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Consumer Behaviour
Faculty : Prof . Ashok Kumar

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Core text books : 1 Consumer behavior
Leon G Schiffman & L.L Kanuk

2 Consumer behavior ( A strategic
Approach )
Dr Henry Assael

3 Consumer Behavior & Branding
S.Ramesh Kumar ( indian
context )

A recipe of good marketing strategy lies in sound
understanding of its market.

All good market communication strategies( brand , IMC
) are developed from deeper insight in the market.

Sound Product Distribution, Price , Customer services
( CRM ) strategy etc originates from understanding of
behavior of a market.

How does Consumer behavior study help business?
Consumer Buying process

Impulsive buying : Consumer buy due to
stimuli

Compulsive buying : Consumer feels the
product or service is best suited for her
need

Addictive buying : Consumer feels the
product or service is only option available
to meet her aspiration & life style .
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Break
MARKET CLUTTER
Overcome Commodity
image
Create DIFFERENTIATION
( USP)
Eliminate
PRICE WAR

Overcome BLOOD
BATH
How does consumer buying behavior study help business .
Create Mind base
Positioning




Awareness
90%
Comprehension
70%
Linking
40%
Preference 25%
Trail
20%
Re
purchase
5%
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Consumer Behaviour &
Research
Integrated Market Communication
& MARKETING Strategies
Build / Create Dominating or
self expressive brands.
CONSUMER BEHAVIOR STUDY & MARKETING
COMMUNICATION
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Doing business without
Knowing your Consumer is
like winking at a pretty girl in dark.

You only know what you are doing
but not the pretty girl.
What are the chances that she will respond ?????
ASSIGNMENT OF CONSUEMR RESERARCH MARKS = 30
IDENTIFY A RESEARCH OBJECTIVE

DEFINE RESEARCH PROBLEM

DEFINE RESEARCH DESIGN

DEFINE RESEARCH METHODOLY

SAMPLE FRAME
SAMPLE SIZE
SAMPLE UNIT
DATA COLLECTION
QUESTIONAIRE DESIGN
DATA COLLECTION APPROACH
DATALANSYSIS
DATA INTERPRETATION & CONCLUSION

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Consumer Power & Shifting trend in
business

Consumer to TRANSUMER, PROSUMER

Create MASSCLUSIVITY - Create exclusivity from the mass.

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The center of all business a Consumer has been
transforming rapidly & have become more opaque .
Consumer consistently demand value from the products &
services .

The marketer believes that brand is most important to a
consumer .

A consumer is exposed to 600 market communication a
day approximately. ( Research results )

A consumer looks beyond the the basic functionality of
products & services which he does not articulate.
Consumer Insights
A consumer insight is a discovery about people that enables
us to establish a natural connection between a product and
their daily lives. Insights into peoples behavior are not
singular by nature, but are a collection of motives, ideas,
memories that come together and form an opinion on a
product or service. The skill is to identify the insight and
create a clear single proposition that enables people to buy,
try or react to your product.


It does exactly what I wanted it to do, I couldnt live
without it. . Consumer
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Pre sale
Situation
Consumption
Stage
After sale
Scenario
Consumer behavior study is conducted by an
organization at the following stages.
Understand the
Behavior pattern
To shape the
Communication
Maximize the sale
& involvement with
Product /service
Build loyalty &
Brand commitment
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Consumer
Personality
Consumer
Life style
Internal
Factors
External
Factors
Situational
Factors
Marketing strategy for
1. Product & service
Development
2 STP
3 Communication
4 CLP
1. Pricing strategy
2. Sales strategy
3. Brand building

Demographic
Factor
Socio graphic
Factor
Socio culture
Situational
need
motivator
Attitude
& aspiration
Perception
Self concept
Geographic
factor
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Linear perceived value model.
Consumer = Brand attribute X Consumer Attribute
Perceived Value
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Consumer types according to loyalty
Solus Users/
Loyal buyer
Dual users

Flirts /
Switcher
Degree of commitment towards product or service brands.
High Medium Low
Personal consumer & Business Consumer
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Dimensions of Loyalty
Customer
Loyalist
Downward
Migrators
1 Emotive
loyalist
2 Inertial
loyalist
3 Deliberative
loyalist
1 Life style
Downward
migrators
2 Deliberative
migrators
3 Dissatisfied
Downward Highly dissatisfied.
migrators Prompted to re
valuate alternatives
Strongly feels the chosen
Brand is best & stick to it.


Infrequently re assesses
Purchase decision .

Frequently re assesses
purchase decision . Re
confirm the brand chosen
Meets the desire & function
Re consider the brand with
every Change in need.



Believes in selecting new
brand every time .
Frequently re assess the new
brand in the market.
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CLP, Loyalty cost & Consumer behavior
Return/
Revenue
Cost
Increased
profitability
Customer life cycle
LCC
Time
MCC
Total Revenue = (R new + R existing )
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Consumer Types
Personal consumer
Organizational / Industrial
Consumer
Buys for individual Consumption.
Buying decisions are influenced by
Cognitive, Personal, cultural ,social
Influence & Situational
Factors.

Buying for organizational consumption
Buying decisions are influenced by
Quality , service , attitude of the suppliers
Financial considerations etc . Besides this ,
Environmental , organizational, interpersonal
Factors influence the decisions.

The buying decision involves decision
Makers viz
1 End User,
2 Influencer,
3 Financial Decision makers ( management )
4 commercial buyer.
SATISFACTION OF ALL GROUPS ARE
ESSENTIAL .

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Buying decisions in B2B system are influenced by :

Quality
service
Attitude of the suppliers
Financial considerations( Ability to absorb credit ,
differed payment , Lease rental etc )
Environmental factors ( Legal & political )
Capacity to supply & lead time .
Technology factors
Business process such as use of SCM , ERP e-
Business tools.
Organizational interpersonal dynamics .

An integrative model for organizational buying behavior
Information
Source

Sales person
Trade show
Direct mail
Seminar
Word of mouth
Professional
Journals
Active search
Perceptual
Distortion
Influencing
Decision
Agents
Time Perceived Type of
Pressure Risk buying
Product organization
Specific specific
Situational
Factors
Policy factors
Financial
Service
Technology
Conflict
Within
Buying center
Buying
Decision
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Precipitation
Start of the process has to be the realization
of the need, a problem that a purchase can
solve. The stimulation could be internal and
entirely routine.
It could be a planned new buy precipitated, for
example, by the implementation of expansion
plans or the imminent production of a new
product.
It could also be something more sudden and
dramatic than that, such as the failure of a
piece of plant or machinery, or a lack of stock.
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Industrial Buying Decision Process.
Top Management
Key decision
Maker
Financial
Team
Commercial Team ( Value engg,
Relationship)
End Users ( R&D , Product design,
Operation )
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Consumer Models : Conceptual Consumer models
which help in understanding the behavior from
information search to decision making while involved in
a buying process.

Consumer Models are : Economic Model
Sociological model
Psychoanalytic model
Learning model
Howarth Sheth model
Engel Blackwell- Kollat
Model


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Economic model is on the principle that consumer
looks for maximum utility at minimal price.
Price effect. Deep discounting or minimum price tags
increases the consumption & demand .
Substitute effect. : More substitute products available,
lesser will be the demand of the original product.
Income effect. As the disposable income level increases
, the consumption level will also go up.

Short coming :
The model ignores the social & psychological impact
on the buying behavior , assumes the price is the only
factor which drives the buying behavior .
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Psycho analytic model :
Behavior of a consumer is determined by his strong desire & need.
The purchasing process is governed by motivational forces . Motivation
stimulates people in to buying action.








Self
Actualization
Esteem
(Recognition)

Social(Affiliation)

Safety (Security)

Physiological ( Basic)

Sense of achievement &
competence


Owning Power & Prestige
Ego , status , success
Similar belief, status
class etc
Assurance ,
Protection, stability


Needs which are
important to
consumer
Hierarchy of need : Abraham Maslows model


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Learning Model.
Consumer Learning : A process by which a consumer acquires the
purchase & consumption knowledge experience which apply to his
future behavior . .

Components of learning process are :
Drive Clue Response Reinforcement Retention.

Drive : strong stimuli which impels action.
Clue: An object in the stimuli which elicit a specific response.
Response : Behavioral response in the from of physical terms ,
Attitudes, Perception etc.
Reinforcement :Environmental events which increases the
psychological process of motivation, increasing the likelihood of
specific response.
Retention : Stability of learned behavior over a period of time.

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Classical conditioning process of learning :
Behavior becomes dependent on certain stimuli or events in the environment.
A consumer is said to have learned , when he or she responds in a predictable
manner to a known stimulus. [ Also known as Stimulus - Response ( S -R) theory
of association )]
When a consumer learn to connect between stimuli & response it is
Called behavior .This happens due to repetitive association between
Stimulus & response .
Unconditioned stimulus Unconditioned Response [ Reflex
( piece of meat) ( Spontaneous reaction) Dog Action]

Conditioned stimulus


Conclusion : Conditioned Conditioned response
stimulus

(Pavlovs experiment of classical conditioning )
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Eg : Desirable association for Johnson soap Ad

Milk & Rose
Petals
Little toddler
Johnson
soap
Unconditioned
stimuli
Pure , Natural, Soft
& tender
Soft & tender
Skin care
Symbolic of
natural & purity
Classical conditioning helps to build strong consumer
connect with the brand for strong association.
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Sociological model.
Consumer
Family members
Friend circle
Peers & colleague
In an organization
Close associates
Target market is influenced by roll models of the society
who influence the buying behavior . Marketers analyze
aspiration level within the target segment & create the
same in the brand to appeal them towards the brand.
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Howarth Sheth Model : Consumer learning & behavior shaping
happens due to perception & attitudes which they form about a
brand leading to a favorable decision making.
Hence a input stimuli leads to learning constructs , which drives
the behavioral output , which in turn is influenced by external
variables.
Input stimuli
1. Tangible
( significant stimuli)
2. Intangible
( Symbolic stimuli )
3. Social group
( Social stimuli )
Stimulus
Ambiguity
Attention
Overt
Search
Perceptual
Bias
Motives Attitude
Intention Purchase
Brand
comprehension
Attention
INPUT
Perpetual
Constructs
Learning
Constructs
Output
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E-B-K Model
It comprises of 4 components :
Information process , Control unit ,Decision process
Environment influence
Need
stimuli
Exposure
Attention
Comprehension
Retention
Evaluation
criteria
Perception
Attitude
Income
Culture
Social class
Others
Internal &
external search
Of alternate
evaluation
Purchasing
Process
Post purchase
evaluation
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Consumer Segmentation

Consumer segmentation on the basis of lifestyle &
Aspiration helps to understand the persuasive motive
. ( Psychographic segmentation )
Aspiration

Soico culture
Value
Inner consumer core
Life stage
Geographic
Demographics
Situational
Outer core
Bajaj Scooter captured complex reality of existence
of middleclass India .
As it is said , if an Indian middle class man were to be
reborn as a product , chances are that it would be a
Bajaj scooter.

