Consumer Behavior

Why and How People Buy

Today’s Agenda
Fat LUO’s story……
Example 2
• During periods when consumers are not shopping much (e.g.,
bad economy), store managers often play slow music within
stores

• During busy periods (e.g., holiday season), fast music is played

• Why?
Example 3
• Breast feeding or bottle feeding for cosmopolitan women and
rural women in China?
• Now or 20 years ago?

City
County

65%
42% 36%
28%

2003 2019
 Why Studying Consumer Behavior Matters?
• Three Broad Fields in Marketing Research & Practice

18%

Consumer Marketing
Behavior Strategy

17%

65%
Quantitativ
e Model

Consumer Behavior Marketing Strategy Quantitative Model

Source： Prof. Li Yin Jin
Pyramid of Consumer Behavior
MICRO CONSUMER BEHAVIOR
(INDIVIDUAL FOCUS)

Consumer behavior
involves many different
disciplines Experimental Psych
Clinical Psychology
Develop Psychology
Human Ecology
Microeconomics
Social Psychology
Sociology
Macroeconomics
Semiotics/Literary Criticism
Demography
MACRO CONSUMER
History
BEHAVIOR Cultural Anthropology
(SOCIAL FOCUS)
 Interdisciplinary Research Issues in
Consumer Behavior
Disciplinary Focus Product Role
Experimental Psychology Perception, learning, and memory processes

Clinical Psychology Psychological adjustment

Microeconomics/Human Allocation of individual or family resources
Ecology
Social Psychology Behavior of individuals as members of social groups
Sociology Social institutions and group relationships
Macroeconomics Consumers’ relations with the marketplace
Semiotics/Literary Criticism Verbal and visual communication of meaning

Demography Measurable characteristics of a population

History Societal changes over time
Cultural Anthropology Society’s beliefs and practices
0- 8
Source: Prof. Li Yin Jin
 Antecedents
Focal Construct
Inside the Company Customer Mind

Expectation
Internal Marketing
HRM Brand
Image
Satisfaction
Perceived
Quality

Perceived
Integrated Marketing Communication
Value

Consequence

Customer Relationship Customer Intention Customer Behavior Product Market Financial Market

Repurchase Repurchase
Trust Intention Frequency
Market
Sales
Value
Share
WTP of
Wallet
Tobin’s
Profit
Commitment q
WOM WOM
Intention Behavior
Understanding Consumer Behavior Matter!

• There is only one valid definition of

business purpose: to create a customer!
[Therefore], any business enterprise has two
- and only these two - basic functions:
marketing and innovation.
— Peter F. Drucker
What is Consumer Behavior?

Consumer behavior: the study

of the processes involved
when individuals or groups
select, purchase, use, or
dispose of products, services,
ideas, or experiences to
satisfy needs and desires.
Actors in Consumer Behavior
Consumer: a person who identifies a need or desire, makes a purchase,
and then disposes of the product.
• Purchaser versus user versus influencer
• Organization/group as consumer
 The Meaning of Consumption
• People often buy products not for what
they do, but for what they mean
• Conceptual Consumption (Ariely &Norton, 2009)
• “只买贵的，不买对的”
• Consumers can develop relationships
with brands:
• Convey image/personality
• Define our place in modern society
• Help us to form bonds with others who share
similar preferences
Source： Prof. Li Yin Jin
Behavior: Two Components

Y= f (x)

Why

How

Behavior
Model of Buyer Behavior

15
Factors Influencing Consumer Behavior
An overview of Consumer Behavior
• Consumer information processing
• Consumer decision making
• Motivation and values
• Social influence and consumer behavior
• Attitude, Persuasion and Marketing communication
• Consumer research method
• Consumer behavior-based marketing strategy application

Prof. Li Yin Jin, cr 2010

Overview of Consumer Behavior

Individual Situational
influences influences

Information processing

Decision-making

Group
influences Marketing mix
Wheel of Consumer Behavior
Decision-Making Process
Consumer Decision Making
1. Problem Recognition
& Motivation
1.1 Step 1: Problem Recognition
• Is caused by a difference between the consumer’s

Actual State Ideal State

Sources of Problem Recognition
1. Out Of Stock
Sources of Problem Recognition
1. Out Of Stock
2. Dissatisfaction
Sources of Problem Recognition
1. Out Of Stock
2. Dissatisfaction

