Week 1 - Consumer Buying Process

Self Concept attachment: Product helps establish consumer s identity



The Mac vs. PC advertisement, while using head on positioning and comparative tactics is also an example of the self concept attachment. It helps establish the identity and image of the consumer. What it expresses is the representation of a trendy and young individual for the Apple computer.

Nostalgic attachment: Product serves as a link with a past self.



Some examples of real world nostalgic attachment are abundant. Mrs. Fields Cookies for example has been around forever and when people buy and eat them they are brought back to their childhood memories. For me, a nostalgic attachment I have with a product is Pepsi. I've been drinking Pepsi since birth and some may even argue that I was bottle fed with Pepsi but, nonetheless, Pepsi has been with me throughout my life from star wars collectible cans to having it whenever I go out to dine, I am reminded of all those good times each time I drink Pepsi.

Interdependence: Product is a part of the users daily routine.



Many things like toothpaste, toiletry and gel and hair products are part of daily routine. This is something that brand loyalty comes into play extensively because it is so frequent. I am interdependent on European hair sculpting product Tresemme for men and Head and shoulders as well as many other things.

Love: Product elicits emotional bonds of warmth, passion or other strong emotions



An example of this is Iams dog food. If you own a pet dog and you love it and care for it you will buy something that will provide longevity and health and when you do buy it, you believe you're buying it out of love.

Week 2: Consumer Buying Behavior

Consumer Buying Behavior

The Buying Decision Process

* recognition of the need e.g a new PC
* choice of involvement level (time and effort justified) e.g. two week ends
* identification of alternatives e.g. Dell, PC World
* evaluation of alternatives I.e. price, customer service, software support, printer/scanner package
* decision - choice made e.g Epsom
* action e.g buy Epsom model from Comet
* post-purchase behaviour I.e. use, breakdowns, etc

CBB model



Here is the CBB model diagram. To tie it into my consumer buying behavior, a recently purchased product I will use in conjunction with the model is Chapstick Original Lip balm:

The Brand




Decision Process

The process and steps taken towards making this purchase is as follows:
The Need Recognition --> I do not enjoy cracked lips
Choice of involvement level --> not much involvement there, just look for it in the drug store and grab and go, the place of purchase is simple to decipher, which is shopper's drug mart. Not much time and effort needed because I have what I want in mind.
Identification of Alternatives --> This one caught my attention: SKYYBLUE vodka lip balm. Too bad it was expensive so the alternatives was pretty much 3 or 4 others like Vaseline Lip therapy, Dermatone and Aveeno.
Purchase and Related Decisions --> The particular item had a 2 pack deal and that definitely made me want to get it even more than the other ones.
Post purchase behavior --> After buying it I use it frequently and am able to remedy dry lips and have moist and soft lips. After awhile the flavor of the lip balm is quite boring.


Summary and Forces
I chose to use all the steps in the CBB model because it is very relevant and true to what steps I went through to result in the purchase of chapstick.
Some of the forces that affected and influenced my behavior would be Psychological forces of perception and motivation. I perceive myself as hygienic and am motivated to maintain optimal biological conditions i.e moist lips. Also Promotional forces especially the 2 pack deal because you get 2 for the price of one it makes you think that you are getting a bonus and entices you to get it rather than the alternatives.

Some other questions is how does location and place affect buying decision?
It affects it greatly. The example of chapstick when I was in shopper's drug mart put me in the mood to look for other body care products like lotion or whitening strips, mouth wash etc.

Also how does new products and new labels affect the buying process?
I believe that I bought the Chapstick because of its new label and packaging if it was its same old classic packaging I would be more likely to look for something else with a more modern look like the SKYYBLUE vodka lip balm.

Marketing Mix Forces

Product: One way of affecting the buying process via the product is new and improved labels or remake of the product. What is an example of this? I found an effective and successful one at that of rebranding is Old Spice deoderant. Old spice has been around for a very long time and considered very classic and not very trendy. They remade and took a brand new image as Old Spice Red Zone. This affects buying process in many ways, two of which are inquisitive consumers looking to try something new and also people tend to buy things they recognize when they see it has a new and improved look, taste, smell or some sort of new feature.