Squat, belly going to pot , wearing grey safari suit,
undistinguished, but resourceful. With his wife
perched uncomfortably at the back , Gudiya squeezed
between the two, & Cheeku standing in front.

The product literally & metaphorically at the heart of
Indian middleclass.

How did it fit in to the life of mass middleclass ?
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Consumer Segmentation Approach

AIO inventory ( Activity , Interest , Opinion )
SEC classification
VALS II
LSM
Prism
Monitor Mindbase
Global Scan
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Family Life stage is studied at :
Bachelor hood status
Married couple ( DINK )
Parent hood ( DISK)
Post parent hood
Dissolution
Parent hood is further classified in to Full nest 1 , 2 & 3
stage .
Post parent hood is classified in to Empty nest 1 & 2

Each stage depicts a distinct buying behavior & is
influenced by other factors which drives the priorities &
motivation.

Family Life Stage
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Consumer segmentation

Changing trends: Children hold strong buying power in
key segment. ( Indian kids rank 3rd worldwide in
influencing the buying decision)

Segment Children Decision maker.

Soft drinks 33.6 %
Health drinks 31.4%
Tooth paste 30.5%
restaurants 28.6%




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Sub Segmentation of Kid consumer :

Segment: 1 Infant ( 1 -12 Months)
2. Toddler ( 13 -48Months )
3. Tooth ager ( 4- 5 Yrs )
4. Toonagers ( 6-8 Yrs )
5 Tweenager ( 8-12 Yrs )
6 Teenager, (13- 19 Yrs )

[parameters : Age, intelligence( IQ) level , Family group
belonging , societal influence , point of purchase ,
Personality , Self concept. Media influence . Parenting style

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1. Hyper Parenting : Over scheduling childrens lives with
extra curricular activities & push them hard for academic
excellence.

2.Helicopter parenting : Habit of the parent to hover over their
children obsessed with ensuring their safety . Builds
protective attitude where parents keep tabs on their
childrens every move.

3 Stealth Parenting


4. Authoritarian Parenting

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3 Stealth Parenting

4. Authoritarian Parenting
These parenting process influences the childs development
in terms of how they involve buying with age. Their
knowledge, attitudes to a brand , pricing & decision making
power etc .

The decision making differs at every stage:
1. Perceptual stage ( 3-7 Yrs )
2. Analytical age ( 7-11 )
3 Reflective age 11-16)
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A research conducted by Disney India & Group M India
revels that new age Indian kids( 4-14 age group) are
Tech savvy , worldly wise ,opinionated & success
oriented.
They articulate the brand preference , influence in the
decision making & also make independent decisions
on brands.

Data shows that 51% of the total population
researched ( 34000 children across Mumbai, Delhi,
Kolkata, Banglaore, Ludhiana, Ahmedabad, Hydrabad,
Chennai, Lucknow & Chandigarh) accompany their
parents for shopping. 66% handle money
independently.

48% have their say in the choice of the brand.

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Socio- Economic Classification. SEC Segmentation .
SEC divides the house hold on the basis of the CWEs
occupation & education.
Assumption : The co- relation between education &
occupation was that better education will have organized
employment opportunities, hence high income. However it
failed to explain the buying behavior of a consumer who buys
Dove soap a luxury product for Rs 30, but not well
educated .
Accordingly the consumer class will be categorized as :
SEC-A1 , A2 , B1, B2 C1 ..D
The same can further be named as : Premium class , Middle
Class , lower middle Class.
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Other approaches .
Unilevers proprietary segmentation model. Living
standard measurement index. ( LSM) index as an
alternative to SEC . It is based on 25 parameters
putting consumers in to 18 clusters.
Parameters are :

Income , Occupation, Durable ownership( daily to
luxury ) , Work environment , media choice ,
entertainment preference , cultural sub cultural &
cross cultural factors .

Nup scale ( Nielson Upscale ): It is based on usage
of 12 consumer durable products from different
category.

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According to a research study , women class has progressed
from one Socio economic category to the next on the parameters
like traditionalism /self sacrifice to westernization / individualism
.
Variation by SEC group.
SEC D
Seeking economy sacrificing
& social conservatism
SEC C Religious
Anxious & Worried about
change.


Seeking equality ,quality
conscious disturbed by
vulgarity SEC B
Seeking Luxury
Out going
Fashion conscious
Bold & librated.
SEC A
Traditionalism
Modern/Westernization
S
e
l
f

S
a
c
r
i
f
i
c
e
I
n
d
i
v
i
d
u
a
l
i
s
t
i
c
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Discovering new identity in Urban woman
The quint essentional self sacrificing Gharelu married Indian urban woman consumer
is increasingly morphing in to independent minded assertive entrepreneurial class.
( Research study conducted by Lowe Asia Pacific )
Psycho graphically charted consumer segmentation
Modern ( willing to embrace new values)
Traditional ( Be contended /compromise with
old system)
Stability
seekers
Change
seekers
Ms/Mrs Hasmukh 27%
(Role model Didi )
Mrs Meri Awaz Suno
(Attention seekers) 31%
Ms/Mrs Gharelu 18%
( Home pride)
Mrs Hey Bhagvan
Moaner
Ms/Mrs Pataka
Cool
Ms /Mrs India
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Mrs Garelu is just 18% of the total sample size. Who are they ?
Home pride . A perfect home maker .

Behaviour :
Uses parachute oil for kids & self , Fair & lovely being a part of her make up kit.
She is proud of her washing machine & water filter. She is likely to buy a microwave
owen or expensive home appliances. But she prefer to use branded sanitary napkins.
Her husband relies heavily on her.
Social : She hate wasting money on outing , eating entertainment. Entertainment is all
around Jassi & K series .
Belief : Strong believer of good education to her kids. Choosing any unknown
New career by the family member is not acceptable.
Attitude : Family is more important & believes that star determine her fate.
Value : Respect can never be compromised. High level of tolerence .
Never address the husband by name .( Munne ke papa, Suno ji type ) . Do not
question the roots of tradition, rituals. They are always for good. Just adapt it.

She is Quintessentional sacrificing Maa
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Fast moving trend is seen from Mrs Gharelu to Mrs Has mukh
Who is Mrs Hasmukh ?

Attitude: A lively cheerful & positive personality. She treats her life like a must win
contest . A friendly nature . Talking to a stranger of opposite sex & accepting him as a
friend is normal . A perfect wife, mother , daughter in law , friend , independent
minded , divides her time between husband , kids , family herself, & her friends. Not
self sacrificing

Belief : While she is religious , she does go to beauty parlour with equal vigour.
Usage : She likes to buy things which make her household chore more convenient .
Microwave Owen, Dishwasher, Vacuum cleaner , Oriflame conditioner, foot cream,
Nourishing night cream products .
Social gathering , party with friends , family etc.
She encourages her kid to be more independent, explore & peruse their career where
you can deliver your best result, like she herself would like to do. She likes to be seen
as trendy .
She is a role model Didi for many women
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Mrs Pataka:
Characterised by the style quotient , acts cool & talks about doing what other
women dont. Take pride in sending their kids to the best school in town. Style
matters in terms of regular visit to palour, PTA , Social meet , week end party &
dining , need varieties of perfume for different occasion. She expects her husband
to consult her in all decisions & upholds her individualism.

Attention seekers: Stifled by the various restrictions & norms imposed on her
craves for attention, likes when others empathise with her .Her husband does not
necessarily take her opinion in all home related issues. Saving is not her forte. Will
use fairness cream , oil her hair on daily basis. She hopes high expectation on her
son& daughter. She does not mind using unbranded or lesser known brands still feel
good about herself.

She feels miserable about her inability to send her kids to expensive schools, lavih
spending .She believes that fate is determined by her stars.
She wants to come out of middle class dudgery. More of self sacrificing type &
wants to move away from joint family class.

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The HEDONIC TREADMILL ( Daniel Kahneman-
Nobel Prize winner Economist & Psychologist)
Studies show that happiness rises with income up to a certain point
at which the basic needs are met, after which it stagnates as
aspirations also rise with income.
Income
Consumer
Satisfaction
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Rural , Urban , Global , Semi rural , Semi Urban leading to life style,
climate , population etc.
Institutional segmentation : Large corporate segment ( Global &
Domestic) , SME , SOHO , FTU Govt, PSU etc

Summary of Profiles
West North
Religious yet outward centric Impressionable
Worried about change Conservative
Materialistic value

South East
Quality conscious Anxious about future
Guilt if spending on self. Bold , more librated,
Accept society as it is , Optimistic Discontented
willingness to experience new
Role of culture in
consumer behavior
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Culture
Culture is part of the external influences that impact the
consumer. Culture represents influences that are
imposed on the consumer by other individuals.
Culture is a complex study which includes knowledge,
belief, art, morals, custom, and any other capabilities
and habits acquired by a person as a member of
society Culture, as a "complex whole," is a system of
interdependent components.

Knowledge and beliefs are important parts.
In U.K exposed hands or legs among women in formal
, social gathering is reflected immoral.

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In Japan, on the other hand, groups of men and
women may take steam baths together without
perceived as improper.

What at least some countries view as moral is in fact
be highly immoral by the standards of another
country.


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Culture has several important characteristics:

(1) Culture is comprehensive. This means that all parts
must fit together in some logical fashion.

(2) Culture is learned rather than being something we are
born with.

(3) Culture is manifested within boundaries of acceptable
behavior.

(4) Culture is gratifying & persistent .

(5) Culture is integrated & organized.

(6) Culture is acquired.


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Culture can be viewed from independent levels as:
1. Ideological systems. : Mental system consisting of ideas,
belief, values & ways of reasoning.

Cognitive ( beliefs, customs)

Normative ( conduct & norms )


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2. Organizational system ( Family & Social class ) .It
coordinated behavior .