3. New Needs/Wants
Sources of Problem Recognition
1. Out Of Stock
2. Dissatisfaction
3. New Needs/Wants

4. Related Products/Purchases
Sources of Problem Recognition
1. Out Of Stock
2. Dissatisfaction
3. New Needs/Wants
4. Related Products/Purchases

5. Marketer-induced Problem Recognition

Sources of Problem Recognition
1. Out Of Stock
2. Dissatisfaction
3. New Needs/Wants
4. Related Products/Purchases
5. Marketer-induced Problem Recognition

6. New Product
1.2 The Motivation Process
• Motivation: process that leads people to
behave as they do
• Also, the forces that drive us to buy/use
products
• Goal: consumer’s desired end state
• Drive: degree of consumer arousal
• Want: manifestation of consumer need
• The ad shows desired state and
suggests solution (purchase of
equipment)
The Motivation Process (cont’d)
• Need = discrepancy between present state & ideal state
• Discrepancy creates tension
• Drive: the larger the discrepancy, the more urgency felt
Levels of Needs in the Maslow Hierarchy
Video1: Delta
Video2: Visa card
Psychoanalytic Theory & Motivational Research
Thematic Apperception Technique
1. What
happened?
2. Why?
3. What is the
person
thinking
about?
4. How will the
story end?
 Specific Needs and Buying Behavior
Thematic Apperception Technique (TAT)
NEED FOR ACHIEVEMENT NEED FOR AFFILIATION
Value personal accomplishment Want to be with other people
Place a premium on products Focus on products that are used
that signify success (luxury
brands, technology products) in groups (alcoholic beverages,
sports bars)

NEED FOR POWER NEED FOR UNIQUENESS

Control one’s environment Assert one’s individual identity
Focus on products that allow Enjoy products that focus on
them to have mastery over their unique character
surroundings (muscle cars, (perfumes, clothing)
loud boom-boxes)
Source: Prof.Liyin Jin
Consumer Decision Making
2. Information Search
& Perception
2.1 Step 2: Information Search
• Consumers need adequate information to make a reasonable decision
• Search memory and the environment for information
2.1 Information Search
• Internal search
• Information retrieval that involves recalling
• Repetitive purchases
• Previously acquired information stored in memory
• Past performance of a product
• External search
• Seeking information from external sources
2.1 Information Search
• External search
• Internet sources
• Personal sources
• Marketer-controlled (commercial) sources
• Public sources
• Personal experience
China’s Internet Obsession
• The Chinese place great stock in the opinions of online product
reviewers.
• One in five consumers between the ages of 18 and 44 won’t purchase a
product or service without first researching it on the Internet

Atsmon, Yuval and Max Magni (2010), “China’s Internet Obsession,” McKinsey
42
Quarterly, (March).
Where It Counts: Mobile Phone

Jacques Bughin, Jonathan Doogan, and Ole Jogen Vetvik (2010), “A New Way to Measure Word-of-
mouth Marketing,” McKinsey Quarterly, (April).
 Eye-Tracking

• To measure what information is searched, and

how
• Video: Demo
• Further readings:
• English:
http://www.ijdesign.org/ojs/index.php/IJDesign/article/view/2
67/163
• Chinese: http://www.uxstudy.com/2008/09/23/周二茶闻: 有趣
的用户研究：中、美、韩用户眼动比较

Source: Prof. Deqiang Zou

http://www.youtube.com/watch?v=lo_a2cfBUGc
Factors Influence External Search
• Ability to Search
• Experts are good at and more involved in external
searches.
• Cost (vs. Benefit)
• Actual costs of the good/service
• Subjective costs (e.g. time spent, anxiety experienced)
• Opportunity cost of foregoing other activities
• Level of Motivation
• Need for cognition
• Level of shopping enthusiasm
• Involvement
Consumer Involvement
• Involvement
• perceived relevance of an object based on one’s needs, values, and
interests
• motivation to process information
• We get attached to products:
• A man married to Hatsune Miku
 Consumer Involvement
• Involvement
• perceived relevance of an object based on one’s needs, values, and
interests
• motivation to process information
• We get attached to products:
• A man married to Hatsune Miku
• Brand tattoo

