1. CHAPTER EIGHT Perception Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

2. What makes a good ad? Name the benefit Tell what the product will do Visualize the benefit. Keep it simple. Emphasize the benefit. Don’t obscure the benefit. Get personal with the benefit (with a purpose). The benefit is not always rational.

3. AIDA Model Attention: Use stimulus factors. Interest: Tangible and intangible benefits. Desire: Want to start using the product or adopting the idea or behavior NOW! Action: Method for response. Make it easy to purchase or act.

4. How? Why? Will taste ever return to America?

5. The Littlest Groom on Fox (How not to conduct yourself as a marketing professional.)

6. Communication Objectives 4.Facilitate Purchase 3. Creating Brand Awareness 1. Build Category Wants 2. Enhancing attitudes and influencing intentions

7. Elements in the Communication Process Source (Encodes message) Message channel Receiver (Decodes message) Feedback Noise

8. The Meaning of Meaning Meaning The perceptions(thoughts) and affective reactions(feelings) to stimuli evoked within a person when presented with a sign in a particular context

9. Sign Derives its meaning from other items in its context and vice versa Polo logo signifies high status, financial well-being, and even royalty The Use of Signs and Symbols in Marketing

10. Illustration of a sign relation The Use of Signs and Symbols in Marketing

11. Symbol An object associated with a brand name Object and referent have no prior intrinsic relationship Often created with simile, metaphor, allegory

12. The Use of Signs and Symbols in Marketing Simile Uses a comparative terms such as like or as to join items from different classes of experience e.g., “Jekyll Island, Georgia. Like the tide, it draws you back again and again.”

13. The Use of Signs and Symbols in Marketing Metaphor Differs from simile in that the comparative term is omitted Create a picture in consumers’ minds and tap into meaning shared both by the advertiser and consumer e.g., Wheaties is the “cereal of champions”

14. The Use of Signs and Symbols in Marketing The use of metaphor in advertising

15. The Use of Signs and Symbols in Marketing Allegory A form of extended metaphor Conveys meaning in a story-underneath-a- story, where something other than what is literally represented is also occurring Personification Often used in advertising of potentially offensive products

16. The Use of Signs and Symbols in Marketing Allegorical personification: The Pillsbury Dough Boy

17. Behavior Foundations of Marketing Communications How consumers process and respond to marketing communications stimuli and make choices among brands

18. Behavior Foundations of Marketing Communications Consumer Processing Model (CPM) Behavior is seen as rational, highly cognitive, systematic,and reasoned

19. Information Processing for Consumer Decision Making 8-1 Exposure Random Deliberate Attention Low- High- involvement Interpretation Low- High- involvement Short-term Memory Long-term Active problem Stored experiences, solving values, decisions, rules, feelings Purchase and consumption decisions Perception Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

20. The 8 Stages of Consumer Information Processing CPMCPM

21. Consumer Information Processing: Stage 1 Exposure to information Consumers come in contact with the marketer’s message Gaining exposure is a necessary but insufficient for communication success A function of key managerial decisions regarding the size of the budget and the choice of media and vehicles

22. Selective Attention: Stage 2 Attention Focus on and consider a message to which one has been exposed Highly selective Three kinds of attention »Involuntary, nonvoluntary, voluntary

23. Three Kinds of Attention when a person willfully notices a stimulus little or no effort on the part of a receiver when a person is attracted to a stimulus and continues to pay attention

24. Information Processing is Selective 8-2 Exposure Attention Interpretation Memory Stimuli Copyright © 2001 by The McGraw-Hill Companies, Inc. All rights reserved.

25. Selective Attention: Stage 2 To attract consumers attention: Appeals to cognitive and hedonic needs Use of novel stimuli Use of intense stimuli Use of motion

26. Selective Attention: Stage 2 Illustration of selective attention

27. Appeals to Cognitive and Hedonic Needs Hedonic Needs Needs that make them feel good and bring pleasure Cognitive Needs Immediate functional needs of the consumer

28. Hedonic Needs Hedonic appeal to the love for babies

29. Hedonic Needs Hedonic appetitive appeal

30. Hedonic Needs Hedonic appeal to love of families

31. Hedonic Needs Hedonic sex appeal

32. Use of Novel Stimuli The use of novelty to attract attention

33. Use of Intense Stimuli Use of intensity

34. Use of Motion The use of motion to attract attention

35. Use of Motion Another illustration of motion in advertising

36. Use of Motion Another illustration of motion in advertising

37. Comprehension: Stage 3 Understand and create meaning out of stimuli and symbols Interpreting stimuli involves perceptual encoding Peculiar to each individual (idiosyncratic) Mood can influence Miscomprehension are common

