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Consumer Learning
Prof: Hari Iyer
Objective
This presentation is to understand how the consumer learns and how the learning
process determines our marketing strategy.
Consumer Behaviour
A consumer is a human being who walks, talks, breathes, laughs, sings, dances, etc.
The way in which he/she does all that is called Behaviour.
If we can understand the Consumer Behaviour we would be in a better state to make our
decisions in business.
Behaviour
Reflexes
Responses
These components of behaviour are triggered by stimulus
Relevance
Classical Conditioning
HelloHello
Hello
Hello
Hello
Hello
HEllo
Hello
HeyyY!! I Love
You <3
Strategy
• Repetition
• Stimulus Generalisation
• Stimulus Diffrentiation
Stimulus Generalization and Marketing
• Product Line, Form and Category Extensions
• Family Branding
• Licensing
The ability to
select a specific
stimulus from
among similar
stimuli because of
perceived
differences.
Stimulus
Discrimination
Positioning Differentiation
Instrument (Operant)
Conditioning
A behavioral theory of learning based on a trial-and-error process, with habits
forced as the result of positive experiences (reinforcement) resulting from certain
responses or behaviors.
A Model of Instrumental Conditioning
Stimulus
Situation
(Need good-
looking jeans)
Try
Brand D
Try
Brand C
Try
Brand B
Try
Brand A
Unrewarded
Legs too tight
Unrewarded
Tight in seat
Unrewarded
Baggy in seat
Reward
Perfect fit
Repeat Behavior
Instrumental Conditioning
• Consumers learn by means of trial and error process in which some
purchase behaviors result in more favorable outcomes (rewards) than
other purchase behaviors.
• A favorable experience is instrumental in teaching the individual to
repeat a specific behavior.
Instrumental Conditioning and Marketing
• Customer Satisfaction (Reinforcement)
• Reinforcement Schedules
• Shaping
Reinforcement
Positive Reinforcement
• Positive outcomes that
strengthen the likelihood of a
specific response
• Example: Ad showing beautiful
hair as a reinforcement to buy
shampoo
Negative Reinforcement
• Unpleasant or negative
outcomes that serve to
encourage a specific behavior
• Example: Ad showing wrinkled
skin as reinforcement to buy skin
cream
Instrument (Operant) Conditioning
Other Concepts in Reinforcement
• Punishment
• Choose reinforcement rather than punishment
• Extinction
• Combat with consumer satisfaction
• Forgetting
• Combat with repetition
Observational Learning
A process by which individuals observe the behavior of others, and consequences
of such behavior. Also known as modeling or vicarious learning.
Cognitive Learning Theory
• Holds that the kind of learning most characteristic of human beings is
problem solving, which enables individuals to gain some control over
their environment.
Models of Cognitive Learning
Sequential
Stages of
Processing
Promotional
Model
Tri-
competent
Model
Making
Model
Adoption
Model
Decision
Process
Attention Cognitive
Awareness
Knowledge
Awareness Knowledge
Interest
Desire
Affective Evaluation
Interest
Evaluation
Persuasion
Action Conative
Post
Purchase
Purchase
Evaluation
Trial
Adoption
Decision
Confirmation
Examples
• Cameras
• Mobiles
• Cars
Understanding the type of product
Depends on the type of the product & service
Low priced/ routine /habitual reminder advertisement periodic promotion
• Prominent shelf position
New products
• High advertising
• Free sampling
• Special price offer
• High value coupons
Low knowledge about the product
• Ads with detail info
• Sales personnel
Consumer learning
• Learning can be intentionally as well as unintentionally.
• A process by which individuals acquire the purchase and consumption
knowledge and experience that they apply to future related behavior
• Marketers must teach consumers:
• where to buy
• how to use
• how to maintain
• how to dispose of products
Elements of Learning Theories
• Unfilled needs lead to motivationMotivation
• Stimuli that direct motivesCues
• Consumer reaction to a drive or cueResponse
• Increases the likelihood that a response
will occur in the future as a result of a cueReinforcement
Measures of Consumer Learning
• Recognition and Recall Measures
• Aided and Unaided Recall
• Cognitive Responses to Advertising
• Copy testing Measures
• Attitudinal and Behavioral Measures of Brand Loyalty
Thank You
Rohan Bagda B005
Sahil Kyal B009
Mohit Sharma B012
Amrit Singh B015
Harsh Kumar Jhunjhunwala B017
Avishi Garg B032
Akul Singhal B040

