Chapter 6 Consumer Perception MKT348 CSUN Dr. Franck Vigneron

Perception The process by which an individual selects, organizes, and interprets stimuli into a meaningful and coherent picture of the world.

Elements of Perception Sensation The absolute threshold The differential threshold Subliminal perception

Sensory Receptors The human organs (eyes, ears, nose, mouth, skin) that receive sensory inputs.

Absolute Threshold The lowest level at which an individual can experience a sensation.

Sensory Adaptation “Getting used to” certain sensations; becoming accommodated to a certain level of stimulation.

Differential Threshold The minimal difference that can be detected between two stimuli. Also known as the j.n.d. (just noticeable difference).

Weber’s Law A theory concerning the perceived differentiation between similar stimuli of varying intensities (i.e., the stronger the initial stimulus, the greater the additional intensity needed for the second stimulus to be perceived as different).

Marketing Applications of the JND Need to determine the relevant j.n.d. for their products –so that negative changes are not readily discernible to the public –so that product improvements are very apparent to consumers

Subliminal Perception Perception of very weak or rapid stimuli received below the level of conscious awareness.

Aspects of Perception SelectionOrganization Interpretation

Concepts Concerning Selective Perception Selective Exposure Selective Attention Perceptual Defense Perceptual Blocking

Principles of Perceptual Organization Figure and ground Grouping Closure –Zeigernik effect

Zeigernik Effect A person beginning a task needs to complete it. When he or she is prevented from doing so, a state of tension is created that manifests itself in improved memory for the incomplete task.

Issues In Consumer Imagery Product Positioning and Repositioning Positioning of Services Perceived Price Perceived Quality Retail Store Image Manufacturers Image Perceived Risk

Issues in Perceived Price Reference prices Tensile and objective price claims

Reference Prices External Reference Price Internal Reference Price

Tensile and Objective Price Claims Evaluations least favorable for ads stating the minimum discount level Ads stating maximum discount levels are better than stating a range

Perceived Quality Perceived Quality of Products –Intrinsic vs. Extrinsic Cues Perceived Quality of Services Price/Quality Relationship

Characteristics of Services Intangible Variable Perishable Simultaneously Produced and Consumed 6 P’s: Product, Promotion, Price, Place And People + Process

A Conceptual Model of the Components of Transaction Satisfaction Evaluation of Service Quality (SQ) Evaluation of Service Quality (SQ) Evaluation of Product Quality (PQ) Evaluation of Product Quality (PQ) Evaluation of Price (P) Evaluation of Price (P) Transaction Satisfaction (TSAT) Transaction Satisfaction (TSAT)

Types of Perceived Risk Functional Risk Physical Risk Financial Risk Psychological Risk Time Risk

How Consumers Handle Risk Seek Information Stay Brand Loyal Select by Brand Image Rely on Store Image Buy the Most Expensive Model Seek Reassurance