Mkt3050 – consumer behavior week 2

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MKT3050 – Consumer BehaviorWeek 2 – March 25, 2013


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Why do people buy?

• To get value….– Value = basic benefits + “feel” benefits


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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)


4• What are motivations??

Consumer Value Framework (CVF)


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Theories about Motivation

• One of the most common theories: Maslow’s hierarchy of human development


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• A more basic theory:

Purpose Pleasure

UtilitarianUtilitarian HedonicHedonic


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• 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 importance High importance

Quicker decisionLonger-term decision

Consider few alternativesMore alternatives

Not much risk of making the Value is strongly ‘wrong’ choice

connected to

making the ‘right’ choice

Low involvementLow involvement High involvementHigh involvement


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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


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Motivation / Involvement is linked to emotion

Consumers react to their feelings

Which leads to behaviors

To seek value

• NOTE: emotions are different than moods which are temporary and less intense

Behaviors will be pursued if they

Bring value that creates

Desireable emotions


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Can we measure emotions?

1) Autonomic measures (visceral)• GSR / lie detector• Facial recognition patters• Intrusive!

http://www.youtube.com/watch?v=jXytQOkNaq4

http://www.youtube.com/watch?v=jXytQOkNaq4


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2) Self-reported, based on recall• PANAS – positive affect – negative affect scale


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2) Self-reported, based on recall• PAD – pleasure – arousal - dominance


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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


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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


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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


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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


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http://www.youtube.com/watch?v=JkD_4zf9Wf0 http://

www.youtube.com/watch?v=rXJ0rAyE_mQ

http://www.youtube.com/watch?v=JkD_4zf9Wf0

http://www.youtube.com/watch?v=JkD_4zf9Wf0

http://www.youtube.com/watch?v=rXJ0rAyE_mQ

http://www.youtube.com/watch?v=rXJ0rAyE_mQ


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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’


How do improve long-term memory?Episodic Memory, Social Schemata, and

Elaboration

IMAGE COURTESY OF THE ADVERTISING ARCHIVES

Episodic memory may elicit fond childhood memories of playing

cowboy.

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.

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.

Elaboration allows the consumer to picture himself using the cologne

resulting in better recall.


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How do we improve comprehension?


How do we improve comprehension?Consider Physical Characteristics of the Message

IntensityIntensity

ColorColor

FontFont

NumbersNumbers

SpacingSpacing

©JO

NAT

HAN

LAR

SEN

/DIA

DEM

IMAG

ES/A

LAM

Y


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


How do we improve comprehension?Consider Congruent or Incongruent Message

Sequences?

PR NEWSWIRE

IMAGE COURTESY OF THE ADVERTISING ARCHIVES


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How do we improve comprehension?


How do we improve comprehension?Consider Message Source Factors

LikeabilityLikeability

ExpertiseExpertise

TrustworthinessTrustworthiness

AttractivenessAttractiveness

COURTESY OF GEICO INSURANCE, INC.


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)


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


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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


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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

http://www.youtube.com/watch?v=7ZdIjnkDpMo


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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


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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


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

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Mkt3050 – consumer behavior week 2