Individual Determinants in Consumer Behaviour (Autosaved)

CONSUMER BEHAVIORMODULE IV - INDIVIDUAL DETERMINANTS OF CONSUMER BEHAVIOR

Motivation and involvement

Motivation is a driving force within individuals that impels them to action It is defined as the stimulation of any emotion operating upon ones will and prompting or driving it to action

Psychologically speaking this driving force is the result of a state of tension produced by an unfulfilled need Individuals try to reduce this tension both consciously and subconsciously through selecting goals and behavior

Elements of motivation

1 Needs - Every individual has need They are

Innate Needs ndash these are physiological need and it includes the need for food water air clothing shelter and sex These are needed to sustain the biological life or biogenic needs

Acquired needs ndash these are need in response to our culture or environment These include the needs for self-esteem affection prestige and learning These are generally psychological and are considered as secondary needs

2 Wants ndash wants are something more in addition to the needs that will have desirable effect For example ndash food is the need and type of food is want

3 Goals- are the ideal state that a person desires as he thinks that it would help himher satisfy a need There are two type of goals and they are

Generic goals ndash Generic goals can be defined as the general category of goals that consumers see as a means to satisfy their needs and wants Example- a consumer may want to buy a mobile

Product ndashspecific goals ndash these are specifically branded products or services that the consumers select to fulfill the generic goal Example ndash the consumer would like to buy Nokia or Samsung ( here the consumer has a specified brand choice towards the product)

Selection of Goals

The goals selected by an individual depends on their

Personal experience Physical capacity Prevailing cultural norms and values Goals accessibility in the physical and social environment

1


Goals can be positive or negative Positive goals is the one towards which behavior is directed (approach object) and negative goals is the one form which behavior is directed away and is referred to as an avoidance object

Motives

Motives can be rational and emotional

Rational motives - When consumer motives are objective and when selection of goals is made on the basis of objective criteria they are referred to as rational motives These criteria could be price size weight etc

Emotional motives - When consumer motives are subjective and when selection of goals is made on the basis of personal and subjective criteria like appearance and looks colour aesthetics etc they are referred to as emotional motives

Motivation can be positive or negative

Positive motivation The person is driven towards an objectconditionsituation Example A person goes to the gym three times a week to build up his body and muscles so that he can look good The object in question (gym work out good body) is referred to as an approach object His behavior is directed towards achievement of a positive goal which is fitness body building and great looks

Negative motivation The person is driven away from an objectconditionsituation and the corresponding effects of non usage For example a person decides to buy Pepsodent toothpaste for his child as it helps fight germs and tooth decay whole day long His behavior is directed towards the object (Pepsodent) to avoid a negative goal which is tooth decay

The Dynamic nature of motivation

Needs and wants exhibit multiplicity Various kinds of physiological and psychological needs have been proposed and listed while physiological needs are few and universal psychological needs are many and varied

A person may experience many needs and wants simultaneously and one may be sacrificed at the cost of the other

Needswantsgoalsmotives vary from person to person They also vary within a person across situation to situation

Needswants are never fully satisfied Wants are satisfied temporarily but needs are never satisfied They keep on emerging As one need is satisfied another emerges and so forth and as they emerge they trigger off desire and motives

Needswantsgoalsmotives grow develop and change in response to an individual and his environment

2


Needs and wants may also lie dormant They may suddenly trigger owing to physiological factors social factors andor external environmental factors

Success and failure to fulfill needs and wants also affect the future choice of goals

Arousal of motives

Physiological Arousal - when a person becomes aware of his needs due to change in his physiological state it will give rise to physiological motives For example - a person who is cold may turn up the heat in his bedroom and also make a mental note to buy a warm cardigan sweater to wear around the house

Emotional Arousal ndash At times the mundane nature of routine life leads a person to fantasies or daydream and this stimulate his latent need to satisfy his emotionFor example ndash A young women who daydream of torrid romance may spend her free time in internet single chat rooms

Cognitive Arousal ndash this occurs when we come across some information incidentally and this triggers our thought process and arouses a need in us

Environmental Arousal ndash the various signals that we come across in our environment in the form of the sight smell and sound surrounding us also prompt many needs

Theories of Motivation

Maslowrsquos hierarchy of needs

3


Abraham Maslow a clinical psychologist in 1943 formulated a widely accepted theory of human motivation based on human needs Maslow proposed that human needs could be classified into five basic levels that is basic primary needs safetysecurity needs socialaffiliation needs egoesteem needs and self actualization needs Each of the needs could be ranked in order of importance from the lowest to the highest through a pyramidical structure starting from basic primary needs to the safetysecurity needs to the socialaffiliation needs to the egoesteem needs to finally the self actualization needs The first two needs ie basic primary needs and safetysecurity needs were biogenic in nature and were regarded as lower-order needs while the rest of the three ie socialaffiliation needs egoesteem needs and self actualization needs were psychogenic in nature and were regarded as higher-order needs According to the theory these needs are hierarchical and an individual will go level by level starting first with the fulfillment of the lower-order needs and gradually move towards the fulfillment of the higher-order needs A person cannot move to the second level unless the first level is satisfied Once a level is satisfied it ceases to be a motivator and the moves to the next

Physiological Needs ndash in the hierarchy of needs theory physiological needs are the first and most basic level of human needs These needs are required to sustain biological life include food water air shelter clothing sex

