1. Cognition and Marketing Strategy
Consumer behaviour
Seminar 2
Chapter 3 - 7
Affect and
Cognition and Marketing Strategy

2. Introduction to Affect and Cognition
Chapter 3
Introduction to Affect and Cognition
New Marketing Concept 1950s-, Kotler (1967)…..

3. The Wheel of Consumer Behavior

4. Affect and cognition
Two types of mental responses to stimuli in the environment of the consumer
Affect – feeling responses
Cognition – mental responses

5. Nivåer av affektiv respons

6. The affective system The system is reactive
We do not have direct control of our emotions
Affective responses are physically felt in the body
The system will responses on practically all stimuli
Most responses are learned

7. What is cognition? To understand the environment
To evaluate the environment
To plan and solve problems to attain goals
To compare alternatives and to make decisions
Thinking is central for all these processes

8. The relationship between affect and cognition
Different opinion among researchers
Affect and cognition are independent systems
Affect depends on cognitive processes
Affect is the dominating system
Affect and cognition are heavily interdependent systems
Reciprocal Determinism!

9. A cognitive model of consumer decision making

10. The three basic cognitive processes in decision making
Can be used to identify sequences in the processes
Interpretation of stimuli through attention
Processes of integration that build attitudes, intensions and decisions
Processes of memory storing information and retrieving information

11. Consumers’ Product Knowledge and Involvement
Chapter 4
Consumers’ Product Knowledge and Involvement
New Marketing Concept 1950s-, Kotler (1967)…..

12. Knowledge structures in memory on three levels of aggregation

13. Means-end chains
The three different types of product knowledge can be related to a model of cause and effect
These models are used commonly to analyse and understand consumer behaviour
Methodology: Laddering interviews; Why? How come? What did you think then? Why? Using focus groups and depth interviews

14. Laddering
in-depth, one-on-one structured dialog that draws out the connections people make between product attributes, the consequences of those attributes, and the human values linked with those consequences (means-end chain).
Interviews last between forty-five minutes to two hours and generally recorded so that interviewers do not lose the detail of what is said.

15. Laddering Interview
Laddering begins by identifying the most important distinguishing characteristics of the brand for a given usage situation and then moving up and down the means-end chain to get a complete picture of attribute-consequence-value identities and linkages.
Why is that important to you?

16. Top-of-mind imaging
The respondent is asked to give one or more first-thought associations for each of several brands or product types.
Then, the respondent is asked why the characteristic is -a positive or -a negative and the responses are further probed to uncover the ladder.
Top-of-mind imaging identifies the most conspicuous characteristics of a brand, but not always the characteristics that differentiate it from a close competitor.

17. Grouping similar brands
This method uncovers the way respondents group products together and the reasons they use for forming product groups.
Then the primary reason for group membership, either a positive or negative characteristic, can be elicited and laddered.

18. Preference and usage
Comparing brand preference and brand usage is one of the most direct and commonly used methods for eliciting brand distinctions.
Brands can be ranked with respect to (1) preference and (2) frequency of use. Then, brands can be directly compared against each other based on these rankings using such questions as, "why did you rank Brand A higher than Brand X?" and/or "why do you use Brand B more often than Brand A?"

19. Laddering questions
"what is it about the brand that makes it that way?"
"what is it about the brand that gives you that benefit?"
"how can the brand deliver that benefit?“
"what is the brand missing to give it that defect?"

20. More laddering questions
"why is that important to you?"
"how does that help you out?"
"what do you get from that?"
"why do you want that?“
"what happens to you as a result of that?"

21. Even more laddering questions
"why do you want to avoid that?"
"why is that negative to you?”
“how does that interfere with what you are doing?"
"what's wrong with that?"

22. General probing techniques
1. Basic probe: Repeat a question.
2. Explanatory probe: “Can you give an example?” or “Can you explain that?”
3. Focussed probe: “What type of…did you use?”
4. Silent probe: Keep silent and wait…………….
5. Rephrase the question: “So, the question was…. What else can you tell me about that?”
6. Giving ideas: “Have you thought about ….?”
7. Mirroring: The interviewer says what the interviewee has just said in his own words.

23. Laddering Pitfalls
Respondents often provide generic answers that have no specific meaning. For example, "satisfied" can be either physical (feeling full after a meal) or psychological (feeling content with oneself. Likewise, "happy" can have multiple meanings, including feeling happy about something accomplished and feeling happy for another person, and it can have varying intensity

24. More problems
Respondents tend to say "it's a habit" or "I've always done it that way" when they cannot think or do not want to think of the reason for their usage or consumption behavior.

