Chapter 3 Learning and Memory This chapter focuses on the way we mentally store information

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1 Chapter 3 Learning and Memory This chapter focuses on the way we mentally store information we perceive and how it adds to our existing knowledge about the world during the learning process. CONSUMER BEHAVIOR, 10e Michael R. Solomon 3-1 Learning Objectives When you finish this chapter, you should understand why: 1. It s important for marketers to understand how consumers learn about products and services. 2. Conditioning results in learning. 3. Learned associations with brands can generalize to other products, and why this is important to marketers. 4. There is a difference between classical and instrumental conditioning, and both processes help consumers to learn about products. 3-2 Learning Objectives (continued) 5. We learn by observing others behavior. 6. Our brains process information about brands to retain them in memory. 7. The other products we associate with an individual product influence how we will remember it. 8. Products help us to retrieve memories from our past. 9. Marketers measure our memories about products and ads. Learning Objective 1 It is important to understand how consumers learn about products and services Learning is a relatively permanent change in behavior caused by experience. The experience can be direct or it can be observed

2 Learning [ ] Long-standing, learned connections between products and memories are a potent way to build and keep brand loyalty. Consumers feel good about themselves when they consume products that remind them of earlier parts of their lives. That s why Doritos Taco Flavored chips are now sold in authentic packages from the past. 2-5 Learning [ ] Retro is very cool nowadays with 20- somethings, because it ties in with their desire for simpler, cleaner, more authentic lives. Many of them are engaged in identity self-creation through Facebook pages and other social media, and they see nostalgia as a way to differentiate themselves. PepsiCo Marketing Executive 2-6 Learning [ ] Learned associations among feelings, events, and products and the memories they evoke are an important aspect of consumer behavior. Learning is a relatively l permanent change in behavior caused by experience. 2-7 Learning [ ] The learner need not have the experience directly; we can also learn when we observe events that affect others. We learn even when we don t try: we recognize many brand names and hum many product jingles, for instance, even for products we don t personally use. This is called incidental learning

3 Learning [ ] Learning is an ongoing process. Our knowledge about the world constantly updates as we are exposed to new stimuli and as we receive ongoing feedback that allows us to modify our behavior when we find ourselves in similar situations at a later time. Learning [ ] The concept of learning covers a lot of ground, ranging from a consumer s simple association between a stimulus such as a product logo (e.g. Coca-Cola) and a response (e.g., refreshing soft drink ) to a complex series of cognitive activities (e.g. writing a business report) Theories of Learning Behavioral learning theories focus on simple stimulus-response connections. Cognitive theories focus on consumers as problem solvers who learn abstract rules and concepts when they observe what others say and do Learning Objective 2 Conditioning results in learning. Behavioral learning theories assume that learning takes place as the result of responses to external events. Psychologists who subscribe to this viewpoint do not focus on internal thought processes. Instead, they approach the mind as a black box and emphasize the observable aspects of behavior. The observable aspects consist of things that go into the box (the stimuli, or events perceived from the outside world) and things that come out of the box (the responses, or reactions to these stimuli)

4 Behavioral Learning Theories The feedback we receive as we go through life shapes our experiences. We respond to brand names, scents, jingles, and other marketing stimuli because of the learned connections we form over time. People also learn that actions they take result in either rewards or punishments. The feedback we receive as a result of our actions or the choices we make influences the way we will respond in similar situations in the future. If we receive compliments on a product choice, we will be more likely to buy that brand again. But if we get food poisoning at a new restaurant, we are not likely to patronize 3-13 that restaurant again. Two Types of Behavioral Learning Theories [ ] Classical conditioning Instrumental conditioning (aka operant conditioning) 3-14 Behavioral Learning Theories [ ] Instrumental conditioning (aka operant conditioning): the individual learns to perform behaviors that produce positive outcomes and to avoid those that yield negative outcomes. Refers to voluntary behaviors conditioned using consequences Behavioral Learning Theories [ ] Classical conditioning occurs when a stimulus that elicits a response is paired with another stimulus that initially does not elicit a response on its own. Works to condition responses to involuntary behaviors. Over time, the second stimulus causes a similar il response because we associate it with the first stimulus. Ivan Pavlov, a Russian physiologist who conducted research on digestion in animals, first demonstrated this phenomenon in dogs. [ ]

