In this document you will find an in-depth lecture summary. This means that the articles are more elaborated on in order to make the essential of each article more understanding. Moreover, the tables and graphs are explained by using the findings (text) from the articles.
Lecture 7 - Pricing and Promotions 39
Shampanier et al. (2007) 39
Palmeira & Shrivastava (2013) 44
Lecture 8 - Customer Loyalty 48
Watson et al. (2015) 51
Eelen et al. (2017) 54
Lecture 9 - Sustainability 59
Kristofferson et al. (2014) 60
Lecture 10 - Happiness 65
Barasch et al. (2017) 68
Whillans et al. (2017) 71
1
,Lecture 1 - Introduction to Consumer Marketing
WISE Framework
The WISE Framework organizes consumer behavior into three main categories that are
relevant to ‘Watch’ throughout the consumer decision making process. Note that virtually any
force of influence can be categorized as internal (operating within the mind of the consumer)
or external (operating outside of the mind). Social forces (those that operate between
consumers) are a subset of external forces.
The decision making process consists of 5 stages. We will Watch all these stages and
observe what influences each stage internally, socially and externally.
● W = Watch
● I = Internal
● S = Social
● E = External
Watch each decision making stage:
Mapping the scene:
● Who are the key consumers? With which key players do they interact (e.g.
companies, other customers, competition?)
● What forces (internal, social, external factors )influence the consumer? What
interactions does that consumer have? What is the basic issue (an issue with a
product, service, idea?)
Observing and evaluating:
● When does the consumer make the purchasing decision and what’s going on before
purchasing, during and after that decision? Think about the 5 phases of the
consumers decision-making process.
● Where are consumers making decisions? (e.g. home, store, online, may depend on
the decision-making stage)
● Why? Aimless examination of consumer behavior can be dangerous.
○ clearly define the objectives
○ define measures of success
2
,Internal influences
the psychological core is a conglomerate of internal influences- all of the factors that operate
within the consumer’s mind. The following are examples of internal factors to consider (not
an exhaustive list):
● e.g. motives, perceptions, attitudes, emotions, information processing, heuristics and
biases
Social influences
Humans are social species. “Social influences” reflect how interactions with others (or the
mere existence of others) influence consumer behavior. Below are a few examples of social
influences:
● e.g. social comparison, social norms, likability, authority, word-of-mouth, core social
motives (belonging, understanding, control, enhancement, trust)
External influences
External influences refer to all the influences existing in the environment surrounding the
consumer. The following are some examples of external influences:
● e.g.marketing mix (product, price, promotion, place), physical environment, market
influences, contexts effects, choice architecture, trends (cultural, technological,
environmental)
Lecture 2 - Vanmoof Guest lecture
You will find the VanMoof presentation below the tutorial module section on Canvas.
Lecture 3 - Advertising (knowledge clips)
In general, consumers do not pay much attention to advertising. That is why it is very
important to wonder how advertisements can be effective. How can we have an impact on
consumers and get our message across?
agenda
Ad effectiveness with short exposure: Given that consumers do not pay much attention to
advertisements, how can it be effective when people only see it for a limited time.
● Gist → in general people are good at having a gist (idea) of what an advertisement is
about in one eye fixation.
● Article related to this lecture: Exposure duration and ad types influence ad and brand
liking (Elsen, Pieters, & Wede, 2016)
Newer advertising formats: Memory and learning
● Examples
● An advertiser funded program (Verhellen, Eelen, Dens & De Pelsmacker, 2016)
3
,Knowledge clip : Advertising spending, ad avoidance, and eye tracking
** Topic: (Not much) attention for advertising
**
In general, on (US) average consumers face
about 362 ads. This is still excluding many
product packages that we come across.
However, consumers often spend a lot of
time avoiding these ads.
Currently, the internet is the most used
advertising platform compared to previous
years (see picture). Through social media, it
is much easier to advertise to the target
group and track their behavior. This in turn leads to a higher ROI of your advertising budget.
