Consumer Behavior

Consumer behavior can be defined as the decision-

making process and physical activity involved in
acquiring, evaluating, using and disposing of goods
American Marketing Association (AMA) defines “The behavior of the consumer or decision maker in
the market place of products and services. It often is used to describe the interdisciplinary field of
scientific study that attempts to understand and describe such behavior
Schiffman defines consumer buying
behavior as “the behavior that
consumers
display in searching for, purchasing,
using, evaluating, and disposing of
products
Consumer behavior is the study of when, why, how and where people do or
do not buy a product.
To understand customer behavior, marketing experts usually examine the
buying decision processes, particularly factors that trigger customers to
Types of Consumers
Consumer
Customer
Institutional buyer
Buyer
STP Process
 Segmentation

According to Philip Kotler- Segmentation is the process of subdividing the customers into
homogenous subset of customers.
 Targeting

An organization’s proactive selection of a suitable market segment (or segments) with the intention of
heavily focusing the firm’s marketing offers and activities towards this group of related consumers.
Characteristic of segmentation

Identifiable
Substantial
Accessible
Stable
Differentiable
Targeting

Determine which of those segments are most

likely to generate desired conversions
 Positioning

Positioning is the target market’s perception of the product’s key benefits and features, relative to
the offerings of competitive products.
Bases of Segmentation
u
Unit 2 – Consumer Behavior Models
Consumer Decision Making Process
ognitive Decision making proces

The cognitive model helps individuals to focus on the processes through which they can get
information about selected brands. In the framework of cognitive view, the consumer very actively
searches for such products or services that can fulfill all their requirements.
 Habitual Decision
Making

Consumer decision making or problem solving requiring only minimal search for, and evaluation of,
alternatives before purchasing. Also referred to as Automatic Response Behavior, Routine Response
Behavior and Routinised Problem Solving
 Affective Buying
Behavior

Affective decision-making is emotional and instantaneous. A consumer could pass in front of a pizza
place and associate pepperoni pizza with happiness and purchase a slice to fulfill that emotion
Steps in Cognitive Decision-Making
Process
 Need Recognition

Result of the imbalance between present state

and the preferred state
External Stimuli:
Sight, smell, taste, tou

Internal stimuli:
Hunger
 Information Search
Internal information search: Memory
External information search: Seek information from outside
sources (Marketing controlled and Non-marketing controlled)
Family, Friends, Neighbors
Ads, Websites, Sales managers,
Dealers
Mass media
Evaluation of Alternatives
Determine the criteria to be used for evaluation of
products
Assess the relative importance of each criteria
Evaluate each alternative based on the identified
criteria
Evoked Set

Inept set

Inert set
Purchase Decision
Trial Purchase
Repeat Purchase
Long term commitment purchase
Post Purchase Behavior
 Post purchase behavior gives rise to cognitive
dissonance
Did I make a good decision
Did I buy the right product
Did I get a good value
Models of Consumer
Behavior
 Economic Model

In this model, consumers follow the principle of maximum utility based on the law of diminishing
marginal utility. The consumer wants to spend the minimum amount for maximizing his gains.
Economic man model is based on:
Price effect: Lesser the price of the product, more will be the quantity purchased.
Substitution effect: Lesser the price of the substitute product, lesser will be the utility of the original
product bought.
Income effect: When more income is earned, or more money is available, more will be the quantity
purchased.
This model, according to behavioral scientists, is not complete as it assumes the homogeneity of the
market, similarity of buyer behavior and concentrates only on the product or price. It ignores all the
other aspects such as perception, motivation, learning, attitudes, personality and socio-cultural
factors. It is important to have a multi-disciplinary approach, as human beings are complex entities
and are influenced by external and internal factors discussed. Thus, price is not the only factor
influencing decision-making and the economic model according to scientists have shortcomings.
 Economic Model-Basic Assumptions

Individual needs are unlimited

Individual needs cannot be fully satisfied
Individual is completely aware of his needs
Individual is a rational buyer
Individual has the perfect information about the utility of
products available in the market
The utility of a product or service gets reduced with each
subsequent purchase
Price of goods are the sole sacrifice involved in obtaining a
product or service
Market is a collection of homogeneous individuals
Psychoanalytical Model of Consumer
Behavior
Psychoanalytic theory is attributed to the work of eminent
psychologist Sigmund Freud.
Introduced personality as a motivating force in human
behavior .

