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Mkt3050 – consumer behavior week 2

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Mkt3050 – consumer behavior week 2

  1. 1. MKT3050 – Consumer Behavior Week 2 – March 25, 2013©2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
  2. 2. Why do people buy? • To get value…. – Value = basic benefits + “feel” benefits 2©2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
  3. 3. Why do people buy? • Because they are motivated to address their needs…. – Motivations – driving forces behind actions • People are motivated to either: – Maintain the status quo (favorite pair of jeans) OR – Improve (better car) 3©2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
  4. 4. Consumer Value Framework (CVF) • What are motivations?? 4©2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
  5. 5. Theories about Motivation • One of the most common theories: Maslow‟s hierarchy of human development 5©2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
  6. 6. Theories about Motivation • A more basic theory: Utilitarian Hedonic Purpose Pleasure 6©2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
  7. 7. 7©2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
  8. 8. Theories about Motivation • A more inclusive theory is based on involvement. The level of involvement -- both mental and emotional – affects behavior. Involvement is based on the relevance or importance of the decision. Low involvement High involvement Low importance High importance Quicker decision Longer-term decision Consider few alternatives More alternatives Not much risk of making the Value is strongly „wrong‟ choice connected to making the „right‟ choice 8©2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
  9. 9. How do consumers get involved? 1) With the product – a personal attachment leads to involvement 2) With the shopping experience – seeking the best deals 3) With the situation – involvement is temporary / situational 4) With the emotional benefit(s) of the product – intensity 5) With the long-term relationship to the product – the continuing interest in the product and a desire to remain involved with it through purchase and consumption 9©2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
  10. 10. Motivation / Involvement is linked to emotion Consumers react to their feelings Behaviors will be pursued if they Which leads to behaviors Bring value that creates To seek value Desireable emotions • NOTE: emotions are different than moods which are temporary and less intense 10©2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
  11. 11. Can we measure emotions? 1) Autonomic measures (visceral) • GSR / lie detector • Facial recognition patters • Intrusive! http://www.youtube.com/watch?v=jXytQOkNaq4 11©2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
  12. 12. Can we measure emotions? 2) Self-reported, based on recall • PANAS – positive affect – negative affect scale 12©2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
  13. 13. Can we measure emotions? 2) Self-reported, based on recall • PAD – pleasure – arousal - dominance 13©2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
  14. 14. What‟s Next? • If emotions lead to motivation and involvement, how do we tap into emotions so consumers behave positively (they purchase!) toward our product ?? • We need to understand how consumers learn so we can: • Deliver information they understand • Deliver information that communicates appropriately about the benefits (value) of our product 14©2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
  15. 15. Learning • Learning starts with: – 1) Awareness – We are exposed to information through 5 senses » This is called our „sensory memory‟ – it has unlimited capacity but is short term – It captures our attention Which leads to…. – 2) Perceptions or comprehension – How we interpret information » Easily recognized » And either similar (accommodating) or different (contrasting) – How we organize it (remember it / memory) That creates a….. – 3) Reaction 15©2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
  16. 16. Learning Which leads to…. – 2) Perceptions or comprehension – How we interpret information » Easily recognized » And either similar (accommodating) or different (contrasting) – How we organize it (remember it / memory) • Memory: – Workbench memory – where we encode information for future use. This is short term, limited capacity, and affected by our level of involvement – Long-term memory – where we scan for information. This memory has unlimited capacity and includes an associative network. • We can help consumers remember by making messages consistent 16©2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
  17. 17. How do we improve workbench memory? • Memory: – Workbench memory – where we encode information for future use. This is short term, limited capacity, and affected by our level of involvement • Make Associations! – Repetition – Dual coding – use 2 different senses with the memory – Meaningful encoding – create relationships between new and existing information – Chunking – grouping information into meaningful groups 17©2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