Example ndash for the man who is extremely hungry no other interest exists but food He dreams of food he remembers food he thinks of food he perceives only food and he wants only food

Safety needs ndash once the physiological needs are satisfied safety and security needs become the driving force behind an individualrsquos behavior These needs are concerned not only with physical safety but also include order stability routine and control over onersquos life and environment

Example savings accounts insurance policies

Social needs- the third level in Maslowrsquos need theory include needs as love affection belonging and acceptance People seek warm and satisfying human relationship with other people and are motivated by love for their families

Egoistic Needs Esteem needs ndash once the social needs are more or les satisfied the fourth level becomes operative This level is concerned with egoistic needs These needs can take either an inward or an outward orientation

Inward orientation ndash reflects an individuals need for self acceptance self esteem success

Outward orientation ndash includes the needs for prestige reputation status recognition from others etc

Self-actualization needs - most of the people do not satisfy their ego needs sufficiently to ever move to the fifth level This need refers to an individuals desire to fulfill hisher potential to become everything heshe is capable of becoming

4


Mc Clellandrsquos Trio of need theory

According to him an individualrsquos needs are acquired over time and are learned and accordingly shaped by onesrsquo life experiences These needs can be classified into three categories and they are Needs for power (nPow) affiliation (nAff) and achievement (NAch)

Need for Power (nPow) ndash the power need relates to an individuals desire to control hisher environment It includes the need to control other persons and various objects This need appears to be closely related to the ego need in that many individuals experience increased self-esteem when they exercise power over object or people

Need for Affiliation (nAff) ndash affiliation is well known and well researched social motive that has far-reaching influence on consumer behavior The affiliation need is very similar to Maslowrsquos social need theory People with high affiliation need tend to be socially dependent on others According to this the behavior is strongly influenced by the desire for friendship acceptance and belongings

Need for Achievement (nAch) ndash individual with a strong need for achievement often regard personnel accomplishment as an end in itself The achievement need is closely relate to both egoistic need and self- actualizations need

Motivation theory and market strategy

Approach ndash Approach Conflict ndash happens when the consumer has two different choices of similar or dissimilar category of product or services which he gives equal importance but unable to choose one over the other The marketer can come in to make his offer more attractive and important in any sense and help the customer to decide in its favourExample ndash A hungry man is tempted to have both pizza and Burger

Approach ndash avoidance conflict - happens when the consumer has decides in favour of a product but somehow not satisfied with a particular feature or want to avoid it The marketer can come in make some modification in the product features to suit and help the customers to decide in its favourExample - is that a lady wants to have an ice-cream but is also concerned about the fact that it would mean adding to calories and weight

Avoidance-Avoidance conflict- happens when the consumer has to decide between two negative choices The choices are said to be negative in relation to certain personnel attributes of the consumer The marketer can come in to make some suggestion in the decision making process to suit and help the customers to decide in its favourFor example the doctor prescribes to a patient of a long drawn treatment based on medicines with lower rate of success as against another option of a surgical procedure with high risk of post operative complications

5


Involvement

Defined as a psychological state that motivates people to be more aware and careful about personnel object or situations

Consumer involvement is defined as a state of mind that motivates consumers to identify with product service offering their consumption pattern and behavior Involvement creates within consumers an urge to look for and think about the product service category and the varying option before making decision on brand preference and the final act of purchase

Types of involvement

Situational involvement - This is a state of arousal directed towards attaching relevance to a personobjectsituation for a short termIt is specific to a situation and is thus temporary in nature It could vary from low to high depending upon the situational factors

For example - a middle aged lady suddenly decides to gift a laptop to her son on his birthday She is not techno savvy and has little interest with the product category She goes to the electronics mall and visits the various stores that sell computers and laptops She collects information on the product features prices etc and finally takes the help of her middle aged neighbor to reach a final decision Her involvement with the purchase activity would be regarded as a situational involvement

Enduring involvement - When the level of involvement towards the productservice category extends over a period of time across situations it is referred to as enduring involvement The person shows a high-level of interest in the product category and spends time collecting and processing information and integrating it within his memory

For example a person desires to buy a laptop for his son to be gifted to him when he goes to college which would be three years later The father plans well in advance tries to collect information through advertisements brochures trade journals visits to dealers and word of mouth from peers and colleagues Within this period he gets involved with the product category and after three years is in a position to take a decision based on the facts that he has collected This is referred to as enduring involvement

Measures of Involvement

Brand Ego Importance of purchase Product Types (Situational enduring response)

6


Personality and self-concept

Personality defined as a sum total of outer physiological as well as inner psychological characteristics that determine and reflect how a person reacts to his environment It exhibits itself through a unique psychological makeup that activates behavior on the part of an individual in response to forces in his or her environment

Nature of personality

1 Personality reflects individual differences ndash because the inner characteristics that constitute an individuals personality are a unique combination of factors no two individuals are exactly alike

2 Personality is consistent and enduring ndash personality cannot be changed easily quickly and frequently This consistency and stability manifest itself even in buying and consumption patters and marketers need to learn how to overcome them

3 Personality can change under certain circumstances and over life span like for example in reaction to abrupt eventsincidentssituations as also due to gradual maturing with age

