Advertising

Mrs Gopika Kumar

Knowing the Target Audience-
Consumer
Who are they  Why do they buy
Where are they
 Benefit:
How do they think, feel, live..
 Necessary
How do they behave:  Extra
 User status  Motive for purchase
 Usage rate  Rational
 Loyalty status  Emotional
 Readiness to buy  Social
 Innovation adoption
What
 Thoughts on motives
do they buy  Negative and positive
Convenience
 Maslow’s hierarchy
Shopping
 Herzberg’s theory
Specialty
Unsought product
Knowing the Target Audience-
Consumer
How Do They Buy

 Need gap identification

 Information search

 Alternatives evaluation

 Purchase

 Post purchase behavior

Consumer Behavior
The Behavior that consumers display in
searching for,
purchasing,
using,
evaluating and
disposing of products and services
that they expect will satisfy their needs.
 External
Marketing Mix
Socio Cultural Environment
•Product
Input •Family
•Promotion
•Social class
•Price
•Culture & Subculture
•Place

Internal Psychological Field

Motivation
Process •Need Recognition Perception
•Search Learning
•Evaluation of Alternatives Personality
Attitudes

Post Decision Behavior

Purchase
Output Trial
Repeat Purchase

Post Purchase Evaluation

Factors Influencing Buyer
Behavior

Factors

Internal External

Personal Psychological Cultural Social

 Factors
Internal Influencing
Factors Buyer
Behavior
1.Personal Factors
 Age and stage in the Life Cycle

 Occupation & Economic circumstances

 Lifestyle

 Personality and Self concept

Internal Factors

Life cycle

Stage 1: Bachelorhood Young single adult living apart from parents

Stage 2: Honeymooners Young married couple with no children

Stage 3: Parenthood Married couple with at least one child at home

Stage 4: Postparenthood An older couple with no children living at home

Stage 5: Dissolution One surviving spouse

Internal Factors

Personality and Self concept

Understanding Personality
Inner Psychological Characteristics that both
determine and reflect how a person responds to
his or her environment.
 Personality reflects individual differences

 Personality is consistent and enduring

 Personality can change

 Factors
Internal Influencing
Factors Buyer
Behavior
2.Psychological Factors
 Motivation

 Perception

 Learning

 Attitude formation
Internal Factors

Motivation
What is motivation?
Motivation is the Driving Force within individuals that
impels them to action.

Study of Why Consumers buy

what they Buy.
Internal Factors

N e e d s Unfulfilled Needs,Wants & Desires

builds up Tension

D r i v e Motivational Force coz of Previous

Learning(Experience) and Cognitive
Process(Internal Thinking)
G o a l Goal Attainment or Need Fulfillment

B e h a v i o r Tension Reduction
Needs: Maslows Hierarchy of Needs Model
Internal Factors

Perception
Meaning
Perception is defined as the Stimulus
process by which an
individual
gathers,processes and Exposure
interprets information from Attention
the environment. Interpretation
Memory

Action
Internal Factors

Perception
Perception Levels
 Selective Attention
 Selective Distortion

 Selective Retention
Internal Factors

Learning
Meaning
A Process by which individuals acquire the purchase
and consumption knowledge and experience that they
apply to future related behavior.
Internal Factors

Elements of Consumer Learning

Motivation

Cues

Response

Reinforcement
Internal Factors

Attitude
Meaning
An Attitude is a learned predisposition to behave in a
consistently favorable or unfavorable way with respect
to a given object.
Internal Factors

Attitude Formation
Attitude Formation

Sources of Information & Influence on Attitude formation

Personal Experience
Groups
Direct Marketing
Mass Media
Internet

Needs Perception Learning Personality

ATTITUDE FORMATION
 Factors
External Influencing
Factors Buyer
Behavior
1.Social Factors
 Reference Groups

 Family

 Roles and Statuses

External Factors

Reference Groups
A reference group is any person or group that serves
as a point of comparison(or reference) for an individual
in forming either general or specific beliefs,attitudes
and behavior.