Price: An example of price used in marketing mix is 2 for 1 deals. Bulk deals, discounted prices. I find myself more willing to buy a product that is on sale or have 2 for 1 deals because it feels like if you do not buy now, it may not come up again in the future; the chance is lost. Products like chewing gum, clothes even or shoes. A company that bases it's sales and success off the play on price is 2 for 1 pizza. Gotta love getting 2 for 1 deals.



Promotion: Pretty easy to identify with. When you go to buy a cell phone a single featured phone with the newest craziest technology ever to bless the planet is showcased and combined with special offers and price plans. This is how it is implemented in advertising.



Place: The location can easily affect the decision. When I think of place I think of anywhere of high frequency for human traffic maybe the subway or when you go to a shopping mall. There are many examples of this marketing force used in advertising. I had a chance in New York to see one atypical marketing experiment bonanza setup which was the Charmin' ultra test bathroom. Located in a busy area people are teased and tempted with toilet seat mascots herding citizens to go inside and use one of the cleanest bathrooms in the world whilst their shopping. The cleverness of this is that consumers are becoming converted and convinced charmin ultra toilet paper is the finest in rear end sanitization.



Packaging: packaging can easily influence the buying decision. Just the visual aesthetics of the package could mean the difference for me when buying something. I have bought things based on just packaging alone and have shunned products for its horrible packaging.

Motivation/Needs and Maslow's Theory

Today I need sleep. But in the pursuit of higher education and happiness sleep is something not available in this context. I require different needs and needs and motivations are different for everyone.

Needs can start with being a:
Specific Needs--> Individual Needs--> Times--> In or bigger different cultural, social context

What separates a Need from a Want? Some of the examples I came up with were that a Need is something you cannot live without and a want is something you want to fulfill a certain desire.
Air is something you need, Smoking is something you want for whatever reason that you do want to die a slow and painful death.
In retrospect, a Need is a basic and biological motive which is where MOTIVATION comes in. Motivation is an activated state in which compels and leads an individual to a goal oriented behavior.

To give an example of I am motivated to work towards a career so I do anything I can to better my expertise in the field of study. I would be motivated to purchase textbooks and supplies that is required to succeed. Furthermore, motives can be both negative and positive.

Positive motivation could be positively motivated to live a healthy long life.
Negative motivation could be negatively motivated to never eat McDonald's for the sake of your weight.

Maslow's hierarchy of Needs



This is a diagram of the hierarchy of needs. There exists 5 levels of importance in every human being theorized by Maslow. Every level (4 lower levels) of physiological needs must be met starting from the bottom of the necessities. To put into motion, A man would be motivated to work towards a doctoral degree to raise his family. He must first satisfy food water and sleep. From there is safety, his health and his family's his current income. The next is his friendship and love and support. What follows is that he seeks respect from being an almighty doctor and sense of achievement and finally, his acceptance of the fact that it will take quite a bit of hard work and effort and time to reach his self actualized goals.

Biogenic/Psychogenic drives
Motives are generally put under two classifications, Biogenic and Psychogenic. Biogenic are your basic needs like food water and air while psychogenic is the social, cultural and intellectual aspects.

Knowing this I have selected 3 ads that appeal to individual values:



This ad is an ad for a Drug Prevention Campaign.
The Headline reads: Drug users finance crime and as in all financing, pay dearly. Don’t let dealers have fun at your cost.

Advertising Agency: D/Araújo, Florianópolis >> Agency Location: Brazil >> Creative Director: Edu Borges >> Art Director: Alexandre Amaral >> Copywriter: Igor Becker >> Photographer: Jeferson Caldart >>

Value: appeals the Safety and assurance to stop your kids from doing drugs and drug dealers from killing innocent people.



This is an ad for sleeping medication where they show each of the bubbles of foam numbered as if you were counting them just to fall asleep.

Client: Culina >> Advertising Agency: Grey >> Agency Location: Singapore >> Creative Directors: Koh Hwee Peng, Justin Lim >> Art Directors: Koh Hwee Peng, Nick Tan >> Copywriter: Justin Lim >> Photographer: Ric Tang, Shutter Bug >>

Value: Sleep. The first physiological need on maslow's pyramid.



