Week 1 – Video
Consumer behavior – the decisions people make in their role as consumers.
Sensation – how one receive signals
Perception – how the human minds interpret signals from senses. How people interpret signals.
Processing:
- Bottom-up – start from the senses and interprets those signals
- Top-down assign meaning based on contextual inputs (about beer)
Memory – the neural network of associated nodes.
- Long-term memory
o Explicit memory:
▪ Episodic (events, experiences)
▪ Semantic (concepts, facts)
o Implicit memory:
▪ Procedural (how to do things)
▪ Priming (stimulus exposure affects responses to a later stimulus)
▪ Emotional conditioning (classically conditioned responses)
- Working memory is involved in goal-directed behaviors in which information must be retained and manipulated
to ensure successful task execution.
Beliefs and attitudes exist in (implicit) associative networks. Activation of one concept activates related concepts.
Priming:
- The act of introducing a stimulus to influence how individuals respond to a subsequent stimulus.
- Music with strong national associations activated related knowledge and led to customers buying wine from the
respective country (North at al. 1999)
Attention reflects much mental activity is devoted to a stimulus:
- Attention is limited
- Attention is selective
- Attention can be divided
,Krishna, A. (2012). An integrative review of sensory marketing: Engaging the senses to affect perception, judgment and
behavior. Journal of consumer psychology, 22(3), 332-351.
Touch:
- Touch is the first sense you develop in the womb and the last sense you lose with age. Interpersonal touch is
related to oxytocin, which promotes feelings of love, social bonding and well-being.
People who receive interpersonal touch:
- Leave higher tips
- Are more satisfied
- Comply with requests to sample or buy
- Take their medications
- Help others
- Let others cut in line
- Touch creates a sense of interpersonal connection
Touching products:
- Touching an object increases perceived ownership of that object (Peck & Shu 2009)
- Touchscreens increase psychological ownership, and this in turn magnifies the endowment effect (Brasel & Gips
2014)
Smell:
- Memory for scents persists.
- Memories triggered by scent are emotional.
- Many distinct scent receptors.
- Direct connection between olfactory nerve and amygdala and hippocampus.
- Scent increases memory for associated information.
- Scent can trigger emotions.
- Scents can enhance product and store evaluations.
- Scents can enhance shopping time and variety seeking.
Hearing:
- We attach meaning to sounds
- Music with strong national associations activated related knowledge and led
to customers buying wine from the respective country (North at al. 1999)
Taste:
- Top-down processing:
- Experiment with beers
Vision:
- We attach meaning to colors through learned associations and biological predispositions. Colors are important
in marketing (Labrecque & Milne 2012)
,Trope, Y., Liberman, N., & Wakslak, C. (2007). Construal levels and psychological distance: Effects on representation,
prediction, evaluation, and behavior. Journal of consumer psychology, 17(2), 83-95.
Construal Level Theory:
- How we perceive world around us
- People use concrete, low-level construals to
mentally represent near objects and events.
- People use abstract, high-level construals to
mentally represent distant objects and events.
Psychological distance:
Psychological distance is a subjective experience that
sth is close or far away from the self, here, and now.
- Temporal distance (tomorrow vs. in a year)
- Social distance (how is someone similar to yourself)
- Spatial distance (in kilometers)
- Hypothetical distance (how likely is something to happen)
Primary vs. secondary features:
- Purchases in the distant future focus perception on primary features
- Purchases in the near future also focus on secondary features
Feasibility vs. desirability:
- Desirability-related information affects purchase intentions for distant events
- Feasibility-related information affects purchase intentions for close events
Bi-directionality:
- Psychological distance not only affects mental construals, manipulations of construal level also affect distance
perceptions.
- By framing an event or object as high or low construal level, psychological distance can be manipulated.
Pictures vs. words
- Words are abstract, pictures are concrete
Miron-Shatz, T., Stone, A., & Kahneman, D. (2009). Memories of yesterday’s emotions: Does the valence of experience
affect the memory-experience gap?. Emotion, 9(6), 885.
Experiences versus memories
- The peak-end rule – people judge an experience largely based on how they felt at its peak and at its end, rather
than based on the total sum or average of every moment of the experience.
o Kahneman → prototypical moments/snapshots
o CX terminology → “moments of truth”
o People judge an experience largely based on how they felt at its peak and at its end, rather than based
on the total sum or average of every moment of the experience.
Positive experiences:
- People recalled more unpleasant and pleasant emotions than they reported during the individual episodes
- The Memory-Experience Gap is larger for negative experiences than for positive experiences
, The peak-end rule:
- People judge an experience largely based on how they felt at its peak and at its end, rather than based on the
total sum or average of every moment of the experience.
Memory and customer behavior:
- There is a difference between the experiencing self and the remembering self.
