cb individual determinants

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    Individual determinants of CB-Individual determinants of CB-PersonalityPersonality

    Understanding the nature of individualdifferences is a important building block inthe psychological foundation of humanbehaviour

    Personality produces life styles which in turnare closely related to social and cultural

    influences, standard of living and therebybuying behaviour.

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    PersonalityPersonality

    Personality is a totality of a persons makeup

    rather than focussing on specific actions in aparticular situation

    Segmenting markets on the basis ofpersonality traits is on the belief thatconsumers make purchase decisions thatreflect their personalities

    Advertising and marketing people have everytime targeted specific personalities

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    Meaning of personalityMeaning of personality

    Unique combination of factors in persons likeselfconfidence,dominance,autonomy,defence,sociability,defensiveness and adaptability

    Its defined as those inner psychologicalcharacteristics that both determine andreflect how a person responds to his or herenvironment

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    Nature of personalityNature of personality

    It is the essence of individual differences

    Its a unique combination of different individualcharacteristics

    Many individuals tend to be similar in one ortwo characteristics but they cannot be alike

    Personality thus helps a marketer to categorizepeople in to different groups on the basis ofsingle or few traits and also enable them to

    segment the market

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    Personality is consistent andPersonality is consistent andenduringenduring

    Personality is permanent and long termcharacter

    Marketers can learn which personality traits

    can influence consumer responses

    In spite of stable nature of personality CB may

    vary because of social,cultural,psychologicaland eviromental factors that affectbehaviour

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    Personality can changePersonality can change

    Unforeseen happenings like a major accidentdeath of a dear one

    A major career promotion or demotion

    Change in the status and structure of family

    Personality also change gradually in amaturing process.

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    Measuring personalityMeasuring personality

    Rating methods- Using standardised rating scales and one or

    more evaluators assessing the personalitycharecteristics

    Informal interview with the individualsconcerned and rating them

    Observation of the individuals behavior in adesigned setting or in own environment

    The success of this studies on the personalitycharecters chosen and skills of the evaluators

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    Situational testsSituational tests

    A situation is given to a particular group andpersons are allowed to interact with eachother,behaviour of each persons in the groupare observed and measured

    The next is stress test where an individual isput in to a pressure situation.His reacting tothe situation is assessed and rated.

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    MotivationMotivation

    The word motivation is derived from the latinword Movere which means to move

    Its a psychological concept that mobilises

    bodily energy and directs it in selectivefashion to goals in the external environment

    Garry dessior defines motivation as areflection of a persons desire to fulfillcertain needs

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    Types of motivationTypes of motivationPhysiological vs psychogenicPhysiological vs psychogenic

    Physiological motives are oriented towardssatisfying biological or physiological needs ofthe individual like hunger,thirst etc

    Psychogenic motives focus on the satisfactionof their psychological desires such as

    seeking achievements or status

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    Primary and selectivePrimary and selectivemotivesmotives

    A primary influence involves buying behaviuordirecting towards a generic product

    Selective influence guides choices betweenproducts or stores or models

    For eg: a individual decides to purchase a TV isa primary influence but to decide which model to

    buy is a selective influence

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    Conscious and unconsciousConscious and unconsciousmotivesmotives

    Conscious motives are ones the consumersare quite aware

    Unconscious motives influence consumersbut they are not aware of them

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    Rational vs emotional motivesRational vs emotional motives

    Rational motives are those where peoplebehave rationally in making purchasesconsidering all alternatives

    Emotional motives imply selection of goalsaccording to personal or subjective

    criteria like pride,status etc

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    Positive vs negative motivesPositive vs negative motives

    If they have positive influence onconsumers,they are positive motives and ifits a negative influence its a negativemotive

    Positive influences attract consumers towardsdesired goals while negative ones directthem away from desirable consequences

    Positive motives are needs,wants,desires etcwhereas negatives are fears or aversions