Source: Prof. Liyin Jin

Dimensions of Involvement
The amount of consumer involvement depends on:
• Personal interest in product category
• Risk importance
• Probability of bad purchase
• Pleasure value of product category
• Sign value of product category (self-concept relevance)
• Product class involvement may vary across cultures
• Involvement profile components as basis for market
segmentation
Measuring Involvement: Involvement Scale
To me (object to be judged) is:
1. important _:_:_:_:_:_:_ unimportant
2. boring _:_:_:_:_:_:_ interesting
3. relevant _:_:_:_:_:_:_ irrelevant
4. exciting _:_:_:_:_:_:_ unexciting
5. means nothing _:_:_:_:_:_:_ means a lot
6. appealing _:_:_:_:_:_:_ unappealing
7. fascinating _:_:_:_:_:_:_ mundane
8. worthless _:_:_:_:_:_:_ valuable
9. involving _:_:_:_:_:_:_ uninvolving
10. not needed _:_:_:_:_:_:_ needed
How to Improve Involvement
—Product Involvement
• Product involvement: consumer’s level of interest in a product
• Appeal to hedonistic needs
• Include celebrity endorses in commercials
• Mass customization enhances product involvement
• Video: Nikeid.nike.com
• Video: Nike Customization
How to Improve Involvement
— Purchase Situation Involvement
• Purchase situation involvement: differences that occur when
buying the same good/service for different contexts.

• Example: wedding gift

• For boss: purchase expensive vase to show that you want to impress
boss
• For cousin you don’t like: purchase inexpensive vase to show you’re
indifferent
How to Improve Involvement
— Message-Response Involvement
• Consumer’s interest in processing marketing communications
• Vigilante marketing: freelancers and fans film their own
commercials for favorite products
• User-Generated-Content
• Eliciting hot topics on social media
• Video: 2%
2.2 Perception
• how consumers sense external information
• how they select and attend to various sources of information
• how this information is interpreted and given meaning
 Sensation and Perception
• Sensation is the immediate
response of our sensory
receptors (eyes, ears, nose,
mouth, and fingers) to
basic stimuli (light, color,
sound, odor, and texture).
• Perception is the process
by which sensations are
selected, organized, and
interpreted.

Source: Prentice-Hall
 The Process of Perception
We receive external stimuli
through our senses Selecting Interpreting
Information Information
2.2.1 Sensation - Vision
Color
• Color provokes emotion
• Reactions to color are biological and cultural
• Trade dress: colors associated with specific
companies
Implications -Vision
Background color of print advertisement
Source: Ravi Mehta and Rui (Juliet) Zhu (2009), Blue or Red? Exploring the Effect of Color on
Cognitive Task Performances, Science.
 Background color of print advertisement
Evaluation of Advertising
4.69
4.41

4.11

3.6

Product detail Remotely related

associations

Source: Liyin Jin

Bule Red
 Implications -Vision
• Why?
• Findings
• Red hues improve attention to detail
• Blues enhance creativity
• Any marketing implications?

Ravi Mehta and Rui (Juliet) Zhu(2009), “Blue or Red? Exploring the Effect of Color on Cognitive Task Performances”, Science.
 2.1.2 Sensation - Touch

Perception Male Female

Fine
High class Wool Silk

Low class Denim Cotton

Coarse
Heavy Light

Prentice-Hall, cr 2009
 The Process of Perception
We receive external stimuli
through our senses
2.2.1 Sensory Thresholds
• Absolute threshold: the minimum amount of stimulation that
can be detected on a given sensory channel
• Differential threshold: ability of a sensory system to detect
changes or differences between two stimuli
 Implications - Sensory Thresholds
• packaging updates must be subtle
enough over time to keep current
customers

Prentice-Hall, cr 2009
2.2.2 Sensory contrast (感觉对比)
Sensory contrast (感觉对比)
Implications - Sensory contrast
Implications - Sensory Contrast
• Differential thresholds used in pricing strategies:
• Reference price: price against which buyers compare the actual selling
price
• Original price versus sale price
 Implications - Sensory Thresholds
• Size congruity effect
• Price magnitude judgments influences not just by actual
price magnitude but also by price symbol font size
• Regular price=$239.99, Sale price=$199.99
• Perceived magnitude of Sale price lower for
• $239.99 $199.99 than $239.99 $199.99
• Seems to be an automatic process