Value: Love and Thirst. This could be argued to be the value of physiological as well as love and intimacy.

Situational Forces, Selective Exposure, Comprehension, Retention

To delve a little bit more into situational forces, it goes back to the CBB model.

Purchase Influence Task
It is the evaluation of alternatives. The goal of most competitors is to influence the consumer to pick their product over the others. Some examples would be Pepsi and coke obviously.

Social Surroundings
Social surroundings could be the decor or the music or even the people around you that influences and affects your purchase. This is evident in retail stores where the arrangement of their clothes and decorations come into a person's tendency and willingness to purchase if a certain item is easily accessible or featured "in your face".

Music is also a part of social surrounding a certain song that you love will entice you to stay much longer inside the store than you normally would.

Odor and Scent is very important. It is a fact that scent can make the difference in the perception of whether the store is of high quality or not. Odor is also generally pleasant for anyone.

Temporal Effects
This refers to time as a product. Something that can save you time in what you do. People work and clean and do things for leisure. The moment a product can provide more time for either of these out of necessity or desire it is a Temporal effect that can influence behavior.

Antecedent
Antecedents can be described as the physiological and mood states the consumer is in. For example, the amount of cash they have with them and the current mood they are in say happy and lots of cash would mean that they would be more inclined to spend more.

Hedonic Values
Hedonic values in terms of consumption is the relation or value of products that is multi-sensory. It could have emotional aspects with the consumer's interaction with products. An example, the sound of bells brings back emotional memories of a toy when you were a kid makes you have nostalgic feelings towards a product. Many things can be of hedonic value including visuals and color. TD bank's color is green for instance and everyone recognizes the dark green and bright green stripe.

Something I can think of is Soy Milk the taste of it brings back memories of childhood where I would savor the delicious refreshing sweet taste of soy milk mmm.



A few other concepts and principles that are important are:

Perceptual selectivity Which is inbound and acts like a filter. It brings up past experiences and influences the buying process greatly.

Selective Exposure
Selective Exposure is when you are hungry and you spot fast food ads while driving or wherever you go.

Selective Comprehension
This principle is when something is consistent with your own beliefs. For example we covered that an inappropriate name for a snow blowing machine would be "snow pup" when a better more suitable name should be something like, Godzilla.

Selective Retention
Finally, Selective Retention is simply just that. Choosing and remembering something because it has some sort of relation to you.

Approach/ Avoidance Behaviors

Approach results from positive motivation
Avoidance results from negative motivation

Here is an example to further explain the principle where + is approach and - is avoidance.

+Goals - Pain
+Enrich Life - Failure
+ Sensory Gratification - Embarrassment

The Behaviors also have 3 different conflicts when dealing with approach and avoidance.
They are:
Approach + Approach conflict: which what is positively motivated and you seek additional reasons to back that motivation. So I am motivated to buy a nissan 350z because it is sexy and fast and I need a car. I justified my positive motivation.

Approach + Avoidance conflict: is when I love poker but I wish that I do not spend a lot of money at a casino to gamble.

Avoidance + Avoidance conflict: is when you avoid both the motivation and reasoning or wish.

Some other examples of Approach and Avoidance is that you want to get work done but you want to avoid getting headaches.



In advertising these techniques are used quite frequently like Tetley Tea's marketing strategy is by saying having a cup of their tea will take away any sort of stress in your daily life. Advil for back relief and etc.

Semiotics

Semiotics is the communication through signs and symbols. When we think about semiotics there are 3 kinds.

Embedded
It is where the symbol bears resemblance to the product.
Example: An example of this would be NBA logo where it resembles the actual sport: basketball.



Index
A sign or symbol is connected through the product by its similar properties.
Example: is Apple Computers it's logo is an actual Macintosh apple with a bite taken out of it.



Association
For Association we associate the product's image as a whole and connect it to their product. We also take into consideration what we think about ourselves if we use the product.
Example: I regard Armani Exchange as an association with myself. What is that Association?




The brand image to me is stylish, urban and neo-high class and how this works in advertising is surprisingly well, especially for clothing brands. Think of Lacoste compared to Lifted Research Group clothing line. One has established itself as european prep image and the other hip hop streetwear underground clothing line. In advertising the use of semiotics is profoundly potent.

