The document discusses perspectives on consumer behavior and how consumers make decisions. It outlines different types of consumers and factors that influence decision making, such as social and cultural factors. It also describes models of how consumers respond to marketing communications messages and the stages they go through in the decision process, from problem recognition to post-purchase evaluation. Key models discussed include the hierarchy of effects, elaboration likelihood model, and the three paths to brand decisions.

1. Advertising Management Lecture 4: Perspectives on Consumer Behavior

4. All Consumers Are Human Affected By: Sociocultural Factors Social Class Reference Groups

6. Factors that Affect Decision-Making (Social class) Poor, unemployed Lower The “working poor”, who perform unskilled labor and menial work for minimal wages Upper lower Lower-middle class or blue-collar workers who earn an average pay Working class Professionals, small-business owners, corporate managers with comfortable incomes Middle Professionals & businesspeople who have achieved financial success Upper (2% of pop) The highest class, “old rich”, well-known families Upper, upper (1% of pop)

8. Reference Group Categories Counterculture, gangs, antisocial people Disassociative Famous Entertainers, athletes, politicians Aspirational Opinion leaders, consultant, leading professionals Experts Clubs, churches, schools Membership Family, friends, co-workers Personal

10. Maslow’s Hierarchy of Needs Marketing & IMC Implications Needs Survival necessities, utilities, medicines, basic food products Physiological: water, sleep, food, shelter Insurance, alarm systems, cavity protection, retirement, investments Safety: security, shelter, protection, order, discipline Lifestyle products, clothing, grooming aids, restaurants, and clubs Belongingness: love, friendship, acceptance Status appeal of cars, furniture, upscale electronics, country clubs, liquor, first class Esteem: prestige, status, accomplishment, respect, recognition Promote the enriching experience of travel, education, hobbies Self-actualization: self-fulfillment, creative expression

16. Elaboration Likelihood Model Peripheral route process is based on such message factors as imagery, emotions, associations, celebrity spokespeople & music which creates interest in a message even if there is little interest in the product itself. Peripheral Route Central Route BRAND DECISION High involvement: cognitive analysis of brand features and benefits Low involvement: Emotional analysis of situation & feelings

17. How Brand Decision Making Works Problems And Opportunities Post- Purchase Evaluation and learning Cognitive Path (central processing) Emotional Path (peripheral processing) Habit/Repeat Path Search for Information Evaluate Choices Evaluate feelings and experiences Habit and loyalty Purchase or take some other action Step 1 Step 2 Evaluation of Brand Alternatives Step 3 Step 4

21. Three paths to a brand decision B2B supplies, routine purchases, repeat purchases leading to brand loyalty Do / think /feel Habit/repeat processing Snacks, beverages, cigarettes, small household items / Restaurants, sporting events, trade shows, new products where sampling & demo are impt. Do / feel / think and Feel / do / think Experiential processing; impulse, experiences Car, major appliances, high-involvement and new products Think / feel / do Cognitive processing Products Route Type of decision making