Source: Coulter K.S. & Robin A. Coulter(2005), “Size Does Matter: The Effects of Magnitude Representation Congruency on Price Perceptions and Purchase Likelihood”,
Journal of Consumer Psychology, 15(1), 64–76.
2.2.3 Sensory synesthesia (联觉)
 The Process of Perception
We receive external stimuli
through our senses Selecting
Information
2.3 Selective Attention
• Perceptual selection: people attend to only a small portion of the
stimuli to which they are exposed
• Perceptual selection factors:

Perceptual vigilance

Perceptual defense

Adaptation
Sensory adaptation (感觉适应性)
Old store New store

Previous Week 1 Week 2 Week 3 Week 4

Implications - Sensory adaptation
Implications - Sensory adaptation
The Process of Perception

Interpreting
Information
2.4 Interpretation
• Interpretation: the meaning that we assign to
sensory stimuli
• Meaning we assign to stimulus is called schema
• Through priming, certain properties of a stimulus
evoke a schema
Implications – How to priming by fronts
• Choice of font in logos and advertising copy
• Marketers have long known that the choice of font in logos and
advertising copy greatly influences legibility, memorability,
and public perception of the brand.
• Researchers asked consumers to what degree the fonts
conveyed a message that was
• pleasing (likable, warm, attractive);
• engaging (interesting, emotional);
• reassuring (calm, honest, familiar);
• prominent (strong, masculine).
 Implications
• The research yielded six clusters of fonts that produced
similar effects among consumers.

Source: Pamela W. Henderson(2005), “Just My Type”, Harvard Business Research, April, 22-23.
 Implications
• The first group comprises fonts that are considered
likable, warm, attractive, interesting, emotional,
feminine, and delicate. But they are not especially
strong or reassuring. Such fonts have considerable
aesthetic appeal but do not inspire great confidence.

• The second group comprises fonts we defined as

interesting, emotional, exciting, and innovative.
They are also unsettling and unfamiliar. They could
put off some marketers but might be effective in
edgier campaigns.

Source: Pamela W. Henderson(2005), “Just My Type”, Harvard Business Research, April, 22-23.
 Implications
• The third group of fonts represents the worst of
all worlds: disliked, cold, unattractive,
uninteresting, and unemotional. But these
typefaces aren't useless. Companies might, for
example, use them to display characteristics or
claims of a countercultural or competing brand.

• The fourth group of fonts is strong and masculine.

Their weighty lines suggest a forcefulness and
solidity coveted by many brands.

Source: Pamela W. Henderson(2005), “Just My Type”, Harvard Business Research, April, 22-23.
 Implications
• The fifth group gets high marks for being
interesting, emotional, exciting, and informal. But
these fonts are also considered dishonest, cold,
and unattractive. They are good for conveying
negative information or for targeting such niche
markets as punk rock fans

• The final group, which contains many common,

highly readable fonts, makes up in comfort what
it lacks in excitement. If you want to convey
"stalwart of the community," these are your fonts:
Source: Pamela W. Henderson(2005), “Just My Type”, Harvard Business Research, April, 22-23.
Implications

Barbara vs. Lily

Consumer Decision Making
3.1 Step 3: Alternative Evaluation
• Consumers are interested in a small number of products, then
narrow choices and compare pros/cons
• Evaluative criteria: product characteristics consumers use to
compare competing alternatives
• Marketers point out their brand’s superiority on most important
evaluative criteria
Successive Sets

87
 Choose between Alternatives
• Magazine subscription
《哈佛商业评论》
全年电子版 RMB 150 68%

32%
全年电子版+印刷版套餐 RMB 320

￥ 20,440
Source: Ariely Dan(2008), “Predictably Irrational:
The Hidden Forces That Shape Our Decisions”,
HarperCollins.
 Choose between Alternatives
《哈佛商业评论》
电子版 RMB 150 18%
所有在线内容的阅读权限

印刷版 RMB 320 0%

全年各期的印刷版

电子版+印刷版套餐 RMB 320 82%

Source: Ariely Dan(2008), “Predictably Irrational:
The Hidden Forces That Shape Our Decisions”,
HarperCollins.
￥ 28,640
It’s Easy to Compare
• We not only tend to compare things with one another but also tend to
focus on comparing things that are easily comparable—and avoid
comparing things that cannot be compared easily
The Truth about Relativity
• Most people don't know what they want unless they see it in
context
• We don't have an internal value meter that tells us how much things
are worth
• Rather, we focus on the relative advantage of one thing over another,
and estimate value accordingly
• In the case of the Economist,
• the decision between the Internet-only and print-only options would
take a bit of thinking
• So the Economist's marketers offered us a no-brainer: relative to the
print-only option, the print-and-Internet option looks clearly superior
Evaluative Criteria: Relativity
• Temporally inconsistent preference: immediate gratification
traps: video (February 13, 2010)
• Scenario A: “get $100 in 28 days” vs. “get $120 in 31 days”
• Scenario B: “get $100 now” vs. “get $120 in 3 days”
• Consumers: cognitive ruler wanted
• Marketers:
• Assortment management, account management
• Temporal distance

