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Module 5:
Consumer Learning
6-2
Opening Vignette
 Why did these products fail?
–Curry Noodles
–Cadbury Bytes
–Maggie Capsicum
 Why did Maggie succeed?
6-3
Consumer Learning
A process by which individuals acquire
the purchase and consumption
knowledge and experience that they
apply to future related behaviour.
6-4
Learning Processes
Intentional
–learning acquired as a result of a
careful search for information
 Incidental
-- learning acquired by accident or
without much effort
6-5
Importance of Learning
 Marketers must teach consumers:
– where to buy
– how to use
– how to maintain
– how to dispose of products
6-6
Learning Theories
 Behavioural Theories:
Theories based on the
premise that learning
takes place as the result
of observable responses
to external stimuli.
Also known as
stimulus response
theory.
 Cognitive Theories:
A theory of learning
based on mental
information
processing, often in
response to problem
solving.
6-7
Elements of Learning Theories
 Motivation
 Cues
 Response
 Reinforcement
6-8
Reinforcement
 A positive or negative outcome that
influences the likelihood that a specific
behaviour will be repeated in the future in
response to a particular cue or stimulus.
6-9
Behavioural Learning Theories
 Classical Conditioning
 Instrumental Conditioning
 Modeling or Observational Learning
6-10
Classical Conditioning
 Pairing a stimulus with another stimulus
that elicits a known response to produce the
same response when used alone.
 http://almaz.com/nobel/medicine/1904a.htm
l
6-11
Instrumental (Operant)
Conditioning
 learning based on a trial-and-error process,
with habits forced as the result of positive
experiences (reinforcement)
6-12
6-13
6-14
Classical conditioning – cont’d
 Classical conditioning is the learning of
associations among events that allows us to
anticipate and represent our environment.
 From this viewpoint, classical conditioning
is not reflexive action, but rather the
acquisition of new knowledge
6-15
Strategic Applications of Classical
Conditioning
 Repetition
 Stimulus Generalization
– The inability to perceive differences
between slightly dissimilar stimuli.
 Stimulus Discrimination
6-16
Repetition
Repetition increases strength of
associations and slows forgetting
but over time may result in
advertising wearout.
Cosmetic variations reduce
satiation.
6-17
Three-Hit Theory
 Repetition is the basis for the idea that
three exposures to an ad are necessary
for the ad to be effective
 The number of actual repetitions to
equal three exposures is in question.
6-18
Stimulus Generalization
 The inability to perceive differences
between slightly dissimilar stimuli.
 Marketing applications
– Product Line, Form and Category
Extensions
– Family Branding
– Licensing
– Generalizing Usage Situations
6-19
Stimulus Discrimination
 The ability to select a specific stimulus from
among similar stimuli because of perceived
differences.
6-20
Classical Conditioning and
Marketing Strategy
 Identify and pair product with a known,
well-liked stimulus
– More attention
– More favourable attitudes
– Greater intention to buy the product
– Learning of key attributes
 Use stimulus generalization effectively
» Continued
6-21
Classical Conditioning and
Marketing Strategy
 Distinguish the product through
effective use of stimulus discrimination
6-22
6-23
Instrumental Conditioning
 Consumers learn by means of trial and error
process in which some purchase behaviours
result in more favorable outcomes (rewards)
than other purchase behaviours.
 A favorable experience is instrumental in
teaching the individual to repeat a specific
behaviour.
6-24
Reinforcement
 Positive
Reinforcement:
Positive outcomes that
strengthen the
likelihood of a specific
response
 Example: Ad showing
beautiful hair as a
reinforcement to buy
shampoo
 Negative
Reinforcement:
Unpleasant or negative
outcomes that serve to
encourage a specific
behaviour
 Example: Ad showing
wrinkled skin as
reinforcement to buy
skin cream
6-25
Other Concepts in Reinforcement
 Punishment
–Choose reinforcement rather than
punishment
 Extinction
–Combat with consumer satisfaction
 Forgetting
–Combat with repetition
6-26
Instrumental Conditioning and
Marketing
 Make the product the ultimate reward
 Provide samples and free trials
 Provide non-product rewards
 Practice relationship marketing
 Reinforcement Schedules
– Shaping
 Massed versus Distributed Learning
Copyright © 2006 Pearson Education Canada Inc. 6-27
Cognitive Learning Theory
 Learning through problem solving,
which enables individuals to gain some
control over their environment.
