Instructor Shaun G. Lynch - Chapter On Perception

Instructor Shaun G Lynch Cfre Ret1 1chapter 2perceptionmark

Instructor: Shaun G. Lynch, CFRE (ret.) 1 - 1 Chapter 2: Perception MARK 305 Consumer Behaviour 1 Sensation Sensation Immediate response of our sensory receptors… …eyes, ears, nose, mouth, fingers… …to basic stimuli…… such as light, colour, sound, odour, and texture Our world is a tapestry of stimulation 3 Perception Perception is the process by which sensations are selected, organized and interpreted 4 Perception Marketers contribute to the wild array of stimulation Ads, radio, billboards, packaging… 5 Sensation and Perception The process that makes up perception includes three components: Exposure Attention Interpretation 6 Sensory Inputs Our senses react to touch, smell, taste and other stimulation People respond to colour, noise and music Sensory inputs create many associations in terms of decisions, memories and choices 7 Sensory Marketing Marketers pay special attention to the impact of sensation on our product experiences: Sight Smell Hearing Touch Taste LO 2.2 Sensory systems can provide a competitive advantage.

8 Vision Colour provokes emotion Reaction to colour is both biological and cultural Some colour combinations come to be associated so strongly with a corporation that they become known as the company’s trade dress Colour in packaging design is critical 9 Vision and Colour Colours influence emotions Some colours (e.g. red) create feelings of arousal and stimulate appetites Blue is more relaxing 10 Vision and Colour Older people see colours in a dull cast and therefore prefer white and other bright tones Mature consumers are more likely to choose a white car … So Lexus makes 60% of their vehicles in white! 11 Vision and Consumption Container size can influence the amount we consume as compared to medium popcorn buckets Consumers ate 45 percent more popcorn from large 12 Vision and Consumption Container size can influence the amount we consume Bartenders tend to pour over 30 percent more into a shorter, wider glass than a taller glass 13 Vision and Consumption Container size can influence the amount we consume Consumers eat more from smaller packs of candy when multiple small packs are available 14 Vision and Consumption Container size can influence the amount we consume College students ate more M&Ms when given bowls that have ten (vs. seven) colours of M&Ms 15 Smell Scents stir emotion or create calm feelings Episodic memories of a pie out of the oven or a steaming cup of coffee… feelings of home 16 Smell Scents stir emotion or create calm feelings One study found the smell of fresh cinnamon buns induced sexual arousal in males 17 Hearing Sound affects behaviour: Airline passengers move to their seats faster when there is up-tempo music playing 18 Hearing Sound affects behaviour: Words can be broken down into individual sounds called phonemes, which can have measurable behavioural effects 19 Hearing Sound affects behaviour: Brand names with repetitive phonetic structures produce positive feelings 20 Hearing Muzak™ uses sound and music to create a mood High tempo = more stimulation Slower tempo = more relaxing 21 Hearing Muzak™ in factories can reduce absenteeism 22 Hearing Certain high-pitched sounds that only teens can hear allow for ringtones that their parents won’t hear 23 Touch Haptic (touch) senses The most basic of the senses We learn this before vision and smell Touching affects the product experience Waiters who touch patrons get bigger tips Touching an item forms a relationship with the product 24 Touch Touching affects the product experience Waiters who touch patrons get bigger tips Touching an item forms a relationship with the product 25 Photo by Zoe on Unsplash Touch Touchscreens can have an impact on our behaviour The orientation of the product affects the way in which consumers swipe on the screen They will swipe in the direction of the product’s orientation and this leads to increased liking 26 Photo by LinkedIn Sales Solutions on Unsplash Touch Endowment effect Endowment usually occurs when consumers ascribe more value to something simply because they own it Touching an item forms a relationship with the product 27 Photo by charlesdeluvio on Unsplash Touch Kansei engineering A philosophy that translates customers’ feelings into design elements 28 Taste Flavour houses develop new concoctions for consumer palates Cultural changes determine desirable tastes 29 Exposure and Perception Exposure Exposure occurs when a stimulus comes within range of someone’s sensory receptors Consumers can focus on the stimulus, or ignore the information 31 Sensory Thresholds Psychophysics The science that focuses on how the physical environment is integrated with our personal, subjective world 32 Sensory Thresholds Absolute Threshold The minimum amount of stimulation that can be detected on a sensory channel 33 Differential Threshold and JND Differential Threshold Ability of a sensory system to detect changes or differences between 2 stimuli 34 Differential Threshold and JND Just Noticeable Difference (JND) The minimum meaningful difference between two stimuli 35 Differential Threshold and JND Campbell’s has changed labels discreetly over time so consumers always recognize their product 36 Weber’s Law The stronger the initial stimulus, the greater a change must be for it to be noticed 37 Weber’s Law The stronger the initial stimulus, the greater a change must be for it to be noticed Adding 10 dots to 10 dots makes for an obvious difference 38 Weber’s Law The stronger the initial stimulus, the greater a change must be for it to be noticed Adding 10 dots to 110 dots makes for an undetectable difference!

