1. Personality and Consumer Behavior CHAPTER FIVE

2. Learning Objectives 1.To Understand How Personality Reflects Consumers’ Inner Differences. 2.To Understand How Freudian, Neo-Freudian, and Trait Theories Each Explain the Influence of Personality on Consumers’ Attitudes and Behavior. 3.To Understand How Personality Reflects Consumers’ Responses to Product and Marketing Messages. 2Copyright 2010 Pearson Education, Inc. publishing as Prentice HallChapter Five Slide

3. Learning Objectives (continued) 4.To Understand How Marketers Seek to Create Brand Personalities-Like Traits. 5.To Understand How the Products and Services That Consumers Use Enhance Their Self-Images. 6.To Understand How Consumers Can Create Online Identities Reflecting a Particular Set of Personality Traits. 3Copyright 2010 Pearson Education, Inc. publishing as Prentice HallChapter Five Slide

4. What Is the Personality Personality is defined as those inner psychological characteristics that both determine and reflect how a person responds to his or her environment. The emphasis in this definition is on inner characteristics—those specific qualities, attributes, traits, factors, and mannerisms that distinguish one individual from other individuals.

5. Personality and The Nature of Personality The Nature of Personality: – Personality reflects individual differences – Personality is consistent and enduring – Personality can change Personality Reflects Individual Differences An individual’s personality is a unique combination of factors; no two individuals are exactly alike. It enables us to categorize consumers into ≠ groups on the basis of a single trait or a few traits. 5Copyright 2010 Pearson Education, Inc. publishing as Prentice HallChapter Five Slide

6. Personality is Consistent & Enduring Marketers learn which personality characteristics influence specific consumer responses and attempt to appeal to relevant traits inherent in their target group of consumers. Even though an individual’s personality may be consistent, consumption behavior often varies considerably because of psychological, sociocultural, situational and environmental factors that affect behavior.

7. Personality Can Change An individual’s personality may be altered by major life events, such as the birth of a child, a divorce, or a major career change. An individual’s personality also changes as part of a gradual maturing process. – Personality stereotypes may also change over time. – There is a prediction, for example, that a personality convergence is occurring between men and women.

8. Theories of Personality Freudian theory – Unconscious needs or drives are at the heart of human motivation Neo-Freudian personality theory – Social relationships are fundamental to the formation and development of personality Trait theory – Quantitative approach to personality as a set of psychological traits 8Copyright 2010 Pearson Education, Inc. publishing as Prentice HallChapter Five Slide

9. Freudian Theory Id – Warehouse of primitive or instinctual needs for which individual seeks immediate satisfaction such as: thirst, hunger, and sex Superego – It ’s role is to see that the individual satisfies needs in a socially acceptable fashion. – Is a kind of “brake” that restrains or inhibits the impulsive forces of the id. Ego – Individual’s conscious control that balances demands of id & superego Copyright 2010 Pearson Education, Inc. publishing as Prentice Hall 9Chapter Five Slide

10. Freudian Theory & Product Personality Freud: Individual’s personality is formed as he passes through distinct stages of infant development. Stages : oral, anal, phallic, latent, & genital An adult’s personality is determined by how well he deals with crises experienced while passing through each of these stages.

11. Freudian Theory & Product Personality Those Freud’s theories see that human drives are largely unconscious, & that consumers are unaware of true reasons for buying what they buy. Researchers focus on consumer purchases situations as extension of consumer’s personality

12. Neo-Freudian Personality Theory Social relationships are fundamental to personality Alfred Adler : humans seek to attain various rational goals, which he called: – Style of life – Feelings of inferiority Harry Stack Sullivan – We establish relationships with others to reduce tensions Karen Horney’s three personality groups – Compliant: move toward others – Aggressive: move against others – Detached: move away from others Copyright 2010 Pearson Education, Inc. publishing as Prentice Hall 12Chapter Five Slide

13. Trait Theory Measurement of personality in terms of traits Trait - any distinguishing, relatively enduring way in which one individual differs from another 1.Consumer innovativeness—how receptive a person is to new experiences 2.Consumer materialism—the degree of the consumer’s attachment to “worldly possessions” 3.Consumer ethnocentrism—the consumer’s likelihood to accept or reject foreign-made products Personality is linked to broad product categories and NOT specific brands 13Copyright 2010 Pearson Education, Inc. publishing as Prentice HallChapter Five Slide

14. Personality and Understanding Consumer Behavior Marketers are interested in understanding how personality influences consumption behavior They will understand consumers better Therefore, will segment & target those consumers who are likely to respond positively to their product or service communications consumer innovators: open to new ideas and likely to try new products. Those innovators are crucial to the success of new products.