3. Technological system : ( Skills & techniques used to
behave in a particular way)

Variation in culture happens when the values ,norms
belief , moral, ritual, custom , Tradition etc influencing
ideological , organizational & technological system are
questioned by the consumer for its existence & sanctity
to be followed.

When these factors are vulnerable to change , variation
in culture is natural process.

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Nonverbal factors influencing cultural variation

SYMBOLS
COLORS
NUMBERS

What is Semantic & symbiotic culture ?


Deer is a Symbol of homosexuality in Brazil .
Owl Symbol of wisdom in US
Number 4 is in auspicious in Japan & 10 & 13 th in south
India etc.
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Culture, Subculture , Cross culture influence in
Buying behavior
Ideological
system

Organizational
system
SUB Cultural influence
Cross cultural influence
Ethnic
Religious
Nationality legal barrier
Cast
Language
Understanding the culture of a market can
help to formulate more effective
communication strategy to overcome the
barriers to acceptance.

Low diffusion rate of a product is primarily
due to resistance to accept a concept on
account culture .

All teaser communication campaigns are built
to break the cultural barriers .
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Consumer personality &culture
Value
Rituals
Heroes
Symbols
Practice
Family values
Hush Hush Culture
Cloth usage
Confident ,
Independent &
freedom
All 30 days same
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Perception & Attitude formation
Perception is psychological mediation. It refers to the
process of organizing and interpreting sensory
information.

Perception is the process in which the brain selects,
organizes, and interprets neural messages into a
psychological experience on the basis of cognitive
ability and soico cultural values governing in the society
.We are aware of the meanings that brain generates
from sensory information.

Perception enables us to recognize meaningful objects,
pictures, faces, language, etc & interpret the same the
way we want.

What is the role of perception in consumer buying ?
Mind base positioning of product or service .
Sensory stimuli
Visual , Audio , Taste, Smell, Touch
LBS
RBS
Sensation drives perception.
Marketing science behind perception management is to
identify right sensory stimuli which would invoke desired
decision within consumer ( logical or abstract ) . This depends
on the positioning objective .
Psychological mediation
A research presented by scientist Martin Lindstrom reveal
the conceptual essence of senses as a source of attitude
formation and change.
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While Sensation is a physical process of converting
stimulus energies, without sensation, there would not
be perception.

Perception co-relates , integrates & comprehends
the various sensations & information received . It is
formed by both physiological & psychological
factors.


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Perceptual constructs

Stimulus Perceptual bias Perception
ambiguity

Stimulus ambiguity : Interpretation of information provided
according to selective preference.

Ambiguity happens due to social values prevailing in the society
acting as a constraint for accepting the product/service.
When the community values wins over social values, the
product gets accepted in the society .

Perceptual bias : Attending to the selective information as a result
of ones own frame of reference.

Perception is a process of selecting, organizing & interpreting or
attaining the meaning of what is happening in the environment.



Positioning of emergency contraceptive pill as Protection
when things go wrong at the heat of the moment.

In the backdrop of social norm which claims the
communication is obnoxious ( promotes premarital sex &
acclaimed moral looseness ) , the success comes as it helps to
overcome the mass murder of life and self protection.

A threshold refers to a dividing point between energy
levels that do and do not have a detectable effect.
. What happens to ones threshold as the stimulation
increases? As the stimulus intensity increases, the
probability of detecting a stimulus also increases.

Absolute thresholds define the boundaries of sensory
capabilities. An absolute threshold refers to the intensity
level at which the probability of detection is 50 percent.
What are some of the lowest absolute thresholds
discovered in psychophysics research?

1 visual absolute threshold is being able to see a candle
flame at 30 miles on a dark clear night.
Thresholds and Absolute thresholds
Webers Law.
Webers law states that the magnitude of differentiation is
a constant proportion of the size of the initial stimulus. The
constant proportion is called Webers Fraction.
Techniques to form good
Perception within consumer :

Signal detection
Just noticeable differences (JNDs)
Subliminal perception
Sensory adaptation
Selective attention
Merlyn : Wao ! What a position ?

Bob : What a figure .

James : Irresistible, I am excited.

Sandra : I wish I am in that position.

Tom : I envy you ?
Apply for the position of Creative Designer in life
style apparel segment . Annual emolument : 16 Lacs
Only lady candidate may apply.
JND : Just Noticeable Difference . JND refers to the
smallest difference in the amount of stimulation that a
specific sense can detect.


Selective attention refers to our focusing on a
limited aspect of all that we comprehend, enjoy ,
and experience .

This explains why cell phones are dangerous
when driving. We focus on the phone
conversation and not the other sights and
sounds on the road.

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Subliminal perception

Subliminal perception refers to below threshold.
Subliminal perception is the registration of sensory
input without conscious awareness. subliminal
perception techniques are used by media to grab the
attention using money , sex as strong stimulator.
SILK CAMISOLE SET
Short Kimono
Behavioral researchers agree that sought benefits and
consumer perception are the main antecedents of brand
preferences, which is as follows:

BP = PA + CP

Where:
BP - Brand preferences
PA - Product attributes
CP - Consumer perception

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84
P
E
R
C
E
P
T
I
O
N
Internal Factors

Selective attention
Selective Exposure
Selective reception,
comprehension &
retention,
Perceptual vigilance
or defense
Expectation
Subliminal perception

External Factors
Intensity& Size

Position


Contrast


Novelty


Repetition

Movement
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Both internal & external factors influence the perception
of the buyer
Blind test of Coke & Pepsi

Pepsi preference population 51 %
coke 44 %
equal /cant say 5%

Identity revealed test

Pepsi 23%
coke 65%
equal/cant say 12%

Conclusion : Both internal & external factors influence the way in
which an individual perceives a product or brand.
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Perception drivers in consumers
Social factors
Psychological factors
Cultural factors
Personal factors
What
motivates
the
consumer's
Life style

What buyers feel
acceptable norm
in the society
Core values
which drives
the consumer
The way consumer
relates & draw meaning
of some thing.
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Semantic perception and synthetic perception
concepts.
Consumer Attitude Study
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90
Consumer Attitude

In consumer behavior context , attitude is a learned pre deposition
to behave in a consistently favorable or unfavorable way with
respect to a given stimuli. (Brand )

Learned deposition refers to information source , perception ,
experience , exposure to media etc which helps to build an attitude
& gives momentum to the behavior .
The momentum can be negative or positive.

Consistency refers to the voluntary decision ( Compulsive buying
) which makes the consumer to purchase the product/ service /
brand till such time there are no intervening factors which force
the consumer to change the attitude.
Two school of thoughts in Attitudinal theory

1 . Insights on product usage :
Attribution theory focuses on how consumer assign causality to
events and how they form or alter attitudes as an outcome of
assessing their own behavior, or the behavior of other people or
things.
Dove communication is built on the product insight that soap dries
skin , but Dove doesnt because of its moisturizing content to
nourish the skin.

Cognitive dissonance theory : Anglo Saxon View ( Western theory)
and Non Anglo Saxon View ( Eastern cultural rich view )
Theory suggests that the conflicting thoughts, or dissonant
information, that follow a purchase /acceptance decision might
propel consumers to change their attitudes to make them consonant
with their actions.

.
Anglo-Saxon view : It is one big market world over and
consumers across are same with same motivation . Nikes
approach to market with Just Do it is based on the
fundamental that to win is a common motivation across.

Non Anglo Saxon View ( Eastern cultural rich view )
Among many others , brands that has successfully shifted the
attitude of market are :
Fair & Lovely ( HUL) i -pill ( Cipla ) , Cadbury dairy Milk etc .

Failed to shift the attitude are :
Communication on Amul Macho inner wear & Chocolate flavor
Axe effect male deodorant .




While promoting male contraceptive products are unobjectionable,
why emergency contraceptive pill for women invited obnoxious
response?

Can marketers create an attitudinal shift towards mild alcohol
filled chocolate in Indian market ?

Can marketers create an attitudinal shift towards Toilet roll paper
in Indian market ?



The toilet paper is a large industry in US . Twenty-six billion
rolls of toilet paper, worth about US$2.4 billion, are sold
yearly in America alone. Americans use an average of 23.6
rolls per capita a year.

Moist toilet paper was first introduced by the Kimberly-Clark
in the United Kingdom in the 1990s, and in the United States
in 2001, two countries in which bidets are rare. It is designed
to clean better than dry toilet paper after defecation.

The 16th century French satirical writer Franois Rabelais in
his series of novels Gargantua and Pantagruel, discussing
the various ways of cleansing oneself at the toilet, wrote that:
"He who uses paper on his filthy bum, will always find
his ballocks lined with scum", proposing that the soft
feathers on the back of a live goose provide an optimum
cleansing medium .
The disposable paper products market in India is
limited to sanitary protection and incontinence
products, which continue to form the bulk of the sales
of disposable paper products in India. Mass media
advertising as well as below-the-line consumer
outreach activities are the key growth drivers
alongside rising concerns about health and hygiene
as well as growing purchasing power .
96
Tri component Attitude model:
1 Cognition component
2 Affective
3 Conation
Conation
Cognition
Affect
An attitudinal shift of the market happens when , positioning
invokes beliefs , establish liking & induce a stimuli for buying
known as tri-component model. .
1.A positive or negative belief ( myth, Superstition, taboo, strong
reference opinion, Right or wrong product/service information
from authentic source ) As consumers hold many beliefs about a
product or service, it is difficult to decide which belief influence
the buyers attitude most.
Hence Multi-attribute ( known as the Fishbein) Model attempts to
summarize overall attitudes into one score using the equation:



For each belief, take the weight or importance (Wi) of that belief
and multiply it with its evaluation (Xib).
For example, if a consumer believes that coffee can help to
overcome metal fatigue by partially energizing ,hence gives the
importance 4 on a scale of 1 to 7.

He or she believes that coffee can energize better than tea, hence
rates 6 on a scale from 1 to 7. Thus, the product here is 4(6)=24.

On the other hand, he or she believes that coffee consumption is
bad for health, hence rates 2.
Coffee has high caffeine content hence bad for health, thus rates
1 . Now we have 2(1)= 2. Had these two beliefs been the only
beliefs the consumer held, total, or aggregated, attitude would
have been 24+(2)= 26. If required the scale can be extended from
-7 to +7 .
Since the second belief & evaluation factor is weak, it will
negate the buyers decision towards coffee.
In practice, of course, consumers tend to have many more beliefs
that must each be added to obtain an accurate measurement.
Affect . Consumers feeling & emotions associated with the brand.
Consumers hold certain feelings toward brands . These feelings are
based on the beliefs (e.g., a person feels nauseated when thinking
about a hamburger because of the tremendous amount of fat it
contains), but there may also be feelings which are relatively
independent of beliefs.

