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Consumer Learning
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Page 1: Consumer learning

Consumer Learning

Page 2: Consumer learning

Consumer Learning

Page 3: Consumer learning

Consumer Learning Learning is the process by which

individuals acquire the purchase & consumption knowledge & experience that they apply to future related behavior.

Learning takes place if an individual behaves, reacts or responds as a result of experience in a manner different from the way the person formerly behaved.

Page 4: Consumer learning

Elements of Learning Motivation- is the driving force that impels

individuals to action.

If a consumer has motivation to learn something, there is increased likelihood that learning will take place.

Example Bicycle riding for fitness.

Cues- are relatively small stimuli , not strong enough to arouse consumers but have the potential of providing direction to motivated activity.

Page 5: Consumer learning

Elements of Learning An advertisement for an exotic trip

that includes bike riding may serve as a cue for bike riders.

Cues serve to direct consumer drives when they are consistent with the consumer expectations. Marketers must be careful to provide cues that do not upset those expectations.

Page 6: Consumer learning

Elements of Learning Response- The way an individual reacts to

a cue or stimuli is the response leading to learning.

The automobile producer that provides consistent cues to consumers may not always succeed in stimulating a purchase.

But if the maker has been able to form a favorable image of the product in consumers mind then it is likely that the consumer will consider that make.

Page 7: Consumer learning

Elements of LearningReinforcement- increases the likelihood

that a specific response will occur in the future as the result of particular cues.

If the consumer have positive experiences about a product there is likelihood that the repurchase will take place.

For example the cream to fight acne or pimples.

Page 8: Consumer learning

Behavioral learning theories There are two behavioral theories

with great relevance to marketing are

Classical Conditioning

Instrumental Conditioning

Page 9: Consumer learning

Classical Conditioning

Conditioning refers to a kind of automatic response to something as a result of repeated exposure to it.

For an example if a child gets excited every time she/he thinks of going to McDonalds , the reaction may be conditioned from many pleasant visits to the restaurant.

Page 10: Consumer learning

Pavlovian model of Classical Conditioning

Unconditioned stimulus- Meat

Paste

Conditioned stimulus- Bell

Unconditioned Response

SALIVATION

Conditioned Response

SALIVATION

Conditioned Stimulus- Bell

Page 11: Consumer learning

Strategic application of classical conditioning

Repetition- The consumers have a tendency to forget & one proven method of increasing retention of learning is repetition.

Although the principle of repetition is well established among advertisers, not every ne agrees how much repetition is required.

The experts believe that three exposures to an advertisement are needed.

Page 12: Consumer learning

Strategic application of classical conditioning

The effectiveness of repetition is dependent on the amount of competing advertising to which the consumer is exposed.

The higher the level of competing ads, the greater the likelihood that interference would occur , causing consumers to forget previous learning that resulted from repetition.

Page 13: Consumer learning

Strategic application of classical conditioning

Stimulus Generalization- Learning depends not only on repetition but also on ability of individuals to generalize it.

The dog could learn to salivate not only to the sound of bell but also to somewhat similar sounds.

Stimulus Generalization explains why sometimes imitative me too products succeed in the market place.

Page 14: Consumer learning

Strategic application of classical conditioning

Consumers confuse them with the original product they have seen advertised.

It also explains why the private label brands try to make their packaging closely resemble the national brand leaders.

Page 15: Consumer learning

Strategic application of classical conditioning

Product Line form and Category extensions- The principle of stimulus generalization is adopted by marketers to product line, form & category extensions.

In line extensions the marketers add related products to an already established brand, knowing the new products are more likely to be adopted when they are associated with a known & trusted brand name.

Page 16: Consumer learning

Strategic application of classical conditioning

The Stimulus generalization is frequently used in family branding by the marketers.

Stimulus Discrimination- is the opposite of stimulus generalization & results in the selection of a specific stimulus from among similar stimuli.

Stimulus discrimination is widely used in positioning strategy of the companies.

Page 17: Consumer learning

Instrumental ConditioningInstrumental Conditioning theory

says that learning occurs through a trial & error method.

In Instrumental conditioning the stimulus that results in most satisfactory response is the one that is learned.

For example the consumers are likely to patronize only that store that carries clothing that meets their needs.

Page 18: Consumer learning

Instrumental ConditioningThis theory says that the consumers

learn through the trial & error process in which some purchase behavior results in more favorable outcomes than other purchase behaviors.

Page 19: Consumer learning

Reinforcement of behavior Reinforcement is anything that

increases the strength of response & tends to induce the repetition of behavior. Reinforcement can be positive as well as negative.

Positive reinforcement consists of events that strengthen the likelihood of a specific response. Using a shampoo that leaves the hair silky & soft is likely to result in the repeat purchase of the product.

Page 20: Consumer learning

Reinforcement of behavior Negative reinforcement is an

unpleasant or negative outcome that also serves to encourage a specific behavior.

An ad that shows a model with wrinkled skin is designed to encourage consumers to buy & use the advertised cream.

Many insurance companies also use this theory to propel the sale of their products.

Page 21: Consumer learning

Strategic applications of Instrumental Conditioning

Marketers effectively utilize the concepts of consumer instrument learning when they provide positive reinforcement by assuring customer satisfaction with the product, service & total buying experience.

Marketers must be certain to provide the best possible product for money & avoid raising the consumer expectations for product performance beyond what a product can deliver.

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