Consumer Behavior Chapter03

In the Name of Allah, The Most Beneficent, The Most Merciful
Consumer Behavoiur
SESSION 3
BY
Khurram NasarullahKhan
CHAPTER 2
Revision of few concepts
Internal Influences on
Consumer Behavior
Learning Objective 1
Internal Dynamics
We focus on the internal dynamics of consumers.
Although “no man is an island,” each of us is to some
degree “self-contained” in how we receive
information about the outside world.
We are constantly confronted by advertising
messages, products, and other people—not to
mention our own thoughts about ourselves—that
affect how we make sense of the world and of course
what we choose to buy.
This chapter describes the process of perception; the
way we absorb and interpret information about
products and other people from the outside world.
Copyright © 2017 Pearson Education, Inc. 2-4
About Milk
The design of a product is often a key driver of
its success or failure.
Shelf-stable milk is particularly popular in

Europe, where there is less refrigerator space
in homes and stores tend to carry less
inventory than in the United States.
In US teenagers choose soft drinks over milk.

(Milk Industry Foundation pumped $44 million
into Got Milk ? Campaign)
It’s hard to convince Americans to drink milk

out of a box.
3-5
Copyright © 2017 Pearson Education, Inc.
Sensation
Sensation: refers to the immediate
response of our sensory receptors (eyes,
ears, nose, mouth, fingers, skin) to basic
stimuli such as light, color, sound, odor,
and texture.
Whether we experience the

- taste of Oreos,
- sight of a Chloé perfume ad,
- sound of the band Imagine Dragons,
we live in a world overflowing with
sensations.
Wherever we turn, a symphony of colors,

sounds, and odors bombards us.
3-6
Sensation
• Vision • Hedonic consumption
• Scent • Context effects
• Sound
• Touch
• Taste
“block out the chaos.”

3-7
Perception
Perception: It is the process by which

people select, organize, and interpret these
sensations.
The study of perception, then, focuses on

what we add to these raw sensations to
give them meaning.
Sensory data from the external

environment (e.g., hearing a tune on the
radio) can generate internal sensory
experiences; a song might trigger a young
man’s memory of his first dance and bring
to mind the smell of mother’s perfume.
“block out the chaos.”
3-8
Sensory Marketing
• Companies think carefully about the
impact of sensations on our product
experiences.
• Each product’s unique sensory qualities

help it to stand out from the competition,
especially if the brand creates a unique
association with the sensation.
• How some smart marketers use our

sensory systems to create a competitive
advantage?
3-9
Vision
• People buy Apple products for their
Sleek styling and simple, compact
features telegraph an aura of modernity,
sophistication, and just plain “cool.”
• Marketers rely heavily on visual
elements in advertising, store design,
and packaging. They communicate
meanings on the visual channel through
a product’s color, size, and styling.
• Colors may even influence our emotions
more directly. Evidence suggests that
some colors (particularly red) create
feelings of arousal and stimulate
appetite, and others (such as blue)
create more relaxing feelings.
3-11
Colors
People Excel at tasks requiring an imaginative response when the words or images
are displayed on blue backgrounds.
3-12
Colors
People Excel at tasks requiring an imaginative response when the words or images
are displayed on blue backgrounds.
3-13
Colors and Packaging
3-14
Dollars and Scents
• Like color, odor (Smell) can
also stir emotions and
memory.
• Scent Marketing is a form of
sensory marketing that we
may see in detergents, and
more.
• Hugo Boss often pump a
“signature” scent into their
stores
• Dunkin Donut Coffee Ad.
(Video)
3-15
Key Concepts in Use of Sound
• Audio watermarking: The company wants
to establish what the brand sounds like,
(Sound Signature)
• Music and other sounds affect people’s
feelings and behaviors.
• Sound symbolism: the process by which

the way a word sounds influences our
assumptions about what it describes and
attributes.
• Phenomes
3-18
Key Concepts in the Use of Touch
• We have a tendency to want to touch
objects.
• Endowment effect: encouraging shoppers
to touch a product encourages them to
Imagine they own it.
• Touch creates attachment to the product.
• Researcher identify the important role
the haptic (touch) sense plays in
consumer behavior.
• Kansei engineering: a philosophy that
translates customers’ feelings into design
elements. (Coke shape of bottle).
3-19
Taste
• Our taste receptors obviously

