PERCEPTION Aparna Goyal

PERCEPTION How we see the world in and around us

Perception Amity Business School Consumer as Perceiver The objective reality of the product matters a little and what matters is the consumers perception about the product/ brand The process by which an individual selects, organizes, and interprets stimuli into a meaningful and coherent picture of the world is called Perception.

ADVERTISING ANGLE TO PERCEPTION OF CONSUMERS THE MESSAGES TO WHICH WE DO CHOOSE TO PAY ATTENTION OFTEN WIND UP DIFFERING FROM WHAT THE SPONSORS INTENDED, AS WE EACH PUT OUR PERSONAL SPIN ON THINGS BY ADOPTING MEANINGS CONSISTENT WITH OUR OWN UNIQUE EXPERIENCES, BIASES AND DESIRES.

Factor Shaping Perception is SENSATION SENSATION-The immediate and direct response of our sensory receptors to basic stimuli. A perfectly unchanging environment provides little to no sensation at all. PERCEPTION - Process by which people select, organize and interpret these sensations. Focus is on what we ADD to these raw sensations in order to give them meaning Cont….

Decreased Sensory inputs Increased Sensory inputs Absolute threshold Differential threshold Subliminal perception

Absolute Threshold Lowest intensity of a stimulus that can be registered on a sensory channel Minimum stimulation that can be detected on a given sensory channel Whispering Small print characters

Differential Threshold Ability of a sensory system to detect changes or differences between two stimuli Minimum difference we can detect between two stimuli is the J.N.D.

Weber’s Law It concerns the perceived differentiation between similar stimuli of varying intensities (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 We need to determine the relevant j.n.d. for our 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.

Perceptual Process- MARKETING SIGHTS EYES EXPOSURE SOUNDS EARS ATTENTION SMELLS NOSE INTERPRETATION TASTE MOUTH MEMORY TEXTURES SKIN

STAND OUT FROM COMPETITION EXAMPLES SOFTNESS OF A CASHMERE PULLOVER TASTE OF A NEW FLAVOUR OF ICE-CREAM SMELL OF FRESH ROSES HEARING FAVOURITE SONG SEEING A NEAR & DEAR ONE AFTER YEARS STAND OUT FROM COMPETITION

HEDONIC CONSUMPTION MULTISENSORY, FANTASY AND EMOTIONAL ASPECTS OF CONSUMERS’ INTERACTIONS WITH PRODUCTS. Home cleaners with exotic scents – competitive advantage.

SENSORY MARKETING

Extra attention to the impact of sensations on product experiences Our senses decide which products appeal us and which stand out

Vision Colours Design Package Size Style Patterns Trade dress …

VISION

SMELL Odours Invoke memories Relieve stress Store environment Mood Relax Stimulates

TOUCH Tactile stimulation or haptic sense Coca-Cola bottle Massage Winter wind bite Feel & compare textures More sure about what we perceive when we touch Need For Touch (NFT) scales Touch products in a retail store Silk as luxury, denim as practical & durable

TASTE Electronic mouth Artificial saliva Spicy Bitter Sweet Sour Hot Cold

STEPS of PERCEPTION Information Processing Memory

STEPS EXPOSURE ATTENTION INTREPRETATION MEMORY

SX4 from 0 to 60 miles in less than 5 seconds. EXPOSURE SX4 from 0 to 60 miles in less than 5 seconds. STIMULUS RANGE CUSTOMERS SENSORY RECEPTOR NERVES

EXPOSURE STIMULUS – RANGE - SENSORY RECEPTOR NERVES PLACEMENT IN RELEVANT ENVIRONMENT even when not paying attention MINUSCULE FRACTION OF STIMULI SELF-SELECTED ACTIVE AND DELIBERATE TO ACHIEVE SHORT OR LONG TERM GOALS RANDOM IN DAILY ACTIVITIES ACTIVE :- ZIPPING ~ FAST FORWARD RECORDED COMMERCIALS ZAPPING ~ SWITCHING CHANNELS DURING COMMERCIALS MUTING ~ SOUND OFF DURING COMMERCIAL BREAKS AVOIDANCE ~ *SITUATION *AMOUNT OF CLUTTER* AD PLACEMENT * HOUSEHOLD INFOMERCIALS

LINK 1 OBSERVATION EXERCISE

ATTENTION STIMULUS “SEEN” – interesting or less interesting SENSATION TO BRAIN PROCESSING ( Perceptual Selection)

ATTENTION STIMULUS – ACTIVATION – SENSORY RECEPTOR NERVES – SENSATIONS – BRAIN PROCESSING FACTORS :- STIMULUS – Physical characteristics – SIZE & ATTRACTION, INSERTION FREQUENCY, INTENSITY (LOUDNESS/BRIGHTNESS/LENGTH) COLOUR & MOVEMENT – BRIGHT, FAST MOVING POSITION – placement in visual field, centre/edges ISOLATION – separation from other objects FORMAT – arrangement, presentation CONTRAST EXPECTATION – unexpected INFORMATION QUANTITY INDIVIDUAL SITUATION

