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1.13. Characteristics of Consumer Behaviour Consumer behaviour can be characterised by following points: 1) Systematic Process: Consumer behaviour is a systematic process relating to buying decisions of the customers. The buying proéess . consists of the following steps: i) Need identifi ny 7 ii) Information search relating to the product, iii) Listing and Evaluating the alternative (cost-bencfit analysis), iv) Purchasé‘decision, ; : , v) Post-purchase evaluation by the marketer. * 2) Influenced by Various Factors: Consumer behaviour is influenced by a number of factors. The factors that influenced consumer includes, marketing,- personal, psychological, situational, social, - cultural etc. . . Different for Different Customers: Adi consumers do not behave in the same manner. Different consumers behave differently. The difference in consumer behaviour is due to individual factors such as nature of the consumer’s life style, culture, etc. 3; Different for Different Products: Consumer behaviour is different for different products. There are some consumers who may buy more quantity of certain items and very low/no quantity of some other items. Varies Across Regions: The consumer behaviour very across states, regions and counties. For instance, the behaviour of urban consumers is different from that of rural consumers. Normally, rural consumers’ are conservative (traditional) ‘in their buying behaviour. Scanned with CamScanner 18 : MBA Thi ‘ 6)- Vital for Marketers: Men Third Semester (Consumer Behaviour) BU consumer behavi ores acu oe iour, They need to study the a eee sumer behaviour of their target eaonee Ey : mers. The * 7 er behavior appropriate marketing decisions ur enables marketers to take cts Status: Consun 1 summers buying -behavi i a influenced by status of 1a consumer, * also refles -consumers, .who own luxury -car: conisidéred by-others as persons of higher status. * char not . only > but it also reflects it. Those ” 8) Sa Consumer behaviour.has a spread.effect. haw ig behaviour “of- one person may influence the buying aviour of another person. For instance, a customer may always prefer to buy ee brands.of clothing, watches and other items etc. this may influésce some of his friends, neighbours, colleagues. This is one of the reasons why marketers use celebrities like Shah Rukh Khan, Sachin to endorse their brands. 9) Improves Standard of g: Consumer buying behaviour may Jead to higher standard of living. The more a person buys the goods and services, the higher is the standard of living. 10) Undergoes a Change: The consumer’s behaviour undergoes a change over a period of time depending upon changes in age, education and income level etc, for example, Kids"‘midy prefer colourful dresses, but as they grow up as teenagers and, young adults, they may prefer trendy clothes. a rch: The search for information -is a common characteristic of consumer behaviour. Consumers cannot purchase goods and services if they are unaware that a good or service exists, ‘When a consumer decides to buy a certain item, his decision mus! be based on the information he has gathered about what products o1 services are available to fulfil his needs. 11) Information Seai characteristic of consume consumer to bu; that one likes o z d Loyalty: Brand Joyalty is another 12) vient, BA the tendency of a behaviour. Brand loyalty is angen ne oducts or ‘services from a certain | , eqnates with having high quality goods and ee on ae if Rahul’s first car was @ Honda as 4 seen he 200,000 miles, he might have be ae lence oy, or aioyal fl viously positive ce. re 2S em iat she forgoes the information search all togeth« may 0 when considering her next vehicle. Scanned with CamScanner Tntroduction to Consumer Behaviour (Module 1) BL.4. Scope 6f Consumer Behaviour . The scope of consumer behaviour is the wide vy; consumer engage in as they 19 ariety of activities, research, buy, use, and dispose-off products. The scope of consumer behaviour is discussed below: Marketing Management ‘Consumer Behaviour and Non- profit and Social Marketing Consumer Behaviour and Government Decision-Making Consumer Behaviour and Demarketing 1) Consumer Behaviour and Marketing Management Effective business i he : distribution of ideas, goods, and services to create exchanges that . satisfy individmal and organisational objectives". A sound tmderstanding of consumer behaviour is essential to the long-run success of any marketing program. In fact, it is seen as a cornerstone. of the marketing concept, an important orientation’ of philosophy of many marketing: managers. The essence ofthe marketing concept is captured in three interrelated orientations consumer’s needs and wants, company objectives and integrated strategy 