15. Personality and Understanding Consumer Behavior Consumer innovativeness Dogmatism Social character Need for uniqueness Optimum stimulation level Sensation seeking Variety- novelty seeking 15Copyright 2010 Pearson Education, Inc. publishing as Prentice HallChapter Five Slide

16. Consumer Innovativeness Willingness to innovate Further broken down for hi-tech products – A recent study developed a hierarchical model consisting of three levels of personality: Global innovativeness – a personal trait that exists independent of any context; one that represents the “very nature” of consumers’ innovativeness. Domain-specific innovativeness – a more narrowly defined activity within a specific domain or product category. Innovative behavior – a pattern of actions that indicate early acceptance of change and adoption of innovations. 16Chapter Five SlideCopyright 2010 Pearson Education, Inc. publishing as Prentice Hall

17. Dogmatism A personality trait that reflects the degree of rigidity a person displays toward the unfamiliar and toward information that is contrary to his or her own established beliefs low in dogmatism (open-minded): prefer innovative products to established ones high in dogmatism (closed-minded): choose established product to innovations & tend to be more receptive to ads for new products 17Chapter Five SlideCopyright 2010 Pearson Education, Inc. publishing as Prentice Hall

18. Social Character Ranges on a continuum for inner-directedness to other-directedness Inner-directedness – rely on own values when evaluating products – Innovators Other-directedness – look to others – less likely to be innovators Copyright 2010 Pearson Education, Inc. publishing as Prentice Hall 18Chapter Five Slide

19. Need for Uniqueness Consumers who avoid conforming to expectations or standards of others Copyright 2010 Pearson Education, Inc. publishing as Prentice Hall 19Chapter Five Slide

20. Optimum Stimulation Level A personality trait that measures the level or amount of complexity that individuals seek in their personal experiences High OSL consumers tend to accept risky and novel products more readily than low OSL consumers. Copyright 2010 Pearson Education, Inc. publishing as Prentice Hall 20Chapter Five Slide

21. Sensation Seeking The need for varied, novel, and complex sensations and experience. And the willingness to take social and physical risks for the sensations. 21Copyright 2010 Pearson Education, Inc. publishing as Prentice HallChapter Five Slide

22. Variety-Novelty Seeking Measures a consumer’s degree of variety seeking Types of variety seeking: – exploratory purchase behavior: switching brands to experience new and possibly better alternatives – vicarious exploration: consumer secures info about a new or ≠ alternative & then contemplates option – use innovativeness: Consumer uses an already adopted product in a new or novel way 22Chapter Five SlideCopyright 2010 Pearson Education, Inc. publishing as Prentice Hall

23. Cognitive Personality Factors 1.Need for cognition (NFC) – A person’s craving for enjoyment of thinking – Individual with high NFC more likely to respond to ads rich in product information – Consumers who are relatively low in NC are more likely to be attracted to the background or peripheral aspects of an ad. 23Copyright 2010 Pearson Education, Inc. publishing as Prentice HallChapter Five Slide

24. Cognitive Personality Factors 2.Visualizers versus Verbalizers Visualizers are consumers who prefer visual information and products that stress the visual. Verbalizers are consumers who prefer written or verbal info & products that stress the verbal. – Object visualizers encode & process images as a single perceptual unit. – Spatial visualizers process images piece by piece. Copyright 2010 Pearson Education, Inc. publishing as Prentice Hall 24Chapter Five Slide

25. Consumer Materialism Acquire and show off possessions Self centered and selfish Seek lifestyle full of possessions Do not get greater personal satisfaction from possessions Materialistic People 25Copyright 2010 Pearson Education, Inc. publishing as Prentice HallChapter Five Slide