5 Classical conditioning (cont d) [ ] Pavlov paired a neutral stimulus (a bell) with a stimulus known to cause a salivation response in dogs (dried meat powder). The meat powder was an unconditioned stimulus (UCS) because it was naturally capable of causing the response (salivation). Over time, the bell became a conditioned stimulus (CS). The bell did not initially cause salivation but the dogs learned to associate the bell with the meat powder and began to salivate at the sound of the bell only. The drooling of these canine consumers because of a sound was a conditioned response (CR) Repetition [ ] Conditioning effects are more likely to occur after the conditioned (CS) and unconditioned (UCS) stimuli have been paired a number of times. This effect is known as repetition. These repeated exposures increase the strength of stimulus-response associations and prevent the decay of these associations in memory. The most effective repetition strategy is a combination of spaced exposures that alternate in terms of media that are more or less involving, such as television advertising complemented by print media Repetition [ ] Conditioning won t occur or will take longer if the conditioned stimulus (CS) is only occasionally paired with the unconditioned stimulus (UCS). One result of this lack of association is extinction, which occurs when the effects of prior conditioning diminish and finally disappear. E.g. When the once-exclusive crocodile started to appear on baby clothes and many other items, it lost its cachet. Ralph Lauren successfully challenged it as a symbol of casual elegance. Now that Izod is being more careful about where its logo appears, the brand is starting to regain its cool Stimulus Generalization [ ] Stimulus generalization refers to the tendency of stimuli similar to a conditional stimulus (CS) to evoke similar, il conditioned d responses. For example, Pavlov noticed in subsequent studies that his dogs would sometimes salivate when they heard noises that only resembled a bell, such as keys jangling. People also react to other, similar stimuli in much the same way they responded to the original stimulus; we call this generalization a halo-effect

6 Stimulus Generalization E.g. a private-brand mouthwash that is deliberately packaged to resemble Listerine mouthwash may evoke a similar response among consumers, who assume that this me-too product shares other characteristics of the original. This piggybacking can work both ways: If the quality of the me-too product turns out to be lower that that of the original brand, consumers may exhibit even more positive feelings toward the original. If, on the other hand, they perceive the quality of the two competitors to be about equal, they may conclude that the price premium they pay for the 3-21 original is not worth it! Stimulus Discrimination Conditions may also weaken and even disappear over time especially when an unconditioned stimulus (UCS) does not follow a stimulus similar to a conditioned stimulus (CS). This is called stimulus discrimination. Part of the learning process involves making a response to some stimuli but not to other, similar stimuli. E.g. manufacturers of well-established brands commonly urge consumers not to buy knockoffs (i.e. cheap imitations) because the results will not be what they expect For Reflection How might classical conditioning operate for a consumer who visits a new tutoring Web site and is greeted by the Web site s avatar who resembles Albert Einstein? Learning Objective 3 Learned associations with brands generalize to other products. We can utilize these associations in marketing applications through: [ ] Repetition Conditioned product associations Stimulus generalizations

