1. ADVERTISING: Consumer Behavior Decision Making

2. Freud: the Subconscious Early 1900s: –ID, Superego, and Ego –People are driven by instincts not aware of these drives –They have self-protection devices: Rationalization, sublimation, etc These HIDE their real desires –Implications for Advertising ????

3. Physiological needs

4. Maslow’s Hierarchy of Needs Self-actualization needs self-development and realization Esteem needs self-esteem, recognition, status Social needs sense of belonging, love Safety needs security, protection Physiological needs hunger, thirst, sex

5. Safety needs

6. Social needs?

7. Which needs?

8. Behaviorism

10. Behaviorism: Classical Conditioning Unconditioned stimulus –Sex Unconditioned Response –Arousal Conditioned stimulus –Beer Conditioned Response –Arousal

11. Alcohol and Sex

12. Jewellery and Sex

13. Beer and nationalism

16. Problem recognition –Motivation Information search –Perception Evaluation of alternatives –Attitude formation Purchase decision –Integration Post-purchase evaluation –Learning [Return or complaints] Cognitive Decision Making

17. Discussion What was the last product you searched for information on before buying?

18. Segmentation Identify most relevant variable Product use or motivations differ Divide into HOMOGENOUS segments

19. Targeting Targeting Criteria –Segment size (Substantial) –Unique (Differentiable) –Cost of marketing (Accesable) (Actionable) –Profitability Competition Growth

20. Quote of the Day Buy me and you will overcome the anxieties I have just reminded you of. Michael Schudson (Professor)