- Memory for experiences is influenced most by the peak moments and the end of an experience.
- This has important implications for CX design
Krishna, A. (2012). An integrative review of sensory marketing Engaging the senses
to affect perception, judgment and behavior. Journal of consumer psychology,
22(3), 332-351.
Overview:
- Sensory marketing as “marketing that engages the consumers' senses and affects their behaviors.” This could
even be broadened so that sensory marketing implies “marketing that engages the consumers' senses and
affects their perception, judgment and behavior.” – it is worth noting that it engages in a subconscious way
- To create subconscious triggers that define consumer perceptions of abstract notions of the product
- Sensory marketing implies an understanding of sensation and perception as it applies to consumer behavior.
- Sensory triggers may result in customers’ self-generation of (desirable) brand attributes, rather than those
verbally provided by the advertiser
- Sensation is when the stimulus impinges upon the receptor cells of a sensory organ – it is biochemical (and
neurological) in nature.
- Perception is the awareness or understanding of sensory information.
- Visual perception biases are important within the domain of consumer behavior because they affect judgments
of product sizes and of consumption; these judgments in turn can also affect actual consumption
Haptics:
- Touch is also the first sense to develop in the womb and the last sense one loses with age.
- The senses develop in the following order: touch, smell, audition, vision
- The reversal, loss of sensory acuity, seems to be faster and earlier for vision, audition, smell, and taste compared
to touch.
- Monkeys prefer to stay close to a surrogate cloth mother than a wire mother where the cloth mother provides
warmth and the wire mother provides nutrition
- Need for touch scale: the instrumental need for touch, as the name denotes, is for functionality, i.e., for a
specific objective, generally to buy a product. A typical question for this scale is “The only way to make sure a
product is worth buying is to actually touch it. ”The autotelic need for touch on the other hand, captures
compulsive touch or the emotional component of touch – touch for the sake of touch alone. A typical question
for this is “Touching products can be fun.”
- Touch and products: the high overall NFT people were more confident and less frustrated about their product
evaluations when they could feel the product; for low NFTs, touching or not made no difference.
- Touch and generosity: when the waitress physically touches a customer, her tip increases, even though her
service is not judged to be any better
- Higher oxytocin levels have also shown to lead to greater generosity towards strangers, and are also present
during child birth contractions and orgasms. They found that touch did increase oxytocin levels, but only when it
was followed by an intentional act of trust.
Consumer behavior – the decisions people make in their role as consumers.
Sensation – how one receive signals
Perception – how the human minds interpret signals from senses. How people interpret signals.
Processing:
- Bottom-up – start from the senses and interprets those signals
- Top-down assign meaning based on contextual inputs (about beer)
Memory – the neural network of associated nodes.
- Long-term memory
o Explicit memory:
▪ Episodic (events, experiences)
▪ Semantic (concepts, facts)
o Implicit memory:
▪ Procedural (how to do things)
▪ Priming (stimulus exposure affects responses to a later stimulus)
▪ Emotional conditioning (classically conditioned responses)
- Working memory is involved in goal-directed behaviors in which information must be retained and manipulated
to ensure successful task execution.
Beliefs and attitudes exist in (implicit) associative networks. Activation of one concept activates related concepts.
Priming:
- The act of introducing a stimulus to influence how individuals respond to a subsequent stimulus.
- Music with strong national associations activated related knowledge and led to customers buying wine from the
respective country (North at al. 1999)
Attention reflects much mental activity is devoted to a stimulus:
- Attention is limited
- Attention is selective
- Attention can be divided
,Krishna, A. (2012). An integrative review of sensory marketing: Engaging the senses to affect perception, judgment and
behavior. Journal of consumer psychology, 22(3), 332-351.
Touch:
- Touch is the first sense you develop in the womb and the last sense you lose with age. Interpersonal touch is
related to oxytocin, which promotes feelings of love, social bonding and well-being.
People who receive interpersonal touch:
- Leave higher tips
- Are more satisfied
- Comply with requests to sample or buy
- Take their medications
- Help others
- Let others cut in line
- Touch creates a sense of interpersonal connection
Touching products:
- Touching an object increases perceived ownership of that object (Peck & Shu 2009)
- Touchscreens increase psychological ownership, and this in turn magnifies the endowment effect (Brasel & Gips
2014)
Smell:
- Memory for scents persists.
- Memories triggered by scent are emotional.
- Many distinct scent receptors.
- Direct connection between olfactory nerve and amygdala and hippocampus.
- Scent increases memory for associated information.
- Scent can trigger emotions.
- Scents can enhance product and store evaluations.
- Scents can enhance shopping time and variety seeking.
