Consumer Behaviour Schiffman 9th Edition

Consumer Behaviour
Faculty : Prof . Ashok Kumar
Not for circulation : for internal use

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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 )
Not for circulation : for internal use 2

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How does Consumer behavior study help business?
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.
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 .
How does consumer buying behavior study help business .
Break
MARKET CLUTTER
Create DIFFERENTIATION
( USP)
Overcome Commodity
image
Eliminate
Create Mind base PRICE WAR
Positioning
Overcome BLOOD
only BATH
Re 5%
purchase
Trail 20%
Preference 25%
Linking 40%
Comprehension 70%
Awareness 90%
CONSUMER BEHAVIOR STUDY & MARKETING
COMMUNICATION
Build / Create Dominating or
self expressive brands.
Integrated Market Communication

& MARKETING Strategies
Consumer Behaviour &

Research

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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 ?????

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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
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.

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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
Consumer behavior study is conducted by an
organization at the following stages.
Pre sale Consumption After sale

Situation Stage Scenario
Understand the Maximize the sale Build loyalty &

Behavior pattern & involvement with Brand commitment
To shape the Product /service
Communication

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Socio graphic Socio culture Demographic
Factor Factor
Marketing strategy for
External Geographic 1. Product & service
Factors factor Development
2 STP
3 Communication
Situational Consumer Consumer
4 CLP
Factors Life style Personality 1. Pricing strategy
2. Sales strategy
Situational 3. Brand building
need Internal
motivator Factors
Attitude
& aspiration
Perception
Self concept

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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
Personal consumer & Business Consumer
Solus Users/ Dual users Flirts /

Loyal buyer Switcher
Degree of commitment towards product or service brands.
High Medium Low

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Dimensions of Loyalty
Strongly feels the chosen

1 Emotive Brand is best & stick to it.
Loyalist loyalist
2 Inertial Infrequently re assesses
loyalist Purchase decision .
Frequently re assesses
3 Deliberative purchase decision . Re
Customer loyalist confirm the brand chosen
Meets the desire & function
Re consider the brand with

Downward 1 Life style
every Change in need.
Migrators Downward
migrators
2 Deliberative Believes in selecting new

migrators brand every time .
Frequently re assess the new
brand in the market.
3 Dissatisfied
Downward Highly dissatisfied.
Not for circulation : for internal use
migrators Prompted to re 17
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CLP, Loyalty cost & Consumer behavior
Return/ Total Revenue = (R new + R existing )

Revenue
Increased
profitability
MCC
Time
Customer life cycle
Cost
LCC

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Consumer Types
Organizational / Industrial
Personal consumer
Consumer
Buys for individual Consumption. Buying for organizational consumption

Buying decisions are influenced by Buying decisions are influenced by
Cognitive, Personal, cultural ,social Quality , service , attitude of the suppliers
Influence & Situational Financial considerations etc . Besides this ,
Factors. 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
Not for circulation : for internal .use 19
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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 .
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An integrative model for organizational buying behavior
Information
Situational
Source
Factors
Policy factors Buying
Sales person
Financial Decision
Trade show
Service
Direct mail
Technology
Seminar
Word of mouth
Professional Influencing Conflict
Journals Decision Within
Agents Buying center
Active search
Product organization
Perceptual Specific specific
Distortion
Time Perceived Type of
Pressure Risk buying
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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.
End Users ( R&D , Product design,
Operation )
Financial Top Management

Team Key decision
Maker
Commercial Team ( Value engg,

Relationship)
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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.
Sense of achievement &
competence
Self
Actualization
Needs which are Esteem Owning Power & Prestige
important to (Recognition) Ego , status , success
consumer
Similar belief, status
Social(Affiliation) class etc
Assurance ,
Safety (Security) Protection, stability
Physiological ( Basic)
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
(Pavlovs experiment of classical conditioning )
Conclusion : Conditioned Conditioned response

stimulus
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Eg : Desirable association for Johnson soap Ad
Milk & Rose Johnson