7 Marketing Applications of Classical Conditioning Principles [ ] Behavioral learning principles apply to many consumer phenomena, such as creating a distinctive brand image or linking a product to an underlying need. The transfer of meaning from an unconditioned stimulus to a conditioned stimulus explains why madeup brand names, such as Marlboro, Coca-Cola, or Reebok, exert such powerful effects on consumers. E.g. The association between the Marlboro man and the cigarette is so strong that in some cases the company no longer even bothers to include the brand name in its ads that feature the cowboy riding off into the sunset. Marlboro ad 2-25 Marketing Applications of Classical Conditioning Principles [ ] When researchers pair nonsense syllables (meaningless sets of letters) with such evaluative as beauty or success, the meaning transfers to the fake words. E.g. Lady Gaga (hot, beautiful, sexy, etc.) This shows that fairly simple associations can condition even complex meanings, and the learning that results can last a long time. These associations are crucial to many marketing strategies that rely on the creation and perpetuation of brand equity, in which a brand has strong positive associations in a consumer s memory and commands a lot of loyalty as a result Marketing Applications of Repetition [ ] Repetition increases learning More exposures = increased brand awareness Three actual exposures are necessary: The first one is to create awareness of the product The second demonstrates its relevance to the consumer, and The third one reminds the consumer of the product s benefits Marketing Applications of Repetition When exposure decreases, extinction occurs However, TOO MUCH exposure leads to advertising wear out Example: Izod crocodile on clothes Can you think about an annoying or silly commercial that was aired too often that finally phased out?

8 Marketing Applications of Conditioned Product Associations [ ] Ads often pair a product with a positive stimulus to create a desirable association. Various aspects of a marketing message such as music, humor, or imagery, can affect conditioning. E.g. one study showed that subjects who viewed a slide of pens paired with either pleasant or unpleasant music were more likely later on to select the pen that appeared with the pleasant music Marketing Applications of Conditioned Product Associations [ ] The order in which the conditioned stimulus and the unconditioned stimulus occur also can affect the likelihood lih that t learning will occur. Normally the conditioned stimulus must be presented prior to the unconditioned stimulus. E.g. For a soft drink ad, the company must show the soft drink (the conditioned stimulus) first before it plays its associated jingle (the unconditioned stimulus) 3-30 Marketing Applications of Stimulus Generalization Stimulus generalization refers to the tendency for stimuli similar to a conditioned stimulus to evoke similar, unconditioned responses. Strategies that marketers base on stimulus generalization include: [ ] Family branding Product line extensions Licensing Look-alike packaging 3-31 Marketing Applications of Stimulus Generalization [ ] Family branding enables products to capitalize on the reputation of a company name E.g. companies like Campbell s, Heinz, and General Electric rely on their positive corporate images to sell different product lines

9 Marketing Applications of Stimulus Generalization [ ] Product line extension marketers add related products to an established brand. For example: Dole, which we associate with fruit, introduced refrigerated juices and juice bars; Sunmaid went from raisins to raisin bread; Starbucks and Jim Beam teamed up to make Starbucks Coffee Liqueur. Marketing Applications of Stimulus Generalization [ ] Licensing allows companies to rent wellknown names hoping that the learned associations they have forged will rub off onto other kinds of products. For example: Dora the Explorer lunch boxes Zippo windproof cigarette lighters is now marketing a men s fragrance Marketing Applications of Stimulus Generalization Look-alike packaging Distinctive packaging designs create strong associations with a particular brand. Companies that make generic or privatelevel brands and want to communicate a quality image often exploit this linkage when they yput their products in similar packages to those of popular brands. The copycat brand cannot get too close to the original brand to cause consumer confusion. Otherwise, lawsuits may ensue! 3-35 For Reflection Some advertisers use well-known songs to promote their products. They often pay more for the song than for original compositions. How do you react when one of your favorite songs turns up in a commercial? Why do advertisers do this? How does this relate to learning theory?

10 Learning Objective 4 There is a difference between classical and instrumental conditioning and both processes help consumers to learn about products. [ ] 2-37 Instrumental conditioning (or operant conditioning ) Instrumental conditioning (or operant conditioning ) occurs when we learn to perform behaviors that produce positive outcomes and avoid those that yield negative outcomes. We associate this learning process with the psychologist B. F. Skinner, who demonstrated the effects of instrumental conditioning by teaching pigeons and other animals to dance and perform other activities when he 2-38 systematically rewarded them for desired behaviors. Instrumental conditioning (or operant conditioning ) Responses to classical conditioning are fairly simple and involuntary, but the responses we make to instrumental conditioning are related to obtaining a goal. We may learn the desired behavior over a period of time as a shaping process rewards our intermediate actions. One way that instrumental conditioning may occur is through positive reinforcement, which occurs, for instance, after consumers try a new product and like it. (see ad above) [ ] 2-39 Instrumental conditioning occurs in one of three ways: [ ] Positive reinforcement when the environment provides positive reinforcement in the form of a reward, this strengthens the response and we learn the appropriate behavior. E.g. a woman who gets compliments after wearing Obsession perfume learns that using this product has the desired effect, and she will be more likely to keep buying the product