Behavioral Intention. The behavioral intention is what the
consumer plans to do with respect to the object (e.g., buy or not buy
the brand). As with affect, this is sometimes a logical consequence of
beliefs (or affect), but may sometimes reflect other circumstances--
e.g., although a consumer does not really like a restaurant, he or she
will go there because it is a hangout for his or her friends.

The Attitude shift is for :

1.Utilitarian Function
2.Ego-defensive Function
3.Value-expressive Function
4.Knowledge Function

1. Utilitarian Function
Favorable attitude towards a brand happens because it has high
usage imagery . Marketers may stress the utilitarian feature or
may suggest uses of the product that may not be obvious.

2. Ego-defensive Function
Products that we purchase to protect our self-images, to replace
our sense of insecurity with personal confidence.
Techno savvy image , flamboyant image etc
3. Value-expressive Function
Consumer's express personal values through the brands they
purchase and own .Marketers often attempt to identify their brands
with these values.
Fairness is a symbol of beauty & helps to gain success
corporate .

4. Knowledge Function
Consumers feel the strong need to know and understand how the
brand can be put to application or support & justify her decision
of buying .

Attitude change strategies
Change Belief ( Add belief , Change currently held , change
importance of belief.)

Change Affect

Change Behavior

Approach

1.Comparative advertising

2 Hyperbole statement .

3. Emphasizing Brand Attributes ( USP)

4 Competition based advertising

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Attitude & persuasion

Persuasion : A series of psychological processes mediating
perception , comprehension , agreement , retention , retrieval &
decision making using vital cue.


Primary route of persuasion .


Secondary route of persuasion
Secondary route to persuasion is more acceptable while
evaluating and structuring emotionally based attitude to a
brand as it is possible to affect consumers attitude by simply
changing his convictions after the impact on his emotions.

Communication, directed towards senses will attract
consumers attention which will change existing convictions,
behavior and ultimately attitude. Such conclusions forms an
assumption that the formation of consumer attitude to a brand,
applying secondary route of persuasion is an appropriate
method when the level of involvement in communication is low
as this does not require a lot of effort form a consumers side.
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Elaboration Likelyhood model :
( ELM) explains the way the consumer respond to
communications or messages.
According to ELM attitude formation or change process
depends on the amount & nature of elaboration or processing of
relevant information.

ELM is a function of Motivation
Ability to process the message.
Motivation depends on the involvement , personal relevance,
individual needs & arousal levels.
Ability to process depends on knowledge & its relevance &
opportunity to use.


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Message
Motivated to
process
Ability to
process
Persuasion
Cue present
No
No
Yes
Yes

Cognitive processing
Cognitive structure
Change
Attitude change
change +ive
Neutral
Temporary
Attitude shift
Retain original
Attitude
Yes
No
ELABORATON
PROCESS
Client: Asian Paints
Product: Asian Paints Colour World is the brand name for the
one-stop colour shop of Asian Paints, which are unique paint
shops where shades are generated with the help of a computer
with software to choose and select 1,511 shade combinations,
designed to reach consumers in a direct `dil se' style.

Advertising Objective: Position Asian Paints Colour World as
the one stop paint shop with all the colours one could want.
The advertising should create enough interest in potential
consumers to ensure that they come to the Asian Paints Colour
World outlet or at least call the Asian Paints helpline.
Target Audience:
Demographics
Region: India, urban population
Occupation: Service/working professional/self-employed
Gender: Insignificant
Religion: Insignificant
Social class: Upper Middle and upwards
SEC: B and upwards
Family life cycle: Middle aged
Behavioural
Occasions: When looking to paint the interiors of his house
(usually there is an upsurge with new construction and during
festive seasons like Diwali and Holi)
User status: First time user
Loyalty status: Not defined
Readiness Stage: Relatively informed
Attitude toward product: Low-involvement
Attitude toward brand: Trusting, has high-recall value
Consumer Research.

Consumer research noticed that during the
phase of getting their house painted, consumer
look for just the right shade and are prone to
collecting samples to visually show their
painter exactly what they had in mind. But
always they are unable to express verbally.
Using this insight , the concept of mera wala
pink ,meral wala cream and green was
conceptualized.

Core thought

Asian paints is about people who invest
emotional energy in creating their homes
Asian Paints is about homes which reflect
the taste and love of their owners/residents

Brand Image
Brand image is the collective perceptions of customers
about an organizations brand positioning efforts

An organization's positioning efforts create a brands
image by overcoming information clutter, in most cases
minimal interest, and limited mental capacity.

The goal is to produce a road map of how and where
the brand fits into a persons cognitive framework.
Brand Loyalty :
Brand loyalty is a function of attitudes and
behavior. It is an attitudinal predisposition
favoring a brand and a pattern of purchasing
that brand regularly.
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McGuires theory of personality & persuasion .
It focuses two aspects : 1. Reception ( Perception &
comprehension )
2. Yielding ( agreement )
It states that the personality is related to these two aspects in
opposite way.

The personality trait which increases the reception decreases
yielding.

Attitude change ( AC) is a function of a multiplicative
relationship between reception ( R) & Yield (Y) .
AC= R X Y .




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Since IQ is one of the important factor for persuasion, higher the IQ in a
consumer the R factor is bound to be high. But the yield is low in this
case because it requires rigorous evidence to influence. Ac= R X 0 = 0
Similarly when the IQ is low, R factor is low since individual finds it
hard to understand the persuasive message . However the yield factor is
high because he is gullible & accepts it easily .
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Attitude Change
Reception
Yielding
Likelihood
Of response
Not likely at all
Very Likely
Low
High
Attitude
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Central Vs Peripheral Route to persuasion.
Central route to persuasion: When an ad is interesting & relevant ie
the consumer take time to understand it is said to follow a central
route of persuasion. ( strong reason & argument to support & hold a
particular attitude &opinion. )

On the other hand , peripheral route to persuasion implies, very little
or effort to think, involve , or inclination. In such case the attitude
formation towards the brand is on the basis of peripheral clues .( back
ground music , pictures etc. )
Exposure to AD Motivation to
Elaborate
Peripheral
Route
Ability to elaborate
Central
Route
High
Low
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121
.
Involvement = f ( Personal , situational , Product attribute )

High Product Involvement Low
Perceived
brand
differentiation
High
Low
Learning Model
Cognitive
Affective
Conative
Dissonance Model
Conative
Affective
Cognitive

Low involvement
model
Cognitive
Conative
Affective
FCB Grid used to change the attitude of a buyer
A research by Wharton marketing & Stanford
marketing professors Cassie Mogilner & J.Aaker
argues that when companies weigh which theme to be
used while communicating the brand to invoke
attitudinal shift in consumer , Time theme over money
theme proved more effective.
Further it was studied to what extend it is linked to
consumers personal experience, emotion and identity
, which is responsible for attitudinal shift .
A lemonade stand experiment .

Conclusion of the experiment : Brands can cultivate
consumer relationship by first considering how
consumers identify with the product ( through
experience or possession ) & then highlighting either
the time or money spent accordingly.
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Relationship of attitude with communication

Brand
communication
Belief about the
brand
Judgment about
Brand
Feeling about
Brand
Benefit analysis

Attitude towards the
brand
Attitude shaping through media communication
Innovation & diffusion
Diffusion of Innovations is a theory of how, why, and at what
rate new ideas and technology spread through cultures.

An individual or an organization/social system bases the
type of decision on whether an innovation is
adopted/rejected.

The three types of innovation-decisions are: Optional
innovation-decisions, collective innovation-decisions,
authority innovation-decisions.

1.Optional Innovation-Decision
This decision is made by an individual who is in some way
distinguished from others in a social system.( Role model)



In mid '80s the woman in the Surf Ad got a name - Lalitaji - and was
brought to life on television by Kavita Chaudhary in a TV commercial
with the tag line SURF ki Kharidari mai hi Samajdari hai ( It makes
better sense to buy Surf). They were fighting a soapy detergent war
against Nirma.
Nirma, in turn, had found an icon of its own in a young little girl
swirling around in a skirt the Nirma girl. The Ad jingle for Nirma
was the clincher:

Washing powder Nirma, washing powder Nirma
Dudh si safeedi, Nirma se aaye
Rangeen kapda bhi khil khil jaye
Thoda sa powder aur jhag dher sara
Rekha, Jaya, Geeta aur Sushma
Sabki pasand Nirmaaaa. Washing powder Nirma. Nirma.




2.Collective Innovation-Decision
This decision is made collectively by all individuals of a
social system.

3.Authority Innovation-Decision.
This decision is made for the entire social system by few
individuals in positions of influence or power.

Five stages of innovation decision are :
knowledge, Persuasion, Decision, Implementation,
confirmation.
What is
online
banking
What
motivates
Online
banking
Does it enhance
consumers present
Way of doing things ? Y/N
What will
make him
try?
What motivates
him to
shift ?
Knowledge
In this stage the individual is first exposed to an innovation but lacks
information about the innovation. Hence during this stage the
individual has not been inspired to find more information about the
innovation.
Persuasion
In this stage the individual is interested in the innovation and
actively seeks information/detail about the innovation.
Decision
In this stage the individual takes the concept of the innovation and
weighs the advantages/disadvantages of using the innovation and
decides whether to adopt or reject the innovation.
Implementation
In this stage the individual employs the innovation to a varying
degree depending on the situation. During this stage the individual
determines the usefulness of the innovation and may search for
further information about it.
Confirmation: Individual apply the concept to his daily life.
The rate of adoption is defined as the relative speed with
which members of a social system adopt an innovation. It
is usually measured by the length of time required for a
certain percentage of the members of a social system to
adopt an innovation
Adoption Curve :
Adoption
Time
Due to initial resistance to accept the change
in the daily life, social system will oppose
the innovation , unless innovation is strongly
aspiring ( persuasive motive ) the market to
adopt the innovation.
Adoption of an innovation follows an S
curve when plotted over a length of time
Hybrid corn was adopted only slowly among many
farmers. Although hybrid corn provided yields of about
20% more than traditional corn, many farmers had difficulty
believing that this smaller seed could provide a superior
harvest. They were usually reluctant to try it because a
failed harvest could have serious economic consequences,
including a possible loss of the farm.
Agricultural extension agents then sought out the most
progressive farmers to try hybrid corn, also aiming for
farmers who were most respected and most likely to be
imitated by others. Few farmers switched to hybrid corn
outright from year to year. Instead, many started out with a
fraction of their land, and gradually switched to 100%
hybrid corn when this innovation had proven itself useful.
Forces which would work against innovation are :
1. socio cultural ( ideology of the market )
2. financial constraint
3. Technological culture.

