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Summary All lectures - Consumer Behaviour 2021

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The notes from all lectures from the course Consumer Behaviour. Master Business administration 2021 (February).

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  • 6 september 2021
  • 38
  • 2020/2021
  • Samenvatting
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Lectures Consumer behavior
Week 1 – the Psychological Core
Consumer behavior
 Consumer behavior reflects the totality of
consumers’ decisions with respect to the
acquisition, consumption, and disposition of
goods, services, activities, experiences, people,
and ideas by (human) decision-making units [over
time].
 The decisions people make in their roles as
consumers. It is about all their decisions instead of
just buying

The psychological core
 Psychology is the scientific study of the human mind and behavior
 From exposure to action: Stimuli  Response




Sensation (senses)
 Vision, hearing, smell, taste & touch  brain (specific areas receiving senses)

Perception
 How the human mind interprets signals from the senses
 The senses stay exactly the same, but the perception and
interpretation gives meaning to it (picture rabbit/duck)
 Bottom-up (start from senses) and top-down processing (start
from the brain and then perceiving something)

Memory
 The brain is a complicated system of interconnected cells.
Memory is the neural network of associated nodes
 Long-term memory is where information is permanently stored for later use
 Working memory is involved in goal-directed behaviors in which information must be
retained and manipulated to ensure successful task execution. It is linking long-term
memories together and also our perceptions and actions  getting long-term
memory into actions/use it

Implicit (long-term) memory - Memory and consumer behavior
 Beliefs and attitudes exist in (implicit) associative networks
 Activation of one concept activates related concepts

,  Associate networks for brands can be influenced by marketing actions
 Celebrity endorsements build associations between the endorser and the brand
 Priming is the act of introducing a stimulus to influence how individuals respond to a
subsequent stimulus (example of filling in the missing word). Activating a certain
node in an associative network determines how you respond to a certain stimulus.
o Music with strong national associations activated related knowledge and led
to customers buying wine from the respective country
 Procedural implicit: about introducing schemes (lunch, breaks – 16:00 cup-a-soup)

Attention
 Attention reflects how much mental activity is devoted to a stimulus
o Attention is limited (cannot be infinite, so it is selective)
o Attention is selective
o Attention can be divided (among several things)
 “Marketing is a contest for people’s attention” you want to claim people’s
attention

Marketing application (example)
- Coca cola ad
- Sensation: It’s a visual sensation with colors
- Perception/Interpretation: it’s a bottle, its coca cola, happiness (associations)
- Memories: I like the taste, I like the brand, happy thoughts, always coca cola
- Response selection: I like this/do not like
- Response: do nothing, tune in, tune out, grab a coke

Sensory marketing (Krishna, 2012)
 Marketing that engages the consumers’ senses and affects their perception,
judgement and behavior… in a subconscious way (it has an impact, but the consumer
is not always aware of it)




Olfaction is smell
 Haptics: (interpersonal) touch
o Touch is the first sense you develop in the womb and the last sense you lose
with age
o Interpersonal touch is related to oxytocin, which promotes feelings of love,
social bonding and well-being
o People who receive interpersonal touch  leave higher tips, are more
satisfied, comply with requests to sample or buy, take their medications, help
others, let others cut in line

, o Touch creates a sense of interpersonal connection
o Touching products:
 Touching an object increases perceived ownership of that object
 Touchscreens increase psychological ownership, and this in turn
magnifies the endowment effect (assign higher value because you
want to hold on to it)
 Smell/Olfaction
o Memory for scents persists (much longer than other sensations)
o Memories triggered by scent are emotional
o Many distinct scent receptors
o Direct connection between olfactory nerve and amygdala and hippocampus
o Scent increases memory for associated information  triggers associated
thoughts
o Scent can trigger emotions (physically close to each other)
o Scents can enhance product and store evaluations
o Scents can enhance shopping time and variety seeking
o Scent marketing:
 Smell of fresh bread in the supermarket, smell of popcorn in cinema,
new car scent (spray)
 Air Conditioner Scent Diffuser
 Hearing
o We attach meaning to sounds (chips, Netflix)  crispy products are
associated with fresh
o Music with strong national associations activated related knowledge and led
to customers buying wine from the respective country
 Taste
o We are bad at distinguishing taste, because it is influenced by other senses
o Blind: sample beers  indicate preference
o Before: Information  sample beers  indicate preference (top-down
process)
 Vision
o We attach meaning to colors through learned associations and biological
predispositions
o Colors are important in marketing

Construal Level Theory (Trope, Liberman & Wakslak, 2007)
 CLT is about how we perceive the world around us
 People use concrete, low-level construal to mentally represent near objects and
events
 People use abstract, high-level construal to mentally represent distant objects and
events

,  Example: Low – exam next week, need to read 5 articles, wash socks. High – good
investment in my future
 Psychological distance is a subjective experience that something is close or far away
from the self, here and now
1. Temporal distance: tonight vs. next year
2. Social distance: close relative vs. unknown person
3. Spatial distance: across the street vs. another country (e.g. refugees: what about
the value of my house vs. we should help these people)  thoughts are different
when it is closer to us
4. Hypothetical distance: unsafe vs. safe neighborhood (how likely it is to happen to
you)  put an extra lock on the door vs. how to prevent crime in society?
 Primary vs. secondary features
o Purchases in the distant future focus perception on primary features (what
your TV offers in 6 months, what kind of travel do you desire)
o Purchases in the near future also focus on secondary features (next week is
your TV on discount, buying tickets)
 Feasibility vs. desirability
o Desirability-related information affects purchase intentions for distant events
(trip in 6 months)
o Feasibility-related information affect purchase intentions for close events (air
ticket next week)
 Bi-directionality
o Psychological distance not only affects mental construal, manipulations of
construal level also affect distance perceptions
o Psychological distance Construal level
o By framing an event or object as high or low construal level, psychological
distance can be manipulated
 Pictures vs. words
o Words are abstract, pictures are concrete. Adding picture will make it more
concrete than just using words.  Perceived social distance will increase
when it is abstract and it will decrease by making it more concrete

Memories of yesterday’s emotions (Shatz, Stone & Kahneman, 2009) – Memory
 Long-term memory is where information is permanently stored for later use
 Experiences vs. memories
o Which matters more: how much you actually enjoy something in the moment
or how much you remember enjoying something?
 Memory-Experience Gap

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