Petals Little toddler
soap
Unconditioned
Soft & tender Symbolic of
stimuli
Skin care natural & purity
Pure , Natural, Soft
& tender
Classical conditioning helps to build strong consumer
connect with the brand for strong association.
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Sociological model.
Close associates
Consumer Peers & colleague

Family members
In an organization
Friend circle
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 toNotappeal
for circulationthem towards
: for internal use the brand. 33
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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.
Attention
Overt
Input stimuli
Search Intention Purchase
1. Tangible
( significant stimuli)
2. Intangible Stimulus Perceptual
( Symbolic stimuli ) Ambiguity Motives Attitude
Bias
3. Social group
( Social stimuli ) Brand
Attention comprehension
INPUT Perpetual Learning Output

Constructs Constructs

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E-B-K Model
It comprises of 4 components :
Information process , Control unit ,Decision process
Environment influence
Exposure Evaluation Income
Need
Attention criteria Culture
stimuli
Comprehension Perception Social class
Retention Attitude Others
Internal &
external search
Of alternate
evaluation
Post purchase Purchasing

evaluation Process
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Consumer Segmentation

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Consumer segmentation on the basis of lifestyle &
Aspiration helps to understand the persuasive motive
. ( Psychographic segmentation )
Value
Inner consumer core
Soico culture
Aspiration
Outer core
Demographics
Life stage
Situational
Geographic
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 ?

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
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.

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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. Not for circulation : for internal use
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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
. Modern/Westernization Seeking Luxury
Out going
Fashion conscious I
S Bold & librated. n
e d
l Seeking equality ,quality i
f conscious disturbed by SEC A
v
vulgarity SEC B i
S d
a
SEC C Religious
u
c Anxious & Worried about
a
r SEC D change.
l
i i
f Seeking economy sacrificing s
i & social conservatism t
c Traditionalism i
e c
Variation by SEC group.
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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)
Ms/Mrs Hasmukh 27% Ms /Mrs India
(Role model Didi )
Mrs Meri Awaz Suno

(Attention seekers) 31%
Stability Change
seekers Ms/Mrs Pataka seekers
Ms/Mrs Gharelu 18% Cool
( Home pride)
Mrs Hey Bhagvan
Moaner
Traditional ( Be contended /compromise with

old system)
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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.
Consumer
Satisfaction
Income

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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
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

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Role of culture in
consumer behavior
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
Nationality legal barrier

SUB Cultural influence
Language
Cast
Tec em
syst
hno
Ideological
logi
system
cal
Organizational
system
Ethnic Religious
Cross cultural influence

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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 .
Consumer personality &culture
All 30 days same

Confident ,
Independent &
Symbols freedom
Heroes Cloth usage
Rituals
Value Practice
Family values
Hush Hush Culture

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Perception & Attitude formation

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What is the role of perception in consumer buying ?
Mind base positioning of product or service .
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.
Sensation drives perception.
Psychological mediation
LBS RBS
Sensory stimuli
Visual , Audio , Taste, Smell, Touch
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 .
A research presented by scientist Martin Lindstrom reveal
the conceptual essence of senses as a source of attitude
formation and change.
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 .

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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.
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.
Thresholds and Absolute thresholds
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.
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
External Factors
Internal Factors Intensity& Size
P
Selective attention Position
Selective Exposure E
Selective reception, R
comprehension & C Contrast
retention, E
Perceptual vigilance P
or defense Novelty
T
Expectation
Subliminal perception I
O Repetition
N
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
Cultural factors
Social factors
Core values
What buyers feel
which drives
acceptable norm
the consumer
in the society
What
The way consumer motivates
relates & draw meaning the
of some thing. consumer's
Life style
Psychological factors Personal factors

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Semantic perception and synthetic perception
concepts.

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Consumer Attitude Study
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.