Birth control pill is incompatible with strong religious
influences in countries heavily influenced by Islam or
Catholicism .

Electric razor : Indian shaving skill is incompatible with the
dry shaving concept mooted by the product.
The characteristics which determine an innovation's rate of
adoption are:
(1) Relative advantage : It is the degree to which an
innovation is perceived as better than the idea it supersedes.
The degree of relative advantage may be measured in
economic terms, but social prestige, convenience, and
satisfaction are also important factors. It does not matter so
much if an innovation has a great deal of objective advantage.
What does matter is whether an individual perceives the
innovation as advantageous. The greater the perceived
relative advantage of an innovation, the more rapid its rate of
adoption will be.


(2) Compatibility is the degree to which an innovation is
perceived as being consistent with the existing values, past
experiences, and needs of potential adopters. An idea that is
incompatible with the values and norms of a social system will
not be adopted as rapidly as an innovation that is compatible.
The adoption of an incompatible innovation often requires the
prior adoption of a new value system, which is a relatively
slow process.

(3) Complexity is the degree to which an innovation is
perceived as difficult to understand and use. Some
innovations are readily understood by most members of a
social system; others are more complicated and will be
adopted more slowly. New ideas that are
simpler to understand are adopted more rapidly than
innovations that require the adopter to develop new skills and
understandings.


(4) Trialability is the degree to which an innovation may be
experimented. New ideas that can be tried on the phased
manner will generally be adopted more quickly than
innovations that are not divisible. An innovation that is
trialable represents less uncertainty to the individual who is
considering it for adoption.

Role of tryvertising as an execution strategy building
adoption rate ?


(5) Observability is the degree to which the results of an
innovation are visible to others. The easier it is for
individuals to see the results of an innovation, the more
likely they are to adopt it. Such visibility stimulates peer
discussion of a new idea, as friends and neighbors of an
adopter often request innovation-evaluation information
about it.

Other Cultural dimensions influencing to adopt new
products more quickly than others are:

Modernity: The extent to which the culture is receptive to
new things. In Britain and Saudi Arabia, tradition is highly
valuedthus, new products often dont fare too well. The
United States, in contrast, tends to value progress.
The concept of modern Japanese toilet based on vacuum
driven, deodorized, auto cleaning of base fail to connect
UK market .

Homophily: The more similar to each other that members
of a culture are, the more likely an innovation is to
spreadpeople are more likely to imitate similar than
different models. Small car concept picked up well in India
as average height of Indian men ranged between 5.5 to 5.8
ft.
The strategy used by the brand owners to induce early
adoption in the market : identify an highly respected
individuals ( Innovators ) within a social network,
creating an instinctive desire for a specific innovation.
Inject an innovation into this group of individuals who
would readily use an innovation, and provide positive
reactions and benefits for early adopters of an
innovation.
The categories of adopters are:
Innovators
Early adopters
Early majority
Late majority
Laggards
The bell shaped curve illustrates the rate of adoption of
a new product. The saturation point is the maximum
proportion of consumers likely to adopt a product.
(1) Innovators 2.5%
(2) Early adopters 13.5%
(3) Early majority 34%
(4) Late majority 34%
(5) Laggards 16%
Cumulative adoptions are reflected by the S-shaped curve.
ATM cards diffused quickly in the market .Retail banking
segment enjoyed the benefit of this in lowered cost of
servicing the client. ( Move from branch banking to ATM
banking ) Since the cards were used in public, others who
did not yet hold the cards could see how convenient they
were. Although some people were concerned about
security, the convenience factors emerged as a decisive
factor in the tug-of-war for and against adoption.
The product life cycle (PLC) is tied to the phenomenon of
diffusion of innovation. When a new product comes out, it
is likely to first be adopted by consumers who are more
innovative than others. It is important for a brand to
create innovators since many other later adopters will
tend to rely for advice on the innovators who are thought
to be more knowledgeable about new products for advice.
Time
Revenue
1.Assuming all technical issues with Broadband /Internet
providing TV (Web-TV, Cyber-TV, Cable-TV and so on) have
been solved and there is no regulation elements, will
people adopt to ip TV mode ? If yes, Why ? when?

If packaged tender coconut water is made available by a
leader in FMCG sector to the mass India, will people
adopt? Why ? / Why not ?
Food for thought
Self image .

Self image is composed of the attitudes a consumer
holds towards herself due to internal & external stimuli .

Life style of a consumer is an outward expression of
ones self concept.

Life style drives & involves the consumer in buying
decision of a specific brand of product or service.

Therefore Self image is defined as the totality of an
individual's thought & feeling having reference to
herself or him self .


Research shows that Self image can be
categorized in two levels.
1. Independent Self concept ( Separateness )
2. Interdependent Self Concept. (Connectedness)

Independent self concept. It is based on the fact
that individuals give more importance to their
personal values & goal, , egocentric ,
autonomous, self reliant & self contained.
Interdependent Self Concept.
It is based on the fact that individuals give more
importance to their society ( family values ,
social pressure & social relationship). Such
consumer demonstrate socio centric , holistic ,
connected & relationship oriented approach in
their behavior.
Self Congruity :

Self-congruity represents the degree of similarity between
consumers self-image or self-concept and that of brand. The
degree of consistency between the self-image and brand
image is self-congruity .

The four aspects of self-concept compose the global self-
image, which influence consumer choices of brands through
self-image with brand image congruity.
Self Concept and Brand Self-congruity

Personality as a predictor of self-congruity has a natural
extension of the self-concept/Self-congruity theory because,
both constructs are closely related to each other . Self-concept
is often viewed as a component of personality. Research
shows that there is a positive association between self-
concept and brand image.

The greater the congruity between the human
characteristics that consistently and distinctively describe
an individual's actual or ideal self and those that describe
a brand, the greater the preference for the brand (Aaker).



Self-concept is hypothesized to consist of four components,
actual self-concept, ideal self-concept, social
self-concept and private self-concept .

Within this framework, actual self-concept refers to the
present way in which individuals perceive themselves
(reality), whereas the ideal self-concept represents the
manner in which they would like to perceive themselves.

Social self-concept represents the way individuals believe
others perceive them, while private self-concept represents
the way the individual desires to be perceived by others.
Actual Self concept & Ideal Self concept : Who I am
now & Who I would Like to Be ( Ideal self concept) .

Mens formal brand presently, wants to be a brand for
both men & women .
Private Self Concept and Social Self Concept : How I
want others to see me & how others see me ( Social
Self Concept.)

Brand wants to be known as rugged ,rough & tough.
( Private self)
Market consider brand as mild & meant for occasional
use. ( Social self )


Self concept
Perception
gap
Personality
gap
Identity
gap
Position
gap
Why perception gap, Identity gap, personality
gap & position gap is well understood by
getting the insight of markets self concept.
Measuring Self concept. self concept helps to position
the brand firmly & appeal the consumer.

Mother is perceived to be caring for her children.
5 4 3 2 1
Fully partially Agree Somewhat Donot
Agree agree agree agree

A corporate citizen want to portray professional &
confident in work.
5 4 3 2 1
Fully partially Agree Somewhat Donot
Agree agree agree agree


House wives see washing machine as time saving
appliance
5 4 3 2 1
Fully partially Agree Somewhat Donot
Agree agree agree agree

Self concept is measured using Semantic Differential
Scale. The scale helps to describe ideal, actual, private &
social concepts of an individuals & thus can be mapped
on the image of the brand or useful characteristics in
marketing communication.

___ Rugged ___ Delicate

___Complex ___ Simple

___ Contemporary ___ traditional


Tick which word describes your washing machine most appropriately
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153
Consumer Personality
An eagles egg was placed in the nest of a prairie chicken. The egg got
hatched & the little eagle grew up in the surrounding of a chicken. It
scratched in the dirt for seeds , clucked & cackled. It never flew more
than a few feet. One day an environmentalist saw the eagle with the
chicken & persuaded the owner to let it free . The eagle is not meant to
be on the ground, the sky is its world. The owner said, It is doing
what it has learnt from its friend. You may try . Let it fly high in the
sky, to never return again . The environmentalist tried , took it high on a
mountain , held up & said the sky is your world go . The eagle flew a
few meters & came back on the ground. In spite of repeated attempts
the eagle could not fly.
He brought it back & put it back with the chicken. It flapped its wings &
got back to the dirt's to find the seeds to feed itself.

What is the moral of the story ?
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154
Origin of personality
Genetic
Determinants

Parental
Determinants

Experimental
Determinants

External
Determinants based
on social, cultural
Race, religion etc.
Development of
Stable personality
Characteristics.
Personality
development
Behavior
Individual
differences in
behavior
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Consumer personality
Self image
Perception
Learning Behavior
Attitude
Motivation
Temperament
Consumer tries to see her personality through the brand
she owns & justify the reasons for owning it.
If brands fail to communicate the personality to the target
audience, it will find difficult to attain the position in the
mind of the consumer.
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The commonly referred personalities types are :

Innovative type : Consumers are attracted to new types of
product & service & also whenever the existing product is
modified & marketed the innovative type gets attracted to it .
Eg Mobile, Multimedia desktop, laptop . Hotel service,
tourism service. Etc

Dogmatic Type : Consumer prefers to stay with tested product &
shrinks away from unfamiliar & new product.

Inwardly directed : Buying decision is more based on self
thinking.

Outwardly thinking : Consumers are excited to buy when he/she
is told that many others are doing so.

Personality can be defined as the consistency of interaction
towards a persons external and internal stimuli (Fiske).

Research background :

Thurstone conducted psychological factor analysis of 60
personality terms & came up with 5 common factors. Cattell
followed Thurstones method & came up with a more complex
set of personality variables, known as 16 Cattell Personality
Factors (PF). Other researchers, including Fiske and Digman,
did a follow up study by analyzing Cattells 16 Factors and found
out that only 5 factors are proven to be replicable across
different context . This research, gave birth of Big Five in
personality theory.. The Big Five theory has been tested across
different cultural contexts and considered as one of the most
systematic and reliable personality constructs.

