Lecture Consumer behaviour: Chapter 8 - Cathy Neal, Pascale Quester, Del Hawkins

Perception is the critical activity that links the individual consumer to group, situation and marketer influences. Thus, it is vital to understand how consumers process information, and the steps and factors involved. In this topic we will cover the following aspects: How consumers process information; different steps involved in information processing, factors that influence this process; implications of perception for retail, brand and communication strategies.

Chapter Perception • How consumers process information • Different steps involved in information processing • Factors that influence this process • Implications of perception for retail, brand and communication strategies Copyrightê2004McGrawưHillAustraliaPtyLtd 81 The Nature of Perception Exposure Attention Interpretation Memory short-term long-term Copyrightê2004McGrawưHillAustraliaPtyLtd 8–2 Information Processing for Consumer Decision Making Perception Exposure Deliberat e Random Lowinvolvemen t Attention Highinvolveme nt Low- Interpretation Highinvolveme involvemen nt t Shortterm Active problem solving Memory Longterm Stored experiences, values, decisions, rules etc Purchase & consumption decisions 8–3 Exposure • Occurs when a stimulus comes within range of our sensory receptor nerves • Deliberate exposure to stimuli – consumers seek information that will help achieve certain goals  immediate long-range Random exposure to stimuli Copyrightê2004McGrawưHillAustraliaPtyLtd 84 Attention Paid to Prime-Time TV Ads 8–5 8–5 Attention • Occurs when stimulus activates one or more sensory receptor nerves and the resulting sensations go to the brain for processing • Determined by: – – – stimulus individual situation  Copyright ª 2004 McGraw­Hill Australia Pty Ltd  8–6 Stimulus Factors • Size and intensity – insertion frequency • Colour and movement • Position • Isolation • Format • Contrast – adaptation level theory • Compressed messages • Information quantity—information overload  Copyright ª 2004 McGraw­Hill Australia Pty Ltd  8–7 The Impact of Advertisement Size 8–8 8–8 Attention (cont.) • Individual factors – – Interest Need • Situational factors – Involvement (see following slides) • Non-focused attention – – Hemispheric lateralisation Subliminal stimuli  Copyright ª 2004 McGraw­Hill Australia Pty Ltd  8–9 Involvement and Magazine Advertising Effectiveness 8–10 8–10 Involvement in a Television Program and Advertising Effectiveness 8–11 8–11 Determinants of Interpretation 8–12 8–12 Interpretation • Cognitive interpretation – – process of adding meaning from existing knowledge   semantic meaning psychological meaning • Affective interpretation – processing and adding meaning by feeling  Copyright ª 2004 McGraw­Hill Australia Pty Ltd  8–13 Encouraging Cognitive Interpretation 8–14 8–14 Interpretation (cont.) • Individual characteristics – – learning expectations • Situational characteristics – – e.g hunger,moods, temperature etc proximity • Stimulus characteristics semiotics Misinterpretation of marketing messages Copyrightê2004McGrawưHillAustraliaPtyLtd 815 Perception and Marketing Strategy • • • • • Retail strategy Brand name and logo development Media strategy Advertisement and package design Warning labels and package designs  Copyright ª 2004 McGraw­Hill Australia Pty Ltd  8–16 Perception and Marketing Strategy (cont.) • Advertising evaluation; measures of: – Exposure  – Attention  – It must be attended to by the consumer Interpretation  – It must reach the consumer It must be interpreted correctly Memory  It must be stored and retrievable  Copyright ª 2004 McGraw­Hill Australia Pty Ltd  8–17 Perception and Marketing Strategy (cont.) • Perceptions of marketing messages and ethics – Ethics of the ads  – e.g Heart tick can’t be used by all ‘healthy’ foods Advertising aimed at children   Children can’t always distinguish between ads and programs More research required Copyrightê2004McGrawưHillAustraliaPtyLtd 818 Retail Strategy Store layout – – Cold and hot zones Traffic and islands • Lighting and fitout • Placement of products on shelves – – Eye levels (for adults and for children!) Number of facings to maximise visual impact Copyrightê2004McGrawưHillAustraliaPtyLtd 819 Media Strategy Random approach – to reach where the target market may be • Selective approach – – to reach where the target market is focused media • Advertisements – utilise stimulus characteristics Package design Copyrightê2004McGrawưHillAustraliaPtyLtd 820 Advertising Evaluation Exposure – physically reach target market • Attention – attended to by the consumer • Interpretation – properly interpreted • Memory – stored, so it is retrieved under the proper circumstances  Copyright ª 2004 McGraw­Hill Australia Pty Ltd  8–21 Next Lecture… Chapter 9: Learning and Memory  Copyright ª 2004 McGraw­Hill Australia Pty Ltd  8–22 ...  Copyright ª 2004 McGraw­Hill Australia Pty Ltd  8 9 Involvement and Magazine Advertising Effectiveness 8 10 8 10 Involvement in a Television Program and Advertising Effectiveness 8 11 8 11 Determinants of Interpretation 8 12 8 12 Interpretation...  Copyright ª 2004 McGraw­Hill Australia Pty Ltd  8 7 The Impact of Advertisement Size 8 8 8 8 Attention (cont.) • Individual factors – – Interest Need • Situational factors – Involvement (see following slides) • Non-focused attention... Interpretation • Memory – – short-term long-term  Copyright ª 2004 McGraw­Hill Australia Pty Ltd  8 2 Information Processing for Consumer Decision Making Perception Exposure Deliberat e Random Lowinvolvemen