2) Consumet Behaviour and Non-profit and Social.Marketin; Can crime prevention, charitable contributions, or the concept of family planning be sold to, people in much .the same way that byte business firms sell soap? A number of writers have suggested that various social and non-profit organisations can be viewed as having services or ideas that they are attempting to market to target eae of “consumers” or constituents. Such _ Organisations _ inc! a de governmental agencies, religious orders, universities, and rete le institutions. Often these groups must also appeal to the pane bd support in addition: to attempting to satisfy Some want coe society. Clearly, av sound understanding, of consumer decisi processes can assist their efforts , Scanned with CamScanner 20 MBA Third Semester (Consumer Behaviour) BU 3) Consumer Behaviour and Government Decision-making: In recent years the relevance of consumer-behaviour principles to governmental decision-making has become quite evident. Two * major areas of activity have been affected: .) Government Services: It is increasingly evident that : “government -provision . of public _ services. ‘can’ benefit Significantly from an understanding of the consumers,or-wsers-—— 7 ofthese services. Numerou: i nalysts have-noted that frequently. | failing _mass-transportation systems‘ will not be viable alternatives to private automobile travel ..,.until-. government planners fully understand how to appeal to the wants and needs of the public. _ Consumer Protection: Many agencies at all levels of government are involved with regulating business practices for the purpose of _ protecting E consumers’ welfare. Some government programs are also Gesigned to influence certain ~gonsumer action directly (such as the use of auto seatbelts) and discourage. others.(speeding,.drug-abuse;-and-so-on) os 4) Consumer Behaviour and Demarketing: It has become | increasingly clear that consumers are-entering an era of scarcity Ti terms of some natural gas, and even water. These scareities have led to promotions stressing conservation rather than consumption. The 2 effort of electric power companies to encourage reduction of ‘ _ electrical use serves as one illustration: In other circumstances, consumers have been encouraged to decrease, or stop their use of particular goods believe io have harmful effects. Programs’ designed to reduce drug abuse, gambling, and similar types of consumption are examples. These activus have been undertaken by government agencies, nonprofit organisations, and other private groups. The term “demarketing” refers to all such efforts to encourage consumers to reduce their consumption of a particular product or service. Consumer Behaviour and Consumer Education: Consumer also : stands to benefit directly from orderly investigations of their own behaviour. This can occur on’an individual basis or as part of more formal educational programs. For example, when consumers learn,. that.a large proportion of the billions. spent annually ‘on grocery products is used for impulse purchases and not spent according to preplanned shopping lists, consumer may be more willing to plan purchases in an effort to save money. In general, as marketers discover. the variables that can influence consumers’ purchases, marketers have the opportunity to understand better how they affect their own behaviour. rt Scanned with CamScanner 1 Introduction to Consumer Behaviour (Module 1) i. 4.1.5. - Consumer Roles There are following different roles of consumers, which can participate in the buying decision: . < 1) Initiator: The initiator is a person.who. first suggests or thinks of: " the-idea of buying. the particular service. : ay u ch persunnel of group of employees, family members, or members of any type of organisation. They control the flow of information to ~ and among others within the buying centre. 3) Influeucer: Influencer is a person who cxplicitly or implicitly has = some influence on the final buying decision of others. Students are influenced by the advice of the professor while taking a decision to purchase a book. Here Professor is the influcncer. 4) Decider: The decider is a person who ultimately determines: any part or whole of the buying decision, i.e., whether to buy, what to buy, how to buy, when to buy or where to buy. Children are the deciders for buying the toys, house lady for kitchen provisions, and head of the family for durable or luxury items. 5) Buyer: The buyer is the-person who actually ‘purchase. Buyer may be the decider or he may be some other person. Children (deciders) are the deciders for purchasing the toys, but purchases are made by the parents. Thus, parents are buyers. : 6): User: User is the person who actually uses or consumes the services or products. 