To follow up, the Triad of Semiotics is the Object, Sign and Meaning.

Object: the object represents the actual brand
Sign: what kind of visuals or symbols is used to connect the brand
Meaning: how does the viewer interpret the message?



So for instance, Nestle Quik or Nesquik (Object) uses the chocolate bunny (Sign) in order to have the consumer instantly recognize and connect the chocolate bunny with nestle chocolate milk syrup (Meaning).

Perception & Perceptual Maps

Perception is the process by which physical sensations such as sights, sounds and smells are selected, organized and interpreted.

Perceptual Maps are key marketing strategies to figure out where a company or brand stands in terms of different variables to compare to the competitors.



The final step in the process of perception is interpretation. Marketers communicate with the consumers through relationships between their product and the intended attributes or image.

Here is an advertisement that I would not understand if not for my perception of permanent markers as well as my perception of commercials for laundry detergents.



Stimulus Generalization
In society, certain stimuli are conditioned to evoke a response. The color red on the stop sign means danger and to stop. Similarily, the exact same response can be used again for a traffic light. Red means stop because it is a conditioned stimuli for driving and obeying road rules.

In advertising this can be used for certain products with the same features because marketers know how consumers will react and what they ALREADY know. An example of this would be Gillette Fusion Power Phantom with 4 blades hand razor and Schick Quattro Pro Razor.



It's mach power time!

ID, EGO and SUPER EGO

These concepts derived from Freud and Jung.
The Id: Functions in the irrational and emotional part of the mind. At birth a baby’s mind is all Id - want want want. The Id is the primitive mind. It contains all the basic needs and feelings. The id seeks to satisfy the pleasure part of the mind.

Product Examples: Water bed, Sports Car, Chocolate, alcohol



Ad targeted to the Id.

The Ego: Is the rational part of the mind. The ego knows that there are some things that you cannot have. The Ego realizes the need for compromise and negotiates between the Id and the Superego. The Ego's job is to get the Id's pleasures but to be reasonable and bear the long-term consequences in mind.

Product Examples: Affordable cars, cubic zirconium instead of diamonds, alternatives to luxurious items. A step down from high end.



This ad targets the Ego.

The Superego: controls morality. In short, it acts as a higher level of consciousness like the two reasoning angel and devil on either shoulders. They contemplate societal values

Product examples: Any type of donation for cures and relief or aid.

This ad is just amazing.


Targeting the SuperEgo tremendously and just so powerful.

Classical / Operant Conditioning

Classical Conditioning: is a form of associative learning that was first demonstrated by Ivan Pavlov in the experiment in which the dog was conditioned to salivate with the jingle of a diner bell. The process for classical conditioning involves presentations of a neutral stimulus along with a stimulus of some importance. The neutral stimulus could be any event or procedure that does not produce any defined result in change of behavior.

Operant conditioning: is the uses the basic learning habits of any animal of using consequences to alter the results and forms of behavior. Operant conditioning is different from classical conditioning in that operant conditioning deals with the change of "voluntary behavior"



In advertising some examples that use classical and operant conditioning are reward promotions. Where frequent purchases are rewarded after a certain amount or quantity obtained. For operant conditioning, it is evident when marketers try to alter the behavior of consumers with a pleasant experience at a video rental store then the consumer will be encouraged to return to it.

Defining Market Segments

Demographic characteristics: Demographic characteristics measures the total population as well as any other information pertaining to the population like gender, age and ethnic backgrounds.

How is this market segment implemented in advertising?
To find out information based on large populations in order to better target pinpoint their advertising to the proper major demographics.

Psychographic characteristics: Psychographics measures personalities, values, lifestyles and the opinions of consumers.

How is this market segment implemented in advertising?
To better plan and position using the data to communicate effectively.

Degree of brand usage: refers to how the consumer will buy in bulk to stock when products are discounted. Most common with male shoppers. Or pantry stockers.

Degree of brand loyalty: How committed the consumer is to sticking with one specific brand without resorting to alternatives.

Psychographic Segmentation
Behavioral or Benefit Segmentation: It is based on individual customers behavior on the product. For example, when looking at toothpaste. The benefits in sensory context is taste and its target would be kids. In a social context it would be the fresh breath as its main benefit which targets young students. For the worrier, the main benefit will be combating cavities and plaque for parents. Lastly, for independent people they consider price as the main point.