This model is concerned with personality and says that human behavior to a great extent is directed by a complex
set of deep-seated motives. Individual consumers have deep-rooted motives, both conscious and
unconscious, that drive them to make a purchase. These motives can be hidden fears,
suppressed desires, or personal longings.
Mental framework of a human being is composed of three
elements The Id • The Superego • The Ego
Id is what an individual is born with. Instincts
Super-ego are formed out of the values. Morality
Ego acts as a balance between the Id and the Super-ego. Reality
Id:
Innate desires, Pleasure seeking, Aggression, Sexual
impulse
Super ego:
Moral, Ethical values, Parental
Mature, Adaptive
Behavior
All the behaviors cannot be attributed to satisfaction of Id.
This model views consumers as individuals with minimal influence of the family, society, reference groups, or other social and
group influences. Values of individual are liable to change over a period of time through changes created in perception, learning,
attitude building which this model ignores.
Sociological Model
• As per this model, an individual buyer is a part of the
institution called society, gets influenced by it and in turn,
also influences it in its path of development.

• The interactions with all the set of society leave some

impressions on him and may play a role in influencing his
buying behavior.

• The marketers, through a process of market segmentation

can work out on the common behavior patterns of a specific
class and group of buyers and try to influence their buying
pattern.
• Family, friends and close associates exert the maximum
influence.

• Opinion Leader influences the life-style and buying behavior

of an individual.
Social groups can be classified into two groups:
Primary: The primary group includes family members, friends,
and coworkers.
Secondary :The secondary Group consists of any members of
the society, who can directly or indirectly influence the
consumers.
Sociological Models ignores the effect of
Perception
Attitude
Motivation
Personality
Learning Process, Social Class, Culture
Contemporary models of Consumer Behavior
Howard Sheth model

Nicosia Model

Engel, Blackwell and Minard model

Howard Sheth Model
Three Levels of Decision Making : Extensive Problem solving, Limited problem solving, Habitual response behavior
Significative stimuli are those
actual elements of brands which
the buyer confronts
Symbolic stimuli are those which are used by marketers to represent their products in a symbolic form
Perceptual Constructs include:
Sensitivity to information: the degree to which the buyer regulates the stimulus information
flow.
Perceptual bias: refers to distorting or altering information
Search for information: it involves actively seeking information on the brands or their
characteristics.
The buyer’s learning constructs can be defined as:

Motives are general or specific goals driving action.