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    The role of motives in CBThe role of motives in CB

    Defining basic striving

    Motives influence consumers in identifyingtheir basic strivings

    Basic strivings include general goals such assafety,affiliation,achievements and otherstates which consumer seek to achieve

    To guide behaviour in a general way acrosswide variety of decisions and activities

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    Identifying goal objectsIdentifying goal objects

    Consumers think products and services as

    their goal objects and not as a means ofsatisfying their motives

    Identifying products and services as goalobjects is of great importance to marketersas they can be influenced

    The promotional efforts also will be targettedto these goal objects

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    Influencing choice criteriaInfluencing choice criteria

    Product features influence the consumerschoice criteria

    Marketers need to explain the product features

    to influence their choice

    Marketer also can inform consumers about a

    particular criteria and how well the productmeets the criteria

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    Directing other influencesDirecting other influences

    At a more fundamental level motives affect

    the individual determinants of perception,learning, personality, attitudes and howpeople process information

    It also results in directional influences onbehaviour eg:Motives influence informationprocess info processing and ultimately the

    inferences

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    Consumer perceptionConsumer perception

    Perception can be described as the processby which an individul selects, organizes andinterprets stimuli into a meaninful andcoherant picture of the world

    A motivated person works to the best of hisability,but how he actually acts dependsupon the perception of the situation

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    SensationSensation

    Its the immediate and and direct response ofthe sensory organs to simple stimuli like anadvertisement, a particular brand etc

    The absolute threshold is the lowest level atwhich an individual can experience asensation. Its a point which a person canunderstand the difference between

    something and nothing

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    Sensory adaptation andSensory adaptation anddifferential thresholddifferential threshold

    A marketer must understand the changerequired to create a sensation amongviewers.For eg:A commercial appears in the

    same time continously after some period oftime the viewers get used to it that they nolonger see it

    The differential threshold is the minimaldifference that can be detected betweentwo stimuli or the just noticeable difference

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    Marketing application of jndMarketing application of jnd

    Negative changes like price increase ,reducedquality etc and not discernable to the publicimmediately

    Product improvements are discernable toconsumers without being wastefully

    extravagant

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    Peceptual selectionPeceptual selection

    Consumers are by nature selective and theyunconsciously exercise a great deal ofselectivity as regards to different stimuli

    present in the environment

    In total people actually percieve only a small

    fraction of the stimuli to which they areexposed

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    Factors on which stimuli getFactors on which stimuli getselectedselected

    Nature of the stimulus-Marketing stimuliinclude an enormous number of variableswhich affect the consumers perceptions

    such as the nature of the product,itsphysical attributes,branding,packaging etc

    Contrast is one of the most attention drawingattributes of a stimulus and advertisersusually use this attention getting device toachieve the maximum contrast and drawattention of the consumers

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    Expectations and motivesExpectations and motives

    Consumers expect to see what they used tosee usually based on the past experience orhow they perceive it to be seen

    They tend to perceive products and productattributes according to their expectations

    Motives or needs perceive things ,the stronger

    is the need the greater is the tendency toreceive related stimuli and ignore theunrelated stimuli in the environment

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    Distorting influences onDistorting influences onperceptionperception

    Physical appearance-People tend to attributequalities they associate with certain peoplewho may resemble them

    They may consciously recognize the similarity

    Eg:Physical appearance and attraction to amodel are more persuasive and have apositive influence on customers attitude

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    Stereotypes-People tend to carry pictures intheir minds of the meaning of various kinds

    of stimulus For eg:an young man isperceived as a hero bearing all the odds

    The stereotypes serves as expectations ofwhat specific situations or people or eventswill be like

    Recent studies indicate that stereotypes arechanging

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    Respected sources-Customers tend to giveadded perceptual weight to advice coming

    from sources we respect being experts intheir fields

    Marketers while advertising their products usecelebrities or known experts to sponsor theirproducts or give testimonials to theirproducts