92
http://www.youtube.com/watch?v=T9an0Ikap18
3.2 Attitude
• A summary construct that represents an individual’s overall
feelings toward or evaluation of an object.
Multiattribute Attitude Model

Attitude models that

examine the composition
Multiattribute
of consumer attitudes in
Attitude Models
terms of selected product
attributes or beliefs.
Consumer Alternative Evaluation:
Compensatory Rules

Ai = w•b
j
j ij Belief in extent
to which
product i
Attitude contains
towards characteristic j
product i
Importance of characteristic j
This influences
behavioral
intention
Multi-attribute Attitude Models
Lists of College Attributes
• Three elements • Scholarly reputation
• Tuition fee
• Attributes of AO (e.g., college) • Library
• e.g., Scholarly reputation • Job opportunity
• Beliefs about AO • Accommodation condition
• Food
• e.g., Harvard is strong ·
academically ·
• Importance weights ·
• e.g., Stressing research • Gym
opportunities over athletics • Coach
Attitude Change Strategies
1. Increasing or changing the strength or belief rating of a
brand on an important attribute (Colgate Optic White
toothpaste has the best whitening power).
2. Changing consumers’ perceptions of the importance or
value of an attribute (Michelin tires provide higher gas
mileage safety).
3. Adding a new attribute to the attitude formation process
(the product is environmentally friendly [Clorox Green]).
4. Changing perceptions of belief ratings for a competing
brand (GM shows its cars can compete with anyone’s).
Consumer Decision Making
4.1 Step 4: Purchase Decision
• As an outcome of the alternative evaluation stage, the consumer
may develop a purchase intention or predisposition to buy a
certain brand.
• Additional decisions may be needed, such as when to buy,
where to buy, and how much money to spend。
4.2 Integration & Decision Rules
• Integration processes are the way product knowledge,
meanings, and beliefs are combined to evaluate two or more
alternatives
4.2 Integration & Decision Rules
• Non-compensatory: shortcuts via basic standards
• Lexicographic rule
• Elimination-by-aspects rule
• Conjunctive rule
• Compensatory
• Simple additive rule
• Weighted additive rule

101
 A type of decision
rule in which a
consumer evaluates
each brand in terms
Compensatory
of each relevant
Decision Rules
attribute and then
selects the brand
with the highest
weighted score.
 A type of consumer
decision rule by which
Non- positive evaluation of
compensatory a brand attribute does
Decision not compensate for a
Rules negative evaluation of
the same brand on
some other attribute.
 A noncompensatory
decision rule in which
consumers establish a
minimally acceptable
Conjunctive cutoff point for each
Decision attribute evaluated.
Rule Brands that fall below
the cutoff point on any
one attribute are
eliminated from further
consideration.
 A noncompensatory
decision rule -
consumers first rank
product attributes in
Lexicographic
terms of importance,
Rule
then compare brands
in terms of the
attribute considered
most important.
 Start with the number
one attribute, and
delete all brands that
do not make the cutoff.
Elimination
Proceed to the second
by Aspects
most important
attribute and continue
until only one brand
remains.
Heuristics: Mental Shortcuts
• Mental rules-of-thumb that lead to a speedy decision
• Examples: higher price = higher quality, buying the same brand your
mother bought
• Can lead to bad decisions due to flawed assumptions
• Placebo Effects:
• Functional beverage in higher prices leads to better performance in
word puzzle solving

107
Relying on a Product Signal
• Observable product attributes that communicate underlying
qualities
• Clean and shiny car = good mechanical condition
• TVC: sound of Audi A6’s door slam