25. Even more problems
I like it! Although similar to a generic statement, this phrase occurs frequently in laddering and can almost always be handled the same way. For example, the interviewer -can ask,-"could -you describe that feeling for me" or "what is it about the brand that you like."

26. Levels in means-end chain

27. Exemples of means-end chains

28. Means-end for a Mobile Phone
Values
Preferred end states of being
Preferred modes of behaviour
Psychosocial consequences for the use of product or service
How do I feel?
How do others feel about me?
Functional consequences
Immediate and tangible consequences for using the product or the service
Attributes
Subjective characteristics of the product or the service itself
Physical, tangible characteristics of the product or the service itself

29. Knowledge structures in the form of procedures/scripts Methodology: Observations using “think and talk” method

30. Consumer involvement

31. An example of a customer typology
Brand loyalists (high involvement with brands and product group)
Routine brand buyers (low involvement with product group but high with brands)
Information seekers (high involvement with product group but low with brands)
Brand switchers (low involvement with brands and product group)

32. A cognitive model of consumer decision making

33. Attention and Comprehension
Chapter 5
Attention and Comprehension
New Marketing Concept 1950s-, Kotler (1967)…..

34. Attention and evaluation Hierarchy of effects model
Peter & Olson
Exposure to Information
Intentional exposure
Accidental
Attention processes
Subconcious attention
Focussed attention
Comprehension
Fill
Awareness
Conviction
Action

35. Attitudes and Intensions
Chapter 6
Attitudes and Intensions
New Marketing Concept 1950s-, Kotler (1967)…..

36. A cognitive model of consumer decision making

37. The concept of attitudes
1900s concept
Two basic definitions
Three components (Fill page 62)
Cognitive component (learn)
Affective component (feel)
Conative component (do)
One dimensional model (Peter & Olson)
Positive or negative feeling about an object

38. Levels of attitudes

39. Beliefs, salient beliefs and attitudes

40. Fishbein modell (multiattribute modell)

41. The Fischbein teory
Only salient beliefs influences attitudes. Typically the number of salient beliefs are not more than 7-9.
The general attitude is decided by two factors:
The link between the characteristic and the object (Does the object have the desired characteristic?)
The evaluation of the characteristics positively or negatively (Is this good or bad?)

42. The employment and staffing company A Fishbein analysis
Project in marketing course 2007
Sofia Hägglund och Sofia Pedersén
Interviews with customers and the customers of competitors
Industry with few competitors

43. Factors Co-operation between staffing company and customer company
Price level
Competent personnel
Capacity for quick delivery

44. Fishbein´s Modell

45. Using Attitude Research to Develop Marketing Strategies
Make an attribute become salient!
Increase the feeling that the object has the attribute!
Increase the evaluation of a known attribute!
Adding new knowledge. Adding new attributes.

46. An important parallell
Strategy maps according to Porter and others
Attitude analysis according to Fischbein and others
You need quite some knowledge to decide on dimentions!
Compare to Means-End analysis

47. The link between attitude and behaviour is in general not conclusive

48. Theory of Reasoned Action Attitudes Social processes and Intentions

49. Consumer Decision Making
Chapter 7
Consumer Decision Making
New Marketing Concept 1950s-, Kotler (1967)…..

50. En kognitiv modell över konsumentens beslutsfattande

51. The generic model of consumer decision making

52. Problems with the generic model of consumer decision making
Consumer behaviour is in reality seldom a linear process
Actual consumer behaviour includes interactions between affective, cognitive processes, behaviour and stimuli in the consumer environment
Consumers face multiple problems to solve and multiple decisions to make

53. The three parts of decision making
The actual problem
Goals
Objetives and sub-objectives
General product knowledge
Alternative courses of action
Decision making criteria
Integration processes
Formal decision making models
Rules of thumb (heuristics)

54. Choice of brand

55. Decision models 1 Compensatory processes
Fischbein theory (multiattribute models)
A weakness can be compensated by a strength
All attributes are evaluated separately
Attributes and evaluation are added
The alternative with the highest value is choosen

56. Decision models 2 Non-compensatory processes
Conjunctive models
Only alternative with acceptable levels on all important attributes are evaluated
Disjunctive models
Only alternatives that satisfy a standard level on at least one characteristic are evaluated
Lexicographic models
Attributes are raked and the alternative that has the best value on the most important attribute is chosen.
Combinations of non-compensatory and compensatory models

57. Rules of thumb Heuristics for the search process
Always go to a certain store
Always study objective product tests first
Heuristics when evaluating alternatives
Chose a product with environmental label
Chose a product with no caffeine, sugar etc…
Heuristics for the decision
Buy the same brand
Buy brands your friends have
Buy products on sale
Buy Swedish products

58. The levels of choice behaviour
Extensive decision making
Limited decision making
Routinized choice behaviour