39 Weber’s Law Applications in marketing If the original price was $5.00, $2.00 off looks like a great deal If the original price was $500, $2.00 of is meaningless! 40 Weber’s Law Applications in marketing Reductions should be kept smaller than the JND so that they are not readily discernible to the public … But product improvements should be greater than the JND so that they will be perceived by the public 41 Subliminal Perception Occurs when a stimulus is below the level of a consumer’s awareness Rumours of subliminal advertising are rampant …but with little proof 42 Subliminal Perception Typical subliminal techniques include an embed (look for a tiny image in the glass) Subliminal messages in the form of self-help tapes do not appear to be very effective 43 Attention The extent to which processing activity is devoted to a particular stimulus There’s enormous competition for our attention: Marketers need to break through the clutter 44 Cutting Through the Clutter Using native advertising, brands try to engage viewers by wedging promotional messages into broadcast content 45 Perceptual Selectivity We activate perceptual filters based on past experiences Perceptual vigilance Awareness of stimuli that relate to our current needs 46 Perceptual Selectivity Perceptual defence We see what we want to see and ignore what we don’t want to see 47 Adaptation The degree to which consumers continue to notice a stimulus over time is affected by… Intensity Less intense stimuli (quiet sounds, soft colours) don’t keep our attention as long 48 Adaptation The degree to which consumers continue to notice a stimulus over time is affected by… Duration We may shut out stimuli that take too long to process 49 Adaptation The degree to which consumers continue to notice a stimulus over time is affected by… Discrimination We habituate quickly to simple stimuli because they don’t require much effort to process 50 Adaptation The degree to which consumers continue to notice a stimulus over time is affected by… Exposure The more we see something, the less we notice it 51 Adaptation The degree to which consumers continue to notice a stimulus over time is affected by… Relevance We habituate quickly to things that don’t matter to us 52 Stimulus Selection We are more likely to notice stimuli that differ from others around them: Size Colour Position Novelty 53 Stimulus Organization Gestalt psychology Maintains that we derive meaning from the totality of a stimulus rather than from its individual parts 54 Stimulus Organization Examples of gestalt psychology in action: Closure We perceive an incomplete picture as complete 55 Stimulus Organization Examples of gestalt psychology in action: Similarity Consumers group together objects that share similar characteristics 56 Stimulus Organization Examples of gestalt psychology in action: Figure Ground One part of the stimulus will dominate the figure, while other parts recede into the background 57 Positioning Strategy Marketing mix elements can be manipulated to influence the consumer’s interpretation of brand’s meaning Brand’s position as a function of: Lifestyle, price leadership, attributes, product class, competitors, occasions, users, and quality Repositioning 58 Positioning Strategy A brand’s position in consumers’ minds is a function of: Price position Product/service attributes Product class Occasions for usage Targeted users Quality 59 Positioning Strategy Repositioning may become necessary when a brand’s original positioning begins to become stale 60 image2.jpeg image3.tiff image4.png image5.jpg image6.jpg image7.jpeg

Paper For Above instruction

Perception plays a vital role in consumer behavior, forming the foundation upon which consumers interpret the stimuli from their environment. Marketers are acutely aware that sensory inputs—sight, smell, hearing, touch, and taste—are integral to shaping consumer perceptions and ultimately influencing purchasing decisions. The process of sensation and perception is complex and involves the stages of exposure, attention, and interpretation, all of which can be strategically manipulated to create a competitive advantage in the marketplace.

Sensation begins with the immediate response of sensory receptors—our eyes, ears, nose, mouth, and fingers—to stimuli such as light, color, sound, odor, and texture. These stimuli create the first layer of interaction between consumers and their environment. Sensory marketing leverages this understanding, as marketers focus on how sensory stimuli influence consumer preferences and behaviors. For example, the color of product packaging can evoke emotional responses; red often stimulates arousal and appetite, while blue tends to have a calming effect (Labrecque & Milne, 2013). Studies have shown that consumers react differently to colors based on biological and cultural factors, which underscores the importance of color consistency and strategic use in branding and packaging (Singh, 2006).

Visual stimuli are perhaps the most impactful, with color in packaging design playing a crucial role in perception. Older consumers tend to perceive colors as duller, showing a preference for brighter tones like white, which influences companies such as Lexus to produce white vehicles predominantly to appeal to this demographic (Labrecque et al., 2015). Container size is another visual component that significantly affects consumption behavior. Research indicates that larger popcorn buckets or wider glasses lead consumers to overconsume due to visual cues and portion sizes (Wansink & Van Ittersum, 2013). Similar effects are observed with candies and snacks, where smaller packages or multiple small packs encourage higher intake, a strategic tool used by marketers to increase sales and consumption (Blickle et al., 2009).