26. From Consumer Materialism to Compulsive Consumption Fixated consumption behavior – Consumers fixated on certain products or categories of products – Characteristics Passionate interest in a product category Willingness to go to great lengths to secure objects Dedication of time and money to collecting Compulsive consumption behavior – “Addicted” or “out-of-control” consumers 26Copyright 2010 Pearson Education, Inc. publishing as Prentice HallChapter Five Slide

27. Consumer Ethnocentrism and Cosmopolitanism Ethnocentric consumers feel it is wrong to purchase foreign-made products because of the impact on the economy They can be targeted by stressing nationalistic themes in promotional effort A cosmopolitan consumer ≠ ethnocentric one He consider the word to be their marketplace and would be attracted to products from other cultures and countries. 27Copyright 2010 Pearson Education, Inc. publishing as Prentice HallChapter Five Slide

28. Brand Personality Personality-like traits associated with brands Examples – Purdue and freshness – Nike and athlete – BMW is performance driven Brand personality which is strong and favorable will strengthen a brand but not necessarily demand a price premium 28Copyright 2010 Pearson Education, Inc. publishing as Prentice HallChapter Five Slide

29. Product Anthropomorphism and Brand Personification Product Anthropomorphism – Attributing human characteristics to objects – Tony the Tiger and Mr. Peanut Brand Personification – Consumer’s perception of brand’s attributes for a human-like character – Mr. Coffee: dependable, friendly, efficient, intelligent – 5 defining dimensions of a brand’s personality: sincerity, excitement, competence, sophistication, ruggedness. 29 Copyright 2010 Pearson Education, Inc. publishing as Prentice HallChapter Five Slide

30. A Brand Personality Framework Figure 5.12 30Chapter Five SlideCopyright 2010 Pearson Education, Inc. publishing as Prentice Hall

31. Product Personality Issues Gender – Some products perceived as masculine (coffee and toothpaste) while others as feminine (bath soap and shampoo) Geography – Actual locations, like Philadelphia cream cheese and Arizona iced tea – Fictitious names also used, such as Hidden Valley and Bear Creek Color – Color combinations in packaging and products denotes personality 31Copyright 2010 Pearson Education, Inc. publishing as Prentice HallChapter Five Slide

32. Self and Self-Image Consumers have a variety of enduring images of themselves These images are associated with personality in that individuals’ consumption relates to self-image 32Copyright 2010 Pearson Education, Inc. publishing as Prentice HallChapter Five Slide

33. One or Multiple Selves A single consumer will act differently in different situations or with different people We have a variety of social roles Marketers should target their products and services to consumers within the context of a particular “self,” and in certain cases, offer a choice of different products for different selves. 33 Copyright 2010 Pearson Education, Inc. publishing as Prentice HallChapter Five Slide

34. Makeup of the Self-Image Contains traits, skills, habits, possessions, relationships, and way of behavior Developed through background, experience, and interaction with others Consumers select products congruent with this image 34 Copyright 2010 Pearson Education, Inc. publishing as Prentice HallChapter Five Slide

35. Different Self-Images 35 How consumers see themselves Actual Self-Image How consumer would like to see themselves Ideal Self-Image How consumers feel others see them Social Self-Image How consumers would like others to see them Ideal Social Self-Image How consumers expect to see themselves in the future Expected Self-Image Traits an individual believes are in her duty to possess Out-to self Chapter Five SlideCopyright 2010 Pearson Education, Inc. publishing as Prentice Hall

36. Extended Self Possessions can extend self in a number of ways: – Actually: by allowing the person to do things that otherwise would be very difficult to accomplish – Symbolically: by making person feel better or “bigger” – By conferring status or rank – By bestowing feelings of immortality: by leaving valued possessions to young family members – By endowing with magical powers 36 Copyright 2010 Pearson Education, Inc. publishing as Prentice HallChapter Five Slide

37. Altering the Self-Image Consumers use self-altering products to express individualism by: – Creating new self – Maintaining the existing self – Extending the self – Conforming 37Copyright 2010 Pearson Education, Inc. publishing as Prentice HallChapter Five Slide

38. Virtual Personality You can be anyone… – Gender swapping – Age differences – Mild-mannered to aggressive 38 Copyright 2010 Pearson Education, Inc. publishing as Prentice HallChapter Five Slide