Consumer Behavior Key Ideas

3 Types of accumulation that structure society

knowledge, wealth, hierarchy

1860-1945 - 1st pd of Consumption

capitalism of production, mass production

Post WWII - 2nd Pd of Consumption

Mass consumption, “1 to many” marketing

1 to Many

individ rel with each customer

Mid 70s - 3rd Pd of Consumption

socio-econ crisis w/oil

Re-Enchantment through

value in everyday, ritualized non-relig events, birth of avatar

5 Conds of Post-Modern Society

hyperreality, inversions, tolerance, fragmentations, juxtaposition

Hyperreality

simulation becomes reality

Inversions

sign vs object, leisure vs work

Tolerance

of new groups, types of lifestyle

fragmentations

of individ, society and comms, fam model questiones

Juxtaposition

co-existence, mixing of previously antagonistic elements

Macro Consumption Behaviors

• spending vs saving

• Budgeting

Micro Consumption Behaviors

• products/services

• Choice of brands/dist

• Use of prods/services

Spending vs Saving

• direct impact on consumption

• marketers have little leverage in decision making

Budgeting

analysis of all consumption, shows biggest spending categories

Descriptive Approach to Studying Consumer

• data collected by KPIs and lvl of aggregation

• makes sense of millions of behaviors

KPIs

quantity in vol, value, purchase frequency

Level of Aggregation

family, segment, brand, etc

Explanatory Approach in Studying Consumer

Factors highlight extra info for understanding

Psychological - Explanatory

motivations, beliefs, attitudes, etc

Cultural - Explanatory

social class, relig, etc

Social - Explanatory

Reference group, family

Context - Explanatory

situational

Scientific Approach of Consumer Studies

pluridisciplinary use of human sciences - cultural lens

AMA says consumer responses may be…

• Emotional (affective)

• Mental (Cognitive)

• Behavioral (Conative)

Behavioral (Conative)

feelings/moods

Mental (Cognitive)

thought processes, beliefs

Behavioral (Conative)

observable responses in rel to purchase/disposal of goods/services

Marketers dont create needs…

but make consumers aware of them

Hidden Need Examples

belong, dominate, self-esteem, novelty, cognition

Maslow’s Pyramid of Needs

Physiological, Safety, Love and Belonging, Esteem, Self-Actualization

Polycrisis calls for what system of needs?

Holistic

Polycrisis

overall impact exceeds sum of individ parts

Holistic Sys of Needs

cognitive, physical, spiritual, emotional

From Needs to Purchasing Behavior

unfulfilled needs/wants > TENSION > Motivation > Purchasing Decision > Fulfillment

Benefits

functional, experiential, symbolic

Baudrillard on Needs

have their source in the ideology of society det by it’s socio-econ structure

Motivation =

ideal state - observed state

ideal state - observed state

difference creates tension consumer aims to reduce

2 dimensions of motivation

drive, goal

Motivations in Fashion and Lux

• Symbolic Val

• Expressive Val

• Sensory Val

Symbolic Value

transcend ordinary life, dreams/fantasies

Expressive Value

agreement of concept of self (connection w/brand)

Sensory Value

high quality products and services

Self Concept

individ has real and ideal self (incl perceptions t or f), alignment impacts mental/functioning

Extended Self =

Actual Self + Social Self

consumer uses ____ to adapt behaviors

sense of self

Sustainable Behaviors

Consumer more likely to recycle identity linked obj

Fashion Ephemera Examples

special fashion show invites, backstage pics

Involvement

state of excitement, motivation, interest towards purchasing situ/category of prod

New Archetype

Creator

Involvement can be…

• cognitive

• affective

• situational

Cognitive Involvement

Consumer knowledgable about prod category

Affective Involvement

consumer focused on sign val/hedonistic satisfaction

Situational Involvement vs long lasting

xmas gifts vs fashion

5 Dimensions of Fashion Involvement (Kapferer/Laurent)

• interest

• sign value

• pleasure value

• self-expression

• perceived risk (consequences, prob of error)

Average Involvement Score

clothing has one of the highest

low involvement =

high price sensitivity

Involved Customer Traits

• seek benefits optimization

• deeper info process

• less influences by advertising

• wont delegate choice

Low Involvement Customer Trait

Avoid problems

Comms for Low involvement

repetition and visual image

Comms for High Involvement

• prod/service benefits

• more complex/varied message

Not duration of stimulus that counts but..

Intensity and emotional anchoring

Selective Perceptions (data from 1972)

• exposed to 300-600 ads/day

• 30-80 = effectively perceived

• less than 10 have probability of influence

7 Mechanisms to Avoid Overstimulation

• intensity of stimuli

• past experience

• physical dominance

• state of one’s needs

• Consumer’s Values

• Consumer’s Expectations

• Alert for newness

Intensity of Stimuli

Louder more likely to be perceived

Past Experience

in the past was this stimuli assoc w/reward?

Physical Dominance

Packaging Size

State of needs

more alert if relevant to you

Customer’s needs

are they aligned with brand?

Consumer Expectations

degree of loyalty modifies brand image

Consumer Expectations Example

smoker less likely to be influenced by anti-smoking PSAs

Attitudes are..

• learned and stable

• sum of beliefs about smth

• pos or negative

One of the best behavior predictors

attitudes

Consumer Preference =

comparison of several attitudes

Zero Consumers

• omnichannel shoppers

• scrimp/splurge at same time

• care about health/sustainability

• little loyalty

How to adapt to omnichannel 0 Consumers

imbed in customers’ lives

How to adapt to Scrimp/Splurge

revamp offer (fresh assortement, “essentials” at good price and qual)

Scrimp/Splurge Simultaneously

puts pressure on mid-range

Kidult

reimagine adult experience w/more moments for play/adventure

Persuasion

Implies modification of attittudes

What does persuasion rely on

cognitive + affective mechanisms

Models of Persuasion

• Cognitive

• Cog + Aff

• Affective

Cognitive Persuasion - High Involvement

^ consumption of consumer vs recruiting new ones (Derma Cosmetics)

Cognitive Persuasion - HI Process

Learn - feel - do > beliefs - attitudes - behavior

Cognitive Persuasion - Low Involvement

• conditional mechanisms thru ads to trigger purchase

Less Involved are more infl by

• brand name

• sound signature

• packaging

• in-store discount

Cognitive Persuasion - LI Process

Learn - do - feel > beliefs - behavior - attitude

Cognitive Persuasion - Experiential Involvement

marketing implications = strong brand image/universe > EMOTIONS

Cognitive Persuasion - EI Process

Feel - do - learn > attitudes - behaviors - beliefs

Cog + Aff Persuasion

cog system is slower than aff and dominated by it (aff = simplifying)

Cog + Aff - HI

Central Route - attitude based on strong, justified args

Cog + Aff - LI

Peripheral Route = attitude build on peripheral info (more aff)

Affective Persuasion

ONLY based on aff reactions triggered by ads, irrespective of prod’s characteristics

Affective Persuasion marketing

• Sensorial

• increasingly relevant

• ex. gourmandise food, museification

Commercial/Personal Sources

• 1 to 1

• sales people, trade floors

Commercial/Non-Personal Sources

• 1 to many

• ads, POS, packaging, direct marketing

Non-Comm/Personal Sources

• Many-to-Many

• rumours, WOM, SM

Non-Comm/Non-Personal SOurces

• Other to Many

• press, tv, comparative tests