Perception & Learning

Perception & Learning

Dr. Rohit Vishal Kumar Reader, Dept. of Marketing Xavier Institute of Social Service Ranchi - 834001

The Model of Information Processing

Perception

Exposure Random ---------------- Deliberate Attention Low Involvement ---------------- High Involvement

Learning

Interpretation Low Involvement ---------------- High Involvement Memory Short Term ---------------- Long Term Active Problem Stored Experiences, Values Solving Decisions, Rules, Feelings Purchase & Consumption Decisions

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Exposure • Exposure occurs when a stimulus comes within the range of our sensory receptor nerves – For exposure to occur the only requirement is that the stimulus be placed in the individuals relevant environment – Most of the exposure is self-selected – Exposure can be voluntary or involuntary

• In a marketing environment, there is a continuous “war” between the individuals and organizations: – Organizations try to expose individuals to marketing stimulus • Advertisements, POP, Mailers, Banner Ads, Hoardings, Emails etc

– Individuals try to avoid being exposed to all the stimulus • Zipping, Zapping, Muting, Ignoring

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Attention • Attention occurs when the stimulus activates one or more sensory receptors and the resulting sensation go to the brain for processing • Consumers are selective in attention • Factors affecting Attention: – Stimulus Factors: • Size of the Stimulus – Larger stimulus are more likely to be noticed

• Intensity of the Stimulus – Loud / Bright / Eye Catching stimulus are more likely to be noticed

• Color of the Stimulus – Colorful stimulus is more likely to be attractive

• Movement of the Stimulus – Audio Visual stimulus are more likely to be noticed

• Position of the Stimulus – Ease of recognition / Placement in visual field more likely to be noticed

• Contrast of the stimulus – Use of white spaces more likely to be noticed 6

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Attention • Factors affecting Attention: – Individual Factors: • Interest • Need

– Situational Factors: • Involvement with the media / program • Hemispheric Lateralization – Left Brain: » Responsible for Verbal Information, Symbolic Representation, Sequential Analysis, Conscious Reporting » Requires Frequent Rest – Right Brain: » Responsible for Pictorial Representation, Geometric Patterns, Emotions » Can operate for a longer period of time

• Subliminal Stimulus: – Stimulus presented without the aid of conscious knowledge

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Interpretation • Interpretation is the assignment of meaning to a sensation • It is a function of the gestalt i.e. patterns formed by the characteristics of the stimulus, the individual and the situation • Meaning is assigned by: – Cognitive Interpretation • Is a process by which meaning is placed in to existing categories of meaning • If a product brand or language term is radically different a new categorization may be developed

– Affective Interpretation: • The emotional response generated by the stimulus

Interpretation is dependent on an Individual’s Learning Expectation Inference 8

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Perception and Marketing Strategy • Retailing: – Increase total exposure by spacing out frequently brought items – Place high margin items in high traffic area – Display of products to draw attention

• Brand Name & Logo Development – Allows consumers to associate the product with • • • • •

Quality Price Expected Performance Self Image Differentiation

Have you seen the movie 3000? Pretty Woman

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Perception and Marketing Strategy • Media Planning: – TRP and OTS important for planning – Larger ads tend to draw more attention

• Advertisement – Use of humor, Sex Appeal, Bright Colors preferred – Usage should be coordinated with product usage • Insurance Ads sold by glamorous model

• Package Design – Task to capture attention and convey information – Needs to be carefully designed to meet legal rules of the country

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Evaluation of Advertising • Measure of Exposure: – Verification, circulation, readership used in print to compute OTS – People Meter used in television to compute TRP – Click-trough rate used in internet

• Measure of Attention: – – – –

Eyeball tracking devices Day after Recall (DAR) Recognition Test Starch Test • Noted: – Percentage of people who recall seeing the advertisement

• Seen-Associated: – Percentage of people who recall reading some part of the advertisement

• Read Most: – Percentage of people who have read more than 50% of the advertisement

• Measure of Interpretation: – Focus Group Discussion – Day after Recall 12

Ambush Marketing • Involves any communication or activity that implies, or from which one could reasonably infer, that an organization is associated with an event, in fact when it is not • Forms of ambush marketing: – Sponsor Media Coverage of the Event – Sponsor a small part of the event and advertise heavily – Advertise heavily during the event