Theories of personality

Freudian Theory

Sigmund Freud the Father of psychology become famous with its psychoanalytic theory of personality Sigmund framed his theory on certain assumptions they are- Unconscious need r drives lie at the heart of human motivation and

personality- The socialization process that takes place within people in a social set up

has a huge impact on individualrsquos behavior

According to Freud personality is based on the dynamic and continuous interplay between the Id Ego and Super Ego

Id ndash deals with the primitive and impulsive drives of human mind

7

CONSUMER BEHAVIORMODULE IV - INDIVIDUAL DETERMINANTS OF CONSUMER BEHAVIOR Super Ego ndash Individualrsquos internal expression of moral and ethical codes of conduct as moulded and influenced by the codes imposed by society

Ego ndash Individualrsquos conscious control It functions as internal monitor that attempt to balance the impulsive demands of the Id and the socio-cultural constraints of the superego

Neo-Freudian Theory

A group of psychologists who believed that social interaction and resultant relationships formed the basis for the growth and development of personality They disagreed with their contemporary Freud who believed that personality was

i) biological and rooted in genetics and ii) ii) Was groomed as a result of early childhood experiences

The Neo-Freudian are

i) Alfred Adler - is regarded as the father of individual psychology was a disciple of Freud He broke away from the Freudian philosophy due to disagreement over the importance that Freud gave to the Unconscious Adler believe that

People are goal oriented with an urge for personal growth and ldquothe will to powerrdquo they have within them a self perfecting drive this drive is the single drive or motivating force behind all behavior and experience

Individuals seek to overcome feelings of anxiety and feelings of inferiority the basic drive in human beings is to strive from an initial state of inadequacy or what he termed inferiority toward superiority or self-actualization

People strive for goals that can be referred to as style of life Social drives especially family friends and culture have an impact on behavior

and feelings right from birth across a life span people involve themselves in social relationships

The primal social influences in an individual can be modified in a manner such that that each one of us develops personal styles in dealing with our life and achieving goals

According to Adlerrsquos theory individualsrsquo buy to overcome feelings of inferiority

ii) Herbert Harry Stack Sullivan ndash A psychiatrist extended Freudrsquos theory of psychoanalysis and concluded that failure in interpersonal relationship were largely responsible for mental illness and disorder According to him social relationships were extremely important for human beings and loneliness was

8


the most painful of human experiences He developed a theory of psychiatry based on interpersonal relationships where social forces are largely responsible for mental illnesses

Sullivan referred to his approach an interpersonal theory of psychiatry to focus on ldquowhat goes on between peoplerdquo sharp in contrast to Freud who focused on ldquowhat goes on inside peoplerdquo He believed that social relationships are primary which actually lead to personality In fact personality manifests itself in such social relationships

iii) Karen Homey ndash Homeyrsquos approach came to be known as the psychosocial analysis Her work focused on the emotional relationship that exits between parent and child early in the childrsquos life While focusing on child-parent relationship she also researched on how people strive to overcome feelings of anxiety

According to Homey people experience anxiety and tend to act as neurotics the irrational defenses against anxiety become a permanent part of personality and that affect human behavior based on their approach towards overcoming feelings of anxiety people could be classified into three group They are

a Compliant ndash individuals are those who move towards othersb Aggressive ndash individuals are those who move against othersc Detached ndash individuals are those who move away from others

Trait Theory

According to the Trait theorists an individualrsquos personality make-up stems out of the traits that he possesses and the identification of traits is important People possess specific psychological characteristics that are referred to as traits and all those who possess a particular trait are said to belong to a personality type A trait is a predisposition to behave in a certain manner

The trait theories can be of two broad categories viz simple trait theories and general trait theories

i) Simple trait theories A limited number of traits are identified and people are identified and classified on the basis of these traitsii) General trait theories A large variety of traits are identified

9

CONSUMER BEHAVIORMODULE IV - INDIVIDUAL DETERMINANTS OF CONSUMER BEHAVIOR Assessment of Trait theory Unlike the Freudian and the Neo-Freudian theories the Trait Theories possess a degree of quantification while classifying individuals into personality types Through the application of tests and scales people are objectively assessed for presenceabsence of personality traits and accordingly classified into personality types Thus unlike the previous theories the Trait approach seems to be a more realistic and objective approach However the limitation lies in the fact that sometimes traits tend to be indefinable vague and indescribable nevertheless the personality tests are widely used

Trait theory and Consumer behavior

Some of traits and their relevance for a marketer are explained as follows

Consumer innovativeness The degree to which consumers are receptive to new products new services

or new practices

Dogmatism A personality trait that reflects the degree of rigidity a person displays

toward the unfamiliar and toward information that is contrary to his or her own established beliefs

High dogmatic-discomfort with new product Low dogmatic-like to try new product

Social character It is a personality trait that range from inner-directedness to other-

directedness Inner-Directed

o Consumers who tend to rely on their own inner valueso More likely to be innovatorso Tend to prefer ads that stress product features and benefits

Other-Directed Consumers who tend to look to others for direction

o Less likely to be innovatorso Tend to prefer ads that feature social acceptance

Need for uniqueness Consumers who avoid appearing to conform to expectations or standards of

others

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Optimum stimulation level A personality trait that measures the level or amount of novelty or

complexity that individuals seek in their personal experiences High OSL consumers tend to accept risky and novel products more readily than low OSL consumers

Sensation seeking A personality trait characterized by the need for varied novel and complex

sensations and experience and the willingness to take physical and social risks for the sake of such experience