Brand potential of the evoked set refer to the buyer’s perception on the ability of brands in his or
her evoked set to satisfy his or her goals.
Decision mediators are based on the motives. The buyer will have certain mental rules for
matching and ranking the purchase alternatives.
Predisposition refers to a preference towards brand in the evoked set which expresses an attitude
towards them.
Inhibitors refers to environmental forces like price and time pressure which may inhibit or put
restrain on the purchase of a preferred brand.
Satisfaction the extent to which, post actual purchase will measure up to the buyer’s expectation
of it.
Output variables:
These are which buyer’s observable responses to stimulus inputs. They appear in the sequence
as below:
Attention: Based on the importance of the buyer’s information intake.
Comprehension: the store of information the buyer has about the brand.
Attitude: the buyer’s evaluation of the particular brand's potential to satisfy his or her motives.
 Intention: the brand which the buyer intends to buy.
Purchase behavior: the act of actually purchasing, which reflects the buyer’s predisposition to
buy as modified by any of the inhibitors.
Nicosia Model
Nicosia Model of Consumer Behavior was
developed in 1966, by Professor Francesco M.
Nicosia, an expert in consumer motivation and
behavior. This model focuses on the relationship
between the firm and its potential consumers.
1) Firms marketing
environment and
communication efforts
2) Competitive environment
3) Consumer
Characteristics
Engel, Kollat and Blackwell (EKB) Model:
The Engel Kollat Blackwell Model is a consumer behavior model of the cognitive process that helps to
predict what customers are going to buy. The model consists of three different categories, namely:
Present Situation – this is where the customer is at the current moment, Desired State – this is
where the customer wants to be in the future and it will help them achieve their goals, and Pathway
for Movement from one state to another – this includes various steps that may include various
products or services which can help move towards their desired state.
Limitations: Does not explicitly define a cause-and-effect relationship, only correlation. If one is to propose a causal link
between consumption and media usage, then further investigation can be performed by studying time-series data from lifestyle
surveys or market research sources.
The model emphasizes material aspects such as price and quality. These things are not applicable in every society and are also
not suitable for most marketing strategies.
 Security, efficiency, productivity
Popular in high tech industry.
Symbolizes cleanliness, openness
and relaxation.
Works for cleaning and personal care products
Cleanliness, freshness and renewal.
Environment friendly but overused.
Works well for recycled products and
for brands associated with
Health and wellness.
 Sunny, warmth and cheerful
Wellbeing,. Intellect
and Wisdom. Works well for
products associated with sports
 Classic and strong.
Conveys power, luxury
and sophistication and
authority. Used to market cars,
Electronics and high end hotels
 Girly color associated with
Frilliness and warmth
Considered soft, peaceful and comforting
Works well for personal care and
Baby care products
 Adventure and fun
Attention grabber like red
but less aggressive than red
Conveys value and discounts
Associated with young
and stylish youths
 Strong, earthy color that
connotes honesty and
dependable. Favorite of men.
Rich and solid.
 Purity and cleanliness.
Used as a background.
Used for organic foods and personal care
Products. Symbolizes innovation
and modernity.
 Nobility and wealth
Powerful color for luxury brands
Multi Colored
Aamaletiya stavin crata pile
pila,
Aamaletiya merlucchiya pile
pila,
Inlorpotamanta tora tut tut tiya,
Less so less in nina amichiya
strala,
Aamaletiya stavin crata pile pila
–4
The differential threshold (JND) 160
• The minimal difference that can be detected between 2 similar
stimuli is called the differential threshold or the just noticeable
difference (JND).
• The JND between the 2 stimuli not an absolute amount but
rather an amount relative to the intensity of the first stimulus.
• Weber’s law states that “the stronger the initial stimulus, the
greater the additional intensity needed for the second stimulus
to be perceived as different.”
 161

In 2018, an 80-gram Parle-G

biscuit packet, which cost Rs
5, was reduced to 76 gram

• Suppose a car costs Rs. 8 lakhs. If you raise

the price by Rs. 500, it may fall below JND.

• For Grocery costing Rs. 100, If you give a

discount of Rs. 20, it will fall above JND.
Melanie P. Dsouza
 How we see the world
around us

Perception 162
Selection of stimuli

Organization of stimuli

Interpretation of stimuli

Form a coherent picture of the

world
 163

Perception is important for

Melanie P. Dsouza
positioning/brand perception and
Inputs for perception
164
Perception is a result of two different
kinds of inputs that interact with each
other:

Physical stimuli from the outside

environment

The individual’s expectations, motives, and

what they have learned from previous
experiences
 Perception and sensory input
Stimulus
Sensation
Sensory inputs. Products,
The immediate and direct packages, brand names,
response of the sensory advertisements, etc. Any
organs to stimuli. unit of input to any of the
senses.