108
Relying on well-known brand

Source: McKinsey Insights China

Relying on Country of Origin
• People all over the world
believe a car “Made in
Germany” must be imbued
with German engineering
expertise.
• Brands create nations
Consumer Decision Making
5. Step 5: Postpurchase Evaluation
• Consumer satisfaction/dissatisfaction after
purchase of product
• Expectations of product quality are
met/exceeded or not
• Expectancy disconfirmation paradigm
• Satisfaction= Perception - Expectation
• Ads/communications must create accurate
expectations of product
112
Dissatisfaction
Post-purchase Dissonance
• Ignore the dissonant information
• Distort the dissonant information
• Play down the importance of the issue
• Change one’s behavior
• And justification
• Hedonic vs. utilitarian attributes
• Marketers should help consumers justify their choice
• TVC: Dove Chocolate, shop window
Dissatisfaction
Complaint Behaviour
• Voice responses.
• Private responses.
• Third-party responses.

http://www.davecarrollmusic.com/story/united-
breaks-guitars
114
Review: Decision-Making Process
I’m hungry Problem recognition

What’s available? Information search

Cakes or chocolate? Alternative evaluation

Snickers! Purchase Decision

I should’ve had cake. Post-purchase evaluation

Environmental Influences
On Consumer Behavior
Factors Influencing Consumer Behavior
External Influences
Social Influence – Case 1
 Social Influence – Case 2
• Using social norms to motivate environmental
conservation in Hotels
• They created two signs soliciting participation in
the towel reuse program of a hotel
• industry standard approach
• descriptive norm
• Over an 80-day span, they collected data on 1,058
instances of potential towel reuse in 190 rooms in a
midsized, midpriced hotel in the Southwest that
was part of a national hotel chain. The guests were
not aware that hey were participants in the study.

Source: Goldstein, Cialdini and Griskevicius(2009), “A Room with a Viewpoint: Using Social
Norms to Motivate Environmental Conservation in Hotels “, Journal of Consumer Research, 35.
Social Influence – Case 2
Five different messages
1. The standard environmental message
• “HELP SAVE THE ENVIRONMENT”
2. The guest identity descriptive norm message
• “JOIN YOUR FELLOW GUESTS IN HELPING TO SAVE THE ENVIRONMENT.
• 75% of the guests participated……
3. The message for the same room identity
• “JOIN YOUR FELLOW GUESTS IN HELPING TO SAVE THE ENVIRONMENT.
• 75% of the guests who stayed in this room participated…..
4. The citizen identity descriptive norm message
• “JOIN YOUR FELLOW CITIZENS IN HELPING TO SAVE THE ENVIRONMENT.
• 75% of the guests participated……
5. The message for the gender identity descriptive norm
• “JOIN THE MEN AND WOMEN WHO ARE HELPING TO SAVE THE ENVIRONMENT.
• 76% of the women and 74% of the men participated……
Social Influence – Case 2
• Findings
49.3%

44.0%
43.5%
40.9%

37.2%
1. Understanding Culture
• Culture = society’s personality
• The accumulation of shared
meanings, values, rituals, norms,
and traditions among members
• Culture is the lens through
which we view products
• “Culture shock”
• One’s culture determines
product priorities and mandates
a product’s success/failure
Understanding Culture
• Dimensions of cultural variability
• Individualism vs. collectivism
• Power distance
• Uncertainty avoidance
• Masculinity vs. femininity

• Video: EU vs. Italy

Western vs. Eastern
【 Meal】 【 In a Restaurant】

【 Trend】 【 Punctuality】
Western vs. Eastern
【 Way of life】

【 Queue up】

【 Family System】 【 Party】

Western vs. Eastern
【 The old life】 【 Communication delivery】

【 Leader】

【 Feeling Expression】
 Culture and Attention
East Asians’ Attention
Westerner's Attention Worldview: Things are inter-related.
Various factors are involved in an
Worldview: Things exist by themselves event (context dependent, context-
and can be defined by their attributes sensitive).
(context independent, object-oriented).

(Nisbett, 2003; Nisbett, Peng, Choi, & Norenzayan, 2001)

 Culture and Attention：The Self-Report Task

The Michigan Fish Test

North Americans basically referred to the attributes of the

target fish, whereas the Japanese referred to the background
and contextual information as well as the target fish attributes.
(Masuda & Nisbett, Journal of Personality and Social Psychology, 2001)
Cultural Variations in Socio-Cognitive Processes

Westerners East Asians

Self Concept Independent Interdependent
Markus & Kitayama, 1991 The self – an entity detached from The self – relational & contextual
others and context existence

Thinking Style Analytic Holistic

Nisbett, Choi, Peng, Norenzayan, 2001; Object oriented ways of Context oriented ways of
Nisbett, 2003 thinking thinking

Causal Attribution Focus on Internal Factors Focus on both Internal and

Morris & Peng, 1994 External Factors
Lee, Hallahan, Herzog, 1999

Attitude Inference Strong Correspondence Weak Correspondence Inference

Choi & Nisbett, 1998 Inference
Masuda & Kitayama, 2004
Miyamoto & Kitayama, 2003
Implications - Culture
• What’s the BIG difference?