Variety-novelty seeking A personality trait similar to OSL which measures a consumerrsquos degree to

variety seeking

ExamplesExploratory Purchase BehaviorUse InnovativenessVicarious Exploration

Cognitive personality factors

Two cognitive personality traits areNeed for cognitionVisualizers vs verbalizers Need for cognition

o A personrsquos craving for enjoyment of thinking

o Consumers high in NC are more likely to respond to ads rich in product-related information

o Consumers low in NC are more likely to be attracted to background or peripheral aspects of an ad

o Visualizers versus verbalizers

o A personrsquos preference for information presented visually or verbally

Consumer materialism The degree of consumer attachment to a worldly possession The extent to which a person is considered ldquomaterialistic

11


Characteristic of materialistic people Value acquiring and showing-off possessions Are particularly self-centered and selfish Seek lifestyles full of possessions Have many possessions that do not lead to greater happiness

Fixed consumption behavior Consumers fixated on certain products or categories of products Consumers have

o A deep interest in a particular object or product categoryo A willingness to go to considerable lengths to secure items in the

category of interesto The dedication of a considerable amount of discretionary time and

money to searching out the product Examples stamp collectors hobbyists

Compulsive consumption behavior ldquoAddictedrdquo or ldquoout-of-controlrdquo consumers Consumers who are compulsive buyers have an addiction in some respects

they are out of control and their actions may have damaging consequences to them and to those around them

Consumer Ethnocentrism

The consumers likelihood to accept or reject foreign made products Ethnocentric consumers feel it is wrong to purchase foreign-made products They can be targeted by stressing nationalistic themes

Self Concept

It is the sum totals of personrsquos feelings knowledge and understanding of his her self as an object

Two components

Actual Self - refers to an individualrsquos perception of whatwho he or she is Ideal self - refers to an individualrsquos perception of whatwho he or she wants to be

As a consumer actual and ideal self come to play in the market place While a consumer tries to relate his personality with the personality of the productservice offering and the

12

CONSUMER BEHAVIORMODULE IV - INDIVIDUAL DETERMINANTS OF CONSUMER BEHAVIOR brand the ldquoactual-selfrdquo comes into play on the other hand when he tries to match the product service and the brand personality with his aspirational group and aspires to buy the same the ldquoideal-selfrdquo comes into play This confirms the assumption that self-concept is closely related with personality and individuals would buy such productsservices which match their concept and personalities

Self Image

Arises out of the persons background values lifestyles experience etc as well as interactions with parents Family friends etc Traits characteristics qualities and mannerisms of behavior all put together create the self-image of a person

Perception

Different people see things events and ideas from different view point and hold different opinions views for them In other words they have different ldquoPerceptionrdquo of the world

Definition of Perception Perception is defined as the process by which the individual selects organizes and interprets various stimuli into a meaningful amp coherent picture of the world Marketers are deeply interested in such perceptions the consumers hold about their products amp services brands company etc

Elements of Perception The following are the elements of Perception

1 Sensation ndash is the immediate amp direct response of the sensory organs to stimuli A stimulus is a single input of any of the senses Human beings have sensory receptors called sensory organs They are

a Eyes for sights amp seeing

b Ears for sounds amp hearing

c Nose for smells amp smelling

d Tongue for tastes amp tasting

e Skin for textures touch amp feeling

Marketers try to stimulate the sensory organs of a consumer to create a favorable perception towards their products

13


2 Absolute threshold ndash is the minimum level that the individual can experience a sensation In other words he can distinguish the difference between something amp nothing This level varies from person to person amp varies with time place amp environment Marketers often try to provide stimuli more than this level

3 Differential Threshold or Just Noticeable Difference (JND) ndash is the minimal difference that can be detected between two similar stimuli German scientist Ernst Weber discovered that the JND between two stimuli is not absolute but an amount relative to the intensity of the first stimulus Thus marketers try to change certain attributes which are just short of JND

4 Subliminal Perception ndash there are certain types of stimuli which are not strong enough to exceed the absolute threshold but somehow stimulate the subconscious mind amp get recorded there sometimes without the knowledge of the preceptor At a later stage this might surface as some form of expression or perception Here the marketers try to stimulate the subconscious mind of an individual

Information processing is a series of activities where the stimuli are perceived amp processed to converttransform them to information and then stored (very similar to computer data processing) Later this info is used in selecting a product

1 Exposure Exposure occurs when our senses detect some external cue from the various things we come in contact with We are all exposed to a plethora of marketing ads continuously This becomes the starting point of all information processing But people tend to perceive things they need or want The stronger the need the greater the tendency to ignore unrelated stimuli Hence ldquoSelective Perceptionrdquo occurs when the consumer selects the stimuli from the environment on the basis of interaction of expectations amp motives with the stimulus itself These factors give rise to four important concepts concerning perception

a Selective exposure ndash where the consumers want to avoid unpleasant or painful messages amp seek those which are sympathetic interesting and pleasant

b Selective attention ndash where the consumers exercise selectivity in terms of their attention to commercial stimuli They have a heightened attention regarding the stimuli that meet their needs amp minimal attention to the ones irrelevant to their needs People also vary in terms of kind of info like price quality features etc forms of messages amp type of medium they prefer