The experience of
sensation that varies with
The human organs that
the quality of an
receive sensory inputs.
individual’s sensory
Their sensory functions
receptors, and the Human
are to see, hear, smell,
amount or intensity of
taste, and touch. sensory
Sensory stimuli that he/she is
receptors
exposed to. sensitivit
165 y
Weber’s law’s applications in marketing 166
• Manufacturers and marketers endeavour to determine the relevant
JNDs for their products for 2 reasons:
1. They want to prevent changes (e.g., reductions in product size or
quality or increases in product price) from becoming readily
discernible to the public (i.e., remaining below JND).
2. They want to ensure that product improvements (e.g., improved or
updated packaging, larger size, or lower price) are very apparent to
consumers without being wastefully extravagant (i.e., they are at
or just above the JND).
• Product and pricing decisions: Packaging, product line management,
product improvements, change in logo, price

Melanie P. Dsouza
JND is useful for managing a product line of brands when several price points and
segments are involved.

167

Melanie P. Dsouza
 Impact of senses on perception
168
SIGHT

• Brand • Jingles • People • 5 known • Culture

TASTE

TOUCH
SCENT
SOUND
colours • Music in associate fundamental dependent
• Store hotels, memories tastes • Personal
layouts restaurants, with smell • Salty preference
• Website spas • Coffee • Sweet for being
designs • Music in aroma • Sour touched
• Design of retail outlets • Bakery • Bitter • Could be
products • Music on aroma • Umami used as a
inside clear social media • Ambient (taste of persuasive
packages posts scent in a stock) tool
• e.g. fruit • Absence of retail • e.g. Food • Important to
pieces in sound environment and drinks feel the
yogurt • Volume • e.g. product
variation in cleaning before
ads products purchase
• Different • e.g.
playlists handshake
• E.g. P&G of a
salesperson

Melanie P. Dsouza
Perceptual selection

• Consumers are very selective

when exposed to stimuli.
• Which stimuli get selected
depends on 3 factors:
1. The stimulus itself
2. Consumer’s previous
experience as it affects their
expectations
3. Their motives at the time

Melanie P. Dsouza 169

Perceptual selection

• Selective exposure: tune into

messages that they find pleasant, and
avoid painful ones. E.g., You want to
buy an ipad, you’ll tune into ads that
reassure you that it’s the best tab
• Selective attention: heightened
awareness of stimuli that meet their
needs and interests
• Perceptual defence: subconsciously
screen out stimuli that they find
psychologically threatening, even
though exposure has already taken
place.

170
 Anthropomorphism 171

Anthropomorphis Attributing
om of brands – human
Brand characteristics to
personification something that is
not human

Melanie P. Dsouza
Brand
anthropomorphi
sm

Melanie P. Dsouza 172

Melanie P. Dsouza 173
Melanie P. Dsouza 174
 175

Melanie P. Dsouza
Perceptual organization
How different stimuli are organized together to create a perception w.r.t.
a brand

FIGURE AND GROUPING CLOSURE INTERPRETATI

GROUND ON

Melanie P. Dsouza 176

Figure and ground 177
• An element of perception that describes the interrelationship
between the stimulus itself (i.e., figure) and the environment or
context within which it appears (i.e., ground).
• Stimuli that contrast with their environment is more likely to be
noticed.
Figure and ground 178

• Advertisers have to put ads together carefully to make sure that

the stimulus they want noted is seen as figure and not as ground.
• The musical background must not overwhelm the jingle; the
background of an ad must not distract attention from the product.
• Product placement: takes place when the advertised product (i.e.
the figure) is deliberately integrated into the films/ other
entertainment content (i.e. the ground).
Closure

Closure, in simple terms is

the tendency with respect
to the individual to
involuntarily complete
stimuli if a part of the
stimuli is sensed by him.

179
Closure 180

• If the name is Barack Obama, for example. Every time

somebody hears Barack, there will be a tendency to
complete it as Barack Obama.
• A popular brand like Kellogg, which is very popular with
consumers, could automatically generate associations.
• Every time he hears the jingle, even without the visual, in
his need for completion, the customer mentally plays back
the ad’s visual content from memory
Grouping 181

• Refers to people’s instinctive tendency to group stimuli together so

that they become a unified picture or impression.
• The perception of stimuli as groups or chunks of information rather
than as discrete bits of information facilitates memory and recall.
• Involves grouping different kinds of associations to ensure the
brands’ associations are well-formed in the minds of the consumer.
• The challenge for the marketer is to ensure what kinds of
associations would be suitable to ensure that appropriate grouping
takes place so that the brand’s associations are distinct in the minds
of the consumer.
Grouping
Interpretation

