list family, cooking, crafts, and toys as interests on a survey.
• Interests may also include hobbies, affiliations, and pastimes.
• A consumer may have varied interests, such as coin collecting, model shipbuilding,
gardening, and fishing.
• By identifying the interests of a target consumer, companies can better identify
how to appeal to them.

Opinions
• Everyone has opinions, and consumers are no different.
• Marketers would like to know people's opinions about movies, public figures,
politicians, actors, and television shows.
• Marketing agencies also need to know consumers' opinions about brands,
products, and stores.

AIO aims to create a psychographic profile of a consumer, with the goal of targeting
advertising to various types of people.

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Example of an AIO Profile


• Demographics identify a buyer based on age, income, marital
status, and other physical characteristics.
• Psychographics attempt to determine why a consumer buys a
certain product.
• As an example, a person's psychographic profile may indicate that
they enjoy an active lifestyle, purchase higher-quality items, find
fulfillment in family time, and spend a lot of time on social media.

Psychographic Profile
• One traditional method of compiling a psychographic profile is through
a survey.
• Companies can also employ web analytics to find AIO characteristics.
The types of websites a person browses can lead to special offers and
bargains on all kinds of products. Someone who surfs on a baby-name
website might find banner advertisements for baby products on a
subsequent web search.

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AIO (Activities, Interests and Opinions) dimensions

Activities Interests Opinions


Work Family Themselves
Hobbies Home Social Issues
Social Events Job Politics
Vacations Community Business
Entertainment Recreation Economics
Club Membership Fashion Education
Community Food Products
Source: William D. Wells and Douglas J. Tigert, “Activities, Interests and Opinions”, Journal of Advertising Research 11(August, 1971):27-35

Consumer Perception

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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 ?

More than likely you said, 'A bird in the bush,'! But .... you failed
to see that the word THE is repeated twice! Look again.

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You may not see it at first, but the white spaces read the word optical,
the blue landscape reads the word illusion.

• Write 5 statement about


• Mineral water v/s Tap water

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Elements of Perception
1. Sensation
2. Absolute threshold
3. Differential threshold
4. Subliminal perception

Sensation
1. The immediate and direct response of the sensory organs to
stimuli
2. A stimulus is any unit of input to any of the senses.
3. A Sensory receptors are the human organs that receive sensory
inputs.
4. A perfectly unchanging environment provides little to no
sensation at all!
Expectation is defined as believing that something is going to happen or believing that
something should be in a certain way.

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Sensation

• Sensation refers to the process of sensing our environment


through touch, taste, sight, sound, and smell.
• This information is sent to our brains in raw form
where perception comes into play.
• Perception is the way we interpret these sensations and
therefore make sense of everything around us.

Examples
1. Good Night mosquito coils - Smoking away insects
2. The expectation of consumers on heat generating properties
of pain balms like Iodex or Moov
3. The stinging feel pungent odour of antiseptic lotion – Detol

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Absolute threshold
1. The absolute threshold is the lowest level at which an individual can
experience a sensation.
2. the smallest level of stimulus that can be detected
3. The point where something become noticeable to our senses.
4. The point at which a person can detect a difference between
something and nothing is that person’s absolute threshold for that
stimulus.
5. In neuroscience and psychophysics, an absolute threshold was
originally defined as the lowest level of a stimulus – light, sound,
touch, etc. – that an organism could detect.

Examples of Absolute Threshold


• Here are examples of absolute threshold for each of the five senses:
• Vision - A candle flame 30 miles away
• Hearing - A watch ticking 20 feet away
• Smell - A drop of perfume in a 6-room house
• Taste - A teaspoon of sugar in a gallon of water
• Touch - A wing of a fly on your cheek, dropped 1 cm

Absolute thresholds are the minimum level of stimulus intensity needed for a stimulus to be perceived.

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Absolute Threshold -

• BMW car a high performance car.


A customer absolute threshold may involves the fact that
he won't buy a car that isn't known as a "performance car,"
that doesn't at least have the reputation of being a
performance car.

Examples of Absolute Threshold

1. People who smoke no longer notice the odor of


cigarette smoke
2. People who live by busy roads typically don't even
notice that there is the sound of constant traffic
outside their window.

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Differential Threshold
1. Minimal difference that can be detected between two
similar stimuli
2. The ability of a sensory system to detect changes or
differences between two stimuli
3. Also known as the just noticeable difference
(J.N.D.)

