1) The document discusses consumer learning and how marketers want to teach consumers about their products and services. Consumer learning is the process by which individuals acquire knowledge and experience about purchase and consumption that they apply to future behavior. 2) There are two types of learning - intentional learning that comes from careful search for information, and incidental learning that is acquired accidentally without much effort. 3) The document then discusses behavioral learning theories like classical and instrumental conditioning, and cognitive learning theories that involve mental processing. It provides an example of how Horlicks India has achieved over half the market share by utilizing consumer learning processes.

1. Allama Iqbal Open University,
Islamabad
Topic:
Consumer Learning
Presented to: Sir Imran Khawaja
Presented by: Mateen Altaf
Roll No. : AR570503
Class: MBA (B&F) 3rd semester
Subject: Consumer Behavior (8515)
mataltaf@hotmail.com

2. Acknowledgment
First of all thanks to ALLAH, Who is most beneficent & the
most merciful, Whose blessings are abundant & favors are
unlimited.
It’s my pleasure to acknowledge the guidance and support
of my subject teacher Mr. “Imran Khawaja” for his endless
guidance.
I would also like to acknowledge the “ Horlicks India“.

3. Introduction
Terminologies:
 Consumer:
A person who purchases goods and services for personal
use.
 Learning:
Can be defined as relatively permanent change on behavior
occurring as a result of experience. (experience may be of
purchase and consumption)

4. Introduction
continues
Consumer learning is a topic of concern for all marketers.
Especially in today’s world marketers want to teach the
consumers about their own product and services, consumer
learning is integral part of their any marketing strategy.
Consumer learning is the process by which individuals
acquire the purchase and consumption knowledge and
experience they apply to future related behavior.
(SOURCE: Leon G. Schiffman, Leslie Lazar Kanuk, 10th Edition,
Consumer Behavior)

5. Learning Process
Most of the learning is incidental. Some of it is intentional.
 Intentional - learning acquired as a result of a careful
search for information.
 Incidental - learning acquired by accident or without
much effort.

6. Basic Elements Of Consumer Learning
 Cues
 Motivation
 Response
 Reinforcement

7. Learning Theories:
There is no single universal theory of how people learn.
There are two general categories of learning theory:
 Behavioral learning
Behavioral Theorists view learning as observable responses
to stimuli
 Cognitive learning
Cognitive Theorists believe that learning is a function of
mental processing.

8. Behavioral learning
 Are also referred to as stimulus-response theories, is a
observable responses to specific external stimuli indicate that
learning has taken place.
 When a person responds in a predictable way to a known
stimulus, he or she is said to have learned. The process of
learning is not important, but the only important factor are
“input” or stimulus and the “outcomes” or response of
learning.
There are two behavioral theories with relevance to marketing:
1. Classical conditioning
2. Instrumental/operant conditioning

9. Classical Conditioning
A behavioral learning theory according to which a
stimulus is paired with another stimulus that elicits
a known response that serves to produce the same
response when used alone.
“ Ivan Pavlov, a Russian physiologist, demonstrated
conditioning by conducting experiments on dogs.”

10. Instrumental Conditioning
A behavioral theory of learning based on a trial-and-
error process, in which the positive outcomes in
the form of results lead to repeat behavior like
repeat purchase.
Consumers who try different brands, models, styles
until they find the one that “fits” are engaged in
instrumental learning.

11. Cognitive Learning:
Learning based on mental activity (i.e. thinking and
problem-solving)
Unlike simpler organisms, we learn not only by trial and
error, but by
 searching for information
 evaluating the information, and
 making a decision about what is best for us
Wolfgang Kohler’s Example:

12. Practical Study
Horlicks is the name of a company and of
a malted milk hot drink developed by the
founders James Horlicks, a pharmacist,
joined his brother William Horlicks, in the
US in 1873.
It is now manufactured by GlaxoSmithKline in the United
Kingdom, South Africa, New Zealand, Bangladesh, Pakistan, India, and
Jamaica, and under license in the Philippines and Malaysia.
Horlicks India: Horlicks came to India with the British Army; the end
of World War I. In 2010, Horlicks accounted for 85% of
the 2306 crore (US$390 million) revenue of GlaxoSmithKline in India. It
is currently the most widely consumed packaged beverage in India, after
bottled water. The Flavors are vanilla, toffee, chocolate, honey,
and elaichi (cardamom) and latest offering of Horlicks is Kesar Badaam.

13. SWOT Analysis
Strength:
By utilizing buyer taking in procedure Horlicks India has
accomplished more than half of the piece of the overall
industry.
Threats:
Contenders like Boost, Borunvita are the greatest danger
to Horlicks.

14. Conclusion
Horlicks has achieved so much more by consumer
learning. And now Horlicks Wizkids Event has motivated
the people towards Horlicks products. In Horlicks India, it
seems that the process of consumer learning is working
effectively.