• Based on individual processes

• How do we interpret the
stimuli? Essentially, a brand
needs to ensure that the
consumer knows the category
with which it competes and
how it differentiates itself.
Individual factors influencing consumer behavior
Nature and power of attitude

Attitude is lasting general evaluation of people,

Objects, advertisements or issues.
Positive attitude gives us pleasure and negative What we think that attitude says about us
Attitude gives us pain
• Utilitarian Function of Attitudes: Consumers use attitudes
as ways to maximize rewards and minimize punishment. In
other words, purchasing something because it brings forth
a specific benefit is one example. Another example would
be, baseball fans are more prone to purchase and wear
their favorite sports team apparel because they are better
able to fit in within society and also connect with others.
• Knowledge Function of Attitudes: Attitudes allow consumers
to simplify decision-making processes. In other words,
consumer attitudes help avoid undesirable situations and
approach more desirable situations. When consumers are
brand loyal to a company it assists them to simplify the
decision making process. For example, if an individual
needs new tires for their car because the ones on it now do
not perform well and are cheap, the next set of tires will be
of better quality and the decision will be much simpler;
being that any cheaper brand of tires will be automatically
disqualified
• Value expressive function of Attitudes allow consumers to
express their core values, self-concept, and beliefs to
others. in other words, the positive expression and type of
individual a consumer perceives themselves to be and the
value that they hold. So if you are the type of person that
values and supports a cure for children developed cancer,
you might wear a St. Jude children research hospital
supporting T-shirt
• Ego-Defensive Function: Attitudes work as defense
mechanism for consumers. What it is is that consumers are
enabled to protect themselves in a way, from their low-self
concept. For example, smokers are more likely to ignore the
fact that smoking is bad for their health as to continue
doing it.
• Companies such as Marlboro or Camel Would benefit from
such attitudes in a variety of different ways. For example,
the more low-self concept individuals they are able to
target the more business they can generate. However, this
is seen as unethical.
 Hierarchy of effects

The hierarchy of effects model is a model which tells advertisers to make an advertisement in such a way that the
customer goes through all these six stages namely awareness, knowledge, liking, preference, conviction and
purchase.
It influences the consumers decision to purchase or not purchase.
It represents a progression of learning and decision making consumers experience as results of ads.
 Thoughts, beliefs, ideas

Feelings and emotions

Affect of attitude on behavior

https://slideplayer.com/slide/6982509/
Cognitive:
Knowledge and Perceptions
Affective:
Global assessment attitude towards the object.
The attitude might be positive negative or neutral.

How the product makes you feel.

Association
Interaction
Conative

• Certain behavior towards the attitude object.

• Predisposition to act in a certain behavior.
• The model says why people hold certain attitudes towards a
product, service or brand which is an important determinant of
predicting their behavior.
• Components of the Model
• Attitude Towards an Object: Fishbein Model concept focuses on
“attitude,” which can be defined as a person’s overall
evaluation or judgment of an object, such as a product, brand,
or service. This evaluation can range from positive to negative
and influences an individual’s likelihood to engage in behaviors
related to that object, such as purchasing, recommending, or
using it.
• Beliefs about the Object’s Attributes: The Fishbein Model
identifies that attitudes are formed based on an individual’s
beliefs about the attributes or characteristics of the object
in question. These beliefs are the factual pieces of
information and perceptions that consumers hold. For
instance, when considering a smartphone, beliefs might
encompass features like camera quality, battery life,
operating system, and design aesthetics.
• Evaluation of the Attributes: Once beliefs about an object’s
attributes are established, individuals evaluate these
attributes to determine their importance and desirability.
These evaluations are inherently subjective, influenced by
personal values, cultural context, past experiences, and
societal norms. For instance, a consumer might evaluate a
smartphone’s camera quality as very important due to their
interest in photography, whereas someone else might
prioritize battery life for business purposes.
• The Weighting of Attributes’ Importance: The Fishbein
Model recognizes that not all attributes carry equal
importance in influencing attitudes. Some attributes may
hold more sway over an individual’s overall evaluation than
others. To account for this, the model incorporates a
weighting mechanism, where each attribute is assigned a
specific importance weight based on how crucial it is to the
individual’s evaluation. These weights are personalized, as
different people might prioritize attributes differently.
 Persuasive Communication