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    Irrelevant Cues-In making a perceptualjudgement consumers often respond toirrelevant cues or stimuli

    For eg:Many automobiles are not purchsedfor their techinical excellence but for

    attractive features like upholsery,flashylights etc

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    Learning -DefinitionLearning -Definition

    Consumer learning is the process by which

    individuals acquire the purchase andconsumption knowledge and they apply tofuture related behaviour

    Learning is a never ending process and itcontinuously evolves and changes as resultof newly acquired knowledge

    Learning can be viewed as a relativelypermanent change in behaviour occurring asa result of experience

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    Features of learningFeatures of learning

    Knowledgecanbeacquiredfromreading,observa

    tion or thinking

    Learning is gained either from acquired

    knowledge and experience

    Learning can be intentional and incidental

    Learning results in relatively permanentchanges in behaviour

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    Types of learning behaviourTypes of learning behaviour

    Physical behaviour

    Generally we learn physical behaviouralpatterns useful in variety of situations inevery day life

    As consumers we learn methods of respondingdifferent situations while purchasingproducts

    Consumers also learn some physical activitythrough modelling process imitating

    behaviour of their role models inadvertisements

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    Symbolic learning and problemSymbolic learning and problemsolvingsolving

    Symbolic learning is through the developmentof languages

    Symbols communicate the message efficientlyto consumers through vehicles as brandnames and signs and symbols

    These symbols carry positive images of themarketers to the consumers and they easilyidentify them

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    Affective learningAffective learning

    Consumers consider certain elements of their

    environment valuable and others theydisregard

    Consumers learn from their environment whatare their needs,wants ad goals and whatproducts satisfy these needs

    On the basis of this learning consumersdevelop their favourable and unfavourableattitute towards their company as well as itsproducts

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    Basic principles of learningBasic principles of learning

    Motives Motives arouse individuals,thereby increasing

    their readiness to respond

    This arousal function is essential,since itactivates the energy needed to engage inlearning activity

    Motivation is based on needs and goals andgoals and then acts as a spur to learningwith needs and goals serving as stimuli

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    CuesCues

    A cue is viewed as a weak stimulus not strongenough to arouse customers,but it is capableof providing direction to already motivatedactivity

    Its interesting to note that consumersfrequently about such cues which areessential before making a purchase

    Cues serve to direct consumers drive whenthey conform to consumers expectations

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    ResponseResponse

    A response may be viewed as a mental or

    physical activity the consumer makes inreaction to a stimulus situation

    Response appropriate to a particular situationare learned through experience over time,infacing that situation

    Over time learning will modify the responsehierarchy so that other responses have achance of occuring

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    Re - inforcementRe - inforcement

    Reinforcement means the likelihood of

    repeating the same response in the future asresult of particular cues or stimulus or in asimilar situation.

    Some theorists are of the view that an explicitreward for a response is not necessary tobecome part of learned behaviour

    Sometimes our behaviour is reinforced subtlythat we may not even be aware of it

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    Theories of learningTheories of learning

    Various theories of learning have been

    developed to explain different aspects oflearning

    The major groups are 1,Cognitive theories and2,behavioural theories

    Behavioural theories are also referred asstimulus response theories as learning takesplace as result of external stimuli

    Behavioural theories are classified on the typeof conditioning in to 1,Classical conditioningtheory and 2,instrumental conditioningtheory

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    Classical conditioning theoryClassical conditioning theory

    In general the word conditioned has come tomean an automatic response to a situationbuilt up through repeated exposure

    A simple association of two objects or stimuliunderlies much of todays advertising

    Ivon pavlov,a russian psychologist has doneextensive studies in to it

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    Basic principles of conditionedBasic principles of conditionedlearninglearning

    Repetition-

    Consumer may learn a message whichmarketers want to impart by repeated

    exposure of the same message throughadvertising

    This will also familiarize the brand name andproduct name to the consumers

    Researches also believe that the repetitionincreases the strength of association withthe product and makes slow the process offorgetting or decay