The Big Five Model explains individual differences using a trait
analysis approach. Big Five personality test is regarded as
Dimensional/Galilean rather than Categorical/Aristotelian
approach. The Big Five aims to explain individual differences based
on several dimensions rather than putting people into boxes of
personality categories, which enables researchers to examine individual
differences based on different trait factors.

Factors considered in BIG FIVE MODEL:
(1) Neuroticism : It assess an individuals prone to psychological
distress, unrealistic ideas, excessive cravings or urges, and maladaptive
coping responses. A person who has high score in neuroticism
dimension is considered unstable and emotional.
(2) Extraversion: It assesses an individuals quantity and intensity of
interpersonal interaction and activity level. A person who scores high
in extraversion dimension is likely to be adventurous and energetic .


The high scorers tend to be sociable, active, talkative, person-oriented,
optimistic, fun-loving, and affectionate.

(3) Openness : It assesses an individuals proactive seeking and
appreciation of experience for its own sake, toleration for, and
exploration of the unfamiliar. The high scorers tend to be curious,
creative, original, imaginative, and untraditional.

(4) agreeableness : It assesses an individuals quality of interpersonal
orientation along a continuum from compassion to antagonism in
thoughts, feelings, and actions. The high scorers are likely to be soft-
hearted, good-natured, trusting, helpful, forgiving, gullible, and
straightforward.

(5) Conscientious : It assesses ones degree of organization, persistence,
and motivation in goal-directed behavior. The high scorers of this
dimension tend to be organized, reliable, and hard working.

In Big Five construct , consumers are grouped into 5 dimensions. Scores
on NEO PI-R (Neuroticism-Extraversion-Openness Personality
Inventory Ratio) determines where each consumer is positioned, a
person can be positioned into more than one dimension. In the
questionnaires consumers are asked to rank themselves in each
dimension and calculate the score for each dimension. In the marketing
context, researchers are interested to find out significant dimensions of
consumer personality. The way significant is defined in The Big Five as
the dimension in which the participants score the highest. There is no
rule of thumb concerning the number of dimensions that can be taken
into account in marketing, however, for the purpose of this study, 2
dimensions are considered the maximum number to be included in the
model in order to classify respondents into specific personality cluster
which best describes their personal characteristics.
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Life style models

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VALS

AIO Model

Monitor Mind Base

Geo-Demographic Analysis ( PRIZM)

Global SCAN
Life style study of a consumer involves his attitude ,
Values , Demographics , life stage etc . Following
models explains the concept of life style from different
perspectives.
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Enjoy the
Inner thing,
Receptive to new product
Technologies
Actualizer
Most resourceful
Fulfilled
Less interested in
image & prestige
Principle oriented
Attracted to premium
products
Achievers
Expereincer
Follow fashion
& Fad
Believer
Striver
Maker
Struggler
Need driven
Status oriented
Action oriented
Slow to change
, habits, look for bargains
Image conscious ,
limited income
Shop for comfort
, willing try
change.
VAL 2 Segments
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Monitor Mind Base
Life style developed based on Value, Life stage &
motivation . It combines an individuals position on a set
of core values with life stage & motivation.

The values are : Materialism Material pleasure . (ones
own pleasure )
Technology Orientation
Family Values
Conservatism
Cynicism versus Optimism
Social interaction

Accordingly the segments are :

Up & comers (Aspiring Achievers )
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Realists: Constrained & strive to balance their needs.

New Traditionalist : Involved in community & family oriented
. Success comes from good marriage & healthy kids .

Family Centered : Not interested in social issues & self
exploration.

Individualist : Driven by technology & success at work .
Devoid of family & kids .

Renaissance Masters: Family & community oriented
people.

Maintainers : Use past as a point of reference . Resource
constrained, lead traditional content life .
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Prizm : Life style & consumption is largely driven by
demographic factors . People with similar cultural
background , means, perspective gravitate toward one
another. The model is widely used in U.S for consumer
segmentation. GM, BMW , Hertz etc

Life style clusters are :
1.Furs & station Wagon : Well educated , mobile professional
, big spenders, expensive neighborhood.

2.Blue chip Blues: High school education & blue collar
occupation , fewer high end incomes & low home values.

Global SCAN : Similar life style in different cultural
surrounding leads to multiple consumer segments.

1Adapters

2Strivers

3Achievers

4Pressured

5Traditionalist
Traditionalist Pressured
Adapters
Strivers


Achiever
Old value people
conservative , tied to past.
( Downtrodden people with more of
problems, economic & Family )

Older crowd .
Content with
what they have
Materialistic pleasure ,
success oriented,
short of time
Affluent, assertive
& opinion makers
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Responsibilities of Marketer & Consumer
protection.

Fair Media communication :

Compliance to Social norms

Avoid Unethical marketing activities.


Consumerism & Consumer protection
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Exploitation of the consumer by the business
community through unfair means & practices
have led a movement called consumerism.

Reduce 10 Kg weight in 20 days
Increase you height by 2 inch in 15 days
Change your complexion in 3 weeks
Remove all marks in 6 weeks.

Protect the consumer from unlawful activities or
communication which are misleading & exploit
them is referred as consumer protection .
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Consumer protection Act 1986 : A legal umbrella to
protect the interest of the consumer & speedy &
cheap justice.
It provides compensation to consumers , penalties
to non compliance of the rules by the marketers .
Under the CPA 1986 , the consumer has :
Right to information
Question the marketer on charging of Unfair prices
Statutory & mandatory disclosure
Protection against hazardous goods.
Right to consumer education

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The policy making body under consumer protestation act is
central consumer protection council & State consumer
protection council.
The body is equally responsible for effective implementation
of the Policies.
Central cabinet Minister -Food & Civil supplies is the
chairman of the central council & same is the case at the state
level.

A consumer complaint can he lodged in :
District forum , ( Jurisdiction up to 20 lacs )
State forum (Jurisdiction up to 20-100 lacs )
National forum .( Value more than >100 Lac )


Any consumer can approach district consumer
redressal forum if he has been cheated by the marketer
in terms of product delivery & service .

Any claim or the value of product & service up to 20
lacs can be handled by district forum .

A consumer must lodge his complaint within 2 years .

He may appeal to state redressal forum if not satisfied
with the decision.


Not an End , but a nimble footed beginning
in the corporate ocean ,
If sharks are unavoidable , Learn to live
with it ,
Craft your own destiny where ,
You may not be important to everyone ,
But you may be special to some one.

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The Consumer is isnt stupid , She is your
Boss. Ad Guru David Ogilvy

It is no surprise that media must try open
the minds of these consumers digging
deep into their thinking & feeling patterns ,
so that they can shape communication to
achieve the desired behavioral response.
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A McKinsey report predicts a glittering future for Indian
consumers & explosive growth in Indian Consumer
spending .

According to the econometric model the middle class will
balloon leaving less than 18% in the lowest income
category . Today 47% of house hold are in middle class
segment , which was jus 20% five years ago. ( BIG
BUSINESS OPPORTUNITY )

The middle class segment will grow to an impossible to
ignore segment ( 583Mn ) in next ten years. It will control
51.5 lac Crore spend , 11 times increase from the present.
( BIG BUSINESS OPPORTUNITY )

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According to ACNielson global Consumer
Confidence & opinions survey 06-07 , Indian
consumer leads the rest of the Asia pacific
countries , remarkably upbeat about the spending
on various segments.
Business opportunities in Retail, Real estate,
Telecom, Financial services , Tours & travels,
Education, Wellness etc are on the verge of
exploding.
However the brand managers of the organization
are unable to see the skyrocketing sales &
serpentine queue of consumers in the store .

WHY ???????????
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Tier -III
33 cities

1.Major cities
> 100 bn total income
2.Main stream
Cities
3.Climbers
4.Small
Towns
4 Metros , Bangalore
Hydrabad , Pune
Ahemdabad
Classification of cities & Town
Tier I
8cites

Tier -IV
5093 towns
Tier II
26 cities

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Consumer behavior study help to probe the
deep recesses of the consumer mind where the
needs are still not articulated. It helps to get
deeper in to the MIND & HEART of THE
CONSUMER get more insight & angles which
helps the organization to understand how they
THINK & FEEL about the brand /product /
service rendered. This creates a desire to buy &
involve with the brand .

It helps to build a life time customer value for
the organization, which is an intangible asset .

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Customer Value & Purchase Involvement
Value drives satisfaction
Satisfaction is a necessary condition for customer loyalty, but not a
sufficient to create loyal customers, customer excellence & delight.

Value = Benefits ( Functional Benefit + Emotional Benefit)

Cost ( Monetary +Time+ Energy+ Psychic Cost)


Customer perceived values in a product or services are :

Functional Value
Emotional Value
Social value
Situational / Conditional value
Epistemic Value
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Customer Value & Purchase Involvement
Value drives satisfaction
Satisfaction is a necessary condition for customer loyalty, but not a
sufficient to create loyal customers, customer excellence & delight.

Delivering value to the customers is a key to achieving organizational goals
by being more effective than its competitors in creating , delivering &
communicating customer value to the identified set of consumers in the
market .

What is value?

Value =
Benefits ( Functional Benefit + Emotional Benefit)

Cost ( Monetary +Time+ Energy+ Psychic Cost)

What is customer delivered value ( CDV) ?

