1. CONSUMER NEEDS & MOTIVATION RADIKA WIMALARATNE STUDENT # 7545819

2. BASIC DEFINITIONS  Needs are the essence of the marketing concept. Marketers do not create them but can make consumers aware of them ( Schiffman & Kanuk, 2009).  Motivation is the driving force within individuals that impels them to action. It is produced by a state of tension, by having a need which is unfulfilled ( Schiffman & Kanuk, 2009). This is part of the physiological factors that influences consumer behaviour. RADIKA WIMALARATNE STUDENT # 7545819

3. CONSUMER NEEDS AND MOTIVATION EXPLAINED  Consumer needs are the starting point from which business activities are planned.  They are biological, relating to primary or physiological elements; or psychological, i.e., emotional.  Primary needs are often modified by psychological needs, and are subject to social and other influences. RADIKA WIMALARATNE STUDENT # 7545819

4. CONTINUED….  Human motivations are oriented around two key groups of behaviour. 1. Homeostasis – Natural Human behaviour to seek consistency in the environment. Such as maintaining a certain level of comfort. (Quester & Neil, 2007). Eg: heating or cooling, in order to regulate body temperature. 2. Self- Improvement – Improving ones current state to a level that is more ideal (Quester & Neil, 2007). Eg: Weight loss with the intention of improving health.  Researchers Classify motives in several ways, Maslow’s Hierarchy of Needs being the most popular.  Abraham Maslow, an American psychologist in 1954 developed the hierarchy of needs model which can help us understand the basis of human motivation. RADIKA WIMALARATNE STUDENT # 7545819

5. RADIKA WIMALARATNE STUDENT # 7545819 This theory describes consumers as addressing a finite set of prioritized needs. Common needs are physiological and are concerned with basic survival--the need for food, shelter and safety. Higher-level needs include social needs(relationships, family and love), esteem needs (recognition and status) and self-actualization needs (fulfillment of self). According to Maslow, an individual must meet lower-level needs before being motivated to fulfill higher-level needs (ICMR,2012).

6. CATEGORIES OF MOTIVATION  Consumer Motivation can be further classified in to 2 types of motivation allowing consumer behavior to be more easily understood based on consumption acts realizing hedonic and utilitarian value. 1. Hedonic Motivation: Hedonic motivation is the drive to experience something emotionally gratifying(Babin, 87). Hedonic items are considered rare purchases, more enjoyable and stimulating and the buyer is less price sensitive. Eg: A designer handbag, luxury cruise trip or an expensive wine. RADIKA WIMALARATNE STUDENT # 7545819

7. CATEGORIES OF MOTIVATION CONTINUED…. 2. Utilitarian Motivation : Drive to acquire products that can be used to accomplish something(Babin, 87). Utility items are purchased frequently more out of need and are a regular part of the consumer's life, and buyers are price sensitive. Eg: Breakfast cereal, clothes or toilet paper. RADIKA WIMALARATNE STUDENT # 7545819

8. HEDONIC & UTILITARIAN MOTIVATION CONTINUED…  Hedonic goods and utilitarian goods both serve purposes for consumers when shopping.  The positive hedonic influences comes from the buying of luxury goods, such as enjoyment and stimulation.  Utilitarian goods are items bought out of necessity and don't necessarily bring any joy to the consumer.  The hedonic value of needs increases as it moves up the hierarchy and the utilitarian value increases moving down the hierarchy. © 2009 South-Western, a division of Cengage Learning. 5- LO 1 RADIKA WIMALARATNE STUDENT # 7545819 Marketers and advertisers often sell products by communicating an emotion or a feeling that these consumer motivations bring about. Maslow's hierarchy is used to target advertisements towards needs at different levels of the hierarchy

9. EXAMPLE 1: QANTAS “FEELS LIKE HOME” CAMPAIGN  Features five Australians returning home from overseas, portrays the emotional reunion with their families in Australia.  Link to Advertisement: https://www.youtube.com/watch?v=16RhgfA662k https://www.youtube.com/watch?v=16RhgfA662k  Here through multiple scenes of the advertisement the consumers are made aware of the emotion of coming home to safety, and to love of family and friends and how Qantas makes that happen (mUmBRELLA. 2014).  The ad taps in to 2 levels of Maslow’s hierarchy, the sense of security and belongingness and love.  The underlying message being, warmth and familiarity of home that the consumer will receive when choosing to fly with Qantas. RADIKA WIMALARATNE STUDENT # 7545819

10. EXAMPLE 2: BMW 4 SERIES GRAN COUPÉ The consumer is introduced to the car as the ultimate driving machine for thrills, action and reaction, and shows a glimpse of the luxurious interior with leather seats etc, and ending with a tag line stating “for those who want it all.” Link to Advertisement: https://www.youtube.com/watch?v=AUe5nLlYFio This advertisement taps in to the higher levels of the hierarchy, directed at consumers who are looking for a product that will give them esteem, pride and sense of accomplishment. RADIKA WIMALARATNE STUDENT # 7545819

11. IN SUMMARY..  Consumer motivation is an internal state that drives people to identify and buy products or services that fulfill conscious and unconscious needs or desires.  As seen by the Consumer Value framework, motivations do not completely determine behaviour. Other sources, such as physical environment influence behaviour. However, motivations predominantly provide the reason for a consumer’s actions.  Maslow’s theories form a foundation for marketers to interpret and understand the direct and interdependent relationship between consumer needs, goals and motivations as consumers have a complex structure of needs relating to social, cultural, emotional, and intellectual interests, all ultimately affecting consumer buyer behaviour. RADIKA WIMALARATNE STUDENT # 7545819

12. REFERENCES  Schiffman, L. & Kanuk, L., 2009. Consumer Behavior. 5th ed. Upper Saddle River, N.J.: Prentice Hall  Quester, P. and Neal, C. 2007, Consumer Behaviour: Implications for Marketing Strategy. 5th ed. North Ryde, N.S.W.: McGraw-Hill, p.Chapter 10.  IBS Centre for Management Research. 2012. Consumer Behaviour. [ONLINE] Available at: http://www.icmrindia.org/courseware/Consumer%20Behavior/CBC03.htm. [Accessed 01 December 14]. http://www.icmrindia.org/courseware/Consumer%20Behavior/CBC03.htm  Babin, B.J, E.G. Harris. 2013. CB5, 5th Edition. Cengage Learning AUS. VitalBook file  Ahtola, Olli T., 1985. Hedonic and Utilitarian aspects of Consumer Behavior: An Attitudinal Perspective. Advances in Consumer Research, [Online]. 12, 7-10. Available at: http://www.acrwebsite.org/search/view- conference-proceedings.aspx?Id=6348 [Accessed 27 November 2014].http://www.acrwebsite.org/search/view- conference-proceedings.aspx?Id=6348  timvandevall, 2013, maslows-hierarchy-of-needs-chart.jpg, http://timvandevall.com/printable-maslows- hierarchy-of-needs-chart, [Accessed 27 November 2014].  An Illustration of Consumer Motivations According to Maslow’s Hierarchy © 2009 South-Western, a division of Cengage Learning. 5- LO 2  mUmBRELLA. 2014. Embattled Qantas looks to ‘reconnect’ with passengers with TV-led brand push. [ONLINE] Available at: http://mumbrella.com.au/qantas-brand-campaign-261235. [Accessed 01 December 14].http://mumbrella.com.au/qantas-brand-campaign-261235 RADIKA WIMALARATNE STUDENT # 7545819