literature review

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Week3Plenary3_Studentcopy.pptx

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Plenary 3 Learning Outcomes

LO1: Understand what memory is

LO2 Understand how memory, learning and perception is good for brands

LO3: Understand the nature of learning

LO4: Understand the types of conditioning and what they mean for marketers

LO5: Understand the role of perception and what it means for marketers

LO6: Understand the link between the concepts of memory, learning and perception

Quantitative

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Readings

Required:

Ariely, D., & Norton, M. I. (2009). How concepts affect consumption. Harvard Business Review, 87(6), 14–17.

Dashiell, J. F., & Muenzinger, K. F. (1943). Psychology: The Science of Behavior. The American Journal of Psychology, 56(1), 143. https://doi.org/10.2307/1417915

Extra:

O’Donnell, E., & Brown, S. (2011). The effect of memory structure and function on consumers’ perception and recall of marketing messages: A review of the memory research in marketing. Academy of Marketing Studies Journal, 15(1), 71–86.

Silvestri, C., Aquilani, B., Piccarozzi, M., & Ruggieri, A. (2020). Consumer Quality Perception in Traditional Food: Parmigiano Reggiano Cheese. Journal of International Food and Agribusiness Marketing, 32(2), 141–167. https://doi.org/10.1080/08974438.2019.1599754

Qualitative

Quantitative

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What is memory?

The recollection of a past experience

It can be thought to involve 3 sequential phases:

an experience

a passage of time

a second experience relating to the first

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How good is your memory for brands?

How many brands can you name in each category?

Toothpaste

Cars

Banks

Chocolate

Unprompted awareness

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What is memory?

Procedural

Knowledge

Declarative Knowledge

- episodic

- semantic

SENSORY

MEMORY

SHORT TERM

MEMORY

LONG-TERM

MEMORY

FILTER (-attention)

- Holding area

- Buffer

- Active thinking

- Center of cognition

“Staging area”

- Storage

Rehearsal

Retrieval

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The total accumulation of prior learning experiences.

Anything can be stored in memory (ideas, concepts, decision rules, processes, emotion).

Short-term memory

(Also known as working memory)

The portion of total memory that is currently activated or in use.

Two basic information-processing activities occur:

Elaborative activities

Using previously stored memories to interpret and evaluate information in working memory

Maintenance rehearsal

Continual repetition of information to hold it in current memory or transferral to long-term memory

Long-term memory

The unlimited, permanent storage of learned items.

Two types of long-term memories:

Semantic memory

Basic knowledge and feelings people have about a concept.

Episodic memory

Memory of a sequence of events in which a person participated (i.e., ‘an episode’ of life).

Long-term memories are organised in a schema (i.e., knowledge structure)

(Quester et al., 2014)

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What is memory?

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What is memory?

Memory Control Process

Rehearsal

Maintenance or elaborative

Coding; information is tagged or cued for long-term memory

Dual coding. The more codes involved in a particular circumstance, the easier the recall will be.

Forgetting

Decay, displacement and failure

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Enhancing Consumer Memory

Encourage rehearsal- Catchy jingles, slogans

Chunking- 0800-83-83-83

Ad Repetition – with variations

Encourage elaboration – relate to a scene

Use emotion – link to a positive (or negative) event

Music – link in a meaningful way

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How is memory related to marketing?

Brand awareness

Sponsored events

Brand loyalty

Good vs bad experiences

What else?

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The nature of learning

Learning is any change in content or organization of long-term memory and is the result of information processing.

‘Involvement’ applies in learning as well.

High-involvement learning: a situation where the consumer is motivated to learn

Low involvement learning: a situation where the consumer has little to no motivation to learn

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The nature of learning

As marketers, we have a role in every stage of this process, we have the ability to influence consumers

Note: This is not something that should be abused.

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Learning theories in high- and low- involvement situations

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Exercise:

High involvement situation: Buying a house

Low involvement situation: Buying toilet paper

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Conditioning

Learning that is based on the association of a stimulus (information) and a response (behaviour or feeling).

Two learning theories under the conditioning approach:

Classical conditioning

Operant conditioning

The interpretation is clear if the modal responses are, ‘Harvard-BMW™-Westchester-Hawaii-cognac’ in contrast to, ‘State technical school-Ford™ pickup-rural Georgia-Atlantic City-beer’. One suggests an aggressively upscale suburban lifestyle while the image of the other is more masculine and working class.

Show cards

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Classical conditioning (Pavlov)

Process of using an established

relationship between a stimulus and

a response to bring the same association to a different stimulus.

A new response is learned through repeated associations.

Most common in low-involvement learning situations.

Usually, it is not information that is

learned, it is emotion (i.e., an ‘affective’ response).

Pavlov’s dogs

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How is this useful to Marketers?

Classical Conditioning

Helps make positive and meaningful associations with a brand

Doesn’t require conscious and demanding attention

Builds an emotional connection rather than providing information

Most common for low involvement categories, but is also employed to build image for high involvement categories

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Classical Conditioning

Helps make positive and meaningful associations with a brand

Doesn’t require conscious and demanding attention

Builds an emotional connection rather than providing information

Most common for low involvement categories, but is also employed to build image for high involvement categories

How is this useful to Marketers?

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Operant conditioning (Skinner)

Process of learning where the consumer’s response to a stimulus is either reinforced (i.e., rewarded) or discouraged or extinguished (i.e., punished).

Most common in high-involvement learning situations (i.e., requires thought about the benefit gained from desired behaviour).

Trial and error behaviour Must be induced to trial the behaviour first to lead to the final desired response ➔ “shaping”

E.g., product samples, free tastings

https://www.youtube.com/watch?v=xnf8i_IRCcw&ab_channel=srampone10

(Quester et al., 2014)

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Cognitive learning

Learning ideas, concepts,

attitudes, and facts as they work

to solve problems or cope with situations.