Coke / Pepsi tends to advertise heavily during cricket matches even when They are not the official sponsors of the match

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Learning

Learning • Learning is any change in content or organisation of long term memory or behaviour • It is the key to Consumer Behaviour

Culture Sub Culture Social Class Family Friends Group Experiences Media Advertising

Learning

Values Attitudes Tastes Preferences Skills Feelings Meanings Behaviours

Purchase And Use Behaviour

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Theories of Learning (Conditioning) • Classical Conditioning: – Based on the association of a stimulus and response – Most common in low involvement situations – Also known as Pavlovian Conditioning Unconditional Stimulus (Popular Film Music)

Unconditional Response (Positive Emotions)

Conditional Stimulus (Pen Advertisement with Popular Film Music)

Conditional Response (Association of Pen with Music)

• Operant Conditioning – Based on reward / punishment to desired response – Use of free samples highly effective in operant conditioning – Also known as Instrumental Learning Desired Response (Consumption)

Stimulus (popcorn)

Reinforcement (Pleasant Taste)

Higher Probability of Purchase 17

Theories of Learning (Cognitive) • Iconic Rote Theory – Association between two concepts in the absence of conditioning – Particularly useful in low / medium involvement purchase – EG: Ketoprofin is a headache remedy

• Vicarious Learning / Modeling – Learning by observation – Useful in both high and low involvement purchase

• Reasoning / Analogy – Also known as Cognitive Learning – Is a problem solving process associated with goal achievement Goal

Purposive Behaviour

Insight

Goal Achievement

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Factors Affecting Learning • • • • • • •

Importance of Information Message Involvement Mood Reinforcement Punishment Repetition Imagery

• Related Aspects: – Forgetting: • Process of elimination of the link between stimulus and response due to cessation of the stimulus

– Extinction: • Process of elimination of the link between stimulus and response due to self choice of an individual

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Memory • Memory is the total accumulation of the prior learning experience • Short Term Memory – That portion of the memory which is currently active or in use – Has limited capacity to store information and sensation – Two basic types of information processing: • Elaborative Activities – Use of previously stored experiences, activities, values, attitudes beliefs and feelings to interpret and evaluate information in working memory as well as to add relevant previously stored information

• Maintenance Rehearsals: – Is the continuous repetition of a piece of information in order to hold it in current memory for use in problem solving or transfer to long term memory

– Is dependent on • Concepts: – Abstractions of reality that capture the meaning of an item in terms of other concepts

• Imagery: – Concrete Sensory Representation of Ideas, feelings and objects 20

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Memory • Long Term Memory – Is an unlimited permanent storage – Can be roughly divided in to 4 parts: • Semantic Memory: – Basic knowledge and feeling an individual has about a concept – Represents a persons understanding of a concept at it’s simplest level » EG: If features like soft cushion seats, AC, Power Steering and Car Theatre System is present the car is a luxury car

• Episodic Memory: – Memory of events in which an individual participated – Evoked through “Nostalgia”

• Schematic Memory: – Is a complex web of association – Developed by breaking down of information into smaller pieces of related information linked together

• Script Memory: – Memory of how action sequence should occur – Necessary for consumers to shop effectively

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A Schematic Memory for Mountain Dew Mountain Dew

Fun

Crisp

Cool

Green

Different Carbonated Daredevil Young “Do the Dew” Refreshing Parties Chasing Lions Lemon Based Cola

For People like Me

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Memory in Marketing

BRAND DECISIONS ARE BASED ON MODIFYING TARGET MARKET’S MEMORY 23

Memory in Marketing • Brand Image – Is the schematic memory of the brand

• Product Positioning – Is the decision by the management to try and achieve a defined brand image relative to competition in a market segment – Related Concepts: • Product Repositioning • Product Depositioning

• Brand Equity – Is the value assigned by consumers to a brand over and above the functional characteristics of the product – People are willing to pay a “Premium” for brands with higher equity

• Brand Leverage – Is the use of brand equity of an existing brand for a new product – Is also known as brand extension, family branding or umbrella branding 24

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