It is a difference between Total Customer Value( TCV) & Customers Total
Cost ( CTC)
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Determinants of CDV
CDV
CTC
TCV
Product
value
Service
Value
Emotional
Value
Image
Value
Monitory
cost
Time
Cost
Energy
Cost
Psychic
cost
CDV builds customer delight . It is a difference between the
perceived performance ( Out come ) & expectation.
If the performance falls short of expectation, it leads to dissatisfaction.
On the other hand if it matches the expectation it leads to satisfaction.
When it exceeds expectation, it becomes Customer delight .
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Customer Loyalty Program
CEM CTM (Customer touch point Management )
Enhancing customer Touch point during :

Purchase touch point
Post purchase touch point

To increase the mind share of the customer with the brand.
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Influencing buying decision in a consumer
CONSUMER
Cognitive
factor
Personal
characteristics
Individual
factor
Environmental
factor
Decision
making
Culture Social class Influence group Situational
variable
Response
Feedback
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Cognitive Personal cultural social Influence Situational
factors factors factor factor groups variables

Perception Demographics Values Social Reference point of
& class groups purchase
Attitudes Life style Belief & Structure Family Market
communication

Motives Personality Cross Societal Opinion leaders Display
& Need traits cultural belonging Innovation Store
Influences & trend Patronage
Self concept Sub cultural setters Price
influences

All above factors influence a consumers buying decision.
Buyers characteristics are influenced by
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Buying Decision process
Need
recognition
Information
search
Evaluation
Of alternatives
Purchase
Decision
Post purchase
Behvaiour
Input
Stimuli
Output
Behaviour
Motivation
Attitudes, Personality, Perception
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Consumers behavior is studied from the point of view of :

1.Consumer as an individual :

Consumer behavior study as in individual involves
motivational drive ,its measurement , needs & wants &
types of need . Self concept, attitude , perception, consumer
imagery

2Consumer in his social & cultural setting :

It involves cultural influence, sub culture , cross culture , (
nationality, religion , etc ) psychographic [ life style ] ,
Social group, reference group , geo demographic clustering
etc.
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Values : Values are formed at much early in age ,at home or
school & are the deep rooted . While all values have its own
negatives & positives, it can rarely be changed .

Ritual & heroes fall between the deepest & superficial
manifestation . Heroes are people ,alive or dead or imaginary
serving as a role models of the behavior.

Rituals are ways of socially greeting, social & religious
ceremonies . A traditional marriage ceremony, being followed
with out questioning it.

Culture strongly influence the decision making behavior of a
consumer.

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Psychographic profile

It is a combinations of Social group, sub group,
attitude, perception, opinion , interests life style .
Value & life style ( VAL Model ) & Activity , Interest
& opinion ( AIO) inventory helps to study the
psychographic profile of a consumer .

VAL model classifies the consumer in the following
categories on the basis of Value & life style .
1Actualizer , 2 fulfilled, 3Believer, 4 Achiever ,
5Striver, 6Experiencer, 7Maker 8 Struggler
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Personality classification done on the basis of Psychographic
segmentation of Indian Women & Youth done by a research
organization.
CLASS Behavior
Miss Sophisticate : Tries out new & trendy products .Upward mobile group.

Traditionalist : Stick to the brands which gives comfort.

Troubled home baby : Unwilling to spend extra for comfort & pleasure .
Compromising nature . Evaluate Price performance
Ms up to date : Do not compromise on life style . Willing ness to change when
required.
Ms nonsense : Believes cheapest products gives hive material value. Do not
believe in branded products.
Conservative : Learn to manage with what is in in deposition. Spending money
is a bad habit
Gregarious hedonist : Spends for social cause , strong religious belief ,
custom .

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Youth classification : Behavior

Cultural misfit : Carried by strong belief . Unwilling to change
Style Bhai : Believes in experimenting new things.
Appearance conscious. Shows high degree of
change.
Middle class Manju : Typical family oriented & Price conscious,
spending on entertainment , life style
products is bad habit.
Main Bhi NRI : Adapts to new culture fast . Can be easily
influenced. Life style conscious. Trend
setters
Rich Brat : Willing to spend for luxury , comfort ,even if
it has short lived usage .
Nerdy Nandu : Time constrained youth . Always behind
trend & clue less. Wiling to do any thing to
climb the ladder of success.


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VAL( Value & Life style Classification ) System . ( developed by
Arnold Mitchell)

The system was developed to explain the dynamics of societal change in the buying
behaviour of a consumer . Accordingly consumer responses were collected for 35
attitudinal & 4 demographic questions. On the basis of these responses consumers
were classified in eight distinctive sub groups. Each group signifies a behaviour
response pattern ( life style ) & inner psychological needs ( Value )

It acts as a dynamic frame work of values & life styles which helps to explain why
people have a explicit behaviour

Eight VAL segments are :
Actulizer Experiencer

Fulfilled Maker

Believer Struggler

Achiever

Striver

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VALS type model used by Unilever .
Food benefit frame work created by comparing key
benefits in different categories are :

Confidence , Time saving , Health , pleasure , Mental
management , Caring ( family/world ) Fun, socializing
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200
Indicator
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Activities Interests Opinion Demographics

Work Family Themselves Age

Vacation Entertainment social occupation

Sports Achievements Culture Dwelling


AIO MODEL
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Family life cycle & buying role.

Family plays an important role as a social group influencing
consumers behaviour. The influence is either as face to face ( primary
group or as reference group ( values, norms, living standard etc)
Understanding of family Life cycle ( FLC)

FLC: A composite variable created by systematically combining commonly used
demographic variables like : size of the family, martial status age earning members
, disposable income etc.

FLC is studied from the view point of :
Bachelor hood status
Married couple
Parent hood
Post parent hood
Dissolution
Parent hood is further classified in to Full nest 1 , 2 & 3
stage .
Post parent hood is classified in to Empty nest 1 & 2


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Attitude, Interest & opinion of a consumer projects his life style.

Demographic & psychographic segmentation is important for
ultimate market segmentation as psychographics provides insight in
to the consumer segment ( life style ) while demographics helps to
locate& target the market segment .It helps to look at wide variety
of variables & measures the major dimension .

Feldman & Theibar explains life style by the following
characteristics:

1 Life style is a group phenomenon . It is influenced by his/her
participation in social groups & individual personality ( attitude ,
emotional status driven by beliefs & values )

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2 Life style implies a central life interest . The central life implies
interest factors like family, work , leisure , religion , politics , sexual
exploits

3 The rate of social change in a society has a great influence on the
life style. Age , gender , religion ethnicity & social class . Eg Dual
income class , nuclear family High earning potential in early age &
late working hours .
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Cultural & societal variables establish the outer boundaries of
life style specific to culture . The interaction of the group &
individual expectations & values create a systematic pattern of
behaviour.
This life style pattern determines the purchase decision.

Life style refers to the way in which people live & spend money .
Consumer psychographic profiles are derived by measuring
different aspects of the consumer such as :
Activities , Interests & opinion referred as AIO inventory
Activates : How one spends his time .
Interest : Ones priorities & preferences.
Opinion : How one feels about the varieties of thing.
Activities , interest& opinion (AIO inventory) helps to link wide
variety of variables & measures the major dimension on the life
style of a consumer
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Identified three self orientations.
1. Principle Oriented : Guided by the beliefs & principles.

2. Status oriented : The individuals are heavily influenced by
actions approvals & others opinion.

3. Action oriented : Desire social & physical activity variety &
risk taking .

VAL 2 divides the consumer in three distinct groups, which determines the life
style, attitude & decision making .
All eight segment differ in their resources & orientations.

Makers : Action oriented category, possess skills & value self sufficiency.

Striver : Status oriented category , but have low income. Strive to build secure
place & position in life.
Relationship between Self concept & Brand Image
Brand
Image
Consumer
Self Concept
Relationship

Market
Communication

Satisfaction
Acceptance
Loyalty
Brand
image
Reinforce Self concept.
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Consumer behavior models having relevance on
decision making process.


1. Classical conditioning
2. Operant conditioning
3. Behavioral Learning

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Cognitive factors which affect the classical conditioning process
are:
Consumer characteristics. Impact of visual stimuli depends on the
the consumers ability to visualize the creative message. Over
creative ads loose its impact when not understood by the consumer.
Further non visual stimuli ( jingle) has different experience with
different consumer . Hence it can result in negative and positive
learning experience .

Stimulus characteristics. : Known stimuli is avoided as pre exposure
of stimulus reduces the impact on the consumer.
Eg Sales promotion techniques like discounts , gold coin , lottery etc

Blocking association :
A brand ambassador (stimuli ) having connection with a particular
brand or product when used with another , consumer gets mentally
blocked from making an association.


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Operant or instrumental conditioning .( Skinner theory)
A learning in which the consequences of behavior lead to changes
in the behavior pattern

conventional Partner Criticized Weakening of
blade ( punishment) Behavior ( Negative
action)

Gillete partner Admired ( Reward ) Strengthening
Sensor Smooth shave of behavior
Positive
action
Mach -3 No comment ( No reward) Neutral . No
Change

Behavior shaping : Rewarding the consumer in consequence to the
desired behavior.

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Observational learning : Positive Behavior result only when the
optimal use of the product is demonstrated .
The Ad makers have to communicate through creative usage of
the brand /product for the consumer to imitate the person doing it.

Selection of Brand ambassador :Eg Sanjeev Kapoor for masala ,
Personal care products. House wives for consume durable products.

Advantage : High imitation ,

Observational learning helps to build :

High attention positive learning Desired Reward( learning)
behavior
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Repetition enhances the association of Stimuli to response.
Effectively used in creating subliminal approach.

Technology posing threats to subliminal approach.

Zipping ( FF) Zapping( CC) & Filtering

REALITY : More than 60% TVC are zapped.

Preventing zipping , zapping & filtering

1. Mc Erikson study: Made AD more entertaining
2. Ad creating which catch attention of people for active search.
3. Leave information of practical value (Domestic appliances )
4. Make short copy

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FCB grid helps to make advertising planing process based on the
consumer - product relationship & develop appropriate promotional
strategies. An effective creative options like rational versus
emotional appeals are the strategies , creative AD maker can
develop using FCB grid.

High envelopment & Thinking
Consumer is Informative thinker , Search for economic value
Strategy used : Specific / to the point information demonstration ,
dissemination . Build high recall .

High involvement & feeling .
Consumer is driven by psychological ( feel-learn-do) emotional
drives. Eg: Fashion & fad products.
Strategy used: Emotional arousal , bring Attitude change



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Low envelopment & Thinking

Consumer is non responsive to market communication
Strategy : Inculcate do-learn-feel habit ,Sales Promotion tactics to
induce buying habit.
Small space ads, More Point of Sales POS materials are used .
Frequent reminder

Low involvement & feeling .

Consumer has strong emotional bonding addition to a brand ,
product . Unwillingness to change. Eg : Alcohol ( liquor) Tobacco
etc.
Strategy : Build do-feel-learn habit . Creative strategies like
consumer Mentoring , strategic sales promotion etc.


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Stimulus Generalization : The stimuli similar to a conditioned
stimulus will elicit a similar response without prior learning.

Umbrella branding ( Family Branding ) Ariel green, Micro shine
Super soaker etc Or Godrej No1 soap , Godrej refrigerator etc

Product line extension : Lux beauty soap, Lux beauty liquid soap,
face wash etc.