11 Instrumental conditioning occurs in one of three ways: [ ] Negative reinforcement also strengthens responses so that we learn the appropriate p behavior. E.g. A perfume company might run an ad showing a woman sitting home alone on a Saturday night because she did not wear its fragrance. The message this conveys is that she could have avoided the negative outcome if only she had used the perfume. Instrumental conditioning occurs in one of three ways: [ ] In contrast to situations where we learn to do certain things in order to avoid unpleasantness, punishment occurs when unpleasant events follow a response (such as when our friends ridicule us if we wear a nasty-smelling perfume). In other words, we learn the hard way not to repeat these behaviors Instrumental conditioning occurs in one of three ways: [ ] To better understand the differences among these mechanisms, keep in mind that reactions form a person s environment to his behavior can be either positive or negative, and that marketers can either apply or remove these outcomes (or anticipated outcomes). Under conditions of both positive reinforcement and punishment, the person receives a reaction when he does something Instrumental conditioning occurs in one of three ways: [ ] In contrast, negative reinforcement occurs when the person avoids a negative outcome the removal of something negative is pleasurable and hence rewarding. Finally, when a person no longer receives a positive outcome, extinction is likely to occur, and the learned stimulus-response connection will not be maintained. E.g. when a woman no longer receives compliments on her perfume

12 Figure 3.1 Types of Reinforcement 3-45 Reinforcement Schedule [ ] It s important for marketers to determine the most effective reinforcement schedule to use because this decision relates to the amount of effort and resources they must devote when they reward consumers who respond to their requests as they hope. Several schedules are possible: Fixed-interval reinforcement Variable-interval reinforcement Fixed-ratio reinforcement Variable-ratio reinforcement 3-46 Reinforcement Schedule [ ] Fixed-interval reinforcement After a specified time has passed, the first response you make brings the reward. Under such conditions, people tend to respond slowly right after they get reinforced, but their responses get faster as the time for the next reinforcement approaches. e.g. consumers may crowd into a store for the first day of its seasonal sale and not reappear until the next sale Marketing Applications of Instrumental Conditioning A car dealer might encourage a reluctant buyer to simply sit in a floor model, then suggest a test t drive, and then try to close the deal. A merchant might send a thank-you or letter to a customer following their purchase with a special discount on a future order

13 Frequency Marketing Frequency marketing is a popular technique that rewards regular purchasers with prizes that t get better as they spend more. E.g. American Airlines frequent flyer program that rewards frequent passengers with even free tickets and/or free upgrades. E.g. ABC Ashrafieh rewards frequent buyers with free parking or free gifts Is Learning Conscious or Not? There is some evidence to support the existence of nonconscious procedural knowledge. This means that t learning may indeed occur in an automatic and passive way. E.g. Men in one study rated a car in an ad as superior on a variety of characteristics if a seductive woman (referred to as the trigger feature) was present, despite the fact that the men did not believe the woman s presence actually had an influence on their evaluations For Reflection What kind of reinforcement is being used when stores offer loyalty programs? Provide several examples and identity the reinforcement approach being used. Learning Objective 5 Observational Learning [ ] We learn about products by observing others behavior

