PERCEPTION

Consumer Behaviour- Lecture 4

LEARNING OBJECTIVES
 Nature of Perception

 Process of perception

 Marketing application of perception

 Perception is defined as:
The process by which an individual selects, organizes, and
interprets stimuli into a meaningful and coherent picture of the
world.

Perception is a process whereby sensory cues and relevant past

experiences are organized to give us the most structured,
meaningful picture possible under the circumstances.

Perception is never just point-for-point representation of the

stimulus field but includes objects, relationships, and points of
special focus. Often, in fact, parts of stimulus field are
ignored, distorted, exaggerated, or otherwise changed to
make a more stable and meaningful whole.
 Attention

Attention is determined by three factors:

 Stimulus Factors
 Are physical characteristics of the stimulus itself

 Individual Factors
 Are characteristics which distinguish one individual from another

 Situational Factors- Include stimuli in the environment other than

the focal stimulus and temporary characteristics of the individual
that are induced by the environment
Attention– stimulus factors
 Size
 Intensity
 Attractive Visuals
 Color and Movement
 Position
 Isolation
 Format
 Contrast and Expectations
 Interestingness
 Information Quantity
Movement/Motion
Movement/Motion
Contrast
White Space
White space
Contrast
Colours & Food
Colour
Attention– individual factors
 Motivation, values

 Ability

 Opportunity
 Non-focused Attention
Hemispheric Lateralization refers to activities that take
place on each side of the brain.

The left side of the The right side of

brain controls the brain deals
activities related to with images and
rational thought. impressions.
Non-focused Attention
Subliminal Stimuli
 A message presented so fast, softly or masked by other
messages that one is not aware of seeing or hearing it
is called a subliminal stimulus.
 A subliminal ad “hides” key persuasive information
within the ad by making it so weak that it is difficult or
impossible for someone to physically detect.
 Subliminal advertising has been the focus of intense
study and public concern.
Thresholds
 Absolute Threshold: the lowest level which an
individual can experience a sensation is called the
absolute threshold.

 Differential Threshold: the minimal level of

differentiation that can be detected between two
stimuli is called differential threshold or j.n.d.
Weber’s Law:

Weber’s Law states that the stronger the initial

stimulus, the greater the additional intensity
needed for the second stimulus to be perceived
as different.
Just-noticeable difference

Need to determine the relevant j.n.d. for their

products
 so that negative changes are not readily
discernible to the public
 so that product improvements are very
apparent to consumers
Gradual Changes in Brand Name Fall
Below the J.N.D
Gradual Changes in Brand Name Fall
Below the J.N.D
Gradual Changes in Brand Name Fall
Below the J.N.D
 Marketing Implications
 Make stimuli personally relevant
 Make stimuli pleasant

1. Using attractive models

2. Using music
3. Using humor
 Make stimuli surprising

1. Using novelty
2. Using unexpectedness
3. Using puzzle
Process of Perception

 Selection

 Organization

 Interpretation
Perception theories that guide
marketing decisions
 Selective exposure: We don’t notice everything! We filter out
unwanted information
 Selective distortion: We add preconceived ideas or attitudes to
interpret new information that enters the sensory store of the
memory
 Selective retention: We remember information that we find
meaningful and interesting
 Selective attention: We don’t take in all the information around
us. Marketers need to identify what their customers will notice
and pay attention to.
 Perceptual categorisation: Personal constructs - we categorise
related information into sets in our mind.
 Perceptual Defence
Perceptual Selection

 Nature of stimulus

 Expectations

 Motives

 Situational Factors
Stimulus Factors
 Contrast and Expectations
 Consumers pay more attention to stimuli that contrast
with their background.
 Expectations drive perceptions of contrast. Ads that
differ from expectations for a product category often
motivate more attention.
 Adaptation level theory suggests that if a stimulus
doesn’t change over time we habituate to it and
begin to notice it less.
Gestalt principle
 The whole adds up to more than the sum of its parts
 People perceive “form” above all else
 The form may remain constant even though some
specific features of it may change (color, tempo, etc.)
– “variations on the same theme”
 Applications: size, actual/illusion of motion,
bordering for ads or displays, incompleteness
of information.
Perceptual Organization

 Figure & Ground

 Closure

 Grouping
Figure and Ground
Figure and Ground
Closure
Grouping
Perceptual Distortion

 Physical Appearances
 Stereotypes

 First Impressions

 Jumping to Conclusions

 Halo Effect
Examples of Stereotypes:
 Surf

 Vicco Turmeric

 Horlicks

 Fair & Lovely

Positioning Techniques
 Umbrella Positioning (Suzuki, Yamaha)
 Positioning Against Competition (Wheel)
 Positioning Based on a Specific Benefit (Dove)
 Conveying a Product Benefit (Vanish, Robin Blue,
Eno)
 Taking an Un-owned Position (Himalaya)
 Repositioning (Cadbury, Liril)
Perceived Price
 Satisfaction-based Pricing
 Relationship Pricing
 Efficiency Pricing
 Reference prices
 Internal
 External
 Tensile and objective price claims
Perceived Quality

 Perceived Quality of Products

 Intrinsic vs. Extrinsic Cues
 Perceived Quality of Services

 Price/Quality Relationship
How Consumers Handle Risk

 Seek Information
 Stay Brand Loyal
 Select by Brand Image
 Rely on Store Image
 Buy the Most Expensive Model
 Seek Reassurance
 Interpretation
Three aspects of interpretation:
 It is generally a relative process rather than absolute, referred to
as perceptual relativity.
 It tends to be subjective and open to a host of psychological
biases.
 It can be a cognitive “thinking” process or an affective
“emotional” process.
 Cognitive interpretation is a process whereby stimuli are
placed into existing categories of meaning.
 Affective interpretation is the emotional or feeling
response triggered by a stimulus such as an
advertisement.
Interpretation
 Individual Characteristics

 Situational Characteristics

 Stimulus Characteristics
 Individual characteristics

Expectations
Interpretations tend to be consistent
with expectations, an effect referred
to as the expectation bias.
Consumers often evaluate the
performance of a well-known brand
as higher than that of an identical
Brands create expectations and
product with an unknown brand
can thus bias perceptions.
name.
Stimulus characteristics
Perception and Marketing Strategy
 Retail Strategy
 Brand Name and Logo Development
 Linguistic Consideration
 Branding Strategies
 Logo Design and Typographics
 Media Strategy
 Advertisements
 Package Design and Labeling