Chapter 05
- 1. Beginning of Part 2 The Planning: Analyzing the Advertising and Integrated Brand Promotion Environment We have finished the Process phase of the text and moving on to Planning Our perspective changes from a broad view of advertising and IBP to a managerial view. The Planning phase leads to the development of advertising and IBP materials 1 PPT 5-1
- 2. Chapter 5 Advertising, Integrated Brand Promotion and Consumer Behavior 2 PPT 5-2 © 2009 South-Western, a part of Cengage Learning
- 3. Consumer Behavior Consumer Behavior: a wide spectrum of things that affect, derive from, or form the context of human consumption. Perspectives: 2. Consumers are Systematic Decision Makers Maximizing the benefits from purchases defines the purchase—consumers are deliberate 3. Consumers are Active Interpreters Cultural/social membership defines purchases Consumers are “meaning makers” in their consumption 3 PPT 5-3
- 4. Consumer Decision-Making: The Consumer as a Systematic Decision Maker The Consumer is: Logical Purposeful Acts in a “sequential” manner in making decisions 4 PPT 5-4
- 5. The Consumer Decision- making Process 1. Need recognition Functional or Emotional benefits 1. Information Search and Evaluation Internal and External search Consideration Set Evaluative Criteria 1. Purchase 4. Post-purchase use and evaluation Customer satisfaction Cognitive dissonance Does this ad offer a functional or 5 emotional benefit? PPT 5-5
- 6. Cognitive Dissonance The feelings of doubt and concern after a purchase is made. Dissonance increases when 1. The purchase price is high 2. There are many close alternatives 3. The item is intangible (example?) 4. The purchase in important 5. The item purchased lasts a long time 6 PPT 5-6
- 7. Modes of Consumer Decision-Making: Vary by Involvement and Experience 2. Involvement Interests and avocations Risk—high price or long term commitment High symbolic meaning to purchase Deep emotion attached to purchase 3. Experience More experience, more astute consumer 7 PPT 5-7
- 8. 4 Modes of Consumer Decision-Making: (Vary by involvement and experience) 1. Extended Problem Solving Deliberate, careful search 1. Limited Problem Solving Common products, limited search 3. Habit or Variety Seeking Variety seeking—switch brands at random Habit—buy single brand repeatedly 4. Brand Loyalty Conscious commitment to find same brand each time purchase is made 8 PPT 5-8
- 9. Key Psychological Processes in Advertising 2. Attitude Over Overall evaluation of an object person or issue on continuum=like/dislike; positive/negative 3. Brand Attitude Summary evaluations that reflect preferences for various products and services 4. Salient Beliefs Small number of key beliefs. Five to nine salient beliefs typically form the critical determinants of attitude 9 PPT 5-9
- 10. Key Psychological Processes Multi-Attribute Models (MAAMs) Evaluative Criteria: attributes consumers use to compare brands Importance Weights: priority assigned to attributes Consideration Set: group of brands that are focal point of decision effort Beliefs: knowledge and feelings consumer has about various brands 10 PPT 5-10
- 11. Key Psychological Processes Information Processing and Perceptual Defense Cognitive Consistency Impetus: Strongly held beliefs to make efficient decisions Advertising Clutter: Large volume of ads causes overload Selective Attention: Most ads are ignored because they do not fit consumer’s need state Cognitive responses: Thoughts that occur to consumer at moment when beliefs are challenged by persuasive communication 11 PPT 5-11
- 12. Key Psychological Processes The Elaboration Likelihood Model (ELM) “Central route” persuasion when involvement is high “Peripheral route” with peripheral cues rather than strong arguments when involvement is low 12 PPT 5-12
- 13. Perspective Two: The Consumer as Social Being Perspective One: The consumer as a decision maker can tells only part of the story. Consumption can be a social and cultural process as well 13 PPT 5-13
- 14. Consuming in the Real World Family Values Object Meaning Social class Rituals Gender Community Geo- Culture politics Race / Reference Ethnicity Groups (membership/aspiration) 14 PPT 5-14
- 15. Advertising, Social Rift and Revolution Advertisers see and seize the opportunity to provide “costumes” and “consumables” “Revolutions” require a certain “look” “Looks” signal political/social orientation 15 PPT 5-15
- 16. Advertising as Social Text: How Ads Transmit Socio-cultural Meaning Culturally constituted world Advertising / Fashion fashion system system Consumer goods Possession Exchange Grooming Divestment ritual ritual ritual ritual Individual consumer 16 PPT 5-16
- 17. Factors Affecting Consumer Decision Making REFERENCE VALUES / ATTITUDES CULTURE SITUATIONAL GROUPS FACTORS NEEDS EDUCATION CONSUMER PLEASURE DECISIONS PERSONALITY GENDER MARKETER- CONTROLLED FAMILY MEDIA SOCIAL STIMULI CLASS NEWS PAST MAGAZINES PRICE RADIO EXPERIENCE PACKAGING TELEVISION ADVERTISING DIRECT MEDIA PROMOTION BLOGS PERSONAL SELLING INTERNET INFO LIFE-STYLE SUBCULTURES 17 PPT 5-17