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Packaging updates must be subtle enough over time to


keep current customers

German Scientist Ernst Weber

Weber’s Law

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Weber’s Law

1. He discovered that the j.n.d. between two stimuli was


not an absolute amount, but an amount relative to the
intensity of the first stimuli.
2. Weber’s law states that the stronger the initial stimulus,
the greater the additional intensity needed for the second
stimulus to be perceived as different.

Discussion Question
• How might a cereal manufacturer such as Kellogg’s use the j.n.d.
for Fruit Loops in terms of:
• Product decisions
• Packaging decisions
• Advertising decisions
• Sales promotion decisions.

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Subliminal Perception
1. 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.
2. People can be stimulated below their level of conscious
awareness as well. i.e. they can perceive stimuli without
being consciously aware that they are doing so.
• Message below the threshold level.

• A subliminal message is a technique used in marKEting and other


media to influencE People without theiR bEing Aware of what the
messenger is DoING.
• This may involve the use of split second flashes of text, hidden images, or
subtle cues that affect the audience at a level below conscious awareness.
• Takes place in movies:
• Nokia Lumia Mobile Phone with Shah Rukh Khan in movie Chennai
Express
• John Abhraham using Sony Vaio in movie Kaal
• All Tata cars in movie Singham returns

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example

1. Subliminal message embedded in yellow arrow of Amazon


logo
2. Why should it? The cute arrow connecting A to Z, while
forming a grinning face, works so well to make you feel
happy and see Amazon as an all-inclusive resource.

1. Baskin-Robbins isn't just famous for its ice cream -- it's famous for
having 31 flavors of it.

2. See how the end of the "B" and the beginning of the "R" in the logo
above form the number "31"?

3. The color contrast, and positioning the brand's initials just right,
expose this subliminal message just the right amount to help you
remember what makes Baskin-Robbins different from other ice
cream parlors.

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Whitespace in the logo clearly shows an arrow -- an


indication of the company's speed and ability to get your
delivery from Point A to Point B.

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(feeling) reactions

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Aspects of Perception
Selection

Organization

Interpretation

Aspects of Perception

Selection

Organization

Interpretation

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Perceptual Selection

1. The selectivity process is like a series of filters that allows


or disallows environmental stimuli to reach our
consciousness.
2. Consumers subconsciously are selective as to what they
perceive.
3. Stimuli selected depends on two major factors
i. Consumers’ previous experience
ii. Consumers’ motives

Perceptual Organization

• People do not experience a numerous stimuli they


select from the environment as separate and
discrete sensations rather they tend to organize
them into groups and perceive them as unified
wholes.

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Grouping

1. Individuals tend to group stimuli so that they form a unified


picture or impression.
2. The perception of stimuli as groups or chunks of
information, rather than as discrete bits of information,
facilitates their memory and recall.
3. Grouping can be used advantageously by marketers to simply
certain desired meanings in connection with their products.

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Closure

1. Individuals have a need for closure.


2. They express this need by organizing their perceptions so
that they form a complete picture.
3. If the pattern of stimuli to which they are exposed is
incomplete, they tend to perceive it, nevertheless, as
complete; that is, they consciously or subconsciously fill
in the missing pieces.

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Perceptual Interpretation
1. Stimuli are often highly ambiguous.
2. Some stimuli are weak because of such factors as poor visibility,
brief exposure, high noise level or constant fluctuations.
3. Even the stimuli that are strong tend to fluctuate dramatically
because of such factors as different angles of viewing, varying
distances, and changing levels if illumination

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Consumer imagery

1. Consumers perceived images about product, services,


prices, product quality, retail stores and manufacturers.

2. People buy product to enhance their self image (relating


themselves to the product).

Issues in Consumer Imagery


1. Product Positioning and Repositioning
2. Positioning of Services
3. Perceived Price
4. Perceived Quality
5. Retail Store Image
6. Manufacturer Image
7. Perceived Risk

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Product Positioning :

1. Establishing a specific image for a brand in the


consumer’s mind
2. Product is positioned in relation to competing brands
3. Conveys the concept, or meaning, of the product in
terms of how it fulfills a consumer need
4. Result of successful positioning is a distinctive,
positive brand image

Why repositioning required ?


• To face the competitors, who offer new products or service.
• Changing lifestyle of people, you need to suit the current trend. Eg)
Evolution of Xerox and Apple.
• When brand need to change their target segment (happens rarely)
• Company want to advertise new offerings
• To motivate customers to buy a product.