Hearing:
- We attach meaning to sounds
- Music with strong national associations activated related knowledge and led
to customers buying wine from the respective country (North at al. 1999)
Taste:
- Top-down processing:
- Experiment with beers
Vision:
- We attach meaning to colors through learned associations and biological predispositions. Colors are important
in marketing (Labrecque & Milne 2012)
,Trope, Y., Liberman, N., & Wakslak, C. (2007). Construal levels and psychological distance: Effects on representation,
prediction, evaluation, and behavior. Journal of consumer psychology, 17(2), 83-95.
Construal Level Theory:
- How we perceive world around us
- People use concrete, low-level construals to
mentally represent near objects and events.
- People use abstract, high-level construals to
mentally represent distant objects and events.
Psychological distance:
Psychological distance is a subjective experience that
sth is close or far away from the self, here, and now.
- Temporal distance (tomorrow vs. in a year)
- Social distance (how is someone similar to yourself)
- Spatial distance (in kilometers)
- Hypothetical distance (how likely is something to happen)
Primary vs. secondary features:
- Purchases in the distant future focus perception on primary features
- Purchases in the near future also focus on secondary features
Feasibility vs. desirability:
- Desirability-related information affects purchase intentions for distant events
- Feasibility-related information affects purchase intentions for close events
Bi-directionality:
- Psychological distance not only affects mental construals, manipulations of construal level also affect distance
perceptions.
- By framing an event or object as high or low construal level, psychological distance can be manipulated.
Pictures vs. words
- Words are abstract, pictures are concrete
Miron-Shatz, T., Stone, A., & Kahneman, D. (2009). Memories of yesterday’s emotions: Does the valence of experience
affect the memory-experience gap?. Emotion, 9(6), 885.
Experiences versus memories
- The peak-end rule – people judge an experience largely based on how they felt at its peak and at its end, rather
than based on the total sum or average of every moment of the experience.
o Kahneman → prototypical moments/snapshots
o CX terminology → “moments of truth”
o People judge an experience largely based on how they felt at its peak and at its end, rather than based
on the total sum or average of every moment of the experience.
Positive experiences:
- People recalled more unpleasant and pleasant emotions than they reported during the individual episodes
- The Memory-Experience Gap is larger for negative experiences than for positive experiences
, The peak-end rule:
- People judge an experience largely based on how they felt at its peak and at its end, rather than based on the
total sum or average of every moment of the experience.
Memory and customer behavior:
- There is a difference between the experiencing self and the remembering self.
- Memory for experiences is influenced most by the peak moments and the end of an experience.
- This has important implications for CX design
Krishna, A. (2012). An integrative review of sensory marketing Engaging the senses
to affect perception, judgment and behavior. Journal of consumer psychology,
22(3), 332-351.
Overview:
- Sensory marketing as “marketing that engages the consumers' senses and affects their behaviors.” This could
even be broadened so that sensory marketing implies “marketing that engages the consumers' senses and
affects their perception, judgment and behavior.” – it is worth noting that it engages in a subconscious way
- To create subconscious triggers that define consumer perceptions of abstract notions of the product
- Sensory marketing implies an understanding of sensation and perception as it applies to consumer behavior.
- Sensory triggers may result in customers’ self-generation of (desirable) brand attributes, rather than those
verbally provided by the advertiser
- Sensation is when the stimulus impinges upon the receptor cells of a sensory organ – it is biochemical (and
neurological) in nature.
- Perception is the awareness or understanding of sensory information.
- Visual perception biases are important within the domain of consumer behavior because they affect judgments
of product sizes and of consumption; these judgments in turn can also affect actual consumption
Haptics:
- Touch is also the first sense to develop in the womb and the last sense one loses with age.
- The senses develop in the following order: touch, smell, audition, vision
- The reversal, loss of sensory acuity, seems to be faster and earlier for vision, audition, smell, and taste compared
to touch.
- Monkeys prefer to stay close to a surrogate cloth mother than a wire mother where the cloth mother provides
warmth and the wire mother provides nutrition
- Need for touch scale: the instrumental need for touch, as the name denotes, is for functionality, i.e., for a
specific objective, generally to buy a product. A typical question for this scale is “The only way to make sure a
product is worth buying is to actually touch it. ”The autotelic need for touch on the other hand, captures
compulsive touch or the emotional component of touch – touch for the sake of touch alone. A typical question
for this is “Touching products can be fun.”
- Touch and products: the high overall NFT people were more confident and less frustrated about their product
evaluations when they could feel the product; for low NFTs, touching or not made no difference.
- Touch and generosity: when the waitress physically touches a customer, her tip increases, even though her
service is not judged to be any better
- Higher oxytocin levels have also shown to lead to greater generosity towards strangers, and are also present
during child birth contractions and orgasms. They found that touch did increase oxytocin levels, but only when it
was followed by an intentional act of trust.