  18. 18. http://www.youtube.com/watch?v=JkD_4zf 9Wf0 http://www.youtube.com/watch?v=rXJ0rAy E_mQ 18©2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
  19. 19. How do improve long-term memory? • Memory: – Long-term memory – where we scan for information. This memory has unlimited capacity and includes an associative network. • We can help consumers remember by making messages consistent • Tap into consumers’ associations • Identify ‘gold standards’ 19©2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
  20. 20. How do improve long-term memory? Episodic Memory, Social Schemata, and Elaboration Episodic memory may elicit fond childhood memories of playing cowboy. Stetson is relying on the social schema or stereotype of the cowboy to provide meaning. Elaboration allows the consumer to picture himself using the cologne resulting in better recall.©2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
  21. 21. How do we improve comprehension? 21©2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
  22. 22. How do we improve comprehension? Consider Physical Characteristics of the Message Intensity Color ©JONATHAN LARSEN/DIADEM IMAGES/ALAMY Font Numbers Spacing©2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
  23. 23. How do we improve comprehension? Consider Simplicity/Complexity Simple phrases such as “fat free” often communicate more clearly than detailed information. ©JAMES F. QUINN/CHICAGO TRIBUNE©2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
  24. 24. How do we improve comprehension? Consider Congruent or Incongruent Message Sequences? IMAGE COURTESY OF THE ADVERTISING ARCHIVES PR NEWSWIRE©2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
  25. 25. How do we improve comprehension? 25©2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
  26. 26. How do we improve comprehension? Consider Message Source Factors Likeability Attractiveness Trustworthiness Expertise©2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
  27. 27. How do we improve comprehension? Consider Message Receiver Characteristics • Intelligence/Ability • Prior Knowledge • Involvement • Familiarity/Habituation – (frame of reference – what do they expect) • Expectations • Physical Limits • Brain Dominance – right brain (visual) vs left brain (verbal)©2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
  28. 28. How do we improve comprehension? Consider Environmental Characteristics • Information Intensity – How much detail • Framing – What is the context • Timing – – How much time consumer has available to process a message – The point in time when message is received©2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
  29. 29. How can we link memory to emotions? (since emotion leads to motivation and involvement)… • Present information in a way that evokes mild levels of emotions – 1) induce a good mood! – 2) evoke nostalgia – 3) tie into pre-existing schemas OR make it more favorable 29©2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
  30. 30. How can we link memory to emotions? (since emotion leads to motivation and involvement)… • Present information in a way that evokes mild levels of emotions – 4) link message with self-conscious emotions – 5) boost emotional / product links • Emotional response / product handling by one person affects consumer response. http://www.youtube.com/watch?v=7ZdIjnkDpMo 30©2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
  31. 31. How can we make sure our messages get through to consumers? • First need to understand how communication works! – Starts with a ‘source’…. – Who delivers a message…. – Through some medium… – To a receiver • So how can we make a message appealing (persuasive)? – Sex appeal / romance – Humor – ‘good mood’ ! – Fear 31©2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
  32. 32. How can we make sure our messages get through to consumers? • Building a message to be persuasive – Consider order of the message • You can either present the conclusion first or allow consumers to reach their own conclusion – Allowing consumers to reach their own conclusion is persuasive with high involvement purchases – Decide if you are going to use comparative ads – Decide where important information should be placed – Determine if message will be simple or complex – Consider your source – their credibility, attractiveness, likeability, meaningfulness to the product 32©2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
  33. 33. Everyone Communicates, Few Connect • Practical Skills that apply to Marketers too! – Finding Common Ground – focus on the what‟s important to the consumer, not what you think is important – Making Communication Simple – we‟re trying to get consumer‟s attention – you don‟t need complex information or big words – use their language! – Capturing People’s Interest – remember, you want consumers to become engaged with you, so make the experience enjoyable – Inspiring People – a strong connection will lead consumers to value their relationship with you and your products (think Apple!) – Being Authentic –tell the truth, own up to (and fix) mistakes, and deliver what you promise From Everyone Communicates, Few Connect, by John C. Maxwell©2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

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