In order to create persuasive communications, the sponsor (who may be person, a for-profit company,
or a not-for-profit group) must first establish the objectives of the communication, then select the
appropriate audience for the message and the appropriate media through which to reach them, and
then design (encode) the message in a manner that is appropriate to each medium and to each
audience. The communications strategy should also include a prior feedback mechanism that alerts the
sponsor to any need for modifications or adjustments to the media or the message.
communications strategy

In developing its communications strategy, the sponsor must establish the primary
communications objectives. These might consist of creating awareness of a service,
promoting sales of a product, encouraging (or discouraging) certain practices, attracting
retail patronage, reducing post purchase dissonance, creating goodwill or a favorable
image, or any combination of these and other communications objectives.

There are numerous models claiming to depict how persuasive communications work.
The cognitive models depict a process in which exposure to a message leads to interest
and desire for the product and ultimately to buying behavior. For many decades, this
general model had been widely adopted by advertisements.
“NOT EVERYONE CAN CLIMB THESE STAIRS.
KIDS ARE ADVISED TO STAY ON THE
GROUND !!!”
Target audience

An essential component of a communications strategy is selecting the

appropriate audience. It is important to remember that an audience is made up of
individuals-in many cases, great numbers of individuals. Because each individual
has his or her own traits, characteristics, interests, needs, experience and
knowledge, it is essential for the sender to segment the audience into groups that
are homogeneous in terms of some relevant characteristic. Segmentation
enables the sender to create specific messages for each target group and to run
them in specific media that are seen, heard, or read by the relevant target group.
It is unlikely that a marketer could develop a single message that would appeal
simultaneously to its total audience. Efforts to use “universal” appeals phrased in
simple language that everyone can understand invariably result in unsuccessful
advertisements to which few people relate.

Companies that have many diverse audiences sometimes find it useful to develop
a communications strategy that consists of an overall communications message
to all their audiences, from which they spin off a series of related messages
targeted directly to the specific interests of individual segments. In addition, to
maintain positive communications with all of their publics, most large
organizations have public relations departments or employ public relations
consultants to broadcast favorable information about the company and to
Media strategy

Media strategy is an essential component of a communications plan. It calls for

the placement of ads in the specific media read, viewed or heard by each
targeted audience. To accomplish this, advertisers develop, through research, a
customer profile of their target customers that includes the specific media they
read or watch. Media organizations regularly research their own audiences in
order to develop descriptive audience profiles. A cost effective media choice is
one that closely matches the advertiser’s consumer profile to a medium’s
audience profile.

The Web is the newest advertising medium, and using it to communicate

effectively with customers still represents a challenge to marketers. A recent
study identified three groups of factors that marketers should consider when
building a Web site:
1.providing information search tools such as easy site navigation, complete
product information and ability to customize the content
2.incorporating designs that enhance the enjoyment of the site’s users
3.Providing tools that support the transaction such as security ease of entering
the information and quick response time.
Table compares the potential persuasive impact of major advertising media along
the dimensions of targeting precision, constructing a persuasive message, degree
Message strategies

The message is the thought, idea, attitude, image, or other information that the
sender wishes to convey to the intended audience. In trying to encode the
message in a form that will enable the audience to understand its precise
meaning, the sender must know exactly what he or she is trying to say and why.
The sender must also know the target audiences personal characteristics in terms
of education, interests, needs and experience. The sender must then design a
message strategy through words and/or pictures that will be perceived and
accurately interpreted by the target audience. One study developed a list of
messages elements designed to appeal to three personality types
1.Righteous buyer: who looks to recommendations from the independent sources
such as consumer reports?
2.Social buyer: who relies on the recommendations of friends on celebrity
endorsements and testimonials?
3.Pragmatic buyer: who looks for the best value for the money, though not
necessarily the least expensive?
Message structure presentation

Some of the decision that marketers must make in designing the message include the use of
resonance, positive or negative message framing, one-sided or two-sided messages,
comparative advertising, and the order of presentation.

