Chapter 7 Consumer Learning

©2000 Prentice Hall Cognitive Learning Theory A theory of learning based on mental information processing, often in response to problem solving.

©2000 Prentice Hall Consumer Learning A process by which individuals acquire the purchase and consumption knowledge and experience that they apply to future related behavior.

©2000 Prentice Hall Elements of Learning Theories Motivation Cues Response Reinforcement

©2000 Prentice Hall Reinforcement A positive or negative outcome that influences the likelihood that a specific behavior will be repeated in the future in response to a particular cue or stimulus.

©2000 Prentice Hall Behavioral Learning 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.

©2000 Prentice Hall Behavioral Learning Theories Classical Conditioning Instrumental Conditioning Modeling or Observational Learning

©2000 Prentice Hall Classical Conditioning A behavioral learning theory according to which a stimulus is paired with another stimulus that elicits a known response that serves to produce the same response when used alone.

©2000 Prentice Hall Instrumental (Operant) Conditioning A behavioral theory of learning based on a trial-and- error process, with habits forced as the result of positive experiences (reinforcement) resulting from certain responses or behaviors.

©2000 Prentice Hall Conditions for Optimal Conditioning Forward Conditioning (CS Precedes US) Repeated Pairings of CS and US A CS and US that Logically Belong to Each Other A CS that is Novel and Unfamiliar A US that is Biologically or Symbolically Salient

©2000 Prentice Hall Figure 7.1A Pavlovian Model of Classical Conditioning Unconditioned Stimulus Meat paste Conditioned Stimulus Bell Unconditioned Response Salivation Conditioned Stimulus Bell Conditioned Response Salivation AFTER REPEATED PAIRINGS

©2000 Prentice Hall Figure 7.1B Analogous Model of Classical Conditioning Unconditioned Stimulus Dinner aroma Conditioned Stimulus 6 O’clock news Unconditioned Response Salivation Conditioned Stimulus 6 O’clock news Conditioned Response Salivation AFTER REPEATED PAIRINGS

©2000 Prentice Hall Basic Concepts of Classical Conditioning Repetition Stimulus Generalization Stimulus Discrimination

©2000 Prentice Hall Stimulus Generalization The inability to perceive differences between slightly dissimilar stimuli.

©2000 Prentice Hall Stimulus Generalization and Marketing Product Line, Form and Category Extensions Family Branding Licensing Generalizing Usage Situations

©2000 Prentice Hall Stimulus Discrimination The ability to select a specific stimulus from among similar stimuli because of perceived differences.

©2000 Prentice Hall Stimulus Discrimination and Marketing Positioning Differentiation

©2000 Prentice Hall Instrumental Conditioning and Marketing Customer Satisfaction (Reinforcement) Reinforcement Schedules –Shaping Massed versus Distributed Learning

©2000 Prentice Hall Figure 7.6 A Model of Instrumental Conditioning Stimulus Situation (Need good- looking jeans) Try Brand D Try Brand C Try Brand B Try Brand A Unrewarded Legs too tight Unrewarded Tight in seat Unrewarded Baggy in seat Reward Perfect fit Repeat Behavior

©2000 Prentice Hall Observational Learning A process by which individuals observe the behavior of others, remember it, and imitate it. Also known as modeling.

©2000 Prentice Hall Cognitive Learning Theory Holds that the kind of learning most characteristic of human beings is problem solving, which enables individuals to gain some control over their environment.

©2000 Prentice Hall Information Processing A cognitive theory of human learning patterned after computer information processing that focuses on how information is stored in human memory and how it is retrieved.

©2000 Prentice Hall Issues In Information Processing How Consumers Store, Retain and Retrieve Information Limited and Extensive Information Processing

©2000 Prentice Hall Figure 7.9 Information Processing and Memory Stores Sensory Store Working Memory (Short- term Store) Long- term Store Sensory Input RehearsalEncodingRetrieval Forgotten; lost Forgotten; lost Forgotten; unavailable

©2000 Prentice Hall Sensory Store The place in which all sensory inputs are housed very briefly before passing into the short-term store.

©2000 Prentice Hall Short-Term Store The stage of real memory in which information received from the sensory store for processing is retained briefly before passing into the long- term store or forgotten.

©2000 Prentice Hall Long-Term Store In information-processing theory, the stage of real memory where information is organized, reorganized and retained for relatively extended periods of time.