A reference group is the group whose imitation an

individual does while forming values, beliefs, attitudes,
opinions and behavior.
External Factors

Consumer Reference Groups

Informal & Unstructured Groups
Friendship Groups

Shopping Groups Purchase Pals who shop together

Work Groups Formal & Informal Friendship Work Group

Virtual Groups or Communities Web Based Consumer Groups

Consumer Action Groups

Consumerist Movement Groups
External Factors

Reference Group Appeals

Celebrities

Others Expert

Trade or Spoke
Characters Common Man
Executive
& Employee
Spokesperson
External Factors

Family
Family
Two or more persons related by blood,
marriage or adoption who reside together.
External Factors

Family Decision Making

1.Key Consumption roles
Influencers Family members who provide information
Gatekeepers Family members who control the flow of information
Deciders Family members with the power to determine
Buyers Family members who make the actual purchase
Prepares Family members who transform the product for cons.
Users Family members who use
Maintainers Family members who service or repair
Disposers Family members who carryout disposal
External Factors

2.Husband-Wife Decision Making

3.Role children in Family Decision making
 Factors
External Influencing
Factors Buyer
Behavior
2.Cultural Factors
 Cultures

 Subcultures

 Social Classes
External Factors

Culture
Sum total of learned
beliefs, values and
Accumulated Feelings and
customs priorities that individuals have
that serve to direct the about things and possessions
consumer behavior of
members of a particular Usual and Acceptable ways
society. of behaving
Cross Cultural Consumer
Behavior
Indian cultural Values and their Implications
Cultural Value Meaning

Individualism/Collectivism Materialism
Romanticism Hard work/Leisure

Adult/Child Cleanliness

Male/Female Dominance Performance/status

Competition Tradition

Age Risk Taking

External Factors

Social Class

Meaning
A Range of social positions on which each member of
the society can be placed and differ from one another in
their status, wealth, education, possessions, values,
beliefs and attitudes etc.
Status refers to the relative rankings of members of each
social class in terms of specific status factors of wealth,power
and prestige.
External Factors

Purchase Patterns of social classes

SOCIAL CLASS LIFESTYLE CONSUMPTION
Upper Upper Elite society Property, homes, education,
jewelry, vacations, cars
Lower Upper Top Large homes, good décor,
Professional/b latest gadgets, five star hotels
usinessman
Upper Middle Professional Quality products, pcs, mid
careerists segment cars etc
Lower Middle White collar Best bargain, consumer
workers durable etc
Buying Decision
Process
Factors Influencing Buyer
Behavior

Factors

Internal External

Personal Psychological Cultural Social

 External
Marketing Mix
Socio Cultural Environment
•Product
Input •Family
•Promotion
•Social class
•Price
•Culture & Subculture
•Place

Internal Psychological Field

Motivation
Process •Need Recognition Perception
•Search Learning
•Evaluation of Alternatives Personality
Attitudes

Post Decision Behavior

Purchase
Output Trial
Repeat Purchase

Post Purchase Evaluation

 Process

Problem
Recognition

Information
Search

Evaluation of Alternatives

Purchase
Decision

Post Purchase
Behavior
Consumer Decision Making
Model
Input
External Factors like Marketing Mix & Socio cultural influences

Process
1. Need Recognition
(Problem Recognition)
2. Prepurchase Search
(Information Search)
Internal Memory External sources
Past Experience Internet/MassMedia/Reading
Shopping knowledge
3. Evaluation of Alternatives
Process
Evaluation of Alternatives

Awareness Set Consists of all the brands that the customer

Evoked Set
knows
Consideration Set Reduced Selected options

Choice Set

Decision
Process
Evaluation of Alternatives
Evaluation of alternatives is done on the basis of attributes.
Selection of alternative ,one must remember:-
 What evaluative criteria is used?
 What is the importance of the criteria?
Methods for determining evaluative criteria:-

Direct Methods Indirect Methods

Personal Face to Face Projective Techniques
Observation Perceptual Mapping
 Nokia Samsung

Criteria Score (10) Criteria Score (10)

Price 5 Price 5

Brand Name 5 Brand Name 3

Total Score 10 Total Score 8

Criteria Nokia Samsung Sony

1.Price 5 7 4

2.Brand Name 7 6 8

3.Quality 8 7 8
Output

Purchase Intention

Attitudes of Unanticipated
Others Situational Factors

Purchase Decision
Output

Post Purchase Behavior

consumption

Post consumption feeling

Satisfaction Dissatisfaction
•Repeat Purchase •Fewer Purchase/No Purchase
•Brand Loyalty •Complaints
•Positive Publicity •Negative Publicity
Buying Roles
Five Distinguished Roles:
 Initiator

 Influencer

 Decider

 Buyer

 User
 Buying Behavior
High Involvement Low Involvement

Significant
Differences Complex Buying Variety Seeking
Between Brands Behavior Buying Behavior

Few Dissonance
Differences
Habitual Buying
Reducing
Between Brands Behavior
Buying Behavior
Assignment
 Locate Advertisements concerning:
 Informative, Reinforcement, Reminder advertising
 Influence on Target consumers shown through:
 Culture
 Social Class
 Family