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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 .
An attitudinal shift of the market happens when , positioning
invokes beliefs , establish liking & induce a stimuli for buying
known as tri-component model. .
Tri component Attitude model:
1 Cognition component
2 Affective Cognition
3 Conation
Conation Affect
96
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

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

only
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.
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.

only
Temporary Retain original
Message
Attitude shift Attitude
Yes
Yes
Motivated to No Persuasion No
process Cue present
Yes
Ability to
process No ELABORATON
Neutral PROCESS
Cognitive processing
Cognitive structure
Change
Attitude change
change +ive
only
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.
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 .

only
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 .

only
Very Likely Yielding Reception
Likelihood
Of response
Attitude
Attitude Change
Not likely at all
High
Low

only
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 Low Peripheral

Elaborate Route
High
Ability to elaborate Central

Route
only
FCB Grid used to change the attitude of a buyer
.
Involvement = f ( Personal , situational , Product attribute )
High Product Involvement Low
High Learning Model Low involvement

Cognitive model
Affective Cognitive
Conative Conative
Perceived
Affective
brand
Dissonance Model
differentiation
Conative
Affective
Cognitive
Low
only
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.
Attitude shaping through media communication
Relationship of attitude with communication
Brand
communication
Feeling about
Judgment about Brand
Brand
Benefit analysis
Belief about the
brand
Attitude towards the

brand
only
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 What
online motivates
What will What motivates
banking Online
make him him to
banking
try? shift ?
Does it enhance
consumers present
Way of doing things ? Y/N
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 Adoption of an innovation follows an

S curve when plotted over a length of time
Time
Adoption Curve : 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.
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 spread
people 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.
Revenue
Time
Food for thought
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 ?
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
Why perception gap, Identity gap, personality

gap & position gap is well understood by
getting the insight of markets self concept.
Perception Identity
gap gap
Personality Position
gap gap
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
House wives see washing machine as time saving

appliance
5 4 3 2 1
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.
Tick which word describes your washing machine most appropriately
___ Rugged ___ Delicate
___Complex ___ Simple
___ Contemporary ___ traditional

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 ?

only
Origin of personality Personality Behavior
development
Genetic
Determinants
Parental
Determinants Development of Individual
Stable personality differences in
Experimental Characteristics. behavior
Determinants
External
Determinants based
on social, cultural
Race, religion etc.
only
Consumer personality
Motivation Self image

Perception
Temperament
Learning Behavior
Attitude
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.

only
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.
only
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.
Life style models

only
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.
VALS
AIO Model
Monitor Mind Base
Geo-Demographic Analysis ( PRIZM)
Global SCAN Not for circulation : for internal use 163

only
VAL 2 Segments
Enjoy the
Most resourceful Inner thing,
Receptive to new product
Technologies
Actualizer
Principle oriented Status oriented Action oriented
Attracted to premium Follow fashion
Less interested in products & Fad
image & prestige
Expereincer
Achievers
Fulfilled
Slow to change Image conscious , Shop for comfort

, willing try
, habits, look for bargains limited income
change.
Believer Striver Maker
Need driven Struggler

Not for circulation : for internal 164
use only
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 .
only
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.

only
Global SCAN : Similar life style in different cultural
surrounding leads to multiple consumer segments.
1Adapters
2Strivers
3Achievers
4Pressured
5Traditionalist
Affluent, assertive
& opinion makers
Achiever
Materialistic pleasure , Strivers
success oriented, Older crowd .
Adapters Content with
short of time
what they have
Traditionalist Pressured
Old value people ( Downtrodden people with more of

conservative , tied to past. problems, economic & Family )
Consumerism & Consumer protection
Responsibilities of Marketer & Consumer

protection.
Fair Media communication :
Compliance to Social norms
Avoid Unethical marketing activities.

only
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 .

only
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
only
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 )

only
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.
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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Classification of cities & Town
4 Metros , Bangalore 1.Major cities

Hydrabad , Pune > 100 bn total income
Tier I
Ahemdabad 8cites
2.Main stream
Tier II Cities
26 cities
Tier -III
33 cities 3.Climbers
Tier -IV 4.Small

5093 towns Towns

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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 .
only
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 only
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) only
Determinants of CDV
Monitory Time Energy Psychic

CTC cost Cost cost
Cost
CDV
TCV Product Service Emotional Image
value Value Value Value
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 .

only
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
Feedback
Cognitive
factor
Individual Decision
CONSUMER Response
factor making
Personal
characteristics Environmental
factor
Culture Social class Influence group Situational

variable

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Buyers characteristics are influenced by
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.