It is more complex learning than conditioning.

Three learning theories under the cognitive approach:

Iconic rote learning

Vicarious learning (modelling)

Reasoning

(Quester et al., 2014)

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Consumer behaviourist assumption

Behaviourists believe that:

1. Behaviour is shaped by reinforcement

A learning process involving a stimulus and a response.

Marketers produce stimuli and consumers respond and learn behaviour

2. Stimulus-response theory.

Behaviour is strengthened by repetition and practice; marketing rewards and shapes consumer behaviour.

3. Consumption is a learned activity that is mostly passive

Role of marketing is to produce stimuli and introduce buying patterns; once learned, consumers continue to behave that way.

(Quester et al., 2014)

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Behavioural view of consumers

(Quester et al., 2014)

Stimulus

Processing

Response

Processing limitations:

Selective attention

Screening out stimuli

Selective distortion

Only use information to support what we believe

Selective retention

Only remember what we want to remember

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The nature of perception

Information processing system

Before everything, we need to consciously perceive in order to respond.

Perception:

The process by which we notice, attend to, and interpret stimuli that we encounter in the world around us. It involves our five senses (sight, sound, taste, touch, smell).

Information processing (like a computer):

A series of interlinked activities where stimuli are transformed into information and stored.

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The nature of perception

Information processing system

Perception consists of those activities by which an individual acquires and assigns meaning to stimuli

It is the way information is acquired from the environment via the sense organs and then transformed into experience

How an individual selects, organises and interprets stimuli to produce a meaningful and coherent picture of the world

“Your perception is your reality”

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Steps involved in perception

Information processing system

Perception begins with Exposure to something (e.g. a marketing message).

Humans vary in their ability to detect sensations

Sensory thresholds exist for the senses

Attention occurs when the stimulus activates one or more of the sensory receptors, and the resulting sensations go into the brain for processing

Attention is limited

Adaptation occurs with prolonged exposure

Interpretation is the assignment of meaning to the stimuli that have been attended to

Organisation and categorisation within existing categories

To integration with Memory and Learning

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Which stimulus factors influence this process?

Stimulus factors are physical characteristics of the stimulus (e.g. product, ad message) such as:

Contrast

Size

Intensity

Colour

Movement

Position

Isolation

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Stimulus factors

Size and intensity

Colour and movement

Position

Isolation

Format

Contrast

JND (just-noticeable difference)

How much change in a stimulus is required for people to notice the difference

Information overload

When a person is confronted with so much information that they cannot or will not attend to all of it

(Choi, 2018)

(Quester et al., 2014)

Individual factors

Individual factors:

Personal characteristics likely to influence how an individual consumer perceives and processes information.

A consumer’s interests, needs, and motivations are the primary individual characteristics that influence their attention.

People also differ in their ‘need for cognition’ (i.e., enjoy effortful thinking, problem-solving, and are able to concentrate better).

Perceptual vigilance:

Tendency to have higher awareness of stimuli that are relevant to our current needs or interests.

Perceptual defence:

Tendency to have decreased awareness of stimuli that are not relevant to our current needs or interests.

(Quester et al., 2014)

Interpretation

Interpretation is assigning meaning to a stimulus to which we attend (i.e., pay attention).

Meaning is created by combining our existing knowledge with the information provided by the stimulus.

We organise and categorise the new information in our minds.

We identify patterns that we interpret.

Interpretation can be:

Cognitive interpretation – stimuli are placed within existing categories of meaning

Affective interpretation – emotional or feeling response that is triggered

(Quester et al., 2014)

Which individual factors influence this process of perception?

Characteristics of the individual, such as:

Interests

Needs and motivations

Prior experiences

Learning

Perceptual vigilance occurs when there is a heightened awareness to relevant stimuli

Perceptual defence – decreased awareness or blocking out information

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Which situational factors influence this process of perception?

Individual and stimulus factors are both influenced by, and influence, the situation in which they occur

Many other environmental elements and other stimuli affect the process

A consumer’s mood

Time pressure

Has implications for retail store design

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Application of perception to marketing

Both stimulus and personal-interest factors are used to attract attention to advertisements and packages

Characteristics of the target market and the message are studied to ensure that accurate interpretation occurs

The meaning that consumers assign to words and colours are important in choosing brand names and colours

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Ad Break #1:

Watch the ad and comment to the person next to you on:

What grabs your attention

Stimulus Factors

Individual Factors

Situational Factors

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How does perception or pre-conceived ideas influence us?

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Attention

Occurs when a stimulus activates one or more sensory receptors and the resulting sensations are sent to the brain for processing (i.e., conscious attention).

Attention is determined by three factors:

Stimulus factors – physical characteristics of a stimulus itself

Individual factors – personal characteristics influencing how a person perceives and processes information

Situational factors – elements in the environment other than the stimulus that influence consumer behaviour (refer to plenary 2 for situational influences—produce scattered attention or disinterest)

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Involvement = personal relevance. i.e. how relevant & interesting something is to you personally.

Keep in mind, that there are 2 main types:

1. Situational Involvement

2. Intrinsic Involvement

Remember this from last week: Involvement Definition

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Vicarious learning (modelling)

Learning based on the observation and/or imitation of the behaviour of others.

The individual does not need to directly experience a reward or punishment to learn. Instead, they observe the outcomes of other people’s behaviour and adjust their own accordingly.

Consumers do this all the time. It’s called WOM and following the crowd.

(Quester et al., 2014)

Summary of learning theories

(Quester et al., 2014)