Resonance
Advertising resonance is defined as wordplay, often used to create a double meaning used in
combination with a relevant picture. By using the resonance in ads marketers can improve the
chances that their ads will be noticed by the consumers and create favorable and lasting
impressions.

Message framing
Should a marketer stress the benefits to be gained by using a specific product (positive
message framing) or the benefits to be lost by not using the product (Negative message
framing)? Research suggests that the appropriate message framing decision depends on the
consumer’s attitudes and characteristics as well as the product itself.
One sided versus two sided messages
Should marketers tell their audience only the good points about their products or
should they also tell them the bad (or the commonplace)? Should they pretend
that their products are only ones of their kinds, or should they acknowledge
competing products? These are very real strategy questions that marketers face
every day, and the answers depend on the nature of the competition face every
day, and the answers depend on the nature of the competition. However, when
competition does exist and when it is likely to be vocal, such advertisers tend to
loose credibility with the consumer.
It the audience is friendly (eg: if it uses the advertisers products), if it initially
favors the communicators position, or if it is not likely to hear an opposing
argument, then one-sided(supportive)message that stresses only favorable
information is most affective. However, if the audience is critical or unfriendly
(e.g., if it uses competitive products).if is well educated, or if it is likely to hear
opposing claims, then a two-sided(refutational) message is likely to be more
effective. Two sided advertising messages tend to be more credible than one
sided advertising messages because they acknowledge that the advertised brand
had shortcomings. Two sided messages can also be very effective when
consumers are likely to see competitor’s negative counter claims or when
Comparative Advertising.
Comparative advertising is a widely used marketing strategy
in which a marketer claims product superiority for its brand
over one or more explicitly named or implicitly identified
competitors, either on an overall basis or on selected product
attributes. Comparative advertising is useful for product
positioning, for target market selection, and for brand-
positioning strategies.
• Order Effects.
• It is best to produce a commercial first or last? Should you
give the bad news first or last? Communication researchers
have found that the order in which a message is presented
affects audience receptivity. For this reason, politicians and
other professional communicators often jockey for position
when they address an audience sequentially; they are
aware that the first and the last speeches are more likely to
be retained in the audience memory than those in
between.
• Fear appeals:
• Fear is an emotional response to some actual or perceived threat or danger.
Advertisers use fear appeals in some situations to evoke the desired
emotional response and motivate audience to take steps to remove the treat.
Some people humorously call these as ‘slice-of-death’ ads. Toothpaste,
deodorants, helmets, anti-dandruff shampoos, life insurance and a large
number of other products and services use fear appeals.
• In some situations, it appears to be quite reasonable for advertisers to
consider using fear with explicit purpose of persuading the audience to elicit
a favorable response. Fear is a powerful motivator, but only up to a point. Ad
messages using fear appeals have been used to promote social causes as
well, such as wearing helmets while driving two-wheelers autos, safe driving,
paying taxes, the dread of drugs, dangers of smoking and AIDS, etc.
Advertising appeals
Sometimes objective, factual appeals are more effective in persuading
a target audience; at other times emotional appeals are more
effective. It depends on the kind of audience to be reached and their
degree of involvement in the products category. In general, however,
logical, reason-why appeals are more effective in persuading educated
audiences and emotional appeals are more effective in persuading
less-educated consumers. The following section examines the
effectiveness of several frequently used emotional appeals.
• Humor appeals
• Humor generates feelings of amusement and pleasure and,
for this reason it has a potential for the feeling to become
associated with the brand and affect consumer attitudes
towards the brand and probably its image. Humor can also
affect information processing by attracting attention,
improving brand name recall, creating pleasant mood and
reducing the chances of counter-arguing.
Sensual advertising
In our highly permissive society, sensual advertising seems to permeate the print
media and the airwaves. Advertisers are increasingly trying to provoke attention
with suggestive illustrations, crude language, and nudity in their efforts to appear
‘hip’ and contemporary. In today’s advertising, there is a lot of explicit and daring
sexual imagery, extending far beyond the traditional product categories of fashion
and fragrance into such categories as shampoo, beer, cars and home construction.
Abrasive Advertising
How effective can unpleasant or annoying ads are? The memory of an
unpleasant commercial that antagonizes listeners or viewers may
dissipate over time, leaving only the brand name in the minds of
consumers.
All of us have at one time or another been repelled by so called agony
commercials, which depict in diagrammatic detail the internal and
intestinal effects of heartburn, indigestion, clogged sinus cavities,
hammer induced headaches, and the like.
Pharmaceutical companies often run such commercials with great
success that are not visible and thus elicit little sympathy from family and
friends.
Audience Participation