14 Learning Objective 5 Observational Learning [ ] Observational learning occurs when we watch the actions of others and note the reinforcements they receive for their behaviors. In these situations, learning occurs as a result of vicarious* rather than direct experience. *vicarious i means that t it is experienced or realized through sympathetic participation in the experience of another 2-53 Learning Objective 5 Observational Learning [ ] People store these observations in memory as they accumulate knowledge and then they use this information at a later point to guide their own behavior. Modeling is the process of imitating the behavior of others. E.g. a woman who shop for a new kind of perfume may remember the reactions her friend received when she wore a certain brand several months earlier, and she will mimic her friend s behavior in the hope that she will get the same feedback Learning Objective 5 Observational Learning [ ] Another example is when a toddler wants to imitate (i.e. model) another toddler s behavior to get the same feedback - or attention - that he/she got. E.g. Joe, I m very proud of you because you put the crayons back in the box after you finished coloring your squirrel. Then his sister Cynthia may say, Look Dad! I ve just finished coloring mine too. Cynthia here expects Daddy to say, Good job, Cynthia! I m really proud of you, honey! Come and give daddy a hug Observational Learning Conditions For a marketer, four conditions must be met to instigate observational learning:

15 For Reflection To what extent do you emulate a celebrity s choices? Memory [ ] That s how our brains process information about brands to retain them in memory: 2-57 Memory is a process of acquiring information and storing it over time so it will be available when we need it. The mind works with an information-processing i approach. Data are input, processed, and output for later use in revised form. In the encoding stage, information enters in a way the system will recognize. In the storage stage, we integrate this knowledge with what is already in memory and warehouse it until it is needed. During retrieval, we access the desired information Memory [ ] Many of our experiences are locked inside our heads, and they may surface years later if the right cues prompt them. Marketers depend on consumers to retain information they collect about products and services so they will apply it to future purchase decisions. The consumer-decision-making process combines internal memory with external memory Memory [ ] External memory includes all the product details on packages and other marketing stimuli that t permit consumers to identify and evaluate brand alternatives in the marketplace. E.g. the grocery shopping list is a good example of a powerful external memory aid. When consumers use shopping lists, they buy approximately 80% of the items on the list

16 How Our Brains Encode Information The way we encode, or mentally program, information helps to determine how our brains will store this information. It s more likely that we will retain incoming data when we associate it with other things already in memory. E.g. Coffee-Mate creamer (it s the creamer that is a mate to coffee E.g. Sani-Flush toilet bowl cleaner Types of Meaning [ ] Sometimes we process a stimulus in terms of sensory meaning, such as the literal color or shape of a package E.g. we may experience a feeling of familiarity when we see an ad for a new snack food we have recently tasted Types of Meaning [ ] In other instances, we may encode meanings at a more abstract level. Semantic meaning refers to symbolic associations, such as the idea that rich people drink champagne, or that fashionable women have navel piercings Types of Meaning [ ] Episodic memories relate to events that are personally relevant. As a result, a person s motivation to retain these memories will likely be strong. e.g. couples often have their song, which reminds them of their first date or wedding We call some especially vivid associations flashbulb memories. e.g. where were you when you first heard that t Lady Diana died? d? Recall of the past may also affect future behavior. e.g. A college fund-raising campaign can be more effective when it evokes pleasant 2-64 college memories. 16

17 Types of Meaning [ ] A narrative (i.e. a story) is often an effective way to convey product information because our memories store a lot of the social information we acquire in story form. For instance, an ad in the form of a narrative will resonate more effectively with the audience. e.g. a perfume ad associated when secret encounters of lovers Objective 6: Memory Systems [ ] Our brains process information about brands to retain them in memory. There are three distinct memory systems: sensory memory, short-term memory (STM), and long-term memory (LTM) Objective 6: Memory Systems [ ] Sensory memory stores the information we receive from our senses. This storage is temporary (2 seconds at most). e.g. a man who walks past a donut shop gets a quick, enticing smell of something baking inside. Although this sensation lasts only a few seconds, it is sufficient to allow him to consider whether he should investigate further. If he retains this information for further processing, it passes through an attentional gate and transfers to short-term memory Objective 6: Memory Systems [ ] Short-term memory also stores information for a limited period of time, and it has limited capacity. Similar to a computer, this system is working memory; it holds information we are currently processing. Our memories can store verbal input acoustically (in terms of how it sounds) or semantically (in terms of what it means). We store this information by combining small pieces into larger ones in a process we call chunking. A chunk is a configuration that is familiar to the person and that he/she can think about it as a unit

