1. MKTG 371 PERCEPTION Lars Perner, Instructor 1 PERCEPTION  Perception is subjective— approximation of reality  More information is available than can be processed  “Perceptual guards”

2. MKTG 371 PERCEPTION Lars Perner, Instructor 2 Alteration of Images for Optimal Perceived Stimulus http://www.jasc.com/support/learn/tutorials/archive/paintshoppro/eyeenhancement.asp?pg=1 Photoshop manipulation enhancing eyes

3. MKTG 371 PERCEPTION Lars Perner, Instructor 3 Information Processing for Consumer Decision Making EXPOSURE Random______________Deliberate ATTENTION Low involvement—High Involvement INTERPRETATION Low involvement—High Involvement MEMORY Short term____________Long Term PURCHASE /CONSUMPTION DECISIONS Text, p. 278 PERCEPTION

4. MKTG 371 PERCEPTION Lars Perner, Instructor 4 Exposure, Attention, and Perception  What is necessary to reach consumers? –Exposure (e.g., consumer must see your billboard) –Attention (e.g., consumer must look at ad message) –Perception (e.g., consumer must “take in” message)

5. MKTG 371 PERCEPTION Lars Perner, Instructor 5 The Senses  Vision –Influence of colors –Priority of attention  Smell –Strong affective impact; associations in memory  Hearing –Priority of attention –Habituation

6. MKTG 371 PERCEPTION Lars Perner, Instructor 6 More Senses  Touch –Affective impact  Taste –Acquired tastes –Influence of smell

7. MKTG 371 PERCEPTION Lars Perner, Instructor 7 Definition Exposure: the process by which the consumer comes in physical contact with a stimulus.

8. MKTG 371 PERCEPTION Lars Perner, Instructor 8 Sensing Change (Perceptual Thresholds)  “Downsizing” of products  Reducing alcohol content of beverages  Weber’s Law—larger change is needed in a strong stimulus before it can be detected

9. MKTG 371 PERCEPTION Lars Perner, Instructor 9 Subliminal Perception: A Diabolical Marketing Tool?  Subliminal messages in ads are illegal in U.S.  Some research support for modest effects

10. MKTG 371 PERCEPTION Lars Perner, Instructor 10 How Do You Gain Exposure?  Research target group habits  “Hidden” product placements  Computer screen savers  Point-of-purchase displays

11. MKTG 371 PERCEPTION Lars Perner, Instructor 11 Selective Exposure  How much attention are you likely to give to the following advertising encounters? –radio ad while driving –ad in newspaper or magazine –freeway billboard –direct mail appeal

12. MKTG 371 PERCEPTION Lars Perner, Instructor 12 How Can We Increase Consumers’ Exposure?  “Roadblocking”--you can run, but you can’t hide!  Repetition  Wide presence

13. MKTG 371 PERCEPTION Lars Perner, Instructor 13 Properties of Attention  Selective  Capable of being divided  Limited

14. MKTG 371 PERCEPTION Lars Perner, Instructor 14 Some Determinants of Attention Given to Stimuli  Self-relevance  Movement (animation)  Position  Isolation  Format  Pleasantness  Surprisingness  Contrast  Information quality  Interestingness  Ease of processing 3 7 9 6 = 81

15. MKTG 371 PERCEPTION Lars Perner, Instructor 15 Color, Movement, and Position  Color –Brighter colors are likely to get more attention –Preference for color  Movement –Attention to moving object is evolutionarily adaptive  Position –Placement relative to the viewer’s visual field –Objects closer to center are more likely to be seen  Eye level shelf space is preferred –Right hand ads tend to receive more attention than those at left –Gaze Motion Theory

16. MKTG 371 PERCEPTION Lars Perner, Instructor 16 Isolation and Format  Isolation –Fewer competing stimuli –Use of “white space”  Format –The way a message is organized –Simpler layouts tend to get more attention (less effort required)

17. MKTG 371 PERCEPTION Lars Perner, Instructor 17 Contrast/Expectations  More attention given to a stimulus which does not “blend in” to the background  Stimuli with unexpected content tend to receive more attention (prioritized as potentially important information)  Adaptation Level Theory—stimuli will eventually be less unexpected based on prior experience

18. MKTG 371 PERCEPTION Lars Perner, Instructor 18 Interestingness and Info Quantity  Interestingness –Interest motivates allocation of attention –Intense competition for interest  Info Quantity –Information overload  Difficult to cope with excessive information –Better organized information is more useful

19. MKTG 371 PERCEPTION Lars Perner, Instructor 19 Self-Relevance  Needs, values, and goals  Similarity of source  Dramas  Rhetorical questions

20. MKTG 371 PERCEPTION Lars Perner, Instructor 20 Pleasantness of Stimuli  Attractive visuals  Music  Humor

21. MKTG 371 PERCEPTION Lars Perner, Instructor 21 Surprisingness of Stimuli  Novelty  Unexpectedness

22. MKTG 371 PERCEPTION Lars Perner, Instructor 22 Ease of Processing  Prominence  Concreteness  Contrast

23. MKTG 371 PERCEPTION Lars Perner, Instructor 23 Interpretation  Meanings assigned to stimuli –Often highly culturally influenced based on expectations –Cognitive interpretation and categorization  Categories as a way to simplify the world –Social/linguistic categories –Ad hoc categories  Prototypes and “perfect” examplars –Superordinate (e.g., “furniture”), basic (e.g., “chair”), and subordinate (e.g., “office chair”).

24. MKTG 371 PERCEPTION Lars Perner, Instructor 24 Perception and Marketing Strategy  Retail –Allocation of retail shelf space  High volume items  Category allotment –Point-of-purchase displays  Brand name/logo development –Brand associations –Visual images  Media strategy –Product category vs. involvement  Advertisements and Package Design –Use of humor— attention to the humor vs. the product

25. MKTG 371 PERCEPTION Lars Perner, Instructor 25 Advertising Evaluation  Exposure –People meters –Web site visits/”hits” –Click-through rates  Attention –Day after recall –“Starch” scores based on attention given to advertising parts  “Noted”  “Seen-associated”  “Read most”  Interpretation –Focus groups –Projective research  Memory –Brand awareness levels

26. MKTG 371 PERCEPTION Lars Perner, Instructor 26 Ambush Marketing  Attempt to associate brand with a non- owned entity –E.g.,  Advertising for the use of one brand of film at the Olympics when another brand is the official sponsor  Sponsoring a small part of the event  Advertising during the event