Session_6_Perception

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Perception : 

Perception The backbone of consumer behaviour!

Opinion Poll : 

Opinion Poll KANK Mixed Doubles Life in a Metro

No running away… : 

No running away… Listerine Kentucky “Fried” Chicken

Gablinger vs. Miller Lite : 

Gablinger vs. Miller Lite Same beer, same TG Same product attributes Different Positioning (Low-calorie vs. Less filling) Different Results Because of the different PERCEPTION that both brands created amongst the consumers

Petrol: Normal vs. Speed : 

Petrol: Normal vs. Speed Same product Same benefits Different positioning Different Results

Perception is…. : 

Perception is…. How 2 consumers see the world around them differently even though in reality it is the same Not taking things on ‘Face Value’ Filter which a consumer applies to objective reality before displaying a certain behaviour

Why study Perception? : 

Why study Perception? If consumers will see with their sun-glasses on and EVALUATE, it’s best we put on the same sun-glasses and CREATE!! If consumers will evaluate size standing from the roof-top, then it does not matter how big we find it from the ground Consumers react on the basis of perception and not objective reality

What is Perception? : 

What is Perception? Process by which an individual selects, organises and interprets stimuli into a meaningful and coherent picture How he sees the world around him!

Perception Process : 

Perception Process How is Perception formed?

Perception Process : 

Perception Process Raw Sensory Input Environment Clutter Input IMPACT Previous Experience Perception

Sensation… : 

Sensation… Response of sensory receptors to stimuli Receptors: Eyes, Ears, Nose, Mouth, Skin Stimuli: Product, Pack, Brand, Advertising Sensation depends on the existing sensory input within that environment (CLUTTER) If sensory input is high, receptors are unable to detect changes (LOW IMPACT) As sensory input decreases, sensitivity to even the least of input increases (HIGH IMPACT)

Absolute Threshold : 

Absolute Threshold Lowest level of input required to experience a sensation Distance from billboard No. of ad viewings Perfume in a soap Sensory Adaptation is a problem of getting used to certain sensory inputs Overdose of input (DNA) Decreasing sensory input (SIFY: Speedy Internet) Changing content (Tide)

Differential Threshold : 

Differential Threshold Minimal difference that consumers can detect between two similar stimuli (JND) When re-launching it is important to know the JND Positive Changes = JND Negative Changes < JND

Uses of JND : 

Uses of JND Product Development Perfume Packaging Development Pack Size / Pack Design Proposition Development Benefit Delivery

Dynamics of Perception : 

Dynamics of Perception

Perception is Personal : 

Perception is Personal Combination of Physical stimuli from the environment Expectations/Motives/Learning based on previous experience Perception varies as… Previous experience varies Selection of stimulus varies Organisation of stimulus varies Interpretation stimulus varies

Perceptual Selection : 

Perceptual Selection Consumers may see your advertisement and yet not see it! Overdose of stimulus! Subconsciously consumers receive some stimulus, ignore some & turn away from some Trip to Supermarket (25,000 brands) Television (5000 shows + 50,000 brands)

Drivers of Perceptual Selection : 

Drivers of Perceptual Selection Nature of Stimulus Expectation Motives

Ways to improve ‘Nature of Stimulus’ : 

Ways to improve ‘Nature of Stimulus’ Advertising: Snowballing, Lateral Leap, Ambush, Reversal, Collision Packaging: Odd shapes, special colours Product: Formats, colours, sizes

Expectations : 

Expectations People see what they expect to see And what they expect to see is based on familiarity, previous experience or preconditioning by other environmental factors Disney (Magical Entertainment) Lagey Raho Munnabhai WOM about a film

Motives : 

Motives Perceive things that they need/want Stronger the need, more receptive to stimuli When did you notice B-School Ads? Film Ads in the weekend newspapers

To summarise… : 

To summarise… Selective Exposure: Seek / Avoid Messages Selective Attention: Level of Attention / Awareness Perceptual Defense: Screen out threatening stimuli Cigarette Warnings! Perceptual Blocking: Tuning out of stimuli

Perceptual Organisation : 

Perceptual Organisation Thousands of stimulus How do consumers manage? They subconsciously organise them into groups Some principles of perceptual organising are: Figure & Ground (9/11) – Single-minded Grouping (Bank A/c Number) Closure (Teaser campaigns/Balaji Serials)

Perceptual Interpretation : 

Perceptual Interpretation Interpretation of stimuli is uniquely individual Individuals are subject to multiple influences that distort their perception Physical Appearance: Qualities associated with a person tends to get attributed to the product he promotes Stereotypes: Tend to have pictures in their minds of various kinds of stimuli (UCB) First Impressions: First time they experience a brand has a lasting impact (Interview!!!) Jumping to Conclusions: Before hearing full message (Conditions Apply) Halo Effect: Evaluation of multiple attributes based on a single attribute (Looking in the Eye)

Perception Process : 

Perception Process Raw Sensory Input Environment Clutter Input IMPACT Previous Experience Perception Additions/subtractions which the consumer subconsciously does to raw sensory input

Drivers of Consumer Imagery : 

Drivers of Consumer Imagery Perceived Product Perceived Price Perceived Quality Perceived Risk

Positioning : 

Positioning Imagery of the product in the mind of the consumer Positioning must be ICU 7-Up ‘The Un-Cola’ Avis ‘We are No. 2, we try harder’ Umbrella Positioning (Disney) Positioning against Competition (Nothing Official) Positioning on a Specific benefit (FedEx) Unowned Positioning (Anchor TP) Filling Gaps (Unilever Laundry Portfolio)

Perceived Price : 

Perceived Price How consumer perceives the price which impacts his purchase intention & satisfaction Reference Prices: Price used as a benchmark (Internal or External) Tensile Price Claims: Range of prices / discounts 10-25% / Upto 25% Objective Price Claims: Single discount level 20% Off Upto 25% the most effective

Perceived Quality : 

Perceived Quality Judge quality on many different cues Intrinsic Cues Physical characteristics of the product Size, colour, flavour & aroma Extrinsic Cues Elements other than the product Packaging, pricing, advertising, peer pressure, brand name Country-of-origin

Perceived Risk : 

Perceived Risk Uncertainty consumers face when they cannot foresee consequences of their purchase decisions Major risks are functional, physical, financial, social, physiological & time Risks vary across categories & outlets Risks are managed by brand loyalty, brand image, store image, most expensive & marketer reassurances

Assignment : 

Assignment Indica is Indica. Indian & Tata You are considering buying the car At this stage, list down your: Perceived Product (Positioning) Perceived Price Perceived Quality (Intrinsic & Extrinsic) Perceived Risk(s) Which ‘Perceived Risk’ will be the greatest in your mind? Why?

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