 Three types:
– Observational learning
– Rote Learning
– Reasoning
6-28
Observational Learning
 individuals learn by observing the
behaviour of others, and consequences of
such behaviour.
 Also known as modeling or vicarious
learning.
6-29
Iconic Rote Learning
 Learning concepts through simple
repetition
– Repeated ads teach consumers about a
product’s attributes
6-30
Reasoning
 Highest level of cognitive learning
 Involves creative thinking
 Depends on how information is
processed and stored
6-31
6-32
Retention
 Information is stored
in long-term memory
–Episodically: by the
order in which it is
acquired
–Semantically:
according to
significant concepts
6-33
Information processing and
Involvement Theory
 Central and Peripheral Routes to
Persuasion
– highly involved consumers are best reached
through ads that focus on the specific attributes
of the product (the central route)
– uninvolved consumers can be attracted through
peripheral advertising cues such as the model or
the setting (the peripheral route).
6-34
Elaboration Likelihood Model (ELM)
 a person’s level of involvement during
message processing determines which
route to persuasion is likely to be effective
6-35
The Elaboration Likelihood Model
Involvement
Central
Route
Peripheral
Route
Message
Arguments
Influence
Attitudes
Peripheral
Cues
Influence
Attitudes
HIGH
LOW
6-36
Cognitive Learning and
Marketing Strategy
 Use rote learning to teach consumers about
the brand
 Use reasoning or problem solving for
complex or high-involvement products
 Use modelling to extinguish negative
behaviour
 Use knowledge of information processing
to help consumers store, retain and retrieve
messages.
6-37
Measures of Consumer
Learning
 Recognition and Recall Measures
– Aided and Unaided Recall
 Cognitive Responses to Advertising
 Copy-testing Measures
 Attitudinal and Behavioural Measures
of Brand Loyalty

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Schiff cb ce_06

  • 2. 6-2 Opening Vignette  Why did these products fail? –Curry Noodles –Cadbury Bytes –Maggie Capsicum  Why did Maggie succeed?
  • 3. 6-3 Consumer Learning A process by which individuals acquire the purchase and consumption knowledge and experience that they apply to future related behaviour.
  • 4. 6-4 Learning Processes Intentional –learning acquired as a result of a careful search for information  Incidental -- learning acquired by accident or without much effort
  • 5. 6-5 Importance of Learning  Marketers must teach consumers: – where to buy – how to use – how to maintain – how to dispose of products
  • 6. 6-6 Learning Theories  Behavioural Theories: Theories based on the premise that learning takes place as the result of observable responses to external stimuli. Also known as stimulus response theory.  Cognitive Theories: A theory of learning based on mental information processing, often in response to problem solving.
  • 7. 6-7 Elements of Learning Theories  Motivation  Cues  Response  Reinforcement
  • 8. 6-8 Reinforcement  A positive or negative outcome that influences the likelihood that a specific behaviour will be repeated in the future in response to a particular cue or stimulus.
  • 9. 6-9 Behavioural Learning Theories  Classical Conditioning  Instrumental Conditioning  Modeling or Observational Learning
  • 10. 6-10 Classical Conditioning  Pairing a stimulus with another stimulus that elicits a known response to produce the same response when used alone.  http://almaz.com/nobel/medicine/1904a.htm l
  • 11. 6-11 Instrumental (Operant) Conditioning  learning based on a trial-and-error process, with habits forced as the result of positive experiences (reinforcement)
  • 12. 6-12
  • 13. 6-13
  • 14. 6-14 Classical conditioning – cont’d  Classical conditioning is the learning of associations among events that allows us to anticipate and represent our environment.  From this viewpoint, classical conditioning is not reflexive action, but rather the acquisition of new knowledge
  • 15. 6-15 Strategic Applications of Classical Conditioning  Repetition  Stimulus Generalization – The inability to perceive differences between slightly dissimilar stimuli.  Stimulus Discrimination
  • 16. 6-16 Repetition Repetition increases strength of associations and slows forgetting but over time may result in advertising wearout. Cosmetic variations reduce satiation.
