Consumer Learning

Prof: Hari Iyer

Objective
This presentation is to understand how the consumer learns and
how the learning process determines our marketing strategy.

Consumer Behaviour
A consumer is a human being who walks, talks, breathes, laughs, sings, dances, etc.
The way in which he/she does all that is called Behaviour.
If we can understand the Consumer Behaviour we would be in a better state to
make our decisions in business.

Behaviour
Reflexes
Responses
These components of behaviour are triggered by stimulus

Relevance

Classical Conditioning

Hello

Hello

HeyyY!!
HEllo

Hello
Hello

Hello
I
Love
Hello
You
<3

Hello

Strategy
Repetition
Stimulus Generalisation
Stimulus Diffrentiation

Stimulus Generalization and

Marketing
Product Line, Form and Category Extensions
Family Branding
Licensing

The ability to
select a
specific
stimulus from
among similar
stimuli
because of
perceived
differences.

Stimulus
Discrimina
tion

Positioning

Differentiation

Instrument (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.

A Model of Instrumental Conditioning

Try
Brand A
Stimulus
Situation
(Need
goodlooking
jeans)

Try
Brand B
Try
Brand C
Try
Brand D

Unrewarde
d
Legs too
tight
Unrewarde
d
Tight in
seat
Unrewarde
d
Baggy in
seat
Reward
Perfect fit
Repeat Behavior

Instrumental Conditioning
Consumers learn by means of trial and error process in
which some purchase behaviors result in more favorable
outcomes (rewards) than other purchase behaviors.
A favorable experience is instrumental in teaching the
individual to repeat a specific behavior.

Instrumental Conditioning and

Marketing
Customer Satisfaction (Reinforcement)
Reinforcement Schedules
Shaping

Reinforcement
Positive Reinforcement

Negative Reinforcement

Positive outcomes that strengthen the likelihood of a specific

response

Unpleasant or negative outcomes that serve to encourage a

specific behavior

Example: Ad showing beautiful hair as a reinforcement to buy

shampoo

Example: Ad showing wrinkled skin as reinforcement to buy

skin cream

Instrument (Operant) Conditioning

Other Concepts in Reinforcement

Punishment
Choose reinforcement rather than punishment

Extinction
Combat with consumer satisfaction

Forgetting
Combat with repetition

Observational Learning
A process by which individuals observe the behavior of others, and
consequences of such behavior. Also known as modeling or
vicarious learning.

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.

Models of Cognitive Learning

Promotio Trinal
compete
Model
nt Model
Sequenti Attention
al Stages
of
Interest
Processin Desire
g
Action

Cognitive
Affective

Conative

Making
Model

Adoption Decision
Model
Process

Awareness
Knowledg
Knowledg Awareness
e
e
Interest
Evaluation
Persuasion
Evaluation
Post
Purchase Trial
Purchase Adoption
Evaluation

Decision
Confirmati
on

Examples
Cameras
Mobiles
Cars

Understanding the type of product

Depends on the type of the product & service
Low priced/ routine /habitual reminder advertisement periodic promotion
Prominent shelf position
New products
High advertising
Free sampling
Special price offer
High value coupons
Low knowledge about the product
Ads with detail info
Sales personnel

Consumer learning
Learning can be intentionally as well as unintentionally.
A process by which individuals acquire the purchase and
consumption knowledge and experience that they apply to future
related behavior
Marketers must teach consumers:

where to buy
how to use
how to maintain
how to dispose of products

Elements of Learning Theories

Motivation
Cues

Unfilled needs lead to motivation

Stimuli that direct motives

Response

Consumer reaction to a drive or

cue

Reinforceme
nt

Increases the likelihood that a

response will occur in the future
as a result of a cue

Measures of Consumer Learning

Recognition and Recall Measures
Aided and Unaided Recall

Cognitive Responses to Advertising

Copy testing Measures
Attitudinal and Behavioral Measures of Brand Loyalty

Thank You
Rohan Bagda B005
Sahil Kyal B009
Mohit Sharma B012
Amrit Singh B015
Harsh Kumar Jhunjhunwala
B017
Avishi Garg B032
Akul Singhal B040