US JAPAN
 Implications – Beauty
It is Culturally Defined
• The Dove campaign for real beauty
• Evolution
• Onslaught
• True colors
• Redefine beauty in their own words
• A brand with viewpoint
• Beauty and self-esteem

http://www.campaignforrealbeauty.com
2. Subculture
• Within a given culture are generally found smaller groups or
segments whose beliefs, values, norms, and patterns of behavior
set them apart from the larger cultural mainstream.
• These subcultures may be based on age, geographic, religious,
racial, and/or ethnic differences.
 3. Social Classes
• Social class refers to relatively
homogeneous divisions in a society
into which people sharing similar
lifestyles, values, norms, interests,
and behaviors can be grouped.
• Class structures in the United States
are usually based on occupational
status, educational attainment, and
income.

Suggested Reading:
• Fussell, Paul (1992), Class: A Guide Through
the American Status System, Touchstone.
Mini Case
How does Buick Reach Upper Class
Fluid design of a plane
Seats of a plane
Contour of a plane
Gangway ladder of a plane
Private customer + First business class of a plane
TVC: Buick GL8
4. Reference Group
• Reference groups are groups that form a comparison or
reference in forming attitudes or behavior
• Associate groups have a direct influence and to which a person
belongs,
• People the consumer actually knows
• Aspirational groups are groups to which an individual wishes
to belong
• people the consumer doesn’t know but admires
•Disassociate groups are groups to which we do not wish to
belong

141
4.1 Associative vs. Aspirational
Reference Groups
• Aspirational strategies concentrate on highly visible, widely
admired figures (athletes or performers)
• Buick and Audi in China
•Associative strategies focus on “ordinary” people whose
consumption provides informational social influence
• Propinquity, mere exposure, and group cohesiveness
4.1 Aspirational vs. Disassociative
Reference Groups
Mini case
Create reference group by establish a brand community
Just a Motorcycle?
The Complete Brand
Harley-Davidson = GREAT PRODUCT + GREAT EXPERIENCE

Harley-Davidson Mission Statement

We fulfill dreams through the experience of motorcycling, by
providing to motorcyclists and the general public an expanding line of
motorcycles and branded products and services in selected market
segments.
Extensions
A Community
Harley Owners Group (H.O.G.)
4.2. Family: an example of group influences
• Family is the most important consumer-
buying organization in society
 Nuclear family and extensive family
 Intergenerational influence
 Reverse intergenerational influence
• TCV: Sprite
Family as a Decision-Making Unit

Initiator
User Influencer

Purchasing
Decision

Purchaser Decider

151
 Joint One Person
Decision Decides Wife
cleaning Dominant
kitchen products
wares
Autonomic childrens’ Wife
furnishings clothing Influence
food

medication

kids’
toys

vacation husband’s
appliances
clothes
entertainment

housing alchoholic
school beverages
housing upkeep

financial gardening
tv
svcs tools
car
Syncratic
Decisions

insurance Husband
Influence
Husband
Dominant

Source: Davis, Harry L. and Benny P. Rigaux (1974) Perception of marital roles in decision processes, Journal of Consumer Research, 1, (June)
5. Situational Determinants
• Communications
• The condition in which an advertising exposure occurs
• Online WOM
• Purchase
• The environment operating at the time of the purchase
• Time constraints, store environments
• Usage
• The circumstance in which the product will be used
• Private vs. Public
5. Situational Determinants
 5. Situational Determinants

• Shelf Placement
• Visibility
• Golden zone
• Fragment
• +28% purchase

Video: Merchandising Display Techniques

IKEA Maze
+60% Impulse Purchase

• Video: How IKEA gets

you to impulsively buy
more
• Stop leaving
• Overwhelming the
senses
• Against the idea of
sticking to a shopping
list
• Cognitive dissonance