Some other examples could be Cars:

Sporty: Stylish, Fast --> Young
Family: Fits family and luggage --> Parents
Rich: Stylish, Luxury---> People who can afford it
Independant: Price



Segmenting characteristics: Consumers are motivated by one of three
Ideals: In the case of cars, consumers will choose what is best at the time.
Achievement: Personal gratification and to show off what kind of car they drive.
Self expression: Show their type of personality based on what type of car represents the way they want to express themselves.

Personal Values and VALS

A value is a belief that a condition is favorable to another or its exact opposite condition.

An example in advertising would be that marketing techniques would cater to an individual's value of thriftiness. Bounty Towels.



Bounty has select a size product where you need smaller sizes for smaller messes which in turn saves you more money or more towels.

VALS survey results
Your primary VALS type is Innovator,
and your secondary type is Experiencer.
The primary VALS type represents your dominant
approach to life. The secondary classification represents
a particular emphasis you give to your dominant
approach.
Innovators
Innovators are successful, sophisticated, take-charge
people with high self-esteem. Because they have such
abundant resources, they exhibit all three primary
motivations in varying degrees. They are change leaders
and are the most receptive to new ideas and
technologies. Innovators are very active consumers,
and their purchases reflect cultivated tastes for upscale,
niche products and services.
Image is important to Innovators, not as evidence of
status or power but as an expression of their taste,
independence, and personality. Innovators are among
the established and emerging leaders in business and
government, yet they continue to seek challenges. Their
lives are characterized by variety. Their possessions and
recreation reflect a cultivated taste for the finer things
in life.
Experiencers
Experiencers are motivated by self-expression. As
young, enthusiastic, and impulsive consumers,
Experiencers quickly become enthusiastic about new
possibilities but are equally quick to cool. They seek
variety and excitement, savoring the new, the offbeat,
and the risky. Their energy finds an outlet in exercise,
sports, outdoor recreation, and social activities.
Experiencers are avid consumers and spend a
comparatively high proportion of their income on
fashion, entertainment, and socializing. Their purchases
reflect the emphasis they place on looking good and
having "cool" stuff.

3 ways to change opinion of a brand

There are 3 ways to change an opinion of a brand. The first of which is,
Adding an attribute: For example, Fructis Shampoo adds a feature for hair conditioning with vitamins. This alters the original product providing an incentive for the consumer to purchase it.



Changing importance of attributes: Sometimes the importance of a product's attributes are no longer wanted and desired as much as before. Changing the importance and focus of its features could better match the target market's interests. An Example of this is Margarine. Butter is too fattening so they made margarine but even margarine has lost its taste so now Hellman's is focusing on cholesterol free mayo.



Extent to which a brand has certain attributes: Specific products have specific benefits and features that prove very dependable. Swiffer broom is a perfect example that shows how reliable and how much people perceive the Swiffer duster / broom to pick up all kinds of dust.

Personality and Lifestyles

Personality refers to a person’s consistent behaviors or responses to recurring situations. Personality defines who we are and distinguishes us from one another.
The way people see themselves reveals personality characteristics as well as how they think others perceive themselves.

People choose products that match their own personality and lifestyle and it is important in advertising to understand the reason behind it to communicate effectively.

An example of this principle is that someone may choose to buy expensive jewelry because it matches their personality of being posh and rich.

Attitudes

An attitude is a predisposition to evaluate an object or product positively or negatively, in other words, the favourable or unfavourable feelings about an idea or product.
Attitudes are made up of three components: beliefs, affect, and behavioral intentions.

Attitude researchers traditionally assumed that attitudes were learned in a fixed sequence, consisting first of the formation of beliefs (cognitions) regarding an attitude object, followed by some evaluation of that object (affect), and then some action (behavior). Depending upon the consumer’s level of involvement and the circumstances, though, attitudes can result from other hierarchies of effects as well.

Some examples of Attitude could be Lacosts purses or shoes that are made of alligator and croc skin. If someone is against animal cruelty they would feel negatively towards the product and brand because their beliefs are conflicted.