Consumer learning

CONSUMER LEARNING

Importance of Learning

Marketers must teach consumers: where to buy how to use how to maintain how to dispose of products

Consumer Learning

A process by which individuals acquire the purchase and consumption knowledge and experience that they apply to future related behavior

Learning Processes

Intentional: learning acquired as a result of a careful search for information

Incidental: learning acquired by accident or without much effort

Elements of Learning Theories

Motivation Cues Response Reinforcement

Reinforcement

A positive or negative outcome that influences the likelihood that a specific behavior will be repeated in the future in response to a particular cue or stimulus.

Behavioral Learning Theories

Classical Conditioning Instrumental Conditioning Modeling or Observational Learning

Classical Conditioning

A behavioral learning theory according to which a stimulus is paired with another stimulus that elicits a known response that serves to produce the same response when used alone.

Instrumental (Operant) Conditioning

A behavioral theory of learning based on a trial-and-error process, with habits forced as the result of positive experiences (reinforcement) resulting from certain responses or behaviors.

Pavlovian Model of Classical Conditioning

Unconditioned StimulusMeat paste

Conditioned StimulusBell

Unconditioned ResponseSalivation

Conditioned StimulusBell

Conditioned ResponseSalivation

AFTER REPEATED PAIRINGS

Analogous Model of Classical Conditioning

Unconditioned StimulusDinner aroma

Conditioned Stimulus6 o’clock news

Unconditioned ResponseSalivation

Conditioned Stimulus6 o’clock news

Conditioned ResponseSalivation

AFTER REPEATED PAIRINGS

Relevance to Marketing

Conditioned Stimuli – Brand Image Unconditioned Stimuli – New Additions to

the Brand Response – Acceptance of the Brand

Cognitive Associative Learning Classical conditioning is viewed as the learning

of associations among events that allows the organism to anticipate and represent its environment.

For the conditioning to happen, The conditioned stimuli should precede the

Unconditioned stimuli Repeated pairing of Conditioned and Unconditioned

stimuli Conditioned stimuli is new and unfamilier Unconditioned stimuli is biologically or symbolically

salient.

Strategic Applications of Classical Conditioning

Repetition Stimulus Generalization Stimulus Discrimination

Repetition

Repetition increases strength of associations and slows forgetting but over time may result in advertising wearout.

Cosmetic variations reduce satiation.

Substantive Variations are the changes in advertising content.

Three-Hit Theory

Repetition is the basis for the idea that three exposures to an ad are necessary for the ad to be effective

The number of actual repetitions to equal three exposures is in question.

Stimulus Generalization

The possibility of other similar stimuli replacing a known conditioning stimuli.

Stimulus Generalization and Marketing

Product Line, Form and Category Extensions

Family Branding Licensing Generalizing Usage Situations

Stimulus Discrimination

The ability to discriminate a specific stimulus from among similar stimuli because of perceived differences.

Positioning

Differentiation

A Model of Instrumental Conditioning

Stimulus Situation (Need good-looking jeans)

Try Brand D

Try Brand C

Try Brand B

Try Brand A

UnrewardedLegs too tightUnrewardedTight in seatUnrewardedBaggy in seat

RewardPerfect fit

Repeat Behavior

Instrumental Conditioning

Consumers learn by means of trial and error process in which some purchase behaviors result in more favorable outcomes (rewards) than other purchase behaviors.

A favorable experience is instrumental in teaching the individual to repeat a specific behavior.

Instrumental Conditioning and Marketing

Customer Satisfaction (Reinforcement) Extinction and Forgetting Reinforcement Schedules

Total / continuous reinforcement Fixed / systematic reinforcement Variable / random reinforcement

Shaping Performance of Reinforcement before the

actual consumer behaviour. Massed versus Distributed Learning

Reinforcement

Positive Reinforcement: Positive outcomes that strengthen the likelihood of a specific response

Example: Ad showing beautiful hair as a reinforcement to buy shampoo

Negative Reinforcement: Unpleasant or negative outcomes that serve to encourage a specific behavior

Example: Ad showing wrinkled skin as reinforcement to buy skin cream

Other Concepts in Reinforcement Punishment

Choose reinforcement rather than punishment

Extinction Combat with consumer satisfaction

Forgetting Combat with repetition

Observational Learning

A process by which individuals observe the behavior of others, and consequences of such behavior. Also known as modeling or vicarious learning.

Consumers Learn by Modeling

Cognitive Learning Theory

This theory is based on the premises that the kind of learning most characteristics of human beings is problem solving, which enables individuals to gain some control over their environment.

Appeal to Cognitive Processing

Information Processing

A cognitive theory of human learning patterned after computer information processing that focuses on how information is stored in human memory and how it is retrieved.

Information Processing and Memory Stores

Sensory Store

Sensory Store

Working Memory (Short-term Store)

Working Memory (Short-term Store)

Long-term Store

Long-term Store

Sensory Input

Rehearsal

Encoding

Retrieval

Forgotten; lost

Forgotten; lost

Forgotten; unavailable

Rehearsal and Learning

Rehearsal is repeating the information or relating it to other information.

Rehearsal makes the information available for short term memory so that the encoding can happen.

Encoding is the process where a word or visual image is selected to represent a perceived object.

Retention

Information is stored in long-term memory Episodically: by the

order in which it is acquired

Semantically: according to significant concepts

Models of Cognitive Learning

Attention Cognitive

Action Conative PurchasePostpurchaseEvaluation

TrialAdoption

DecisionConfirmation

AffectiveEvaluation

InterestEvaluation

Persuasion

Knowledge

Awareness

Awareness KnowledgeInterest

Desire

Sequential Stages of Processing

Innovation Adoption Model

Decision-Making Model

Tricompetent Model

Innovation Decision Process

Promotional Model

Involvement Theory

A theory of consumer learning which postulates that consumers engage in a range of information processing activity from extensive to limited problem solving, depending on the relevance of the purchase.

Split Brain Theory

Right/ Left Brain Hemispheres specialize in certain functions

Figure 7.14

Encouraging Right and Left BrainProcessing

Issues in Involvement Theory

Involvement Theory and Media Strategy

Involvement Theory and Consumer Relevance Narrow categorisers Broad categorisers

Central and Peripheral Routes to Persuasion High involvement – Central route of

persuasion Low involvement – Peripheral route of

Persuasion. Measures of Involvement

Central and Peripheral Routes to Persuasion

A theory that proposes that highly involved consumers are best reached through ads that focus on the specific attributes of the product (the central route) while uninvolved consumers can be attracted through peripheral advertising cues such as the model or the setting (the peripheral route).

Elaboration Likelihood Model (ELM)

A theory that suggests that a person’s level of involvement during message processing is a critical factor in determining which route to persuasion is likely to be effective.

The Elaboration Likelihood Model

Involvement

Central RoutePeripheral Route

Peripheral Cues Influence Attitudes

Message Arguments Influence Attitudes

HIGH LOW

Measures of Consumer Learning

Recognition and Recall Measures Aided and Unaided Recall

Cognitive Responses to Advertising Copytesting Measures Attitudinal and Behavioral Measures

of Brand Loyalty

Phases of Brand Loyalty

Cognitive Loyalty- Peoples thought about object

Affective Loyalty– refers to moods, feeling or emotional responses to the object

Conative Loyalty– refers to behavioural intention or willingness to act.

Action / Behaviour Loyalty.

Brand Loyalty As A Function of Relative Attitude and Patronage Behavior

LatentLoyalty

No Loyalty

Spurious Loyalty

Loyalty

Low

High

High Low

Repeat Patronage

Relative Attitude