7) Disposer: The person who get: reeveling. reselling, wadin; rid of the product by trashing, ; or giving it away is the disposer. Scanned with CamScanner 1.1.6. Importance of Consumer Behaviour ~ ‘The reasons for study of consumer behaviour are as follows: Production Polices isi garding Channels Decision Regarding Channe! s of Decision Regarding Sales Promotion Products Scanned with CamScanner 22 1) 3) 4) MBA Thitd Se, q Production Polices: The stud: Seed these specifications. It i C - It is necessary for an enterpri i - rise to bi continuous Aaa with the changes in consumer behaviour so that necessary changes in products may be-made. ° : Price Policies: The buyer behaviou: y i products purcl particular articles are cheaper; than the. competing Pee eeu in the market. In such a case the price of such Products. cannot be - raised. On the other:hand;:some ‘other articles are purchased because : it enhances the prestige and social status of persons. The prices of such things can easily be prestige and social status of the persons. © ‘The:price of such things can easily be raised or fixed higher. Some articles are purchased under particular attitudes and emotions such as khadi garments are purchased who think themselves the followers of: Gandhi. Prices of articles purchased under i can also be raised.. . - Decision Regarding Channels of Distribution: The goods, which are sold and purchased solely on-the basis of low price, must have .cheap” and‘ economical distribution: channels. In case of those articles, which require after-sale service such as T.V. sets, _ refrigerators etc. must have different channels of distribution. Thus, decisions regarding channels of distribution are taken on the basis of consumer behaviour. an Decision Regarding Sales Promotion: A study of consumer behaviour is also vital in making decistoms—Tegarding sales ., promotion. It enables the producer to know what motive prompts consumer to make purchase and the same are utilised in advertising media to awaken desire to purchase. The marketer who ‘takes * decision regarding brand, packaging, discount, gifts etc. on the basis of consumer behaviour for promoting sales of the products. A. study.. of consumer nd the consumers, needs, This knowledge will be portunities and Exploiting Marketing Opportunities: behaviour helps the marketers to understai aspirations, expectations, problems, etc. s useful to the marketers in exploiting marketing op} meeting the challenges of the market. < ducts: Rapid introduction of new . a w Pro a Rapid Introduction of Ne neement has made the job of product with technological adva: Scanned with CamScanner anu ULauUcU ZUOUS ANG SELVICES. 1.2.4. Changing Indian Consumer Behaviour The way Indian consumers are spending their money on various items has changed in recent years. With the ever-increasing penetration of internet and social media, the purchasing behaviour of Indian consumers has chauged dramatically. Urbanisation is taking place in India at a dramatic pace and is influencing the lifestyle and buying behaviour of the consumers. The present study is based on the perceptions, buying behaviour and satisfaction of the consumers in Indian market. The Scanned with CamScanner Introduction to Consumer Behaviour (Module 1) 29 Indian consumers are noted for the high degree of value orientation, India is a lucrative market even though the per capita income in India is low and it remains a huge market, even for costly products. Consumer behaviour is complex and very often not considered rational. The recent trends which are found in the Indian —--1 Scanned with CamScanner DETERMIN. ie Trmuniyte PEAT alkalies Cole SEL cela Wd ede Se Individual determinants of consumer behaviour portray how the oouues proceeds through a decision regarding products and services. A person’s buying choices are influenced by some major internal factors: In jual Determinants of Consumer Behaviour: Personality Motivation * Self Concept 1) Mativation: A person has many: needs at any given time. Some needs ure biogenic; they arise from physiological ‘states of -tensiot Such as hunger, thirst, discomfort: Other needs are psychogenic they. arise from psychological statés of tension such as the need fo Tecognition, esteem, or belonging: A need becomes a motive when i ’ is aroused to a sufficient level of intensity. A- motive is.a need that i: ” sufficiently pressing to drive the Person to act. 2) Personality: Personality. is « defined as ‘the ‘unique dynamic organisation of characteristics of a particular person, physical anc psychological, which influences behaviour’ and responses to th social and physical environment. It seems that consumer purchase are. always influencefi by their personality as many marketer thought. Therefore, many marketers make use of personality trait into the advertisement of products. 