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Post Purchase behavior study of a consumer

Why post purchase behavior is important for the consumer?

It gives the marketer the feed back on the performance of the
product or service offered.

Customer expectation versus actual performance of the offer.

Causes of dissatisfaction.

Marketing initiatives to build customer delight.

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Decision phases of customer.

1. Pre purchase Phase : Problem recognition,
Information search.
Evaluation of alternatives.

2. Purchase Phase Situational influences.
Experience upon consumption

3 Post purchase phase After sales support & service.
Recurring cost.
Protection against product obsolesce
( Loyalty programs )

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Degree of customer satisfaction.
The satisfaction of customer depends on the degree of gap between
his expectation & performance.
If the difference between the expectation & actual performance is high
dissatisfaction level is high
If the difference between the expectation & actual performance is nil ,
then the satisfaction level is high.
If the actual performance of the product or service far exceeds the
expectation, then it takes the form of customer delight or
customer excellence.
Expectation by
The customer
Performance by
the product
Dissatisfaction
Expectation by
The customer
Performance by
the product
Satisfaction
Product performance >
Customer expectation
Customer delight
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What are the consequences of dissatisfaction ?

Discontinued purchase ( No repeat buying )

Negative word of Mouth

Litigation in the consumer court

Brand image of gets tarnished.

Cease of Loyalty

Premature death of the brand




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Cognitive personality : There are 2 types of cognitive
personalites.

Visualizer : Prefer to buy on the basis of visually attractive
information . They retain visual memories. Minute details
are of less relevance.
Verbalizer : Attracted to written or verbal information, they
prefer detailed information & keep the factual details &
recall while decision making.

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Type theory

Psychological theory shows that differences in consumer result due
to different type they belong to .

1. Where they prefer to focus their attention.
( Extraversion, Introversion)

2. The way they prefer to take the information
(Sensing or intuition )

3. The way they prefer to make decisions
(Thinking or feeling )

4. How they orient themselves to the external world .Do they use
the judging process or perceiving process.
(Judging or perceiving )

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Characteristics :
extraversions.
Prefer communicate by talking
Breath of interests
Tend to speak first , reflect later
Take initiative in work & relationship
Learn best through doing or discussion.

Introversion.
Drawn to their inner world.
Learn best by reflection , mental practice .
Prefer communicate by writing
Depth of interest
Private & contained
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Sensing .
Focus on what is real & actual
Value practical application
Observe & remember ,Present oriented
Want information step by step
Trust & experience

Intuition

Focus on big picture , possibilities
Value imaginative insight
Abstract & creative ,See pattern & meaning in facts . Future
oriented ,Trust inspiration
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Thinking .

Analytical , logical problem solver
Use cause & effect reasoning
Tough minded ,Reasonable
Fair

Feeling

Sympathetic ,Assess impact on people
Guided by personal values , Tender hearted
Strive for harmony & individual validation
Compassionate , Accepting
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Judging .

Scheduled ,
Organized ,
Systematic ,
methodical Plan ,
Like closure to have things decided
Avoid last minute stress.

Perceiving

Spontaneous,
Open ended ,
Casual, Flexible, Adapt
Like things loose & open to change
Feel energized by last minute pressure.
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Consumer type is decided based on these factors.
The types are :
ISTJ Introverted sensing with extraverted thinking
ISFJ Introverted sensing with extraverted feeling
ESTP Extraverted sensing with introverted thinking
ESFP extraverted sensing with introverted feeling
INTJ Introverted intuition with extraverted thinking
INFJ Introverted intuition with extraverted feeling
ENTP Extraverted intuition with introverted thinking
ENFP Extraverted intuition with introverted feeling
ISTP Introverted thinking with extraverted sensing
INTP Introverted thinking with extraverted intuition
ESTJ Extraverted thinking with introverted sensing
ENTJ Extraverted thinking with introverted intuition
ISFP Introverted feeling with extraverted sensing
INFP Introverted feeling with extraverted intuition.
ESFJ Extraverted feeling with introverted sensing
ENFJ extraverted feeling with introverted intuition

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Type theory

Psychological theory shows that differences in consumer result due
to different type they belong to .

1. Where they prefer to focus their attention.
( Extraversion, Introversion)

2. The way they prefer to take the information
(Sensing or intuition )

3. The way they prefer to make decisions
(Thinking or feeling )

4. How they orient themselves to the external world .Do they use
the judging process or perceiving process.
(Judging or perceiving )

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1. ISTJ : Serious , quiet, practical, orderly , logical , make up their
mind , as what they want to do , regardless of the external message .

2. ISFJ Loyal , considerable , concerned with how others feel
Emotion oriented.

3. INFJ Highly principle oriented.Driven by their vision .

4. INTJ Driven their by their own ideas. Skeptical , critical &
independent

5. ISTP Cool onlooker , detached curiosity , interested in cause &
effect , logical principles . Drive to the core of the problem before
taking decision.

6. INFP Quite observer. Balance between outer life & inner values.

7. ISFP Retiring , sensitive & emotional, not planing for long term .
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8. INTP :Logical & analytical Have a very clearly defined
preferences Not willing to change easily.

9. ESTP Spot decision makers . Enjoys as it comes in the way. Not
long term planers or thinker.
10. ESFP : Practical & situational decision makers

11.ENFP Warm , imaginative , takes decision which interest them.
Finds reason for that ever they want.

12. ENTP Quick & alert . Develop logical reasons for what they
want to buy
13. ESTJ : Realistic fact driven , rational approach.
14. ESFJ : warm hearted, emotional .driven by life style status.
15. ENFJ Responsive, sympathetic , regard for others feeling,
Emotional driven decision.
16. ENTJ Frank , Out spoken, rational , straight forward.
Application & value oriented.




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Consumer segment & type is decided using a structured focused
questionnaire,
The questionnaire is based on :

1 Product related / non related attributes features functions .

2. Functional experiential & symbolic benefits

3. Psycho factors . Where they prefer to focus their attention.
The way they prefer to take the information
The way they prefer to make decisions
How they orient themselves to the external
world .

The information is collected for a large sample differently on the
above three categories & analyzed together.
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Characteristics :
extraversions.
Prefer communicate by talking
Breath of interests
Tend to speak first , reflect later
Take initiative in work & relationship
Learn best through doing or discussion.

Introversion.
Drawn to their inner world.
Learn best by reflection , mental practice .
Prefer communicate by writing
Depth of interest
Private & contained
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Sensing .
Focus on what is real & actual
Value practical application
Observe & remember ,Present oriented
Want information step by step
Trust & experience

Intuition

Focus on big picture , possibilities
Value imaginative insight
Abstract & creative ,See pattern & meaning in facts . Future
oriented ,Trust inspiration
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Thinking .

Analytical , logical problem solver
Use cause & effect reasoning
Tough minded ,Reasonable
Fair

Feeling

Sympathetic ,Assess impact on people
Guided by personal values , Tender hearted
Strive for harmony & individual validation
Compassionate , Accepting
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Judging .

Scheduled ,
Organized ,
Systematic ,
methodical Plan ,
Like closure to have things decided
Avoid last minute stress.

Perceiving

Spontaneous,
Open ended ,
Casual, Flexible, Adapt
Like things loose & open to change
Feel energized by last minute pressure.
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Consumer type is decided based on these factors.
The types are :
ISTJ Introverted sensing with extraverted thinking
ISFJ Introverted sensing with extraverted feeling
ESTP Extraverted sensing with introverted thinking
ESFP extraverted sensing with introverted feeling
INTJ Introverted intuition with extraverted thinking
INFJ Introverted intuition with extraverted feeling
ENTP Extraverted intuition with introverted thinking
ENFP Extraverted intuition with introverted feeling
ISTP Introverted thinking with extraverted sensing
INTP Introverted thinking with extraverted intuition
ESTJ Extraverted thinking with introverted sensing
ENTJ Extraverted thinking with introverted intuition
ISFP Introverted feeling with extraverted sensing
INFP Introverted feeling with extraverted intuition.
ESFJ Extraverted feeling with introverted sensing
ENFJ extraverted feeling with introverted intuition

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1. ISTJ : Serious , quiet, practical, orderly , logical , make up their mind , as
what they want to do , regardless of the external message .

2. ISFJ Loyal , considerable , concerned with how others feel Emotion oriented.

3. INFJ Highly principle oriented.Driven by their vision .

4. INTJ Driven their by their own ideas. Skeptical , critical & independent

5. ISTP Cool onlooker , detached curiosity , interested in cause & effect , logical
principles . Drive to the core of the problem before taking decision.

6. INFP Quite observer. Balance between outer life & inner values.

7. ISFP Retiring , sensitive & emotional, not planing for long term .
The Power of Reference Groups
Sadly, people will often do things in groups that they'd
never do alone, think about lynching
Types of Power
1 Referent
2 Information
3 Legitimate
4 Expert
5 Reward
6 Coercive
Power of Reference Group
WOM
Conformity
Opinion Leaders
Market Maven
Surrogate Customer
Socio metric Methods
Diffusion of Innovation
Q1: Discuss the intimate relationship in marketing between brand
communication strategy, IMC & Consumer behavior study.

Q2.Discuss the implication of Classical conditioning in shaping the
behavior of market with an appropriate example.

As central , state government bodies and NGOs started
giving importance to public health care system , an
entrepreneur saw an opportunity to market high
performance AIR PURIFICATION product. A product
which would keep public urinals ,wash rooms in
hospitals, hotels ,commercial places , Morgues , Cold
storage warehouse , Corporation market like fish , poultry
, Meat etc odor free & kill germs and bacteria causing
harm to health of public. The product had indirect
competition from exhaust fans , phenyl , aerosol cans &
other air fresher used to overcome the issue.

The basic idea of the product originated from the fact
that mass community give little attention to maintain
hygiene & wellness of their surrounding and lack of
in-sufficient use of water in public toilets , poor
hygiene practices, poor maintenance of public health
care system , poor plumbing methods , offensive odor
,bacterial growth, low cost solution to prevent stench
etc.
To address the above need , electrically operated air
purification lamps was conceptualized .The product
helped to kill all volatile organic compounds which
causes stench & micro organism such as bacteria,
virus, protozoa etc. However the markets willingness
to accept the product concept will depend on an
effective communication strategy which would motivate
the segment.
Using hofstede Model create a framework for market
communication .

Identify the behavioral barrier marketer need to
overcome to make the communication effective.

Suggest an appropriate IMC strategies.