  • 17. 6-17 Three-Hit Theory  Repetition is the basis for the idea that three exposures to an ad are necessary for the ad to be effective  The number of actual repetitions to equal three exposures is in question.
  • 18. 6-18 Stimulus Generalization  The inability to perceive differences between slightly dissimilar stimuli.  Marketing applications – Product Line, Form and Category Extensions – Family Branding – Licensing – Generalizing Usage Situations
  • 19. 6-19 Stimulus Discrimination  The ability to select a specific stimulus from among similar stimuli because of perceived differences.
  • 20. 6-20 Classical Conditioning and Marketing Strategy  Identify and pair product with a known, well-liked stimulus – More attention – More favourable attitudes – Greater intention to buy the product – Learning of key attributes  Use stimulus generalization effectively » Continued
  • 21. 6-21 Classical Conditioning and Marketing Strategy  Distinguish the product through effective use of stimulus discrimination
  • 22. 6-22
  • 23. 6-23 Instrumental Conditioning  Consumers learn by means of trial and error process in which some purchase behaviours result in more favorable outcomes (rewards) than other purchase behaviours.  A favorable experience is instrumental in teaching the individual to repeat a specific behaviour.
  • 24. 6-24 Reinforcement  Positive Reinforcement: Positive outcomes that strengthen the likelihood of a specific response  Example: Ad showing beautiful hair as a reinforcement to buy shampoo  Negative Reinforcement: Unpleasant or negative outcomes that serve to encourage a specific behaviour  Example: Ad showing wrinkled skin as reinforcement to buy skin cream
  • 25. 6-25 Other Concepts in Reinforcement  Punishment –Choose reinforcement rather than punishment  Extinction –Combat with consumer satisfaction  Forgetting –Combat with repetition
  • 26. 6-26 Instrumental Conditioning and Marketing  Make the product the ultimate reward  Provide samples and free trials  Provide non-product rewards  Practice relationship marketing  Reinforcement Schedules – Shaping  Massed versus Distributed Learning
  • 27. Copyright © 2006 Pearson Education Canada Inc. 6-27 Cognitive Learning Theory  Learning through problem solving, which enables individuals to gain some control over their environment.  Three types: – Observational learning – Rote Learning – Reasoning
  • 28. 6-28 Observational Learning  individuals learn by observing the behaviour of others, and consequences of such behaviour.  Also known as modeling or vicarious learning.
  • 29. 6-29 Iconic Rote Learning  Learning concepts through simple repetition – Repeated ads teach consumers about a product’s attributes
  • 30. 6-30 Reasoning  Highest level of cognitive learning  Involves creative thinking  Depends on how information is processed and stored
  • 31. 6-31
  • 32. 6-32 Retention  Information is stored in long-term memory –Episodically: by the order in which it is acquired –Semantically: according to significant concepts
  • 33. 6-33 Information processing and Involvement Theory  Central and Peripheral Routes to Persuasion – highly involved consumers are best reached through ads that focus on the specific attributes of the product (the central route) – uninvolved consumers can be attracted through peripheral advertising cues such as the model or the setting (the peripheral route).
  • 34. 6-34 Elaboration Likelihood Model (ELM)  a person’s level of involvement during message processing determines which route to persuasion is likely to be effective
  • 35. 6-35 The Elaboration Likelihood Model Involvement Central Route Peripheral Route Message Arguments Influence Attitudes Peripheral Cues Influence Attitudes HIGH LOW
  • 36. 6-36 Cognitive Learning and Marketing Strategy  Use rote learning to teach consumers about the brand  Use reasoning or problem solving for complex or high-involvement products  Use modelling to extinguish negative behaviour  Use knowledge of information processing to help consumers store, retain and retrieve messages.
  • 37. 6-37 Measures of Consumer Learning  Recognition and Recall Measures – Aided and Unaided Recall  Cognitive Responses to Advertising  Copy-testing Measures  Attitudinal and Behavioural Measures of Brand Loyalty