only
Buying Decision process
Input
Stimuli
Motivation Attitudes, Personality, Perception
Need Information Evaluation Purchase

recognition search Of alternatives Decision
Post purchase
Behvaiour
Output
Not for circulation : for internal use Behaviour 188
only
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.

only
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
only
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 .
only
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.
only
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
only
only
only
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

only
only
only
Indicator

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AIO MODEL
Activities Interests Opinion Demographics
Work Family Themselves Age
Vacation Entertainment social occupation
Sports Achievements Culture Dwelling

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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 . Not for circulation : for internal use 202
Post parent hood is classified only in to Empty nest 1 & 2
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.
only
Relationship between Self concept & Brand Image
Brand
Image
Market Satisfaction
Relationship Communication Acceptance
Loyalty
Consumer Brand
Self Concept image
Reinforce Self concept.

CONSUMER LEARNING

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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 anNot
association.
for circulation : for internal use 213
only
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.
only
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

only
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.

only
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 )

only
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 Expectation by
The customer The customer
Satisfaction
Dissatisfaction Performance by Product performance >
the product Customer expectation
Performance by Customer delight
the product Not for circulation : for internal use 222
only
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

only
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.

only
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 ) Not for circulation : for internal use 225
only
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 Not for circulation : for internal use 226
only
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

only
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
only
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. only
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 feelingNot
with introverted
only
intuition
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 ) Not for circulation : for internal use 231
only
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.NotBalance between outer life & inner values.

only
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. only
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.

only
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 Not for circulation : for internal use 235
only
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

only
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
only
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. only
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 feelingNot
with introverted
only
intuition
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 .

only
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.

Consumer Behaviour Schiffman 9th Edition

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Consumer Behaviour Schiffman 9th Edition

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Consumer Behaviour

Faculty : Prof . Ashok Kumar

Not for circulation : for internal use

2 Consumer behavior ( A strategic

3 Consumer Behavior & Branding

Not for circulation : for internal use 2

A recipe of good marketing strategy lies in sound

All good market communication strategies( brand , IMC

Sound Product Distribution, Price , Customer services

Impulsive buying : Consumer buy due to

Compulsive buying : Consumer feels the

Addictive buying : Consumer feels the

Integrated Market Communication

Consumer Behaviour &

Not for circulation : for internal use 7

You only know what you are doing

Not for circulation : for internal use 8

DEFINE RESEARCH PROBLEM

DEFINE RESEARCH DESIGN

DEFINE RESEARCH METHODOLY

Consumer to TRANSUMER, PROSUMER

Create MASSCLUSIVITY - Create exclusivity from the

Not for circulation : for internal use 10

The marketer believes that brand is most important to a

A consumer is exposed to 600 market communication a

A consumer looks beyond the the basic functionality of

Not for circulation : for internal use 11

It does exactly what I wanted it to do, I couldnt live

Pre sale Consumption After sale

Understand the Maximize the sale Build loyalty &

Not for circulation : for internal use 13

Not for circulation : for internal use 14

Consumer = Brand attribute X Consumer Attribute

Not for circulation : for internal use 15

Personal consumer & Business Consumer

Solus Users/ Dual users Flirts /

High Medium Low

Not for circulation : for internal use 16

Strongly feels the chosen

Re consider the brand with

2 Deliberative Believes in selecting new

Return/ Total Revenue = (R new + R existing )

Customer life cycle

Not for circulation : for internal use 18

Buys for individual Consumption. Buying for organizational consumption

The buying decision involves decision

Not for circulation : for internal use 24

Financial Top Management

Commercial Team ( Value engg,

Consumer Models are : Economic Model

Not for circulation : for internal use 27

Components of learning process are :

Drive : strong stimuli which impels action.

Conclusion : Conditioned Conditioned response

Milk & Rose Johnson

Consumer Peers & colleague

Target market is influenced by roll models of the society

INPUT Perpetual Learning Output

Not for circulation : for internal use 34

Post purchase Purchasing

Not for circulation : for internal use 36

Squat, belly going to pot , wearing grey safari suit,

The product literally & metaphorically at the heart of