The provision of feedback changes the communication process from

one way to two way communication. This is important to senders
because it enables them to determine whether and how well
communication has taken place. But feedback also is important to
receivers because it enables them to participate, to be involved, to
experience in some way the message itself. Participation by the
receiver reinforces the message. An experienced communicator asks
questions and opinions of an audience to draw them into the discussion.
4900 prod unit, 932 porter shops, 567 leather industries, 722 recycling, 111 restaurants, thousands of botiques
Learning
• Customer: The Mac is too expensive.
• Apple Employee: I can see how you'd feel this way.
I felt the price was a little high, but I found it's a real value
because of all the built-in software and capabilities.
Behavioral Learning
Cognitive learning
External Factors Effecting Consumer Behaviour
The three components of culture-beliefs, values, and customs-are each somewhat different. A
belief is a proposition that reflects a person's particular knowledge and assessment of something
(that is, "I believe that..."). Values are general statements that guide behavior and influence
beliefs. The function of a value system is to help a person choose between alternatives in everyday
life.

Customs are overt modes of behavior that constitute culturally approved ways of behaving in
specific situations.
Complex Buying
behavior
Expensive product
Consumer is unaware
Develop belief attitude
Inform
Compare
Personnel selling
Variety seeking
Consumer switch
brands
Evaluation
Dominate advertisement
Sales Promotion
Dissonance reducing
Highly Involved
Expensive product
Consumer acts fast
 Information
Psychological Temptation
Availability
Fast Delivery
Habituate
Free Trial
Habitual Buying
Behavior
Purchase out of habit
Do not go for exhaustive sea
Familiarity and conviction
Advertise
Sales promotion
Availability
Competitive Pricing
Horrible Fact about KFC:
KFC has been a part of American traditions for many years. Many people,
day in and day out, eat at KFC religiously. Do they really know what they
are eating? During a recent study of KFC done at the University of New
Hampshire, they found some very upsetting facts. First of all, has
anybody noticed that just recently, the company has changed their
name?

Kentucky Fried Chicken has become KFC. Does anybody know why? We
thought the real reason was because of the "FRIED" food issue.

IT'S NOT!!
The reason why they call it KFC is because they can not use the word
chicken anymore. Why? KFC does not use real chickens. They actually
use genetically manipulated organisms. These so called "chickens" are
kept alive by tubes inserted into their bodies to pump blood and nutrients
throughout their structure. They have no beaks, no feathers, and no feet.
Their bone structure is dramatically shrunk to get more meat out of
them. This is great for KFC.

Because they do not have to pay so much for their production costs.
There is no more plucking of the feathers or the removal of the beaks and
feet. The government has told them to change all of their menus so they
do not say chicken anywhere. If you look closely you will notice this.
Listen to their commercials, I guarantee you will not see or hear the word
To understand customer behavior, marketing experts usually examine the buying decision processes,
particularly factors that trigger customers to purchase a product.