3) Self Concept: The’ self-concept comiptis 3s “two_ components, viz the “actual self”, and the “ideal self”. "Thé fitst, i.e!,“actual-self refers .to an individual’s perception of what/who he or she is; th Scanned with CamScanner troduction to Consumer Behaviour (Module 1) a second, i.e., “ideal-self’, refers to an individual’s Perception of what/who he or she wants to be. Both of these concepts are related to-each other. The importance of self-concept lies in the’ fact that consumers tend to buy products (or at least some) that are perceived concept. if to be similar to their own 4) “Perception: . Perception is the process: by which an individual * selects, organises, and’-interprets. information—imputs—te—ereate—a— ——neaningful picture of thé world. a 5) Learning: When people act, théy learn. Leaming involves changes in an individual’s behaviour arising from experience. Most: human behaviour 4s learned. Learning theorists that leaming is produced through the : interplay of drives, stimuli, cues, responses, and reinforcement. A drive is a-strong internal stimulus impelling action. Cues are minor. stimuli that determine when, where, and how a person responds. 6). ‘Attitudes: Through doing and learning, people acquire attitudes. ‘ ‘These in turn influence buying behaviour. An-attitude is a person’s enduring favourable or unfavourable evaluations, emotional feelings “and action. tendencies’ toward some object or idea.” People have ‘attitudes toward ‘almost ‘everything: religion, politics, clothes, music and food. Attitudes put them into .a frame-of mind of liking. disliking an object, moving toward or away from it. Attitudes lea . people to behave in a fairly consistent way toward similar objects. ~ - Scanned with CamScanner 1.5.2. Characteristics of Personality jt is import fo analyse the nati 7 si discussed below: nae ame oF ae Some of them ar 1) Consistency: There is generally a recogni: 5 P | S: r i to behaviours. Essentially, people act a ee ie stan) and regularity ways in a variety of situations. [oa Scanned with CamScanner Introduction to Consumer Behaviour (Module 1) 39 2) Psychological and Physiological: Personality is .a psychological construct, but research suggests that it is also influenced by biological processes and needs. * : 3) eee Behaviours and Actions: Personality does not just __influence_how_one moves and_responds in our enyironment; it also causes one-to act in certain ways. - : 4) Multiple Expressions: Personality is displayed in’ “relationships and other social interactions. 5). Learning is Important: By the time a person becomes a mature personality, the “contribution of learning is so prominent “that people often misinterpret personality as the equivalent of learning. It is important to note that learning plays a very important-role in the making of one’s personality. In order to explain the dynamics of one’s personality, it is sometimes convenient to refer to the various types of Jcarning, which a person is able to exhibit in his behavioural range. 6) Integration of Traits: All the elements, which are ultimately... identified as parts of personality structure, get integrated rather'than assembled together. Thus, the integration of various traits results into a-distinct whole -which is ‘known as personality of .an individual. Personality represents: a unique integration of traits so as to differentiate one person from another on the basis of this very quality. 7). Dynamic Process: Personality is the dynamic organisation within the individual. Here, dynamic means that personality is undergoing a constant change but is still organised. Personality development is a ‘reciprocal relationship between the ways in which a person views his actual social and interpersonal experiences. which occurs experiences and his -- Development of personalit because of the inherent tendency toward s and personal, environmental and social exp Therefore, it can be said that personality isa ity is a continuous growth, elf-growth on the one hand riences on the other hand. dynamic process. Scanned with CamScanner wv 1.5.3. Theories of Personality ~ The most common theories of personality are: 1) Freudian Theory: According-to Sigmund Freud’s psychoanalytic theory of personality, personality is composed of three elements. These three eiements of personality — known as the id, the ego and the superego — work together to create complex human behaviours. ED: The id is the only component of personality that is present 2D u from birth. This aspect of personality: is entirely unconscious Scanned with CamScanner 1.5.4. Stages in Personality Development How personality develops from its infant to the grown up stage is a1 interesting and us: dy. Ph: logists.have.come.up- with.differen