contribute to our experience of
many products. So-called “flavor
houses” develop new mixtures to
please the changing palates of
consumers.
• Coca-Cola and PepsiCo use the
tongue to test the quality of corn
syrups.
• Bristol-Myers Squibb and Roche
use the device to formulate
medicines that don’t taste bitter
3-21
Taste
• Gastrophysics: This focus on the
science of eating considers how
physics, chemistry, and yes,
perception, influence how we
experience what we put in our
mouths.
• All food are combination of five
tastes: sweetness, sourness,
bitterness, saltiness, and umami
(a savory taste: mushrooms,
tomatoes).
• Exposure to high levels of noise
dulls our ability to taste sweet
things,
3-22
Taste
• People think that potato chips with a louder

crunch taste better, and they don’t like food
that’s served on red plates.
3-23
AR vs VR
• How VR is changing our

sensations and perception?
• Augmented reality (AR) refers

to media that superimpose one
or more digital layers of data,
images, or video over a physical
object.
3-24
Stages of Perception
Perception is a three-stage process that
translates raw stimuli into meaning.
1. Exposure
2. Attention
3. Interpretation
3-26
Figure 3.1 Perceptual Process
We receive external
stimuli through
our five senses
It occurs when a the extent to which The meanings we assign

stimulus comes within processing activity is to sensory stimuli
the range of someone’s devoted to a particular
sensory receptor stimulus
3-27
Stage 1: Key Concepts in Exposure
• Sensory threshold: the point at which it is strong enough to make a conscious
impact in his or her awareness.
• Psychophysics: focuses on how people integrate the physical environment into
their personal, subjective worlds. (How people interprets world)
• Absolute threshold: the minimum amount of stimulation a person can detect on a
given sensory channel. (Dog whistle)
• Must consider by marketer before creating Mkt Campaign.
• Differential threshold: the ability of a sensory system to detect changes in or
differences between two stimuli.
• JND (Just Notable Difference): minimum difference person can detect between
two stimuli.
• Weber’s Law: the amount of change required for the perceiver to notice a change
systematically relates to the intensity of the original stimulus. The stronger the
initial stimulus, the greater a change must be for us to notice it.
3-28
Notable Changes
If and when consumers will notice a

difference between two stimuli is
relevant to many marketing situations.
3-29
Subliminal Perception
Most marketers want to create messages above consumers’
thresholds so people will notice them. Ironically, a good
number of consumers instead believe that marketers design
many advertising messages so they will be perceived
unconsciously, or below the threshold of recognition.
Subliminal perception refers to a stimulus below the level of

the consumer’s awareness.
Subliminal Advertising is a controversial - but largely-perceived

ineffective - way to talk to consumers.
There is virtually no proof that this process has any effect on

consumer behavior.
3-31
Embeds are tiny figures
they insert into magazine
advertising via high
speed photography or
airbrushing.
3-32
Stage 2: Attention
• Attention: It is the extent to which
processing activity is devoted to a
particular stimulus.
• Consumers experience sensory overload:
exposed to far more information than
we can process.
• The average adult is exposed to about 3,500
pieces of advertising information every
single day
• Marketers need to break through the

clutter
3-33
How Do Marketers Get Attention?
Personal Selection Factors: The process of perceptual
selection means that people attend to only a small
portion of the stimuli to which they are exposed.
How do we choose? Both personal and stimulus

factors help to decide.
• Experience
• Perceptual filters
o Perceptual vigilance: we are more likely to be aware
of stimuli that relate to our current needs.
o Perceptual defense: we only see what we want to
see.
o Adaptation: which is the degree to which consumers
continue to notice a stimulus over time. (no longer
pay attention to a stimulus)
3-34
Factors Leading to Adaptation
Intensity Duration
Less-intense stimuli Longevity of message
Discrimination Exposure
do not require attention to detail rate of exposure increases
Relevance
Irrelevant: Fail to attract attention
3-35
Stimulus Selection Factors
• Contrast: A message creates contrast in several ways:
• Size: The size of the stimulus itself in contrast to the competition helps to
determine if it will command attention
• Color: color is a powerful way to draw attention to a product or to give it
a distinct identity
• Position: we stand a better chance of noticing stimuli that are in places
where we’re more likely to look. Competition wants to display their
products in stores at eye level.
• Novelty: Stimuli that appear in unexpected ways or places tend to grab
our attention
3-36
Figure 3.3 The Golden Triangle
Sophisticated eye-tracking
studies clearly show that most
search engine users view only a
limited number of search results.
Search engine marketers call this