14


c Perceptual defense ndash where consumers subconsciously screen out stimuli that are threatening or damaging even if the exposure has already taken place Likewise sometimes they unconsciously distort the information that is not matching their needs values amp beliefs This may be due to psychological factors or any unfavorable past experience

d Perceptual blocking ndash where consumers protect themselves from being exposed by blocking such stimuli from conscious awareness They do it for self protection because of the visually overwhelming nature of the world we live in

2 Attention Normally all the stimuli of a message come throrsquo the various sensory organs simultaneously But an individual can remember only one of them usually the strongest and tries to take action on that basis Marketers try to exploit that situation to their advantage to leave an impact in the consumer This is known as attention

a Stimulus ndash is the one which prompts an individual to initiate an action by creating an attention It has the following characteristics Size amp Intensity Color amp Movement Position Format amp Design Isolation Contrast or Distinction Information extent

b Individual factors ndash The attention of a consumer depends on the following factors Interest amp Needs Ability Involvement etc

c Situational factors ndash Often the situation condition environment or the surrounding of the consumer have an affect on its attention of certain stimuli Hence the marketers should devise certain methods to help overcome that

3 Interpretation ndash Just like peoplersquos exercise of selective perception on the basis of certain psychological principles the interpretation of these stimuli is also highly individual because it is based on what the individuals expect to see in the light of their previous experience motives interests reasoning at the time of perception In the case of any ambiguous stimuli the individuals usually interpret these in such a way to serve their own needs interests wishes etc

Consumer Imagery Consumers have a number of enduring perceptions or images of themselves Products amp brands have also a symbolic value for consumers who evaluate them on the basis of their consistency (congruence) with the perception of themselves This is the consumersrsquo self-image amp they attempt to preserve or enhance it by buying products amp brands or patronizing services which they believe are congruent with their self-images and avoiding which are not This phenomenon is known as consumer imagery

1 Product Image - where the consumer compares his self-image with his perception of the product or brand

15

CONSUMER BEHAVIORMODULE IV - INDIVIDUAL DETERMINANTS OF CONSUMER BEHAVIOR 2 Service Image - where the consumer compares his self-image with his perception of

the service or its provider

Perception in Marketing Marketers have realized that understanding the perception process of consumers help them to design better ways to help them perceive favorably The main methods of stimuli are throrsquo advertising communication messaging company news etc Thus the marketers have to develop specific stimuli throrsquo these methods so that the consumers perception about their products clearly amp enduringly These are some techniques

1 Brand development amp Perceptual Mapping ndash This technique helps the marketers to determine how the products or services appear to the consumer in relation the other competitive brands on one or more relevant attributes of the products or services

2 Retail Stores ndash In retail stores normally all the brands in a particular category of products are arranged at the same place so they have a direct competitive setting The brands which claim to be special in any respect should be specially displayed to gain attention

Learning

Different theorists have different views about Learning But somehow the following are the most generally accepted definitions in the context of Marketing Management

Schiffman Defines Learning is a process by which individuals acquire the purchase and consumption knowledge and experience that they apply to future related behavior

The following are the salient features of Learning

1 Consumer learning is a process and thus it continuously changes and evolves as a result of newly acquired knowledge

2 This knowledge can be obtained from reading discussing observing thinking etc Or from actual experience

3 Both the newly acquired knowledge and personal experience serve as a feedback

4 This also serves as a future behavior in similar situations

5 Not all learning is deliberate Learning can be

a Intentional acquired as a result of careful search for information with effort

b Incidental acquired as a result of accident or by the way without much effort

6 The term ldquoLearningrdquo generally covers all ranges of learning from simple reflexive responses to abstract concepts or complex problem solving capability

16

CONSUMER BEHAVIORMODULE IV - INDIVIDUAL DETERMINANTS OF CONSUMER BEHAVIOR Elements of learning

MotivationMotives motivation or drive is very important for learning People learn by being driven by some motives or motivating factor Motives arouse individuals in increasing their readiness to respond to a leaning activity It also activates the energy needed to do so The degree of relevance or involvement determines the consumerrsquos level of motivation to search for information about a product service Marketers must be aware of this kind of motive so that they are ready to provide product info right at that moment For example showing ads for winter goods just before winter and summer products just before summer

CuesMotives stimulate learning whereas ldquoCuesrdquo are the stimuli that give direction to these motives These are not as strong as motives but they can influence in the manner consumers respond to a motive For example in the market place price styling packaging store display all serve as cues to help consumer to decide a particular product from a group

ResponseResponse is how the consumers react to the motives or a cue and how they behave Response can be overt (open physical or visible) or covert (hidden or mental) but in either case learning can occur Often marketers may not succeed in stimulating a purchase But over a period of time they may succeed in forming a favorable image of a particular product in the consumerrsquos mind So when the consumer is ready he is likely to buy that

ReinforcementReinforcement is an important element which increases the probability of a particular response to occur in future as a result of a given set of motives and cues Because reinforced behavior tends to be repeated consumers can learn to develop successful means of responding to their needs or changing conditions

The nature and characteristics of Consumer Learning

Consumer learning can be better explained by understanding the nature and characteristics of learning