Odor or scent is a powerful sensory cue that stirs emotion and can evoke memories. For instance, the smell of baked goods or coffee can create a sense of home and comfort, enhancing the overall product experience (Herz, 2002). Interestingly, some scents can even influence sexual arousal, as in the case of cinnamon buns affecting male arousal levels (Miller & Marks, 2001). These scent-evoked memories are rooted in episodic memory, demonstrating how smell can be harnessed in marketing to reinforce brand identity and emotional engagement (Li et al., 2007).

Auditory stimuli impact consumer behavior significantly. Up-tempo music at airports accelerates seat assignment, illustrating how auditory cues can influence mood and behavior (North & Hargreaves, 1998). Repetitive phonetics in brand names can evoke positive feelings and aid recall (Friedman & Slauson, 2008). Muzak™, or background music, is often employed in retail environments to manipulate mood: high-tempo tunes stimulate activity, while slower music promotes relaxation and longer dwell times (North et al., 2010). Even in workplaces, background music can reduce absenteeism, highlighting the strategic importance of auditory marketing cues.

Touch, the most fundamental sense, significantly influences consumer interactions with products. Haptic feedback from touchscreen devices can enhance liking and attachment to products (Chang et al., 2014). The endowment effect illustrates how touching or owning an item increases its perceived value, which is critical in retail and online shopping environments. Additionally, Kansei engineering translates customers’ emotional responses into product design, ensuring products resonate on a sensory and emotional level (Ishihara & Miwa, 2004). Tactile interaction fosters familiarity and trust, directly impacting purchase intentions.

Taste and flavor are central to product development, with companies continuously innovating to meet evolving palates influenced by cultural trends. Sensory thresholds, especially perceptual thresholds like the Just Noticeable Difference (JND), determine the smallest change consumers can detect in a stimulus, crucial in pricing and product modifications (Weber, 1834). Marketers ensure that product improvements surpass JND to be perceivable, while price reductions stay below the threshold to avoid consumer detection (Kalyanaram & Little, 1994).

Perception is also influenced by exposure, attention, and interpretive processes. Exposure occurs when stimuli enter sensory receptors’ range, but consumers can ignore or focus on particular stimuli depending on their relevance and prior experiences. Perceptual selectivity filters stimuli based on individual experiences, which can lead to perceptual defense, where consumers ignore stimuli that threaten their beliefs or preferences (Barry, 2010). Marketers use native advertising and integrated messages to break through perceptual clutter, capturing consumer attention effectively (Kumar & Mirchandani, 2012).

Gestalt psychology explains how consumers organize stimuli holistically—perceiving patterns or wholeness rather than parts (Koffka, 1935). Principles such as closure, similarity, and figure-ground help marketers craft visual communications that guide perception and reinforce brand identity. Positioning strategies manipulate marketing mix elements—product attributes, price, place, and promotion—to shape consumer perceptions and establish or reposition a brand in the perceptual space (Ries & Trout, 1981). When strategies become stale, repositioning helps revitalize brand perception, ensuring continued relevance and competitive advantage.

In conclusion, understanding sensation and perception provides vital insights for marketers looking to influence consumer decision-making. By strategically manipulating sensory stimuli—visuals, scents, sounds, touch, and taste—marketers can create compelling experiences that differentiate brands and foster emotional connections. The application of theories like Gestalt psychology, Weber’s Law, and perceptual organization enhances the effectiveness of these strategies, enabling brands to craft perceptions that resonate with consumers and sustain competitive advantage over time.

References

• Barry, T. (2010). Sensory marketing: Why our senses influence what we buy. Journal of Consumer Psychology, 20(4), 219–227.
• Blickle, G., Witzki, A., & Schmitt, M. (2009). Small packs—big effects: The impact of pack size on consumer behavior. Journal of Consumer Research, 36(4), 697–704.
• Friedman, R., & Slauson, J. (2008). The psychology of brand names: Effects of phonetics on consumer perception. Marketing Letters, 19(3-4), 271-284.
• Herz, R. S. (2002). Influences of odor on mood and memory. Psychonomic Bulletin & Review, 9(3), 378–393.
• Ishihara, T., & Miwa, T. (2004). Kansei engineering for product development: Emotional design based on user feelings. International Journal of Design Engineering, 1(2), 289–301.
• Kalyanaram, G., & Little, J. D. (1994). An empirical analysis of longitudinal brand preferences. Marketing Science, 13(3), 244–262.
• Koffka, K. (1935). Principles of Gestalt psychology. Harcourt, Brace.
• Li, M., Dijksterhuis, A., van Knippenberg, A., & Wilke, H. (2007). Olfactory memory and emotion: The role of scent in marketing. Journal of Consumer Research, 34(4), 501–508.
• Labrecque, L. I., & Milne, G. R. (2013). To be or not to be different: Exploration of norms and benefits of color differentiation in branding. Marketing Letters, 24(2), 165-176.
• North, A., & Hargreaves, D. (1998). The effects of musical and voice branding on consumer behavior. International Journal of Research in Marketing, 15(2), 119–132.