01 Perception

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    Perception

    The process by which an

    individual selects, organizes,

    and interprets stimuli into a

    meaningful and coherent

    picture of the world.

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    Elements of Perception

    Sensation

    The absolute threshold

    The differential threshold

    Subliminal perception

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    SensoryReceptors

    The human organs (eyes,

    ears, nose, mouth, skin) that

    receive sensory inputs.

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    AbsoluteThreshold

    The lowest level at which an

    individual can experience a

    sensation.

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    SensoryAdaptation

    Getting used to certain

    sensations; becomingaccommodated to a certain

    level of stimulation.

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    DifferentialThreshold

    The minimal difference that

    can be detected between two

    stimuli. Also known as the

    j.n.d. (just noticeable

    difference).

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    Webers Law

    A theory concerning theperceived differentiation

    between similar stimuli of

    varying intensities (i.e., the

    stronger the initial stimulus,

    the greater the additional

    intensity needed for the

    second stimulus to beperceived as different).

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    Marketing Applications of theJND

    Need to determine the

    relevant j.n.d. for their

    products so that negative changes are

    not readily discernible to the

    public so that product improvements

    are very apparent to consumers

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    SubliminalPerception

    Perception of very weak or

    rapid stimuli received belowthe level of conscious

    awareness.

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    Aspects of Perception

    Selection Organization

    Interpretation

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    Perceptual Selection

    Depends on two major

    factors

    Consumers previous

    experience (expectations)

    Consumers motives

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    Some Marketing VariablesInfluencing Consumer Perception

    Nature of Product

    Physical Attributes of Product

    Package Design

    Brand Name

    Advertisements & Commercials

    Position of Ad

    Editorial Environment

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    Concepts Concerning SelectivePerception

    Selective Exposure

    Selective Attention

    Perceptual Defense

    Perceptual Blocking

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    Selective Exposure

    consumers actively seek out messages they

    find pleasant or with which they are

    sympathetic.

    Consumers actively avoid painful or threatening

    messages.

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    Selective attention

    consumers have a heightened awareness of

    the stimuli that meet their needs or interests.

    Consumers have a lower awareness of stimuli

    irrelevant to their needs.

    People vary in terms of the kind of information in

    which they are interested and the form of

    message and type of medium they prefer.

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    Perceptual defense

    threatening or otherwise damaging stimuli

    are less likely to be perceived than are

    neutral stimuli.

    Individuals unconsciously may distort

    information that is not consistent with theirneeds, values, and beliefs.

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    Perceptual blocking

    consumers screen out enormous amountsof advertising by simply tuning out.

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    Principles of PerceptualOrganization

    People do not experience the numerousstimuli they select from the environment asseparate and discrete sensations.

    People tend to organize stimuli into groups andperceive them as unified wholes.

    Gestalt psychology(Gestalt, in German,means pattern or configuration) is the name

    of the school of psychology that firstdeveloped the basic principles of perceptualorganization.

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    Principles of PerceptualOrganization

    Figure and ground

    Grouping

    Closure Zeigernik effect

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    Figure and Ground

    Stimuli that contrast with their environment are more likely to

    be noticed.

    The simplest example is the contrast between a figure and

    the ground on which it is placed.

    The figure is usually perceived clearly as it is dominant

    The ground is usually perceived as indefinite, hazy, and

    continuous.

    Advertisers have to plan their advertisements carefully

    Marketers sometimes run advertisements that confuse the

    consumer because there is no clear indication of which is

    figure and which is ground.

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    Grouping

    Individuals tend to group stimuli in chunks rather

    than as discrete bits of information.

    Groupingcan be used advantageously bymarketers to imply certain desired meanings in

    connection with their products.

    Most of us remember things like a social security

    number because it can be broken into three chunks.

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    Closure

    Individuals have a need for closure.

    As a result, people organize a perception so that they

    see a complete picture.

    If the pattern of stimuli to which they are exposed is

    incomplete, they tend to perceive it as completethey

    fill in the missing pieces.

    The very act of completion serves to involve the

    consumer more deeply in the message.