PERCEPTUAL SELECTION FACTORS EXPERIENCE FILTERS VIGILANCE (needs) DEFENSE ADAPTATION (habituate) Size Colour Position Novelty

LINK 2 PERCEPTION EXERCISE

INTERPRETATION MEANING ASSIGNED SENSATIONS RECEIVED

MEMORY SHORT-TERM USE MEANING IMMEDIATE DECISION MAKING LONGER RETENTION

INTERPRETATION AND MEMORY SEMANTIC PSYCHOLOGICAL INTERPRETATION AND MEMORY MEANING ASSIGNED TO SENSATIONS FUNCTION OF STIMULUS/INDIVIDUAL/SITUATION eg.sale COGNITIVE INTERPRETATION – STIMULI PLACED IN EXISTING MEANING AFFECTIVE INTERPRETATION – STIMULI TRIGGERS EMOTIONS/ FEELINGS INDIVIDUAL CHARACTERISTICS – LEARNING AND EXPECTATIONS SITUATIONAL CHARACTERISTICS – mood, time, temperatuire, message, distractions, news STIMULUS CHARACTERISTICS – package, colour, message, music, product placement Similar Stimulus discrimination JND- minimum brand difference but noticed (candy, tissue roll, water glass – high imagery stimulus) CONSUMER INFERENCES – value assigned missing attribute CONTEXTUAL PRIMING EFFECTS-positive or negative programming

LINK 3 EXERCISE

INFORMATION PROCESSING ACTIVITY SERIES STIMULI PERCEIVED TRANSFORMED INFORMATION STORED

Information Processing Exposure Random Deliberate Low Involvement Attention Perception High Involvement Interpretation Low Involvement High Involvement Short Term Long Term Memory Stored experiences Values, decisions, rules, feelings Active problem solving Purchase and consumption decisions

PERCEPTUAL DEFENSES INFORMATION AVAILABLE INDIVIDUALS NOT AS PASSIVE RECIPIENTS OF MARKETING MESSAGES LIMITED EXPOSURE INFORMATION AVAILABLE SMALL % ATTENTED PASSED TO CNS INTERPRETATION LIMITED ACTIVE MEMORY

SITUATIONAL FACTORS INDIVIDUAL FACTORS INTEREST (GOALS) NEED INVOLVEMENT PROGRAM INVOLVEMENT (MAGAZINE, NEWSPAPER, PROGRAM) FOCAL STIMULUS (AD) TIME PRESSURES CROWDED STORE UNPLEASANT ENVIRONMENT SHOPPING PAL NONFOCUSED ATTENTION SUBLIMINAL STIMULI- masked, slow, fast, soft to seeing/hearing SITUATIONAL FACTORS

LINK 4 EXERCISES

STIMULUS MARKETING Gestalt theory – meaning from totality Closure principle – people perceive incomplete picture as complete, filling up the blanks.. Principle of similarity – consumers group together objects that share similar physical characteristics Figure-ground principle – one part of stimulus will dominate(figure) and other part recedes into background (ground) – focal point Hyperreality – process of making real what is initially hype

Examples of Perceptual Positioning Lifestyle Price leadership Atributes Product class Competitors Occassions Users Quality

LINK 5 PRACTICE EXERCISES

Perceptual Selection Depends on two major factors Consumers’ previous experience Expectation Consumers’ motives People see what they want to see. Horror movie Stimuli which conflict sharply attract attention. Stronger the need greater the motivation.

Unexpected Attracts Attention

Biases in perceptual process Gestalt Psychology Selective Exposure Selective Attention Perceptual Defense Perceptual Blocking

Perceptual Organization Figure and ground Grouping- easy to remember when we associate Closure Formulas and point. Circle or Arch The moment we hear familiar music we try to complete it. Messages require to fill in is to increase the participation of the consumer.

Stereotypes e.g Benetton adds First Impressions Jumping to Conclusions INTERPRETATION- Influences of Perceptual Distortion Physical Appearances Stereotypes e.g Benetton adds First Impressions Jumping to Conclusions Halo Effect Models are percieved as having more knowledge regarding enhancing pdts. But not regarding problem sloving pdts.Acne, dandriff.

Conclusion People tend to add to or subtract fm the stimuli to which they are exposed on the basis of their Expectations and motives.

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

Satisfaction-based Pricing Relationship Pricing Efficiency Pricing Perceptual Mapping A research technique that enables marketers to plot graphically consumers’ perceptions concerning product attributes of specific brands. Pricing Strategies Focused on Perceived Value Satisfaction-based Pricing Relationship Pricing Efficiency Pricing 20% to 70% Off! Was $199 Now $99 Sale!

Save 10% or more Save upto 50% Evaluations least favorable for ads stating the minimum discount level Ads stating maximum discount levels are better than stating a range Save 10% or more Save upto 50%

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