Stages in the development of personality. The most amporont of them i given by Sigmund Freud. a oo Sigtiiund Fréud first formulated a systematic stage theory: ‘According t te Freud, childhood events have a bearing on adult behaviour anc consciousness. He believes that there are five stages of psychologica development which influence the personality development are: oral anal, phallic, latency and genital. = Stage 1) Oral Stage: This stage is from the bicth le the age of on year. Infants during this stage depend on others for survival. Th biological drives are reduced through ‘the mouth. Mouth remains a important erogenous zone throughout: life. Excession or. insufficien amounts of stimulation during this stage .may lead to the development 0 an oral-passive personality in adulthood, with the characteristics o exploitation and domination of others. Stage 2) Anal Stage: ‘this stage is from the age of one year ‘to age oO three years. The liberal energy is focused on the anal region during thi stage. The harsh and repressive toilet training given during this stag may result in anal-retentive personality with the characteristics © punctuality, orderliness, obstinacy, stinginess and cleanliness. The othe side. of the toilet training, will develop’ an ‘anal-aggressive personalit with traits like disorderliness, hostility, destructiveness and cruelty. Stage 3) Phallic Stage: This stage starts at the age of: three years an ends at the age of four. This stave forncec an’ neurhacayy Scanned with CamScanner Introduction to Consumer Behaviour (Module 1) 45 development. Freud. believes that children during, this stage identify themselves with the parents of the same. sex. Children at this stage are generally interested in the genitals. The Ocdipus complex or conflict occurs during this stage, which results in both loving. and hating parents. Jf this conflict is unresolved, it would lead -to-severe-anxiety-and-guilt- feelings affecting normal personality development. Stage 4) Latency Period: This stage occurs between the + and 0-ycars of age. The children during. this stage shift their interest from sexual igsues and secking gratification of the libido to the social knowledge and _skills needed for work. Children develop the interest in developing social relations with classmates and friends. Similarly, they develop the : basic skills necessary for their work by understanding the basics of environments with the entry in schools. Stage 5) Genital Stage: This stage occurs during adolescence to } adulthood and sexual interest is re-emerged during this stage. Interest -and awareness towards the opposite sex increase during this stage. Scanned with CamScanner 54 MBA Third Semester ee Behaviour) BU 1.7.1. Concept of Perception -Human beings are constantly attacked by numeious sensory stimulations including noise, sight, smell, taste, etc. The ‘critical question.in the. study of perception is why the same universe. i Viewed differently by different persons? The answer is the perception. Different people perceiye..the- —niverse—ditterently-—Perception is the process—thieugh—which™ the information from oltside environment is selected, received, organised and interpreted to make it meaningful to us. Perception is the process by which individuals organise’ and interpret their sensory impressions in order to give meaning to their environment. According: to Kolasa, “Perception is selection and organisation of material which stems from the outside environment at one time or the other to provide-the meaningful entity we experience”. According to S.P. Robbins, “Perception may be defined as a process by which individuals organise and interpret their sensory eae in order to give meaning to their environment”. According to Joseph Reitz, “Perception includes all those processes by which an. individual receives information about his environment — seeing, hearing, feeling, tasting, and smelling”. ; Scanned with CamScanner 1.7. Elements of Perception The elements of perception are sensation, absolute Uueshold, differential threshold, and subliminal perception. follows: . ments of Perception Sensation Differential Threshold/ Just- Noticeable-Ditference Subliminal Perception The various elements are as Absolute ‘Hhreshold 1) Sensation: When a person is exposed to any of. the- marketing stimuli or an ad, the first reflex that is init ted in him is known as sensation. For example, when a person ¢6riié?across a beautiful ad of a Mercedes Benz. “E-class’ on the centre spread of a magazine, their first reaction will probably be one of admiration. As person reer Scanned with CamScanner Introduction to Consumer Behaviour (Module 1) 55 enter a’ bakery, may smell the mouth-Watering: aroma of freshly baked cakes. We can feel the energy in the pulsating music c played at a disco. Bp i How one responds to a stimulus received by any of the five senses is . called sensation. And -perception is how person understand a f .. sensatién and co-relate it with his needs and personality. Marketers *__, wy to advertise their products in such a way that they will appeal to : " the consumer's. = “only fo Teave.a mark on the _consumer’s mind, they also try to provide him with cues to perceive the product in a specific way. For example, the thundering light in the Rin detergent,ad may lead the consumer-to B expect that -kind of cleaning for his clothes. . 