18 Objective 6: Memory Systems [ ] Long-term memory is the system that allows us to retain information for a long period of ftime. A cognitive process we call elaborative rehearsal allows information to move from short-term memory into long-term memory. This involves thinking about the meaning of a stimulus and relating it to other information already in memory Marketers assist in the process when they devise catchy slogans or jingles that 3-69 consumers repeat on their own. Objective 6: Memory Systems [ ] Recent research suggests that long-term memory and short-term memory are interdependent systems. Depending on the nature of the processing task, different levels of processing occur that activate some aspects of memory rather than others. These approaches are called activation models of memory. The more effort it takes to process information, the more likely it is that information will transfer into long-term memory Figure 3.6 Learning Objective 7 [ ] Figure 3.6 (p. 123) Associative Network for perfumes. The other products we associate with an individual product influence how we will remember it. According to the activation models of memory, an incoming piece of information gets stored in an associative network that contains many bits of information. These storage units are knowledge structures like a complex spider web filled with pieces of data. Incoming information gets put into nodes that connect to one another. Figure 3.6, p. 123 (next slide) shows an associative network for perfumes

19 Spreading Activation [ ] A marketing message may activate our memory of a brand directly or indirectly. If it activates t a node, it will also activate t other linked nodes much as tapping a spider s web in one spot sends movement reverberating across the web. The process of spreading activation allows us to shift back and forth among levels of meaning. The way we store a piece of information in memory depends on the type of meaning we initially assign to it. This meaning type then determines how and when something activates the meaning Spreading Activation [ ] For example, we could store the memory trace for an Axe men s fragrance ad in one or more of fthe following ways: [ ] Brand-specific Ad-specific Brand identification Product category Evaluative reactions 3-74 Spreading Activation [ ] For example, we could store the memory trace for an Axe men s fragrance ad in one or more of fthe following ways: Brand-specific memory is stored in terms of claims the brand makes (it s macho) Spreading Activation [ ] For example, we could store the memory trace for an Axe men s fragrance ad in one or more of fthe following ways: Ad-specific memory is stored in terms of the medium or content of the ad itself (a macho-looking guy uses the product)

20 Spreading Activation [ ] For example, we could store the memory trace for an Axe men s fragrance ad in one or more of fthe following ways: Brand identification memory is stored in terms of the brand name (e.g. Axe ) Spreading Activation [ ] For example, we could store the memory trace for an Axe men s fragrance ad in one or more of fthe following ways: Product category memory is stored in terms of how the product works or where it should be used (a bottle of Axe sits in a guy s medicine cabinet) Spreading Activation [ ] For example, we could store the memory trace for an Axe men s fragrance ad in one or more of fthe following ways: Evaluative reactions memory is stored as positive or negative emotions ( that looks cool ) How We Retrieve Memories When We Decide What to Buy [ ] Retrieval is the process whereby we recover information from long-term memory. As evidenced in the popular board game Trivial Pursuit, people have a vast quantity of information stored in their heads but a lot of this information is not useful unless you re playing the game!

21 How We Retrieve Memories When We Decide What to Buy [ ] Individual cognitive or physiological factors are responsible for some of the differences in retrieval ability. E.g. older adults consistently display inferior recall ability for current items, such as prescription drugs, although they may recall events that happened to them when they were younger with great clarity. We keep our retrieval abilities sharp by exercising our minds, just as we keep our other muscles toned down when we work out on a 2-81 regular basis. How We Retrieve Memories When We Decide What to Buy [ ] We can more easily retrieve information about a pioneering brand from memory than we can from follower brands, because the first product s introduction is likely to be distinctive and, for the time being, no competitors divert our attention. The spacing effect describes the tendency for us to recall printed material more effectively when the advertiser repeats the target t item periodically, rather than presenting it repeatedly in a short time period What Makes Us Forget? In a process of decay, the structural changes that learning produces in the brain simply go away. Forgetting also occurs as a result of interference; additional information we learn displaces the earlier information. E.g. when we increase the uniqueness of one brand, it impairs the recall of other brands. But, when we call a competitor by name, this can result in poorer recall for our own brand State-Dependent Retrieval [ ] You will certainly do better on an exam if you study for it in the classroom in which you ll take the test. The process we call state-dependent retrieval illustrates that we are better able to access information if our internal state is the same at the time of recall as when we learned the information. E.g. we are more likely to recall an ad if our mood or level of arousal at the time of exposure is similar to that in the purchase environment