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    Stimulus generalisationStimulus generalisation

    According to the classical conditioningtheorists learning depends not only on therepetitions but also on the ability of

    individuals to generalise

    Stimulus generalisation explains why imitative

    products crowd on to the market after theintrouction of innovative product

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    Stimulus discriminationStimulus discrimination

    Its opposite to stimulus generalisation and

    results in the selection of a specific stimulusfrom among similar stimulus

    The consumers ability to discriminate amongstimuli is the basis of positioning strategywhich seeks to establish a unique image fora brand in the consumers mind

    For marketers who enter late the best strategyfor them is to highlight unique charactersand unique price

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    Instrumental conditioning theoryInstrumental conditioning theory

    According to BF Skinner most learning takesplace in an effort to control the environmentie to obtain favourable outcomes

    Instrumental conditioning is to establishconnection between stimulus and responsethrough trial and error process

    One behaviour of the individual results in morefavourable response than other behaviours

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    The reward reinforces the behaviour whichresults in more favourable response,its

    instrumental in teaching the individual aspecific behaviour that gives him morecontrol over the outcome

    The consumer tries a number of brands of aparticular product and continues trying untilhe find a suitable brand that satisfies himfulfilling his needs,which he continues to use

    Cl i l l

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    Classical vs InstrumentalClassical vs Instrumental

    In instrumental learning the experimenter controlsthe reward,its action of the subject that causesreward to happen

    In classsical conditioning the learners response is

    involuntary

    In instrumental learning learned response is theresult of trial and error

    Classical conditioning is used to learn very simplekinds of behaviour whereas instrumentalconditioning is helpful in explaining complex

    activities

    Instrumental conditioning andInstrumental conditioning and

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    Instrumental conditioning andInstrumental conditioning andmarketing strategymarketing strategy

    Marketers prefer instrumental learning theory toclassical learning theory as it tends todescribe better than the other howconsumers learn more about goods to be

    purchased

    Consumers like to learn great deal of

    information before it conditioned to aparticular brand of product

    Eg:purchase of a car needs to have more details

    provided to a customer than co and brand

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    Cognitive theory of learningCognitive theory of learning

    According to cognitive theorists ,a considerable

    amount of learning takes place as a result ofconsumer thinking and problem solving

    In cognitive theory the theorists stress theimportance of perception,problem solvingand insight

    The viewpoint says that much learninghappens through mental activity discoveringmeaning patterns that enable us to solveproblems

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    These meaningful patterns are termed asgestalts, and cognitive theories rely heavily

    on the process of insight to explain thedevelopment of gestalts

    According to cognitive theories ,when an

    individual is confronted with a problem wetend to get tensed and seek a solutioninstantly

    More likely we search for information andcarefully evaluate what we learn in to thebest decision

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    Information processingInformation processing

    Like computers human mind is also engagedin processing of information which itreceives as inputs

    The processed information gets stored in thehuman memory

    The process includes how information getsstored and how it is retrieved

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    The structure of memoryThe structure of memory

    Information processing occurs in stages

    According to one widely accepted view thereare temporary storehouses of informationbefore they are processed

    In this model there are three separate store

    units sensory store,short term store andlong term store

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    Sensory storeSensory store

    All information come only through senseorgans-visual, auditory and sense organs

    The image of sensory input lasts for just a

    second or less in minds sensory store and itslost through unless sufficient attention ispaid to sent it to the short term store

    Eg:if you look at the TV for few seconds andlook away,we retain the image for somemore time.

    ShSh t t t

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    Short term storeShort term store

    It can be viewed as a workplace for informationprocessing

    Its a portion of memory activated to

    temporary store and process info to interpretit.

    Its a storage for brief period say for a minuteor two

    For eg:if someone looks at a no,he forgets itbefore even dialing it if its not rehearsed