2) Absolute Ihreshold: The absolute threshold is the minimum level of stimulus intensity needed for a stimulus to be perceived. In other words, the absolute threshold is the amount of intensity needed to detect a differeuce between something: and nothing. written, but this génius:is wasted if the print is too small for . passing motorists to see it from the highway. The absolute. . threshold is that point-at which you cai first see the billboard. Before that point, the billboard is below the absolute threshold and not sufficiently intense to be seen:-* “~~ : 2 3) Differential Threshold/Jiist-Noticeable-Difference: } Differential threshold. is. the smallest detectable difference between two values of the same Stimulus. This is also referred to as J.N.D (just noticeable difference). A German scientist of nincteenth-century, Ernst Weber discovered that the just noticeable difference between two stimuli was an amount relative to the intensity of the initial stimulus. To measure the differential threshold for a stimulus, one commonly changes its intensity in very small amounts. An individual’s threshold exists'when she/he first, notices that the stimulus has changed. The- difference between this value and the starting value is the just noticcable difference. For example, JND for a car model may exist at a level of 710,000. .So only when the price is changed by 710,000 or more, the consumers will notice the pricc change. 4) Subliminal Perceptio 3 The concept of,the perceptual threshold is important for another phenomenon.:~_ subliminal. perception: _ Suppose a person Sitting at a movie and is exposed to messages like Scanned with CamScanner k : e MBA Third Semester (Consumer Rehaviour) BU.) on the screen for only a fraction of a second, so short a time that you — are not consciously aware of them. Stimuli like these, presented 4 below the threshold level of awareness, are called, subliminal messages, and our, percéption- of them is .called subliminal § perception. 3 : : * oct E Subliminal. perception is different from pre-attentive processing. | other than the stimulus,.e.g., at a magazine article instead of an } ad in person’s peripheral vision, With subliminal perception j attention is directed squarely at the stimulus. Also, with pre- { attentive processing the stimulus is fully present — if a person shift attention and look directly at the ad or billboard, the person | can easily see it. In contrast, subliminal stimuli are presented so quickly or are so degraded that the very act of petcciving them is | difficult. . Scanned with CamScanner difficult. | | 1.7.3. Process of Perception / | eption_is.a.process.consists.of.several-sub-processes:-One can take | an input-throughput-output approach to understand the dynamics of ; the perceptual process. This approach emphasises that there is input, | which’ is processed and gives output. The stimuli in the environment — subjects, events, or people — can be considered as the perceptual inputs. 3 : | The actual transformation of these inputs through the “perceptual mechanisms of selection, organisation, and interpretation can be treated as the throughputs, and the resultant opinions, feelings, attitudes, etc., which ultimately influence our behaviour, can be viewed as the perceptual‘outputs. : : | ! | One type of inpuit is physical stimuli from the outside environment; the other type of input is provided by individuals themselves in the form of certain pre-dispositions (expectations, motives, and learning) based on Previous experience. The combination of thesc two very different kinds of inputs produces for each human -being a very: private, very personal picture of the world. Because €ach person is a unique individual, with unique experiences, needs, wants, desires, and. expectations, it follows that each individual’s perceptions are also unique. This explains why no two people see the world in precisely the same way. The steps in ‘the Perceptual: process -—" interpretation — are shown in figure 1.3: ction, ‘organisation, and Scanned with CamScanner Exposure... d Deliberate Ss je Se : 8 “Low Aitention, High, e involvement involvement a ae : Low. _ Interpretation °° High” involvement involvement Shortterm Memory | Long-term Stored experiences, values, d¢ rules feelings Purchase and Consumption Decision Figure 1.3: Process of Perception Active problem solving 1) - Perceptual Selection: The first component of perception, selectio + requires consumers to be exposed to marketing stimuli and to atter to these stimuli.