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Issues in Perceived Price


• It is important to know how the consumer perceives the
price, as high, low or as fair. The consumer must be made
to perceive the price which he is paying is fair. No one will
be happy to know that they have paid twice the price.

• Reference prices – used as a basis for comparison in


judging another price

Perceived Quality

• Perceived Quality of Products


• Cues that relate to the physical characteristics of
the product like color, flavor, or aroma, size etc

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Perceived Quality of Services


• Difficult due to characteristics of services
• Intangible
• Variable
• Perishable
• Simultaneously Produced and Consumed
• SERVQUAL scale used to measure gap between customers’
expectation of service and perceptions of actual service. RATER

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.)

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Perceived Risk
• The degree of uncertainty perceived by the consumer as to the
consequences (outcome) of a specific purchase decision
• Functional Risk: Is the risk that product will not perform as expected.
• Physical Risk: Is the risk to self and others that the product may pose.
• Financial Risk: Is the risk that the product will not be worth its cost.
• Psychological Risk: Is the risk that a product choice will bruise the
consumer’s ego
• Time Risk: Is the risk that the time spent on in the product such may be
wasted if the product does not perform as expected.

How Consumers Handle Risk ?


Consumers develop a self defensive weapon in order to satisfy the
unsatisfied needs.
1. Seek Information : Consumers seek information through his friend
family and other people. They spend more time thinking and getting
information about the product when they associate a high degree of risk
with the purchase.
2. Stay Brand Loyal: Consumers remain brand loyal in order to avoid the
risk.
3. Select by Brand Image :When consumers have no experience with the
product they trust the brand name. The consumers often think about
the well known brand, worth buying and go for the product.

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How Consumers Handle Risk ? …

1. Rely on Store Image : If the consumers do not have any


information about the product they trust the merchandise buyers
of reputable stores and depend on them.
2. Buy the Most Expensive Model :When in doubt the consumers
feel that the most expensive model is probably the best in terms
of quality and price.
3. Seek Reassurance : Consumers who are uncertain about the
product choice seek for reassurance through money back
guarantees and warranty’s or trial use etc.

Learning
• The process by which individuals acquire the purchase and
consumption knowledge and experience that they apply to future
related behavior
• It is a process, that it changes over time as new knowledge and
experiences are gained by the consumer.
• Learning involves a change in behavior
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall 62

Chapter Seven Slide

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Four Elements of Learning Theories


• Unfilled needs lead to
Motivation motivation

Cues
• Stimuli that direct
motives
• Consumer reaction to a
Response drive or cue
• Increases the likelihood that a
Reinforcement response will occur in the future
as a result of a cue 63

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Seven Slide

Elements of Learning Theories


• Motivation is important because it will differ from one consumer to the next. We may
all have a need, but some are more motivated to fulfill the need versus another. Often,
a consumer does not realize they have a need.
• A cue is the stimulus that helps direct a consumer’s motives. They include price,
styling, packaging, advertising, and store displays.
• A consumer will have a response to a drive or a cue. The response is how the
consumer behaves after being exposed to a cue or developing motivation.
• Finally, reinforcement is tied to the likelihood that the response will occur in the
future.

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Two Major Learning Theories


Behavioral
Cognitive Learning
Learning
• Based on • Learning based on
observable mental information
behaviors processing
(responses) that • Often in response
occur as the result to problem solving
of exposure to
stimuli
65

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Seven Slide

Behavioral Learning

• Classical Conditioning
• Instrumental (Operant) Conditioning

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall 66

Chapter Seven Slide

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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.
67

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Seven Slide

In 1897, the Russian scientist Ivan Pavlov was studying the


digestive system of dogs when he observed that a stimulus
unrelated to food made the dogs salivate

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In classical conditioning, unconditioned


stimulus (US or UCS) is defined as any stimulus
that can naturally and automatically trigger a
response without prior learning or practice. It
is also called the primary reinforcer. The
involuntary response is a reflex triggered
whenever the UCS is present.

An unconditioned stimulus elicits a natural, reflexive


response, called the unconditioned response (UCR)

Russian physiologist, Ivan Pavlov, first


discovered classical conditioning when he was
feeding his dogs.

The dogs would smell the food and


automatically salivate. This natural response did
not require any prior learning. So the food’s smell
was the UCS
.

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A stimulus that doesn’t naturally elicit a


response is a neutral response. For
example, food is a UCS for dogs and
can cause salivation. But ringing a bell
by itself doesn’t trigger the same
response. The bell’s sound is hence
a neutral stimulus.