17


a) Learning involves a change in behavior in terms of consumer learning it implies that a consumer who is exposed to the marketing stimuli may react to it through its purchase and consumption if his experience is satisfying he would repeat the purchase behavior in favor of the brand In case he is not satisfied he would switch over to another brand Thus leaning involves a change in behavior

b) The change in behavior is relatively permanent Learning also leads to development of attitudes Until and unless an attempt is made to change this behavior it continues

c) The change in behavior occurs because of experience there has to be some kind of an experience for learning to occur This experience could be direct (self-experience) or indirect (experiences of others and word of mouth)

d) Learning must be reinforced to have an impact if learning as a process is not reinforced the behavior would disappear This reinforcement could be positive or negative

e) Learning also leads to development of attitudes

f) Apart from experiences consumer learning also reflects the impact of (i) marketing (commercial) and non-marketing communication (interpersonalnon-commercial) as well as (ii) background characteristics

g) Learning is a cognitive process and can only be inferred through our actions and behavior Learning includes exposure to information its processing and storage this entire process cannot be observed directly and is only reflected in our behavior

h) Learning is a continuous process A person is exposed to information knowledge andexperiences all the time he interprets these learns from them and stores these in his memory for retrieval This addition of knowledge to the memory bank may altermodify existing information (this entire bank is called the Associative Network) The upgraded information provides a basis for future behavior

i) Consumer learning as a continual process where knowledge is ever evolving as a result of marketing stimuli discussion with family friends peers colleagues blogs and public forums and direct experiences (self) and indirect experiences (Word-of-Mouth)

18

CONSUMER BEHAVIORMODULE IV - INDIVIDUAL DETERMINANTS OF CONSUMER BEHAVIOR j) Learning may be specificintentional ongoing and incidental

Learning theories

There are two approaches to the study of learning viz the behavioral approach to learning and the cognitive approach to learning According to the behavioral theorists learning takes place in response to eventshappenings in a personrsquos external environment On the other hand the cognitive theorists believe that learning takes place as a result of a personrsquos conscious and deliberate information processing and storage activity

BEHAVIORAL LEARNING THEORY

The approach defines learning in terms of an association between stimulus and response where the stimulus is an external objectpersonsituation that a person senses and perceives and response is the behavior of the person that occurs in reaction to the objectpersonsituation

The theories are based on the assumption that

- people learn to associate the stimulus and response

- they begin to relate the stimulus and response and they generalize the relationship across situations whenever the stimulus occurs there is a similar response

- observable and predictable responses to specific external stimuli are reflective and symbolic of learning having taken place

- thus these behavioral theories are also referred to as stimulus-response theories

Behavioral theorists do not concentrate on the dynamics of the learning process Their major concern is on viewing learning as a response to eventshappenings in a personrsquos external environment The main proponents of this approach were Pavlov who proposed the theory of classical conditioning and Skinner who proposed the theory of operantinstrumental conditioning

19

CONSUMER BEHAVIORMODULE IV - INDIVIDUAL DETERMINANTS OF CONSUMER BEHAVIOR Theory of Classical Conditioning

Proposed by Ivan Pavlov a Russian psychologist in the 1920rsquos this pioneering work was based on the famous experiments that were conducted on dogs Pavlov believed

- all living beings are passive in nature they can be taught how to behave through repetition or conditioning and

- learning occurs as a repeated connectionassociation between stimulus and response

- learning takes place through conditioning as such classical conditioning also came to be known as respondent conditioning

- learning becomes conditioned when a stimulus that is paired with another stimulus that leads to a known response serves to produce the same response when used alone

Pavlov elaborated upon the process of conditioning through a series of experiments that he conducted on dogs Pavlov started his experiments on the dog by measuring the amount of salivation secreted by the dog as and when changes were made Initially he gave meat (unconditioned stimulus US) to the dog and as natural there was a great deal of salivation (unconditioned response UR) When he merely rang the bell (neutral stimulus) and gave no meat there was no salivation In the next phase he combined the two meat as well as the ringing of the bell (unconditioned stimulus plus conditioned stimulus US+CS) The dog salivated (unconditioned response UR) He repeated the pairing many a times over a period of time In the last phase Pavlov rang the bell without giving the meat (conditioned stimulus CS) and the dog salivated to the sound of the bell alone (conditioned response CR) The dog became conditioned to salivate at the sound of the ringing bell The dogs associated the bell sound of the bell (CS) with the meat (US) and after a number of pairings between the CS and the US gave the same response (salivation) to the bell alone as he had been doing to the maet alone

I Before conditioning

Meat (US) 1048774 Salivation (UR)

Ball (Neutral stimulus) 1048774 No response

II During conditioning

Meat (US) + Bell (CS) 1048774 Salivation (UR)

20

CONSUMER BEHAVIORMODULE IV - INDIVIDUAL DETERMINANTS OF CONSUMER BEHAVIOR III After conditioning

Bell (CS) 1048774Salivation (UR)

In conceptual terms according to Pavlov conditioning would take place if

- an unconditioned stimulus (US) results in an unconditioned response (UR)

Subsequently

- an unconditioned stimulus (US) paired with a conditioned stimulus (CS) will result in the same response which would now be called a conditioned response (CR)

Finally upon repeated pairings

- the conditioning stimuli alone (without the unconditioned stimuli) would elicit the same conditioned response (CR)

Thus classical conditioning occurs when a person learns to relate an unrelated stimulus (CS) with a particular behavioral response (URCR) that was previously elicited by a related stimulus (US) If a person is exposed to a series of repetitive pairings between the first and second stimulus gradually what happens is that the second stimulus alone begins to be associated with the first and elicits the same response as the first one did alone or in combination with the other