©2000 Prentice Hall Rehearsal The silent, mental repetition of material. Also, the relating of new data to old data to make the former more meaningful.

©2000 Prentice Hall Encoding The process by which individuals select and assign a word or visual image to represent a perceived object or idea.

©2000 Prentice Hall Retention Information is stored in long-term memory –Episodically: by the order in which it is acquired –Semantically: according to significant concepts

©2000 Prentice Hall Figure 7.10 Conceptualization of Long-Term Storage of Personal Computer Information PERSONAL COMPUTERS Manufacturers Models SOFTWARE ManufacturerType Monitors Printers Operating Systems Manufacturer Type Word processing Databases Graphics Spreadsheets Games

©2000 Prentice Hall Retrieval The stage of information processing in which individuals recover information from long-term storage.

©2000 Prentice Hall Table 7.1 Models of Cognitive Learning AttentionCognitive ActionConativePurchase Postpurchase Evaluation Trial Adoption Decision Confirmation Affective Evaluation Interest EvaluationPersuasion Knowledge AwarenessAwareness Knowledge Interest Desire Sequential Stages of Processing Innovation Adoption Model Decision- Making Model Tricompetent Model Innovation Decision Process Promotional Model

©2000 Prentice Hall Limited and Extensive Information Processing Extensive and complex processing of information may not apply to all purchase decisions Involvement may influence extent of information processing

©2000 Prentice Hall Involvement Theory A theory of consumer learning which postulates that consumers engage in a range of information processing activity from extensive to limited problem solving, depending on the relevance of the purchase.

©2000 Prentice Hall Issues in Involvement Theory Involvement Theory and Media Strategy Involvement Theory and Consumer Relevance Central and Peripheral Routes to Persuasion Measures of Involvement

©2000 Prentice Hall Hemispheral Lateralization Learning theory in which the basic premise is that the right and left hemispheres of the brain “specialize” in the kinds of information that they process. Also called split brain theory.

©2000 Prentice Hall Central and Peripheral Routes to Persuasion A theory that proposes that highly involved consumers are best reached through ads that focus on the specific attributes of the product (the central route) while uninvolved consumers can be attracted through peripheral advertising cues such as the model or the setting (the peripheral route).

©2000 Prentice Hall Elaboration Likelihood Model (ELM) A theory that suggests that a person’s level of involvement during message processing is a critical factor in determining which route to persuasion is likely to be effective.

©2000 Prentice Hall The Elaboration Likelihood Model Involvement Central Route Peripheral Route Peripheral Cues Influence Attitudes Message Arguments Influence Attitudes HIGHLOW

©2000 Prentice Hall TO ME, (INSERT PRODUCT OR PRODUCT CATGORY) IS: Table 7.2 Measuring Involvement on a Semantic Differential Scale 1. Important 2. Interesting 3. Relevant 4. Exciting 5. Meaningful 6. Appealing 7. Fascinating 8. Priceless 9. Involving 10. Necessary Unimportant Boring Irrelevant Unexciting Meaningless Unappealing Ordinary Worthless Uninvolving Unnecessary

©2000 Prentice Hall Table 7.3 Product Involvement Inventory Measuring Consumers’ Enduring Involvement With Products 1. I would be interested in reading about this product. 2. I would read a Consumer Reports article about this product. 3. I have compared product characteristics among bands. 4. I usually pay attention to ads for this product. 5. I usually talk about his product with other people. 6. I usually seek advice from other people prior to purchasing this product. 7. I usually take many factors into account before purchasing this product. 8. I usually spend a lot of time choosing what kind to buy.

©2000 Prentice Hall Measures of Consumers Learning Recognition and Recall Measures –Aided and Unaided Recall Cognitive Responses to Advertising –Copytesting Attitudinal and Behavioral Measures of Brand Loyalty

©2000 Prentice Hall Brand Loyalty Consistent preference and/or purchase of the same brand in a specific product or service category.

©2000 Prentice Hall Figure 7.16 Brand Loyalty As a Function of Relative Attitude and Patronage Behavior Latent Loyalty No Loyalty Spurious Loyalty Loyalty Low High HighLow Repeat Patronage Relative Attitude

©2000 Prentice Hall Brand Equity The value inherent in a well- known brand name.