Classical conditioning happens when a neutral


stimulus is paired with an UCS repeatedly to create
associated learning. The previously neutral stimulus
becomes a conditioned stimulus (CS) and can
trigger the same response as the UCS.

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Models of Classical Conditioning

73

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Seven Slide

Figure 7-2b

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall 74

Chapter Seven Slide

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Strategic Applications of
Classical Conditioning
Basic Concepts
• Repetition • Increases the association
• Stimulus generalization between the conditioned and
unconditioned stimulus
• Stimulus discrimination
• Slows the pace of forgetting
• Advertising wear out is a
problem

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Seven Slide

Strategic Applications of
Classical Conditioning
Basic Concepts

• Repetition • Having the same response to


slightly different stimuli
• Stimulus generalization • Helps “me-too” products to
• Stimulus discrimination succeed
• Useful in:
• product extensions
• family branding
• licensing
78

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Seven Slide

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Strategic Applications of
Classical Conditioning
Basic Concepts
• Selection of a specific
• Repetition stimulus from similar stimuli
• Stimulus generalization • Opposite of stimulus
• Stimulus discrimination generalization
• This discrimination is the
basis of positioning which
looks for unique ways to fill
needs
81

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Seven Slide

Bring your own bottle

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Learning Objective 5.3

5.3 To understand instrumental conditioning and the


objectives and methods of reinforcement.

Instrumental conditioning (or operant


conditioning) is based on the notion that learning
occurs through a trial-and-error process, with habits
formed as a result of rewards received for certain
responses or behaviors.

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Instrumental Conditioning
The consumer who tries
several brands and styles
of jeans before finding a
style that fits her figure
(i.e., reinforcement) has
engaged in instrumental
learning.

Presumably, the brand


that fits best is the one
she will continue to buy.

• Positive reinforcement rewards a particular behavior and thus


strengthens the likelihood of a specific response during the same
or similar situation.
• Negative reinforcement is the removal of an unpleasant
stimulus and it strengthens the likelihood of a given response
during the same or similar circumstances.

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• On the other hand, punishment is designed to discourage behavior.


• Extinction occurs when a learned response is no longer
reinforced and the link between the stimulus and the expected
reward breaks down.
• Forgetting is often related to the passage of time, and thus is
often called decay.

Discussion Questions

• What is the difference between positive


• reinforcement and negative reinforcement?
• What is the difference between negative
• reinforcement and punishment?
• What is the difference between extinction and
• forgetting?

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Learning Objective 5.5

5.5 To understand the elements of information


processing, including receiving, storing, and retrieving
consumption-related information.

Cognitive learning, consists of mental processing of


data rather than instinctive responses to stimuli.

Cognitive Learning

• The human mind processes the information it receives. Consumers process product
information by attributes, brands, comparisons between brands, or a combination of
these factors.
• Consumers with higher cognitive abilities acquire more product information and
consider more product attributes and alternatives than consumers with lesser ability.
• Information processing occurs in stages and in three sequential “storehouses” where
information is kept: the sensory, short-term, and long-term stores.

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Information Processing
•Storing information The sensory store is the mental “space” in the
human mind where sensory input lasts for just a
➢ Sensory store
second or two. If it is not processed immediately,
➢ Short-term storage it is lost.
➢ Long-term storage
The short-term store is where information is
•Rehearsal processed and held for just a brief period. If
➢ Encoding information in the short-term store undergoes the
➢ Information Retrieval process known as rehearsal, which is the silent,
mental repetition of information, it is then
•Retention transferred to the long-term store. The transfer
➢ Chunking process takes from 2 to 10 seconds. If information
➢ Retrieval is not rehearsed and transferred, it is lost in about 30
seconds or less.

Long term storage


• The amount of information that can be held in short-term storage is limited
to about four or five items. The long-term store is the mental “space”
where information is retained for extended periods of time, in contrast to
the short-term store, where information lasts only a few seconds. Although it
is possible to forget something within a few minutes after the information
reaches long-term storage, it is more common for data in long-term storage
to last for days, weeks, or even years.

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Encoding

The purpose of rehearsal is to hold information in short-term storage long


enough for encoding to take place.
Encoding is the process by which we select a word or visual image to
represent a perceived object. Processing and remembering a picture takes less
time than learning verbal information, but both types of information are
important in forming an overall mental image.