38. Perceptual Encoding 1. Feature analysis: I nitial stage whereby a receiver examines the basic features of a stimulus 2. Active synthesis: Beyond examining physical features, the context or situation plays a major role in what meaning is acquired

39. Consumer Information Processing: Stage 4 Agreement with what is comprehended The matter of whether consumers yield to - that is, agree with - what they have comprehended

40. Agreement: Stage 4 Comprehension by itself does not ensure that the message influences consumers’ behavior Agreement depends on »whether the message is credible »whether the information appeals to the consumer

41. Retention and Search/Retrieval of Stored Information These two information processing stages, retention and information search and retrieval, both involve memory factors related to consumer choice

42. Elements of Memory Memory Memory involves the related issues of what consumers remember about marketing stimuli and how they access and retrieve information when making consumption choices

43. Elements of Memory Sensory stores(SS): » Information is rapidly lost unless attention is allocated to the stimulus Short-Term Memory(STM): » Limited processing capacity »Not thought or rehearsed information will be lost in 30 seconds or less

44. Elements of Memory Long-Term Memory (LTM): »A virtual storehouse of unlimited information »Information is organized into coherent and associated cognitive units called schemata, memory organization packets, or knowledge structures »The marketer’s job is to provide positively valued information that consumers will store in LTM

45. A Consumer’s Knowledge Structure for the Mazda Miata Two-Seater Convertible Fun to drive Japanese Well-MadeAffordable Small Sports car Mazda Miata Little luggage space Economical Nostalgic Sexy British racing green Women

46. Learning and LTM Learning represents changes in the content or organization of information in consumers’ long-term memories Marketing communicators attempt to alter consumers’ long-term memories, knowledge structures, by facilitating learning of information that is compatible with the marketer’s interest

47. Retention and Search/Retrieval of Stored Information Facilitating consumer’s learning

48. Types of Learning Two types of learning Strengthening of linkages among specific memory concepts »repeating claims, presenting them in a more concrete fashion and being creative in conveying a product’s features Establishing entirely new linkages

49. Types of Learning Establishing a new linkage between a brand and a desirable feature

50. Information that is learned and stored in memory only impacts consumer choice behavior when it is searched and retrieved Retrieval is facilitated when new information is linked with another concept that is well known and easily accessed Search and Retrieval of Information

51. Use of Concretizing and Imagery Concretizing It is easier for people to remember and retrieve tangible rather than abstract information, so claims about a brand are more concrete when they are made perceptible, palpable, real, evident, and vivid

52. Use of Concretizing and Imagery Imagery Representation of sensory experiences in short-term memory including visual, auditory, and other sensory, experiences

53. Use of Concretizing and Imagery Heartburn verbal framing

54. Eliciting Imagery Use visual or pictorial stimuli: »pictures and visuals are best remembered, dual-coding theory Present concrete verbal stimuli »better remembered when words are paired with meaningful pictorials Provide imagery instructions

55. The Case of Olfactory Stimuli Smells can evoke strong images of products, product usage, and consumption situations. Moreover, olfactory stimuli can attract attention, motivate information processing, influence memories, affect store and product evaluations, and active behavior

56. Consumer Decision Making: Stage 7 Decision heuristics for decision making Affect referral Compensatory heuristic Conjunctive heuristic Phased strategies

57. Affect Referral Selects the alternative for which the affect is most positive Recalls attitude, or affect, toward relevant alternatives

58. Compensatory Heuristic Chooses the alternative with criteria that best compensates for inferior criteria Evaluates alternatives in terms of criteria trade-off

59. Conjunctive Heuristic Selects the alternative with criteria that meets all minimum cutoffs Evaluates alternatives in terms of criteria minimum cutoffs

60. Phased Strategies Chooses using a combination of heuristics Evaluates alternatives using both compensatory and noncompensatory heuristics

61. Action: Stage 8 Action on the basis of the decision People do not always behave in a manner consistent with their preferences due to the presence of events, or situational factors Situational factors are especially prevalent in low-involvement consumer behavior

62. The HEM perspective People often consume products for the fun of it or in the pursuit of amusement, fantasies, or sensory simulation Products are subjective symbols that precipitate feelings and promise fun and the possible realization of fantasies The communication of HEM-relevant products emphasizes nonverbal content or emotionally provocative words and is intended to generate images, fantasies, and positive emotions and feelings

63. CPM vs. HEM An advertisement exemplifying the CPM approach

64. CPM vs. HEM An advertisement exemplifying the HEM approach

65. CPM vs. HEM Vs.