22 Pictorial versus Verbal Cues: Is a Picture Worth a Thousand Words? There is some evidence for the superiority of visual memory over verbal memory. [ ] 2-85 The visual aspects of this ad grab our attention because they are novel. This pile of trash is actually an outdoor ad on 2-86 a Dutch street for the MINI Cooper. Learning Objective 8 Products help us to retrieve memories from our past Products as Memory Markers [ ] Memories can be very powerful E.g. Disney theme parks 2012 marketing campaign was called Let the Memories Begin. It focused on vacation memories: TV commercials, online ads, and brochures with photos and videos shot by park guests. Objects that are likely to jog memories of the past include furniture, visual art, and photos, all of which consumers most value

23 Products as Memory Markers A stimulus is sometimes able to evoke a weakened response even years after we first perceived it. This effect is called spontaneous recovery; This reestablished connection may explain consumers powerful emotional reactions to songs or pictures they have not been exposed to in quite a long time. For Reflection List three of your favorite foods. What memories do you have associated with these foods? Are the foods associated with specific family events like a gathering for St. Patrick s Day?Explain Explain Learning Objective 9 Marketers measure our memories about products and ads. Measuring Memory for Marketing Stimuli [ ] Recognition versus recall Problems with memory measures Response biases Memory lapses Omitting Averaging Telescoping Illusion of truth effect

24 Measuring Memory for Marketing Stimuli [ ] How do we know if our marketing messages are designed to help consumer remember them? We can measure recognition and recall. In a typical recognition test, researchers show ads to subjects one at a time and ask if they have seen them before. In contrast, free recall tests ask consumers to independently think of what they have seen without being prompted first Problems with Memory Measures Of course, measures of memory can be faulty. For example, they may be contaminated by response biases. In this case, people tend to give yes responses to questions regardless of the question Memory Lapses People also suffer from memory lapses. Typical problems include omitting facts, averaging (or normalizing the memories by not reporting extreme cases), and telescoping (inaccurate recall of time). The illusion of truth effect may occur as well. This effect refers to the phenomenon of people remembering a claim is true when they have been told the claim is false. The Marketing Power of Nostalgia [ ] Marketers may resurrect popular characters to evoke fond memories of the past: Nostalgia Retro brand

25 The Marketing Power of Nostalgia [ ] Nostalgia describes the emotions where we view the past with longing. We reference the good old days. When marketers play on nostalgia, they want us to attach our fond memories to new products. One way to do this is to introduce retro brands. A retro brand is an updated version of a brand from a prior historical period. E.g. The Mini Cooper, PT Cruiser, and Volkswagon s New Beetle are all retro 3-97 brands. The Marketing Power of Nostalgia [ ] Consumer researchers created a nostalgia index that measures the critical ages during which our preferences are likely to form and endure over time. E.g. we are more likely to favor songs that were popular when we were 23.5 years old. Our preferences for fashion models peak at age 33, and We tend to like movie stars who were popular when we were 26 or 27 years old For Reflection What retro brands are targeted to you? Were these brands that were once used by your parents? What newer brands focus on nostalgia, even though they never existed before? Chapter Summary Marketers need to know how consumers learn in order to develop effective messages. Conditioning results in learning and learned associations can generalize to other things. Learning can be accomplished through classical and instrumental conditioning and through observing the behavior of others. We use memory systems to store and retrieve information

26 End of Chapter 3 Copyright 2013 Pearson Education

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