Chunking and Retrievel


• Information does not merely remain in long-term storage waiting to be
retrieved. It is constantly organized and reorganized, as new chunks of
information are received and new links among those chunks are created. A
key component of retention is called chunking, defined as the process
during which consumers recode what they have already encoded; this process
often results in recalling additional relevant information.
• Retrieval is the process by which people recover information from the long-
term store; it is frequently triggered by external cues.

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Hemispheric Lateralization
Hemispheric lateralization (split-brain theory)
stems from medical research done in the 1960s; its
premise is that the human brain is divided into two
distinct cerebral hemispheres that operate together,
but “specialize” in processing different types of
cognitions.

The left hemisphere is the center of human language; it is the linear side of the brain
and is primarily responsible for reading, speaking, and reasoning.
The right hemisphere of the brain is the home of spatial perception and nonverbal
concepts; it is nonlinear and the source of imagination and pleasure.

Consumer attitude

Consumer attitude may be defined as a feeling of


favorableness or unfavorableness that an individual has
towards an object.

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A learned
predisposition to
behave in a
consistently
Attitude
favorable or
unfavorable manner
with respect to a
given object.

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall

What Are Attitudes?

• The attitude “object” ( product, brand…)


• Attitudes are learned (through direct experience or from others)
• Attitudes have consistency ( not necessarily permanent, it
changes over time)
• Attitudes occur within a situation

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall

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What Information Does This Ad Provide to Assist


Consumers in Forming Attitudes Toward
the Tesla car

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall

It is Stylish, Safe, and


Good for the Environment

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall 100

Chapter Eight Slide

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Structural Models of Attitudes


• Tricomponent Attitude Model
• Attitude-Toward-the-Ad Model
• Multi attribute model

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall 101

Chapter Eight Slide

A Simple Representation of the Tri-component


Attitude Model

Cognition

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall

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The Tricomponent Model


Components
• The cognitive component is
• Cognitive what you know or think
about an object.
• Affective • This can be formed through
direct experience or what you
• Conative learn from others. The
knowledge you form becomes
a belief.

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall

The Tricomponent Model


Components

• Cognitive A consumer’s emotions


• Affective or feelings about a
particular product or
• Conative brand

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall

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The Tricomponent Model


Components
the likelihood that you
• Cognitive will do something in
regard to the object.
• Affective
One of the most
• Conative important is your
intention to buy a
certain object.
105

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Eight Slide

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Class exercise - Discussion Questions

• Explain your attitude toward your


School/College/or any product, brand, or
organization based on the tricomponent attribute
model.
• Be sure to isolate the cognitive, affective, and
conative elements.
108

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Eight Slide

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Multiattribute Attitude Models

110

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Eight Slide

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Just as the name implies, these are models


that break down overall attitude into the
attributes or beliefs which form an overall
opinion.

These components could be perceived benefits,


functions, product features, etc., and are collectively
known as Product Attributes.

Multiattribute Attitude Models


Three Types
• The attitude-toward-object • Attitude is function of the
model presence of certain beliefs or
• The attitude-toward- attributes.
behavior model
• Theory-of-reasoned-action • What customer feel are
model important feature …
e.g. LCD v/s LED

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Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Eight Slide

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Multiattribute Attitude Models


Types
• The attitude-toward-object • Is the attitude toward
model behaving or acting with
• The attitude-toward- respect to an object, rather
behavior model than the attitude toward the
object itself
• Theory-of-reasoned-action
model • Corresponds closely to actual
behavior

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Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter Eight Slide

Multiattribute Attitude Models


Types
• The attitude-toward-object • Includes cognitive(THINK)
model • , affective (FEEL), and
• The attitude-toward- conative (ACTION)
behavior model components
• Theory-of-reasoned-action • Includes subjective norms in
model addition to attitude

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall

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The Theory-of-Reasoned-Action Multi Attribute Model attempts to


incorporate the impact of instances of behavior and other Subjective
Norms that have the ability to influence a consumer’s decision-
making skills.

• The Subjective Norms are measured by assessing the attitude of


consumers and other referents such as friends, family, coworkers,
etc.

For example, suppose there is a graduate student who wishes to write the
GMAT exam to get admitted into a good university for his MBA. Theory-of-
Reasoned-Action Multi Attribute Model that covers each block from the above
diagram for this situation would be as follows:

•Behavior: Study hard for the GMAT exam.


•Intention: He wishes to get into a good university so he wants to ensure that
his preparation is well enough to get a good score.
•Intention Impacted By:
• Consumer’s Attitude Towards Behavior: The student has a positive
attitude towards studying hard to get a good score.
• Subjective Norms: The student’s parents approve of his decision to go
abroad for higher education.

