Arslan Ahmed
Group members
Perception:Process via which consumers select and
organize stimuli, so as to provide themselves with a meaningful and coherent view of the world
More than sensing somethingAssigning meaning and incorporating it into
their worldPart of the “Information Processing” process
Consumer Perception
SensationAbsolute thresholdDifferential thresholdSubliminal perception
Elements of Perception
SensationThe immediate and direct response of the
sensory organs to stimuli.
A perfectly unchanging environment provides little to no sensation at all!
Elements of Perception(cont..)
Absolute threshold:
Absolute threshold is the lowest intensity at which a stimulus can be detected 50% of the time. The absolute threshold can be influenced by several different factors, such as the subject's motivations and expectations, cognitive processes, and whether the subject is adapted to the stimulus.
Elements of Perception(cont..)
Differential Threshold:
The ability of a sensory system to detect changes or differences between two stimuliMinimum difference
between two stimuli is the j.n.d. (just noticeable difference)
Example: packaging updates must be subtle enough over time to keep current customers
Elements of Perception(cont..)
Subliminal Perception:Perception of very weak or rapid stimuli
received below the level of conscious awareness.
Is Subliminal Persuasion Effective?
Extensive research has shown no evidence that subliminal advertising can cause behavior changes
Some evidence that subliminal stimuli may influence affective reactions
Elements of Perception(cont..)
Perception Process
We receive external stimuli through our five senses
Factors influence our perception.
Exposure
Attention
Interpretation
Factors In Perception
Exposure:Exposure involves the extent to which we
encounter a stimulus.
We are exposed to numerous commercial messages while driving on freeway.
Example, Bill boards Radio Advertisement
Factors In Perception (cont..)
Attention:Attention is actually a matter of degree
Our attention may be quite high when we read directions for getting an income tax refund, but low when commercials come on during a television program.
Example :If an advertisement for a product in which we
are interested comes on.
Factors In Perception (cont..)
Interpretation: Interpretation involves making
sense out of the stimulus.
Example: when we see a red can, we may
recognize it is a “Coke” and blue can for “Pepsi”.
Factors In Perception
Factors In Perception (cont..)
Weber’s LawAbility to note a change in a stimulus, depends
on its initial levelExample:
$500 increase in the price of a car$500 increase in the price of a personal computer
P (notice a stimulus change) = Change in stimulus /Initial level of stimulus
Weber’s Law
Closure: Individual tend to express their need
closure by organizing their perception so that form a complete picture.
Example: circle or Arc? show piece or Two faces?
Factors Influence Stimulus.
Relevance:One of obvious issue is relevance, consumer
when they have choice , are also more likely to attend to stimuli relevant to them.
Factors Influence Stimulus (cont…)
Repetition: Consumer often do not give much attention to
stimuli, if it seen over and over again. The cumulative impact will be greater here.
Surprising stimuli: Are likely to get more attention .Greater contrast: Difference between the stimulus
and its surroundings.Greater prominence: Greater size center placement.
Factors Influence Stimuli (cont..)
Make perceptual selection work in your favour.
Increase accidental exposureDraw attention to your ad using contrast
and other principlesFind creative ways to reduce blocking
Perception and Marketing Strategy
Ensure that consumers organize and interpret messages correctly
Develop suitable consumer imageryFind ways to reduce perceived risk
Perception and Marketing Strategy(cont....)
Satisfaction-based Pricing
Relationship Pricing
Efficiency Pricing
Pricing Strategies Focused on Perceived Value
Reference prices:InternalExternal
Tensile and objective price claims
Issues in Perceived Price
Evaluations least favorable for ads stating the minimum discount level
Ads stating maximum discount levels are better than stating a range
Tensile and Objective Price Claims
Perceived Quality of ProductsIntrinsic vs. Extrinsic Cues
Perceived Quality of Services
Price/Quality Relationship
Perceived Quality
The perception of price as an indicator of product quality (e.g., the higher the price, the higher the perceived quality of the product).
Price/Quality Relationship
Effects of Brand name, Store name & Price
Functional RiskPhysical RiskFinancial RiskPsychological RiskTime Risk
Perception of risk.
Functional risk: Product will not perform as expected.
Physical risk: Risk to self and others ...... Like use of cell
phone.
Financial risk: The product will not be worth its cost.
Perception of risk(cont..)
Social risk: Poor product choice may result in social
embarrassment .
Time risk: Time spent in product search may be
wasted if the product does not perform as expected.
Perception of risk(cont..)
Seek InformationStay Brand LoyalSelect by Brand ImageRely on Store ImageBuy the Most Expensive ModelSeek Reassurance
How Consumers Handle Risk
Ads for children; ban on TV ads containing cartoons character promoting products during children shows in which they themselves appear (misperceived by kids to be part of the show)
Thirty minute infomercials misperceived as documentaries
Ethics And Consumer Perception.
Example
Red colour is perceived as sign of danger and sorrow in chinese culture
While in our culture Red colour is perceived as sign of Love, Glamour & Attraction
Cross-Culture of Consumer Perceptions.