As a marketer you can try to make sure people pay more attention to your ad. There is an
important method which we can use to capture how much attention consumers pay to your
advertisement and how it is effective : Eye tracking.
(picture left) You can see from this advertisement and the highlighted hot spots, the baby
captures the most attention. However, much less attention is paid, staple of diapers and the
brand included in this advertisement. A slight change in the advertisement, actually makes
people look more at the text and at the brand. The gaze of the baby drags our attention to
the copy and product. (picture right).
The Golden triangle
In general, people from western societies read from the upper left
corner all the way down. So that is also the corner that gets most of
our attention.
4
,Behavioral impact of attention in Marketing
● Memory - Attention to brand in magazine ad improves brand memory (Wedel and
Pieters 2000)
● Brand preference - Attention to brand on product display predicts preference (Pieters
and Warlop 1999)
● Sales - Attention to feature ads increases sales of featured SKU (Pieters, Wedel,
Zhang 2005)
Knowledge clip : Ad effectiveness with short exposures: gist, and theory
** Topic: Ad effectiveness with short exposure: **
Short exposure (Pieters & Wedel, 2012)
Most ads or banners do not get more than a single glance from consumers.
● One eye fixation is about = up to 300 milliseconds.
● What can you communicate in this short time span?
● What should your ad look like to perform well?
● Does it help or hurt to have an atypical ad?
Gist: the essential meaning of a scene in terms of the categories it belongs to.
● Serves as an early categorization process in cluttered environments
● Determines which scenes or objects are interesting enough to pay more attention to.
Levels of ad gist:
1. advertisement or editorial?
2. which product category?
3. which brand?
4. is it interesting to you?
According to Pieters and Wedel (2012): “We find that consumers already know at maximum
levels of accuracy and with high degree of certainty whether something is an ad or is
editorial material after an exposure of less than 100 milliseconds and -if the ad is typical-
which product is being advertised. → So typical ads seem to do better in terms of quickly
capturing what an ad is for.
Elsen et al. 2016 : Thin slice impressions: How advertising evaluation
depends on exposure duration
main idea tested : How does short exposure times have an impact on evaluation and how
does this evaluation change if they can look at the advertisement longer.
● Thin slices of information → Consumers generally watch advertisements only
shortly (<2 s).
What do we learn about the basic identity of the ad (the promoted product and brand)in a
short time span? How does it influence ad (and brand) evaluation?
5
, The article identifies 3 types of advertisements:
1. Upfront ads → immediately show you what a commercial is about. In a flash people know
what the ad is about and for what product category.
● instantly convey what they promote
● typical for the product category they advertise
● similar to other ads in the same category and dissimilar from ads in other categories
2. False front ads → misleading as it is telling us that
the ad is for a different product category.
● initially convey another identity than what they
promote
● atypical for the product category they advertise
● dissimilar from other ads in the same category
and similar from ads in other categories
3. Mystery ads → People don’t know what the ad is
about. They need more time to find out what is going
on.
● suspend conveying what they promote
● atypical for the product category they advertise
● dissimilar from other ads in the same category
and dissimilar from ads in other categories
This article is related to the Human Associative
Memory Theory
● Our minds have different nodes of information
that are stored together. Below is an
associative network for the product car and the
information we know about cars. If an ad
reveals different of these nodes, we will much
sooner activate the concept of a car.
This article is related to the Learning and Memory
Organization Theory
● When we learn, we know what chairs are like.
We know we can sit on them and so on. We
have prototypical assumptions of a chair in
our mind.
It is important to us to quickly observe what is going
on and interpret that information → perception
Exposure (can be short or long) needs to be above a certain threshold to really be able to
sense/detect the stimulus. Once we have seen something, we have to pay attention to it. Of
course It needs to be interesting to us. After that, we try to make sense of what we see. So,
we try to relate the new information to something that we already have stored in our memory.
6
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