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Theory of Trying to Consume

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall

Meaning

The theory of trying to consume addresses the fact that


many people may want to purchase but in many cases they
cannot.
This may occur for personal reasons, such as not having
enough money, or environmental reasons, such as not being
able to go to a particular store.

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Selected Examples of Potential Impediments That Might Impact Trying

POTENTIAL PERSONAL IMPEDIMENTS

• A person is trying to loose weight but loves cookies


• I tried to use a new software package, but it was too complicated for me.

Selected Examples of Potential Impediments That


Might Impact Trying

POTENTIAL ENVIRONMENTAL IMPEDIMENTS

• “The first 1,000 people at the baseball game will receive a team cap.”
• “Sorry, the car you ordered didn’t come in from Japan on the ship that
docked yesterday.”
• “I am sorry. We cannot serve you. We are closing the restaurant because
of an electrical problem.”

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VALS Model

Acronym for Values Attitude and Lifestyles,

a system for grouping consumers according to


psychological and sociological theories in order to predict
their behavior in the purchase decision process.

VALS
▪ The acronym VALS, (for "Values, Attitudes, and Lifestyles")
is psychographic segmentation.

▪ It was developed in 1970s and inaugurated in 1978 by Mitchell at


SRI International.
▪ VALS™ places U.S. adult consumers into one of eight segments
based on their responses to the VALS questionnaire.

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VALS Model
The main dimensions of the segmentation framework are primary
motivation (the horizontal dimension) and resources (the vertical
dimension).
The VALS approach is derived from a theoretical base in Maslow's
work (1954). It has since been reworked to enhance its ability to
predict consumer behavior.

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VALS – 3 Primary Motivation

• Consumers who are primarily motivated by ideals are guided


by knowledge and principles. Thinkers and Believers.
• Consumers who are primarily motivated by achievement look
for products and services that demonstrate success to their
peers. Achievers and Strivers
• Consumers who are primarily motivated by self-expression
desire social or physical activity, variety, and risk.
Experiencers and Makers

As a consumer group, Innovators. ( Highest income group)

•Are always taking in information (antennas up)


•Are confident enough to experiment
•Are future-oriented
•Are self-directed consumers
•Believe science and R&D are credible
•Are most receptive to new ideas and technologies
•finer things in life.
Source: Nationally representative samples of more than
50,000 US adults age 18 and older,
http://www.strategicbusinessinsights.com/vals/ustypes.shtml

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Thinkers(high-resource group)
•Plan, research, and consider before they act
•Enjoy a historical perspective
•Are financially established
•Are not influenced by what's hot
•Use technology in functional ways
•Prefer traditional intellectual pursuits
•Buy proven products.
•Rational decision-makers

Believers(low-resource group)
•Want friendly communities
•Want to know where things stand; have no tolerance for
ambiguity
•Are not looking to change society
•Find advertising a legitimate source of information
•Value constancy and stability (can appear to be loyal)
•Their lives are centered on family, church, community, and
the nation. They have modest incomes.

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Achievers ( High resource group)


•Believe money is the source of authority
•Are committed to family and job
•Are fully scheduled
•Are goal-oriented
•Are hardworking
•Are professional
•Value technology that provides a productivity boost

They are successful work-oriented people who get their satisfaction from
their jobs and families.

Strivers (low-resource group)

•Have revolving employment; high temporary unemployment


•Are fun loving
•Are imitative
•rely heavily on public transportation
•Desire to better their lives but have difficulty in realizing their desire
•Spend on clothing and personal care products

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Experiencers(high-resource group)

•Want everything
•Are first in and first out of trend adoption
•Are up on the latest fashions
•See themselves as very sociable

•They are the youngest of all the segments, with a median age of 25. They
have a lot of energy, which they pour to physical exercise and social
activities. They are avid consumers, spending heavily on clothing, fast-foods,
music,

Makers(low-resource group)

•They are practical people who value self-sufficiency.


•Unimpressed by luxuries
Buy the basics
•As consumers, they appreciate practical and functional
products..

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Survivors have the lowest income group; they exhibit


no primary motivation.

•Are cautious and risk-averse


•Are not concerned about appearing traditional or trendy
•Take comfort in routine, familiar people, and places
•Are loyal to brands and products
•Spend most of their time alone
•Are the least likely to use the internet

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