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    ZeigernikEffect

    A person beginning a task

    needs to complete it. When

    he or she is prevented from

    doing so, a state of tension is

    created that manifests itself

    in improved memory for the

    incomplete task.

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    Perceptual Interpretation

    The interpretation of stimuli is uniquely individual

    because it is based on what individuals expect to

    see in light of their previous experience.

    How close a persons interpretations are to reality

    depends on the clarity of the stimulus, the past

    experiences of the perceiver, and his or her

    motives and interests at the time of perception.

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    Distorting Influences

    Physical Appearances

    Stereotypes

    Irrelevant Cues

    First Impressions

    Jumping to Conclusions

    Halo Effect

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    Issues In Consumer Imagery:Role of personality

    Product Positioning and Repositioning

    Positioning of Services

    Perceived Price Perceived Quality

    Retail Store Image

    Manufacturers Image

    Perceived Risk

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    Positioning

    Establishing a specific image

    for a brand in relation to

    competing brands.

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    Reposition

    Changing the way a product

    is perceived by consumers inrelation to other brands or

    product uses.

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    PerceptualMapping

    A research technique that

    enables marketers to plot

    graphically consumersperceptions concerning

    product attributes of specific

    brands.

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    Perceptual Map (continued)Situation Analysis For Beverage Study:

    Perceptual Map

    * Crush

    * Sprite

    *

    Seven-up

    *

    Minute

    Maid

    * Mello Yello

    Non-Cola

    Diet

    Cola

    Non-Diet

    *

    Diet Sprite

    *

    Diet Mello Yello

    *

    Cherry Coke

    *

    Pepsi

    *Shasta

    *

    Coke

    *

    Diet Pepsi

    *

    Diet Coke

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    The Service Environment: EnvironmentalVariables Most Important to Bank Customers

    Privacy

    Efficiency/Convenience Ambient Background

    Conditions

    Social Conditions

    Aesthetics

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    ReferencePrice

    Any price that a consumer

    uses as a basis forcomparison in judging

    another price.

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    Tensile and Objective PriceClaims

    Evaluations least favorable for

    ads stating the minimum

    discount level

    Ads stating maximum

    discount levels are better than

    stating a range

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    Perceived Quality

    Perceived Quality of Products

    Intrinsic vs. Extrinsic Cues

    Perceived Quality of Services Price/Quality Relationship

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    Intrinsic Cues

    Physical characteristics of

    the product (such as size,

    color, flavor, or aroma) thatserve to influence the

    consumers perceptions of

    product quality.

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    Extrinsic Cues

    Cues external to the product

    (such as price, store image,

    or brand image) that serve toinfluence the consumers

    perception of a products

    quality.

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    Characteristics of Services

    Intangible

    Variable

    Perishable

    SimultaneouslyProduced andConsumed

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    Price/QualityRelationship

    The perception of price as an

    indicator of product quality

    (e.g., the higher the price,

    the higher the perceived

    quality of the product).

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    Price Quality relationships

    Quality

    High

    Medium

    Low

    Price

    High Medium Low

    Premium

    Goods

    High value /

    Penetration

    Super

    Value

    Over-

    PricingAverage

    Quality / Value

    Good value /

    Bargain

    Hit andRun

    FalseEconomy

    CheapGoods

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    PerceivedRisk

    The degree of uncertainty

    perceived by the consumer

    as to the consequences

    (outcome) of a specific

    purchase decision.

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    Types of Perceived Risk

    Functional Risk

    Physical Risk

    Financial Risk Psychological Risk

    Time Risk

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    How Consumers Handle Risk

    Seek Information

    Stay Brand Loyal

    Select by Brand Image

    Rely on Store Image

    Buy the Most Expensive Model

    Seek Reassurance

    THE SERVICE QUALITY MODEL

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    Word of mouth

    communicationPersonal needs

    Past

    Experience

    Expected service

    Perceived service

    Actual Servicedelivery

    Translation ofperceptions intoService quality

    specifications

    Managementperception ofConsumersexpectations

    Externalcommunicationsto Consumers

    Consumer

    Marketer

    Gap 5

    Gap 3

    Gap 2

    Gap 1

    Gap 4

    S C QU O

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    SERVQUAL Model