-Consumers will pick and Choose marketing stim based ‘on their needs and attitudes. The car buyer will be mec attentive to car ads; the fashion-conscious consumer will be mc attentive to ads for clothing; the consumer who is loyal Budweiser beer will be more attentive To Budweiser advertising. each case, the consumer is-processing stimuli selectively by picki and choosing them based on his or her psychological set. T process of perceptual selection is increasingly difficult because the greater clutter of advertising messages: - ~ ee : Processes Defining Perceptual Selection io For such perceptual selection to occur, the consumer. must first, or hear the stimulus and then respond to it. Therefore, three processes define selection Which is! i) Exposure: It occurs when consumers’ senses (sight, heatri “touch, smell) are activated by a stimulus. Exposure to a stimt sr it’ does not. Consumers’ ‘interest in’ th, the stimulus is, poflected, in the level i: m : ae on atéention they’ Consumers will pick and choose the stimuli they are expose¢ A consumer in the market for a new car is more likely t ! Scanned with CamScanner MBA Third Semester for.car ads. The consumer sho; mote likely to ask friends and experiences with various brands. (Consumer Behaviour) BU pping for a laptop computer is ; tsiness associates about their ii) Attention: It is pn a shelf, or a car in showroom, ‘attention has taken place. An i important Peicaist of E attention is that the greater the consumers’, adaptation Spton level the} the eset is'that attention will take-prace. Spton level the} c have become so adapted tq repetitive T.V. commercials : they “tune-out”; i.e., they are cxposed-to the commercial but do not-fotice it. : iii) Selective Perception: Selective Perception means that two ‘Consumers may perceive the identical advertisement, package, or product very differently. One consumer may believe a claim that Clorox gets clothes whiter than other bleaches; another may regard such a claim as untrue and may believe that all bleaches are the same.-Selective-perception-ensures-that-consumers-will” receive information most relevant to their needs. This process is called perceptual vigilance. Perceptual Organisation: Perceptual Organisation emphasises on the subsequent activities that take place in the perceptual process after a stimulus is received. A person rarely perceives the extent of ‘colour, light or sound associated with objects. Instead he perceives organised patterns, stimuli and identifiable whole objects. Factors Affecting Perceptual Organisation i) Figure and Ground: Figure-Ground principle is generally considered to be the most basic form of perceptual organisation. This principle simply implies that the perceived object or person or event stands out distinct from its background and orcupies the cognitive space of the individual. ii) Perceptual Grouping: .Grouping is the tendency to curb individual stimuli into meaningful patterns. For instance, if we perceive objects or people with-similar characteristics, we tend to group them together and this organising mechanism helps us to deal with information in an efficient way rather than getting bogged down and confused with so many, details. iii) Pereeptual Constancy: Constancy is one of the more .sophisucated forms of perceptual organisation. This concept gives a perso a sense of s ability in this changing world. This Scanned with CamScanner Introduction to Consumer Behaviour (Module 1) - 59 principle permits the individuals to “Have some constancy or stability in a tremendously variable and highly complex world. If constancy were not at work, the world would be very chaotic and disorganised for the individual. iv) Perceptual Context: The highest-and-most-sophisticated-form— .Of organisation is ‘perceptual context’. It gives. meaning’ and value to simple stimuli, objects, events, situations and other * culuré provide the primary context in «which workers and managers do their perceiving. vy) Perceptual-Defence: Closely related ‘to perceptual ‘context is the perceptual defence. A person may build a defence against stimuli or situational events in a particular context that are personally or culturally unacceptable or threatening. Accordingly, pérceptual defence may play a.very important role in understanding union- . Management and supervisor-subordinate relationship. Most studies verify the existence of a perceptual defence mechanism. })." Perceptual Interpretation: People exercise’ selectivity.as to which stimuli they’ perceive and they organise these stimuli on the basis of” certain psychological principles. The interpretation of stimuli is.also uniquely individual, because it 5 baséd on what individuals expect to see in light of Their previous experiences on the number of ~* plausible-explanations they can envision, and on their motives and. «- interests at the time of perception. . Stimuli are often highly ambiguous. Some stimuli are’ weak because of such factors as poor visibility, brief exposure, high noise level, or constant fluctuation. Even stimuli that are s(fOmg tend to fluctuate dramatically because of such factors as different angles of viewing, varying distances, and changing levels of illumination. Consumers usually attribute the sensory input they receive to factors: they consider most likely to have caused the specific pattern of stimuli. Past experiences .and social interactions help to form certain expectations that provide categories (or alternative explanations) that individuals use in ‘interpreting stimuli. ! Perceptual Distortion: Individuals are subject toa number of influences that tend to distort their perceptions, such as: i) Physical Appeéaiidiices: People tend to attribute the qualities associated with an.:individual to;other tesembling people, without consciously recognising the similarity. For this reason, the ‘selection of models for print advertisements and ‘for Scanned with CamScanner known to the customer. 1.8.1. Meaning and Definition of Learning Learning may be described as “the process of acquiring the. ability to respond adequately to a situation which may or may not have been previously encountered, the favourable modification of response tendencies consequent upon previous experience, particularly the | building of a-new series of complex coordinated motor response; the fixation of times in memory so that they can be recalled or organised; the process of acquiring insight into situation”. | According to E. R. Hilgard, “Leaming is a relatively permanent change in behaviour that occurs as-a result of prior experience”. Ironically, it can be said that change in behaviour indicates that learning has taken place and that Icarning is a change in behaviour. According to W. McGehee, “Learning has taken place if an individual behaves reacts, respond as a result of experience in a manner different from the way he formerly behaved”. Scanned with CamScanner 64 MBA Third Semester (Consumer Behaviour) BU 1.8.2. Principal Elements of Learning i. Consumers icarn in several ways. Primarily, there dre four principal elements of learning: : 1) Motivation: Motivation is dependent on goals and needs and i . stimulates’ learning. The consumer decision-making’ process is . influenced by. individual, situational, and cultural factors of * “jfotivation. Therefore infer that motivation is necessary For consumer’ learning. For example, if a person is interested in becoming ..a..professional photographer, he will be motivated to - “obtain..as much’ information on professional’ photography. . as possible. 2) Cues: A cue:may be. viewed as a weak stimulus not strong enough to arouse consumers, but capable of providing.’ direction to motivated activity. That is, it influences the manner in which consumers respond to a motive. The shopping environment is packed with cues, such as promotions and product colours, which _-- ConsuMers-can-use-to.choose. between various: response options in a +. learning situation..It is a stimulus that suggests a specific way’ to satisfy a silent motive. _— 2 3) Response: A response may be viewed as a mental. or pliysical activity the consumer: miakes-in- reaction to a stimulus situation, Responses appropriate to a particular situation ’are Icarncd over time! .through experience in facing that situation. The occurrence of a response is_not_always_observable. Therefore, -it must again. be emphasised that the. inability’ to observe . responses does not} necessarily mean that learning is not taking place. Response means how individuals react to a: drive or cue or how they behave. —_- 4) Reinforcement: Perhaps the most widely acceptable view off reinforcement is anything that follows a response and increases the tendency for the: response to reoccur in a similar situation. ‘Because! reinforced behaviour tends to be repeated. Consumers can learn to develop successful means of responding to their needs of changing) conditions. A positive or negative outcome that influences mi likelihood that a specific behaviour will be repeated in the future in| response to a particular cue or stimulus. : . Scanned with CamScanner 1.8.3. Learning &Behaviour:Modification Theories Behaviour modification-

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