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Consumer learning

  • 2. Objective This presentation is to understand how the consumer learns and how the learning process determines our marketing strategy.
  • 3. Consumer Behaviour A consumer is a human being who walks, talks, breathes, laughs, sings, dances, etc. The way in which he/she does all that is called Behaviour. If we can understand the Consumer Behaviour we would be in a better state to make our decisions in business.
  • 4. Behaviour Reflexes Responses These components of behaviour are triggered by stimulus
  • 5.
  • 6.
  • 7.
  • 8.
  • 9.
  • 10.
  • 12.
  • 15. Strategy • Repetition • Stimulus Generalisation • Stimulus Diffrentiation
  • 16. Stimulus Generalization and Marketing • Product Line, Form and Category Extensions • Family Branding • Licensing
  • 17. The ability to select a specific stimulus from among similar stimuli because of perceived differences. Stimulus Discrimination Positioning Differentiation
  • 18. Instrument (Operant) Conditioning A behavioral theory of learning based on a trial-and-error process, with habits forced as the result of positive experiences (reinforcement) resulting from certain responses or behaviors.
  • 19. A Model of Instrumental Conditioning Stimulus Situation (Need good- looking jeans) Try Brand D Try Brand C Try Brand B Try Brand A Unrewarded Legs too tight Unrewarded Tight in seat Unrewarded Baggy in seat Reward Perfect fit Repeat Behavior
  • 20. Instrumental Conditioning • Consumers learn by means of trial and error process in which some purchase behaviors result in more favorable outcomes (rewards) than other purchase behaviors. • A favorable experience is instrumental in teaching the individual to repeat a specific behavior.
  • 21. Instrumental Conditioning and Marketing • Customer Satisfaction (Reinforcement) • Reinforcement Schedules • Shaping
  • 22. Reinforcement Positive Reinforcement • Positive outcomes that strengthen the likelihood of a specific response • Example: Ad showing beautiful hair as a reinforcement to buy shampoo Negative Reinforcement • Unpleasant or negative outcomes that serve to encourage a specific behavior • Example: Ad showing wrinkled skin as reinforcement to buy skin cream
  • 24. Other Concepts in Reinforcement • Punishment • Choose reinforcement rather than punishment • Extinction • Combat with consumer satisfaction • Forgetting • Combat with repetition
  • 25.
  • 26. Observational Learning A process by which individuals observe the behavior of others, and consequences of such behavior. Also known as modeling or vicarious learning.
  • 27.
  • 28.
  • 29.
  • 30. Cognitive Learning Theory • Holds that the kind of learning most characteristic of human beings is problem solving, which enables individuals to gain some control over their environment.
  • 31.
  • 32. Models of Cognitive Learning Sequential Stages of Processing Promotional Model Tri- competent Model Making Model Adoption Model Decision Process Attention Cognitive Awareness Knowledge Awareness Knowledge Interest Desire Affective Evaluation Interest Evaluation Persuasion Action Conative Post Purchase Purchase Evaluation Trial Adoption Decision Confirmation
  • 34.
  • 35. Understanding the type of product Depends on the type of the product & service Low priced/ routine /habitual reminder advertisement periodic promotion • Prominent shelf position New products • High advertising • Free sampling • Special price offer • High value coupons Low knowledge about the product • Ads with detail info • Sales personnel
  • 36. Consumer learning • Learning can be intentionally as well as unintentionally. • A process by which individuals acquire the purchase and consumption knowledge and experience that they apply to future related behavior • Marketers must teach consumers: • where to buy • how to use • how to maintain • how to dispose of products
  • 37. Elements of Learning Theories • Unfilled needs lead to motivationMotivation • Stimuli that direct motivesCues • Consumer reaction to a drive or cueResponse • Increases the likelihood that a response will occur in the future as a result of a cueReinforcement
  • 38. Measures of Consumer Learning • Recognition and Recall Measures • Aided and Unaided Recall • Cognitive Responses to Advertising • Copy testing Measures • Attitudinal and Behavioral Measures of Brand Loyalty
  • 39. Thank You Rohan Bagda B005 Sahil Kyal B009 Mohit Sharma B012 Amrit Singh B015 Harsh Kumar Jhunjhunwala B017 Avishi Garg B032 Akul Singhal B040

Editor's Notes

  1. Motives Motivation is important because it will differ from one consumer to the next. We may all have a need, but some are more motivated to fulfill the need versus another . Cues Capable of providing direction i.e. it influences the manner in which, to respond to motive.e.g. hungry man is guided by restaurant signs or aroma of food. Response Mental or physical activity in reaction to a stimulus. Reinforcement Anything that follows the response and increase the tendency of response to reoccur in a similar situation.