space on the screen where we
are virtually guaranteed to view
listings the golden triangle.
3-37
Interpretation
Interpretation: refers to the meaning we
assign to sensory stimuli, which is based
on a schema (set of beliefs, to which we
assign it). It vary person to person.
Depends on:
- Socialization within a society.
- Cultural specifics
- Language differences
Two people can see or hear the same
event, but their interpretation of it can be
as different as night and day, depending
on what they had expected the stimulus
to be.
3-40
Interpretation
The location of a product’s image
on a package influences the way
our brains make sense of it.
3-41
Stimulus Organization
• One factor that determines how we
will interpret a stimulus is the
relationship we assume it has with
other events, sensations, or images
in memory.
• The stimuli we perceive are often
ambiguous. It’s up to us to
determine the meaning based on
our past experiences, expectations,
and needs.
As this experiment demonstrates, we tend to project our own
desires or assumptions onto products and advertisements.
3-42
Stimulus Organization
• Gestalt: the whole is greater than the
sum of its parts
• Closure: people perceive an
incomplete picture as complete
• Similarity: consumers tends to
group together objects that share
similar physical characteristics
• Figure-ground: one part of the
stimulus will dominate (the figure)
while the other parts recede into
the background (ground)
3-43
Learning Objective 6
Semiotics: A discipline that studies the
correspondence between signs and
symbols and their roles in how we assign
meanings.
The field of semiotics helps us to

understand how marketers use symbols to
create meaning.
Semiotics is a key link to consumer

behavior because consumers use products
to express
3-45
their social identities.
Figure 3.4 Semiotic Relationships
• Object: product that is the focus of the
message.
• Sign: sensory image that represents the
intended meanings of the object
• Interpretant: the meaning we derive from
the sign
• Icon: a sign that resembles the product in
some way
• Index: a sign that connects to a product
because they share some property
• Symbol: a sign that relates to a product by
either conventional or agreed-on
associations
3-46
Figure 3.4 Semiotic Relationships
3-47
Examples of Brand Positioning
Marketers can use Lifestyle Grey Poupon is “high class”
many dimensions to Price leadership L’Oreal sells Noisome brand face cream
carve out a brand’s Attributes Bounty is “quicker picker upper”
position in the Product class The Spyder Eclipse is a sporty convertible
marketplace. Competitors Northwestern Insurance is the quiet

company
Occasions Use Wrigley’s gum when you can’t smoke
These include: Users Levi’s Dockers targeted to young men
Quality At Ford, “Quality is Job 1”
3-48
THANK YOU

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In the Name of Allah, The Most Beneficent, The Most Merciful

Shelf-stable milk is particularly popular in

In US teenagers choose soft drinks over milk.

It’s hard to convince Americans to drink milk

Whether we experience the

Wherever we turn, a symphony of colors,

“block out the chaos.”

Perception: It is the process by which

The study of perception, then, focuses on

Sensory data from the external

• Each product’s unique sensory qualities

• How some smart marketers use our

• Sound symbolism: the process by which

• Our taste receptors obviously

• People think that potato chips with a louder

• How VR is changing our

• Augmented reality (AR) refers

It occurs when a the extent to which The meanings we assign

If and when consumers will notice a

Subliminal perception refers to a stimulus below the level of

Subliminal Advertising is a controversial - but largely-perceived

There is virtually no proof that this process has any effect on

• Marketers need to break through the

How do we choose? Both personal and stimulus

Search engine marketers call this

The field of semiotics helps us to

Semiotics is a key link to consumer

carve out a brand’s Attributes Bounty is “quicker picker upper”

position in the Product class The Spyder Eclipse is a sporty convertible

marketplace. Competitors Northwestern Insurance is the quiet

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