Instrumental Conditioning

Skinner who is credited for his theory of operant conditioning An American psychologist of the 1950s he emphasized on the role that lsquoconsequencesrsquo have to play on the process of learning He spoke of a response-stimulus connection (Response rarr Stimulus) or (R-S) rather than the S-R connection as proposed by Pavlov The learning took place through instrumental or operant conditioning

Skinner based his theory on the experiments he conducted while working with animals and birds like rats and pigeons He developed a cage what was came to be known as the ldquoSkinnerrsquos Boxrdquo The cage had a mechanism which facilitated the learning process the cage had levers and keys it also had a bar or a pedal on one of its walls and that when pressed caused the mechanism to release food into the cage The rats moved across the cage and suddenly accidentally they would press the bar and the food was released The rat began to understand a connection between his movement and the food and

21

CONSUMER BEHAVIORMODULE IV - INDIVIDUAL DETERMINANTS OF CONSUMER BEHAVIOR gradually learnt to press the bar or pedal the right key that gave him the food Skinner repeated these experiments with pigeons as and when they pecked the right key food was released The food acted as a reward where the rats and pigeons were rewarded for choosing an appropriate behavior and their behavior was positively reinforced Over time Skinner decided to withdraw the food while the rats and pigeons made the right movements food was no longer released and the creatures were disappointed After several attempts with unrewarding consequences they stopped pressing the right bars and pedals This was referred to as extinction

Skinner concluded that any behavior that is followed by pleasant events (reinforcing stimulus) is likely to be repeated a positively reinforced behavior increases the likelihood of repetition of such behavior On the other hand any behavior that is followed by unpleasant events (and a non-reinforcing stimulus) is less likely to be repeated it results in a decreased probability of that behavior occurring in the future

Thus operant or instrumental conditioning occurs when person learns to act out behaviors that are positively reinforced and avoids those acts of behavior that lead to punishment or yield negative reinforcement

COGNTIVE LEARNING THEORY

There is another type of theory of learning which doesnrsquot involve repeated trials or a connection between a stimulus and response This type of learning arises out of using the mental faculty of the individual to discover things perceive things seeking knowledge search for information sudden impulsive learning solving problems etc

Learning based on the mental activity is known as ldquocognitive learningrdquo Human beings are the most evolved animals who have the most prominent characteristics of thinking deliberation and problem solving Unlike behavioural theories the cognitive theories involve a complex mental processing of information and emphasise the role of motivation and mental processes in producing the desired response

WOLFGANG KOHLERrsquos experiment with a chimpanzee provides an interesting example to understand this theory of learning A chimp was placed inside a cage with a box in a corner of the cage and bananas hung from the roof of the cage beyond reach The chimp jumped several times and tried to reach the bananas but in vain Suddenly by

22

CONSUMER BEHAVIORMODULE IV - INDIVIDUAL DETERMINANTS OF CONSUMER BEHAVIOR impulse the chimp placed the box just under the bananas and jumped from it to reach the bananas and he got them This suggests that the apersquos learning was not a result of repetition or trial-and-error but because of some thinking and a sudden insight into the problem solving method The bananas in this experiment are not rewards but a kind of motivation to apply thinking and problem solving methods

In the context of consumer behaviour the individuals are considered to show problem solving behaviour and have active understanding of situations confronting them This view is therefore most important in understanding how consumers learn which stores method of shopping or products will best meet their needs

For example it can take the form of learning about the uses and benefits of new products in the market especially if they represent significant innovations It can also explain how consumers learn about existing products for which they have developed a recent interest or need

Attitude and attitude change

23

Definition of Perception

Elements of Perception

Information processing

Consumer Imagery

Perception in Marketing

Elements of learning

Motivation

Cues

Response

Reinforcement


Goals can be positive or negative Positive goals is the one towards which behavior is directed (approach object) and negative goals is the one form which behavior is directed away and is referred to as an avoidance object

Motives

Motives can be rational and emotional

Rational motives - When consumer motives are objective and when selection of goals is made on the basis of objective criteria they are referred to as rational motives These criteria could be price size weight etc

Emotional motives - When consumer motives are subjective and when selection of goals is made on the basis of personal and subjective criteria like appearance and looks colour aesthetics etc they are referred to as emotional motives

Motivation can be positive or negative

Positive motivation The person is driven towards an objectconditionsituation Example A person goes to the gym three times a week to build up his body and muscles so that he can look good The object in question (gym work out good body) is referred to as an approach object His behavior is directed towards achievement of a positive goal which is fitness body building and great looks

Negative motivation The person is driven away from an objectconditionsituation and the corresponding effects of non usage For example a person decides to buy Pepsodent toothpaste for his child as it helps fight germs and tooth decay whole day long His behavior is directed towards the object (Pepsodent) to avoid a negative goal which is tooth decay

The Dynamic nature of motivation

Needs and wants exhibit multiplicity Various kinds of physiological and psychological needs have been proposed and listed while physiological needs are few and universal psychological needs are many and varied

A person may experience many needs and wants simultaneously and one may be sacrificed at the cost of the other

Needswantsgoalsmotives vary from person to person They also vary within a person across situation to situation

Needswants are never fully satisfied Wants are satisfied temporarily but needs are never satisfied They keep on emerging As one need is satisfied another emerges and so forth and as they emerge they trigger off desire and motives

Needswantsgoalsmotives grow develop and change in response to an individual and his environment

2




Arousal of motives







3












4











5


Involvement










6









Freudian Theory






7



Neo-Freudian Theory












8







Trait Theory




9





or new practices










others

10







variety seeking










11











Self Concept


Two components



12


Self Image


Perception











13









14











15






Learning












16








17











18


Learning theories










19













20





Subsequently








21








22





23




Consumer Imagery



Motivation

Cues

Response

Reinforcement




Arousal of motives







3












4











5


Involvement










6









Freudian Theory






7



Neo-Freudian Theory












8







Trait Theory




9





or new practices










others

10







variety seeking










11











Self Concept


Two components



12


Self Image


Perception











13









14











15






Learning












16








17











18


Learning theories










19













20





Subsequently








21








22





23




Consumer Imagery



Motivation

Cues

Response

Reinforcement












4











5


Involvement










6









Freudian Theory






7



Neo-Freudian Theory












8







Trait Theory




9





or new practices










others

10







variety seeking










11











Self Concept


Two components



12


Self Image


Perception











13









14











15






Learning












16








17











18


Learning theories










19













20





Subsequently








21








22





23




Consumer Imagery



Motivation

Cues

Response

Reinforcement











5


Involvement










6









Freudian Theory






7



Neo-Freudian Theory












8







Trait Theory




9





or new practices










others

10







variety seeking










11











Self Concept


Two components



12


Self Image


Perception











13









14











15






Learning












16








17











18


Learning theories










19













20





Subsequently








21








22





23




Consumer Imagery



Motivation

Cues

Response

Reinforcement


Involvement










6









Freudian Theory






7



Neo-Freudian Theory












8







Trait Theory




9





or new practices










others

10







variety seeking










11











Self Concept


Two components



12


Self Image


Perception











13









14











15






Learning












16








17











18


Learning theories










19













20





Subsequently








21








22





23




Consumer Imagery



Motivation

Cues

Response

Reinforcement









Freudian Theory






7



Neo-Freudian Theory












8







Trait Theory




9





or new practices










others

10







variety seeking










11











Self Concept


Two components



12


Self Image


Perception











13









14











15






Learning












16








17











18


Learning theories










19













20





Subsequently








21








22





23




Consumer Imagery



Motivation

Cues

Response

Reinforcement



Neo-Freudian Theory












8







Trait Theory




9





or new practices










others

10







variety seeking










11











Self Concept


Two components



12


Self Image


Perception











13









14











15






Learning












16








17











18


Learning theories










19













20





Subsequently








21








22





23




Consumer Imagery



Motivation

Cues

Response

Reinforcement







Trait Theory




9





or new practices










others

10







variety seeking










11











Self Concept


Two components



12


Self Image


Perception











13









14











15






Learning












16








17











18


Learning theories










19













20





Subsequently








21








22





23




Consumer Imagery



Motivation

Cues

Response

Reinforcement





or new practices










others

10







variety seeking










11











Self Concept


Two components



12


Self Image


Perception











13









14











15






Learning












16








17











18


Learning theories










19













20





Subsequently








21








22





23




Consumer Imagery



Motivation

Cues

Response

Reinforcement







variety seeking










11











Self Concept


Two components



12


Self Image


Perception











13









14











15






Learning












16








17











18


Learning theories










19













20





Subsequently








21








22





23




Consumer Imagery



Motivation

Cues

Response

Reinforcement











Self Concept


Two components



12


Self Image


Perception











13









14











15






Learning












16








17











18


Learning theories










19













20





Subsequently








21








22





23




Consumer Imagery



Motivation

Cues

Response

Reinforcement


Self Image


Perception











13









14











15






Learning












16








17











18


Learning theories










19













20





Subsequently








21








22





23




Consumer Imagery



Motivation

Cues

Response

Reinforcement









14











15






Learning












16








17











18


Learning theories










19













20





Subsequently








21








22





23




Consumer Imagery



Motivation

Cues

Response

Reinforcement











15






Learning












16








17











18


Learning theories










19













20





Subsequently








21








22





23




Consumer Imagery



Motivation

Cues

Response

Reinforcement






Learning












16








17











18


Learning theories










19













20





Subsequently








21








22





23




Consumer Imagery



Motivation

Cues

Response

Reinforcement








17











18


Learning theories










19













20





Subsequently








21








22





23




Consumer Imagery



Motivation

Cues

Response

Reinforcement











18


Learning theories










19













20





Subsequently








21








22





23




Consumer Imagery



Motivation

Cues

Response

Reinforcement


Learning theories










19













20





Subsequently








21








22





23




Consumer Imagery



Motivation

Cues

Response

Reinforcement













20





Subsequently








21








22





23




Consumer Imagery



Motivation

Cues

Response

Reinforcement





Subsequently








21








22





23




Consumer Imagery



Motivation

Cues

Response

Reinforcement








22





23




Consumer Imagery



Motivation

Cues

Response

Reinforcement





23




Consumer Imagery



Motivation

Cues

Response

Reinforcement

Individual Determinants in Consumer Behaviour (Autosaved)

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Transcript of Individual Determinants in Consumer Behaviour (Autosaved)